Build-A-Bear Workshop, a beloved brand synonymous with creating personalized stuffed animals, has successfully tapped into nostalgia and strategic diversification to remain a prominent player in the retail industry. Once associated primarily with children’s parties, Build-A-Bear has effectively captured the hearts of adults who grew up with the brand and continue to hold fond memories of their experiences. This shift in focus has contributed to its significant growth, evidenced by record-breaking revenue numbers in the first half of fiscal 2025, reaching $252.6 million—an impressive 12% increase from the previous year.
As economic challenges loom, CEO Sharon Price John emphasizes that Build-A-Bear’s success is not accidental. The company consistently plans ahead, mitigating potential impacts from tariffs that have affected many other retailers. Even though the majority of products are imported from China and Vietnam, Build-A-Bear’s foresight in boosting inventory early demonstrated its ability to combat rising costs and supply chain disruptions effectively.
The brand’s evolution extends well beyond brick-and-mortar stores, expanding into venues like cruise ships, amusement parks, and more. This diversification aligns with current cultural trends of ‘kidulting,’ gifting, and a return to comforting experiences. The innovative approach to create new experiences, such as international expansions and the introduction of “Mini Beans,” has further solidified Build-A-Bear’s global presence, now extending to over 600 stores in 32 countries.
Analysts, including D.A. Davidson’s Keegan Cox, attribute part of Build-A-Bear’s ongoing success to the strategic and often subtle adjustments in pricing and product offerings tailored to contemporary consumer trends. By constantly introducing new products, the company remains relevant without alarming customers about price changes, facilitating continued revenue growth and momentum, especially with the upcoming holiday season.
Nostalgia plays a crucial role in Build-A-Bear’s marketing initiatives. Adults like Cammie Craycroft—whose childhood memories are deeply associated with Build-A-Bear—are a testament to the brand’s strategy. The ability to evoke feelings of childhood joy among adults has been a clever pivot for the company, engaging a demographic that appreciates custom, themed stuffed animals as lifestyle accessories.
Build-A-Bear’s adeptness at balancing nostalgia with contemporary trends demonstrates the brand’s unique position in the marketplace. This dual focus on memory and modernity allows the company to appeal to both new and returning customers, affirming its enduring relevance in a rapidly changing retail environment.