Sam's Club Launches Free Tech Support
Sam's Club is launching free technical support nationwide for consumer electronics. The rollout ignited speculation that its bigger sister, Wal-Mart, would likely be introducing a similar service to support its push into electronics.
Under the program dubbed "Sam's Club Tech Expert," the warehouse club's technical support staff will assist members with questions from installation and set up to trouble shooting. Members can get free tech support on any electronics item even if they did not purchase it at Sam's Club. The service, effective Nov. 1, also offers home delivery starting at $50 and installation packages starting at $89 to members. Fees vary by package and market.
The "Tech Expert" program, which includes video game hardware installation and music CD ripping, had been in tests at select locations for the past year. A third-party firm, which Sam's Club declined to name, is providing the services.
"We believe the new program and changes are in line with our other member services, and allow us to continue to invest in offering high quality leading name brand electronics at superior values," said Steve Dacus, senior vice president, electronics and technology at Sam's Club, in a statement.
Costco also offers a tech support help desk and charges for home delivery and installation. But Pali Capital analyst Stacey Widlitz, according to Home Media Magazine, said in a note that the rollout may pose particular challenges to Best Buy's admired Geek Squad in-home service.
"With discounters such as Sam's Club getting into the CE services game, we believe that the gap between Best Buy and its competitors may be beginning to close," Ms. Widlitz wrote.
Indeed, many observers believe Sam's Club's move increases the likelihood that Wal-Mart will roll out a similar service to replace the recently shuttered Dell Technology Center test program. Under the pilot program launched in July 2008, Dell technicians had been providing support services through kiosks at about a dozen Wal-Mart stores in Dallas.
Discussion Questions: How critical are tech services in supporting the consumer electronics category? What does Sam's Club's and possibly Wal-Mart's move into tech support mean for Best Buy's competitive position? What are the pros and cons of Wal-Mart getting into consumer electronics servicing?
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