‘A Sour Taste’: Jellycat’s Sudden Supplier Cuts Leave Independent Shop Owners Reeling

For two decades, Jellycat plush toys were a comforting constant at Rumours, a gift shop nestled in the heart of Whitby. At times, the whimsical soft toys filled nearly a third of the store’s shelf space – popular with tourists, children, and collectors alike.

But in June, manager Joe Orrell received an email that stopped him in his tracks.

“After careful consideration, we’ll no longer be supplying Jellycat products,” the message read. No explanation. No names. Just a blunt instruction to stop placing orders.

“We were absolutely gutted,” Orrell said. “Jellycat has been a core part of our business for years.”

Rumours is not alone. The BBC spoke to several independent retailers across the UK who were abruptly dropped by the British soft toy maker, without so much as a phone call. In total, Jellycat confirmed it had ended relationships with around 100 stockists, citing a broader “brand elevation strategy” as the reason. The decision, they said, was not up for negotiation.

For many small shop owners, the decision felt like betrayal.

‘Not Good Enough’

Alison McCabe has run Puddleducks, a children’s boutique in Diggle, near Oldham, for nearly 20 years. Jellycat had long been a reliable bestseller, especially since the brand exploded on TikTok and Instagram, where collectors showcased elaborate displays of plush lobsters, croissants, and dinosaurs.

Some weeks, McCabe said she sold hundreds of Jellycat items. But after struggling for months to get restocks, she too received the generic termination email on 18 June. “It felt cold. Like we didn’t matter,” she said. “You’re left wondering – were we not good enough?”

At Pippin, a gift shop in Edinburgh, owner Erica Stahl said she was stunned to find herself downgraded. Though Jellycat agreed to continue supplying her store, she was told she no longer qualified as an “official stockist” – a label that carries prestige among customers. Disappointed, Stahl chose to close her account entirely.

“Small independents like myself were being offered scraps – random leftover stock that the bigger stores didn’t want,” she said.

Stock Shortages and Shifting Priorities

Retailers say the trouble started long before the emails arrived.

As Jellycat’s popularity skyrocketed online, stock became increasingly scarce. Orders trickled in “in dribs and drabs,” Orrell said, forcing him to shrink his once-vibrant Jellycat display. Collectors began leaving empty-handed, frustrated by the dwindling options.

Andrew Kenyon, who runs JAK Hanson near Wigan, described waiting months for deliveries—if they arrived at all. Meanwhile, customers travelled from all over the UK hoping to find the latest plush drop.

“I couldn’t give them answers,” he said. “We had no idea what was coming, or when.”

Many shop owners believe Jellycat is now prioritising its relationships with large retailers and focusing on theatrical product displays at flagship locations. At Selfridges, for example, plush toys are wrapped like takeout at a mock fish and chip van. In Paris, Jellycat has opened a “patisserie” concept store; in New York, a themed diner.

“I get it – it’s about the brand’s image,” said Charlotte Stray, from Keydell Nurseries in Hampshire. “But they’ve built that image on the backs of independents.”

‘It’s Left a Really Sour Taste’

Jellycat insists it still supplies around 1,200 independent UK stores and is “doing more than ever” to support them. But its reassurances ring hollow for those who have been dropped. Some are now searching for alternative plush brands to stock.

“It’s left a really sour taste,” said Bex Christensen, a long-time Jellycat collector from North Yorkshire. “Independent shops are where this all started. It’s where we discovered the brand, built memories with our kids. Now, it feels like we’re being cut out.”

As frustration mounts, backlash has spilled onto social media. A post by Pippin about losing its official stockist status racked up nearly 50,000 likes on Instagram, with commenters accusing Jellycat of turning its back on small businesses.

For Orrell, the situation is disappointing – but not devastating.

“We’ve been around longer than Jellycat,” he said. “And we’ll be here long after them too.”