North America’s biggest party supplies retailer Party City has been named as one of the retail groups likely to step into the big box space left behind when the final Toys R Us stores go out of business.
According to the New York Post, Walmart, Target, Amazon and a number of other chains — including Party City — have been increasing their toy orders over the past several weeks as they look to carve out a share of the US toy industry, currently worth around $22 billion.
The last of the Toys R Us US branches are expected to close their doors in early July, leaving a significant chunk of that toy business up for grabs.
Party City buyers attended the TTPM toy fair last week in Manhattan, giving weight to the rumours that it will be adding toy lines to its current portfolio and is planning to open pop-up toy shops in the run-up to the Christmas season.
Jamie Uitdenhowen, a top Toys R Us executive, joined the Party City chain in December as chief merchandising officer.
“He has unbelievable relationships with the toy manufacturers,” said Jim Silver, president of TTPM, a toy review website. “Party City is going heavily into toys.”
Party City’s current retail operations include 803 company-owned Party City stores and 148 franchise stores. The franchise operator reported sales of approximately $26 million in 2017. It also opened 16 new stores, acquired 36 franchise stores and eight independent stores and closed seven stores.
