FAO is Not Playing Around

FAO Inc. (King of Prussia, Pa.), the toy retailing conglomerate comprised of the Right Start, Zany Brainy and FAO Schwarz nameplates, has announced an aggressive “transformation strategy” for 2002, 03 and 04.

Among the initiatives it announced was creating 1500-square-foot Right Start shops inside existing Zany Brainy stores and creating Zany Brainy/The Right Start “combo” stores that will sell merchandise from both brands.

Both Zany Brainy and Right Start stores will begin carrying FAO Schwarz plush merchandise; children's equipment — car seats, booster seats and strollers — will begin showing up in Zany Brainy stores and FAO Baby sections of FAO Schwarz stores; FAO Schwarz stores will be outfitted with expanded book and educational video sections; and Zany Brainy stores will expand their action figure and Barbie doll sections. And, the company said, there will be increased cross-marketing and cross-promotion across store chains and sales channels.

“The central idea behind the combination of Zany Brainy, FAO Schwarz and The Right Start,” said president and ceo Jerry Welch, “was to take three of the best-known specialty retailers for children's products and transform them into one larger, more-efficient company marketing to the same customers.”