This is the way, indeed.
I seriously hope Jon Favreau is being paid well by the Walt Disney Company, especially after JJ Abrams did all he could to kill the MouseHouse's merchandising of the Sequel Trilogy. Without getting into my opinion of those films (the short skinny: I didn't care for them), I certainly understand that the acquisition of the George Lucas entity was, largely, due to the ongoing profitability demonstrated by action figures, t-shirts, book tie-ins, etc.; and on that front The Force Awakens, The Last Jedi, and The Rise Of Skywalker failed (miserably) to build an Empire all of its own.
By contrast, Favreau's The Mandalorian is definitely going gangbusters at pleasing old fans while bringing ample new ones to the corporate trough. Clearly, Walt Disney was caught off-guard as they'd expected better from Rey, Finn, and Poe (three stooges if there ever were), but now the future looks bright for Grogu, Mando, and even the controversial Cara Dune.
This morning, I stumbled across a posting regarding some of the newest additions to that growing universe of consumer goods (link), and I'm happy to give it a plug in this space. Interested persons (with credit card handy) might wanna head over there to scarf something up before they're all gone and thus be forced to sell a kidney to get some of these first editions on Ebay.
As always, thanks for reading ... and live long and prosper!