Appliance and electronic retailer hhgregg Inc. (HGG) is opening a new store at 6275 University Drive NW in Huntsville on Oct 10, replacing the previous store located at 930 Old Monrovia Rd NW. In order to celebrate the new store opening and attract customers, the company will be offering special discounts on a wide selection of televisions, appliances and electronics, furniture and fitness equipments in all its stores in Huntsville from Oct 10-19, 2013. The company has also arranged contests and exciting prizes to attract customers. In addition, hhgregg will also be offering special financing options for its customers.
The company expects this store opening to drive sales. In fact, hhgregg has been growing its appliances business with the introduction of new products in furniture and fitness categories. The company is also expanding its computing and mobile phones category and focusing on initiatives to drive additional traffic and increase sales.
The company’s strategic initiatives also improved results in the first quarter of fiscal 2014. These initiatives mitigated the effects of the continued weakness in the consumer electronic category, which had been suffering since the past few quarters.
In order to improve overall comps and the performance of the consumer electronics category, the company designed three major initiatives for fiscal 2014. The company intends to increase market share of its appliance category, expand its customer base through advertising campaigns and focus on promoting consumer electronics through compelling offers. hhgregg also intends to increase category sales through its website capabilities.
hhgregg holds a Zacks Rank #1 (Strong Buy). Other stocks in the retail sector that are performing equally well and are worth considering include Kirkland Inc (KIRK), Best Buy Inc. (BBY) and Gamestop Corp Holding Co (GME). While Kirkland holds a Zacks Rank #1, Best Buy and Gamestop hold a Zacks Rank #2 (Buy).