Quality Toys for the European Market
Interview with Dott. Massimo Rossi, General Director of Globo S.p.a.
With a new logo and an ambitious strategy to expand its international business, the Italian Globo S.p.a. looks positively towards the post-pandemic era. The distribution specialist for children's toys has been successfully on the market for almost 40 years with a versatile product range that combines quality with Italian flair. Wirtschaftsforum spoke with the General Director, Dott. Massimo Rossi, about the company's future plans.
Wirtschaftsforum: Mr. Rossi, Globo is celebrating its 40th company anniversary next year. How was the company founded and how has it been able to maintain its position in such a fiercely competitive market as the toy industry?
Dott. Massimo Rossi: Globo was founded in 1982 by Carla and Giovanni Ortolani and is still 100% owned by the Ortolani family today. The most important advantage was that they understood from the beginning how the import of toys works. After all, the world of toys is very complex and difficult, and associated with very high safety standards. They had already chosen the right suppliers in China back then and knew what the correct quality tests were.
Wirtschaftsforum: What products does the company distribute? What are the new products?
Dott. Massimo Rossi: Our products are all imported and tailored to the Italian market. The strategy of the company founders is to offer quality products with Italian style at accessible prices. Experience has so far shown that this is a significant success factor. Toys are purchased when the buyer likes them. Thus, we have been able to establish and successfully position our own brands such as Bimbo, Factory Sound, Family Games, Kidea, Olly, Pelux, Sbelletti, Sirwood, Spidko, Vitamina G and W‘Toy in the Italian market. The toy market is very dynamic. In addition to perennial classics, there are also always innovative new products. We introduce between 250 and 300 new products every year.
Wirtschaftsforum: How have sales channels developed over the years?
Dott. Massimo Rossi: Initially, wholesalers were our main customers, which was typical for the Italian market at the time. Nowadays, the market is less fragmented. Especially in Northern Italy, the market is dominated by large retail chains such as Esselunga, Carrefour, Conad, or Coop. Here, we began to acquire them as customers 20 years ago.
Wirtschaftsforum: And now you also want to advance further in your export markets?
Dott. Massimo Rossi: That's right. We started exporting about eight years ago. Currently, 5% of our turnover is generated in countries like Spain, Greece, and Germany. But we see much more potential there. At present, we are working with representatives in the export markets. Our future strategy involves developing a sales model with branches in various European countries.
Wirtschaftsforum: How has the pandemic affected these plans?
Dott. Massimo Rossi: Since important trade fairs cannot take place, the pandemic has of course made our project more difficult. We are particularly interested in building a sales network in Germany and thus expanding the German-speaking market. Our products are well received by German buyers, and the German customers are known to be very loyal. The most important trade fair for the industry in Germany and Europe is the Nürnberg Toy Fair, which unfortunately has to be cancelled this year because of Corona. We hope that the fair can take place again normally in 2022 and that we can make important personal contacts there.
Wirtschaftsforum: How has digitalization helped you through the crisis?
Dott. Massimo Rossi: We embraced this development early on. We have had a warehouse at our headquarters in Illasi for some time. Due to the pandemic, we have also implemented two additional aspects. Firstly, we have focused more on the topic of smart working; secondly, we have further expanded online trading. Rebranding the company logo is also very important for our new strategy. This too was a response to the pandemic. With this, we aim to present ourselves more internationally in the future.
Wirtschaftsforum: How confident are you about the period after the pandemic?
Dott. Massimo Rossi: We are very optimistic about the future. As the largest importer of toys in Italy, the Italian market will remain our main market, but we also expect double-digit growth in our export business.