Cyber battlefield new venue for perennial 4Q toy wars

Discount Store News, Oct 4, 1999 by Cecile B. Corral

Retailers' sites give glimpse of top toy prospects for holidays

This holiday is sure to be a showdown for toy retailers, especially those waging market share wars on the Internet.

One of the best battle strategies to attract customers and keep the loyal ones happy is to give them what they want: the hottest toys.

The Consumer Magazine Toy Wishes: The Ultimate Toy Buying Guide hits newsstands October 5 with its list of "Holiday Must-Haves," the dozen hottest toys expected to be "in every kid's wish list this year." They include, in alphabetical order:

* Amazing Ally, by Playmates, a battery-operated talking doll with a broad vocabulary ($69.99);

* Furby Babies, by Tiger Electronics ($29.99);

* Intel Next Word Play QX3 computer microscope, by Mattel ($99.99);

* Star Wars' Interactive Yoda, by Tiger Electronics (not priced yet);

* Pokemon Fossil Cards expansion set, by Wizards of the Coast ($3.29 per pack);

* Pokemon Pekachu Plush, by Hasbro ($9.99);

* Sesame Street's Rock n' Roll Elmo, by Fisher Price ($29.99);

* Star Wars' 12-inch Talking Darth Maul, by Hasbro ($29.99);

* Disney's Toy Story 2 Smart Flying Buzz, by Mattel ($39.99);

* Working Woman Barbie, by Mattel ($29.99);

* WCW Tuff Talkin' Wrestlers interactive figures, by Toy Biz ($39.99);

* WWF Net Wired Stone Cold Steve Austin, by JAKKS Pacific, a 12-inch figure that allows its user to download snippets of real life Austin quotes from a WWF Web site ($49.99).

"When the Pokemon movie comes out at the end of October, it will only add more steam to the Pokemon craze. In fact, the Pekachu character plush coming out just before the movie releases should fly off shelves," said Jim Silver Toy Wishes co-publisher.

Already poised as the hands-down headliner on the interfaces of most toy retailer Web sites is Nintendo's Pokemon.

"Toys "R" Us stores and the toysrus.com Web subsidiary are already feeling the Pokemon heat," said Jim Feldt, vp of United States merchandising for TRU.

"Booster packs, dex, plush, action figures, collectibles, all areas--Pokemon is a runaway by far. And it will definitely be a front-runner for us this holiday," Feldt said.

And at kbkids.com, Pokemon fever is only beginning, said Jim Davis, merchandise manager.

"Pokemon right now is just the hottest thing in the world," Davis said. "We expect it to be at the very top of our list this holiday. The cards alone are doing extremely well at our site."

Besides the Pokemon cards and plush toys, Hasbro, the Master Toy Licensee for the Pokemon characters, is rolling out a broad series of other Pokemon toys and kid accessories.

Hasbro's consumer electronics subsidiary, Tiger Electronics, is also presenting this fall some interactive Pokemon pieces. They include: Pokedex electronic organizer, which allows kids to keep track of Pokeman statistics; Pokemon yo-yos that play the Pokemon theme song and have flashing LED lights; Pokemon Challenge, a dueling spinning tops game; Pokemon Thunder Shock Challenge, an electronic tabletop pinball game; and an array of electronic key chains with flashing lights and featuring all Pokemon characters, one key chain of which is plush and talks when squeezed.

"Pokemon is definitely the hot toys of this season," said Nicole Dowswel, Kmart spokeswoman.

Among video games, the newly introduced Sega Dreamcast, a high-tech video game with three-dimensional graphics, is occupying headline real estate on all toy e-tailer sites this fall, even though most retailers aren't considering it among the top three sellers for children this holiday.

Star Wars has fallen off from its original sales projection" at TRU's bricks-and-mortar and on-line stores, Feldt said. But he still expects it to be a "sizable" license for Christmas time.

"It will still be one of the biggest licenses we have," Feldt said.

Silver, likewise, expects mostly Darth Maul-related pieces to do well, particularly among collectors.

Saban/Fox Kids' Power Rangers are not being emphasized as holiday highlights at the store level, but they are still expected to generate some interest and sales.

To promote the action figures--especially the new Magna Defender figure, Saban is issuing to consumers through retailers and consumer products coupons for up $25 in savings on Power Ranger merchandise, including toys, T-shirts, videos, backpacks, party favors and toothbrushes, said Mark McClellan, Saban consumer products spokesman.

"Saban/Fox Kids did an elaborate consumer coupon to draw customers into stores," McClellan said.

This month, a series of Disney Toy Story 2 pieces, all by Master Toy licensee Mattel, are scheduled for release in time for the holidays. Besides the aforementioned Smart Flying Buzz, there are several other deluxe and action figures, micro sets, infant preschool and plush toys. They range in price from $4.99 to $39.99, depending on the size, texture and capabilities of each separate item.

"Next to Pokemon, we think Toy Story 2 will be our hottest license," Davis said.

After those two, Davis expects the hottest toys selling will be a mixed back of Fisher Price, Furby, Barbie, Teletubbies and finally Star Wars, which Davis said "is no longer a barn burner, but will be up there this holiday."