RIP Toys R Us
- Thread starter Mook
- Start date
Lets see here, the hard case for my kid's switch and a pack of Hatchimals (I call the crackamals for their addictive qualities) showed up via Amazon today.
I must be the only kid who had a lot of cool toys but never ever as a child went to toys r us.... I seriously have no connection to that store ever. The one time I ever went there was to buy a PS3, but I was like 23 at the time and the only reason I went there was I met a hot chick that told me she worked there and it’d help her out if I opened a credit card there so I did and got the ps3 I wanted anyway and just paid the bitch off right away.
Oh and the hot chick? Everything worked out perfectly
Oh and the hot chick? Everything worked out perfectly
Not sure how reliable but this articles states Amazon is about 5% of sales while the king is Walmart with 30% of sales. Toys r us is was 18% of sales.
https://bizfluent.com/info-8479565-biggest-toy-retailers.html
https://bizfluent.com/info-8479565-biggest-toy-retailers.html
10% is not an 'insignificant' amount of sales to loose overnight for companies that are that large.
Smokinhot
3-man rules!!!!
I guess I shouldn't have said only 10% it is a large amount to lose overnight.
While I won't disagree that Amazon and online retailers are the ones killing the brick and mortar stores, that ISN'T the sole reason why. It's part of it, but some brick and mortar retailers are actually holding their own. Buying on the internet IS easier, but sometimes there are things that you want to touch, see in person, etc, that can only be done by going to a store to do that...
With that said, working in a failing brick and mortar, putting aside Amazon for a second, what's killing us (brick and mortars) is strategic decision making. That leads to;
1) Lack of investment in stores. Who wants to shop for that new pair of jeans or a bra in a store with half the lights out, ceiling tiles that look like the roof has been leaking for a decade, and floors that are dingy and have broken tiles, etc... You want to shop in something nice, with nice displays, ample, bright lighting, etc...
2) Lack of investment in systems. This is directed at multiple points within the company. Lack of investment in your POS system. Having a register(s), placed at points throughout the store, or all up front, with a patched together box that's been in use since 1977, isn't fast or inviting. Investing in your network on the back half for network reliability isn't helping the first part. Investing in your network for us on the support side has us in decades old systems, programs, and processes keeps us from being pro-active in trying to get ahead of the curve and make those strategic decisions when we're always behind the 8-ball playing catch-up.
I will further add, that lack of investment in efficient distribution systems to take cost out of the supply chain in order to replenish stores also hinders you against places like Amazon that only has to worry about having a few distribution systems throughout the country, and that is reflected in pricing. So closing up distribution points isn't a solution! Closing under performing stores is a smart decision. Closing a distribution center close to the stores that ARE performing isn't! Sadly, we do the later...
3) Touting and promoting a silly, costly, and complicated to the consumer, rewards program that other than giving you "statistics", doesn't drive revenue! Yea, it's great our "member penetration" is increasing. That doesn't mean that they're coming back and buying more! Sending them a surprise reward via email for something that they just purchased proves you don't get it as a retailer (I have a story about a co-worker who just bought tires from us, that no sooner than 20 minutes after buying them, got a reward for his next purchase of tires... Mind you that reward expires in 90 days... Uhh, ok). While using digital marketing (I.E. email), is very cost effective vs. traditional print and media marketing, it is annoying to the consumer and usually just gets deleted. I work here and get spammed by us 20+ times a day... Matter of fact, as I was writing this sentence, I got another in my inbox, which will just get deleted.
Further, make it simple. Kohls... If you spend $50, you get $10 back in Kohls cash. BOOOM... Simple. Us on the other hand, you get 10% back in "points" if you buy what we consider a "hardline" product, or 15% if it is a "softline" product, and then based on purchase amount, we may add "surprise" points at some given percentage, and then if you shop on Thursday between 2:00pm and 2:05pm get an addition 20% in points... Oh, and what we give you expires in 90 days and CAN'T be used on your current purchase. It's for when you come back next time. If I have to break out a calculator to figure it out, YOU'VE FAILED!! Just tell me. You spend $1,000 on that new tractor, we'll give you 10% off! BOOM, I can do that math in my head.
Recently they took our employee discount away in favor of us getting points rewards. I was told that I "need to change my shopping habits" Umm, yea, fuck off! But this is the same as the consumer is saying with their dollars... And you wonder why we're failing...
With that said, working in a failing brick and mortar, putting aside Amazon for a second, what's killing us (brick and mortars) is strategic decision making. That leads to;
1) Lack of investment in stores. Who wants to shop for that new pair of jeans or a bra in a store with half the lights out, ceiling tiles that look like the roof has been leaking for a decade, and floors that are dingy and have broken tiles, etc... You want to shop in something nice, with nice displays, ample, bright lighting, etc...
2) Lack of investment in systems. This is directed at multiple points within the company. Lack of investment in your POS system. Having a register(s), placed at points throughout the store, or all up front, with a patched together box that's been in use since 1977, isn't fast or inviting. Investing in your network on the back half for network reliability isn't helping the first part. Investing in your network for us on the support side has us in decades old systems, programs, and processes keeps us from being pro-active in trying to get ahead of the curve and make those strategic decisions when we're always behind the 8-ball playing catch-up.
I will further add, that lack of investment in efficient distribution systems to take cost out of the supply chain in order to replenish stores also hinders you against places like Amazon that only has to worry about having a few distribution systems throughout the country, and that is reflected in pricing. So closing up distribution points isn't a solution! Closing under performing stores is a smart decision. Closing a distribution center close to the stores that ARE performing isn't! Sadly, we do the later...
3) Touting and promoting a silly, costly, and complicated to the consumer, rewards program that other than giving you "statistics", doesn't drive revenue! Yea, it's great our "member penetration" is increasing. That doesn't mean that they're coming back and buying more! Sending them a surprise reward via email for something that they just purchased proves you don't get it as a retailer (I have a story about a co-worker who just bought tires from us, that no sooner than 20 minutes after buying them, got a reward for his next purchase of tires... Mind you that reward expires in 90 days... Uhh, ok). While using digital marketing (I.E. email), is very cost effective vs. traditional print and media marketing, it is annoying to the consumer and usually just gets deleted. I work here and get spammed by us 20+ times a day... Matter of fact, as I was writing this sentence, I got another in my inbox, which will just get deleted.
Further, make it simple. Kohls... If you spend $50, you get $10 back in Kohls cash. BOOOM... Simple. Us on the other hand, you get 10% back in "points" if you buy what we consider a "hardline" product, or 15% if it is a "softline" product, and then based on purchase amount, we may add "surprise" points at some given percentage, and then if you shop on Thursday between 2:00pm and 2:05pm get an addition 20% in points... Oh, and what we give you expires in 90 days and CAN'T be used on your current purchase. It's for when you come back next time. If I have to break out a calculator to figure it out, YOU'VE FAILED!! Just tell me. You spend $1,000 on that new tractor, we'll give you 10% off! BOOM, I can do that math in my head.
Recently they took our employee discount away in favor of us getting points rewards. I was told that I "need to change my shopping habits" Umm, yea, fuck off! But this is the same as the consumer is saying with their dollars... And you wonder why we're failing...
You forgot infamously shitty return policies (Best Buy comes to mind as being famous for this) and an unwillingness to adapt to competitors. Amazon dgaf if you opened the media up, they'll take it back. Why go to Best Buy for a game or CD or movie when I can have it delivered to my door cheaper with a better return policy?
I must be the only kid who had a lot of cool toys but never ever as a child went to toys r us.... I seriously have no connection to that store ever. The one time I ever went there was to buy a PS3, but I was like 23 at the time and the only reason I went there was I met a hot chick that told me she worked there and it’d help her out if I opened a credit card there so I did and got the ps3 I wanted anyway and just paid the bitch off right away.
Oh and the hot chick? Everything worked out perfectly
I largely fall into this camp. I didn't really spend much time in a toy store, I was one of those weird kids who'd go to the hardware store or Radio Shack (my god, another marque that went down the tubes.)
Can't believe you remember that! :lol:
But yes you are correct, had a gift card to Sharper Image and then got fucked when I couldn't use it.
Well fuck man, you recall my washer dryer story.... Nuff said..
Shit, 4 years ago I took the GF in and bought her a halfway decent watch.. they used pencil and paper to take down our info for the warranty..... Fuck outta here...
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