TigerDirect to Absorb Circuit City, CompUSA Brands in North America
November 1, 2012 8:39 PM
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Systemax is also leaving the build to order (BTO) business
CircuitCity.com and CompUSA.com will now be absorbed by computer/electronics retailer
in an effort to combine brands for an easier business model.
Systemax, a multi-channel retailer of consumer electronics that heads TigerDirect,
and Circuit City, announced two key changes to its business strategy today. CircuitCity.com and CompUSA.com platforms will direct traffic to TigerDirect.com (all CompUSA stores will be re-branded as TigerDirect), and the company will exit the build to order (BTO) business.
Systemax has decided to lump
and CompUSA.com into TigerDirect in order to create an easier, more customer-focused business strategy.
"We are enthusiastic about the benefits of focusing all marketing efforts on the brand that has stood for great deals and exceptional value to our customers for years," said David Sprosty, CEO of Systemax. "All CompUSA stores in the US will be re-branded TigerDirect over the next month. Our CircuitCity.com and CompUSA.com online platforms will begin a traffic migration process that ultimately will redirect all traffic to TigerDirect.com."
As for change No. 2, Systemax is leaving the BTO business in order to meet customer needs instead of focusing on manufacturing.
"We believe that our customers are better served by TigerDirect partnering with numerous vendors to deliver build to order (BTO) solutions rather than competing with our partners," said Sprosty. "So, after more than 15 years in the BTO business, we will transition manufacturing to our vendors and strengthen these strategic relationships. To be clear, BTO will remain an integral element of our business by focusing on meeting customer’s unique needs rather than manufacturing computers."
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Discarding the husks
11/2/2012 10:05:47 PM
In other words, they've gotten all the value they could from those brand names and they've become more trouble than they're worth.
"Let's face it, we're not changing the world. We're building a product that helps people buy more crap - and watch porn." -- Seagate CEO Bill Watkins
Circuit City Files Chapter 11
November 10, 2008, 9:59 AM
TigerDirect's Parent Company to Acquire 16 CompUSA Stores, CompUSA.com
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TigerDirect Eyes Remaining CompUSAs
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