{"id":605497,"date":"2023-08-31T00:00:00","date_gmt":"2023-08-31T00:00:00","guid":{"rendered":"https:\/\/enterpriseam.com\/egypt\/2023\/08\/31\/lego-is-leading-in-a-sluggish-toy-market-could-saudis-deep-pockets-get-them-into-the-champions-league\/"},"modified":"2023-08-31T00:00:00","modified_gmt":"2023-08-31T00:00:00","slug":"lego-is-leading-in-a-sluggish-toy-market-could-saudis-deep-pockets-get-them-into-the-champions-league","status":"publish","type":"post","link":"https:\/\/enterpriseam.com\/egypt\/2023\/08\/31\/lego-is-leading-in-a-sluggish-toy-market-could-saudis-deep-pockets-get-them-into-the-champions-league\/","title":{"rendered":"Lego is leading in a sluggish toy market + Could Saudi\u2019s deep pockets get them into the Champion\u2019s League?"},"content":{"rendered":"

Not really a Barbie World: <\/strong> The toy market is slumping, with the majority of big-name companies \u2014 such as Mattel, Hasbro, Funko, and Jacks Pacific \u2014 seeing their sales and revenues figures falling in 1H 2023, the Financial Times<\/a> reports. The slowed performance comes after a pandemic-fueled boom<\/a> back in 2020, when children and adults alike were spending more time at home and e-commerce was on the rise.<\/p>\n

The one company that\u2019s doing okay: Lego. <\/strong> The plastic building-block maker saw its revenues rise 1% y-o-y in 1H 2023 \u2014 a modest increase, but significantly better than its competitors, whose revenues have all fallen at double-digit rates during the first six months of the year, according to CNBC<\/a>. Lego\u2019s performance comes after several years of outperforming its market competitors by around 10%, CEO Niels Christiansen tells CNBC. The company is also pushing through with further expansions, with plans to open 89 new stores around the world to expand its international market, with the lion\u2019s share (54 stores) opening in China, where Lego has been gaining popularity. As its footprint grows, Lego is also looking to expand more efficiently, with plans including building more factories to cut down on shipping costs, Christiansen said. <\/p>\n

\n

\n

The Saudi Pro League (SPL) recently coughed up over USD 650 mn to purchase <\/strong> players as it eyes joining Europe\u2019s Champions League<\/strong>, Bloomberg<\/a> reported. Purchasing players like Christianity Ronaldo, Karim Benzema, and Neymar are all part of a drive to \u201c[do] whatever it takes to have those players coming to Saudi Arabia,\u201d SPL COO Carlo Nohra tels the business information service.<\/p>\n

Defying geography? <\/strong>If the Kingdom does join the Champion\u2019s League, it wouldn\u2019t exactly be a first. Some non-European countries, like Kazakhstan, are members of UEFA and compete in the tournament. But that remains to be seen for KSA since Chief of Football Zvonimir Boban reportedly stated that the SPL\u2019s participation in the 2025 Champions League is merely a \"fabrication.\" <\/p>\n

It\u2019s not just about football: <\/strong>The recent Saudi splurge and attempts to attract players like Messi and rumors to pursue Mo Salah<\/a> are enshrined within a larger ambition. As the Kingdom seeks to \u201c[make] the clubs and the league an investable asset,\u201d as Nohra puts it, this is but one of many industries where Saudi Arabia's plan to diversify<\/a> from oil is on display. And it seems the hefty spending has been paying off: Since Portugal's Ronaldo came to Al Nassr from Manchester United late last year, broadcast income has surged by 650%. <\/p>\n","protected":false},"excerpt":{"rendered":"

Saudi\u2019s move to enter the Champion\u2019s League is part of their diversifying 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Edita, E-Finance, Contact Financial and Orascom Development Egypt all reported strong results despite the ongoing economic challenges. 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