NewHavenBIZ

n e w h a v e n b i z . c o m | J a n u a r y 2 0 2 0 | n e w h a v e n B I Z 17 SALES / LEASING • Retail • Office • Industrial • Investments PROPERTY MANAGEMENT • Apartments • Condominiums • Office • Shopping Centers • Industrial Parks • Residential Rentals 1768 Litchfield Turnpike, Woodbridge CT | www.LMMRE.com | (203) 389-5377 1768 Litchfield Turnpike Woodbridge, CT www.LMMRE.com (203) 389-5377 HAMDEN NORTH HAVEN 75 OLD BROADWAY 70,000 SF – Hi Bay warehouse. Covered truck docks. 5,000 SF office. For lease $5.25/SF. 2115 DIXWELL AVENUE 12,187 SF – Prime retail space 80 car parking. Sprinklered building. Lease $8.00/SF or Sale $1,500,000. SALES / LEASING • Retail • Office • Industrial • Investments PROPERTY MANAGEMENT • Apartments • Condominiums • Office • Shopping Centers • Industrial Parks • Residential Rentals OFFICE • RETAIL • INDUSTRIAL HAMDEN WEST HAVEN 88 FARWELL STREET 10,900 SF – Office & Industrial Land .7 acre. Fenced yard. May subdivide. Lease $8.00/SF or Sale $850,000. 109 SANFORD STREET 8,120 SF – Clean Hi Bay Industrial – Gym – Open space Lease $8.00/SF M E E T T H E M A K E R AT A GLANCE Company: Original Toy Co. 230 Woodmont Rd., Milford (203-876-7289) theoriginaltoycompany.com Industry: Toy manufacturing Year founded: 1989 Annual revenues: $2.8 million - $3.8 million No. employees: 9 Ownership: Kevin & Sue McGrath Offices in North Haven & Stamford · www.ffmechanical.com We deliver timely service of your building HVAC, plumbing and process piping systems with a certified, highly-trained team of licensed technicians and tradespeople. AVAILABLE 24 / 7 / 365 · SERVING NEW HAVEN COUNTY AND BEYOND Need a quality HVAC contractor for installation and service? 2017, following four consecutive years of growth in the toy industry. As the face of toy retailing con- tinues to transform, e-commerce and Amazon oen take the blame. "For retailers, the internet has been challenging simply because of different pricing structures," explains McGrath. "It's about convincing people why they should buy locally and they're going to get better services. ey're going to be able to see and feel and touch the product where from an online standpoint you don't get that." Market niche As internet sales continue their seemingly limitless upward trajecto- ry, many mass-market chains like Toys R' Us, Babies R' Us and Kmart have started to disappear, creating a market niche for independent and specialized stores that can adapt to a retail landscape that is at once virtual and physical. "If you went back 20 years ago you had a number of franchise op- erations scattered around the coun- try," says McGrath. "Now you have the big-box stores like Target and Walmart, but they have recognized that there is a need for specialty products, and they are beginning to sell specialty toys in their stores." Independent toy retailers com- pete largely on quality and service rather than price. By specializing in the sale of high-end premium prod- ucts, toy stores can justify high- er-selling prices that in turn boost their revenue and also safeguard their margins. e Original Toy Co. sells some 250 different types of toys, devel- oping an average of 10 new toys annually. Counting manufacturing and retail sales, the company gener- ates in the range of $2.8 million to $3.8 million annually, according to McGrath. e company's top-selling toy — and McGrath's personal favorite — is the What' Zit?, a manipulative wooden toy sold in a display that's right on the checkout counter. "We developed it by accident about nine years ago," McGrath explains. "People pick it up and say, 'What is it?' Well, it's a What' Zit. You can put it into all differ- ent shapes. When I developed it, we found out very quickly it was incredibly popular. It was one of those things that we designed that put us into a different universe." In an ever-evolving toy land- scape, McGrath says some things will never change. "Technology cannot replace a traditional toy, nor should it," he says. "It's important that those building blocks are still used by the generation of children growing up today." And the secret sauce for making a winning toy? "On our side of the business, it's going to be an item that's manipula- tive and involve the child interact- ing with the product. We want the toy to stimulate the mind, body, feelings and also be educational. "We are not in the business of creating a product that has a 10-minute lifespan," he adds. "We are in it for the long haul." n

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