AI in Toys – What It Means for the Toy Business

AI in Toys – What It Means to the Toy Business

By Steve Reece, Kids Brand Insight - A.I. Toy Expert

Artificial Intelligence (AI) is no longer science fiction—it's already revolutionizing playtime for kids. From robots that converse based on voice commands to toys that learn to adapt to a child's style of learning, AI is quietly transforming the toy industry.

As someone who’s worked with toy companies across the globe, I’ve seen plenty of tech trends come and go. Like many of you reading this, I've won and lost by riding those tech waves. Twenty years ago, I was at the forefront of introducing DVD technology into games. But AI is different. It’s not just another feature—it’s a fundamental shift in how toys are designed, used, and experienced.

What Is AI in Toys?

Let’s keep it simple. AI in toys typically means:

• Toys that respond to voice or touch

• Toys that learn from how kids interact with them

  
  

Why Toy Companies Ought to Care

AI presents various advantages for toy companies:

• Personalization: Personalized toys that learn about every child's interests and learning speed.

• Greater engagement: Smart toys get smarter over the years, entertaining children longer.

• Brand depth: AI-driven toys can build deeper emotional connections with brands.

  
  

Imagine a character toy that calls your kid by name and knows their favourite stuff. That's not just play—it’s storytelling via brand.

Risks and Considerations

Of course, there are risks:

• Privacy: What data do they collect? Is it secure?

• Effect on development: Are we encouraging healthy play, or are we just layering on technology for the sake of technology?

• Accessibility: Will AI toys be affordable and within reach?

  
  

Companies need to weigh innovation against responsibility. It's not about what can be done—it's about what should be done.

A Simple Framework for Smart Toy Development

To navigate companies through this territory, we suggest focusing on three areas:

1. Engagement: AI has a role to play in enhancing play, not replacing it. The best toys still allow for imagination and creativity.

   
   

2. Education: Whether it’s STEM skills or emotional learning, AI toys should offer meaningful value—not just novelty.

   
   

3. Ethics: From data handling to age-appropriate design, ethical considerations must be built in from the start.

   
   

Getting Started with AI Toys

If you’re considering AI integration, here’s a quick checklist:

• Define the purpose: What does your toy actually do?

• Choose the right tech: Voice, vision, adaptive learning—what fits your brand?

• Coordinate with experts: Experts in child development, AI engineers, data consultants, and of course, Artificial Intelligence Toy Experts like Kids Brand Insight!

• Test early: Seek feedback from real families.

• Be open: Explain how your toy works and what information it is collecting.

  
  

The Future of AI in Toys

As we look ahead, the potential for AI in toys is vast. The integration of AI can lead to innovative play experiences that are both fun and educational. Companies that embrace this technology will likely find themselves at the forefront of the industry.

Enhancing Playtime

AI can enhance playtime in ways we are just beginning to understand. Imagine toys that adapt to a child's mood or learning pace, creating a unique experience every time they play. This level of interaction can foster a deeper connection between children and their toys, making playtime even more meaningful.

Building Emotional Connections

With AI, toys can create emotional connections with children. A toy that remembers a child's name and preferences can make them feel special. This connection can lead to brand loyalty that lasts a lifetime. It’s not just about selling a toy; it’s about creating a companion for children.

Ethical Considerations

As we dive deeper into AI, we must also consider the ethical implications. How can we ensure that AI toys are safe and beneficial for children? Transparency in data collection and usage is crucial. Parents should feel confident that their children are playing with toys that prioritize their safety and privacy.

Last Thoughts

AI in toys is here to stay. It is not about replacing conventional play—it is about enhancing it responsibly and in an engaging way.

At Kids Brand Insight, as established AI Toy Experts, we’re already helping clients explore this space—from sourcing partners to shaping product strategy. If you’re looking to future-proof your brand, let’s talk...

...because in this new era of smart play, the smartest move is knowing where to start.