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Best Buy puts stock in stores in battle with Amazon

Best Buy wants the customers to see what is in the big box stores, secondly to use the stores as an online fulfillment center. They want to try to match prices with there competitors, such as Amazon. They will try to use the stores as a front-end and back-end weapon to grow revenue. Best Buy will use show rooming to get more customers, show rooming is basically customers see the product in stores and then buy it online.

In a few months, Best Buy will have Apple, Microsoft, and Samsung coming out in its stores. They want to create a clearance areas, but they need to make room for the new Apple and Microsoft to have floor plan to maximize sales. Best Buy a week has 2%-4% of online traffic that can't buy something online because it says out of stock but it is really in stock in a local retail store near you. The way this plan works is that Best Buy stores can deliver products faster and cheaper. The downside to this plan is that Best Buy employees might not be as efficient as the distribution center employees on inventory. This should go into effect to 200 stores by the holiday. It is not possible to come out earlier because this is a whole new concept to them, because they have never shipped out from the back room of stores or systems need to be sped up to show inventory levels in minutes not hours. All in all, this seems like a good start to a new Best Buy and can help them on there online sales.


Brandon Teragawa
Brandon Teragawa

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