Amid relentless market turbulence and the ongoing tariff saga, the toy industry is proving itself more resilient—and more innovative—than ever. Sales are climbing in key markets, and the energy is palpable. This is the perfect moment to look beyond the horizon and spot the next big wave.
Beyond the rise of Kidults expanding the toy universe, a seismic shift is already transforming how toys are discovered, shared, and purchased: social shopping.
In China and across the Far East, social commerce has already rewritten the rules of retail, and it’s poised to disrupt the global toy landscape in ways we’ve only begun to imagine.
Imagine your brand not just being seen, but being experienced, shared, and bought—all within the scroll of a feed.
Platforms like TikTok, Instagram, and YouTube are turning everyday Browse into instant shopping, with one in three young Americans now shopping on social media every week. Influencers and viral content are driving toy sales to new heights, and the brands that master this space are capturing the hearts—and wallets—of a new generation of fans.
If you’re not already thinking about how your toys can become the next social sensation, now’s the time to get in the game. Social shopping isn’t just a trend—it’s the future of toy retail, and it is my view that every toy company should be racing to seize the opportunity.
Social Shopping, Right Here, Right Now
The fusion of social media and e-commerce—social shopping—is revolutionizing retail. With global social commerce revenue projected to grow at 31.6% annually and reach $6.2 trillion by 2030, brands that adapt now will dominate this seismic shift. China’s trailblazing integration of entertainment, community, and commerce offers a blueprint, while Western markets are rapidly catching up, most especially in fashion and cosmetics. The toy industry should be looking very closely at this opportunity.
Why Social Shopping is the Future
The toy, game, e-game, and kids’ licensing industries are at a crossroads. With traditional retail shelf space shrinking and digital platforms revolutionizing consumer behaviour, brands must adapt to survive and thrive. Social shopping—where consumers discover, engage with, and purchase products directly through social media platforms—is not just a trend but a transformative retail opportunity. This article explores why social shopping is essential for these industries and how brands can prepare for this shift.
The Size of the Opportunity
Social shopping is already reshaping e-commerce, with global sales projected to surpass $2.9 trillion by 2026. Platforms like TikTok, Instagram, and Facebook are leading this charge, offering seamless shopping experiences that integrate product discovery, engagement, and purchase within the same platform.
Toy Industry Trends
The toy retail market has faced challenges in recent years. The ‘contracting’ of retail makes us feel the opportunities to sell our products is dwindling. This underscores the need for innovation. Social shopping offers a way to counteract declining physical retail space by reaching consumers where they already spend their time—on social platforms.
Lessons from China, the adoption by the West, and the lead of ‘Fashion & Beauty’
China’s social commerce ecosystem, valued at $5 trillion in 2024, thrives on immersive, interactive experiences:
- Live-stream Shopping: Platforms like Douyin (TikTok’s Chinese counterpart) host real-time product demonstrations, where influencers showcase toys while engaging viewers. In 2023, Douyin’s live commerce sales grew by 80% YoY, proving its power to drive impulse purchases.
- Shoppable Content: Over 60% of Taobao and Tmall’s app interfaces are dedicated to short videos, reviews, and user-generated content (UGC), turning Browse into a social activity.
- Influencer Ecosystems: Key Opinion Leaders (KOLs) and micro-influencers dominate toy marketing, with 84% of Gen Z following beauty and lifestyle influencers.
For example, Xiaohongshu (Little Red Book) blends peer reviews with direct purchasing, creating a trusted space for parents to discover educational toys.
While China leads, Western markets are adopting social shopping features, including toyco’s:
- Instagram and TikTok Shops: Over 56% of UK consumers have bought directly via social platforms, with shoppable posts and live streams driving £7.3 billion in UK social commerce sales in 2023. Fashion and cosmetics brands like Glossier and Anne Klein pioneered these tools, but toy brands are now leveraging them.
- Shoppable Reels: LEGO uses Instagram Reels to showcase building tutorials, linking directly to product pages.
- TikTok Challenges: Hasbro’s #NerfChallenge generated 10M+ views, blending UGC with viral marketing.
- Live Commerce: Facebook and Instagram’s live shopping features mirror Douyin’s success, with 72% of users making purchases based on Instagram content.
The leaders in the space, though, are the fashion and beauty brands who have mastered social shopping and are, for now, way ahead of other categories. They have achieved it by blending storytelling with technology. Key strategies include:
- User-Generated Content (UGC): Brands like Glossier encourage customers to share their experiences with products, fostering authenticity and trust.
- Interactive Content: Fenty Beauty uses TikTok tutorials and live shopping events to engage audiences while showcasing products in action.
- Inclusivity and Community Building: Rare Beauty ties its brand story to mental health advocacy, creating an emotional connection with consumers.
These approaches have led to significant success. For example, health and beauty is one of the top categories for social shoppers, with 42% of buyers purchasing products through social platforms occasionally. Toy brands can replicate these tactics by fostering communities around playfulness, creativity, and family bonding.
How Toy Brands Can Get Social Shopping Ready
To succeed in social shopping, toy brands must address both operational logistics and brand strategy:
Operational Readiness
Readiness for success: CRUCIAL. Review the business capabilities in being able to deliver ‘pick and pack’ directly to consumers. What happens when a customer presses ‘Buy It Now’.
- Platform Integration: Establish digital storefronts on platforms like Instagram Shops or TikTok Shop to enable seamless purchases.
- Mobile Optimization: Ensure websites and e-commerce platforms are optimized for mobile users as mobile shopping continues to grow.
- Analytics Tools: Use data-driven insights from social platforms to track consumer behavior and refine strategies.
Branding & Storytelling
- Relatable Brand Stories: Modern consumers demand authenticity. Brands must craft narratives that resonate emotionally with their audience—whether it’s about sustainability, innovation, or nostalgia.
- Brand Positioning: Take a deep dive into the business and brands. Are they positioned for success? Consider every consumer touch point, are you watertight in consistency? Can the consumer relate to your brands and will they be happy to purchase directly from them?
- Content Strategy: Plan the way you tell your story and how to communicate products which will sell immediately – Eg Influencer collaborations, Interactive cross platform campaigns.
Build a DIY Social Commerce Ecosystem
- Leverage UGC: Encourage customers to share unboxing videos or playtime photos using branded hashtags. For example, Melissa & Doug’s Family campaign amplifies authentic peer recommendations.
- Host Live Shopping Events: Partner with influencers to demo products in real-time. Use platforms like Instagram Live or TikTok LIVE to offer limited-time discounts.
- Optimize for Mobile: Ensure seamless checkout experiences, as 68% of social shoppers use mobile devices.
Why This Matters Now
Social shopping isn’t just an additional sales channel; it’s a cultural shift in how consumers interact with brands. For the toy industry—rooted in fun, creativity, and family connections—this represents an exciting opportunity to redefine customer relationships while driving growth.
By embracing social shopping now, toy brands can:
- Expand their reach beyond traditional retail constraints.
- Build deeper connections with younger audiences who prefer digital-first interactions.
- Stay ahead of competitors who are slower to adapt to this new reality.
A Positive Call to Action
The transition to social shopping may seem daunting, but it’s also an incredible opportunity for growth and innovation. By focusing on authentic branding, engaging content, and seamless integration with social platforms, toy brands can unlock new revenue streams while staying relevant in an evolving market. As China’s success shows, the brands that blend entertainment, community, and convenience will win the playroom—and the marketplace.
Social shopping isn’t the future—it’s already here. By embracing live commerce, UGC, and platform partnerships, toy brands can tap into a $6.2 trillion opportunity. Whether through DIY innovation or platform collaboration, the key is to start small, test relentlessly, and prioritize authentic engagement.
As a thought leader in this space, Nic Jones is here to guide your brand through this transformation. Whether you’re looking for strategic insights or hands-on support in implementing social commerce strategies tailored for the toy industry, let’s start a conversation about how your brand can lead in this exciting new era of retail innovation.
Nic has over 30 years experience working with brands within kids & family targeted entertainment, toys, FMCG and retail. He is the founder and director of SituAction. SituAction is a specialist brand planning and strategy agency at the forefront of social shopping – the emerging frontier where commerce meets community, and the next movement in brand awareness and direct-to-consumer selling. We Future-Proof brands by helping clients to clarify, develop and implement strategies that ensure true distinctiveness in a crowded marketplace.
Web: www.situaction.co.uk | Tel: +44 7836 373271
Connect with Nic Jones on LinkedIn
This article originally appeared in Edition 17 of The Toy Universe Magazine
