Recently, the Lego Group announced its intention to diversify into the digital market, and it partnered with Epic Games to do so. Reports suggest that the world-famous toy brand will expand and improve its portfolio of entertainment products. With this partnership, the Lego-Epic metaverse project will be developed. Moreover, an enormous virtual world will be created.
Lego Group and Epic Games Collaborate on New Metaverse Initiative to be Launched Coming Soon
The Financial Times reports that Lego is getting ready to outline its joint metaverse project with Epic Games. Establishing a presence in virtual worlds is the interlocking toy brick company’s strategy for maintaining its market share and growth tendency. By providing Lego products to customers in such markets, the toy company with its headquarters in Denmark might boost online brand recognition.
“We are doing a lot of things on the digital side. That is where we are upping the investment. We know very well how to immerse consumers into the Lego universe in stores. We’re working very hard to create that feeling of getting into the Lego brand universe also digitally.”Niels Christiansen, Lego chief executive officer
Partnerships Established by Lego
On the other hand, this partnership is not Lego’s first attempt to enter the digital market. In April last year, the company also partnered with Sony. This partnership aimed to offer children a safe and secure metaverse environment. The company even described this initiative as family-friendly.
Lego’s Sales Increased in the Last Three Years
With the onset of Covid, Lego’s net profit and sales have increased in the last three years. One of the biggest reasons for this is that people have been unable to leave the house due to the pandemic, and both children and adults have turned to new hobbies. Accordingly, the company’s 2022 revenues increased by 17% compared to 2021. This led the toy company to make a profit of $9.3 billion last year.