David F. Sandberg decided to go by Logan rules for Shazam!, imagining that the events of Man of Steel and Batman v Superman had really happened prior to Billy Batson’s origin story, but there was also the side of the world where action figures and such were made as a result of these occurrences. It definitely makes sense and grounds the other films in the “reality” of the DCEU. When you think about it, if Superman really did roam the skies, we would most certainly have merchandise in his image, even if he wasn’t necessarily on the side of the public as a whole.
