{"id":2035,"date":"2020-10-27T06:11:46","date_gmt":"2020-10-27T06:11:46","guid":{"rendered":"https:\/\/newsbites.hktdc.com\/?p=2035"},"modified":"2023-03-23T11:27:09","modified_gmt":"2023-03-23T03:27:09","slug":"navigating-covid-19-an-educational-toy-maker-how-lego-is-making-hay-while-the-economic-sun-doesnt-shine","status":"publish","type":"post","link":"https:\/\/newsbites.hktdc.com\/trend\/navigating-covid-19-an-educational-toy-maker-how-lego-is-making-hay-while-the-economic-sun-doesnt-shine\/","title":{"rendered":"Navigating Covid-19: An Educational Toy Maker — How LEGO Is Making Hay While The Economic Sun Doesn\u2019t Shine"},"content":{"rendered":"\t\t
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The\u00a0LEGO Group\u00a0<\/em><\/a>began manufacturing interlocking toy bricks in 1949 and has since expanded into movies, theme parks and far more. On average, every year it is estimated to produce enough bricks to circle the earth five times. In line with this,\u00a0Brand Finance<\/em>, the London\u2011headquartered business valuation consultancy, once reported\u00a0LEGO<\/em>\u00a0had replaced\u00a0Ferrari<\/em>\u00a0as the \u201cworld\u2019s most powerful brand\u201d, adding that, on occasion, investing in certain\u00a0LEGO<\/em>\u00a0sets had proved to be more profitable than investing in gold.<\/p>\n

It\u2019s no surprise then that with such a pedigree the company has established a production, sales, marketing and supply chain network which spans the globe. It is this, coupled with a powerful and well\u2011established customer recognition as an educational brand, which has allowed it to navigate the\u00a0Covid-19<\/em>\u00a0crisis in a manner which has seen its fortunes remain robust \u2013 and even grow \u2013 according to Kenny Sham, the toy giant\u2019s Director, Head of Marketing for Hong Kong, Macao and Taiwan.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t

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Clever Marketing Strategies<\/h3>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t
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Whether in its global operations or more locally in Asia,\u00a0LEGO<\/em>\u00a0has shown a canny mixture of playing to its core strengths and clever marketing strategies to weather the\u00a0Covid-19<\/em>\u00a0storm. For example, a\u00a0Legoland Discovery Center<\/em>\u00a0in the US state of Texas recently showed that the company was taking the pandemic seriously by arranging its collection of\u00a0LEGO<\/em>\u00a0minifigures so that they were at least six inches apart from each other, reflecting official guidelines on social distancing.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t

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\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\"lego_HKTDC\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t
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Marketing head Sham says the level of buying, either through e\u2011commerce channels or in\u00a0LEGO\u2019s<\/em>\u00a0five certified outlets in Hong Kong, has varied depending on the level of\u00a0Covid-19<\/em>\u00a0restrictions imposed by the government. He said: \u201cThe rate and level at which people are buying via e\u2011commerce and physically in stores shifts depending on the level of lockdown in place. For example, online sales once dominated when the pandemic first hit the city in February, while revenge shopping was seen at our physical shops in May when there were no new confirmed cases for 23 days.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t

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Go online and offline<\/h3>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t
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\u201cMore recently, e\u2011commerce has spiked again as fresh waves of infection set in. However, traditionally our customers enjoy coming into the stores and physically touching the products, so that is something we don\u2019t think is replaceable, while obviously upping our presence in the e\u2011commerce sphere.\u201d<\/p>\n

As a creative and forward\u2011looking entrepreneur,\u00a0LEGO<\/em> started to recalibrate its distribution and product development plans some two years ago to pay more attention to online sales and STEAM education. As a result of these timely moves, the giant saw its online sales grow from no more than 1% of yearly turnover to now more than 10%.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t

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Its\u00a0Hidden Side<\/em>\u00a0collection, which enables kids to build a multi\u2011layered model and use a free interactive augmented reality (AR) app to hunt and trap ghosts, has proven to be a great success as a creative building toy, tech toy and AR game all rolled into one.<\/p>\n

\u00a0<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t

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Also noteworthy was the brand\u2019s 1 August release of the video\u2011game\u2011in\u2011real\u2011life\u00a0Super Mario\u00a0<\/em>play sets \u2013 a Starter Course and two Expansion Sets \u2013 amid the onset of the third wave of coronavirus crisis. With a built\u2011in motion sensor, LCD screens and speaker, the interactive\u00a0LEGO Mario<\/em>\u00a0figure knows where he is and what position he finds himself in. This, together with a\u00a0Bluetooth<\/em>\u00a0connection to the\u00a0LEGO Super Mario<\/em>\u00a0app, which offers a safe forum to share ideas with friends, offers a new play experience to kids, enabling them to build and rebuild new, endless action\u2011packed adventures for \u2013 arguably \u2013 the world\u2019s most famous cartoon character, while competing with other children in a fun way.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t

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\"HKTDC Click\u00a0here<\/a> to read the full version of the article
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The LEGO Group began manufacturing interlocking toy bricks in 1949 and has since expanded into movies, theme parks and far more. On average, every year it is … <\/p>\n","protected":false},"author":11,"featured_media":4564,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[43,372,2],"tags":[32,42],"class_list":["post-2035","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-covid-19","category-toys","category-trend","tag-hktdc","tag-hktdc-sourcing"],"yoast_head":"\nNavigating Covid-19: An Educational Toy Maker - How LEGO Is Making Hay While The Economic Sun Doesn\u2019t Shine - HKTDC Newsbites<\/title>\n<meta name=\"description\" content=\"The LEGO Group began manufacturing interlocking toy bricks in 1949 and has since expanded into movies, theme parks and far more. 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