Iconic brand Toys R Us reopens after bankruptcy
In 2017 Toys R Us fell into bankruptcy after an unsuccessful reorganization, and eventually closed all retail stores nationwide in 2018 after 70+ years of business. The iconic toy giant we all loved had a huge retail footprint, with the average store size of 40,000 square feet. With the rise of Amazon and eCommerce shopping, the retailer wasn’t able to pivot fast enough and eventually went under. Unfortunately, many other big name brands are suffering in the same way today. Most assumed they would never life ever again outside of the abandoned ruins which once thrived; however, out of nowhere, Toys R Us reopens with a whole new strategy.
On November 27th, 2019 Toys R Us reopened their first brand new store in Paramus NJ, and plan to open 8 more stores in the coming year. Under new ownership Toys R Us plans to roll out smaller shops at around 6,000 square feet. They will focus on winning customers with the use of in store technology and an enhanced shopping experience. The CEO of Tru Kids, who is the new owner of Toys R Us said that the stores will be
“packed with amazing brands, packed with innovation, and great technology”.
The smaller stores are positioned as a more intimate experience, as opposed to shopping in a giant warehouse, which will make it a fun and interactive child destination. The new strategy should drive more traffic into physical stores, allowing them to sell more per square foot, which will help them achieve long term success. Toys R Us has also tightened up their online strategy, by partnering with Targets’ back end ecommerce platform to fulfill digital orders.
It’s an exciting time not only for Toys R Us, but also for children and parents who grew up with the retailer. Be sure to follow @toysrus for a closer look at the new store concept, and also to hear about new stores opening in your area.