Richard Dickson, president and chief operating officer of Mattel, shed light on the struggles, triumphs, and future of the iconic Barbie brand in a conversation with Fortune at Cannes Lions—the creative industry’s equivalent of the Oscars.

A challenging road

While Mattel’s legacy spans nearly eight decades, it hasn’t all been smooth sailing for Barbie.

Dickson acknowledged the brand’s past struggles, admitting: “Consumers didn’t think that she was relevant. She didn’t reflect the world that kids live in.”

This sentiment was reinforced by internal market research in 2014 that revealed Barbie’s diminishing appeal and her inability to inspire and represent diversity. Dickson said the brand hit its lowest point in over 14 years, marking a pivotal and arduous time for Mattel.

“Moms were choosing other brands besides Barbie; the business itself was reflecting that,” he said.

Reinventing Barbie

To reverse the decline, Mattel embarked on a comprehensive rebranding strategy, using a playbook which proved a springboard to many of the brand’s smash-hits.

Dickson outlined its four key components, the first being a reevaluation of the brand’s purpose. “Why do we even exist? What made us great to begin with?” he said.

For Barbie, it meant reigniting her original essence of “inspiring the limitless potential of girls,” a vision Ruth Handler, Barbie’s founder, embraced when she created the 11-and-a-half-inch doll.

The second component focuses on design-led innovation, ensuring inclusivity and representation through doll development. Mattel aimed to create dolls that mirrored the diverse world around us, including the release of its first-ever doll with Down syndrome.

Remaining culturally relevant is the third pillar of the playbook, enabling Mattel to tap into the pulse of society and connect with its target audience.

Finally, executing with excellence was paramount, ensuring that brilliant ideas seamlessly transition into tangible market offerings.

“Great ideas are great, but if you can’t bring them to market, they’re nothing but great ideas,” Dickson said.

A glimpse into the future

Today, Mattel stands on the precipice of a monumental theatrical event—the release of the Barbie movie starring Hollywood A-listers Margot Robbie and Ryan Gosling, which proved such an enormous production effort that it sparked a global shortage of hot-pink paint.

But that turnaround has only been made possible owing to the efficacy of the playbook in practice, and Dickson proudly announced: “We hit our highest level of business ever in 2021.”

Mattel’s journey of reinvention, however, does not end here.

Looking to the future, Dickson mapped out Mattel’s strategic vision—unlocking the value of their intellectual property, or IP.

While Barbie takes the lead with her foray into the theatrical realm, Mattel has a lineup of 13 other brands in various stages of film development, ranging from theatrical releases to television shows, live experiences, and digital gaming.

The objective is clear: to present Mattel’s cherished IP through captivating storytelling formats, thereby boosting toy sales, consumer product relevance, and impact across diverse categories.

With the Barbie movie as catalyst, it paves the way for an era of creativity and content creation at Mattel.

The company’s commitment to unlocking the potential of its IP ensures that audiences can anticipate more captivating movies and experiences to come.