The toy retailer has made a stunning come back, with the brand’s parent company signing a new licensing agreement.
Good news for all Toys‘R’Us and Babies‘R’Us fans in Australia and New Zealand, with Hobby Warehouse relaunching the two brands online this month.
The US-based parent company, Tur Kids, has signed an exclusive licensing agreement with the independent Australian retailer, which includes rights for Hobby Warehouse to sell through the www.toysrus.com.au and www.babiesrus.com.au websites.
“We are delighted to bring the much-loved brands of Toys‘R’Us and Babies‘R’Us back to Australia and to introduce them to New Zealand,” says Hobby Warehouse chief executive, Louis Mittoni.
“We believe play is extremely important in the development and wellbeing of children and in their interaction with family and friends. Play enables children to develop their imagination, collaborate, problem solve, explore, create or simply express themselves spontaneously.
“Our mission is to encourage children to engage with as many forms of play as we possibly can. Hobby Warehouse is a digital native with a keen understanding of how to accelerate and match the requirements of the modern shopper.”
Same day delivery will be available in metropolitan Melbourne in the short term, which will be expanded to other metropolitan areas in Australia and New Zealand later in the year. Also, Hobby Warehouse will launch physical experience centres for both brands early next year.
“Previously, the Toys‘R’Us and Babies‘R’Us business model in Australia was focused primarily on large, physical retail stores which had high fixed costs and extended periods of relatively low sales due to seasonal factors,” explains commercial advisor, Kevin Moore, who was part of the licensing negotiations.
“Going forward, the business model for Australia and New Zealand will be online focused, with smaller and fewer physical ‘experience centres’ that allow children and their families and friends to see and touch our products.”
Tru Kids’ license partners currently operate over 700 Toys’R’Us and Babies’R’Us branded stores and ecommerce sites in more than 25 countries across Asia, Europe, Africa and the Middle East, with over US$3 billion of retail sales in 2018.