Page 26 - Toy & Hobbly Retailer Magazine August-October 2019

NEWS EXTRA
TOYS R US RETURNS
Mittoni says that the eBay launch was received extremely well, a sentiment that Haigh backs. “We commenced with a lighter availability
of product – I think we launched with around about 3000 to 4000 products – and already have started building that, I think we’re probably close to 5000 products and it’s increasing each week,” Mittoni explains.
“The initial week was received very positively. It kicked off with a sale and promotion period and we’re going to continue that,” he says.
However, the TRU business isn’t going to remain online-exclusive, with plans to launch physical ‘experience centres’ in 2020. The planned stand-alone locations will incorporate digital elements – such as digital price displays which reflect online pricing in real-time – to bridge the gap between the online and offline shopping experience. The centres will give children the opportunity to play and interact with products before purchasing Mittoni says.
“The shopping experience will be enhanced digitally to allow shoppers to experience the real world but have the benefits of the digital world as well, that’s our overall vision.
“The experience centres will allow children and their families and friends to see, touch
and play with products and we expect that the centres will be supported by our partners to create the same shopper energy as benchmarked in experiential stores like Hamleys in London and FAO Schwarz in New York.
“They’ll be slightly smaller physical footprints but will focus on those elements that I’m referring to in terms of the playing elements
and really experiencing the products, so it’s not just about the products, it’s about the play and the experience,” he says.
On the business facing side of TRU, Mittoni says that the response from the Australian toy industry has been extremely positive.
“We’ve been amazed at the support from suppliers and partners and even former employees.
“We had well over 400 applications for careers in the last few weeks – it’s something like 420 or 430 as we speak – and around about half of them were former employees of TRU, so all of the employees had that special connection, as many Australians do with the brand. It’s such a charismatic brand that’s important to Australians.
“We want to create the same shopper energy as benchmarked by Hamleys in London.”
“We’ve talked with suppliers, we’ve had such a huge amount of support from them, plus merchants, service providers, data partners, really everybody.
“Through all of our meetings the suppliers recognise the need for a company like
TRU that’s very focused on toys. It’s an overwhelmingly supportive environment and message that they’re providing to us,” he says.
Haigh echoes Mittoni’s comments, saying that from eBay’s perspective, there was no hesitation to partner with TRU.
“It was very polarising and blunt overseas in regards to the reporting around the original TRUs’ demise, the factors that led to that and the impact that it had on the employment, the people and the economy from a toys perspective. But in Australia that exit was probably a little bit softer because of the lead time and the writing being on the wall.
“So we were super confident that between the great leadership at Hobby Warehouse and how they’ve handled their existing business and the tools and the levers we have as eBay, that we would be able to help them re-establish the brand and re-ignite that love and passion that Australian consumers had for it previously,” Haigh says.
Based on the industry response and how the business is tracking so far, Mittoni anticipates a bright future for the TRU business in Australia.
“We’re quite unique in the sense that we’re the only fully-integrated baby demographic, through to toy, through to hobby which really covers a [wide] demographic.
“What we discovered in Hobby Warehouse was how to connect with our shoppers on a deeper level than just presentation of products and prices.
“Our role and our mission is to really help families come together and enjoy a wide range of toys together in that environment and realise just how important they are,” he says. ❉
Online retailing is a key strategy for Toys R Us’ return to Australia.
26 TOY & HOBBY RETAILER AUGUST / SEPTEMBER / OCTOBER 2019