The global toy industry has been performing exceptionally well even during the pandemic and just Americans collectively spent over $29 billion on toys annually. Sales volumes remain ever high, but we’re also seeing incredible diversification given the adoption of technology in the sector. As young children turn to video games and smartphones for entertainment, the traditional toy industry faces the challenge of adapting to changing preferences while capitalizing on emerging trends. A major trend that’s been making waves is the strengthening of tie-in merchandise, especially when it comes to major blockbuster films. The COVID-19 pandemic disrupted the release of several major films, impacting the toy industry's tie-in products. However, with movies returning to the big screen and the rise of straight-to-streaming blockbuster releases, the outlook for toys accompanying these films appears promising. Early 2021 statistics indicate a 19% increase in revenue for toys based on movie characters compared to 2019, outpacing the growth of non-movie toys. Streaming services like Disney+ have seized upon this trend, leveraging their vast subscriber base to promote movie-related toys alongside releases like Soul and Raya and the Last Dragon. At the same time, the toy industry is banking on the comfort and nostalgia that classic toys bring to parents. Industry experts predict that the sales of nostalgic toys may offset some of the losses attributed to children's early adoption of video games. For instance, the Tonka Mighty Dump Truck saw a remarkable 250% year-over-year increase in sales. The success of iconic brands like Care Bears, which experienced a rise in sales driven by both children and parents who grew up with the characters, proves just how enduring nostalgic toys are. Fisher-Price, another classic brand, has capitalized on nostalgia by releasing modern versions of ‘80s and ‘90s favorites like the baby's boombox and toy Game Boy.