When you purchase toys, especially an expensive toy, keep in mind the use you may get out of it later as well. You can save it for another child or grandchild, or you can think about trading it for something else later. There are a couple of different options. You can trade things in at a consignment store, or sell toys there to make money to buy new ones as kids get bigger. You can also get an exchange program going with friends and family. When your little one no longer needs her tricycle, you might be able to trade it for a starter bike. Things like that. Keep the circle going and everyone wins.
There are also a number of sites where member can swap toys. Or sell them if they want to. The toy you get could may not be of the same value as the one you are giving away but at least you'll be getting a "new" toy for your kid without spending any cash. Once the kid loses interest in the toy [if it' still in a great condition] you can repeat the process.
Agreed...there are a lot of ways to make it last a little longer, even after your child's interest has waned. I don't swap very often but we definitely pass things down in our family.
I think with this day and age it is easier to save toys to sell or trade later on. Since we now have the technology, we can either trade or sell toys on craigslist to local people. The other option is letting people buy or bid on toys you want to sell off.