Friday, April 27, 2012

1728 Boxed Out

What goes around comes around. Big box stores are getting boxed out. Or possibly Taco Bell's philosophy has taken hold. They are thinking out of the box...
Big box stores across the country have found out an important lesson. There's no substitute for expert service after all. The latest to make this rediscovery is none other than Best Buy.
Best Buy was largely credited with driving Circuit City out of business because they were bigger and boxier. But Circuit City, some analysts now believe, boxed itself in when it fired all its specialists and experts---who could actually help you make an informed decision, and possibly even upgrade to a more expensive product that would satisfy your needs---and replaced them with minimum wage novices whose sole function was to run a scanner across a price code at the cash register.
Usually the price code of the lowest-priced item in the category.
Best Buy announced last week that it would close fifty stores and start opening smaller stores from here on. Target and Walmart have similar plans.
Wow, if even Walmart plans to downsize, the paradigm really is shifting. And now where will old people go for their exercise walk when its raining?
There's always the worry consumers will "showroom shop" the new places, pick the brains of experts, then buy online anyhow. But give consumers a little credit. Loyalty does count for something. If you give warm, friendly and knowledgeable service, they'll buy right then and there (especially if you give them a little credit).
Seriously, why go home and wait 8 days for free shipping?
Complicated high-margin items like smartphones need a little coaching. Even Amazon is opening brick-and-mortar stores for that reason.
Just make sure the smartphone doesn't have one those price comparison apps...
America ya gotta love it.

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