Toys R Us operator, WHP Global, is pursuing an ambitious plan to open 120 new US stores this Christmas season. The private equity-backed brand management company is partnering with Go! Retail Group, an operator of seasonal pop-up stores, to establish the new locations, according to a recent announcement. Customers nationwide can expect smaller, temporary shops, the Boston Globe reported.
Jamie Uitdenhowen, Executive Vice President of Toys R Us at WHP Global, stated that they are uniquely expanding Toys R Us with their partners to reach customers where they are – whether in a standalone store in their hometown, within Macy's, at airports, or at the Navy Exchange.
Resurrection after bankruptcy
The brand's revival comes almost a decade after Toys R Us filed for Chapter 11 bankruptcy in September 2017. This led to massive store closures worldwide and affected around 33,000 employees. The COVID-19 pandemic hampered post-bankruptcy revival attempts by Tru Kids through a partnership with Target and pop-ups. WHP Global, which also manages brands such as Vera Wang, Express, and Marc Jacobs, acquired a controlling stake in Toys R Us in 2021.
Still in 2021, since the bankruptcy, WHP Global opened the first Toys R Us flagship store. The American Dream Mall of the Triple Five Group in East Rutherford, N.J., was chosen as the location. In the same year, the operator concluded an in-store partnership with Macy's.
Potential of brick-and-mortar retail
Despite intense competition from online retailers, WHP Global has several reasons to believe that investing in brick-and-mortar retail will pay off this Christmas season. US toy sales reached a six-year high earlier this year, and the profitability of nostalgia among Millennials and Gen Z is undeniable. To further develop, the new Toys R Us locations will offer experiential features, including sweet shops, cafés, and designated areas for in-store product launch events.
- —Woodbury Commons in Central Valley, N.Y.
- —The Westchester in White Plains, N.Y.
- —The Mall at Short Hills in Millburn, N.J.
The complete list of new locations has not yet been finalised, but confirmed hosts in the New York City region include Woodbury Commons in Central Valley, N.Y., and The Westchester in White Plains, N.Y., as reported by the New York Post. A new toy shop will also open at The Mall at Short Hills in Millburn, N.J. Most of the upcoming leases will have a term of 12 months, Alex Winkelman, Executive Vice President of Go! Retail Group, told the Globe. The openings will expand Toys R Us' retail presence to approximately 160 stores by the end of the year, complementing the shops within Macy's department stores. Expansion to selected airports is planned for 2027.
