Is TRU's FAO Schwarz Plan A Good Idea?
 

I don't understand it. Do they think the name will bring more people into their stores? I'd be interested in hearing the reasoning and research that brought them to this decision.

I don't really get it. They are basically going to have a section inside some TRU stores that is branded as FAO Schwarz, why? So they can charge more for the same product because it is FAO Schwarz?

FAO is a pretty much a rich person's toy store, so for me it feels out of place inside a TRU. Don't get me wrong. I very much enjoy the atmosphere inside of their stores. I think that is a large part of its appeal. Not sure if that will translate over to a small boutique section inside of another store.

No one's ever said TRU was smart. While it's intriguing to keep the FAO brand alive. What's the point behind it short of having some mall toy stores again?

They didn't really have anything specific that couldn't be found elsewhere cheaper so even the brand loyalty I don't get. And it's not like it'll reflect on the employees at all anyway since their HR department is so hit or miss on who they hire, let alone the corporate end who handles promotions and puts liabilities in charge of stores.

More stores though through malls could mean more diverse products being pushed which would be nice. Like while my TRUs are stuck at wave 4 or 5, the Mall store could have the bleeding edge new only of the 2010 waves, etc. Ditto to DCUC, and DCIH, or even GI Joe. But short of things like that. I really don't see this improving their business at all. Just hindering it on more wasted space like their grocery idea did.

I'm really not sure what the heck they've been thinking for the past 2 years. It's like bad choice after bad choice.

I can't say if it's a good idea or a bad idea. It seems like they are trying to make TRU stores a toy buying destination again, rather than just another place to go & check like it has been over the last decade. If it all works out, then Great!

I assume this is where they will sell the high priced or niche items in store, that a person would normally find or purchase online. I am guessing a lot of plush, all of the TRU exclusives (FAO exclusives?), things like the $500 Lego Millenium Falcon, Maybe an outlet for Mattycollector & such. I hope this means that TRU will be more inclined to have faith in more extravagant exclusives & reissues.

Agreed. They may even be able to offer imports as well as other high-end collectibles. If they are able to keep prices reasonable by buying in bulk and offering in-store pickup, they could position themselves to really compete against online retailers such as BBTS, Amazon and eBay.

Aside from that, it doesn't feel like that big of a gain for TRU, especially if FAO Schwarz is reduced to a single aisle or endcap display and a catalogue.

I like the idea, but I don't necessarily know if it's a good one. If they keep the FAO Schwartz section different and unique from Toys R Us, then I think it could work. They need to bring in items that are exclusive to FAO Scwartz for sure.

they closed or are remodeling the fao schwarz in las vegas