Circuit City and Tweeter’s Pain is Best Buy’s Gain
City is closing 20 percent of its stores. Tweeter is closing all of its stores.
That leaves up to $2 billion in consumer electronics purchases up for grabs
according to an analyst with Piper Jaffray.
Kaiser Sr. said earlier this week that Best Buy is in position to pick
up to 30 percent of that figure.
analyst, Gary Balter of Credit Suisse, believes that Best Buy will be able
to grab more than its 21 percent market share from the 155 stores being
shuttered by Circuit City.
Sony SEL sales president, told TWICE (This Week in Consumer Electronics)
that if consumers don’t find what they want at one retailer they naturally
go to another.
don’t know any consumers who go to one retail store and postpone their
plans to purchase a product if they can’t find it there," he said. "The
question becomes do they shop at Sears? Do they go online? Or do they go
to a smaller independent retailer for their shopping experience? It will
be interesting to see which value equation they do choose. But they are
going to choose to buy nevertheless. I have that much faith in consumers
that they will continue to do that."
What does the closing of over 200 Circuit City and Tweeter stores mean
for other consumer electronics retailers? What will be the key for those
who continue to operate stores when it comes to picking up business from
the closed locations?
Buy poised to gain share from competitors – The Associated Press/Forbes.com
In CE Share Up For Grabs: Analyst – TWICE