BEST BUY : 15 DAYS - for all items
COSTCO : 90 DAYS ELECTRONICS - Other infinite as long as a member.
WALMART : 30 DAYS ELECTRONICS - 90 DAYS other
TARGET: 30 DAYS ELECTRONICS - 90 DAYS other
AMAZON: 30 DAYS ALL.
That's it Joly! That will drive them in with your price match and less than competitive return policy! Creating more goodwill. lol..: ))
Holly, what's the big deal?
Your main argument that everybody else is far cheaper is now eliminated with this new policy in place. Whether it’s 15 days or 30 days return policy is one of the least important factors in making a buying decision. But correct me if I am wrong.
From my own experience as a shopper and direct investor in a small online business, selling consumer goods - we do have a similar return policy - and guess what, most of our clients don't even care about the length. Our own data suggest that it applies to maybe less than 5% of our online clients. Furthermore, the important fact for clients is to have a solid returns policy in place plus a solid after sales service policy. Both are offered by BestBuy
In regards to profit margins, they might suffer initially depending how quickly the new cost cutting initiatives by Joly will work. However, assuming non-changing variables in your equation is just wrong. Again, I have complete confidence in Joly's skills to cut cost effectively and there are "low-hanging fruits" available according to him.
In any case, you are always seem to be talking about business model, but you are forgetting the role of management in all this or least you seem be neglecting it. One of the worst performances in BBY's history was under Brian Dunn - (why he initiated the share buyback policy or ignored the threat of online comp. is beyond me) and culminated when Dunn was fired and BBY was temporarily without proper leadership. Since Joly took over there seem to be signs of regained confidence among BBY people and the recent data and marketing initiatives seem to back this up.
Considering the facts of an equal treatment of sales tax, price match policy, market leader position in a growing fragmented market; a unique platform to deliver a multichannel shopping and customer experience and finally a lot of areas to trim fat and on top of that a Macky (former McKinsey) turnaround specialist as a new leader – (who even has a very charming French accent btw), I do have to say BBY is a #$%$ good business platform to work with – especially at the prices I got it for ;)
Joly, you are losing arguments against a BBY case – and please spare me the BS customer complaints – I could collect you tons of customer complaints about other retailers including Amazon.
It's a good idea. People were buying TV's on sale and then coming back to return it when a better one was on sale. So BBY was stuck with a bunch of used TV's they had to sell at huge discounts. Bad business.