Dive Brief:
Dive Insight:
For the second time in about a year, BuyBuy Baby stores are going out of business.
The first instance was last summer when no buyers came forward to purchase the retailer’s stores during a Chapter 11 bankruptcy auction of the assets of former parent company Bed Bath & Beyond. New Jersey-based Dream On Me won the BuyBuy Baby brand, intellectual property and digital assets at auction for $15.5 million, with plans to shutter its store footprint.
The company bought 11 store leases in seven states for $1.17 million in a separate auction and relaunched the company in 11 stores last fall. Ahead of the store relaunch, BuyBuy Baby CEO Pete Daleiden said in a statement that the retailer sought to position itself as a “go-to destination for all parents, caregivers, and families seeking thoughtfully designed and quality baby and child-focused products, and exceptional customer service.”
Under Dream On Me, BuyBuy Baby operated stores in Connecticut, Delaware, Maryland, New Jersey, New York, Massachusetts and Virginia. Its product offering includes baby furniture, clothes, toys, car seats and strollers. Now, those stores are closing and the company’s website is advertising up to 30% off discounts for in-store merchandise, where all sales are final. Buy online, pick up in-store services have also ended.
Founded in 1996 by two former Bed Bath & Beyond employees, Bed Bath & Beyond bought the brand in 2007 for $67 million and $19 million in debt repayment. At the time of Bed Bath & Beyond’s 2023 bankruptcy filing, BuyBuy Baby operated about 120 stores. Overstock.com bought Bed Bath & Beyond’s brand and IP. The company later rebranded itself to Beyond.