Imperial Distributors

Commentary From Our President

Selling Toys in Supermarkets Takes More than a Fancy Banner

By Mike Sleeper, President/CEO, Imperial Distributors, Inc.

Last year a major N.E. food chain moved their toy business from the Toys R Us banner to Imperial. After 26 weeks; same store toy sales are up over 40% with no increase in shelf space. It’s a stunning example of a strong local distributor outperforming a national company.

The trend is towards higher quality toys backed by lots of advertising, packaging, well known licenses and brand names like Hasbro, Mattel and Matchbox. The category has come a long way from the days when the sections in supermarkets consisted of 4–8 ft. departments with about 25 pegged items retailing from .99¢ to $2.99. Todays' toy departments can run up to 100 ft. with 400 plus SKU assortments and price points ranging from $1.99 to $39.99. This past years' big hit TMX Elmo sold out at $39.99. Retail prices matter. Aggregating volume for container imports can make a difference in being in or out of the game. Promotions are essential. Retailers who feature toys have found they can change shoppers buying habits by motivating them to think of supermarkets first as the place to buy toys. But because the toy category takes more shelf punishment from children than any other non-food department, it requires lots of attention, frequent replenishment, and constant shelf maintenance.

Selling toys in supermarkets takes more than a fancy banner. It’s a matter of performing well with consistent in-store execution.

For comments or questions, contact us by phone at 508-756-5156, or e-mail: msleeper@imperialdistributors.com

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