In a change of marketing tack for WWE, its shows were recently given a PG rating for all of its TV shows, allowing more children to tune in.
WWE chief operating officer Donna Goldsmith said: "What Mattel is going to do that Jakks Pacific never did is make a line for young kids." Goldsmith also added that she hoped the deal would positively impact results in the second quarter of 2010.
Mattel will launch a new range of products for children aged six and over including Ultimate WWE Championship belts, megaphones, action figures, replicas of masks worn by wrestlers as well as a line of collectible action figures aimed at adults.
In the second quarter of this year, WWE derived 15 per cent of its revenue from consumer products, while live and televised entertainment contributed 79 per cent to sales. By catering to a younger audience, the firm is hoping to increase the sales of licensed goods.
The company also recently signed blue-chip advertisers like ConAgra Foods, PepsiCo and AT&T.
Goldsmith explained: "We have taken away some of the edginess, and as a result have signed on a number of advertisers."
Conagra had stopped advertising on WWE's top-rated SmackDown show in September 2000 after the conservative Parents Television Council, requested the food company to stop supporting the show due to its violent content.