“There was a crazy amount of people that were actually filming themselves playing in the game and then uploading it to
“When you have that many people seeing the product, playing with the product and telling their friends, there's a multiplier effect.”
The Canadian toymaker’s digital games revenue increased by more than 400 per cent to
The app, developed by
While it's free to download the app,
The stronger digital games revenue, also driven in part by its Sago Mini kids app subscription user base, was revealed as the company said its revenue grew 3.6 per cent compared with a year ago for the three months ended
The
Yet its quarterly results also showed a decline in net sales to
"This affected our ability to fulfil some late-season replenishment and e-commerce orders, especially on hot items," he told analysts.
"While this meant we did not maximize our sales, the position we took allowed us to achieve our best sell-through and cleanest retail and
Meanwhile, the company will be releasing its feature-length Paw Patrol movie in August, expanding the reach of the company's popular kids entertainment franchise and opening up a new revenue stream.
"In terms of increasing our output, you will see more films coming from
"It's really important for everybody to understand that we're actually producing the film, we didn't license the film out ... and take a royalty on it," he said. "Our team internally in
It's unclear whether there will be a theatrical release for the movie or a combination of theatrical and video on demand, Harary said.
Meanwhile, although classic toys and game were a safe choice in 2020, he said consumers will "shift to newness" post-pandemic, he said.
The company is preparing for this shift with a robust pipeline of new product development and the goal of greenlighting one to two new properties a year, Harary said.
Harary and
This report by
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