Revenue reaches $7.04 billion! Toy giant LEGO Group accelerates e-commerce development

Toy giant LEGO Group is reportedly accelerating its digital expansion after it said it achieved double-digit sales and revenue growth in 2020 , its fastest growth in five years .

Lego said its total revenue in 2020 increased 13% to $7.04 billion compared with 2019 , and its operating profit increased 19% to $2.08 billion . Sales of building kits increased 21% over last year .

Online business becomes the focus of development, Lego accelerates e-commerce pace

Niels B Christiansen, CEO of the LEGO Group, said : “We know that children and adults love LEGO bricks and this will always be at the core of our business. However, today’s children are growing up in an online world and they have no difficulty blending online and physical play. ”

Therefore, developing online business has become an important development goal and strategy of the LEGO Group.

Christiansen told the BBC that every 2.77 seconds, someone uploads a Lego creation to their online platform .

Lego said in its 2020 financial results that Lego Super Mario, which involves digital and physical play , became one of the company's most successful themed launches after its release in August last year .

The Lego Group said it will continue to invest in products that blend physical play with online play this year. It is reported that by 2020, Lego had produced a total of 98,674 tons of Lego bricks.

E-commerce business develops rapidly, while LEGO also focuses on the development of physical business

Due to the temporary closure of LEGO stores during the pandemic, traffic to LEGO.com doubled compared to the previous year, while the company continued its global store expansion plans.

LEGO continues to expand its global market share, with particularly strong growth in China , the Americas , Western Europe and the Asia-Pacific region.

In 2020, LEGO opened 134 new retail stores, including 91 stores in China, bringing the global total to 678. LEGO plans to open an additional 120 stores in 2021, 80 of which will be in China.

Niels B Christiansen said: “ We will continue to invest in expanding our retail footprint around the world and enhancing our in-store shopping experience. This approach strengthens our brand and has a positive impact across all channels. We will also further build out our e-commerce capabilities to support online shopping on our own and partner platforms. ”

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