The new dynamic duo of cross-merchandising: toys and videos a natural twosome on selling floor - Home Products

Discount Store News, Feb 6, 1995

Videos and toys. It's a match made in heaven, a relationship with natural synergy and a real opportunity for retailers.

Today, entertainment and retailing are being merged as never before, through cross-merchandised displays and coordinated promotional efforts that provide mass merchandisers with opportunities few other strategies can duplicate. This year's Toy Fair will feature even more new video opportunities based on new toys.

"The relationship between videos and toys over the last few years is significant. It usually starts with a successful TV show, which is where the license comes from. Most of the related industries come to see TV as the power. And then video and toys are the offspring of that relationship," said Jon Peisinger, president, ABC Video.

"There is a significant relationship between videos and toys," agreed Steve Feldstein, director of public relations, Disney Home Video. "There's an initial explosion in toys for the theatrical release and then there's additional sales of merchandise when the video comes out."

Feldstein speaks from experience as Disney continues to dominate the licensed products playing field. But others are playing catch up. In fact, many of today's manufacturers are partnering with other suppliers and developing comprehensive licensing programs in a variety of merchandise categories.

Turner Home Video recently joined forces with Mattel and courted a different viewing audience for its videos--Barbie doll collectors. As part of the deal, Turner is offering a free video of its new "Hollywood Remembers Vivien Leigh: Scarlett and Beyond" with the purchase of the new Scarlett O'Hara doll from the Hollywood Legends collection.

There aren't many successful mass merchandisers doing business today that don't realize how essential it is to devote shelf space to both videos and toys. The differences lie in the approach. Some chains merchandise both categories together while others use adjacencies, endcaps, signage or specially designed kiosks to tie the departments together.

At Venture's store in Geneva, Ill., the retailer effectively cross-merchandises videos with the hottest licensed toys, juvenile products and children's apparel by using a portable video kiosk that can be rolled into each department. This flexibility increases add-on sales and creates interest at the store level.

At its Pittsburgh store, Hills' shelves are stocked with the likes of X-Men, Wild West C.O.W.-Boys of Moo Mesa, Teenage Mutant Ninja Turtles and Batman, The Animated Series, and nearby its video section helps capitalize on any rub-off between the two categories.

At Toys "R" Us, shelves read like a Saturday morning TV line-up with Mr. Bumpy, Squishington and Molly Coddle poseable figures from "Bump In The Night," action figures from X-Men and Power Rangers and plush from the upcoming series "The Adventures of Dudley the Dragon." Video titles are closely tied to many of its toy offerings.

"Kid-oriented programming works better with toys and we're very cognizant of that," said Feldstein. "Retailers should be aware that they can move additional product by grouping it appropriately and merchandising it effectively in a boutique environment."

Couple children's devotion to their favorite characters with the powerful influence of TV, and it's inevitable that many successful video and toy releases are the end result.

The best examples of this phenomenon are Barney and The Power Rangers.

Since its debut on Public Broadcasting Service (PBS) in April 1992, "Barney & Friends" has garnered a weekly audience estimated at 16 million.

"The idea for producing our plush came from Barney being in the home video market," said Debbie Ries, director of The Lyons Group. "Parents started requesting a plush because their children were sleeping with the video box and parents wanted something more functional."

Since that time, a cavalcade of merchandise has appeared on retailers' shelves with the most recent, The Barney Bag, making its official debut at this year's Toy Fair.

The Barney Bag includes arts and crafts materials for children ages three and older, plus a Materials and Creative Ideas Booklet inside featuring examples of projects children can complete.

This year's Toy Fair will see many new product lines that include a video and toy introduction.

Sony Wonder will be debuting its "Enchanted Tales" video series that also includes books, toys, candy and home furnishings.

Trimark, under its new family entertainment label Kidmark, will be debuting items like plush toys, figures and games with its release of "The Adventures of Blinky Bill," a koala bear that built a strong following in Australia, Europe and the Far East.

Tyco is releasing a talking plush, action toys and games in conjunction with the Memorial Day theatrical release of "Casper." Its other license, Looney Tunes, will be extended to include a Taz (Tazmanian Devil) backpack and toys commemorating the 50th anniversary of Pepe Le Pew, Yosemite Sam and Speedy Gonzalez.