Mattel, Inc., one of the most iconic toy manufacturers in the world, has had a significant influence on the toy and gaming industries for more than seven decades. From the creation of beloved toys such as Barbie, Hot Wheels, and Fisher-Price products to ventures into the video game market, Mattel has consistently shaped the way children play and learn. This article will explore the history of Mattel, its rise to prominence, and its ventures into the gaming industry, both successful and not-so-successful.
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Origins of Mattel
Mattel was founded in 1945 by Harold "Matt" Matson and Elliot Handler in a garage in Southern California. The company initially focused on picture frames, but Elliot Handler quickly began using scrap materials from the frames to create dollhouse furniture, which became more popular than their original product line. Recognizing the potential of the toy industry, the company soon shifted its focus entirely to toys.
The company’s name, Mattel, is a combination of the founders' names: "Matt" from Harold Matson and "El" from Elliot Handler. Matson, however, sold his interest in the company to Handler due to health reasons early on, leaving the Handlers to lead the company's direction.
In the late 1940s, Mattel had its first significant success with a musical toy called the Uke-A-Doodle, a small plastic ukulele. This marked the beginning of Mattel's expansion and innovation in the toy market.
The Launch of Barbie
Perhaps Mattel's most famous and transformative creation came in 1959 with the introduction of Barbie, a fashion doll invented by Ruth Handler, Elliot Handler's wife. Ruth had observed her daughter Barbara playing with paper dolls and noticed that her daughter was giving these dolls adult roles, such as playing house or going to work, which was unusual for children's dolls at the time, as most were baby dolls. Ruth saw the opportunity to create a doll that would allow girls to imagine their futures through adult characters.
Barbie was an instant hit and became a cultural icon. Over the decades, Barbie evolved into more than just a toy. She became a symbol of changing ideas about femininity, beauty, and gender roles, and the brand expanded into media, including television shows, movies, and video games. The success of Barbie helped Mattel establish itself as one of the dominant forces in the global toy industry.
Diversification and Growth in the 1960s and 1970s
During the 1960s, Mattel expanded its product line, acquiring the Fisher-Price brand in 1969, a company well-known for producing educational toys for infants and young children. This acquisition gave Mattel access to a wider range of consumers and helped the company grow internationally.
The 1960s also saw the creation of another flagship product: Hot Wheels, a brand of toy cars that would go on to become one of the best-selling toy franchises in history. Hot Wheels captured the imaginations of boys who enjoyed racing and collecting, much in the way that Barbie appealed to girls with fashion and play-acting.
By the 1970s, Mattel had established itself as a dominant player in the toy market. The company continued to innovate and acquire smaller companies, growing its portfolio. It also began to move into entertainment, producing animated TV series such as He-Man and the Masters of the Universe in the early 1980s to complement its toy lines.
Mattel's Entry into the Video Game Market: The Intellivision
In the late 1970s, Mattel made its first significant foray into the video game industry. In 1979, it released the Intellivision, a home video game console designed to compete with the Atari 2600. The Intellivision was notable for offering better graphics and sound than its competitors at the time and had the distinction of being the first console to have downloadable games via cable TV.
The Intellivision was moderately successful and sold around 3 million units by the early 1980s. It was particularly well-received for its sports games, which were considered more sophisticated than those available on other platforms. Intellivision also pioneered features such as digital voice synthesis with its Intellivoice add-on.
However, despite its early success, the video game market of the early 1980s was extremely volatile. The video game crash of 1983 hit Mattel hard, and the Intellivision was discontinued soon after. Mattel faced financial difficulties and eventually sold off its video game division in 1984, marking the end of its first venture into gaming.
Continued Growth and Challenges in the 1980s and 1990s
Following the video game crash, Mattel focused on its core toy business. The company had strong franchises to rely on, including Barbie, Hot Wheels, and Fisher-Price. In 1993, Mattel introduced Polly Pocket, a popular line of miniature dolls and playsets that further boosted the company's profile.
However, Mattel faced challenges during the late 1980s and early 1990s. The company struggled with competition from other toy manufacturers such as Hasbro and LEGO, and it experienced several leadership changes and financial setbacks. Despite this, Mattel remained a global leader in the toy industry, thanks in large part to its iconic brands.
In the late 1990s, Mattel entered another important era with the acquisition of The Learning Company, a leading educational software producer. However, the acquisition was poorly managed, and the resulting financial losses severely hurt the company. Mattel eventually sold off The Learning Company in 2000, but the damage to its finances lingered for several years.
Return to the Video Game Industry
Mattel re-entered the video game industry in a more modest way during the 2000s. Instead of focusing on consoles like the Intellivision, Mattel concentrated on licensing its brands, such as Barbie, Hot Wheels, and Fisher-Price, to video game developers. This allowed the company to leverage the popularity of its franchises without taking on the significant financial risks associated with hardware development.
Mattel partnered with various game studios to create interactive software for platforms like Nintendo's Game Boy, PlayStation, Xbox, and personal computers. Many of these games were aimed at younger audiences and revolved around themes like racing (Hot Wheels) and adventure (Barbie).
In the mid-2000s, Mattel once again tried to innovate in gaming with the release of the Hyperscan console in 2006. The Hyperscan was a hybrid system combining traditional video games with collectible cards that players scanned into the console. It aimed to merge digital and physical play, but the system was ultimately a failure. Hyperscan was plagued by poor game quality, limited third-party support, and technical issues, leading to its discontinuation in 2007.
Mattel in the 21st Century
Mattel entered the 21st century as a powerhouse in the toy industry, but it continued to evolve with the times. In response to changing consumer preferences, Mattel began expanding its digital offerings. The company created mobile apps, online games, and interactive content that tied into its traditional toy brands. In recent years, Mattel has also embraced technologies such as augmented reality and virtual reality, offering new experiences to children and families.
The company’s diversification strategy also includes more partnerships with entertainment studios. Mattel has licensed its brands for animated TV shows, movies, and even live-action films. In 2019, the company announced plans to produce a live-action Barbie movie starring Margot Robbie, showing its commitment to blending entertainment with traditional toys.
Mattel has also emphasized sustainability in its products, with a focus on using recycled materials in toys and reducing plastic waste, as part of an industry-wide shift towards more environmentally friendly practices.
Conclusion
Mattel has left an indelible mark on the toy industry, creating some of the most enduring and beloved toys of the past century. The company’s ventures into the video game industry, while not as successful as its core toy business, demonstrate its willingness to innovate and adapt to changing trends. From Barbie and Hot Wheels to Intellivision and Hyperscan, Mattel has continuously sought to push the boundaries of play, shaping the imaginations of generations of children. Despite its ups and downs, Mattel remains a global leader, poised to continue influencing the future of both traditional and digital play for years to come.