N. READING, Mass., Nov. 20 -- Breaking into the toy business - a $20 billion industry dominated by a few big players - is a frightening prospect to most would-be entrepreneurs. But not to the unusual team of Nicholas Lopardo and Andy Winslow, the pair who brought "Construction Jack" to market.
Lopardo is the former CEO of State Street Global Advisors. He gained legendary status by growing an $18 billion investment fund into more than $727 billion. Winslow is a third-generation electrician who hatched the idea for Construction Jack after realizing that no such toy existed. With a tradesman's work ethic Winslow researched the action figure market, built prototypes, and sought patents. But he then ran up against the obstacles that keep most new toys from reaching consumers: funding, parts sourcing, production facilities, and marketing capabilities.
Then Winslow had a chance run-in with an acquaintance that happened to be the VP of Marketing for Susquehanna Capital Management - the investment holding company created by Lopardo to provide funding and technical expertise to startup companies.
"It took me about 5 minutes to see the potential of Construction Jack," says Lopardo. "The building trades represent a huge market and its members take great pride in what they do for a living. And 'Bob the Builder' has created a massive market of kids who are ready for a more lifelike action figure."
Since joining forces the pair has seen just how nerve-racking their new business can be. After working for months to get a prototype developed and manufactured in Hong Kong, the first shipment of figures - representing carpenters, plumbers, painters and electricians - nearly got mired in the recent dockworkers strike. And even with the success of getting the toy on the shelves of major retailers like Zany Brainy, Fred Meyer Stores, and Learning Express, they're still realizing the difficulty of going up against virtual icons like Barbie, G.I. Joe, and the Star Wars franchise.
But it takes an awful lot to daunt a pair like Lopardo and Winslow. 2003 will see the debut of Construction Jill, an African American Construction Jack, as well as three new trades: ironworker, landscaper, and mechanic.