Toys R Us has been trying to make a comeback for the past year, but just closed its last two remaining stores in the US after the coronavirus pandemic hit in-store sales.
The beloved toy store seemingly rose from the dead in 2019 after it was purchased by Tru Kids Brands, which went on to open holiday pop-up shops and relaunched a website in the toy retailer's name.
The revitalization efforts came after Toys R Us filed for chapter 11 bankruptcy in 2017 and — after failing to find a buyer to help refinance the company's mounting debt — ultimately shuttered and liquidated all 700-plus stores in an emotional farewell.
Efforts to revitalize sales ultimately appear to have failed, as current pop-up stores don't actually generate any money for the brand— with toy manufacturers keeping all the profits — and the website only redirects users to make purchases on Amazon.
We took a closer look at the history of the historic toy company over the years.
Toys R Us was founded in 1948 by Charles Lazarus after he returned from World War II.
Lazarus was inspired by what was then the emerging post-war "baby boom" and sought a way to capitalize.
The company started as a baby goods and furniture store called Children's Bargain Town in Washington, DC.
In the subsequent years, Lazarus began expanding into toys and the company officially adopted the name Toys R Us in 1957.
Over the next two decades, Toys R Us played a significant role in putting iconic toys on the map for American youngsters, such as Mr. Potato Head.
Lazarus was able to corner the market by buying and selling so many toys that he could negotiate more lucrative contracts than his competitors.
The company was also known for bringing big names in for promotional events or philanthropic work, such as NBA Hall of Famer Magic Johnson.
Kids and their parents would line up for hours to meet their favorite stars — and do a little shopping while they were there.
In 1966, Lazarus sold the company to Interstate Sales to help finance a larger national expansion.
According to Encyclopedia.com, he transitioned from chief executive to head the Toys R Us division, which was already thriving at profits of $12 million.
In 1969, Toys R Us developed its beloved Geoffrey the Giraffe character.
The mascot became synonymous with the brand and its advertising campaigns over the decades.
In 1974, parent company Interstate Sales filed for bankruptcy.
Lazarus handled the restructuring process, according to USA Today.
Lazarus sold off struggling pieces of the business and got the company back on track.
In 1978, it was able to file its initial public offering.
In 1983, the company opened a clothing store spinoff called Kids R Us.
The Toys R Us empire was steadily expanding.
Lazarus eventually stepped down as chief executive in 1994.
The move signified a series of woes for the brand, including high executive turnover and the looming pressure of ecommerce.
Building upon the success of Kids R Us, the company expanded into baby clothing with Babies R Us in 1996.
The stores saw success with selling baby-related merchandise.
In the 1990s and early aughts, Toys R Us began expanding into major cities like New York.
In the Big Apple, Toys R Us opened its iconic multi-story store with a fully functioning Ferris wheel in 2001.
Around this time, Toys R Us and its spinoff brands began to experience mounting competition from fellow big-box stores like Walmart and Target.
In fact, according to The Associated Press, in 1998, Walmart had already surpassed the company as the top US toy seller.
The mounting competition led to the eventual closure of Kids R Us.
All 146 Kids R Us stores were closed in 2003.
In 2005, a conglomerate of private equity firms — including Bain Capital, Kohlberg Kravis Roberts, and Vornado Realty Trust — purchased Toys R Us for $6.6 billion, taking the company private in the process.
According to USA Today, the plan was to boost Toys R Us sales and position the company for a stock offering that would allow investors to cash out.
In an attempt to compete with the ecommerce boom, the company purchased Etoys.com and Toys.com in 2009.
That same year, it bought KB Toys and the famed New York City toy store, F.A.O. Schwarz.
In 2010 the company registered once again to go public.
However, by 2013 it withdrew from the process due to sales slumps, according to USA Today.
In 2015, Dave Brandon – formerly the CEO of Domino's Pizza — took over the helm of Toys R Us.
According to USA Today, Brandon marked the fourth CEO over the course of 16 years "tasked with turning the company around."
Still, the company continued to struggle, especially during the 2016 holiday season.
According to Business Insider, the chain lost significant traction to ecommerce giants like Amazon, Target, and Walmart.
The company officially filed for Chapter 11 bankruptcy protection in September 2017.
The chain hoped to gain control of its debt and continue to operate its 1,600 stores around the world as normal, according to the Washington Post.
With its hopes for a financial savior ultimately dashed, Toys R Us announced in March 2018 that it would liquidate and permanently close all of its 700-plus stores across the US.
According to Business Insider, the decision threatened the jobs of the 33,000 people employed by Toys R Us at the time.
That same year, the company issued an emotional goodbye as it prepared to permanently shutter its Toys R Us and Babies R Us websites.
"We encourage you to stop by your local store and take full advantage of the deep discounts and deals available," the message read. "Thank you for your business and support over the years."
It was later announced that gift-card holders could use any remaining funds at Bed Bath & Beyond stores, according to Business Insider.
The CEO of the toy company MGA Entertainment issued a last-minute bid of $890 million to save the company.
However, the offer was ultimately rejected by Toys R Us.
Throughout the rest of 2018, stores like Walmart began to position themselves to take over the void left behind in the market by Toys R Us.
The chain strategized to overtake Toys R Us's legacy by adding mass amounts of baby-related products to its inventory.
By the fall of 2018, abandoned Toys R Us stores had been temporarily converted into Halloween costume shops across the country.
According to Business Insider, Halloween costume retailers Spirit Halloween and Halloween City set up shop in the abandoned stores but kept most of the remaining Toys R Us signage and wallpaper.
Read more:Dead Toys R Us and Babies R Us stores are being resurrected as Halloween costume shops
In February 2019, Toys R Us appeared to rise from the dead when Tru Kids Brands purchased the rights to the company.
Tru Kids Brands also purchased the rights to the Geoffrey the Giraffe mascot with plans to revitalize it.
Later that year, Tru Kids Brands announced it would open a series of holiday pop-up stores under the Toys R Us name.
The stores would sell popular toys directly from manufacturers, meaning that any sales would directly go to the toy companies rather than Toys R Us.
In October 2019, the company announced it was back online but with a catch — you couldn't actually buy anything directly from the Toys R Us site.
Instead, users would be directed to make purchases from Target's website.
In fall 2019, empty Toys R Us stores were once again used for Halloween purposes — this time to host haunted houses.
The haunted houses were a far cry from the joy-filled Toys R Us stores of the 1990s.
In August 2020, it was confirmed that Toys R Us had ended its partnership with Target.
Toys R Us would now partner with Amazon as its fulfillment partner, according to Business Insider.
The coronavirus pandemic has decimated in-store sales for many retailers, including Toys R Us.
CNBC reported in January 2021 that the retailer was facing hardships due to dwindling in-store sales amid the coronavirus pandemic. As a result, the chain's last two remaining stores in the US officially shuttered for good, bringing an end to a years-long ordeal to attempt to revitalize the brand.
The final stores were in Texas and New Jersey, Bloomberg reported.
"Consumer demand in the toy category and for Toys 'R' Us remains strong and we will continue to invest in the channels where the customer wants to experience our brand," a Tru Kids spokesperson told CNBC.
Read more:The last 2 Toys 'R' Us stores in the US have closed down after the COVID-19 pandemic hit sales
While Toys R Us technically still exists online and on social media, the brand is a shadow of what it once was.
Gone are the days of shopping for the latest toys and gadgets at your local Toys R Us store.