Driven by evolving, diverse consumer preferences, the global pleasure products marketplace is experiencing growth even as it overcomes challenges related to the economy, regulations and shipping logistics. Multiple factors are shaping the pleasure landscape, including technological advancements, innovations in product design and sustainability, the impact of digital marketing and ecommerce, and the varying degrees of openness toward sexual wellness the industry encounters across different territories.
In this special report, we explore these trends and challenges — because the better industry stakeholders understand these dynamics, the more ably they can navigate the expanding market, identify opportunities for growth and stay ahead in a competitive environment.
For retailers, distributors and manufacturers in the pleasure industry, understanding regional patterns and rhythms goes beyond tracking what’s trending on the shelves.
The Perks of Ecommerce
Ecommerce has, of course, been a game changer for the pleasure industry, empowering brands to sell internationally and in areas where brick-and-mortar stores may be limited.
“Many people also value privacy and discretion when shopping for sex toys, so ecommerce is the most popular shopping option,” Fun Factory’s Head of Global Marketing and Education Kristen Tribby observes. “Of course, marketing strategies will differ in various regions, but ecommerce lets us offer a broader range of our products to consumers around the globe.”
Additionally, ecommerce yields detailed analytics on customer behavior, preferences and sales trends, arming manufacturers with the data necessary to make decisions on inventory management, marketing strategies, distribution planning and the development of new products and brands.
Leveraging those advantages to help MyHixel achieve global reach, CEO Patricia López has made ecommerce a cornerstone of the brand’s business strategy since it launched.
“Ecommerce has allowed us to tailor our marketing campaigns to specific markets, utilizing data-driven insights to understand and respond to the unique needs and preferences of consumers in different regions,” she says. “This targeted strategy has increased our sales volumes and enhanced customer satisfaction by providing personalized shopping experiences.”
Eye of Love Vice President Jacqui Rubinoff notes that online platforms have also allowed brands to streamline logistics, making shipping faster and more efficient.
“Plus, the direct feedback we get from customers online helps us quickly adjust our offerings to meet their needs better,” she says. “Overall, ecommerce has expanded our reach and made our operations more agile.”
The ease of accessing international markets through ecommerce has also intensified competition, however, as ONE-DC Key Account Manager Davey Ottema points out.
“New businesses can quickly jump into the category, putting our existing partners under pressure, Ottema explains. “As a result of this trend, we decided to stop offering drop shipments, to support our existing and long-term partners. The prices of our products went up again, resulting in better margins.”
In a Tight Economy, Quality Is King
Yet amidst the overarching expansion of the sector, a worldwide economic slump has unfortunately put a damper on the pleasure industry’s blistering growth, at least in the short term. Customers are tightening their belts, prioritizing more essential purchases over extravagant encounters with the G-spot.
While this has put an economic squeeze on the industry, it has also been a catalyst for an even sharper focus on value and quality.
“Europe suffered the consequences of the very high inflation tide, and people modified their spending habits by focusing more on essential goods,” says Paolo D. Griffo, key account manager at Danamedic APS, maker of the MaleEdge and Jes-Extender lines of penis enhancers. “This of course reduced their budget for sex toys and sexual wellness items, and they are now very attentive to getting the best value for their money.”
This heightened attentiveness has translated into increased awareness of product quality and safety.
López notes, “Consumer demand has evolved significantly as more people seek to enhance their sexual well-being with high-quality, clinically proven products. What drives these customers is the desire for effective, natural solutions to improve their sexual health.”
One of the most pronounced differences is the emphasis on sustainability and ethical sourcing, especially in Europe. The same considerations are also gaining traction in the U.S., but still often take a back seat to price and convenience.
Ottema observes, “In Europe, there is a stronger focus on eco-friendly products, minimal packaging, and ethical business practices.”
Tribby adds, “By being transparent about these values and practices, you can not only win over the EU market but appeal to a U.S. market where customers may be finding that the brands they’re currently loyal to aren’t meeting their needs.”
For manufacturers and retailers, this means that innovation isn’t necessarily about offering high-priced technology to justify a “luxury” sex toy price tag. It is about delivering superior quality and meaningful experiences without compromising on ethical standards. No pressure, right?
Global Attitudes and Trends
For retailers, distributors and manufacturers in the pleasure industry, understanding regional patterns and rhythms goes beyond tracking what’s trending on the shelves. It requires a deep dive into customers’ lifestyles, and the shared values and broader societal movements influencing their purchasing decisions.
A prime example is the increased visibility of sexual wellness products in the mainstream.
Over the last two decades, the global visibility of sex toys has evolved dramatically, reflecting the growing dialogue around sexual health and a wave of sex-positive values. As societal attitudes become more open and accepting, shoppers are increasingly comfortable discussing and seeking products to enhance their sexual experiences.
Griffo sees European customers becoming better informed and educated about sexual wellness.
“It is finally becoming a mainstream topic,” he says. “Even in Italy, you can now find a popular brand of sex toys sold in a supermarket, which was something unthinkable a few years ago.”
Ottema attributes this change in large part to high-profile spokespersons.
“The endorsement of pleasure products by celebrities and influencers has helped to normalize their use and make them more accessible to a wider audience,” he says.
While some industry folks might shudder at the thought of another celebrity/brand collaboration, there can be no denying that such affiliations have become powerful tools in shaping consumer perceptions and driving sales.
The sex-positivity wave is still moving, of course. Openness to pleasure products is still in the nascent stage in many places. Ottema sees Latin America experiencing a quiet awakening, with Brazil and Mexico leading the charge, thanks to a young, curious population eager to explore their sexuality. In international territories with conservative cultural norms and legal restrictions, like the Middle East and Africa, the message is just now beginning to resonate with a younger demographic, especially in urban areas, in part thanks to an underground market. According to Ottema, these customers are motivated by “online discretion, diaspora influence and sexual empowerment movements.”
Kiiroo brand ambassador Kate Kozlova, a sex educator and adult retail expert who hosts the YouTube channel “InBedWithKate,” concurs, adding that in these regions, demand in the still-developing market is driven by “curiosity, a growing economy — including adult retail — and an increasing acceptance of pleasure products.”
Switching the focus to Europe and India, Kozlova finds those regions experiencing “significant demand for interactive functionality and VR-immersive experiences” as customers seek features that enhance user experience through personalization, adaptability and interactivity.
Céline Menting, the founder of Toulouse, France-based boutique Le Clef de Charmes, notes an increase in the popularity of innovative toys.
“People want to spice up their play and create their own world of pleasure by adding toys to their sexual life for more experience,” she said. “They want to explore other styles of pleasure beyond ‘classic’ sexual intercourse. In the last months, we have been selling a lot of the Snail Vibe brand because the products are innovative and versatile. There are many ways to use them, and people can easily take them on their pleasure journey.”
López has noted the same emphasis on technologically advanced products, not just in India but also other parts of Asia. She cites “advanced technology, particularly features like app connectivity and data-driven personalization” as features that resonate with the region’s tech-savvy consumers.
Regulations Watch
In addition to adjusting product development and marketing strategies to accommodate different cultures around the world, global pleasure brands must also ensure that their products comply with varying regulations. This requires a multifaceted approach.
ONE-DC decided to set up a specific department focused on compliance and regulatory requirements worldwide, Ottema reveals.
“The department manages all the varying regulatory environments across different countries by working together with local business partners who understand the specific regulatory requirements, implementing tailored compliance strategies and deploying trade compliance officers to handle customs and trace compliance, documentation, tariffs and other import/export requirements,” he shares.
López agrees that navigating different regulatory environments requires a deep understanding of local laws, certifications and cultural sensitivities. Her company, which sells its products in over 50 countries, also works closely with legal experts and regulatory consultants in each market to ensure compliance with local regulations.
“Our biggest challenge is navigating the regulations required to sell our products in countries with stricter laws, especially those outside the European Union and South and North America,” López says. “On the other hand, the clinical certifications of our products play a crucial role in allowing us to sell them as medical solutions in many countries, even though they are related to sexual wellness. These certifications validate the safety and effectiveness of our products and help us navigate regulatory barriers.”
Hot Octopuss co-founder Julia Margo urges brands with international customers to stay updated on regulatory changes across target markets and adhere to international standards, such as ISO 3533 for sex toy safety. She notes that battery safety standards and chemical safety regulations, such as California Prop 65, must also be met. Among recent challenges for global manufacturers is compliance with Australia’s new button battery safety laws, as well as South Africa’s battery laws, which obligate companies that import products to pay hefty compliance fees.
Svakom's director for the Americas, Joseph Petracca adds that beyond initial certification costs, lubricants and other topicals, which are considered cosmetics, can be even more of a challenge than devices when it comes to clearance times.
While long-standing international brands like Bremen, Germany-based Fun Factory may feel confident in their ability to abide by the strict standards of various countries, there are still plenty of challenges, Tribby says.
“With the increase in direct-to-consumer Chinese brands flooding the market in the EU, the regulatory agencies struggle to properly monitor the packages entering the countries, which allows harmful products to enter the market,” she explains.
Global Logistics
The biggest challenges in maintaining a global supply chain include fluctuating shipping costs and currency exchange rates, shipping delays that are sometimes beyond manufacturers’ control, customs clearing, and rising costs of components and materials used in devices.
“Over the last few years, we have faced many challenges interconnected with geopolitical tensions,” Kozlova says. “For example, the brand is no longer targeting the Russian market, which used to be a rapidly growing market of decent size, due to the inability to pay foreign vendors because of sanctions.”
Meanwhile, she notes, rising costs for transportation and metals have led to an increase in the cost of products, lowering buying potential. At one point, Kiiroo had to raise the wholesale and distribution price for its Keon device after component prices increased, but was able to drop the price shortly after finding a new supplier.
“Additionally, we need to look for new logistics partners if the current ones don’t offer acceptable services, rates or delivery times,” Kozlova says. “In a fast-changing world and economy, it’s crucial to think several steps ahead, have plans B, C and D in case the usual way no longer works, be ready to adjust to circumstances and stay positive, turning these changes into opportunities for growth.”
Margo cites the concentration of raw materials in fewer countries as another obstacle. To overcome it, she says, she is building strong supplier relationships and exploring opportunities for raw materials in emerging markets.
Petracca highlights the importance of the classification of products to minimize duties.
“A strong on-the-ground customs agent/broker can expedite processing,” he adds. “Also, the ability to forecast demand on an SKU level helps optimize freight on-time, cost and trend-right.”
Rubinoff also notes that seasonality and high demand from large suppliers can significantly impact the supply chain.
“To manage this, we strategically increase our inventory before peak seasons to meet customer demand,” Rubinoff says. “Additionally, we work closely with our suppliers to improve forecast accuracy and secure priority status, helping to mitigate risks associated with supplier capacity constraints. This proactive approach allows us to maintain a smooth supply chain flow throughout the year.”
Many international manufacturers have warehouses in different regions to mitigate supply risks. Ottema says ONE-DC also maintains safety stock and employs risk management strategies, such as scenario planning and contingency plans.
“Based on what we have seen and what is happening worldwide, natural disasters, political instability, pandemics, wars and trade wars can disrupt the supply chain at any point,” he says. “Right now, the biggest challenge is the closure of the Red Sea. As a result, containers have to take a different route, resulting in longer lead times. The concrete solution we are using here is to order further in advance.”
Sven Pelka, CEO of the German group EIS/Satisfyer/Triple A, notes that the company has several offices in Asia and an in-house team that manages quality control, both key factors in effectively maintaining a global supply chain. MyHixel has three warehouses located in Spain, U.S. and China.
While many brands opt for multiple logistics partners, Fun Factory has a single source that Tribby says minimizes disruptions and oversights.
“It makes things more straightforward and reduces our carbon footprint,” she notes. “By designing, manufacturing and shipping out of a single factory — in our case, an energy-efficient one out of Bremen, Germany — you have more control over your products. This means consistent product quality and shipping costs. I recommend going in-house for these processes. In the long run, it can help prevent disasters in case of another event like the COVID-19 pandemic, and will also minimize emissions.”
When in Rome: Culturally Appropriate Marketing
While a progressive approach to product development is crucial, with so many options available, manufacturers hoping for a bestseller in the crowded pleasure product market must to find a way to capture and hold consumer interest. The way a product is packaged and marketed to the public can be almost as important as the product itself; more often than not, consumers are initially drawn to a product because the packaging or marketing campaign caught their attention.
As mentioned, in recent years there has been greater emphasis on sustainability and preservation of the environment, especially in Europe. New EU regulations encouraging consumers to reduce, reuse and recycle have changed the standards of product packaging for many manufacturers. This is reflected in the way eco-friendly packaging has become a selling point.
“I think eco-friendly packaging is the priority for shoppers,” says Tribby. “All of Fun Factory’s products are 100% recyclable, and the packaging can be repurposed into games.”
The German company is also looking at the bigger picture, finding opportunities to impact the eco movement on a larger scale.
“We have partnerships that help facilitate an all-inclusive recycling program, which conserves up to 40 tons of materials annually,” she says. “We are very focused on eco-efficiency with a multifaceted approach.”
Tribby adds, “More global consumers are looking for brands that take their corporate social responsibility seriously and speak to their core values.”
Eco-consciousness is just one such value, albeit an increasingly important one. Other cultural and social dynamics can be equally significant in marketing pleasure products. Regional differences reveal the need for an intentional approach to retail product curation.
“We’ve found that the key is to conduct thorough market research for each target region so we can tailor strategies effectively while respecting cultural norms,” says Hot Octopuss’ Margo.
Ottema likewise emphasizes cultural awareness.
“When entering international markets, our packaging must resonate with local culture by reflecting the values and aesthetics of the target audiences and our brands,” he says.
Pelka details how Satisfyer addresses an international consumer base.
“By localizing our marketing in key regions, we ensure that our brand resonates with consumers on a personal level,” he says. “There are regional differences in how our products are marketed and perceived. We use localized content that speaks directly to the cultural nuances of our diverse customer base, whether through language, content focus or messaging.”
Pelka shares an example.
“In some international markets, cultural attitudes toward sexual wellness may require a more discreet or educational approach,” he points out. “Whereas in other markets, like the U.S., there is a growing openness that allows for more direct marketing strategies. In cultures where there has historically been a stigma attached to pleasure products, our marketing strategies are crafted to challenge taboos by promoting sexual wellness as a vital component of overall health and self-care.”
López cites such taboos as a key reason why MyHixel keeps its packaging simple, elegant — and discreet.
“Our customers can trust that only they will know what’s inside the package,” she says.
Ottema sees additional advantages to simplicity as well.
“Keep the packaging design and marketing simple and clear, making it easy for consumers to understand regardless of language barriers,” he advises.
Svakom’s Petracca feels that using customers’ native language in all consumer-facing communication is critical, as is thoughtful use of social media.
“What is consumer-target-reaching in one country may not be in another,” he explains, noting that manufacturers based outside North America need not rely solely on Facebook, Instagram or TikTok — and potentially run afoul of these sites’ censoring algorithms. In Latin America and Europe, for example, he has found private messaging platforms like WhatsApp Business to be critical in acquiring and retaining customers.
Driven by a potent cocktail of cultural awakening, technological advancement and a growing chorus of voices around the world demanding better sex and better products, the sexual wellness industry has finally emerged into the spotlight — and having taken its place on the global stage, it now faces truly global challenges and opportunities. This next step in the evolution of the pleasure sector will hinge upon its ability to innovate responsibly, curate products mindfully and cater to a vast audience regardless of location or generation. Considering the industry’s track record of resilience, adaptability and creativity, there are sure to be exciting developments ahead as it strives to satisfy that symphony of demand.
