Will The Coronavirus Effect The Toy Industry???

[JayC]

By now you have likely heard something about the Coronavirus. You can’t turn on the news without hearing something about it, such as how it continues to spread across the world. Even the US Stock Market has begun to tumble a bit over worries of the unchecked virus, that some are calling a pandemic.

At the New York Toy Fair this past weekend, there were rumblings of its possible effects on the toy industry and what it might mean for the latest reveals getting to shelves in a timely manner.

For those not familiar, the original outbreak of the disease began in China. While in recent years companies like Hasbro have begun moving their product manufacturing to other places in the world, China is still a place where many of the toy products you collect are made. To try to reduce the spread of the virus, many of these factories in recent weeks have had to temporarily shut down or go on reduced operations. In turn, that seems to have caused a backlog of products getting made, which for the most part means you can likely expect to start seeing delays of new stuff making its way to retail shelves for you to buy.

At this point, most of the talk around the show indicated that the delays would be minimal if at all, however it’s unclear if that was more wishful thinking than anything. I have heard that not only are factories having to stop producing stuff, but some stuff that gets made in certain areas is getting held from shipping out due to worries of contamination.

In all honesty, I can’t tell you exactly how much of an impact this virus will have on the toy industry or even the world. Depending on who you listen to, it’s either something being blown way out of proportion by the media or it’s the end of the world. My guess is the truth lies somewhere in the middle. Best case scenario though is that I would expect to see some delays begin to happen with the latest product getting to you, which is no-one’s fault and is just something we all will have to deal with until the virus is brought under control.

[SubZero]

It will, but let's all hope the situation will contained soon for people's lives and health rather than toy delays. 

[JayC]

12 minutes ago, SubZero said:

It will, but let's all hope the situation will contained soon for people's lives and health rather than toy delays. 

That goes with out saying, however even how deadly this virus actually is seems to be up for debate by many, with some saying the common flu has as much chance of killing you as this, and its mainly those already in bad health that its killing.

Setting toys aside completely, the truth is this virus and its effects are likely going to be far worst from a financial standpoint than a overall health one. If this were to throw the planet into a global recession which if remains unchecked for a long period of time could happen, the loss of jobs will likely be far greater than the loss of lives. Again kinda goes without saying but lets hope neither one happens and this is contained soon.

[silverback77346]

I pray for all the poor souls who have been, will be and are now being affected by this horrible virus. Human beings have suffered tremendously in the past by pestilence and plagues and non more than by the hand of our own fellow man. God bless us all.

[silverback77346]

Oh and by the way, great choice of a picture to use for this format JayC. I wouldn't be at all surprised if it depicts how this whole thing got started just like so many other times. thanks

[K9K1N6]

I admit i was thinking about such thing when the coronavirus was spreading, i personally am more worried about a friend who lives in Italy and the virus is in there. As for toy topic it's better some delays perhaps? especially if it's necessary for factories to do so to avoid some troubles maybe

[80sboy4]

I would think the Coronavirius will affect quite a few things including the delay in production in China. Hopefully this can situation can be contained and this virus doesn't spread much worse then it seems to be. A very concerning situation all around.

[InspectorZartan]

It’s already been effecting my industry (the film industry).  Films that needed successful opening weekend numbers in China have had their premier dates postponed which often kills their momentum.  
 

It sounds like it’s already had an impact on the toy industry with shipping delays and once those happen they tend to spiral as things then get more and more backed up. It’s not as if these factories, shipping boats and loading docks where people were already being over worked and running around the clock can just magically catch up.  

[mako]

Will the deadly pandemic effect the toy industry?

That's what I love about this site, never afraid to ask the important questions. 

[mako]

"When the stables caught fire, Confucius returned from court and asked: “Was anyone hurt?” He did not ask about the horses."  - Translation of excerpt from Chapter 17, Book 10, “The Analects of Confucius”

[Cloud]

Was really hoping someone would ask this question.

IMO this should be the number 1 question to all the companies nothing else.

But to put everyone is perspective. Spring toys should be all shipped out by now to hit that 1-3 months time frame to arrive to the States.

The next batch which would be summer shipments are probabaly in the assembly line if not now or soon. So those may suffer some delays which could potentially catch up if companies express the shipments.
 

Which brings us to the real question. How long with the coronavirus last. If it's true and the best case is everything goes back to normal around May. Then it's a minor delay for Q3 and Q4. If it's worse than China will lose a lot of business for sure.

What about other countries taking over the production line? Possible but to be honest China has so much experience with production it's hard to find another country to replace in short term. There are toys made in Thailand or Vietnam but based on experience those suffer from  more QC issues so it will hurt the products temporary.

[JayC]

On 2/27/2020 at 10:43 AM, mako said:

Will the deadly pandemic effect the toy industry?

That's what I love about this site, never afraid to ask the important questions. 

LOL, and once again your here daily. So your point that you love my sites is well documented

[Colt90]

On 2/27/2020 at 9:43 AM, mako said:

Will the deadly pandemic effect the toy industry?

That's what I love about this site, never afraid to ask the important questions. 

You do know this is a website dedicated to the toy industry, right? So, of course this is important to our little niche.

[mako]

5 hours ago, Colt90 said:

You do know this is a website dedicated to the toy industry, right? So, of course this is important to our little niche.

Speaking as part of that "little niche" I can tell you with total honesty and conviction: NO it's not. There's nothing LESS important than the toy industry when you weigh it against the loss/potential loss of life. I don't care who you're asking.

[jedicrippler]

18 hours ago, mako said:

Speaking as part of that "little niche" I can tell you with total honesty and conviction: NO it's not. There's nothing LESS important than the toy industry when you weigh it against the loss/potential loss of life. I don't care who you're asking.

Yeah, who cares about those who could lose their jobs due to business being down. And also losing their health coverage because the only way they could get any was through said job. And then getting sick & not being able to afford to go to the doctor. And then spreading that sickness farther. You're absolutely right. The effect on the toy industry (or any industry) is totally unimportant.

 

Maybe if there was, I don't know, some sort of ability for every single person to have health coverage without having to worry about being in permanent debt due to the greed of the healthcare industry.

 

God forbid, people think about each other instead of just themselves.

[Goldbug]

It already is. Marauder Inc has emailed people who have pre-ordered some figures to say the pre-order won't be fulfilled until summer.

Boss Fight may also have some items that will be delayed.

Industry wide companies may be having trouble fulfilling orders. Not only to individuals but Hasbro to their retail partners. Shelves may start to be left empty.

[JayC]

5 hours ago, Goldbug said:

It already is. Marauder Inc has emailed people who have pre-ordered some figures to say the pre-order won't be fulfilled until summer.

Boss Fight may also have some items that will be delayed.

Industry wide companies may be having trouble fulfilling orders. Not only to individuals but Hasbro to their retail partners. Shelves may start to be left empty.

Yep the effects have begun and will likely only get worse over the course of the year as the disease continues to spread. From what I understand we are about a year out from any kind of vaccine being created and while they might be able to slow down the spread of it I doubt they can stop it. From a health stand point it seems to only kill those already with failing health issues which obviously isn't a good thing but their plenty of other diseases and viruses out there that you can say the same thing about. The larger concern here seems to be more about what this will do to the economy, and it's not looking good IMO.

[Darth_Primus]

Fears of the coronavirus spreading caused the cancellation of a toy show in my neck of the woods, which is the San Francisco Bay Area.

Now sure, nothing trumps being alive and being in good health. Everyone has that perspective and it literally goes without saying, but this is a website/message board is dedicated to the discussion of toys and collectibles.   So, it's very appropriate to discuss the effects of the coronavirus on the toy industry here.   Where else would it be discuss? 

And I think it's very unkind, self righteous and plain out rude to belittle the members of this website that do want to discuss the impact of the coronavirus on the toy industry whether that be in manufacturing, shipping or what not.  

Therefore, for anyone that wants to discuss the more serious and deadly aspects and impacts of the coronavirus please find another website to do that.  I'm sure you'll find plenty of them out there.

This website is the proper place to discuss our love for toys and collectibles and how the coronavirus effects it.   Please do not be "that guy" that has to crap over others' joy and concerns for some self righteous and vanity statements; i.e. put others down just to make himself feel better or the better person.

[SpiderS]

It will affect much more than just toy industry, and it is already and so far it seems summer won’t make it go away, on brighter side it is high risk only to people who have immune system  issues and elderly people, it won’t be apocalyptic end of everything  but it will definitely be something we never seen before. Gotta wash our future  toys in hand sanitizers I guess.  

[JayC]

My guess your going to see a lot of events postponed or canceled this year including things like SDCC

[danmiel]

I think this will affect not only the toy industry but other industries as well. I hope this will be over soon before it leads to recession or worldwide economic crisis.

[Darth_Primus]

It's been hitting the global economy the past few weeks; most notably the stock market.   The stock market hasn't dropped this much since the 2008 recession.  Travel/tourism has taken a nose dive as well.   

Sporting events in Italy and masses at the Vatican are pretty much empty.

Festival and events in the US like Emerald City Comic-Con and South by Southwest have been postponed and cancelled, respectively.

However, if you're in the business of sanitizing and cleaning products and toilet paper, you're business is doing real well. 

 

[Nickg253]

I'm in King county Washington and they've closed all community centers and they're in the process of teaching all students from home. Every day I turn on the news and more people have died in Kirkland, though most if not all are elderly with underlying conditions. 

 

That being said it is kind of scary going to the store and seeing wiped shelves everywhere. 

 

Don't worry though, I have no plan of dying as I have too many badass pre-orders yet to come. Just remember, WASH YOUR HANDS AND QUIT RUBBING YOUR EYES! 

Nickg out. 

[JayC]

The big E3 Video Game convention which was to take place in June just announced today it was being canceled this year. I truly expect SDCC will be scrapped this year as well.

[SubZero]

On 3/6/2020 at 11:50 PM, SpiderS said:

It will affect much more than just toy industry, and it is already and so far it seems summer won’t make it go away, on brighter side it is high risk only to people who have immune system  issues and elderly people, it won’t be apocalyptic end of everything  but it will definitely be something we never seen before. Gotta wash our future  toys in hand sanitizers I guess.  

If you can even find hand sanitizer. Regular bottles that normally cost $3 are now $120.