Lego just turned in its strongest start to a year ever.
CEO Niels Christiansen says demand is strong at both ends of the price scale, even with economic uncertainty floating around. Lego is selling cheap sets and expensive ones, and both are moving.
Price is a good place to see the strategy. Lego sells a simplified Star Wars N-1 Starfighter for $30.
The same ship, rebuilt as a bigger project with nearly 2,000 pieces, goes for $250. The logic is simple: a cheap set is an easy in for a new fan, while the expensive build is for someone who wants a bigger challenge.
Lego also went heavy on new product. It launched 332 new sets in the first six months, a record, while still offering older sets.
Just as new sets draw new buyers, steady investing builds wealth, so get the free Always Be Buying E-Book
It's not all new stuff driving the register, either. Lego credits established lines like botanical bouquets, Formula 1 cars, and collectible sets with keeping sales strong.
Fresh offerings cover a lot of ground. There's Smart Play, a new system that adds sensors to brick sets so they can react to motion, play sounds, and light up.
Then there's the long-expected Pokemon partnership, plus sports licensing deals with Formula 1 and FIFA. An Epic Games collaboration brings Fortnite items into physical Lego sets while pushing Lego into the digital arena.
Christiansen says those deals pulled in people who had not seen their interests reflected in the brand before. "They bring in those who have not necessarily seen their passion point really that well represented in the Lego brand before," he said.
The moves share one goal: find people whose passion lives outside the toy aisle, then give them a brick version of it.
The new fans are not one-time buyers. "We've also seen that we retain consumers really, really well, and we're selling more to those we have," Christiansen said.
Once people start building, he says, they branch out into other parts of Lego's portfolio. The audience is widening at both ends, with kids and adults both buying in.
"What is really nice is that we're growing fast with kids now," Christiansen said. "We're also growing with adults."
He says that catering to both groups lets the company cover the whole range of consumers instead of just one slice of the market. That ability to master both, he adds, has been crucial to the run.
Lego says its wider variety of sets and wider price range are meant to attract a broad customer base, including children, adults, and all genders. That means its cheapest sets and its premium builds are not really competing with each other; they are serving different buyers.
For your money, the pattern behind these numbers is what stands out. Businesses that pull in new customers at a low price and keep them coming back at a high one tend to have staying power.
Lego's report is a colorful example of that idea at work. It is also a reminder that the most durable growth often comes from widening the front door, not just raising prices on the same products.
The brick maker's record half-year proves that small steps add up, so download the Always Be Buying E-Book for your finances