IntroductionThe success of any business is largely dependent on the innovation and development of new products so that a niche market can be aimed at. Organizations based on the customer needs develop a product which helps to increase the level of satisfaction and increases the chances of being successful in the future. This report looks into manner in which developing an educational toy program will help to improve efficiency in the manner in which services are rendered. This thereby looks into the Australian educational toy industry so that the different aspect which can help the new player to be successful can be identified.
Based on the market information the target market for the product is identified so that steps can be taken to attract customers towards the product. The report further looks into the competitor that are working in the market and evaluates the marketing mix so that proposition for the success of the business venture can be identified. This will thereby help to understand whether the business idea of having an educational toy program will be successful or not. Based on the different findings analysis will be developed through which the success of the business venture can be identified.
Australian Educational Toy IndustryThe toy industry is growing at a rapid pace and includes all type of toys. It is estimated that the global toy market is 84 billion US dollars in 2012 (Toy Industry, 2013). Out of the total toy industry the Australian toy industry is around 15 billion dollars and helps to contribute immensely towards the employment opportunity in the country. The toy sector has helped to generate over 250 thousand jobs and is constantly growing at a rapid pace. Australia is seen as one of the major markets where toys are imported from other countries.
The majority of the toys is imported from China and contributes immensely towards the toy industry in Australia. The toy market is dominated by players like Hasbro, Mattel, JAKKS Pacific, LEGO, and Namco Bandai to name a few. This shows that the demand for toys is immense and looks towards providing customers both with the fun of playing with the toys and also an opportunity to learn new things.
A breakdown of the spending pattern towards educational toys in Australia shows that on an average $401 was spent per child in 2009 which increased to $486 in 2010 showing that the demand for toys is increasing continuously. The increase in the spending pattern presents an opportunity where development of new products which will help to improve the learning style is greatly demanded (Brassington and Pettitt, 2001). This has been aided by the development of products which even look to attract grown up as they provide an opportunity through which the learning style develops and helps to provide the fun of toys. The future trend greatly shows an increase in the demand for toys which can be used for educational purpose and developing better tools which facilitates those will be helpful.
This provides an opportunity for the existing and new players to develop products which will increase the experience of learning and will thereby greatly contribute towards the long term success of the organization. This shows that players who are innovative and look to develop new products through which they are able to target the niche market will be able to bring the required efficiency in the system.
This will thereby ensure that the different opportunities which is present in the market can be used to tap the niche market and ensure growth for the future.