A Kids'-Eye View of Europe:
Toys, Pocket Money and Spending

By Frédérique Tutt, NPD EuroToys Director,
U.K. and Spain

For the past three years, Duracell, the leading maker of batteries in Europe, has collaborated with NPD on a study to find out about kids “dream toys” for the holiday season and explore lifestyles, attitudes and behaviors related to spending by and for children across Europe. Recently-released results of the annual survey uncover kids’ spending habits, purchase influences and their top “dream toys” for Holiday 2005.

“Dad, can I have some money?”

Children in Europe generally start receiving pocket money when they reach six years old, often coinciding with their entry into primary school. Six years old is the average age when a regular allowance begins in northern European countries (Belgium, Sweden, The Netherlands, U.K. and Germany), and also in Spain. In the southern countries (France, Italy, and Portugal), the average rises to seven years of age.

The average amount at kids’ disposal per week is about $4.82 (U.S. dollars); this varies from a low of $3.25 in Germany and Holland to $7.22 in France. Parents in Northern Europe are more likely than other Europeans to buy kids the things they ask for - which may account for the lower allowance amounts reported for those northern countries.

To save or to spend? That’s the question.

When given money for holidays and birthdays, most children (58%) choose to save it. Children in the U.K., however, are the exception, as only one-fifth of them save their money for the future. When children do save, they don’t manage to keep their money for very long – 44% say the end up spending it within two months. When they part with their pocket money, kids across Europe are most likely to purchase toys. Clothing is next in importance, with sweets and video games also vying for attention.

Reaching kids and their parents

According to kids across Europe, television remains the number-one source for getting information about new toys. This is especially true in the southern countries – 71% of children trust TV to bring them information on new toys; in Northern Europe, 55% rely on television for this purpose.

More than one-third of children consider their friends’ opinions to be most important to their spending decisions, especially in the northern countries where television is not as important as elsewhere in Europe. Twenty-five percent said they were most influenced by magazines and catalogues, with a peak in Sweden and a low in Italy. For parents, their children’s opinions, quality of toys and cost are the top purchase influences.

Duracell and NPD’s EuroToys team have worked together for the past three years to field a study that asks lifestyle, usage and attitude questions of both kids and their parents in nine European countries. It also uncovers children’s “dream toys” for the upcoming holiday season. To find out more about this study or the possibilities of NPD for your company, contact Frédérique Tutt at +44 1932 355 580 or frederique_tutt@npd.com.