Here's some free advice, take it for what it's worth.
For a rod/reel, I shy away from products pitched specifically at kids. They're usually lower quality. For a small kid starter rod I suggest either a Dock Demon or Dock Runner spincast setup:
The pole is unbreakable, and the reel is nothing to write home about but does work. The biggest problem I've had with combos like this is the line that comes pre-spooled on it. It tends to have a lot of "memory" and be low quality in general. You can see the "memory" of the line as when you cast it out it looks like a slinky instead of a straight line. This hinders you because you generally want "tight lines" so you can immediately put tension on the line when you sense a bite.
For kids, I have learned that quantity of fish beats quality of fish every time. Kids get bored fast. They want action. I've found that the best way to catch a ton of fish fast, and keep kids engaged, is to take up "micro fishing", or the art of catching small fish. This is best accomplished with small hooks, and small bobbers. I prefer live bait, although you can also use plastic worms, canned corn, etc. You can often find a ton of small fish clustered in the shallows, around dock pilings, etc. while the larger fish are deeper or further out. Small fish also seem to lack a self-preservation instinct, and if they can fit it in their mouths they'll go for it.
Here's an example of a hook kit for a kid. I might even get smaller hooks than this:
To set it up, thread the line though the rod guides, and then tie the hook on the end of the line. After that, crimp a small split-shot sinker about 6 inches above the hook. Put the bobber about 6-18 inches above that (adjust as needed while fishing). Bait the hook, and cast. The bait should be cut up so that it fits on the hook and not much more.
Good luck!