In 2009, Toys "R" Us opened 90 of its Express pop-up stores for the Christmas selling season. Having achieved success, the company decided to open roughly 600 Express locations this past holiday. The pop-up locations averaged around 4,000 square feet.
A RetailWire poll before the holiday showed 50 percent of respondents expecting the pop-up locations to provide Toys "R" Us with a big lift for the season with the balance expecting the Express stores to give it a medium or small boost.
Results, according to unnamed sources who spoke to the New York Post, were below expectations. While many locations performed well, the chain probably took space in some poor locations.
Another factor that may have affected results were higher than expected prices for space, reportedly bid up from competitors including Walmart. Another unnamed source told the Post that Walmart considered setting up toy-themed pop-up locations although it eventually decided against it.
Looking ahead to this holiday season. Toys "R" Us appears intent on pursuing its pop-up store strategy again. The question is whether Walmart, with much of its focus on opening small format stores, will go the pop-up route as well.
"There's still the perceived threat that the machinery is now in place and Walmart might try to hit them this year," a source told the Post.