Industry Analysis & Industry Trends
Over the past five years, the UK Toy Retailers industry has been influenced by increasing competition, fluctuations in disposable income, consumer confidence and trends in the proportion of the UK population aged 0 to 10. Industry revenue is expected to decline at a compound annual rate of 2.8% to £1.48 billion over the five years through 2014-15, following four years of falling revenue. However, an increase of 1.5% is forecast in the current year as economic conditions strengthen.
The industry is subject to competition from a range of external companies, including department stores, supermarkets, pound shops and online retailers. UK consumers have rapidly embraced the convenience and lower prices that internet stores have to offer... purchase to read more
Industry Report - Industry Investment Chapter
Despite its use of computerised scanning equipment and electronic cash registers, toy retailing is regarded as a labour-intensive industry, so it has a low capital-to-labour ratio. IBISWorld estimates that, UK toy retailers will operate with a capital-to-labour ratio of 0.1:1 during 2014-15. This means that for every 10p spent on capital, £1.00 is spent on labour. Capital intensity has fallen slightly since the previous five-year period, because wages have increased slightly as a proportion of revenue.
The industry requires store personnel to undertake a number of tasks, which include assisting consumers with their purchase decisions, processing transactions, stock control and creating and maintaining store displays... purchase to read more