Canada Toy Market Overview, 2029

Many Canadian parents actively engage in playtime with their children. They prefer toys that facilitate parent-child interaction. They seek toys that are gender-neutral or promote inclusivity, allowing children to explore a variety of interests and play styles regardless of their gender. Furthermore, many Canadian parents value toys that provide educational benefits and promote skill development. They seek toys that stimulate creativity, problem-solving, and critical thinking and encourage learning in areas such as STEM subjects (Science, Technology, Engineering, and Mathematics). Like many other countries, licenced merchandise from popular franchises, such as movies, TV shows, and video games, holds a significant presence in the Canadian toy market. Toys featuring characters from franchises like Marvel, Disney, Star Wars, and Pokémon are often in high demand. The toy market experiences seasonal spikes in demand, particularly during holidays like Christmas and birthdays. These occasions drive increased toy sales, and retailers often stock up on new releases and popular items ahead of these peak seasons. Canadian parents are highly concerned about the safety of toys. They look for products that meet or exceed safety standards, such as those labelled with the Canadian Toy Safety Symbol or comply with Health Canada regulations. Parents pay attention to age-appropriateness, choking hazards, and potential toxins in toys. The CTA is a not-for-profit trade association whose members are manufacturers, importers, retailers, and distributors of toys, games, seasonal, and hobby products. The CTA provides a strong voice for Canada's $2.3 billion toy industry, both domestically and internationally. Through the association, CTA's members work together for the betterment of the industry. The regulations applicable to toys in Canada include labelling and packaging requirements, product testing and certification, small parts regulations, phthalate regulations, and Canadian Toy Safety Regulations.


According to the research report "Canada Toy Market Overview, 2029," published by Bonafide Research, the Canada Toy market was valued at more than USD 2.63 Billion in 2023. Canada's vast natural landscapes and outdoor and active play toys have a strong market. Products like sports equipment, bicycles, skateboards, and outdoor adventure sets are likely to continue to attract children and parents looking to encourage physical activity. The Canadian toy market consists of both international and domestic players. Major international brands, such as Hasbro, Mattel, LEGO, and Spin Master, have a significant presence in Canada. Additionally, there are several Canadian toy manufacturers and distributors that contribute to the market. Sales channels include online sales and offline sales. Amazon Canada is the biggest online retailer of toys in Canada. Walmart Canada, Toys "R" Us Canada, Indigo, Mastermind Toys, and Best Buy Canada are some of the online retailers in Canada. Departmental stores and local stores in Canada are the biggest sources of offline sales of toys. Parents pay attention to age-appropriateness, choking hazards, and potential toxins in toys. The cost of producing toys, including raw materials, manufacturing, and packaging, can be a significant restraint. Fluctuations in material costs, labour expenses, and supply chain disruptions can impact the profitability of toy companies. Furthermore, the toy industry in Canada is highly competitive, with both domestic and international players vying for market share. Established toy companies as well as new startups compete for consumer attention, making it challenging for smaller companies to gain market traction. Consumer preferences and trends can change rapidly, making it challenging for toy manufacturers to stay ahead. Keeping up with shifting consumer demands and preferences requires constant innovation and adaptability.

The Canadian toy market is diverse, with several key segments that cater to different age groups and interests. Among these, the Infant/Toddler/Preschool category is particularly significant, accounting for over 30% of the market share. This segment emphasizes developmental benefits, with parents seeking toys that promote early learning through play. Toys in this category often focus on sensory experiences, motor skills, and cognitive development, supporting children’s growth from infancy through preschool years. Popular items include soft toys, stacking blocks, and interactive learning devices that engage children while fostering parent-child interaction. Games and Puzzles represent another vital segment experiencing notable growth. This category is projected to expand at a CAGR of 7.5% from 2024 to 2030, driven by increasing consumer interest in educational and recreational activities. Puzzles are particularly favored for their ability to enhance problem-solving skills and cognitive development. The Canadian market shows a preference for both traditional puzzles and innovative digital formats, appealing to various age groups including adults who enjoy complex challenges. Action Figures & Accessories also hold a significant place in the toy landscape, particularly among children aged 6 and up. These products often tie into popular media franchises such as Marvel and Star Wars, which not only enhance their appeal but also drive sales through licensed merchandise. The interactive play associated with action figures promotes imaginative play and storytelling among children. The Arts & Crafts segment has gained traction as parents increasingly value creative expression in their children's playtime. This category includes a wide range of products from coloring books to DIY craft kits that encourage creativity and fine motor skills. The growth in this segment reflects a broader trend towards educational toys that provide hands-on learning experiences.

The Canadian toy market is segmented into three distinct age groups: 0-8 years, 9-15 years, and 15 years and above. The 0-8 year’s age group is the largest segment, accounting for over 30% of the market share. This category includes infants, toddlers, and pre-schoolers, and is dominated by toys that promote early learning and development. Parents in this age group seek out toys that stimulate sensory experiences, motor skills, and cognitive development, such as soft toys, stacking blocks, and interactive learning devices. Dolls and action figures are also popular among younger children, with licensed merchandise from popular franchises like Disney and Marvel driving sales. The 9-15 years age group is the fastest-growing segment, projected to dominate the market in the coming years. Children in this age group are increasingly interested in educational toys that promote STEM learning, such as coding kits and engineering sets. Action figures and accessories, particularly those tied to popular media franchises, remain popular among boys in this age group. Girls in this age group often gravitate towards arts and crafts kits that allow for creative expression and skill development. The 15 years and above age group is the smallest segment, but still represents a significant portion of the market. Older children and teenagers often enjoy more complex games and puzzles that challenge their problem-solving skills and critical thinking. They may also be interested in youth electronics, such as virtual reality headsets and drones. Outdoor and sports toys, such as bicycles and skateboards, are popular among all age groups, but may be particularly appealing to older children and teenagers who are looking for more physically challenging activities.

Online retailing has become increasingly dominant in the Canadian toy market, driven by convenience and a wide selection of products. Amazon Canada stands out as the largest online retailer, offering an extensive range of toys that cater to various age groups and interests. Other significant players in the online space include Walmart Canada, Toys "R" Us Canada, Indigo, Mastermind Toys, and Best Buy Canada. These platforms not only provide easy access to popular toys but also often feature competitive pricing and customer reviews, which influence purchasing decisions. The growth of e-commerce has been further accelerated by the pandemic, as more consumers turned to online shopping for safety and convenience. Despite the rise of online shopping, offline sales remain a vital component of the Canadian toy market. Department stores and local toy shops are significant sources of offline sales. Notable retailers include Hudson's Bay, Canadian Tire, Sears Canada, and Showcase. These stores offer a tactile shopping experience where customers can physically inspect products before purchase, which is particularly important for parents seeking safe and age-appropriate toys for their children. Seasonal spikes in demand—especially during holidays like Christmas—lead retailers to stock up on popular items and new releases, ensuring that consumers have access to the latest trends.



Considered in this report
• Geography: Canada
• Historic year: 2018
• Base year: 2023
• Estimated year: 2024
• Forecast year: 2029

Aspects covered in this report
• Canada toy market with its value and forecast along with its segments
• Various divers and challenges
• Ongoing trends and developments
• Five force models
• Top profiled companies
• Strategic recommendation

By Product
• Action Figures & ACC
•Arts & Crafts
•Building Sets
•Dolls
•Games/Puzzles
•Infant/Toddler/Preschool
•Youth Electronics
•Outdoor & Sports Toys
•Plush
•Vehicles
•Explorative & Other Toys

By Age Group
•0-8 years
•9-15 years
•15 years and above

By Distribution Channel
•Online
•Offline

The approach of the report:
This report consists of a combined approach of primary as well as secondary research. Initially,
Secondary research was used to get an understanding of the market and listing out the companies kit. The secondary research consists of third party sources such as press Releases, annual report of companies, analysing the government generated reports and databases. After gathering, the data from secondary sources primary research was conducted by making telephonic interviews with the leading players about how the market is functioning and then conducted trade calls with dealers and distributors of the market. Post this we have started doing primary calls to consumers by equally segmenting consumers in regional aspects, tier aspects, age group, and gender. Once we have primary data with us we have started, verifying the details obtained from secondary sources.

Intended audience
This report can be useful to Industry consultants, manufacturers, suppliers, associations & organizations related to pet care products industry, government bodies, and other stakeholders to align their market-centric strategies. In addition to marketing & presentations, it will also increase competitive knowledge about the industry.