According to analytics firm Statista, in the United States, the revenue generated in the baby and child care market is estimated to reach US$508 million by the end of 2025. The market is projected to expand at a compound annual growth rate of 5.77 per cent from 2025 to 2030. One brand thriving in this competitive marketplace for childcare goods is Lalo. Just six years after launching as a direct-to-consumer (DTC) native brand, Lalo has accumulated over US$15.7 million in funding from ven
om venture capital firms, including Comcast’s Forecast Labs and Spin Master Ventures.
More recently, Lalo has expanded its omnichannel presence through a partnership with big-box retail giant Target.
But how exactly has this brand cut through in an industry that has traditionally been dominated by retail giants like Fisher Price?
By providing consumers, many of whom are Gen Z and millennials, with kindness, educational support and sustainable, high-end designs, according to Lalo’s co-founders Greg Davidson and Michael Wieder.
How Lalo is targeting young parents
In 2017, Davidson and Wieder noticed their friends, many of whom were first-time parents, felt frustrated and lost when shopping for baby items.
As Davidson recalled, “Michael and I were really trying to solve that problem by creating a brand that truly cared for parents, built high-quality beautiful products and could connect to the consumer as a lifestyle brand.”
From day one, the founders prioritised sustainability and safety in their product designs by using non-toxic, BPA-free and recycled materials.
They also focused on educating customers by offering one-on-one consultations, webinars and parenting blog posts.
“We’ve always prioritised parents’ experience and how we show up for our parents every day through our services, experience and purposeful product design,” Wieder said.
“Building trust with parents has always been our main priority, and it’s what has always made us stand out. We approach everything from a lens of love, support and care to build trust, whereas traditionally in the baby industry, there was a lot of marketing through fear… We don’t just want you using our products, we want to be there to celebrate with parents along the way too.”
A baby and childcare brand for the millennial generation
In addition to its recycling program that enables Lola customers to donate products they no longer use to families in need, Lola’s aesthetic approach to design is key to reeling in younger parents.
Rather than making plastic play kitchens in primary colours that would clash with most adult decor, Lola wooes stylish young parents with a US$395 chic play kitchen made with sustainably sourced birch plywood and solid beech wood and topped off with a non-toxic clear lacquer finish.
The brand also offers pastel-hued bath towels with the same monochromatic, luxury appeal as the millennial-favourite adult home goods brand Parachute.
Even the brand’s collaborations with popular children’s series, such as Paw Patrol, come in muted shades of pink, yellow blue and red, giving kids and parents products they can both thoroughly enjoy.
The brand’s understated but playful approach to design has caught the eye of retail partners like West Elm, Bloomingdales, Babylist, Pottery Barn Kids, Crate & Kids, a subdivision of Crate & Barrel, and, more recently, Target.
In March, Lalo launched over 40 SKUs in select Targets nationwide, with a larger range of products available on the retailer’s website.
The co-founders see this newest retail partnership as exposing them to a wider swath of American families and they are already at work on the brand’s next big project.
“We have a new launch coming this summer that parents have been asking for so we’re excited for that,” Wieder said. “We’re also doubling down our efforts on beautiful products designed with purpose, longevity and sustainability in mind.”
By offering high-quality childcare products that not only help young parents take care of their offspring but aesthetically fit in with their decor, Lalo has successfully managed to crawl its way to the top of the baby care market.