The news from Best Buy this week – that it would be emphasizing value for the holiday season via its in-house brands Insignia, Rocketfish and Init – is not surprising since it’s been using house brands for years.During this recession, even this retail giant is scrambling for growth.
The surprise is not the electric car, Segway or other non-CE items Best Buy is testing. Heck, other electronics/appliance retailers have sold mattresses, furniture, outdoor grills and lawn mowers in good and bad times.
Today’s report by TWICE senior editor Alan Wolf shows that Best Buy’s in-house offerings are providing more upscale features at lower prices than ever.
One example is the Insignia Advanced-series LCD TVs, which incorporate audio and EQ bass extension technologies by Audyssey. The 42-inch model is a 120Hz, 1080p set with a dynamic contrast ratio of 15,000:1 and retail of $899.
I can hear the “ouch” from both Best Buy’s suppliers and competitors. We should be seeing and hearing about more product features and products from Best Buy as the fall approaches.
So far there has been no grumbling from suppliers. But if these more upscale, value-priced, products take market share in the fourth quarter Best Buy’s vendor partners may be heard from – especially if the economy is still less than vigorous by Christmas.