Consumer electronics continue to be amongst contenders in a highly anticipated sales challenge for this year’s top spots as the ranking champs this holiday season, and companies are already getting ready for the competition that comes along with enticing consumers to spend in the direction they would like to see. Today’s story covers a glimpse into the trends that make electronic toys and games attractive to retailers, and what some companies are already predicting for the months ending 2010.

Christmas 2010 is predicted to be a tough one, but it also comes with promises of bringing consumer sales to the outlets who have marketed and developed their selling strategies accordingly.

While demand for flat panel TV sets and related items are on the decline,  there are some goods that have been vying for attention from buyers, especially for those who cater to children.

To be sure, there are a lot of hot Christmas toy selections out there, and more will undoubtedly be revealed in time. On the other hand, there are a lot of consumers who will be very careful with their spending, which means the best of the bunch will be getting all the attention. It also means that there will be a lot of overstock and liquidations to pick up after the dust has settled in 2011.

One example of a game that is supposed to be making some waves will be based upon electronics design, allowing kids to come up with their own “circuit boards” on their own. Although it sounds high-tech and high dollar, the truth is that it’s not so different from construction sets of 50 years ago, and there will likely be many lower-cost variants that come up to compete with major brands.

Robots will be part of the new toy landscape as well, and companies like Playskool and Hasbro will be joining the race to furnish children with robots and droids that look and sound like the ones they see in the movies.

Mattel has entered the running with Loopz, an electronic musical game that brings creativity to the digital age, and provides some fun ways to develop an ear for music. In educational toys and games, there will also be new earning aids from old friend like Leapfrog, a veteran company in the electronic learning category.

Moderately priced electronic e-book readers will also be thrown into the mix, to expand upon an already strong e-reader and tablet community that’s picking up more speed on a daily basis.

In the world of gaming for those who want to expand upon their collections of game systems that support online experiences like World of Warcraft and other popular titles, there is even a freshly-hatched game console that’s already generating headlines. Panasonic’s “Jungle” game system is bringing the Japanese giant full-circle in to virtually every niche of consumer electronics out there. Rumor has it that there will even be support for true cloud-based gaming in this device’s design, and adoption of this not-necessarily-new concept could be the break cloud needed to make a strong entrance to the market in 2011.

Even with aggressive discounting being the catchword during the ramp-up to the 2010 holiday sales season, there is a lot of optimism surrounding an industry that has typically seen large numbers generated during this time. Margins may be affected by the slashed pricing, but a bump in employment could make things quite stable for the year end.

Best Buy CEO Brian Dunn describes consumer behavior these days as “episodic,” acknowledging every time that a new and exciting product hits the market, consumers still find a way to buy. This year, the company expects to add about 29,000 seasonal positions to the payroll at nearly 1,100 US stores.