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Toys R Us (Or: Die, Dinosaur, Die!)

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SilverZ:
Sorry this got a little wordy.  :-\

I'm surprised the article about TRU's latest struggles hasn't filtered over here. So how does everyone feel if they lose their local TRU, or the current way they handle their SW product changes?

They're probably closing stores, and considering the mention of inventory liquidation, 2005 ordering is probably going to be much narrower selection-wise in their stores. We've lost FAO, and KB is a neutered den of irrelevancy. What if TRU chokes up and becomes irrelevant for us?

After some thought, I've concluded that they can just go away and I could care less, except for one major problem. Here's how I figure it:

TRU is a key vendor for a company like Hasbro. Can lines with shaky performance (the Star Wars line potentially included) withstand the loss of a huge portion of their sales, in what may be a quick climate change? I don’t see this being a problem with smaller companies like McFarlane, who have smaller production runs, and can more easily adjust their lines in both manufacturing numbers and wholesale allocations. But with a big lumbering giant like Hasbro, conditioned to dealing with other creaking B&M key accounts, making a successful transition for marginal lines like Star Wars to adjust for the loss of one of its main sales conduits looks like a major problem. I think this is the main area we can be stung in. We could lose the line if Hasbro isn’t prepared to transition sales away to other retailers during TRU’s potential coma or death. We could lose a convenient outlet for basic figures, and Hasbro could lose a bundle of cash without the outlet in place. I bet we see some toy lines die along with them, if it happens.

If TRU were gone, we could see e-tailers take a stronger role in mass-market non-kid/non-fad/non-movie-year toys. We could even see a post-TRU Amazon.com toy resurgence. We’ll undoubted see the big box stores expand their toy aisles. We’d hopefully see increased competition and variety of merchandise as they compete to lure the old TRU folks into their stores.

I could be wrong, of course.

TRU has been the leader on exclusive Star Ware items, at least in number. That loss could be a problem - on the surface; however, I think it may actually help this area of the line in the end, if TRU were out of the picture. While TRU has had a bulk of exclusives, Target is the place opting for higher-quality exclusive items. The B-wing, the new Slave 1 repaint, the A-wing repaint, all are great items. In contrast, the only ones TRU has offered that meet that level of quality is the retooled Landspeeder, and perhaps the new Y-wing. In cases where Target has erred and offered poor quality exclusives, like the accessory packs, they have quickly cancelled their deals for those segments. In contrast, TRU continues on, clogging their shelves with pointless and unwanted 4-packs, and accepted cheap Hasbro throw-aways like the new Jedi Council scenes, which look to be a complete failure in popularity. They've lacked any decisiveness or eye for quality products to offer their customers, where another competitor has excelled.

If TRU is gone, we could see Target and Walmart become the place for exclusives, TRU's absence forcing Walmart to step up to the plate and compete with Target with more exclusives and of higher quality.

I could be wrong, of course.

TRU is also, quite obviously, the most kid-targeted store. Its image is based on kids and toys in the most traditional of ways. It’s nearly oblivious to the man-child syndrome we have, and the fact there’s a new generation of young adults flush with cash in search of toys to relive childhood moments, and all the new ways that affects buying habits as we mature and have kids of our own. That, in turn, is an outdated attitude that their buyers come to toy manufacturers with. They approach outdated manufacturers like Hasbro, and base their product orders off outdated, outmoded assumptions. They see their core market as parents and little tykes on items that clearly, in the real world, appeal to an entirely different audience. Hasbro, being enslaved to their key accounts, falls into line, and tows the “Star Wars is for kids” mentality. What happens once one of the biggest voices in their misguided line direction up and dies of rickety old age?

If TRU goes away, Hasbro may be forced to look to collectors, finally and seriously, as the way to extend and maintain the line’s health. Imagine what a new competition for our dollars could do to the line in an increased war between Target, Walmart, and a growing online source could do to change the line for the better.

I could be wrong, of course.

I can also be extremely long winded!

My take is that this potential development may not be a bad thing in the end. It’s probably going to suck for a while. It could go bad really quick and make Star Wars collecting extremely annoying in the short term. But, in the end, I just don’t see them leaving any gaping wholes or new negatives with the hobby. We’d still get exclusives, and they may even be more focused, better quality items. We may see Hasbro forced to refocus their line on buyers other than their perceived core audience. We could see better distribution of figures through fewer stores carrying more merchandise. That’s how I feel, at least today. :)

-J

MetalJedi:
I think they should get rid of the TRU stores that rely on the Xmas season to stay afloat. Then go from there. They could also just do the online thing. That may work as well.

Chris:
TRU sucks. They should close. Wipe them out, all of them.

jokabofe:
i think i buy more toys at target and wal*mart nowadays then i do at toys r us anyway...

Mister Skeezler:
TRU is actually important for NYC, because we don't have any Walmarts around here. Target is a possibility, but our Targets aren't exactly the best in the world. In fact, TRU is where I usually find things. There, and online.

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