Circuit City stock plunges on grim losses report

[jpeyton]

Best Buy has been aggressively grabbing for Circuit City's jugular over the past year. They've been subsidizing huge discounts on TVs, computers, and other items to steal their customer base.

It's working. Circuit City should be out of business before 2009. Best Buy will dominate the consumer electronics sector.

 

[Wreckem]

Originally posted by: jpeyton
Best Buy has been aggressively grabbing for Circuit City's jugular over the past year. They've been subsidizing huge discounts on TVs, computers, and other items to steal their customer base.

It's working. Circuit City should be out of business before 2009. Best Buy will dominate the consumer electronics sector.

And I and others will continue to buy online more and more.

When I bought my TV I got it for $1250 shipped. At the same time it would have cost me $1699+ tax at Best Buy or an other B&M I looked at.

 

[jpeyton]

Originally posted by: Wreckem
When I bought my TV I got it for $1250 shipped. At the same time it would have cost me $1699+ tax at Best Buy or an other B&M I looked at.

When I bought my newest HDTV a month ago, I paid $800 less at Best Buy than the lowest online price.

 

[lokiju]

If the results are more Frys nation wide, then I'm okay with it.

 

[Savarak]

Originally posted by: jpeyton

Originally posted by: Wreckem
When I bought my TV I got it for $1250 shipped. At the same time it would have cost me $1699+ tax at Best Buy or an other B&M I looked at.

When I bought my newest HDTV a month ago, I paid $800 less at Best Buy than the lowest online price.

How!!?

 

[Goosemaster]

Originally posted by: Chadder007
They shouldn't have fired all of those Employees that had a clue to what they were doing.

That one is one for the books.

 

[ManSnake]

Originally posted by: Savarak

Originally posted by: jpeyton

Originally posted by: Wreckem
When I bought my TV I got it for $1250 shipped. At the same time it would have cost me $1699+ tax at Best Buy or an other B&M I looked at.

When I bought my newest HDTV a month ago, I paid $800 less at Best Buy than the lowest online price.

How!!?

I imagine that he used a combination of rewardzone coupons, 12% off coupon that BBY sends out to its most valued customer from time to time, and a number of gift cards.

 

[coloumb]

Originally posted by: jpeyton
Best Buy has been aggressively grabbing for Circuit City's jugular over the past year. They've been subsidizing huge discounts on TVs, computers, and other items to steal their customer base.

It's working. Circuit City should be out of business before 2009. Best Buy will dominate the consumer electronics sector.

Ugh..I hope not. I hate Best Buy with a passion...I refuse to go into their store unless it's aboslutelyfreakinnecessary.

 

[bonkers325]

i prefer CC over BB. both B&M and the website

 

[JC86]

I've always liked my local CC over Best Buy. As for Fry's there's one close by and I was never a big fan, if I need anything from them, I can usually get it from Newegg or Mwave's willcall, which is a godsend. I still go to CC every once in awhile.

 

[thepd7]

Originally posted by: flxnimprtmscl

Originally posted by: thepd7

Originally posted by: dds14u

Originally posted by: Ronstang
Circuit City is a waste of time. A visit or two is all an educated person needs to realize their business model is flawed. The only time I step foot in that awful place is when the sale is just too enticing, and I still wonder whether walking into the store is even worth the good deal. If they go out of business they have earned the right with every step they have taken.

And there's a better B&M out there?

Have you heard of Fry's? Hell, even Best Buy, as bad as it is, beats Circuit City.

No, it really doesn't. It's not even close. Plus, at least I know Circuit City isn't trying to scam me outright, which is more than I can say for Best Buy.

If I may digress slightly, how can they call it Best Buy when it's more expensive then every other electronics B&M that I've ever been to?

Fry's is 10x better than CC, and at least around me all the CC's suck ass, especially in regards to pricematching (which in reality is the only way to get decent prices at a non-Fry's B&M). At least at BB they have good sales, got a retail 320 gb SATA II Seagate 16 mb cache for $60.

 

[spacejamz]

no mention of the story where the execs got some schweet bonuses???

found it

While Circuit City laid off 3,400 high-paid workers and replace them with lower-paid new hires in March, it announced this week the approval of millions in cash incentives to retain its top talent following the departure of several key executives over the past year. Executive vice presidents could claim retention awards of $1 million each and senior vice presidents could get $600,000, provided they stay with the company until 2011, according a filing with the U.S. Securities and Exchange Commission.

The bonuses didn't sit well with Merrill Lynch analyst Danielle Fox, who questioned whether Circuit City should be focusing on incentives for the people who sell its products in stores.

"It seems like the top executives are getting paid more for poor performance," Fox said. "I don't see really what the incentive is for them to perform, to stay with Circuit City."

Schoonover said the bonuses are essential to keep together a team he spent three years assembling. He added that Circuit City offers competitive starting wages for store employees and gives performance bonuses to supervisors.

 

[AgaBoogaBoo]

If they lost the people at the top, no one would be able to guide the ones below, and so they had to give out strong incentives to decrease the damage. That's how I read that article.

I think they know it's over, just trying to make it as less painful as possible.

 

[George P Burdell]

Can't say that I care. But I'm worried about the way things are going. First CompUSSR, then CC. What's next?

 

[CPA]

I will choose CC over BB almost every time, especially their online site.

 

[Muadib]

Originally posted by: lokiju
If the results are more Frys nation wide, then I'm okay with it.

Will Frys dare move east? If CC folds, that will just leave BB & PC Richards in my neck of the woods. I like BB, I've also gotten good deals there. But that might change with less competition.

 

[Marinski]

I try to avoid circuit city, or best buy, at all costs. They screwed me on a rebate a few years ago and I haven't been back. Plus, the majority of their employees are incompetent baboons.

 

[Pliablemoose]

I don't buy from any B&M unless it's a gotta have it right now item or there's a killer deal, and taxes eat up those killer deals pretty quickly.

CC's marketing kills me, I bought a 47" 1080p Olevia LCD there this month, I go from the main store (where they don't have any of the 7 they have in stock on display-WTF, it would have been a great set to upsell from) to the pick up area that resembles the stores nasty bathrooms & get ignored by some snotty bitch that blatantly gives preferential treatment to minority customers???

Yeah, CC needs to die unfortunately...

It's just a matter of time till Wal Mart completely owns the bottom & middle tier of B&M retailing, and I'd rather pop out an eye with a grapefruit spoon than shop there, one of these days a 500+ lb woman is going to finally kill me with her electric wheelchair while she's trying to reach for that bag of sugar disguised as food. :brokenheart:

 

[Nik]

This has been happening for a long time. The local CC liquidated everything last year. Some old guy just up and bought it all and liquidating. We used to sell our products there but we got a heads up a long time ago that it was going bye bye.

 

[ComputerWizKid]

What happens to the people that have a contract on their purchase? A few years ago I bought a tube TV from them and it broke and they could not fix it so I was forced into to buy another TV FROM CC. and I had pay the difference as they only carried Crappy ALL in One Tube TVs So I bought an LCD with a Product Protection Plan. Does that Mean my contract is null and void? if so I will be very much pissed because that plan was expensive

 

[Mermaidman]

Originally posted by: ComputerWizKid
What happens to the people that have a contract on their purchase? A few years ago I bought a tube TV from them and it broke and they could not fix it so I was forced into to buy another TV FROM CC. and I had pay the difference as they only carried Crappy ALL in One Tube TVs So I bought an LCD with a Product Protection Plan. Does that Mean my contract is null and void? if so I will be very much pissed because that plan was expensive

Are you referring to an extended warranty? Those are usually underwritten by a third party, such as GE, and should still be good even if the retailer goes bust. Look at the paperwork for your "contract."

 

[nsafreak]

Originally posted by: ComputerWizKid
What happens to the people that have a contract on their purchase? A few years ago I bought a tube TV from them and it broke and they could not fix it so I was forced into to buy another TV FROM CC. and I had pay the difference as they only carried Crappy ALL in One Tube TVs So I bought an LCD with a Product Protection Plan. Does that Mean my contract is null and void? if so I will be very much pissed because that plan was expensive

That depends, if CC themselves are the ones that do the actual warranty work then yes you may well no longer have an extended warranty. However most places have another company handle extended warranties so what's likely to happen is that the company that handles your extended warranty will do replacements through another retailer.

 

[dudeman007]

OK people....just because they posted losses doesn't mean they're going out of business (or at least just yet).

 

[JoPh]

i never had any issues with either cc or bb. i like them both. go figure.

 

[mrSHEiK124]

Originally posted by: marvdmartian

Originally posted by: ShockwaveVT

Originally posted by: AdamK47
When Circuit City is gone how am I supposed to get my $100 monster cables?

Go across the street to Best Buy, where they cost $105

Better yet, go to the going out of business clearance sale at CompUSA, where, after applying the 75% off savings, it'll only cost you $110!! :roll:

:laugh: 10/10

Originally posted by: yamadakun

Originally posted by: dds14u

Originally posted by: Ronstang
Circuit City is a waste of time. A visit or two is all an educated person needs to realize their business model is flawed. The only time I step foot in that awful place is when the sale is just too enticing, and I still wonder whether walking into the store is even worth the good deal. If they go out of business they have earned the right with every step they have taken.

And there's a better B&M out there?

Apple store.

/flamesuit on/

Surprisingly, if the Apple Store's got something I need ASAP and can't wait on NewEgg/ZZF for, I prefer getting there as opposed to BB/CC.