A life-size Geoffrey Giraffe sitting on a seat for families to pose with will be featured in the in-store shops.
Toys "R" Us, once thought to be gone, is making a big comeback. One of America's most famous toy stores will be available in every US Macy's (M) locations in the coming months as part of an extended partnership with the toy retailer's parent company, WHP Global, reports CNN Business.
The stores will begin to open in late July through October 15th and will be all ready for the holiday season.
The in-store shops will be 1,000 sq. feet and span up to 10,000 sq. feet in size in its eight flagship locations. As per a release announced by the company, there is a possibility that the stores may extend an additional 500 to 3,000 sq. feet during the holiday season to offer an even wider assortment of products.
Hands-on demonstration tables, as well as a life-size Geoffrey Giraffe sitting on a seat for families to pose with, will be featured in the stores, per NBC News. These stores will first open up in Atlanta, Chicago, Honolulu, Houston, Los Angeles, Miami, New York and San Francisco.
Toys "R" Us, which was founded in 1948, declared bankruptcy in 2017 after incurring hundreds of millions of dollars in debt as conventional retail declined. The bankruptcy resulted in the closure of around 900 Toys "R" Us stores across the country, and approximately 33,000 layoffs. Further, the pandemic led the brand to close its remaining two physical storefronts by January 2021.
Toys "R" Us was bought for an undisclosed sum in March 2021 by New York-based WHP Global, a brand management firm whose other brands include Babies "R" Us, Anne Klein, and Joseph Abboud. The two firms agreed to sell toys on Macy's website and to build shops within stores in 400 department stores. Since last August, Toys "R" Us goods have been offered on the official websites of Macy's and ToysRUs.
Macy’s will add a Toys “R” Us shop to each of its U.S. locations by October 15.— MarketWatch (@MarketWatch) July 19, 2022
The shops will range from 1,000 square feet to 10,000 square feet for flagship stores in Atlanta, Miami, New York and other major cities. https://t.co/9IuMvbtJKK
Despite bearing the consequences due to changing patterns of consumers and competitors like Target (CBDY) and Walmart (WMT), both Macy's and Toys "R" Us have fared extremely well in recent months.
Yehuda Shmidman, chairman and chief executive officer of WHP, told CNBC, "We're in the brand business, and Toys "R" Us is the single most credible, trusted and beloved toy brand in the world." He added, "We're coming off a year where toys are just on fire. ... And for Toys "R" Us, the U.S. is really a blank canvas."
Toys R Us and Geoffrey the Giraffe have big plans ahead of the holiday season.— WFAA (@wfaa) July 19, 2022
Amidst the pandemic, toy sales arose, especially toy retail sales in the U.S. which increased from around $22 billion in 2019 to about $29 billion in 2021, according to NPD Group. This could have been a result of changed consumer behavior said Juli Lennett, vice president and industry advisor, Toys, adding, "The disposable income diverted from other forms of entertainment was a contributor to the industry’s growth as consumers continued to look for ways to entertain their children and themselves."
Cover Image Source: Getty Images/Spencer Platt