Toys “R” Us, the once-ubiquitous chain that attracted generations of children with its signature primary colors and mascot Geoffrey the Giraffe, will attempt a comeback six years after filing for bankruptcy. The company plans to open up to 24 flagship stores in the United States starting next year, WHP Global, its parent company, announced Friday.
WHP Global, which acquired a majority stake in Toys “R” Us in 2021, said in a statement that in addition to the new brick-and-mortar stores, Toys “R” Us will also open stores in airports and on cruise ships in a partnership with Go! Retail Group.
The first airport store will open in early November in Terminal A at Dallas-Fort Worth International Airport, one of the world’s busiest airports, ahead of the holiday shopping season, the company said.
Yehuda Shmidman, chairman and CEO of WHP Global, said in a statement that Toys “R” Us “is growing rapidly and our expansion into the air, land and sea is a testament to the strength of the brand.”
WHP Global, which also owns brands such as Anne Klein, Joseph Abboud and Bonobos, did not specify where the flagship stores would open in its statement. A spokeswoman for the company said “top locations” were being identified.
Toys “R” Us signaled the start of a comeback attempt in 2021 when the company opened a 20,000-square-foot flagship store at the American Dream mall in New Jersey. Toys “R” Us then opened 452 mini-shops in Macy’s stores throughout the United States.
The comeback attempt for Toy’s “R” Us comes at a difficult time for brick-and-mortar stores, as many have closed in recent years as they struggled with the continued growth of e-commerce and the impact of the coronavirus pandemic.
Founded by Charles Lazarus, who opened the first Toys “R” Us in 1957, Toys “R” Us was once one of the largest toy store chains in the world with stores in Australia, Asia and North America. But in 2017, the company filed for bankruptcy protection because it had long-term debts totaling more than $5 billion. Toys “R” Us closed the last of its 735 U.S. stores in June 2018. Toys “R” Us has a global presence with stores in Canada and South Korea.
Lars Perner, an assistant professor of clinical marketing at the University of Southern California’s Marshall School of Business, said he didn’t expect Toys “R” Us flagship stores to return.
“It’s more of a contrarian strategy when you see so many others pulling away from brick-and-mortar retailers,” he said.
It’s possible, Mr. Perner said, that nostalgia could play a role in driving business for the new flagship stores.
Many parents and children born after 1957 probably have fond memories of the roving giant Toys “R” Us stores, which stocked everything from scooters to video games to dolls and action figures. Some may remember seeing Geoffrey the Giraffe, the Toys “R” Us mascot, or own their own stuffed Geoffrey.
“If there are people who got gifts from Toys ‘R’ Us as a child and now have children of their own, that might have some appeal,” Mr. Perner said.
Mr. Perner said tapping into the travel industry could be successful, especially because research shows consumers tend to spend more money on vacations.
Still, Toys “R” Us’s new flagship stores will have to contend with companies like Amazon that give consumers the ability to shop from the convenience of their phones. The stores also have to compete with big box retailers like Walmart and Target, which Perner said “offer rock-bottom prices.”
“I think it could be something of a novelty in the short term,” Mr. Perner said. “I would have a hard time seeing this be successful in the long run.”