Toy stores feel the pinch, with shoppers looking for deals

It's been a tough year for toys, as high inflation and more cautious spenders means many retailers are feeling the pinch.

"The beginning of December was a little bit slow but it's definitely picked up in the last few days and things are flying off the shelves," said Cheryl O'Hagan, sales associate at Tag Along Toys.

A nice boost for business in an otherwise hard year for the toy market.

According to the NPD Group, the industry grew 30 per cent between 2019 and 2022 when the pandemic kept people home, but this year is a different story.

"People are just watching their pocketbooks a little more this year and I think maybe the toy category has been part of it," said retail analyst Bruce Winder.

Last month, Toronto based toy maker Spin Master reported a downward trend in orders and sales, one it expects will continue until the end of the year.

Mastermind Toys is also set to come under new ownership early next year after filing for creditor protection.

"The main headline in retail is that it's a bit of a soft season," said Winder. "Consumers are very picky; they are buying more things on sale which hurt the profit margins of retailers."

That's something O'Hagan says she's seen at Tag Along Toys, coupled with more cautious spending.

"More people leave with nothing in their hands now than I used to see," she said. "I find that everybody came and they'd leave with something and now there are more people just looking and a bit hesitant to commit to big things."

But with the countdown to Christmas on, for some, there is nothing better than shopping local.

"I love this toy store, particularly because it's local and we buy a log of our gifts here and I try to support it," said shopper Sherry Leroux.