Federico Machabanski, CCO and Founder en PARDES / CCO and Founder en Selectio / Sales expert / Retail / Toys / Baby items. To learn more about Federico, see his note at the bottom of the page.
Briefing: In this note, I will explore the challenges and opportunities of the toy market in Argentina, a country that faces high inflation, import barriers, and currency devaluation. I will also highlight the local toy manufacturers’ and distributors’ creativity and resilience and share some hope for a better future.
Don’t cry for MY ARGENTINA: The ups and downs of the toy market.
Have you ever wondered what it’s like to buy toys in Argentina? If you think it’s easy, think again. The toy market in this South American nation is a rollercoaster ride that can make you scream with joy or frustration. Let’s dive into the complications of the Argentine toy market and see what’s causing all the fuss.
One of the main obstacles to importing toys into Argentina is the complex certification process that requires extensive paperwork and testing. This can delay shipments for months and increase costs for both importers and consumers. Another hurdle is the long payment terms that can stretch up to 180 days, making it risky for foreign suppliers to sell their products in Argentina. Moreover, the constant devaluation of the peso and the notorious monthly inflation rate of 7% make it difficult to set stable prices and plan ahead.
As a result of these challenges, several renowned international toy brands have bid farewell to the Argentine market, shutting down their offices in the country. This has led to a scarcity of a diverse toy selection, as many exciting products fail to make their way to the shelves of Argentine toy stores. Toys are also being sold at exorbitant prices, with markups reaching up to 100% compared to the United States.
But despite these difficulties, Argentina is a nation filled with resilient and creative souls. Local toy manufacturers have risen to the occasion, producing unique, high-quality toys showcasing the country’s rich cultural heritage. These homegrown treasures provide joy to Argentine children and serve as a source of pride for the entire nation.
There is also hope for a brighter future for the toy market in Argentina. Efforts are being made to streamline import processes, stabilize the economy, and attract international players back to the scene, but I don’t think this can happen in 2023. With the support of consumers and policymakers alike, the toy industry in Argentina can bounce back and reclaim its rightful place as a vibrant and thriving market.
Argentine toy distributors make a huge effort to import and distribute quality products. They are extremely professional and knowledgeable about the field, but sometimes more is needed since the country makes things very difficult for them. However, some distributors have managed to overcome these challenges and offer a wide range of toys from different brands and countries. They also attend international toy fairs and shows to keep up with the latest trends and innovations.
So, next time you find yourself yearning for that coveted toy in Argentina, remember that despite the complications, the passion and resilience of this land are bound to shine through. Don’t cry for My Argentina, for its toy market is an ongoing adventure filled with surprises and endless possibilities.
When I was 17 years old, my mother invited me to help her in her insurance sales company, a career from which she had received me while finishing high school. After a month of being there, I told him: “This is not for me, I’m going to look for something else.”
It was so that at the age of 18 I started into the world of toys, first helping in a company, where at the age of 19 they gave me the opportunity to start traveling. YES, a child traveling to sell toys throughout Latin America. Since then, it has been a complete adventure! Traveling through Latin America is not traveling through Europe, the distances are very long, and visiting a Mexican client from Argentina takes you 10 hours by plane, and that is if the client is in Mexico City and not elsewhere (Well, I have traveled Mexico)
I traveled to places that I would never have imagined, from toy factories in Laranjal Paulista, then touring every city and country in South America, Central America, and Mexico, traveling to fairs, either to exhibit or to visit, in Brazil, Mexico, USA, Germany, England, Hong Kong, and China, and starting new projects here and there.
Since 2008 I began my trips to China almost without interruption (except for COVID), and since 2011 I started this new project with my partner @alejandro chueke, with our 2 wonderful companies @Selectio and @Pardes, with which we have developed wonderful projects, worked with large, medium, and small clients, and serving all with the same professionalism.
I consider myself an expert in interpersonal relationships, a connoisseur of the world of toys and retail, a constant explorer of new product categories (Sports, Bazaar, Electro, Check Out, Pet, etc.), and a lover of sales.
I have the pleasure of having worked in my career and continue working with the majority, with amazing companies such as Wal Mart, Soriana, Coppel, Woolworth, Falabella, Tottus, Cencosud, Liverpool, Palacio de Hierro, Sams, Lojas Americanas, Lojas Pernambucanas, Make it Real, MGA, and more and more. I have even sold to countries in Africa, Europe and Oceania
Today, already passing 40 years, I am more excited than ever about the future that lies ahead for our company, full of projects and new opportunities, and full of new and beautiful relationships with customers, business partners, and suppliers!!!