Toys R Us: Overview and analysis

Toys R Us Overview and analysisToys R Us is a chain investment firm specialized in philanders, created in 1948 in the United States of America by Charles Lazarus. The beau monde has been bought in 2006 by American and English investment funds (KKR, Bain great(p) Partners LLC and Vornado Reality Trust). Today, there are 1566 stores all around the founding. We can count 849 stores which are implanted in its origin country that is to say is the USA and 717 stores in 34 others countries. The company is the world leader and owns the biggest store of toys on Times Square in New York with 10 000 m.ToysRUs has been developed in France in 1989 and we can count today 42 stores which Paris la Dfense store is the biggest ToysRUs of Europe. On the French market, the company is also the leader of the distribution of games/toys and detains 13.2% of the toy market share.ToysRUs leadership is due to its staffs passion, its daily commitment toward its customers and its ability to be sensitive to its employees needs like training and such. Further more, there is a strong aggroup spirit and human relationship which is simple and user-friendly.The following part is based on the information you can find on the official website of the leaf blade. (toysrus.com)Key figures ToysR Us France42 storesAverage area sales store 2600mMore than 10 000 referencesMore than 500 suppliers1524 employeesToys R Us developed its innovative own brand in each universe. For instance, the most popular are Bruin ( first-year age toys and childcare articles), FastLane (boys toys), You Me (Dolls), Just like Home (kitchen), Stats (outdoor toys) and Universe of Imagination (creative play).ToysRUs MissionsToys RUs has to offer the family a full range of toys, leisure and childcare in a magic universe. Its priorities are about children, customers, staffs, grow and make people grown.ToysRUs its choice indeed the company propose a variety of articles which correspond to peoples needsToysRUs its novelty the company anticipate childrens requests and needs in order to offer them products which follow trends, the newsworthiness, and the environment.ToysRUs its advice and expertise with 50 years of experience in the world, and 20 years in France, ToysRUs has developed its expertise on the field by selecting toys up-stream and giving advice with a goal of childrens happiness.ToysRUs its service of process the company pays attention to customers satisfaction. ToysRUs tries to offer services adapted to children and parents. For instance service birth list, loan strollerToys RUs ValuesPASSIONBecause we love our profession and we toy to serve children.TEAM SPIRITBecause complicity exists with our customers but also with our teams.COMMITMENTBecause we have the choice of products and the quality service for children is something heavy.CONFIDENCEBecause relationship with our customers is based on a real knowledge of our products.RESPONSIBILITYBecause our wish is to share something together chi ldrens welfare.Those values are the official ones set by the firm.ToysRUs StrategyThe company strategy is center on service and especially on toys selection. ToysRUs always tries to anticipate on the trend and locks its orders before its competitors. It allows ToysRUs to have a high negotiation power with its suppliers. other point of its strategy is to practice low prices compared to its competitors in order to make its customers more loyal. Moreover, ToysRUs has a development strategy which consist in opening news stores in new strategic places in order to increase its turnover. Finally, the company has adopted a multichannel strategy by creating a website so as to distribute its toys for people who live far from a store.ToysRUs PositionTo face up to its competitors, ToysRUs has decided to change its position. In this way, in 2000 the company developed a pattern of entertainment more trautonomic nervous systemverse with a large range of products like video games, creative leis ureThis diversification allows ToysRUs to sell products throughout the year. The company positions itself as the largest toy retailer by offering a larger selection of toys than any other retailer at the lowest prices which allows ToysRUs to increase its customers loyalty.ToysRUs targetsThe company targets anyone important for the child like parents, grandparents, godfathers or siblings with any income.Toys MarketFrench people are the biggest toys buyers of Europe before England and Germany. In 2009, the toy market has increased of 2.7% in France and represents 3 billion euros, more specifically 235 euros a year a child. This market grows up about 10% every years for ten years.ToysRUS Competitors on that point is a high competition between specialists and supermarkets. Specialists represent 44.9% of the market share whereas supermarkets own 40.9% of the market share. We notice that the market share of the supermarkets tends to decrease that benefit from specialists.Supermarket compe titors crossroadE.LeclercAuchanSpecialists competitorsLa Grande RcrKing JouetJouet ClubJouet LandWe forgot to point out an other important competitor which is Internet Indeed more and more people buy on the Internet. The mains Internet competitors are Ebay, Priceminister, avenuedesjeux.com, eveiletjeux.com or rueducommerce.SWOT AnalysisStrengths Own brand which represents 20% of the turnover.Good Location, near the RER A ans near the Bay 1 mallWorld leader, Large distribution networks, Strong reputation, High visibility thanks to the stores opening all around the worldStore layout shaped pathA large referencesLow pricesWeeknesses Few animations, Few creative workshops, few birthday organizations which only exist in the USA.Highest prices than supermarkets and on the Internet.Stock problemsNot enough video gamesOpportunities Located near a shopping mall so the company can capture the flows of the shopping center.Threats moneymaking(prenominal) sites on the InternetUsed sells like fl ea marketToysRUs CommunicationToysRUs has created the megapack concept during the holiday season and which allows to benefit from a reduction of 30 to 50% of the first article.Ways of communication PressDisplaysPartnershipDirect mail to reach our target tat homeRadio to capitalize on the significant measure our target spends listening to the radio, most often while drivingTelevision to capture the attention of our target, who spends an average of 12 hours a week watching TVhttp//www.toysrus.fr/cms_widgets/20/95/209559_assets/TRU_spacer200.jpg