High Def Forum
Thank you for visiting. This is our website archive. Please visit our main website by clicking the logo above.

Declining Video Sales Contribute To Lousy 3Q Results At Best Buy

PSound
12-13-2011, 09:19 AM
Considering how much of the revenue in Hollywood comes from retail sales and consumer electronics, there’s sure to be some teeth gnashing over the earnings figures out this morning from Best Buy for the quarter that ended in November.

Still, entertainment sales including music and DVDs fell 9% at domestic stores open 14 months or more. They now account for 13% of Best Buy’s U.S. revenue. Consumer electronics, which represent 35% of Best Buy’s domestic sales, were down 4.8%. The chain had better luck with computers and mobile phones which represent 40% of sales, and were up 8.8%.

http://www.deadline.com/2011/12/declining-video-sales-contribute-to-lousy-3q-results-at-best-buy/

GizmoDVD
12-13-2011, 09:38 AM
I'm assuming Blu-ray wasn't mentioned because it is doing so well... ;)

bruceames
12-13-2011, 09:50 AM
I'm assuming Blu-ray wasn't mentioned because it is doing so well... ;)


Yeah, pretty obvious that Blu-ray is considered just a type of DVD to the general population.

GizmoDVD
12-13-2011, 09:53 AM
Yeah, pretty obvious that Blu-ray is considered just a type of DVD to the general population.

There is no doubt Best Buy will shrink OD come Q1. A big sales drop like this is just not good for them if they want to stay relevant (especially against Amazon).

chipvideo
12-13-2011, 10:06 AM
Still, entertainment sales including music and DVDs fell 9% at domestic stores open 14 months or more.They now account for 13% of Best Buy’s U.S. revenue. Consumer electronics, which represent 35% of Best Buy’s domestic sales, were down 4.8%. The chain had better luck with computers and mobile phones which represent 40% of sales, and were up 8.8%.

Ive highlited the most important parts. Smartphones are the hot thing. It aint rocket science whats going on with socitey. This is also why I think that the handheld gaming market is doomed.

bruceames
12-13-2011, 10:14 AM
There is no doubt Best Buy will shrink OD come Q1. A big sales drop like this is just not good for them if they want to stay relevant (especially against Amazon).

I wouldn't be surprised. Standard procedure to shrink space allocation to areas with declining sales and reallocate it to those areas which are growing.

Plus now Best Buy makes an even greater showroom for Amazon with the price scanner feature. ;)

chipvideo
12-13-2011, 11:07 AM
I wouldn't be surprised. Standard procedure to shrink space allocation to areas with declining sales and reallocate it to those areas which are growing.

Plus now Best Buy makes an even greater showroom for Amazon with the price scanner feature. ;)

This will speed up the death of Best Buy.