A Build-A-Bear Workshop in Herald Square, New York, has become a nostalgic destination for many young adults, with recent visits revealing a trend particularly embraced by those in their mid-20s. Cammie Craycroft, a 26-year-old, reflected on how her friends opted for a trip to the retailer for a birthday celebration, illuminating the brand’s emotional pull. Craycroft reminisced, sharing her fondness for past birthday parties held at Build-A-Bear, citing it as a place rich with happy memories.
The retailer, long known for its experiential shopping approach, has seen a resurgence in interest from adults as it aligns itself with themes of nostalgia while broadening its market reach. In a display of strong financial health, Build-A-Bear reported record revenues of $252.6 million in the first half of fiscal 2025, marking nearly a 12% increase from the previous year. This success has allowed the company to raise its financial outlook, leveraging effective tariff mitigation strategies like optimizing inventory management in light of fluctuating tariffs.
The stock performance of Build-A-Bear has similarly impressed, surging approximately 60% this year and nearing a significant market cap of $1 billion, distinguishing the company in an environment where many retailers are struggling to recover from economic challenges. CEO Sharon Price John, who has led the company since 2013, emphasized the importance of adaptive strategies while maintaining the brand’s nostalgic essence. She highlighted Build-A-Bear’s transformation beyond a mere storefront to include various retail avenues, such as amusement parks and cruise ships, thereby creating a memorable experience for customers.
With over 600 locations in 32 countries, the company is expanding its international footprint and diversifying its product lineup, which now includes smaller, pre-stuffed toys called “Mini Beans.” John attributed much of the company’s recent success to careful planning and an understanding of current consumer sentiments towards gifting and personalization.
Analysts, including D. A. Davidson’s Keegan Cox, noted that Build-A-Bear’s ability to subtly adjust pricing without alarming customers, through constant innovation and trend-responsive products, has been pivotal in weathering economic downturns. Cox acknowledged that fresh inventory and product variety have spurred momentum, especially as the holiday season approaches.
The brand’s efforts to connect with adult consumers who have fond childhood memories of Build-A-Bear have proven effective. Craycroft’s experience at her friend’s birthday party underscores this strategy. Armed with inspiration from platforms like Pinterest, she personalized her bear, reflecting modern styles and aesthetics. Recently, she shared her Build-A-Bear experience on TikTok, further indicating a robust online presence as users engage with the brand’s nostalgic appeal.
A survey by Build-A-Bear revealed that a significant majority of adults still cherish their childhood stuffed animals, with nearly all participants agreeing that these toys are for individuals of all ages. Marketing professor Americus Reed from the University of Pennsylvania highlighted how nostalgia plays a crucial role in sustained sales for Build-A-Bear, citing it as essential in today’s diverse consumption landscape.
Reed noted that the experience of creating and personalizing a stuffed animal strengthens customer loyalty, making it a unique offering that is challenging for competitors to imitate. He posited that maintaining special connections with consumers will be vital for brands aiming to thrive in a shifting economic environment.
