Yoto expands into Target's Play aisle as kids audio market surges

Yoto, a platform that offers story, music and learning audio for children, is shifting its placement within Target stores from the electronics aisle to the Play section, where families shop for kid-focused activities. The retailer will host live demo stations and an expanded catalog of more than 1,000 audio cards, including popular titles such as K-Pop Demon Hunters, Frozen and Minecraft. The company, which went live on Walmart.com earlier this year and opened a store in Canada's Indigo, also maintains a presence in the U.K. through Tesco and Sainsbury’s. CEO Ben Drury highlighted ongoing talks to deepen the Walmart relationship and expressed interest in expanding to Asia and the Middle East, noting the need for local partners.

Yoto reported $127 million in revenue for 2024, has been EBITDA-positive for three consecutive years, and logged over 22 billion listening minutes last year. The move aligns with growing consumer concern over screen time for kids and targets the holiday shopping period.