If you try to visualize
Mattel’s
CEO, what image comes to mind? We wouldn’t blame you if it’s one of Will Ferrell, who plays the role in the blockbuster Barbie movie, memorably rollerblading through Los Angeles in a suit and pink tie.
Ynon Kreiz, Mattel’s actual CEO, wouldn’t be too upset about it, either.
“We embrace self deprecation,” Kreiz told Andy Serwer in an interview for our At Barron’s series (in which, we must note, no rollerblades appear).
Kreiz may not be Will Ferrell, but he’s also no stranger to Hollywood, which should come in handy as he attempts to grow Mattel from a toy company into an entertainment force. Before being named CEO of Mattel in 2018, he spent more than 20 years in the entertainment industry, including at Fox Kids Europe and Netherlands-based production company Endemol. Most recently, he was CEO of Maker Studios, a video producer that was eventually acquired by
Disney.
Disney also offers, if not a model, a cousin to what Kreiz hopes to do at Mattel.
“We often say that the analogy for our strategy is Marvel,” Kreiz says, referring to the comics-based brand that’s become one of Disney’s most important businesses. “It’s not a one-for-one example, but a good analogy. Marvel started as a comic book publisher and evolved to become a very important platform for creators and movies and other execution of the franchises, and we believe we can do the same with our brands.”
That means more moviemaking, certainly, but other types of Disney-fication are also in the works. The company has plans to go the Disney World route, opening its first theme park next year in Glendale, Arizona. It hopes more opportunities to take its brands beyond the toy aisle will follow.
And why not? It’s certainly had success so far. Even if you—like Barron’s own Serwer—have yet to watch the Barbie movie, you’ve certainly heard about its box office success. Barbie is on track to become the highest-grossing film of 2023, raking in over $1 billion in ticket sales.
Mattel estimates the movie will add at least $125 million of gross billings in 2023 alone, and $75 million in profit. The windfall isn’t coming just from the box office—doll sales are higher as well. Kreiz expects the Barbie momentum will carry throughout the holiday season.
Mattel has 14 other movies in the pipeline, including a Barbie sequel. The upcoming movies are all based on the company’s iconic toy brands: Polly Pocket, Hot Wheels, Barney, and even retro action figure Major Matt Mason.
“While we don’t say that every movie will be the next Barbie, we absolutely believe that our brands resonate very strongly, culturally and also in terms of societal impact,” says Kriez. “And we will be able to translate that to commercial success on top of what we do within the toy side of the company.”
Write to Sabrina Escobar at [email protected]
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