LEGO Doubles Its Revenue Growth Over the Past Decade by Targeting Adult Fans

In a distinctive strategic shift, LEGO, the constructive toymaker popular for its vibrant bricks and imaginative designs, expanded its appeal beyond children and successfully targeted adults, doubling its revenue over the past decade.

LEGO shifted its strategic focus toward adults due to its deep understanding of changing consumer trends and untapped market opportunities.

The Danish toy manufacturing company decided to capitalize on its adult fan base because they were willing to invest hundreds of dollars in intricate and themed sets. Some are spending $850 or even more for a Star Wars Millennium Falcon and $700 or more for a Liebherr Crawler Crane, which shows their dedication to these intricate sets.

38-year-old collector Jonny Edmondson said, “We don’t buy every new set that comes out. We’ve got to eat.”

LEGO’s focus on adult sets has brought in impressive results, with revenue doubling over the past decade to nearly $10 billion in 2023.

LEGO’s chief of product and marketing, Julia Goldin, said, “We decided to focus on adults because we realized that we had a much bigger opportunity than we were tapping into.”

Some of the appeal for adults is showcasing the finished product. Another adult LEGO builder, Sian Twynham, said, “Nowadays it’s not so geeky. You can have a set on your coffee table, and no one would bat an eyelid.”

Whether the big spend on these products is driven by nostalgia or savvy marketing strategies, toy companies are reaping great rewards by rechannelling and rebranding children’s products for adult audiences.

As an example, according to Mattel company executives, the success of last year’s Barbie summer, marked by director Greta Gerwig’s blockbuster film “Barbie” grossing over $1 billion across the globe and becoming Warner Bros.’ highest-grossing movie, resulted in a heavy increase in Barbie sales.

Another iconic toy company, Hasbro, has joined the trend by adopting a similar strategy, reimagining timeless games such as Scrabble and Trivial Pursuit to appeal to both older and younger players, according to the Associated Press.