An American original
FAO turned the eye of the industry from Nürnburg to New York
Dave Gerardi -- Playthings, 8/1/2002
To find a time when the name Schwarz was not yet indelibly associated with toys, one has to go back to the early 19th century when the family's patriarch earned his reputation as a goldsmith in a small German town. This metal worker (his given name is now unknown), who lived in Herford, a manufacturing town in Westphalia (near the Rhine Valley), most notably fashioned a gold bathtub for his sovereign, Jerome Bonaparte (Napoleon's youngest brother and King of Westphalia from 1807 to 1813).
A son, Henry Schwarz, was the first of the family to settle in America—New York City circa 1840s to be precise. He and his wife moved to Baltimore in 1850 where Henry worked for Theodore Schwerdtmann, owner of a retail outlet for imported goods such as paint, wall-paper and assorted fancy goods. Henry's three brothers, Frederick August Otto, Gustave and Richard, soon followed separately.
Schwerdtmann embraced the brothers and made F.A.O. a partner in 1862, having done the same for Henry some years before. A success at Schwerdtmann, F.A.O. left the company in 1870 to open his own retail business in New York City at 765 Broadway and Ninth Street. A year later, the Baltimore store became Schwerdtmann & Schwarz, and Henry owned the business outright by 1872. By all accounts, Schwarzes were tireless workers, logging absurd hours especially in the weeks preceding Christmas.
With Gustave running his own store in Philadelphia and Richard doing the same in Boston, the Schwarz brothers coordinated their import efforts in Europe. Music boxes from Switzerland. Mechanical toys from Paris. Dolls from Germany. Baby carriages from London (the first appearance of a baby carriage in New York City was in Schwarz's store). The buying power of the family became such that the brothers could, on occasion, purchase a manufacturer's entire output. F.A.O. personally sailed to Leipzig every spring to buy for the coming holiday season at the city's annual fair.
The family's influence in the industry grew to the point that the Schwarz brothers would request (and receive) special modifications to a particular product, thus providing the stores with an 'exclusive' item. "It has always been my idea to confer with the manufacturers upon toy subjects and give them such data which naturally comes here first-hand, being, as we are, a retail firm… It has resulted in giving the American child a toy not remarkable for its cheapness, but one that is known and appreciated for its qualities of durability, of beauty and, more and more, for its educational value," Schwarz told PLAYTHINGS in 1908.
The business faced its most trying hour under F.A.O.'s son, Henry. The British blockade of Germany during World War I prevented all but a trickle of trade through to the States.
At the time, about three-quarters of the New York store's shelves were filled with imports. To compensate, Henry began to forge stronger relationships with American manufacturers to deliver the quality and exclusivity once only available from the Continent.
Soon, the American toy industry had become enough of a presence to allow Schwarz to rely less on the heavily tariffed German imports. In the mid 19th century, said F.A.O. in an interview with PLAYTHINGS, "the toy industry in America was practically nothing, and the product was a crude article, often meaningless. The strides made by both the toy and its natural success have been wonderful."
Fresh off its acquisition of Pennsylvania-based chain Zany Brany, Right Start purchased FAO Schwarz last year, forming FAO, Inc. With its mix of high-end and exclusive SKUs, the industry icon continues to be a premium destination for discerning shoppers. Next month: Steiff



















