Business Case Studies, Consumer Behaviour Case Study, Fisher Price: Toys Goes Hi-Tech

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Consumer Behaviour Case Study

Case Title:

Fisher Price: Toys Goes Hi-Tech

Publication Year : 2006

Authors: Himani Yadav, Seema Agrawal & Joel Sarosh Thadamalla

Industry: Toys


Case Code: CSB0010A

Teaching Note: Not Available

Structured Assignment: Not Available

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Fisher-Price was one of the subsidiaries of Mattel, the world’s largest toy making company. Fisher-Price had introduced Play Labs where the research team observed the manner in which kids played with the toys, such child research centre was the first of its kind in the toy industry. The company decided to introduce KidTronics range which it could have launched five years ago but preferred to wait for the cost to come down to make it durable. Fisher-Price had historic record of producing durable toys which provided it with a competitive edge in the industry. Fisher Price dealt in toys for three segments: infant (0-12 months), toddler (12-36 months), and preschool kids (3-5 years). The company faced challenge due to high cost, huge investments required in product design and development, and other external factors like knock offs, competition etc.

It was expected that the market for the electronic toys for kids will be growing at the rate of 15% per annum. The sales were expected to reach US $146 billion by 2015. Fisher-Price’s KidTronics products range was in accordance with the trend in the toy market. Fisher-Price differentiated itself by promoting an entire product range instead of pushing single item in the toy market. Fisher-Price promoted high tech toys as an aid for the educational tools for a child’s development. Would Fisher-Price succeed in its foray over the launch of KidTronics? Would it be able to sustain its reputation and appeal parents with its new range of electronic toys?

Pedagogical Objectives:

  • To analyse the potential of electronic toys for kids
  • To discuss the marketing strategies followed by Fisher Price
  • To discuss on the acceptability of KidTronics range by Fisher Price among kids and more importantly parents.

Keywords : Mattel, Fisher-Price, competition, Preschool kids, KGOY, strategy, kids, Research, new product development, Play labs, trend, segmentation, targeting, positioning, toy advertising, toys, Promotion, Advertising, Marketing, KidsTronics, Electronic toys, Health hazards due to toys, product recalls, me too products, Marketing Strategies Case Study, Competitors


  • The US Toyland
  • About Fisher-Price
  • Play Labs for Research
  • The Toy journey
  • KidTronics Toys Range
  • Marketing and Promotion

  • Operational Issues
  • Challenges
  • Product Recalls and Competitors
  • Knock offs
  • The Road Ahead

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