New York
CNN Business
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Toys “R” Us filed for bankruptcy in 2017 and closed all of its stores. That’s left an opening for rivals like discount toy chain Five Below to fill the gap.
Five Below, as its name suggests, sells most of its toys, games, room decorations and tech accessories for less than $5. The company said Wednesday that it plans to open 1,000 new stores over the next three years.
The chain has been opening hundreds of stores annually in recent years to step into the void left by Toys “R” Us and woo shoppers hunting for discounts. Five Below, which targets teens and tweens as its key customers and has roughly 1,200 locations currently, sees an opportunity to add another 2,500 new stores by 2030.
The chain’s latest growth push also reflects the larger boom of discount stores. The sector has been somewhat immune to the rise of online shopping and other challenges plaguing many brick-and-mortar retailers.
Last year, for example, three dollar store chains accounted for almost half of all the new stores opened in the United States.
Bargain clothing outlets such as TJ Maxx and Burlington, discount grocers including Aldi and others are also opening hundreds of new stores each year.
Five Below’s locations are relatively small and the chain describes itself as a “high-energy retail…
