What’s Next?: 2026 Trend Watch

Leading distributors and producers tell TV Kids how they are tackling the challenges of discoverability and funding and the trends they predict will come out ahead in 2026.

Leading up to last year, we all heard “survive till ’25,” as if the year would bring a correction that would set the industry back to how it was before. Alas, no such correction came. Instead, economic uncertainty continues, budgets remain tight, commissioning is down and buyers are still risk averse. Producers and distributors are coming to terms with the fact that the industry will never quite be the same.

“What we’re seeing across the kids’ sector is more of a structural reset than a short-term correction,” says Gia DeLaney, senior VP of global sales and content for kids and family at Boat Rocker Studios. “The ‘survive till ’25’ mindset was really a checkpoint, not a finish line.”

“While the year was widely anticipated as a recovery point for the industry, in reality, the most significant developments throughout 2025 were the continued recalibration of the kids’ content marketplace and the transition toward new business models,” notes Olivier Bernard, COO and co-founder of Kedoo Entertainment.

This continued recalibration has forced companies to adapt, leading to more innovative approaches to getting shows made and making sure they get in front of kids. Where there is change, there is opportunity.

“There’s a lot of negativity out there, but as Churchill said, ‘Never waste a good crisis,’” says Genevieve Dexter, CEO and founder of Serious Kids. “You’ve got to think: What opportunities does this [disruption] throw up for your company? That’s really what you have to analyze, rather than just closing your eyes, crossing your fingers and hoping something’s going to fall in your lap.”

Discoverability Dilemma
In a fragmented market with programming spread across a plethora of platforms, it can be difficult for kids to actually find content. Discoverability remains “the biggest challenge of all,” says Emmanuèle Pétry, producer and head of international at Dandelooo.

It is imperative to be everywhere kids consume content to make sure they actually find your programming. This means companies must have a deep understanding of kids’ behavior and ensure that a multiplatform rollout is part of the strategy from the very beginning.

“We rely heavily on data, analytics and fast iteration to optimize content for each platform,” explains Miguel Aldasoro, international sales and co-productions director at Ánima Kitchent. “It is essential to be where families are actually consuming content today, creating what they enjoy and how they like to watch it in order to capture attention.”

How they like to watch is just as important as where. “We’re actively exploring new short-form and interactive formats, ensuring our IPs meet young audiences where and how they consume media today,” explains Kedoo’s Bernard. “We make sure our content is optimized using real-time data analytics, allowing us to tailor production and distribution to audience behavior and preference.”

Both Ánima Kitchent and Kedoo have found particular success with launching IPs through a digital-first strategy. Ánima Kitchent reintroduced its flagship IP Cleo & Cuquín with exclusive content for YouTube, which caught the attention of kids and other platforms. HBO Max commissioned a second season of Cuquín as a result. The company is prepping the new series Howly & Wooly for digital as well.

Kedoo, meanwhile, debuted Booba on YouTube as a three-minute short. As it captured eyeballs and grew its fan base, the series was extended to five minutes and eventually seven and landed on Disney+.

“The clear winner for discoverability is YouTube,” asserts Albie Hecht, chief content officer at pocket.watch, which noticed the power of YouTube very early on and was launched to expand creators’ brands. Since the company operates “at the intersection of the creator economy and traditional entertainment, we’re able to develop shows that already resonate with kids before they ever hit a TV or streaming platform.”

While YouTube has emerged as a key way to get an IP in front of kids, some distributors have their reservations. Dandelooo’s Pétry says, “The YouTube situation in the kids’ sector is becoming extremely problematic fundamentally because it’s based on an unfair economic model. YouTube is not only capturing a major chunk of the advertising budget without investing a penny into the production of children’s programming, but they are also keeping the majority of the revenue as a ‘distributor.’”

Those who do regularly make use of YouTube, however, acknowledge that it has its downsides. “YouTube and other digital platforms do not allow impactful revenues from the start,” Bernard notes. But putting content on there is still vital, as it allows “studios to build recurring revenue streams over time to fund future episodes or projects rather than depending solely on sales.”

Finding Funding
And finding new monetization and funding models is vitally important in this day and age. Collaboration is a key part in pulling together a financial plan and getting projects over the line.

“Financing is now being shared more widely and strategically,” notes Boat Rocker’s DeLaney. “Co-productions increasingly involve multiple partners—producers, commissioners, distributors and even brands—often across several territories.”

“Funding models are becoming increasingly hybrid and performance driven,” says Ánima’s Aldasoro. “Advances, when available, are smaller and more selective and are often linked to clear metrics and proven traction. This shift is pushing producers to build smarter financial structures that combine co-productions, public funding and tax incentives.”

Pétry acknowledges the advantage of being part of the European framework and having access to the Creative Europe model. “It continues to help us create connections between production studios across countries, both large and small. In the current climate of global economic uncertainty, this is a haven—one we hope will continue to support our creative ambition and sustain our culture against the broader media turmoil.”

While markets like MIP LONDON remain important for making in-person connections, Serious Kids’ Dexter hopes to “see the return of territory visits” to forge stronger bonds and strengthen cross-border collaboration. “We always used to go visit one another in each other’s countries,” she remarks. “That does increase understanding between cultures. You’ll never forget the time you went to go and see SVT in Stockholm or TVO in Ontario. You never forget it, and neither do your clients.”

The Engagement Game
While funding and discoverability are major parts of an IP’s life cycle, another important step is finding ways to engage with kids outside of the main content, through gaming, toys, publishing and live events.

“For us, this comes back to [the importance of] building and managing an ecosystem around each piece of IP,” says Boat Rocker’s DeLaney.

Aldasoro notes that Ánima is working on consolidating its “brands beyond audiovisual content, expanding into consumer products and other touchpoints that reinforce long-term engagement.”

Hecht mentions that pocket.watch is exploring more opportunities for live events, a growing category in L&M strategies.

“Live experiences are incredibly important,” DeLaney says. “They give fans a personal connection to a brand while creating organic marketing and PR moments.” Boat Rocker’s The Next Step is going on tour this year, visiting Australia, Canada and the U.K. The company has also partnered with Pineapple Dance Studios for dance-based workshops tied to the choreography of the tour.

Ultimately, it is imperative to stay nimble with your strategy for engaging with kids. While YouTube and other online platforms like Roblox have been a boon for the discoverability (and engagement) conundrum, “with increased regulatory focus on age-appropriate protections and platform accountability, changes could significantly affect how kids discover, interact with and engage with content and brands,” DeLaney cautions. “This will likely influence everything from creative strategies to monetization.”

But companies have weathered this storm before. The last few years have been difficult, but if there is any lesson to be learned, it’s that flexibility is possible. “The industry has always faced challenges, and we’ve always adapted,” DeLaney says. “Often, those challenges push us to be more creative and thoughtful.”

Up Next
There are plenty of new directions the industry may go this year. One new trend “is going to be more closely examining the role of AI in our lives and see where we feel it can be demonstrably productive in the field of distribution,” notes Serious Kids’ Dexter.

Hecht notes that pocket.watch has already “embraced AI through proprietary tools that help us analyze themes and engagement across thousands of hours of content, as well as AI-enabled animation workflows that allow our best-in-the-business artists to bring their creative vision to life faster and more efficiently.” He predicts that “AI will play an increasingly important role, not as a replacement for creativity but as a powerful accelerator.”

Dandelooo’s Pétry notes the “growing emergence and importance of ‘sound.’ For example, we are seeing more radio stations dedicated to kids and a rise in podcasts. Some people are realizing that screens are overwhelming and erasing their children’s imagination. They are now turning toward the ‘open your ears, dear,’ approach.”

With the constant introduction of new technology, AI rapidly becoming more advanced and kids continuously finding and turning to new forms of media platforms, there is plenty of opportunity for growth and expansion in 2026.

“From all the way back in my early years in this industry, I’ve always heard the negativity—people thinking that our business would collapse within five years and joking that we should start thinking about a new career and maybe go and raise sheep,” Pétry says. “The fact that we stayed optimistic despite the bad news helped us survive and keep our head above water during the hardest years.”

“What excites me most is how much opportunity still exists,” adds Hecht. “The talent we are partnering with and the incredible ability to entertain, inform and communicate with audiences is expanding, not contracting. And so kids’ entertainment is evolving, not disappearing.”

At the end of the day, “kids’ content really matters—it shapes how young audiences see the world and helps build empathy, confidence, creativity and understanding,” DeLaney says. “The industry’s ability to adapt, collaborate and keep that sense of play alive is what makes it such a rewarding space. It’s also filled with incredibly passionate, creative people who genuinely care about delighting young audiences, and I’m excited to continue working alongside friends and partners as we navigate this next phase together.”