Toys R Us Closing Impact
After 70 years, Toys R Us recently announced the liquidation and closing of its US and UK stores. This will impact a total of 800 some stores and 30,000 employees and the landscape of toy shopping.
Toys R Us has long been the fantasy shopping outlet for children and toy lovers around the world. It has been also a major source of business for toy manufacturers.
After years of expansion, Toys R Us found itself at the mercy of online retailers like Amazon.com.
Large retailers have a long cycle time from placing orders to stocking their warehouses and eventually store shelves. This makes them slow to respond to quickly shifting fads and short attention spans of buyers.
Consumers are taking advantage of the liquidation sales, so the buyers were always there. It’s just a too bad that Toys R Us couldn’t come up with the right formula to bring in those customers before it was too late.