There were plenty of questions when Toys "R" Us acquired FAO Schwarz last May about how it would operate an iconic toy merchant that was the virtual opposite of itself. One anser is now known: Toys "R" Us will open FAO Scwarz boutiques in each of its 585 stores in the U.S. beginning on Nov. 1.
"FAO Schwarz is known to kids and kids-at-heart for offering distinctive, unique toys and creating memories that last a lifetime," said Jerry Storch, chairman and CEO of Toys "R" Us, Inc., in a press release. "This holiday season we are proud to celebrate the legacy of the FAO Schwarz brand, making it more accessible to customers from coast-to-coast while creating new traditions for generations of children to come."
Each boutique will be located in a prominent position near the front of each Toys "R" Us store and will feature life-sized displays of the FAO Schwarz toy soldier.
The sections will sell tightly edited and affordable FAO Schwarz items ranging in price from $2.99 to $64.99. Consumers looking for the full FAO Schwarz effect, can go online to its website, www.FAO.com, or order through its holiday catalog. The catalog will ship to consumers across the country on Nov. 10. and include toys priced up to $1,499.99.
Discussion Questions: What do you think of the multi-channel approach Toys "R" Us is taking with FAO Schwarz? How much will the in-store boutiques affect sales in Toys "R" Us this holiday season? Will they, for example, get consumers to visit Toys "R" Us stores that might not normally do so?