The rise of the kidult market continues, accounting for nearly all growth in toys, as Asia overtakes Europe as the second largest toy market globally
The global toy industry climbed to $123bn in 2025, according to Circana’s latest report, an eight per cent increase driven almost exclusively in mature markets by continued growth in the over-15 kidult market.
In its newly released 2026 Global Toy Report, Circana concluded that the toy industry and the act of play itself is on the rise and changing into a cross-generational, cross-category behaviour.
“The toy industry is not just growing – it’s transforming,” said Frederique Tutt, global toys industry advisor at Circana. “Play is expanded beyond childhood into a form of entertainment, creativity, and connection for all ages. The result is new demand across age groups and geographies, creating a more dynamic and resilient global toy market.”
While children under 10 years old remain the market share majority, accounting for more than 65 per cent of global toy sales, their share is gradually declining as older consumers assume a larger role. The fastest growth is coming from recipients aged 15 and older, a segment that now represents nearly 20 per cent of total toy sales and whose spending has more than doubled since 2020. Especially in developed markets, teens and adults are now responsible for the majority of incremental growth, driven by demand for collectibles, nostalgia-led purchases, and hobby-based play experiences.
Every region is posting gains, but growth is strongest in Asia and Oceania. In fact, Asia has overtaken Europe to become the second-largest toy market globally, while North America remains the largest, accounting for 41 per cent of total sales.
“We’re seeing a dual-engine market take shape,” added Frederique. “In emerging markets, rising populations, urbanisation, and increasing spend per child are widening access to play. In developed markets, fandom and premiumisation are reshaping value and expanding what play means.”
Gen Alpha is discovering toys and making purchase decisions based on online content, creators, and social platforms, accelerating trend cycles and redefining how products gain relevance. At the same time, traditional category boundaries are blurring, with toys increasingly competing and converging with video games, fashion, and beauty. Segments including licensed toys, building sets, games, collectibles, and plush are outperformers in the market as they resonate across lifestyles and experiences, not just age groups.
“The future of the toy industry will be defined by how well brands adapt to a broader, more fluid definition of play,” Frederique added. “Success comes from balancing innovation with meaningful engagement — without losing sight of the joy and imagination which are the industry’s superpowers in the first place. As more forms of entertainment compete for time and attention, play isn’t becoming less relevant — it’s becoming essential.”
