A toy story

Children make toy block constructions at an animation show in Hangzhou, Zhejiang province. Traditional construction toys remained the top sellers on Amazon China's 2013 toy sales list, accounting for 25 percent of last year's sales. Li Zhong / for China Daily

Traditional playthings are perhaps becoming a thing of the past in China, as technology advances globally and incomes rise nationally. Shi Jing and Wei Tian in Shanghai report.

Smarter toys for smarter girls and boys.

That seems to be the mantra of Chinese parents who are buying more high-tech playthings for their kids to learn from, according to industry research.

Traditional infant and construction toys remained the top sellers on Amazon China's 2013 toy sales list. Each accounted for 25 percent of last year's sales.

But "smart toys", such as jigsaw puzzles and electronic gadgets, are rapidly catching up. Each accounted for 20 percent of last year's sales.

"Urbanites' demand for toys is beginning to change as incomes and quality of life improve," Hong Kong Trade Development Council Research Greater China principal economist Billy Wong said.

"There's a shift away from traditional, medium- or low-quality, battery-operated toys, construction sets and decorative toys toward innovative electronic toys and intelligent toys as well as upmarket plush and decorative cloth toys.

"High-tech electronic toys have caught on in recent years. Interactive, electronic toys with relatively high technology have emerged as mainstream items. Another growth area is smart toys that inspire imagination and creativity, and enhance in-hand manipulation skills. Toys for both learning and fun are well received by children and parents alike. Regardless of the children's age, parents' main motivation is to develop their intelligence and inspire their creativity and imagination."

Guangdong Alpha Animation and Culture Co Ltd, China's largest traditional toys and games manufacturer by market share, according to the data firm Euromonitor International, offers plenty of electronic toys, such as talking hippopotamuses and cashiers, and even a miniature "learning tablet" for 2-year-olds.

Leading international toymakers are also stepping into this market niche. Hasbro's Furby, a toy that has been around since 1998, was one of the best-sellers last Christmas. The owl-like robotic figure has a new incarnation, with more expressive LCD eyes and even its own Apple and Android apps. The updates were developed to add another dimension of interactivity, taking into account that many youngsters now spend as much time on tablets as they do running around.

The tech trend was evident at this year's Hong Kong Toy Fair, one of the industry's biggest happenings.

The Smart-Tech Toys zone was a hit. Even traditional toys in the zone had been upgraded into smart devices with app functions. Some of the most popular displayed items were iPhone-powered stuffed animals, virtual pet rabbits and gaming computers for kindergartners.

One smart toy that attracted particular interest was Apps1010's new product, which uses an iTunes app to scan a toy and then converts the 2-D image into a 3-D cartoon.

With this, parents and kids interact and jointly produce something, rather than just passively watch the screen or play on their own, the company's CEO Winston Chiu said.

The fair also revealed that electronic toys are designed with parents in mind, too. This reflects such social trends as declining birth rates. And it counts on the number of adults in touch with their inner child.

Shanghai video game designer Xu Haobo adores toys. Xu owns a collection, ranging from Legos to myriad electronic planes and cars.

"I'm often ridiculed for this," the 32-year-old said, laughing.

"Sometimes, I talk to my toys. But I'm fine with it. It's a good way to relax and find inner peace. Children are usually carefree. Why can't adults live the same way?"

But some parents believe electronic toys may be less popular among children.

Cai Qi is disappointed her 2-year-old shows no preference for more expensive electronic toys.

"I try to keep him away from electronic devices (used by adults), such as the iPhone, iPad or even TV because they may harm his eyesight and can be very addictive," the 30-year-old said.

"That might be the reason he doesn't like electronic toys. To him, a talking electronic cat and a Lego are no different. So he only has three electronic toys at home. He doesn't like them. Parents end up being electronic toys' users."

Cai said parents pin hope on electronic toys to boost children's intelligence.

"But this is actually a myth believed by parents," she said.

"Children have their own preferences. They can build up their analytical and manipulative abilities by playing with the most traditional toys, such as Legos."

Zhejiang province-based Ningbo Jinfan Toy Co sales manager Ye Shuhui said the company sticks to the traditional plush toys it has produced since it was founded 10 years ago.

While business has decreased over the past two years, seemingly due to the country's economic slowdown and less-promising export outlooks, the company does not plan to change course.

"It would require extra investments, including those in electronic modules and designers," Ye said.

"But, most importantly, we believe it will be a long time before electronic toys overtake the market. I believe traditional toys are the best and safest. They help a child's intelligence. Parents shouldn't put all their eggs in one basket."

Lego, a traditional industry leader, has expressed interest in the Chinese market and plans to focus on its areas of strength.

Lego Group's global CEO Jorgen Vig Knudstorp said the growing number of affluent Chinese families have made it the Denmark-based manufacturer's fastest-growing market. Its revenue grew 50 percent on the Chinese mainland last year.

"We are now significantly putting the flag in the Chinese market and in society. We want to be part of the modernization in China," Knudstorp said at the construction ceremony of Lego's first factory in China.

The plant in Jiaxing, Zhejiang province, along with Lego's plan to set up a distribution center in Shanghai, will help Lego to react faster to the Chinese market, he said.

But Lego would not attract Chinese customers through price, given the brand's globally unified standard, Knudstorp said. The company's business will rely mostly on an expanding middle class and increasing awareness of early education.

"Chinese parents are concerned about their children's competitiveness to survive in society. Their focus is on the children's learning," he said.

"There is an opportunity for us because our products offer children something to learn when they play."

Ultimately, for better or for worse, the market will likely decide the ratio of high-tech and traditional toys parents buy for their kids.