When it comes to offspring, the Austrians are the last to save. Despite the waning gaming boom, stores are pleased with solid interest. The specialist trade also benefits.
Christmas is just around the corner, many children want something new to play with from the Christ Child. This is the most important time of the year for retailers: “We generate 40 percent of our annual turnover from October to December,” emphasizes Johannes Schüssler, chairman of the games trade in the WKO and owner of a shop in Styria himself.
The stationary specialist trade is catching up
This year, the specialist trade is catching up. However, the crisis has also left its mark on the industry as margins fall due to rising costs.
“But the last thing you save for is the children,” agrees Dieter Strehl, head of Piatnik. With his board games such as DKT, he was able to benefit from the boom in 2020 and 2021, which is weakening somewhat this year. “Last financial year we had a turnover of 40 million euros, this year it will be slightly less.”
Fewer puzzles than during Boom
Ravensburger also notices an ebb in the great gaming trend. Austrian boss Yasin Ates: “The demand for puzzles has fallen somewhat, because in recent months people have resumed activities outside their own four walls.” Ravensburger wants to score points this year with a cooperative labyrinth game. Crime games are also popular. “Quiz games are getting more and more popular, Smart 10 is still a hit with us,” says Strehl.
Due to the high inflation there is more demand for cheap toys
Games that tax the brain and are sometimes of educational value are generally on the rise. The traditional local company Matador, which sold more than 50,000 construction sets in 2021, will benefit from this, this year it should be around 40,000. “Due to rising prices, some may be buying cheaper toys this year, but overall the trend is towards more sustainable, higher quality wood products. We are still selling more than before the crisis,” explains Matador boss Michael Tobias. Mattel (Hot Wheels, Barbie) confirms that some are likely to opt for cheaper goods this year.
Massive price increases are yet to come
Because of the increased costs, manufacturers have had to pass on increases. “In the summer we increased prices by 10 percent,” says Tobias. There is often little room for maneuver in the retail sector: “Because the large retail chains sell toys far too cheaply, we cannot raise the prices too much. Supermarkets don’t want to make a profit with it, they just want to lure customers to branches,” says Schuessler. Large increases are generally not expected until next year.
Source: Krone
I’m Ben Stock, a journalist and author at Today Times Live. I specialize in economic news and have been working in the news industry for over five years. My experience spans from local journalism to international business reporting. In my career I’ve had the opportunity to interview some of the world’s leading economists and financial experts, giving me an insight into global trends that is unique among journalists.
