Mattel 2013 Annual Report Download - page 4

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MATTEL, INC. 2013 Annual Report
The new Ever After High® fashion doll franchise, which
will continue to roll out globally in 2014, got off to a good
start in 2013 with strong early engagement metrics
showing girls spending an average of 20 minutes with
our content each time they visit the website.8
For American Girl, sales across all channels grew in
2013, driven by great products and an effective omni-
channel marketing and sales strategy.9 American Girl
bucked retail trends, expanding its brick-and-mortar
footprint while still achieving incredibly high online
sales numbers—the highest in the brand’s history.
New store economics are strong, nearly doubling the
revenue in a given market and bringing in between
50-60% new customers to the brand.10
We continued to innovate within our core brands with
products like the Hot Wheels Car Maker, which pays
homage to a classic toy with a modern twist, giving kids
the chance to customize their own Hot Wheels car, and
with the new and improved Barbie Dream House®, which
was the No. 1 Barbie product during the holidays.11
Our international business continued to grow, particularly
in emerging markets, with sales nearly tripling in Russia
and nearly doubling in China. We are succeeding in
these emerging markets through our approach to fi rst
gather insights into what connects best with moms in
each location and then develop localized campaigns to
engage and drive consumers to purchase.
Executing against our growth strategies goes hand-
in-hand with our focus on how we are addressing
the dynamic nature of our industry. Last year was
clearly a transformative year for the toy industry—
and for retail as a whole—as shifting consumer
behavior brought about an acceleration of change
in the retail landscape.
The consumer path to purchase continues to evolve
in 2014 with many more touch points today than there
have been in the past. Kids and parents are consuming
content in different and diverse ways, requiring a far
more nuanced approach in order to convert consumer
engagement to sales. Yet we also know from research
that traditional toy play time has so far remained
consistent despite the evolution of digital play. What
we learned from 2013 is that we need to deepen our
connectivity at each touch point along the path and
be more focused on consumer engagement and
conversion across all of our platforms.
2
top 4 doll
franchises
in the world
8. Mattel internal analysis
9. Mattel internal analysis
10. Mattel internal analysis
11. Mattel internal analysis