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Best Buy to Open 13 Stores with ‘Interactive Displays’
Store openings the latest move in a sort of big-box electronics retail chess match between Walmart and Best Buy.
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Best Buy will open 13 stores with “interactive displays,” including the first store in Wyoming and the second store in Alaska.


06.09.2009 — Best Buy has made a move in its strategic battle with Walmart for electronics retail dominance, planning to open 13 stores with "updated layouts" and "interactive displays."

Walmart recently began equipping its 3,500 stores with "larger," "more interactive" and "roomier" electronics displays. The goal seems to be to snag more Circuit City customers by dangling better products and resources in front of them before they migrate to the No. 1 U.S. electronics retailer, Best Buy.

Best Buy, meanwhile, knowing that Walmart is upping its electronics emphasis, has indicated that it won't enter a price battle with the biggest big-box retailer of them all. Instead it has said it will create differentiation by improving its display areas and in-store experience.

The messages coming out of Best Buy, though, are mixed at best. It recently closed several of its Magnolia stand-alone stores and took over leadership of that specialty division. That move seems juxtaposed with a goal of elevating its in-store experience.

Best Buy's latest announcement, however, seems more in sync with that goal. In fact, it seems like a logical counter-move to Walmart's electronics upgrades. In announcing plans to open 13 new U.S. stores in the next few months, it also promises "interactive displays [to] create a unique and engaging experience for customers."

It must be Walmart's move now.

The 13 new Best Buy stores include the first store in Wyoming and the second store in Alaska. Here's the full list of Best Buy Store openings:
  • North Anchorage, Alaska (Saturday, June 13, 2009 at 10:00 a.m. local time)
  • Miami Beach, Florida (August 8, 2009 at 10:00 a.m. local time)
  • Hammond, Louisiana. (Friday, June 12, 2009 at 9:00 a.m. local time)
  • Hunt Valley, Maryland (August 7, 2009 at 9:00 a.m. local time)
  • Hutchinson, Minnesota (Saturday, July 11, 2009 at 10:00 a.m. local time)
  • Bronx, New York (August 7, 2009 at 10:00 a.m. local time)
  • Brier Creek, North Carolina (Thursday, June 11, 2009 at 6:00 p.m. local time)
  • Pottstown, Pennsylvania (August 7, 2009 at 10:00 a.m. local time)
  • Bastrop, Texas (Friday, June 12, 2009 at 10:00 a.m. local time)
  • Laredo North, Texas (weekend of August 7, 2009 time TBD)
  • Park City, Utah (Saturday, June 13, 2009 at 10:00 a.m. local time)
  • Martinsburg, West Virginia (August 7, 2009 at 10:00 a.m. local time)
  • Casper, Wyoming (Friday, July 10, 2009 at 10:00 a.m. local time)

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Tom LeBlanc, Senior Writer/Technology Editor, CE Pro
Tom has been covering consumer electronics for six years. Before that, he wrote for the sports department of the Boston Herald. Migrating to magazines, he was a staff editor for a golf publication and an outdoor sports publication. Now, as senior writer/technology editor of CE Pro magazine since 2003, he dabbles in all departments and offers expertise in marketing.
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Comments

Posted by Ray Casey  on  06/14  at  12:31 PM

Hmmm…. I am naive on big CE marketing strategies cuz I am just an IT strategist, but my query here is what’s the uptake/traction if any on Walmart’s stratgic relationship with Dell?  Seems like Dell has a pretty good network of no brand contractor relationships for installs and maintenance on PC stuff, but not much of a recognized brand for services (I know they are not a leader in IT professional services like HP). 

However I would hazard to say that the Dell contractors dispatch and logistics ability to service is more refined than Geeks squads.  I would also hazard to guess that they have more PC/Networking centric competentcies.  For instance, despite it’s best attempts, Geek Squad does NOT have much of a corporate prescences where as DELL is all over that space.  As Home Theater/Home Entertainment automation is becoming more and more server (or server like) centric vs. green light, black box CE centric, it seems that the Dell folks would have the edge.  Also, the other defining factor goes back to back office operations.  Who has the better Ecommerce Site?  Who has the better CRM and Service/INcident infrastructure (for dispatch, repair, warranty, help desk, etc…)  I think again that tilts toward Dell…  Just a thought.  I guess I should leave that debate upto the Investment Bankers/Boards that are doing the due diligence and strategic funding/deal making smile.  but as a technologist, i think that Dell is in a better position re logistics/operations and Walmart is in a better place re just moving lots of boxes and not worrying about hefty payrolls…

Posted by Ray Casey  on  06/14  at  12:37 PM

Oh, an i wanted to Ad “RENT ROLE” to the stack of costs for Best Buy vs. Wallmart.  All those fancy locations that they are paying for out of the nose that helped them knock out Circuit City and Speciality stores has got to be killing them.  Wait until THEIR property taxed start going, up, up and up…  Hmmmm… Would like to see thier lease portfolios and when the come to renegotiations…  can’t imagine all those cow pasture wallmart stores are going to be costing them an arm and a leg into the future… But the best buy stores… Yikes… Prime realestate and state/city gov is looking for more $$$ to keep filing those pot holes (like here in Chicago…)

Posted by Ray Casey  on  06/14  at  12:41 PM

Oh… silly me… I realized that “Best Buy” is making all their margin (0 plus) on $6 cables that they are selling as a “best buy” to their valued customers at $65 a pop.  gotta get all those black boxes connected somehow…  I guess they built that cost model into figuring out how to pay for all those employees and fancy store locations…

Posted by miami limos  on  06/15  at  04:33 PM

Instead it has said it will create differentiation by improving its display areas and in-store experience.

The messages coming out of Best Buy, though, are mixed at best. It recently closed several of its Magnolia stand-alone stores and took over leadership of that specialty division. That move seems juxtaposed with a goal of elevating its in-store experience.

miami limos

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