Despite a paucity of fake LEGO-style systems flooding the market in the far east, the real thing has enjoyed a block-buster year, powered by strong sales in China.
Toyworld Mag take a look at the good news.
The company ended 2018 in a far stronger position than the previous year, and gained market share after sales dropped for the first time in a decade in 2017. Lego said that global sales rose by 3% last year, while total revenue rose 4% to 36.4b Danish Krone ($5.5b). Operating profit grew by 4% to 10.8b Krone. The Star Wars Millennium Falcon set was last year’s best seller, while four Harry Potter-themed Lego sets were among the top 10.
Lego’s sales increased in all key markets. China enjoyed strong double-digit growth, while the United States and Western Europe returned low-single digit growth. China still accounts for less than 10% of sales and is a territory which Lego considers to have high growth potential. While online sales continued to grow at the expense of physical stores, Niels maintains that Lego stores remain key in order to expand the brand’s presence in new markets and give children “that magic experience”. To this end, the company plans to more than double the number of stores in China this year.