A Strategic Pivot Toward the Adult Consumer
Toys ‘R’ Us is embarking on its most significant U.S. retail expansion since its 2017 bankruptcy, announcing plans to open 120 new standalone stores ahead of the 2026 holiday shopping season. According to Newsweek, the expansion will bring the brand’s total U.S. standalone footprint to approximately 160 locations, up from the current 40. The initiative is being executed in partnership with the Go! Retail Group.
This aggressive return to brick-and-mortar retail reflects a fundamental shift in the toy industry. Rather than focusing exclusively on children, the company is pivoting to capture the “kidult” demographic—adults who purchase collectibles, trading cards, and hobbyist items for themselves. Data from market research firm Circana indicates that in June 2026, toy sales in adult-only households surpassed those in households with children, with the adult segment now accounting for 55% of total sales.
Redefining the Retail Experience
To differentiate these new locations, Toys ‘R’ Us is incorporating experiential elements aimed at driving foot traffic and encouraging longer dwell times. Jamie Uitdenhowen, Executive Vice President of Toys ‘R’ Us at WHP Global, stated that the company is aiming to meet customers “wherever they are,” including airports and standalone hometown stores. Select new locations will feature “Creator Studios”—dedicated spaces designed for influencers and brand partners to host product launches and produce content—alongside cafés and candy shops.
This strategy addresses the evolving nature of toy retail. Kristen McLean, vice president of client insights for Circana’s Entertainment Knowledge Group, noted that toys are increasingly functioning as “fandom ecosystems” and social experiences. By integrating these features, the retailer hopes to transition from a seasonal destination for parents into a year-round hub for enthusiasts.
Market Resilience and Future Outlook
The toy industry has seen its strongest first-half sales performance in six years, with sales rising 17% through June 2026. Experts suggest that while this expansion is unlikely to return the brand to its former retail dominance, it establishes a sustainable niche model. “An adult buying a $50 LEGO set for themselves is a very different customer than a parent buying a birthday toy,” finance expert Michael Ryan told Newsweek. “They have their own disposable income [and] they buy year-round.”
While the company has not yet released a full list of the 120 new locations, the USA TODAY Network confirmed that the brand is also expanding its presence in travel hubs, such as the Orlando International Airport. As the company moves toward its goal of 160 locations, the industry will be watching to see if this “destination-oriented” retail model can maintain long-term viability in a digital-first economy.