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Toy Licensing: PAW Patrol Gets Big Screen Sequel

By Gary Symons

TLL Editor in Chief

Toymaker Spin Master says its popular toy and TV series property PAW Patrol will be getting a sequel to its hit kids movie.

Spin Master announced Nov. 3 it is producing a second big screen feature, entitled PAW Patrol: The Mighty Movie, for its preschool powerhouse franchise.

The CGI animated film is a Spin Master Entertainment production in association with Nickelodeon Movies. It will be distributed by Paramount Pictures and is set for an exclusive theatrical release on Oct. 13, 2023.

PAW Patrol, has become a licensing and sales behemoth for Spin Master, and is one of the most successful series in kids’ television globally. The show follows the adventures of a tech-savvy boy named Ryder and his team of pups who work together as a rescue team.

Currently in its eighth season on Nickelodeon, PAW Patrol’s universal messaging resonates with children around the world and since its launch in 2013, the franchise has won countless awards, and has turned PAW Patrol into one of the world’s most successful toy franchises.

Building off the franchise’s global success, Nickelodeon and Spin Master Entertainment also announced a new PAW Patrol television series spin-off for one of the main pups set to debut in the same year.

“We loved telling a deeper PAW Patrol story on a bigger canvas and are pleased that the movie connected so strongly with kids and families around the world,” said Jennifer Dodge, Spin Master Entertainment’s President. “Judging by the exit polls, audience scores and positive critical reception, everyone had as much fun watching it, and rewatching it, as we did making it.

“We’re looking forward to taking kids on a new adventure in the second film with our partners and can’t wait to further expand our storytelling with one of the fan-favorite pups in our spin-off.”

The CEO of Paramount and Nickelodeon Brian Robbins, who is also Chief Content Officer for Paramount+ Kids and Family, says he sees a long and successful future for the franchise.

“Just as the first movie’s success in theaters and streaming confirmed PAW Patrol’s status and power as a top, globally loved franchise, this second theatrical release paired with the property’s very first television spin off will mark another major step in creating a universe of characters and stories to reach even more fans everywhere,” Robbins said. “We here at Paramount and Nickelodeon are focused on keeping the momentum going with our great partners at Spin Master to keep giving kids and families more PAW Patrol adventures across multiple mediums.”

The first feature film for the franchise, PAW Patrol: The Movie premiered in August 2021 grossing $40 million domestically and more than $135 million worldwide, making it the sixth highest grossing animated family film of the year to date.

Tapping into a star-studded cast including Marsai Martin, Kim Kardashian West, Dax Shepard, Yara Shahidi, Jimmy Kimmel and Tyler Perry, as well as existing voice cast members from the preschool series, the film entertained kids and their parents reaching families with a simultaneous release in theaters and on Paramount+.

The film landed the number one spot on the streaming service at launch with families watching it an average of three times. The film also helped PAW Patrol become the top revenue generating property for Spin Master, and helped the bottom line of its licensing partners as well. The film contributed to a 158% increase in revenue, totaling $53 million, for the company’s entertainment and licensing segment. It also raised ViacomCBS’s theatrical revenue for the quarter to US$67 million, 10 times the $6 million from last year,  and also helped Paramount+ attract 4.3 million new users, according to the media company’s quarterly report.

A PAW Patrol sequel is expected to both produce significant direct revenue for Spin Master, but will also drive revenues for the toy line and for licensees.

Veteran animation director Cal Brunker (PAW Patrol: The Movie; Nut Job 2: Nutty By Nature) will return to direct the film. Jennifer Dodge, Spin Master Entertainment’s President, with Laura Clunie, Spin Master’s Senior Vice President Development and Feature Film, and Toni Stevens, Spin Master’s Senior Vice President, Entertainment Production & Operations, will produce the film. Ronnen Harary, Spin Master’s Co-Founder, Adam Beder, Spin Master’s Executive Vice President, and Peter Schlessel will executive produce.

The announcement comes as Spin Master also announced a massive boost in revenue for the past quarter. Also on Nov. 3, Spin Master filed its financial results for the quarter ending Sept. 30, showing an impressive 25% bump in revenue. Based partly on the upcoming PAW Patrol film, Spin Master also increased its financial outlook for 2021.

“It’s rewarding to see our strategic approach to toy innovation, engaging storytelling and open-ended digital play drive strong revenue growth across our three creative centres,” said Max Rangel, Spin Master’s Global President and Chief Executive Officer. “Our global supply chain team expertly managed the market disruptions to ensure steady inventory flow, which allowed us to grow our market share in the U.S. and build momentum ahead of the holiday season.

“Our first feature film, PAW Patrol: The Movie, helped recruit new fans to the franchise through increased awareness globally, which drove demand for our toys. Within digital games, Toca Life World continues to drive exceptional consumer engagement and revenue growth. With a continued focus on innovation and operational execution, we believe we are well positioned to bring magical play experiences to kids and their families.”

Gross profit was $366.0 million, representing 51.2% of total revenue, compared to US$277.9 million or 48.6%. The improvement in gross margin was primarily due to cost reductions resulting from the Company’s operational improvement and productivity initiatives, favorable changes in product mix, lower closeout sales as well as higher digital games and entertainment distribution and licensing revenue.

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