The Rise, Fall, and Zombie Resurrection of Toys "R" Us
pplpod16 Feb

The Rise, Fall, and Zombie Resurrection of Toys "R" Us

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"I don't wanna grow up, I'm a Toys 'R' Us kid." For decades, it was the ultimate destination for American childhood, but a mountain of private equity debt and the "retail apocalypse" nearly buried the icon forever.

In this episode of pplpod, we chart the turbulent history of Toys "R" Us. We trace the company's origins back to 1948, when founder Charles Lazarus started a baby furniture store that evolved into the world's first "category killer" for toys. We discuss the 2005 leveraged buyout by Bain Capital and KKR that loaded the company with $5 billion in debt, preventing it from competing effectively against Amazon and Walmart.

We also cover the emotional bankruptcy filing in 2017 and the total liquidation of U.S. stores in 2018 that left 30,000 jobs lost and millions of customers nostalgic. Finally, we look at the brand’s surprising "zombie" revival under WHP Global, including the massive partnership with Macy’s and the ambitious 2025 expansion plans that are bringing flagship stores back to malls across America.

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