Parks Associates Blog

Wednesday, July 23, 2008

And, Support from the Retailer Perspective

Okay, we have an official home networking customer support trifecta for July 23, 2008: a home networking support story (Cisco buys Pure Networks), a service provider support story (Comcast struggles with support), and now the retail angle (Best Buy vs. Circuit City) in today's USA TODAY.

Costco, Sam's Club, and Wal-Mart, etc. are becoming a more important channel for electronics sales, Our own research from The Changing Consumer Electronics Purchase Process indicates that - among flat-panel TV purchases made at retail stores - that these mass-merchants accounted for nearly one-third of sales in 2007. As consumers seek out lower prices, the warehouse clubs and mass-merchants could really threaten the established CE sales businesses of Best Buy and Circuit City.

Today's article emphasizes Best Buy's strategy of promoting superior customer support in effectively competing not only against Circuit City (whose Firedog business is presumably struggling in the light of recent layoffs), but also these mass retailers.

I'd be really interested in seeing a consumer purchase study that breaks out the use of installation, configuration, and training services with a CE purchase. \

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