If you're a devotee of Star Wars, Jens Kronvold Frederiksen may have shaped your formative years.
As a design director at Lego, headquartered in Denmark, he has dedicated the last 25 years to crafting Lego Star Wars sets.
"I approached my superior and insisted, 'You need me on this product line,'" Frederiksen recounted to CNBC. "To me, it was akin to living out a cherished fantasy. Star Wars and Lego in harmony, two passions united."
Frederiksen isn't alone in this sentiment. Since 1999, enthusiasts have flocked to embrace the franchise, acquiring everything from miniature Darth Vader keychains to Millennium Falcon sets priced at $850, boasting over 7,500 pieces. Additionally, the brand's reach has extended to encompass a variety of video games and a plethora of animated content on Disney+. It has even found a home in the virtual realm of Epic Games' Fortnite.
For Lego, the Star Wars license marked a groundbreaking venture, as it had never before ventured into producing official products tied to licensed intellectual property. Notably, the Jar Jar Binks mini figure represented the first instance of a custom head sculpt, departing from Lego's iconic circular faces, according to Frederiksen.
Today, Lego Star Wars stands as a paragon for the company's other collaborative endeavors—think Harry Potter, Batman, and Marvel's Avengers.
"We were introducing themes, but we didn't always link those to deeper narratives," remarked Jill Wilfert, Lego's head of global entertainment partners and content. "Observing the transformative effect it had, allowing individuals to unleash their creativity in novel ways, is what Star Wars facilitated for us."
Wilfert, a veteran of 36 years at Lego, revealed that there was considerable apprehension within the company prior to the Star Wars deal regarding third-party licensing.
"Once we witnessed its seamless integration and the positive reception it garnered, it certainly bolstered our confidence," she noted.
The collaboration with Lego Star Wars coincided with a tumultuous period for Lego. In the early 2000s, the company grappled with substantial debt, fierce competition from digital gaming platforms, and a portfolio that had become overly diversified, teetering on the brink of insolvency.
The robust sales of Lego Star Wars, alongside the success of Lego's Bionicle franchise, provided a lifeline for the company as it streamlined its product offerings and shuttered non-core ventures. In 2005, Lego debuted a Star Wars video game.
"It has enjoyed tremendous success and remains a cornerstone of our gaming franchise," affirmed Paul Southern, Disney's senior vice president of third-party commercialization and franchise development. "It birthed an entire universe."
A Force in the toy aisle
Twenty years later, Lego Star Wars remains a dominant force in Lego's sales, maintaining robust performance even in the absence of new theatrical releases.
The privately owned company unveils glimpses of its financial standing biannually. In March, Lego announced a 2% sales growth in 2023, contrasting with a 7% decline in global toy industry sales, as reported by Circana.
Once more, Lego Star Wars emerged as a primary driver behind these sales. Other successful lines included Lego Icons, Lego Technic, Lego City, and Lego Harry Potter.
Though the growth was less pronounced than in previous years—sales surged by 27% in 2021 and 17% in 2022—Lego continued to seize market share in the toy industry. Much of this success stems from brands like Lego Star Wars, appealing to a broad spectrum of demographics and generations.
Lego offers sets at various price points and difficulty levels, catering to children who prefer simpler models for imaginative play and to ardent collectors who seek intricate replicas of their favorite Star Wars elements.
The enduring appeal of the franchise is paramount. Lego can tap into nearly five decades' worth of content to captivate consumers of all ages.
"For us, the primary focus is on children," emphasized Frederiksen. "The model should not only be entertaining and inspirational to play with but also provide a gratifying building experience."
Hence, Lego exercises creative flexibility in its set designs. For instance, an Imperial Shuttle primarily consists of white bricks. However, presenting customers with a heap of white bricks would be "impractical and devoid of fun," Frederiksen noted. Therefore, Lego introduces variations in brick colors and detailing.
Although Frederiksen no longer designs products, he remains hands-on in assembling each set. It's essential for him to experience the building process firsthand.
To commemorate the 25th anniversary of the Lego-Star Wars collaboration and the release of "The Phantom Menace," Lego is launching several special sets, including the TIE Interceptor model priced at $230, a Mos Espa Podrace diorama at $80, a Droideka model at $65, and new BrickHeadz characters priced at less than $10 each.
"We observe a significant trend with properties like Star Wars, fostering family bonding," remarked Wilfert. "Often, one's introduction to Star Wars is through a parent who grew up enamored with the franchise. We recognize the importance of offering products that facilitate these intergenerational connections."
With the advent of new digital platforms such as video games and Fortnite, Lego can actively engage younger consumers.
"We strive to maintain a presence in platforms where we know children spend their time," Wilfert stated.
An even bigger galaxy
The Lego Star Wars brand has expanded beyond mere bricks and miniature figures—it has evolved into its own self-contained universe, according to Southern.
"The realm of Lego Star Wars stands as a distinct entity within our broader enterprise, making it exceptionally unique," he explained.
Southern was present at Lucasfilm during the inception of the Lego-Star Wars collaboration. Following Lucasfilm's acquisition by the Walt Disney Company a decade ago, he witnessed firsthand the growth of Lego Star Wars.
A significant aspect of this expansion is the humor associated with the Lego Star Wars brand, including comedic moments in video games and animated content.
"We've cultivated an ecosystem and a distinctive tone that permits us to explore avenues that are inherently playful and lighthearted," Southern remarked.
This humorous approach has also spilled over into other franchises.
"Star Wars paved the way for us to demonstrate how Lego can infuse humor and charm into intellectual properties," Wilfert noted. "We've found that most IP owners are quite receptive to allowing us a degree of creative liberty."
Through collaborations in video games and animation, Lego has partnered with a multitude of franchises, including Harry Potter, Indiana Jones, Batman, Pirates of the Caribbean, Lord of the Rings, Marvel, Jurassic World, and Pixar's "The Incredibles."
However, it all traces back to Star Wars, a franchise that continues to expand.
"We've harnessed the fervor that fans and children harbor for this brand and leveraged it across various domains," Southern emphasized. "In addition to video games, Lego Star Wars has ventured into publishing and even apparel."
The breadth of products and their strong sales prompted Disney and Lego to extend their Star Wars contract through 2032.
"The partnership has become more seamless over time, with individuals from both sides fostering longstanding relationships," Southern observed. "They're akin to family now—our interactions are candid, open, and highly collaborative."
The lengthy licensing agreement affords Disney and Lego the opportunity to collaborate on long-term initiatives such as video games, animation, and commemorative sets for significant anniversary milestones.
"We're marking 25 years of collaboration," Southern stated. "Equally important is our anticipation of the next 25 years, wherein we continue to evolve our partnership and ensure its relevance for future generations."
