CompUSA’s New Retail Model: Tiger Direct Prices and Web Access

April 10, 2009

(ChattahBox)—As many big box retailers lose their battle with the recession and disappear from shopping malls across the country, CompUSA, long given up for dead two years ago, when it filed for bankruptcy and closed hundreds of stores, is now poised to make a comeback with a new retail-tech business model. With Systemax, a major electronics retailer, as its new parent company and the successful cost-cutting online electronics retailer, Tiger Direct as a subsidiary, CompUSA is changing the way customers shop in brick and mortar stores.

CompUSA’s new strategy includes, 30 newly remodeled stores, cheap prices and in-store Internet access, allowing customers to surf the web for comparison prices, as well as access Twitter and their Facebook pages if they like. Once customers sit at the many available computer screens, they discover all of the CompUSA inventory is connected to Tiger Direct for the same low prices, whether purchased in the store or online.

The direct tie in to Tiger Direct’s cheap prices, ensures a customer won’t go elsewhere to make their purchase after comparing prices on CompUsa’s terminals. Although online electronic retailers continue to grow, people still like to make a trip to a physical store to check out the merchandise with their own eyes.

Gilbert Fiorentino, head of Systemax’s Technology Products Group and founder of Tiger Direct, calls the new business model retail 2.0, which combines technology to offer a retail customer a new experience. Fiorentino says every screen in CompUSA stores is connected to the Internet, where customers can pull up product specs and even, check the availability of store stock.

Fiorentino is confident that customers will give the new CompUSA stores a try, as more stores close and there are fewer brick and mortar choices.



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