USA TODAY US Edition

‘Toys to life’ market rides new wave

Lego has plans to expand its big stable of character collection video games

- Brett Molina @brettmolin­a23

A new wave of collectibl­es is on the way to help bolster the “toys to life” video games market, a once red-hot niche of gaming that has hit some speed bumps in the past year. The video game Lego Dimen

sions will roll out a fresh set of characters starting Sept. 27, including The new Ghostbuste­rs,

Harry Potter and The A-Team, publisher Warner Bros. Interactiv­e Entertainm­ent announced Thursday.

The new characters — joining the current roster which includes Batman and Scooby-Doo — will hit stores as separate game packs tied to the main Di

mensions game available since last September for PlayStatio­n, Xbox and other platforms.

The series of games aimed at kids combine physical figurines players can purchase and transport into the game by placing them on a special portal connected to their home console.

Debuting in 2011 with the launch of Activision franchise

Skylanders, multiple competitor­s have surfaced in the five years since, including Dimensions, Dis

ney Infinity and Nintendo’s amiibo. According to NPD Group, overall U.S. sales in the interactiv­e gaming toys sector in 2015 reached $720.5 million, up 7% from the previous year.

Concerns over the market’s viability have started to surface. In a surprise move last month, Disney revealed it was shutting down its “toys-to-life” brand Disney In

finity, featuring characters from Disney, Marvel and Star Wars.

During Disney’s second quarter earnings call last month, CEO Bob Iger cited the long-term prospects of the toys-to-life business for the company’s decision.

“We did not have enough confidence in the business in terms of it being stable enough to stay in it from a self-publishing perspectiv­e,” he said.

Between Infinity’s departure and lower sales for Skylanders over the last two years, Piper Jaffray analyst Michael Olsen foresees a slowdown in the market. “It may have hit its peak.”

To date, Warner Bros. has sold more than 165 million Lego games, between Dimensions and a series of standalone titles featuring franchises such as Lord of the

Rings and Star Wars. Although the company did not disclose sales figures specifical­ly for Di

mensions, WBIE says it remains a big part of their business.

“We continue to view it as a very important and sizable market and one that we and our partner Lego should be participat­ing in,” WBIE President David Haddad said during an interview with USA TODAY. Other franchises featured in the expansion include Fantastic Beasts and Where To Find Them, Adventure Time, Goonies and Gremlins. Each will launch as its own separate expansion pack. The expansion also introduces Battle Arenas, a competitiv­e game mode, where up to four players brawl in a series of matches like Capture The Flag. “We want more people to be able to play together,” says Jonathan Smith, head of production at Dimensions developer TT Games. “When you get toys together, we keep thinking of more fun ways to (play) with them the way you would in your bedroom.” NPD analyst Liam Callahan says while “there’s health in the market,” the lack of a new Disney Infinity experience this holiday will drive toys-to-life sales down this year. “It’s a big hole to fill.” Expect games such as Skylanders and Dimensions to pick up some of that share, Wedbush analyst Michael Pachter says. “Those two benefit more this holiday than the first 10 months of the year,” he says, noting the last release of Infinity toys arrives this month. Earlier this month, Activision unveiled Skylanders Imaginator­s, a new version of the game where players can create their own Skylander characters.

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WARNER BROS. INTERACTIV­E ENTERTAINM­ENT Lego Dimensions

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