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Results of the Toy Inflation Survey 2022: Part 2 Price Increases

Here are further results from the Toy Inflation Survey 2022, We wanted to know if toy companies were passing their additional costs on to retailers through price increases. Similarly, we wanted to understand how retailers were handling their increased business costs. Finally, we wanted to know how retailers were responding to the increases. Here is what we found:

If you are a toy company, have you taken a price increase in 2022?

Yes——–95%

No——— 5%

If you are a retailer, have you raised your prices in 2022?

Yes——–81%

No——–19%

The overwhelming majority of toy companies are taking price increases, 95%. Surprisingly, 20% of retailers surveyed are not passing the increases on to their customers.

Do you anticipate taking a price increase later in 2022?

Yes————-51%

Not Sure——34%

No————–14%

U.S. inflation ran at 8.3% in April alone. Despite nearly half of respondents either not planning to take an increase or unsure, it seems unlikely that they will be able to withstand inflationary pressures for the rest of the year.

If you are a toy company taking price increases, what are they averaging?

10% to 15%———–44% 

0% to   5%————35%

15% to 20%———-16%

25% +——————-5%

The majority, 65%, of respondents have taken double-digit increases. However, the remaining 35% have taken single-digit increases or none at all. The latter has had to have absorbed significant increases in freight costs and increases in the costs of inputs without passing them on. How long can they afford to continue to do so?

If you are a retailer taking price increases, what are they averaging?

10% to 15%————48%

0% to 10%————-19%

15% to 20%————15%

25% + ——————15%

20% to 25%————3%

The retail community is in general alignment with the toy companies in the percentage of increases.

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