Most people use TiVo to record their favorite televisions shows. Currently I’m using it to watch commercials. For the last eight weeks I’ve been channel surfing to find for one thing… technology toys commercials. It’s pretty amazing what you can learn about this year’s crop of holiday toys by watching TV commercials that air on a Saturday morning. This is not to say that everything I see on air wasn’t announced many months earlier. I’ve seen a number of these same toy products announced at this year’s NY Toy Fair, the countries largest toy conference held ten months earlier.

I’m organizing my notes to write a longer article on technology toys for sale this holiday season. All kinds of interesting things are coming up by watching, like USB connect toys, digital cameras, experiences that are driven by a screen, be it a computer or a toy’s screen, virtual world tie-ins, and much more. I’m also noting many interesting trends related to video game advertisements. Almost as interesting is what is not promoted on air.

I welcome you to view the video clip below that includes a small sample of commercials that aired before the election. (Some toy companies held back on airing their advertisements until after the election.) Please fire away any questions you’re curious about. Where do you think the future of toy technology is headed? What do you notice? Thanks for watching!

[The following is an article I wrote for the October 2008 issue of Playthings Magazine. For those unfamiliar with Playthings, it is the oldest (over 105 years in circulation!) and most widely respected professional toy magazine in all of North America. Playthings reports on the business of play as well as trends that not only impact the toy industry but also children across the globe.]

Social networking, social media, virtual worlds; the Web 2.0 world is on fire, and sites that touch on some part of social media are rapidly growing. Sites that allow individuals to come together, form online communities, and share thoughts and different media types in a virtual way are feeding this ever-changing way to engage with others online.

Plain and simple, people are social creatures. It’s wired into our being. The concept of social networking is not new. It’s been part of our DNA since the dawn of time. Some researchers think that our desire as humans to socialize is an instinct that plays a part in our survival. Only recently has the term “social” been applied to interacting online, allowing individuals to become virtually engaged with others who share common interests across the street or around the globe. And social network destinations are not just for adults and business people, they’re of great interest to kids. Many adults may first have become aware of social networking sites through high profile business acquisitions with noteworthy online companies like MySpace or Club Penguin. Kids, on the other hand, often learn about child-friendly equivalents by word of mouth, from friends at school or the playground.

But just what are the current growth trends? What is the makeup of existing social networking sites today and how—and better yet, why—are kids interested in them? Where are the new opportunities yet to be explored by future businesses? How can a traditional toy business better integrate these new virtual play patterns into existing physical products?

Worlds worth watching

One way to begin chipping away at these questions is to take a look at the wealth of social network products available on the market today. There are literally dozens of sites that people young and old use.

In fact, once a list of social networking sites is identified, a clear demographic split can be seen, and two distinct user groups emerge. One group includes children ages 12 and under; the other includes teens between the ages of 13 and 18.

What is this age group distinction about? In part, the separation has to do with privacy laws that protect young children online. Another factor is that each group comes to these products with a different set of social interests. There are also differences in communication style across the age groups as well as access to and understanding of different technology types.

Before building our list of sites, it’s important to identify the critical social networking features these destinations have in common. The criteria used for this article includes features that allow its user base to communicate with one another in a real time or a delayed manner using open chat, filtered chat, or canned chat —the three main methods of communicating online through such sites. The ability to communicate with other members in these sites is usually, though not always, accomplished through interacting in a virtual world. First, let’s take a look at a list of destinations that appeal to children age 12 and under.

Next, a similar list can be created for popular social networking services that appeal to users between the ages of 13 and 18. The method of communication in these sites for older users tends to be more open-ended and less likely to be monitored or filtered when compared to sites for their younger counterparts.

When the above two sets of data are mapped out over time and placed on top of each other, adding up the number of new social network products launched within each year for both age groups, some interesting trends present themselves.

[NOTE: This line chart above showing the two sets of historical data layered on top of one another did not make it into the magazine article. I am adding it here to the blog post only. -ST]

It’s impossible to ignore the recent growth in new social networking products launched each year that target children ages 12 and under. In 2007 alone there were at least 13 such products announced for this demographic. And 2008 is shaping up to be a banner year for new announcements. During this year’s Toy Fair, I counted 12 new social networking and virtual world announcements, products that have, for the most part, yet to go live. What’s surprising is that over the same time frame, social networking products that appeal to teens have remained somewhat steady in new business starts and consistent year over year. Yet, both demographics are experiencing significant activity in new membership growth and Web traffic month after month. So why is it that the younger demographic is experiencing a greater surge in business startups? Let’s explore a few theories that may answer this question.

Not all social networking products that are appealing to teens are developed specifically for teens. These destinations are often developed to appeal to audiences over the age of 18, but have found success with users between the ages of 13 and 18. Conversely, almost all sites for kids ages 12 and under are intentionally developed for these younger audiences.

It’s possible that older users of social networking products are more loyal to a specific social networking site, whereas the younger demographic is more transient in its social networking choices, preferring to use multiple sites over time instead of staying with just one.

The younger demographic may have greater turnover in users and shorter life cycles (churn) with social networking products that target them than their older counterparts. In the children’s magazine space, for example, it’s not uncommon to hear that an audience base and related subscriptions changes every 18 months. The same could be true for an online world created for younger audiences.

Many younger social networking services are tied to consumer products like plush toys or are affiliated with on-air television programming, whereas services targeted at older users are usually not. While an older demographic has more expendable income than the younger, it may also be a harder group to sell a specific consumer product to in a social networking manner based on ever changing consumer tastes.

Social network destinations that appeal to our older group may see significant growth in add-on services like widgets and other related micro businesses and technologies, whereas the younger social networking destinations do not have the ability to tie in other, similar business extensions.

While both age groups use avatars to represent themselves in an online world, the younger services rely more heavily on avatar use than services for older users. Representing oneself with an avatar online may have greater appeal with younger users.

Services targeting older users take advantage of additional forms of social engagement, like media exchange (photos, music and video). These are offered in addition to engagement through written communication. Few destinations for younger audiences offer the same opportunity to share different media types.

Social networking services for older users do not need to mask a user’s identity, though identities can be hidden, changed and altered at will. Younger services hide all possibility of making oneself identifiable online. The need to protect the identity of young users is a clear distinction that separates the two groups.

Revenue models differ as well. The services for older users rely heavily on ad-driven models. Some younger services also rely on “in world” advertisement but can also take advantage of tangible product sales and/or monthly subscription models.

A number of toy companies have taken steps into the online social networking world for kids, resulting in varying degrees of success. Some companies simply offer an online destination alone while others offer a tangible product (like a plush toy) together with a virtual product, each touching on a different play pattern or desire. Webkinz World and Club Penguin are often cited as exemplary successes in the kids’ space. Others, less so.

Almost, but not quite right

An offering like Mattel’s Barbie Girls is a high profile example of a site that hit kids’ engagement levels correctly but fell short with the related MP3 product that tied into it. It was a case of a strong online solution with a weak tangible product. Ty’s Beanie Babies 2.0 has the opposite problem. Ty’s plush toys are loved by many a child but its online offering falls short in ongoing engagement after its initial use.

It’s easier to correct an online shortcoming by continuing to evaluate, test, build and expand such sites than it is to correct a problem with a tangible consumer product once it’s in the marketplace, but getting both virtual and physical products correct from the first day of launch is vitally important. In the early days of Club Penguin, before the official launch of the site in October 2005, an earlier iteration of Club Penguin called Penguin Chat existed for a couple of years. It was extremely limited compared to other social networking products offered today. But the creators of Club Penguin continued to build and add to this first step with additional features and games. The same is very much true for Ganz’s Webkinz World. Both sites’ initial offerings were smaller than they are today, built largely on a shoestring budget, sweat equity and love, but both offered an acceptable level of quality content, quality experience and user engagement with kids right from the start.

Looking towards 2009, we will continue to see even more ways to engage in virtual worlds, resulting in unique and specialized methods of socializing and participating in communities online. Some technology products for holiday 2008 will connect to the Web via USB ports. Additional connectivity through cell phones or other mobile technologies could provide ongoing social opportunities when access to a computer is not available. Stay tuned for more innovation and opportunity in this ever-changing, ever-expanding online world for children, teens and adults alike.

There’s a cell phone ad on TV currently that asks why we still refer to our cell phones as “phones” since their capabilities have expanded far beyond that of just making a call. Cell phones today include digital cameras, web browsers, media players, games, and more. As cell phone features continue to expand, so too does the latest game playing device announcement from Nintendo.

On October 2, 2008, Nintendo debuted the next iteration of its popular Nintendo DS handhelds called the Nintendo DSi. It’s similar in appearance and functionality to the widely popular Nintendo DS Lite handheld, but the DSi will include the following additional features:

• Not one but two digital cameras, one that is a 0.3 megapixel resolution, the other a VGA resolution, both saving images at 640 x 480 pixels.
• a built in web browser
• an SD card slot
• a built in hard drive for storing downloadable games and photos (the hard drive size has yet to be announced)
• improved speaker quality and the ability to listen to MP3 files
• slightly larger screens (17%)
• a thinner footprint (12%)
• The DSi battery will recharge faster than the DS Lite battery, but the amount of time a user can play per charge is slightly less than that of the DS Lite (link)

Some minor UI changes have also been made, largely the power up slider switch is now a button on the lower left face of the device. The biggest news about the DSi is it will no longer be backward compatible with Game Boy cartridges, quite a change from Nintendo’s long standing effort to be as reverse compatible as possible. In order for Nintendo to shave 2.6 mm from the thickness of this new device, it decided to part ways with the GBA slot.

It’s also rumored that both of the screens found on the DSi would be touch-screen capable, but the rumor appears to be incorrect. The DSi will have only one touch-screen as is found on the original DS and DS Lite.

The new Nintendo DSi handheld will be available for sale in Japan starting November 1, 2008 but won’t make its way to North America until sometime later in 2009. One reason for the delayed US rollout as suggested in a recent Wired Magazine interview and detailed in PC World is that the Nintendo DS can be found in one of every two households in Japan (also one in every five people in Japan own a DS) while in the US only one in five households have a DS. US sales of the DS continue to be strong while sales in Japan are starting to wane. This DSi rollout strategy suggests that the DS still has a lot of selling life left in the US market before the new platform should hit North America, thus the delay.

Maybe one day if Nintendo adds cell phone capabilities to its handhelds, such a device will still be referred to as a gaming platform and not a cell phone, whereas cell phone companies that add gaming features are still selling cell phones. I imagine how we refer to this device has everything to do with Nintendo’s business position, that is to bring fun to everyone through its products. So let’s call a cell phone a cell phone, and a video game platform a video game platform. No matter how feature rich they become, it’s all about the company’s intent. Play on Nintendo!

(For some great images of the Nintendo DSi, visit Nintendo World Report.)

Last week I attended a conference called the Sandbox Summit in New York City. The Summit was a day long event with many noteworthy speakers who are software and content creators, child development experts, and reviewers of technology toys for children. The event’s main theme? The power of play and its ability to help facilitate learning.

Opening

During the opening keynote, speaker Andy Berndt, managing director of Google’s Creative Lab, described how almost everyone can remember a favorite toy when they were young (link to audio of presentation.) Andy shared his favorite play activity, that being a creative experience which involved the process of inventing new bicycles. When he was a child, what he did was take apart many different bicycles, and because bicycle parts for the most part are standardized in terms of their bolt sizes and screws used to make them, he was able to recombine different bicycle parts into unique, unusual, and exciting combinations. One could say that Andy’s open ended experimentation with bicycle parts was on par with play experiences found in Legos, K’Nex, Lincoln Logs, Erector Sets, and the like. What is it about Andy’s creative experience that can lead to insights on how best to help facilitate a love of learning? Read on.

The Importance of Play and its Relationship to Learning

The next speaker who I thought did a fantastic job of providing an overview on the importance of play and the learning opportunities that come from play was Nancy Schulman, the director of the 92nd Street Y Nursery School in New York City (link to audio of presentation.) Nancy shared with the audience that one of the best things about her job for the last 18 years was the wonderful opportunity to watch young children play. With that experience she has learned a great deal about the benefits of play not just for preschoolers, but for all ages.

Nancy expressed that educators, psychologists, and even the American Academy of Pediatrics have great concerns today about the quality of children’s play, how children play, and the quantity of time children play. Parents on the other hand express a lot of concern around wanting their children prepared for success at a very early age. Through her work, Nancy speaks with many parents. One of the greatest anxieties she hears from parents is that they want to be sure their child has every advantage, making sure that before they’re five years old they’ve mastered a second language, mastered every sport they might possibly play, and excel at playing a musical instrument as well. While child professionals are encouraging more open ended play in a child’s life, sadly most parents aren’t paying much attention to these recommendations.

When Nancy was asked “What types of skills do kids learn through play? And why is that meaningful in terms of a child’s lifelong appreciation for learning or confidence in their ability to learn?” she responded first with a quote from child development expert David Elkind of Tufts University:

“Play is not a luxury, but rather a crucial dynamic of healthy, physical, intellectual, social, and emotional development at all ages.”

Nancy then discussed each of these developmental benefits and how child initiated play can lay the foundation for learning:

• Social – “Through play, children learn to interact with others. Play prepares children for morale reasoning. They figure out how to resolve a problem with a friend independently.”
  
  
• Intellectual – “They learn to recognize and solve problems. Children get that feeling of mastery that only comes from when they’re challenged but not frustrated at the same time. In academic areas, play is linked to creativity, imagination, and problem solving skills and it lays the groundwork for successful learning experiences in reading, writing, math, and science. If you think about what children do when they play, it’s very language rich. They are interacting with words and language all the time and learning communication skills.”
  
  
• Physical – “In terms of physical development, they can develop through play fine motor skills, gross motor skills, overall strength and integration of their muscles, their brains, and their nerves. It sets apart a start in their lives for healthy living and fitness, which of course, can counter obesity as well.”
  
  
• Emotional – “Play is Joyful. It is probably one of the greatest underpinnings for later adult happiness. It can’t be underestimated how much happiness and joy have in terms of learning as well.”

Survey of Kids Opinions about Play

The next speaker who offered some additional insight into what kids think about their favorite play objects was Peter Shafer, Vice President of Harris Interactive (link to audio of presentation.) Peter shared with the audience a recent online survey conducted in collaboration with the Sandbox Summit of 1, 353 US children ages 8 to 18.

There was a wealth of data to digest in this presentation that spoke to tween and teen toy preferences as well as video games and digital toy products. In general I found this data interesting in that it backs up many gut assumptions about what different age groups prefer in their toy playing experiences.

One observation, it appears the definition of a “toy” was intentionally left undefined in this survey. Did survey respondents think a toy was a traditional toy, a technology toy, or maybe even a video game? Parts of the survey appeared to suggest what the differentiation of a toy was while other questions were not as clear.

Here are a few pieces of data I found interesting to pull out of the Harris Interactive Sandbox Summit survey press release:

“How much do you agree or disagree with the following?”
Summary of Strongly/Somewhat Agree

I call your attention to a couple of specific items from the survey (colored in light blue.) For the 8 to 12 age group the most popular response for a toy product was that it should be “entertaining” whereas with the 13 to 18 year old group there is a great appeal in products that “make me think”.

Best Practices for Developing Playful Products

After the Harris Interactive presentation, Carly Shuler, a Cooney Fellow from Sesame Workshop’s Joan Ganz Cooney Center and educational technologist Carla Engelbrecht Fisher delivered a presentation called “Fun Follows Function: Ten Tips for Developing Quality Toys”. Below I briefly outline each tip, but you can download an audio recording or download a PDF copy of the PowerPoint presentation here.

1. Bridge the gap between industry and academia – This first tip strongly suggests the benefit of bringing together multidisciplinary teams (child development experts, content experts, pedagogy experts, etc.) This first tip is one my company follows frequently. There’s a great paper by Brian Winn and Carrie Heeter, both from Michigan State University, about the important balance needed (and often the necessary heated debate) that comes from working collaboratively with multidisciplinary teams. A copy of this paper can be downloaded here.)
   
   
2. Incorporate research and testing in your product development and discovery process – Any amount of testing, large or small, will have a beneficial impact on your product’s development. From informal focus and user testing groups to serious product research efforts there’s a research approach that can fit your budget.
   
   
3. Track what users do in your product – There’s lots to be learned from watching how your target audience interacts with your product either informally or through data collection. Spend time analyzing what you find.
   
   
4. Read some research – Become familiar with the basics of developmental psychology for the specific age group your developing for. Doing this will help avoid reinventing the wheel. A handout was shared at the conference with many great places to jump start your research reading list. A copy of this reading list can be downloaded here.
   
   
5. Become an observer – Watch kids at play in the real world or even on YouTube (a cool suggestion offered by Carla). Watch how kids interact with products, visit playgrounds, schools, toy stores. Note what’s on the shelf and where it’s located. Also be aware of what’s on sale, it may provide a tip for what’s not selling.
   
   
6. Break the traditional model of one child per screen – Think outside tradition single player models. Think multiple players, or better yet, how can you actively encourage inter-generational participation! Think outside the keyboard box, consider alternative input devices (dance pads, guitars, balance boards.) Consider how you could combine virtual and physical worlds in new ways (like the success Webkins achieved with dual play patterns online and offline.)
   
   
7. Leverage consumer market trends for learning – Consider user generated content, online video, or casual game approaches. Be aware of these every changing trends and you just might find one that will greatly elevate the success of your product.
   
   
8. Go beyond the “3 R’s” – Think 21st Century Skills: Creativity, critical thinking, collaboration, communication. For more on 21st Century Learning Skills, download this presentation from the May, 2008 Joan Ganz Cooney Center’s first annual symposium.
   
   
9. Become familiar with various game mechanics – There are many different game mechanics that could increase interest and engagement in your product. Some old mechanics can be made new again with the newest technologies.
   
   
10. Tap into your own childhood – Everyone has childhood experiences that can help shape your product for the better. Tap into your own experiences as well as those around you.

Note about Virtual Worlds

Kids and virtual worlds was touched on a few times throughout the day but I thought the following statement was worth calling out in its own section. Peter Shafer of Harris Interactive indicated that we will see explosive growth in the area of virtual worlds specifically for kids. The numbers cited were that there are about 80 virtual world destinations for kids today and by the end of 2010 there will be more than 150 virtual worlds to choose from. For a current list of virtual worlds available, I have the following link to share.

Takeaway

So what’s the key take away for developers, innovators and creators of playful learning products for kids, whether traditional or technological? Here’s the secret sauce that was repeated over an over again through words and through examples:

• Make the play experience as open ended as possible. Think about opportunities for vast exploration, not a limited path of play. Include opportunities to fail as well as ones to succeed. Let each child develop their own unique path to play, one that is customizable enough that it appeals to a single user and flexible enough that multiple users can find their own unique approach.
• Bring together a variety of child experts.
• Become familiar with research.
• Watch your audience, get familiar with your audience, test with your audience.
• Try something new! Break the habit of relying on the same old technology and user input solutions.
• Think 21st Century Skills

Nancy Schulman also offered this sage advice:

“If your child can’t play with a toy in at least three different ways, leave it behind.”

And one last thought for making the next greatest learning toy, digital or otherwise… Think bicycle parts.

Referenced Products and Videos

Here’s a list of digital products and online YouTube videos that were referenced throughout the Summit.

This past week I was at Northwestern University to participate in a conference called Interaction Design and Children (IDC). It’s a fantastic event where researchers, developmental psychologists and technology inventors and experts gather together to share information, research, and advice about creating effective interactive experience for children through technology.

There were many interesting presentations and posters offered which I hope to touch on in the coming days. One presentation in particular I enjoyed was delivered by Erik Strommen, founder and developmental psychologist of Playful Efforts. Erik and I were on a panel together along with Kathleen Alfano, the Director of Research for Fisher-Price. The panel was moderated by Edith Ackermann, who is currently a visiting scientist at MIT’s Center for Advanced Visual Studies. Among Edith’s amazing credentials is that she also worked with and studied under Jean Piaget. All of us discussed the importance of research in the creation of successful interactive technology products for children.

After opening remarks from Edith, Erik began his presentation by stating he would not be showing any Powerpoint slides because he is a member of the “Informal Society for the Suppression of Powerpoint” (Erik worked at Microsoft for many years.)

Next, Erik discussed the difficulty of testing interfaces for software and technology toy products that don’t exist. In many cases, researchers will be brought into a product development team to explore the effectiveness of an interface that has yet to be built. In such cases when you’re called in, it’s your duty to determine how best to guide the development of these new interfaces.

An important quote Erik mentioned that’s worth repeating:

“New interfaces raise a blizzard of never before asked questions that challenge conventional wisdom. Only after collecting data and seeing how such interfaces work with children can you determine how effective these new interfaces will be with children.”

Here are a number of tips Erik mentioned to guide successful child/interaction research:

• Seek out “parallel literature” to inform your design.
  You may not find exact research you’re looking for regarding the new interface you wish to build, but you can learn a lot about how to inform your design by reading similar interface studies. For example, Erik recommends checking out “studies on social interaction and discourse patterns” to inform social interface design.
  

• When prototypes don’t exist, fake it.
  Erik referred to this as “Wizard of Oz” testing. This is when the “man behind the curtain” may be carrying out audio or other functionality needs as part of a down and dirty prototype to test with. Always remember you may not be able to recreate the entire experience this way, just the crucial testing parts. How you define the testing will effect your mock-up. Focus ONLY on the developmental issue that need to be answered. DON’T focus on the technology! Be concerned with timing and vocabulary in your prototype scripts.
  

• Understand the schedule and development process of your client.
  How much time do you have and where in the development process do you have the opportunity to make changes in the design? Definition of the interaction with your user needs to be defined up front. It is a deliverable that affects the entire development process, so work fast and deliver your findings early before crucial product development efforts begin.
  

• Keep everyone informed.
  Let everyone on the development team know when findings will be presented. Keeping team members informed as to the time when conclusions will be shared better allows for changes that can be incorporated into the development schedule.
  

• Be specific with your research question.
  Don’t ask overly broad or numerous questions that will keep you from ever finding the mission critical answers you need to inform you product development team. Remember, generally speaking, companies don’t want to pay for research and they don’t want to schedule research. But be ready, once the information is available, everybody will beat a path to your door for the results! Also be aware that the broader your research question, the more complicated your prototypes will become.
  

• Make friends with the engineers on your team.
  They will be your best allies for creating prototypes. Engineers also care about having answers as to how best to develop for a specific audience
  

• Don’t let the perfect be the enemy of the good.
  Early prototypes can be very different from the final product. You may not have the right characters or correct voices in your prototype but if you ask the right question, the results of your test will be invaluable. Remember, it’s the interaction that you are interested in testing. If visuals or character voices aren’t correct it will not threaten the validity of your testing.
  

• Document what you did and the conclusions of your research.
  People will challenge your results and you may not remember everything you need in order to support your conclusions. You may also need to refer to your notes in the future when conducting similar studies.

At the end of the Erik’s presentation, he showed a number of prototypes used in technology toy testing.

To see video of Erik Strommen’s presentation at the IDC event, click below: