Market Currents
A tale of two big-box retailers: After bearing the brunt of the Amazon Effect, Conn's (CONN...
-
Thursday, February 7, 9:59 AM ETA tale of two big-box retailers: After bearing the brunt of the Amazon Effect, Conn's (CONN +1.2%) and Best Buy (BBY -0.8%) took different approaches to their transformation. Conn's decided to move toward a focus on selling furniture, refrigerators, and other higher-margin items while Best Buy starting pumping its services and mobile business. Over the last six months, it's been a period of falling same-store sales at Best Buy while Conn's has managed to make gains. Same thing with share price: BBY -20.3% vs. CONN +43%.
Other date
Latest Consumer Articles
This news story has 4 comments:
Is there a reason a 6 month period was used instead of the critical 3 month holiday period? Taking into account that BBY did not have the leadership team in place until late Nov it could be argued the new strategy under measure was not even in place.
An article could just as easily be written to state that BBY stock is up 33% since the week before Black Friday where where Conns is only up 6.8% in the same period (11/20 forward).
I am personally interested in how both strategies work out, but appreciate a view that considers where both companies are at in the timeline.
The two chains sell electronics, but are not really comparables.