Build-a-Bear Fears a Repeat of Its Chaotic ‘Pay Your Age’ Deal. It Shouldn’t.

Most companies would kill for excited shoppers, big sales and record store traffic. Build-a-Bear Workshop’s executives, fearful of the crying children, bad press and forced store closures caused by their ‘Pay Your Age’ promotion in July, chose to leave teddies on the table this autumn.

The Pay Your Age offer allowed customers to buy a bear — typically costing up to £52 — for the same price as their age. The deal spurred an unprecedented amount of traffic to Build-a-Bear stores, resulting in headlines describing “chaos” as shoppers queued for hours or were turned away. Afraid to disappoint customers again and invite more negative publicity, Build-a-Bear’s bosses scrapped their planned promotions around National Teddy Bear Day in September. Citing the “close proximity” to the Pay Your Age fiasco and the “long lines” its deals have generated in previous years, plus “heightened awareness and sensitivity of both consumers and the press” and the potential for “brand-damaging coverage and social media”, CEO Sharon Price John and her team deliberately downplayed the day.

Given Build-a-Bear’s recent underperformance and the company’s numerous headwinds, that may have been the wrong decision. Revenue fell almost 10% in the 13 weeks to 3 November compared to the same period last year, as sales fell…