Best Buy plans to open somewhere between 75 and 100 of its 1,500 square-foot mobile phone stores this year in addition to the 77 it currently has in operation. The retailer, which currently represents about four percent of mobile sales in the U.S., is hoping the smaller stores will help it increase its share of the market to 15 percent.
Eventually, Best Buy CEO Brian Dunn told the Financial Times, the chain plans to have up to 1,000 of the stores in operation.
The beauty of the smaller format, according to Mr. Dunn, is that it brings in new shoppers who aren't shopping at Best Buy's standalone big box stores. "Typically this consumer is female ... a mom with a couple of kids. These are incremental connections we are making," he said.
Up to now, Mr. Dunn told the Financial Times, "Buying a cellphone in this country scored below going to the dentist." He added, "It is not the top-performing area in our stores for customer experience."
Best Buy is looking for its small stores to take a bite out of RadioShack and Wal-Mart's mobile business. RadioShack has also tested a store concept targeted to consumers of mobile devices.
Discussion Questions: In what ways do you think the customer experience has failed when it comes to mobile devices? What are your solutions for fixing current shortcomings and do you think Best Buy is on the right track with its focus on mobile?