Lego might create a rental service, signaling the evolution of the traditional toy model.

WHAT HAPPENED: Tim Brooks, the vice-president for sustainability at Lego, said that the company is “totally open” to the idea of a product rental scheme. “But it has to come down to the value proposition.”

WHY IT MATTERS

  • If Lego could introduce a plausible rental scheme, other toymakers might follow suit. Much like children’s clothing, a rental model is ideal for the toy industry. Kids apparel and toys are often passed down through families or neighborhood networks, but a well-priced service, spearheaded by an iconic toymaker like Lego, could change the industry as a whole. If Lego could incorporate recycled plastics alongside a rental program, the kids’ category could transform into a more affordable and sustainable enterprise.
  • Lego’s stance indicates that the company is open to change and is listening to consumer demand. The sheer number of pieces that make up a modern lego set and a child’s tendency to lose parts could, however, make a rental model difficult for Lego. But the move is likely to attract sustainability-focused parents who are working to phase out single-use plastics from their households. With significant competition in the toy space, and it becoming harder to maintain a brand over time, positioning itself at the forefront of the modern parenting mentality will help Lego continue to stand apart.