Circuit City Pulling off a Fast One?

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Bulldog

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Jan 22, 2004
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Interesting, I went to one of the CC stores that will be closing for the first day of their closeout sale with signs showing 10, 20 and 30% off! Gone were the weekly sales including the flyers! It seems that items that were on the normal weekly sale this week were either removed from shelves or displayed their normal standard price. No rebate discount sales either. I was hoping to cash in on an existing sale item along with the additional closeout discount; but no Joy! I asked one of the sales rep on the matter and she informed me that the weekly sales are available either on-line or at CC stores that are not closing.

Interesting. So I left empty handed.

Was this situation just at this store?
 
Well, if they had a business model that resulted in happy customers, they wouldn't be closing 155 stores now, would they?
 
Stores are being closed because CC has been hurt by the credit crunch, they cant get any credit to purchase product for their stores, wonder how long before BB follows suit. What hurt the one here in Athens is that it was set so far back from the road and was relatively hidden from view because of it. The BB here is set back from the road buts its very easy to see coming into town and its a block from the mall as well as right across from a McDonalds and next to a service station and a toysRus.
 
Circuit CItys failuer has nothing to do with the credit crunch, it has been getting ready to go out of business for 5 years now.

Poor management is to blame.

And I don't get why where there is a Circuit City there is a Best Buy across the street. Best Buy is always packed yet Circuit City is empty.

If it was the credit crunch Best Buy would be empty as well, but guess what they are not. In fact I am told that their sales are up this year. Go figure.
 
The CC in Athens is or should I say "was" in a terrible location but at least access into and out of the
the store was easier than BB. Coming out of BB, is an accident waiting to happen.
 
I agree CC has been hurting for a while.. they've revamped their stores hoping that would make a difference but it doesn't.. better prices can be found almost anywhere.. help is harder to find than in best buy (which is surprising).. they've been destined to fail for while now..
 
I agree CC has been hurting for a while.. they've revamped their stores hoping that would make a difference but it doesn't.. better prices can be found almost anywhere.. help is harder to find than in best buy (which is surprising).. they've been destined to fail for while now..

Just the opposite experience for me in the Detroit area.
 
Circuit CItys failuer has nothing to do with the credit crunch, it has been getting ready to go out of business for 5 years now.

Poor management is to blame.

And I don't get why where there is a Circuit City there is a Best Buy across the street. Best Buy is always packed yet Circuit City is empty.

If it was the credit crunch Best Buy would be empty as well, but guess what they are not. In fact I am told that their sales are up this year. Go figure.

We have many Circuit citys as well across the street from Best Buys, companies get too big and want to max out dollars for short term, then long term they close stores and they move in after collecting.

Also I am sure many of you already know this but when a store closes, dont be fooled by the % off signs, liquidators, wont want to give things away. Though this is a bit diffrerent seeing that all stores are not closing
 
Interesting, I went to one of the CC stores that will be closing for the first day of their closeout sale with signs showing 10, 20 and 30% off! Gone were the weekly sales including the flyers! It seems that items that were on the normal weekly sale this week were either removed from shelves or displayed their normal standard price. No rebate discount sales either. I was hoping to cash in on an existing sale item along with the additional closeout discount; but no Joy! I asked one of the sales rep on the matter and she informed me that the weekly sales are available either on-line or at CC stores that are not closing.

Interesting. So I left empty handed.

Was this situation just at this store?

Not suprising. It sounds like when CompUSA closed up shop in a couple of waves before going completely out of business. On the CLOSING sign went up it really was not a CompUSA store any more. A liquidator was in charge. There were no returns, ads honered, or anything like that. May of the employees were the same and the signs and uniforms were all in place but it was NOT a branded store any more.
 
Last week I went to a Circuit City store close to where we live in an Atlanta suburb, to get some home theater AV unit cables. When I got back home I told my spouse that the store was dirty, in disarray, and I never found anyone to wait on me, and that they would soon be out of business it they couldn't do better.

Then Monday Circuit City announced that they would be closing 20% of their stores nationwide, including all 16 Atlanta area locations. No surprise there. Things like this are always management related, aren't they?

I found exactly what I needed in a nearby busy, loud Best Buy store, where several employees offered to help me during the time I was there. Getting attention in a Best Buy store was a new experience for me. I always feel as though I am out of place, and in a store that caters to an age range of 18-24, unaware there's such a thing as service. They'll do for now - for some things, until something better comes along.
 
You know whats kind of funny...

I just wrote an article for MultiChannel News...

In it I compaired DirecTV to Dish Network and I said DirecTV was Best Buy and Dish Network was Circuit City. Think thats accurate? :D
 
We have both in close proximity. BB seems to be busier any time I am in there vs. CC, and the BB store is in much better shape as well. For example when I was shopping a medium-grade HT system this past spring (~$5K range), when I wanted to check out the best system CC had half the speakers weren't working in the "HT" setup they had and no one could get them working either. After I finally got a salesman to wait on me, he blamed it on the "cryptic 3808 Denon receiver that no one could understand" - great sales technique there! And that's where they also had their best Polks and BAs connected. Result - no sale to me! (Next time I went in, that whole HT area had been converted to shelf stock!) CC is more limited in product areas covered as well, like no appliances. Conversely, the sales team at BB is always available and mostly competent, and the store seems to be well laid-out and "operational". My only complaint with that particular store is it's too loud in there!

When I'm "in the market" for something I will check both stores, but quite often end up buying from neither. For many items we also have local "Mom and Pop" stores selling identical items, and they will often price match. As one local M&P store also has our area's only local authorized service center for many brands I feel a need to help keep them in business, so I will funnel as many retail purchases to them as I can. The only problem with the M&Ps is that they don't have the depth of product selection, or in many cases "one stop shopping", otherwise I would have little reason to venture into either of the big box stores.

As I look back over my "durables" spending in the past 5 years or so, I have made many purchases at BB and only a few at CC. But for the most part they have all been $200 or less at a time except for one HTIB I bought at BB for about $500 and a Mag Monitor for about the same price when LCD displays were that expensive. I buy some disks and accessories at BB, but little else. The bulk of the ~$15K I have spent for HT equipment over that time has been spent at M&Ps.

I will be interesting to see how all of these survive the economy over the next several years. I'm guessing BB, and maybe one M&P with a niche will be the only ones to survive...
 
You know whats kind of funny...

I just wrote an article for MultiChannel News...

In it I compaired DirecTV to Dish Network and I said DirecTV was Best Buy and Dish Network was Circuit City. Think thats accurate? :D

Yeow! That rings too true! :eek:

Well, my current Dish contract will expire in February, so if things don't get better soon I can make a change. I'll really hate giving up their great HD-DVR

It's too bad that neither can be compared to some high end stereo shops I used to frequent, but then there's the price situation.
 
You know whats kind of funny...

I just wrote an article for MultiChannel News...

In it I compaired DirecTV to Dish Network and I said DirecTV was Best Buy and Dish Network was Circuit City. Think thats accurate? :D

I certainly hope not. If I have to part from my ViP722 DVRs I might as well go to Fios. Unless D* picked them up.

But I doubt E* is going to go under. And my experience with Fios so far isn't encouraging. I received a flyer to sign up, left a voice mail, never got a response, but somebody had painted orange lines in my yard up to the entryway.
 
You know whats kind of funny...

I just wrote an article for MultiChannel News...

In it I compaired DirecTV to Dish Network and I said DirecTV was Best Buy and Dish Network was Circuit City. Think thats accurate? :D

Yes! you hit it right on the nail Scott:)
 
BB's geek squad may have alot to do with the rise in sales given their prices. Dont get me wrong I do like BB because they tend to carry movies that I cant find anywhere else as well as music though I have found a mom and pop for that. Since I dont work for CC and dont know anyone that does all I had to go on for one of the reasons they gave was the credit crunch.

Yes I would now liken Dish to CC since Charlie seems to have lost his under dogish zest for his company, its almost as if he has become bored with his hobby.
 
Thats the good thing about newegg but theres one thing they cant beat and thats being able to driver over and get what you want in 30 mins.
 
I find the staff at BB is generally more knowledgeable. Both stores have people that come over to help, though it depends on when you go.

I don't like the comparison between Dish and CC. Dish is a value leader, but they maintain a level of service above that at CC.
 
Along with Newegg I too find more than a few online sellers that I far prefer over a trip or delivery from a local retailer. I am NEVER in such a hurry to ridiculously overpay at one on these places with their non-existent CS and so-called experts that couldn't find their own butts even if you spotted them the crack! These local boxes are all about convenience for those people that "just don't know" or don't ever want to know. They are their product's version of a 7-11; overpriced just to get it now! I too do not like the DirecTV & Dish comparison to Best Buy & Circuit City; as I truly think both Best Buy & Circuit City SUCK far past the 2 DBS companies.
 
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