Could Toys R Us be Making a Comeback?
Earlier this year when Toys R Us shut it's doors, I was pretty bummed. As a collector of Transformers, this was an ideal place to stop to see what I could add to my collection.
The company had to close because it was $5 billion in debt. There were many reasons for this:
- Prices were high.
- Stores were only toys. Lots of overhead for a specialty store in the Amazon age.
- Let's be honest, after the age of 5, most kids would rather have an electronic device.
Toys R Us had a website to buy from but, in my opinion, it was clunky and disorganized. I never used it.
Last week, we got news that Toys R Us may be making a comeback according to CBS News. In bankruptcy court, instead of holding an auction to disperse it's brand, investors have proposed opening new stores as a better option.
I could see it working. Here's a couple of ideas I have if they do this:
- Make the stores smaller. Having Walmart size stores with nothing but toys just won't work in today's retail marketplace.
- Make prices more competitive. When you can go to Target or Walmart and pay $5 less for a toy, you lose.
I'm no business mind by any stretch of the imagination but I would think those are a couple of good ideas to bring things back.
"I don't want to grow up. I'm a Toys R Us kid." Sorry, that tune will never be forgotten.