Hello and welcome to another TFW2005 Event Coverage. This time, we covered the 32nd Bernstein Strategic Decisions Conference. This news post is actually coming to you just few minutes after the conference. So check back again if we add something later.
Alright-y then, the conference was more like a Q&A Session rather than a speech. Even though majority of the stuff were told during the J. P. Morgan Conference a week back, Hasbro CEO Brian Goldner elaborated more on several subject matters.
Hasbro will be looking more into Mobile Gaming. Hasbro also hinted that multiple Animated Series for their brands based on Live Action Movies will also hit the television in near future. Please note that Transformers was not specifically mentioned for this. The statement was mostly “overall”. We’ll never know what will come out of it other than the fact that G. I. Joe certainly will.
Notable points include:
- Hasbro’s vision for the Hasbro Cinematic Universe
- Next Transformers Movies
- Future of Traditional Toys
- Hasbro’s Digital Strategy
You can check out all that and more… after the jump.
Hasbro introduced themselves with their past achievements and future plans. In 2016 Hasbro has created 1500 Half-Hours of TV Episodes. In 2017 the attention will focus on two movies. One for Transformers and one for My Little Pony.
Transformers is one of the 7 most valuable brands for Hasbro. Other six being My Little Pony, Play-doh, Nerf, Monopoly, Magic The Gathering and Littlest Pet Shop.
Hasbro will continue to grow brands around entertainment.
The introduction was followed by a Q&A Session. We’ll briefly highlight the Questions asked and a short summary of the Answers given.
Kids aren’t playing with toys these days as much as they did 10/15 years ago. What is Hasbro’s strategy regarding the situation?
Traditional toys aren’t traditional toys anymore. Hasbro’s iPlay Team is integrating digital games and apps with toys. Audience can travel with our brands from Analog to Digital and Digital to Analog.
Storytelling is very important to Hasbro. This strategy was developed over the last decade.
What is Hasbro’s Digital Strategy?
Planned for the next 3 or 4 years ahead. Clearly looking at Virtual Reality and Augmented Reality. Following with consumer trends. Going forward, will look into Mobile Gaming more.
How difficult was this transition?
Spent last decade building the Brand Blueprint. It is now fully formed. Started to execute the new Brand Blueprint from 2015.
Movie slate?
Unprecedented era of new entertainment. More Star Wars, more Marvel movies. Three Transformers movies will be released back-to-back on 2017, 2018 and 2019. Transformers: The Last Knight is a direct sequel on the current series. In 2018, the Transformers movie story is all about Bumblebee. It’s a Standalone movie. [Did not comment on the movie which will come out in 2019.]
Regarding Partner Brands – What is it that makes Hasbro a preferable partner?
Being a brand owner makes a good partner. Hasbro treat and take care of other brands as if their own. In order to get in the radar of Disney, Hasbro created a Billion Dollar Girl’s Business. So, Disney asked from Hasbro to take a crack at their girls’ segment.
What are the Challenger Brands that will jump to the Franchise Brands status?
See the potentiality. For example, Nerf and Play-doh has jumped from Challenger Brands to Franchise Brands. In fact Nerf is now the biggest brand at Hasbro. Hasbro look for Brand Enterprise Value. Art and Science involved in that potentiality. Franchise Brands represents 52% of Hasbro’s revenue.
Regarding emerging markets:
[Currently] Only scratching the surface of what Transformers brand can do. China is a huge market. Hasbro will be bringing the Transformers franchise more into China.
Any need for consultation? Specially when considering the rise of digital media?
Believe the brands have lots of headroom to grow. Hasbro will focus on Micronauts, G. I. Joe, M.A.S.K, Visionaries and ROM. Not only there will be Live Action Movies, there will also be new Animated Series.
Brand-new take and a direction for G. I. Joe. New TV (Animated) Series was hinted.
Writers’ room will take the brands from Hasbro Vaults to the Marketplace. Will reignite the brands.
Getting more movies than ever before out of Hasbro brands. Toys will grow along with the unprecedented entertainment growth. Continues to refresh the brands. Overtime will grow our brands.
Well, that’s all folks. We will continue to update this article with more points noted down. Stick with TFW2005 for the best Transformers News… In The World*.
ZapRowsdower
I think the comparison is off. Monopoly is the same EXACT product. Same rules, same dice, same pieces (for the most part).
At least GI Joe gets new characters, redesigns, and significantly distinct (from each other) cartoon media. There's story.
Monopoly being a big seller kind of shows that the effort Hasbro has made to create this media is a waste of time. If TFs, for example, can sell the same as Monopoly, then Hasbro needs to cut the bungee on TFs: Monopoly is just cheaper to sell!
But let's look at this from a different perspective: it's NOT that Monopoly is amazing enough to re-buy over and over and over, decade after decade after decade. The real reason? WHAT THE F*CK OTHER GAME IS THERE TO BUY FOR YOUR PARTY???
I mean, have you been to a game aisle? Where's the Monopoly killer app? What comes after Monopoly?
I think Hasbro is lucky to have Monopoly, a universally fun and interesting game that has yet to see a strong competitor. Game of Life, maybe?
Jenga? For my money, Monopoly is timeless, so it can print money no matter which version you sell. I hope the creator sees some royalties… 
UnicronHound
You do realize you just summed up ALL of Hasbro's brands right? Transformers, GI Joe, My Little Pony, and so on, they've been around for decades, and just get a reskin to "update" them.
ZapRowsdower
Wow, thanks for the link!
I guess they're pulling out, after all.
HOWEVER, I'd like to point out something here: Disney historically NEVER makes their own toy products. So when a Finding Nemo toy hypothetically injures a child, they can claim complete ignorance. Also, when it turns out the toys are made by 10 yr olds in the Philippines, again they can say "we had no idea", because (after all), they only license these things!
I'm surprised they went 1st party with the Infinity line at all, so it comes as no shock that they are retreating back into their shells. Disney does not like physical inventory – they prefer others take that risk.
But as your article clearly demonstrates, the Toy-to-Life boom may be ending. So by the time Hasbro pulls its head out of its @$$ and gets in on this…. yeah, we're talking about a predictable failure. Even if they move into virtual reality stuff… HUGE risk. The waters are untested and virtual reality is not a big seller right now (to my limited knowledge), meaning Hasbro would have to innovate and create that market. I'm not sure Hasbro has the ability to create demand like that. They've had poor success with their mobile or console games, so..
Thelonicon
Yes, they are really ending it. These two releases were just too close to completion to completely pull the rug out from under them.
Sigmus Prime
Honestly can't believe how long it's been since GI Joe: Renegades. I'm super excited for a new Joe cartoon/toyline.
ZapRowsdower
YEah, pretty much. The marketing team at Hasbro doesn't truly recognize the adult market (except as tools for buying toys for kids). This does NOT include Takara – that's an entirely separate market/topic, and I was not commenting on that at all.
But the CW toys may or may NOT be doing well: yes, you see a lot of "new" toys, but the current Hasbro blueprint for success is to make a mold with 2 heads and retool possibilities – as such, the entirety of the CW line has had more remolds/recolors/retools than a lot of previous lines before it – CW was made to be recycled over and over. So yeah, lots of toys – does that mean successful sales? No – you can recolor something and throw it back on shelves cheaply, as your initial costs are already spent. I think the CW line is absolutely keeping the brand afloat, however. But that's further proof that the adult market needs to be treated with more respect. In other words: have you seen the toy commercials for CW?
https://www.youtube.com/watch?v=e3Mv1lNDMhg
Granted, that's an Australian commercial. But take a look – mostly CG and action, great. Any kids in the commercial? Actually, YEAH. The person transforming the toy is clearly a kid – but Hasbro went out of their way to NOT show the full child in the commercial. So what does that mean? This is a toy line for adults? Not really – the commercial isn't gritty enough or in-your-face or relevant to adults (it's not as eye-catching as it could be). I think it's another example of half-@$$ery: Hasbro wants adults to notice, but they're still fixating on kids. And let's all agree: CW appeals to G1 fans more than kids. Kids aren't buying these toys like Hasbro would have you believe, and when they DO buy the toys, I can guarantee it's because a father encouraged them AND showed them the G1 cartoon inspiration.
Look, when Hasbro says they respect and acknowledge the adult consumers, you need to be skeptical. I can say I respect your religion, for example, but if I'm blocking you from practicing it, does it matter what I say? Hasbro says one thing and then does another. What people say doesn't matter half as much as what they do – and Hasbro is NOT marketing to adults or mentioning them much in their official communications. You can say, certainly, that they're turning a corner and BEGINNING to acknowledge adults… but that's a sign of desperation. Like when you need to hang out with your little sister because your cool, older bro is off to college. Do you really PREFER to hang with a little sister who wants nothing but dolls and tea parties? Or is it that you have no other choice? And if you have no other choice, is it ethical to brag to your friends that your little sister is suddenly cool and awesome to be with?
This is corporate bullsh*t, and there's been plenty of precedent to prove that Hasbro is consistently saying one thing and then doing another; claiming good fortune, while lamenting poor sales. It's frustrating to loyal consumers, who essentially have no way of truly predicting what Hasbro will do – except to say that we know they are a KIDS COMPANY and will continue to cater to KIDS, above all else. The problem with a "toy company" selling to kids? When the toy market is dying and the kids aren't even buying anymore. Even then, the adults aren't relevant enough to finally acknowledge – I can't help but feel this "Generations" love we are getting is bitter and contemptuous.
Hasbro is old fashioned, so when your old grandfather says something racist, you need to take it with a grain of salt – it's his way. Hasbro is the company that sticks to the whole, "girls toys" and "boys toys" paradigm. This is the company that felt NERF toys couldn't be sold to girls without slapping some pink and purple all over it and renaming it "Rebelle!" If they're confident enough to enforce gender stereotypes and restrictions like that, of course they would also be ignorant enough to ignore the adult market that's keeping them afloat. For example, a true testament to Hasbro's focus on adult collectors? MP TRANSFORMERS. How many of those are we getting a year, again? How easy are they to buy, once released? How many stores carry them again? And why are we giving Hasbro a free pass to f*ck up distribution so badly that we can't actually buy mainline toys we want? Well, I'm not a Hasbro-apologist: when I see a retail problem, I'm more than happy to say that Hasbro shares a large part of that responsibility. And when we get 2 (or less) USA MPs per year? I'm happy to say Hasbro is full of sh*t and doesn't REALLY think about adult collectors. The CW line is a desperate move to keep profits from plummeting into a "QUICK! LET'S PULL OUT ALL OUR MONEY!" investment nightmare. It's been working, clearly, but I can't help but think about how much better the company could do if they dedicated themselves more to this adult market – maybe a special department within the company, some stronger sales teams, etc.
Is Disney REALLY pulling out? Everyone keeps saying that.
But:
Alice in Wonderland Infinity toys were JUST RELEASED.
Finding Dory infinity toys are around the corner.
I think "Disney is pulling out!!!!" is hearsay and rumor.
Fenrir Zero
The only thing that has depressed me was the mentioning of Top Gear.
CountOrlock
"Yes, and GOOD ON THEM. Hasbro is about to miss this boat entirely (lord knows how the Lego Toy-to-Life toys are doing), as I fear by the time they get their act together, the youth will have already moved on."
Its in the process of already happening. Have you heard the Disney one has stopped making new product? That will leave just Skylanders and Lego.
Is it a 'genre' if theres only two games in it? If Disney cant hack it I dont see why Hasbro thinks it can.
cj37a
I get that you are casting your post as "Big toy company Hasbro who doesn't recognize Adult Fans". I get it their business is selling toys and Transformers is a line that is based towards kids in general.
I accept Hasbro PR/sales/marketing aims "Transformers" items primarily at kids; it is. But Hasbro as a whole doesn't treat adult collectors as unwelcome. I just don't think they focus on it.
If the combiner war "to be" show is only for adults, then why the Combiner War line primarily marketed towards kids? Plus haven't seen or read anything on CW animation other than the it is a possibility. More adult than the Bay movies? I doubt it. Probably in the Transformers Prime rhelm.
I think without a show or comic, Combiner Wars would not be much. I only assume if Combiner Wars is doing well (since they are still putting out new waves), that it is doing well just from being the only transformable robot in the retail market in most countries and / or the IDW comic and reruns of the G1 show are what have kept it going.
Hasbro and Takara know this which is why they have some high priced plastic on the shelves. But I think I see your point, you are saying that their PR and sales/marketing is always going to be based around the 5-10 year old. That is fair, but you can't lump the entire franchise and Takara/Tomy into that black and white distinction.
What is criminal is marketing real "adult" movies such as the Bay Transformer Movies, with the language, real world carnage, graphic gore, adult situations… and then marketing a line of items that makes the 5-10 year want to see that garbage.
ZapRowsdower
Yeah, I was surprised… (ignoring any smart@$$ replies from the peanut gallery)
Yes, and GOOD ON THEM. Hasbro is about to miss this boat entirely (lord knows how the Lego Toy-to-Life toys are doing), as I fear by the time they get their act together, the youth will have already moved on.
But that segment has exploded in recent years, and it's a damn shame Hasbro didn't get in on that when it was hot…
The optimistic trans-fan!
I don't see how GI Joe can succeed when no one gives a sh*t about war or patriotism anymore. Back in the day, GI JOE stood for something important – nowadays? Good luck getting that sucker moving… I think they're burning money at this point (barring a complete makeover with Cobra suddenly becoming ACTUAL terrorism or something relevant to today).
The majority of boys are moving away from that cause ya can't have money for both mobile/tablet games AND conventional toys, and mobile games are just ADDICTIVE. They have a social element that makes you wanna 1-up your REAL friends by spending more and more money. TFs don't have that addictive quality (among new buyers), so we're really talking about an outdated sales model that doesn't incorporate gambling the way mobile games do!
What we really need is a giant parental movement AGAINST mobile games to squash the popularity superficially somehow. Well, after all, mobile gaming does encourage gambling, which I thought we did NOT want kids to do?
None of this topic has anything to do with you. Hasn't Hasbro yet made it clear to you that you don't exist? They want your kids, not you.
Again, that CW cartoon is for adults. Adults are parents who buy toys for kids; they are NOT people who buy toys for themselves. Ergo, Hasbro wouldn't be talking about some freak segment of their consumer base – adult fans are barely acknowledged and continue to be treated as an outlier, rather than a sizeable (quantified) bulk of Hasbro business.
All that considered, I would not be shocked to see the cartoon cancelled or shelved. It's gotta be low low low low LOW priority for a company focused on your kids.
cj37a
Haven't heard a peep about that combiner wars animated series recently.
Hard to tell if it really is going to happen seeing as they have almost gone through all the combiner waves and the first ones are unavailable now..
Something good has to come from combiner wars ^^.
CountOrlock
Unless they make it so I can play with the toys virtually somehow, Im going to keep buying physical toys. Video Games are fun and all but its not the same as playing with toys.
Im an adult collector but I basically play with the damn things more than I collect em
WishfulThinking
Eh. My 11-year-old son enjoys playing with Transformers and my 7-year-old daughter likes playing with Barbies and playing board games. While they both enjoy video games, tactile toys are very much a part of their childhood.
Perhaps they aren't the standard-bearers…but it seems to me that there is opportunity for shared space between virtual and tactile toys.
blurrr-ed
A lot of interesting things to take away from this, but by far my greatest amusement will come from the impending influx of grown men complaining about the slow move away from conventional tactile toys, or just not believing toys are becoming outdated.
Autovolt 127
New GI Joe Cartoon?
Please.
It's been too long since Renegades.
SPLIT LIP
You pretty much just answered your own question.
WishfulThinking
New direction for GIJoe Cartoon?
I guess the only thing that hasn't been in done is a Office-style comedy with cut-aways.
Cobra Commander: "Destro, you'll be in charge of the defense implacement. Major Bludd, you will lead the forward charge against the Joes. As a gunner. In the H.I.S.S. tank."
Major Bludd: "Yes, Cobra Commander!"
-Major Bludd: (cutaway) "Why do I have to always ride in the suicide seat? Have you seen a H.I.S.S. tank? There's no protection! Here's a poem I wrote for Cobra Commander:
Roses are red, Violets are blue
I hope you die in a smelly, snake stew.
There. I feel better."
Neko-bot77
Sounds to me that they want to aim more towards things like Skylanders or Telepods (did i spell that right?) where you use a physical toy as part of a video game/ table game/ whatever electronic device…
Fort Max
I like the suggestion of more new cartoons, especially a mask one.