Toys “R” Us Takes Express Route for Christmas
Toys "R" Us must have been really pleased with
the performance of the 90 Express pop-up stores it opened for last year’s Christmas
holiday season because it plans to open 600 this year. The toy chain operates
587 full-size permanent locations.
"By doubling the number of Toys "R" Us locations nationwide,
now more than ever we will be available when and where customers want to shop
with us this holiday season," said Jerry Storch, chairman and CEO, Toys "R"
Us, Inc., in a press release.
Mr. Storch told The Wall Street Journal, "The
numbers show we were able to add additional sales, rather than cannibalizing
sales from our free-standing stores."
The Express stores, which Toys "R" Us
began opening in June and will continue through November, are located in malls
around the country. Roughly half of the planned Express locations, which average
around 4,000 square-feet, are currently open.
The company will look to keep
some of the pop-ups permanent based on performance and favorable lease terms.
Eight stores from last year’s group of pop-up locations became permanent.
Discussion Questions: What is your reaction to Toys "R" Us Express
store strategy? Will we see many other retailers opening pop-up locations
for the Christmas selling season this year? How does this play into the current
state of mall vacancies?
- Toys "R" Us Announces Plans to Open 600 Toys "R" Us Express
Stores in Malls and Shopping Centers – Toys "R" Us, Inc.
- Toys R Us battles back with Express stores – Orlando Sentinel
‘R’ Soaking Up Mall Spaces – The Wall Street Journal