Sunday, July 15, 2007

Can Webkinz Save the Toy Market?


The toy world has seen a steady increase in sales in recent months due to the strong sales of Webkinz, Webkinz trading cards and the Nintendo Wii. However much of the rest of the toy world is down as platforms like the Playstation 3 and Playstation 3 games have well under sold their expectations. This fall some new toys are coming into the market which include new Webkinz, TMX Ernie and TMX Cookie Monster and Singing Pizza Elmo. The question now is with the rising gas prices looking to put a clamp on holiday sales will it make sales of these specialized toys decline this year lower than they have been?

The high gas prices have not seemed to affect the sales of Webkinz and Webkinz trading cards as Webkinz have received well over 750,000 searches per month online. Many retailers have sold out and have been sold for quite some time of the Webkinz plush and the Webkinz trading cards look to be extinct soon enough. As Christmas approaches hype could only build for the new TMX Friends which are the "Tickle Me Extreme Friends" and the follow up to the Tickle Me Extreme Elmo or (TMX ELMO) as its better known. The new TMX Friends are TMX Ernie and TMX Cookie Monster. They have the same features of the TMX Elmo such as extreme laughter when you tickle them and many of the same motions. TMX Friends stand about 3 inches shorter than the TMX Elmo however.

With the release of the TMX Friends in October we'll also see the Singing Pizza Elmo which is sure to be a hit with any Elmo collectors or children who love Elmo. But the question remains for the economy, will it overcome the short falls and allow consumers to buy their toys for their kids this fall and winter quarter? I have to believe that parents and kids will find a way to buy whatever toys they are looking for this winter at whatever expense. Hopefully the economy and gas prices can rebound by the forth quarter of the year but its hard to say. It seems that every expert opinion on the economy has seemed a bit off in recent times so I never base anything I believe on what anyone else says. Walmart sales have recently been down 3% under last year and that could be another factor going into this years toy season as Walmart tends to be a front runner in sales in just about every market category.

No matter what happens with the economy and gas prices this year TMX Friends, Singing Pizza Elmo and The New Webkinz and Lil' Kinz plush toys will be sure to be this seasons front runners and captivate numerous kids and parents around the globe. Against any prediction it could be another season of high sales for vendors on Ebay making premium prices on these toys on a sold out market. This year Webkinz Plush and Trading cards have commanded such premiums already. Webkinz Trading Cards have been selling as high as $260 a box and some of the retired Webkinz Plush have harnessed a $1000+ price tag. The main thing to note on this achievement is that many people are paying the prices. No price is too much if people are willing to pay it and someone is always willing to pay whatever price to get the toys they are looking for. TMX Friends, Ernie, Cookie Monster and sining Pizza Elmo may bring down some of the high Webkinz Prices this fall and at the same time we'll see many gaming console system at great rates especially as new titles are released for each system by fall. If you are in the market for any of the hot toys this year I suggest getting them as early as possible and as soon as they hit the market. If you can grab a few extra you may be one of the next hot merchants on Ebay.

Mikey Simms

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