Build-A-Bear Workshop
| Company type | Public |
|---|---|
| Industry | Retail |
| Founded | 1997 |
| Founder | Maxine Clark |
| Headquarters | St. Louis , United States |
Key people | Sharon Price John (President and CEO as of April 2019) |
| Products | Customizable stuffed animals and character toys |
| Website | buildabear |
Build-A-Bear Workshop, Inc. is a U.S.-based retailer located in St. Louis, Missouri, that focuses on customizable stuffed animals and character toys. Shoppers engage in a hands-on creation experience, choosing from various scents, sounds, appearances, and clothing options for their plush companions. It stands as the largest company utilizing this interactive retail approach. The brand’s tagline has transitioned from "Where Best Friends Are Made" (1997–2013) to "The Most Fun You'll Ever Make" (2013–2024), with a rebranding in 2024 introducing the phrase “The Stuff you Love”. As of April 2019, Sharon Price John serves as the company’s president and CEO.
History
During the mid-1990s, Maxine Clark, after stepping down as president of Payless ShoeSource, conceived an interactive retail concept inspired by memories from her youth. She proposed three different ideas to children, with the build-a-bear concept chosen due to its strong appeal and promising profit potential. Clark established Build-A-Bear in 1997, initially aiming to open between three and five stores in 1998 and targeting growth to 100 locations within five years. The inaugural store opened at the Saint Louis Galleria in Richmond Heights, Missouri, achieving first-year sales of $377,600.
The cost to open each store ranged from $500,000 to $700,000, with anticipated annual sales reaching $2 million per site. Early financial backing from Kansas City Equity Partners and Windsor Capital enabled expansion to four stores by 1998, producing $3.3 million in total revenue. In 1999, Walnut Capital Partners contributed $5 million to support further growth, resulting in 14 stores established across major metropolitan areas. These outlets consistently outperformed national mall sales averages, generating over $700 per square foot compared to the typical $350.
To safeguard its proprietary assets, Build-A-Bear engaged in legal proceedings against competitors such as Friends 2B Made LLC, Vermont Teddy Bear Co., and Basic Brown Bears Inc., defending a portfolio of more than 380 patents, trademarks, and copyrights. A settlement with Basic Brown Bears addressed disputes involving confidential information and brand similarities. This assertive legal approach helped solidify Build-A-Bear’s market position within the interactive stuffed-animal retail sector.
Public company
In 2004, Clark took Build-A-Bear Workshop public. That same year, the company debuted its first overseas franchise in Sheffield, England, and partnered with Hasbro to offer a home bear-stuffing kit.
Also in 2004, Build-A-Bear experimented with the "make-your-own-doll" concept through Friends 2B Made stores, launching locations near Pittsburgh and Columbus, Ohio. Although the concept expanded to nine stores by 2006, it was discontinued by 2009, with those stores reverting to traditional Build-A-Bear outlets.
The Game Factory developed Build-A-Bear video games for Nintendo DS in 2007 and Wii in 2008. A feature film was released on iPad in 2011. Between 2011 and 2013, there was a noticeable shift as millennial women increasingly purchased pet accessories rather than bear-related items.
In 2008, Build-A-Bear introduced Bearville, an online virtual world that operated until its closure in 2015. In 2013, Cepia, LLC resolved a patent infringement lawsuit with the company. That same year, founder Maxine Clark stepped down as CEO and was succeeded by Sharon Price John. The company secured licensing agreements with brands such as My Little Pony and One Direction. Operating approximately 400 stores at the time, Build-A-Bear announced plans to shut down around 60 underperforming locations over two years. In 2015, the company faced legal action alleging discrimination against visually impaired customers.
On July 12, 2018, the "Pay Your Age" promotion across the US, UK, and Canada generated overwhelming demand and negative press. CEO Sharon Price John issued an apology and provided vouchers to affected patrons. Late in 2017, the company launched a seasonal Build-A-Bear Bakeshop pop-up adjacent to one of its Workshop locations.
August 2018 saw the launch of Kabu, a lifestyle brand aimed at pre-teens featuring kawaii-inspired characters and an accompanying game app. During the holiday season that year, six pop-up shops opened inside Walmart stores; due to their success, an expansion into an additional 25 Walmart locations occurred in 2019.
In October 2018, Build-A-Bear introduced a streaming radio station. The following July, it collaborated with Warner Music Group to establish a Build-A-Bear music label headed by industry veterans Patrick Hughes and Harvey Russell.
In August 2019, the company announced the creation of an internal production arm called Build-A-Bear Entertainment and secured a deal with Sony Pictures Worldwide Acquisitions. Its inaugural film was The Honey Girls, which included related music content on YouTube. Subsequent projects comprised Christmas CEO (Hallmark Channel, 2021) and Glisten and the Merry Mission (released in Cinemark theaters in 2023). Additionally, Build-A-Bear partnered with PRWS Entertainment Group to develop custom branded experiences.
During the second quarter of 2020, Build-A-Bear moved its corporate headquarters from Overland to downtown St. Louis.
Product mix
Alongside its hallmark customizable bears, Build-A-Bear broadened its product assortment with "Bearaphenalia," encompassing items such as candy, greeting cards, jewelry, stationery, stickers, and t-shirts designed to encourage repeat purchases. Many stores also featured photo booths that converted customers' pictures into stickers. For the video game Kinectimals: Now with Bears!, four bears equipped with scan tags were released: Champ Bear, Colorful Hearts Bear, Endless Hearts Teddy, and Peace & Hearts Bear.
In January 2024, responding to the "kidulting" trend targeting nostalgic adults seeking childhood-inspired merchandise, Build-A-Bear launched an adults-only product line. While this initiative generated some debate, it aligned with the company's objective to diversify its audience and grow revenue sources.
External links
- Articles with short description
- Companies listed on the New York Stock Exchange
- St. Louis-based companies
- American enterprises founded in 1997
- Retail businesses founded in 1997
- United States toy retailers
- Teddy bear producers
- 1997 establishments in Missouri
- 2004 initial public offerings
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- American companies established in 1997
- Companies of the United States by year of establishment