Quotes With Your Coffee #7: Macy’s Will Allot TRU 10,000 Square Feet in Some Stores, Hasbro, Railroad Problems, Evergreen Licenses a Better Deal Than New Movie Releases

Macy’s announced it will expand its partnership with WHP Global to bring the Toys“R”Us brand to every Macy’s store this holiday season. Beginning in late July and rolling out through October 15, the in-store shops will range from 1,000 square feet and span up to 10,000 square feet in flagship locations in Atlanta, Chicago, Honolulu, Houston, Los Angeles, Miami, New York and San Francisco. The footprint of stores may flex up an additional 500 to 3,000 square feet during the holiday season to offer an even wider assortment of products.

AGG Data, July 20, 2022

Hasbro’s (HAS) 2Q22 results came in better than expected as stronger-than-anticipated Consumer Product sales, aided by early shipments to retailers to mitigate supply chain bottlenecks, offset weaker-than-anticipated results from Wizards of the Coast and Entertainment. 2022 operational guidance was maintained, though FX headwinds will bring reported results below the original plan. Management continues to sound positive about overall toy demand, as well as the industry’s inherent stability and defensiveness.

BMO Equity Research, Gerrick johnson

On LA’s docks are 29,000 containers waiting for a train — a figure Seroka said last week should be “more in the 9,000 range.” The average dwell time is 7.5 days, a wait that ought to be closer to two.

Bloomberg News, July 18, 2022

Licensees discovered that evergreen products inspired by a franchise can be strong sellers and are actually more predictable than items inspired by the specific characters or storylines of a new release, as they aren’t subject to the unpredictability of the post-pandemic film schedule. Evergreen products can be sold regardless of when the film is released, especially if it’s the most recent in a franchise series.

“Tentpole Ties Loosen as Evergreen Products Grow,” Licensing International, July 15, 2022

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