Global Connected Toys Market Growth, Share, Size, Trends and Forecast (2025 - 2031)

The Global Connected Toys Market has been segmented by Interacting Device, Age Group, Technology, and Geography, reflecting the diverse nature of connected toys that blend play with advanced technology. Connected toys integrate Internet of Things (IoT) capabilities, allowing for interaction with mobile devices, voice assistants, and even other toys. This segmentation provides valuable insights into the growing market and highlights how different factors influence consumer preferences and trends in the connected toy industry.

By Interacting Device, connected toys can be divided into categories based on the devices with which they interact. The most common interacting devices include smartphones, tablets, and voice assistants such as Amazon Alexa or Google Assistant. These devices enable toys to connect to apps, providing an interactive experience through features like voice commands, augmented reality (AR) games, and remote control. Some toys can also interact with other toys in a connected ecosystem, creating more dynamic and engaging play environments. These interactions make the toys not only entertaining but also educational, contributing to the growth of the connected toy market among tech-savvy families and children.

The Age Group segment of the connected toys market includes toys designed for specific age ranges, such as toddlers, children, and teens. For toddlers, connected toys often focus on learning, sensory play, and early development, offering simple interactions such as sound, light, or movement. For older children, connected toys may involve more complex features, such as educational content, gaming elements, or interactive storytelling. Teen-focused connected toys might include tech gadgets, robotics, or toys that allow for creativity and customization. As children grow older, they seek more advanced features, such as coding capabilities or integration with social media and gaming platforms, driving the demand for toys that cater to their evolving interests.

In terms of Technology, connected toys leverage a wide array of cutting-edge innovations, including Bluetooth, Wi-Fi, Artificial Intelligence (AI), Augmented Reality (AR), and Voice Recognition. Bluetooth and Wi-Fi are primarily used for communication between toys and other devices, such as mobile apps or voice assistants. AI and machine learning help toys adapt to a child’s behavior, providing personalized learning experiences and enhancing play. AR is increasingly being used to merge physical play with digital content, creating immersive environments where children can interact with both real-world and virtual objects. These technological advancements contribute to making connected toys not just playthings but interactive, educational tools that enhance cognitive and social development.

Global Connected Toys Segment Analysis

In this report, the Global Connected Toys Market has been segmented by Interacting Device, Age Group, Technology and Geography.

Global Connected Toys Market, Segmentation by Interacting Device

The Global Connected Toys Market has been segmented by Interacting Device into Smartphone-Connected Toys, APP-Connected Drones, Console-Connected Toys and Tablet-Connected Toys.

Smartphone-connected toys represent a significant segment within the global connected toys market, leveraging the widespread adoption of smartphones. These toys often use Bluetooth or Wi-Fi connectivity to interact with mobile apps, enhancing play experiences through augmented reality (AR), remote control capabilities, and personalized content delivery. By integrating with smartphones, these toys offer versatile gameplay and educational opportunities, appealing to tech-savvy parents seeking interactive and engaging experiences for their children.

APP-connected drones are another innovative category driving the market forward. These drones connect directly to mobile apps, enabling users to control flight paths, capture photos and videos, and participate in augmented reality games. With advancements in drone technology and increasing consumer interest in aerial photography and gaming, APP-connected drones cater to both recreational and educational purposes, fostering creativity and skill development in users of all ages.

Console-connected toys tap into the established gaming ecosystem of consoles such as Xbox and PlayStation. These toys typically synchronize with gaming consoles via dedicated apps or controllers, offering immersive gameplay experiences that blend physical and digital elements. They often feature interactive figurines or accessories that unlock new levels, characters, or abilities within popular console games, enhancing engagement and extending the gaming experience beyond the screen.

Tablet-connected toys leverage the expansive capabilities of tablets to deliver interactive learning and entertainment. These toys use apps designed for tablets to provide educational content, interactive storytelling, and games that adapt to children's developmental stages. By integrating seamlessly with tablets, these toys facilitate learning through play, encouraging exploration, creativity, and skill development while catering to the evolving digital habits of young users.

Global Connected Toys Market, Segmentation by Age Group

The Global Connected Toys Market has been segmented by Age Group into 25 Years, 68 Years, 912 Years and Teenagers.

The global market for connected toys varies significantly across different age groups, each presenting unique opportunities and challenges. For children aged 2–5 years, connected toys often focus on simple interactive features that promote early learning and sensory development. These toys typically emphasize basic shapes, colors, and sounds, catering to young children's curiosity and motor skills development. Parental controls and robust safety features are crucial in this segment to ensure a secure and age-appropriate digital experience.

In the 6–8 years age group, connected toys become more complex, integrating educational content with entertainment. These toys may involve interactive storytelling, basic coding exercises, and creative play elements that encourage cognitive development and problem-solving skills. Manufacturers often design these toys to align with elementary school curricula, aiming to enhance learning outcomes while maintaining a fun and engaging user experience.

For children aged 9–12 years, connected toys evolve to incorporate more advanced technological features such as augmented reality (AR) and customizable programming options. These toys appeal to tweens by blending educational content with gaming elements, fostering creativity, and introducing them to basic programming concepts. Market demand in this segment often emphasizes toys that can adapt to children's growing digital literacy and desire for more immersive and challenging experiences.

Teenagers represent a niche but growing segment within the connected toys market, characterized by sophisticated preferences for gaming, social interaction, and digital creativity. Connected toys for teenagers typically integrate advanced technologies like virtual reality (VR) and multiplayer capabilities, offering immersive gaming experiences and opportunities for social interaction. Manufacturers focus on creating toys that appeal to teenagers' desire for autonomy and social connectivity, often incorporating features that allow for personalization and online community engagement.

Global Connected Toys Market, Segmentation by Technology

The Global Connected Toys Market has been segmented by Technology into Wi-Fi, Bluetooth, and RFID/NFC.

The global connected toys market is segmented by technology into Wi-Fi, Bluetooth, and RFID/NFC, each offering unique benefits that cater to different consumer preferences and use cases. Wi-Fi connected toys enable a more seamless and expansive interaction, as they can connect to home networks, allowing children to control or interact with their toys via the internet from any location. These toys often feature more advanced functionalities, such as remote control via apps, cloud-based game updates, or access to online content, making them particularly appealing in the growing market of smart homes and interactive gaming. Wi-Fi toys are often marketed as premium products, offering a higher level of engagement and content.

Bluetooth connected toys are designed for more localized connectivity, allowing users to control the toy within a limited range, typically via mobile devices. Bluetooth toys are known for their lower energy consumption, ease of use, and relatively lower cost compared to Wi-Fi-enabled devices. This makes them particularly popular for simpler connected toys, such as interactive dolls, cars, or educational toys, where the primary function is limited to basic controls or features. Bluetooth is also favored for toys that need to connect to smartphones, tablets, or wearable devices, offering flexibility and portability for parents and children alike.

RFID/NFC connected toys use radio frequency identification (RFID) or near field communication (NFC) technologies to enable interaction with physical objects, games, or digital content. These toys can recognize tags or cards embedded in physical toys or collectibles, unlocking new content or gameplay features when scanned. RFID/NFC technology is commonly found in toys that combine physical and digital play, such as collectible toys that integrate with smartphone apps or video games. This technology provides an additional layer of interactivity, making toys more engaging for children while encouraging them to explore and learn through physical play and digital experiences.

Geographically, the global connected toys market is witnessing significant growth in North America, Europe, and Asia-Pacific. North America and Europe are at the forefront of innovation, with high demand for smart toys that offer educational value, interactivity, and advanced technological integration. In these regions, the focus is on incorporating Wi-Fi and Bluetooth technologies into toys to offer enhanced features and long-term engagement. Asia-Pacific, led by countries like China and Japan, is emerging as a key market for connected toys, driven by rising disposable income, increasing digitalization among children, and the growing trend of interactive and STEM-based learning. As technology advances, all three segments—Wi-Fi, Bluetooth, and RFID/NFC—are expected to see continued adoption across various regions, fueling further market expansion.

Global Connected Toys Market, Segmentation by Geography

In this report, the Global Connected Toys Market has been segmented by Geography into five regions; North America, Europe, Asia Pacific, Middle East and Africa and Latin America.

Global Connected Toys Market Share (%), by Geographical Region, 2024

The global connected toys market is expected to experience varied growth trajectories across different regions from 2020 to 2030. North America, being an early adopter of advanced technologies, is anticipated to lead in market penetration and innovation. Factors such as high disposable incomes, strong technological infrastructure, and a robust presence of tech giants drive the demand for connected toys. Similarly, Europe follows closely with a strong emphasis on educational toys and stringent safety regulations, influencing both consumer preferences and market dynamics. The region benefits from a mature market landscape and increasing investments in digital learning solutions, fostering substantial market growth.

In contrast, the Asia Pacific region presents a promising landscape driven by rapid urbanization, increasing internet penetration, and a growing middle-class population. Countries like China and Japan are at the forefront due to their technological prowess and significant consumer base. Moreover, the Middle East and Africa region is poised for notable growth, propelled by improving economic conditions and rising investments in digital infrastructure. Despite facing challenges such as variable internet access and socio-economic disparities, the region shows increasing interest in educational and interactive toys, driven by educational reforms and a burgeoning youth population.

Latin America, while facing economic fluctuations, demonstrates growing interest in connected toys, supported by expanding digital connectivity and a shift towards digital entertainment and education. The region benefits from increasing smartphone penetration and rising consumer awareness of IoT devices. Over the forecast period, these regional dynamics are expected to shape the global connected toys market, influencing product innovation, market strategies, and consumer adoption patterns across diverse geographical landscapes.

This report provides an in depth analysis of various factors that impact the dynamics of Global Connected Toys Market. These factors include; Market Drivers, Restraints and Opportunities.

Drivers, Restraints and Opportunity

Drivers

• Growing Awareness of STEM Education
• Rising Disposable Income

• Personalization Trends-Personalization trends are increasingly shaping the global connected toys market, responding to consumer preferences for customized experiences. These trends involve tailoring toys to meet individualized needs, preferences, and learning styles of children. Advanced technologies such as artificial intelligence (AI) and machine learning are pivotal in enabling this customization. AI algorithms can analyze user data to personalize interactions, adjust difficulty levels in games, or modify content based on a child's progress and interests. This not only enhances engagement but also ensures that the toy remains relevant and engaging over time.

  Personalization extends beyond content to physical aspects of toys. Modular designs allow children to customize their toys' appearance or functionality, fostering a sense of ownership and creativity. For instance, customizable avatars or characters in digital toys enable children to create unique identities and storylines, enhancing emotional attachment and play value. This trend reflects a broader shift towards consumer demand for products that cater to individual tastes and preferences, enhancing overall satisfaction and value perception among parents and children alike.

  Personalization trends are driving innovation in educational connected toys. These toys are designed to adapt to a child's learning pace and style, providing tailored educational content that aligns with curriculum standards or specific learning goals. By offering personalized learning experiences, these toys can better support children's cognitive development, problem-solving skills, and academic achievements. This alignment with educational objectives positions connected toys not just as entertainment devices but as valuable tools in promoting children's holistic development and lifelong learning skills.

  Personalization in connected toys is also fostering new business models and opportunities for market growth. Companies can gather valuable insights into consumer behavior and preferences through personalized data analytics, enabling them to refine product offerings and marketing strategies effectively. This data-driven approach not only enhances product relevance and market competitiveness but also cultivates long-term customer loyalty and advocacy. As personalization capabilities continue to evolve, fueled by advancements in technology and consumer expectations, the connected toys market is poised to expand further, offering increasingly personalized and enriching experiences for children worldwide.

Restraints

• Limited Battery Life
• Regulatory Challenges

• Digital Divide-The digital divide represents a significant challenge for the global connected toys market, impacting access and adoption in various regions worldwide. This divide manifests in disparities related to access to technology and internet infrastructure. In developed countries, where internet penetration rates are high and infrastructure is robust, connected toys can leverage seamless connectivity for enhanced functionality and user experience. However, in developing and rural areas, limited access to high-speed internet and technology devices restricts the adoption of connected toys. This disparity hinders market growth as manufacturers struggle to reach these untapped consumer bases effectively.

  Economic factors contribute to the digital divide. Affordability of technology devices and internet services remains a barrier for many families in lower-income brackets. The higher costs associated with connected toys, compounded by the necessity for ongoing connectivity, exacerbate these financial challenges. As a result, consumers in economically disadvantaged regions may prioritize basic necessities over discretionary spending on advanced toys, further widening the digital divide in toy adoption rates.

  Disparities in digital literacy and technical skills impact the usability and appeal of connected toys across different demographics. Children and families lacking familiarity with digital interfaces or devices may find it challenging to fully engage with connected toys, reducing their perceived value and adoption rates in these communities. Bridging this gap requires targeted educational initiatives and community outreach to enhance digital literacy and promote the benefits of interactive learning through connected toys.

  Addressing the digital divide presents both a challenge and an opportunity for stakeholders in the connected toys market. By investing in infrastructure development, educational programs, and pricing strategies that accommodate diverse economic backgrounds, manufacturers can broaden their market reach and unlock new growth opportunities. Collaborations with governments, NGOs, and educational institutions are crucial in developing solutions that mitigate the digital divide and ensure equitable access to innovative learning tools like connected toys across global markets.

Opportunities

• Collaborations and Partnerships
• Integration with Educational Curricula

• Eco-friendly and Sustainable Toys-The rise of eco-friendly and sustainable toys within the global connected toys market reflects a growing consumer preference for environmentally responsible products. These toys are designed with materials and manufacturing processes that minimize environmental impact, such as using recycled plastics, sustainable wood, or biodegradable materials. The emphasis is on reducing carbon footprints and promoting sustainable practices throughout the product lifecycle, from sourcing raw materials to disposal.

  Manufacturers are increasingly focusing on eco-friendly certifications and labels to assure consumers of their commitment to sustainability. This trend aligns with broader societal shifts towards environmental consciousness, influencing purchasing decisions among environmentally aware parents and caregivers. Beyond material choices, sustainable toys in the connected market often incorporate energy-efficient designs, reducing power consumption and promoting longer product lifespans.

  Innovation in sustainable connected toys extends to packaging as well, with efforts to minimize packaging waste and utilize recyclable materials. These practices not only appeal to environmentally conscious consumers but also align with regulatory frameworks pushing for reduced plastic waste and increased sustainability in consumer goods. As the market for connected toys continues to expand globally, the demand for eco-friendly options is expected to grow, driven by both consumer preferences and regulatory pressures promoting sustainable development goals.

  The integration of sustainability into toy design fosters educational opportunities, teaching children about environmental stewardship and the importance of sustainable practices from a young age. This dual focus on innovation and sustainability positions eco-friendly connected toys as not only marketable products but also as contributors to broader societal goals of environmental conservation and responsible consumption.

Key players in Global Connected Toys Market include:

• Mattel
• Hasbro
• LEGO Group
• Sphero
• Sony
• Playmobil
• Bandai Namco
• KNEX
• Konami
• Wonder Workshop
• PlayFusion
• Anki
• WowWee
• DXTR Labs
• Leka

In this report, the profile of each market player provides following information:

• Company Overview and Product Portfolio
• Key Developments
• Financial Overview
• Strategies
• Company SWOT Analysis