Sphero is dropping out of the licensed toy market after decline in Disney range uptake

The firm’s CEO Paul Berberian has detailed the company’s plans to end the production of lines such as BB-8, R2-D2, Lightning McQueen cars or talking Spider-Man.
Author:
Publish date:
spherobb8

Sphero has indicated that it will dropping out of the licensed product market with confirmation that it is clearing out its remaining licensed inventory and won’t be restocking supply.

The firm’s CEO Paul Berberian has detailed the company’s plans to end the production of lines such as BB-8, R2-D2, Lightning McQueen cars or talking Spider-Man.

According to The Verge, the listings for all the toys list them as ‘legacy products’ that are no longer in production. App support will continue for “at least two years, if not longer,” said Berberian.

The CEO has stated that while the Disney partnership lasted three years, its licensed toys business required ‘more resources than it was worth.’ The toys reportedly sold well when released with a movie, but interest waned over time as the movie became more distant.

The company still sold ‘millions’ of BB-8s but company data has suggested that the toys weren’t used much after initial play time.

“When you launch a toy, your first year’s your biggest,” he said. “Your second year’s way smaller and your third year gets really tiny.”

However, Berberian has stated that of the company’s non-licensed educational robots, the opposite is true.

The company is now focusing on building out its educational ecosystem with a particular interest in getting more products into schools. The firm has also recently released a programmable robot with LED lights and acquired Specdrums.

Related

Disney's Mike Stagg on this year's toy plans for Star Wars and Marvel

For fans the world over, 2015’s release of Star Wars: The Force Awakens made for a monumental moment. Now, with new Marvel releases, a Frozen sequel and more Star Wars to come, Disney promises that the next few years will be no different. Robert Hutchins talks to Mike Stagg, The Walt Disney Company’s vice president and general manager, retail UK and Ireland, about the its plans to top the toy charts this year.

Featured Jobs

Rainbow logo landscape_home of classic Final

Product Manager

Rainbow Designs Ltd I Olympia, London I Salary: Competitive I Date Published Wednesday 16th January 2019