Best Buy's muscles not as big as first thought. DSGi ready to kick sand in face of puny rival. Good.

8 May 2009

US electrical giants Best Buy have admitted they’re scaling back their original plans to invade the UK market like a gang of crazy telly-selling Nazis. What’s more, they’ve done it while mumbling some garbled, half-baked excuses, which in case you’re not sure, isn’t impressive at all.

The company’s international chief executive Robert Willett (who looks like a cross between Louis Walsh and a balloon) announced that the joint venture with Carphone Warehouse will now launch with 80 ‘big box’ stores by 2013, a colossal 20 less than was originally planned. They'll be starting with between one and five store opening in the Spring of 2010. Probably just the one then.

Willett added, “We still look to have the same impact on the market . . . but we are going about it in a multichannel, multi-format strategy.” Which probably means something about different-coloured carrier bags.

God, we HATE Best Buy and hope all their stock falls into the sea on its way over from the States. They’ve got no hope of toppling Currys, Dixons and PC World so they might as well stay where they are and just stuff their fat faces with tacos and processed cheese.

Some balance there for all the DSGi lovers…

EDIT: Elsewhere, John Lewis have revealed they'll be opening as many as 30 stand-alone electrical retail outlets, starting later this year. They're wasting their bloody time unless they're going to exactly copy everything DSGi do.

TOPICS:   High Street News   Gadgets   Mobile

32 comments

  • James
    personally i think they do have a fighting chance.....provided they offer the one thing we seem to fail on: real expertise and better customer service. I'm sure I'm gunna get shot down for saying that but its just my opinion so please be gentle!
  • Tom P.
    "hope all their stock falls into the sea on its way over from the States" Most of the stock will, actually, come from China.
  • Noghar
    DSG sell almost everything at full retail price. Their PCWorld chain claims to have a pricematch policy but makes sure it only includes other retailers who never discount anything. DSG stores are notoriously staffed by at best undermotivated and at worst cocky, ignorant, rude and obstructive staff. Why in God's name would JLP want to mimic their selling methods? They're probably be a bit like Sony shops only not so outrageously smug and overpriced. If they're the whitegoods equivalent of Waitrose they won't take over the world but they'll do just fine and more power to them. They are a co-op after all.
  • James R.
    It doesn't really matter who's name is above the door, all the guys do is shift boxes with shit customer service and nonsense cover plans.
  • DSGi C.
    Well there's a surprise, bitter wallet take a sly dig at Currys, PC World and anything DSG related. A balanced point wouldn't go amiss, eh?
  • pete
    dig dig dig. sarcasm does work in print. free 500 year warranties for everyone on everything.
  • Rob
    Absolutely stuning. The guys who run this site are barking. They slag off DSG al the time and now, DSG are great. Make up your minds. The digs at someone's personal appearance is juvenile at best. Where are the pictures of the God and Goddesses at Bitter Wallet then? Muppets
  • Alex
    I must say, as someone who has worked for DSGi for 3 years, been through several training programmes and only one payrise, I agree. All of the staff are under-motivated or cocky, I fall into the under-motivated catagory, all they do is try and produce robot-like staff to read from a script. ('Fives'). I do try really hard to help the customers, because its obviously not their fault but when were constantly pushed into saying set things to them to try and make them purchase more from us it gets increasingly difficult to actually help the customer. If we genuinely help the customer and by-pass our fives script we get in trouble. Is the same true of companies such as best buy, comet, john lewis etc? x
  • bigjokk
    best buy will completely turn the uk electronics market upside down. i have been to their stores in the us and i was completely bowled over by how amazing the shopping experience was. i am used to the dsg stores with their poor service bravo best buy
  • Meek
    i go into PCworld with the purpose of buying 3 notebooks for graphic designing using photoshop. i listen to their speach about what pc ill require and what software i require. yet when i tyhink about it they spent in total 20 minutes talking me into gettong office and norton which would cost me £100 total and yet they seem to have missed the main point.. PHOTOSHOP i was looking to pay in excess of £800 for the software and yet they not even mention it was a requirement of mine. and so i not mention ill require it kept the £800 in my pocket and bought it elsewhere. FIVES = ignore customers actual needs, and sell what company is targetted to sell
  • Meek
    just a note when an american company comes to england the american store is always different to the english store.. walmart -asda, yes they look the same but i have yet to see someone at the entrance welcoming me to asda as i have when i went into walmart mcdonalds US - Mcdonalds UK - try asking for a beer with your bigmac in the UK.. lol
  • Pete
    " i was looking to pay in excess of £800 for the software" Looks like you've never heard of P2P or usenet.
  • smudger
    I think betterwallet is a anti DSGI chat room. Full of ex employees who couldnt cut it when they worked in DSG, Lets just get over your experience as a failed retail sales person, get yourselves a girlfriend or whatever floats your boat and chill out. DSGI is going to be fine and BestBuy will most likely change their mind about coming to the UK. Onwards and Upwards
  • Why N.
    for Meek - PCW don't sell Photoshop, not even Elements or any other Adobe software in their stores as they had a "disagreement" with Adobe about returning stock. @ Pete - Not everyone steals software.
  • John
    Go go JLP. Hope one's opening near me! DSGI forced to tap their shareholders for £310M so they wouldn't go bankrupt before next Xmas. £500M in net debt and will only post a £42M gross profit for this year before extrordinary costs, like another £200M of writedowns in goodwill. Should be very nervous working in a Currys at the moment the rate your losing money.
  • pete
    at the rate Currys is losing money? so refurbing just about all the large stores and turning some into Mega Stores? borrowing that money has made the share price go up too. DSGi are preparing for the future. John Lewis may well have plans for new stores but even they have reported more than a 12% drop in electrical sales recently. who will honour those free price matched warranties if they go under?
  • Rob
    Doesnt really matter where the store comes from - it`ll be staffed by British riff-raff , with the personal skills of Jeremy Clarkson at Gay Pride .
  • Meek
    about Adobe. actually before visiting the store i visited the website and priced everything up. though DSGI business they offer it and i was hoping to be asked if i wanted to order it with their next business day delivery through business account. they didnt. I am a guy that likes to be asked would i like what i need. and not some one that is told i need something i dont. i research my own needs first. it wasnt just photoshop i wanted. it was lots of other items but didnt want to wassle on in theis comment into the details. but basically their FIVES lost them £800 worth of profitable software sales. on best buys note. yes american management in offices eating douguts and dorittos while the store staff are the minimum waged UK and polish personalities we are all use to. would like to see their plans for training and customer service before i fully decide if they are DSGI rivals with their "geeksquad" rivalling techguys they will far supercede currys and comet. but pcworld is atleast already on the same playing field and already seems like they are two points ahead of bestbuy
  • John
    @Pete - DSGI are doing at 5-7 share swap at 14p to move the new shares, a rather hefty discount. For a fast buck people (including me) will buy, do the swap and then sell. Watch your price after the rights issue completion and you will see the correction. As far as refurbing stores, you got to do "something" rather like a dead man and straws. You've brought yourselves at great cost the chance of another Xmas peak season, not all the staff are going to see it but if you carry on down 14% LFL your dead.
  • James
    Best buy.... the saviour of the uk electricals market! LOL... i think if you google best buy im sure you'll see exactly the same complaints... exactly the same service agreements... hmm the real deal with bitter wallet is they have their problem with DSGi which is getting really boring! Which is a real shame seen as though most of their other articles are good. This is an extract of a best buy complaint; "This is not the first time I have been misinformed at Best Buy. After I found the right player, I then got pounded with a service agreement pitch by another salesman. $99 for 4 years....geesh what a ripoff! " But i doubt bitter wallet will make an article on this side of best buy........ And for the UK public.. well they will make up their own mind but i don't think people should have this illusion of best buy being the 'peoples' company! @ Rob.. i think you make a valid point.. it will be staffed by British people... although i would like to think not all the staff would be "riff raff"......
  • Andy D.
    @James - can I point you in the direction of http://www.bitterwallet.com/best-buy-just-as-bad-as-the-rest/8577 EDIT: And this one too - http://www.bitterwallet.com/lawsuit-best-buy-false-price-match-bonus-bombshell/9265
  • Nathan
    @smudger I'm an ex DSG employee and worked there for 9 years till November last year. However by your definition, I'm not sure I would fall into the "failed retail sales person" However I will say, that leaving is the best thing I could've done. Because I have never worked for a more nepotistic company! Increasingly ran by young upstarts fresh out of uni armed with their 2:1s in business studies. All vying to please the regional mangers with their new ideas and approaches, while the regional manager is content to sit back and let the kiddies do all the work for him. Power to the people through 'HotHousing ' eh? How convenient when the company eventually fails that they can then blame the lower ranks. I left employment in the middle of the credit crunch because I couldn't bear working another peak season at DSG, expected to work till 9pm the week before Christmas, expected to work another Boxing Day (last time I checked, Boxing Day was a bank holiday and by law you could refuse to work Boxing Day... not if you work at DSG) All the time I was unemployed, I never claimed benefits and used my own money to support myself for a few months, hell I even managed a week away to Rome as a means of catharthis. I'm now back in employment, (not retail) been there a month, maybe I'm still in the honeymoon period, but I already feel this much better than I ever was in DSG. Anyway, all the best to you. Onwards and upwards. Let's just hope your loyal colleagues are there to catch you when you fall from that increasingly rising pedestal you've put yourself upon.
  • Edward
    If you Google almost any large company you will find issues/complaints. That is the beauty of the Internet and Social Media. What you need to understand though is that Best Buy pride themselves more on service than just price. The whole premise is that they try to offer an enhanced customer service experience, rather than the examples given here of almost force-feeding nefarious add ons. I think an earlier poster (Rob on 8 May) made a good point with regard Bitter Wallet - you shouldn't just take the michael out of people's personal appearance. You guys are hardly a group of Adonis are you? Also, rather than attack Best buy before they are even here - novel idea - why don't you give them a chance to prove themselves? The UK retail electricals market has been crying out for a new entrant of stature for years. Even if they don't take over the whole UK market, at least encourage them as they are forcing more established players like DSG to change their approach. The other thing, I am sure when Best Buy launch, DSG will end up doing cost cutting on a regional basis, so again, the consumer will benefit if all they are after is price. So in other words, stop getting personal and taking the [email protected] out of people and give Best Buy a chance and see what they can do
  • Smudger
    nathan Thanks for the reply, I am a retail manager and have been for some time now, I would not be a young upstart, but I have worked for alot or retail companies in my tiime. I am a successful manager because I have been through this sort of slump before and all companies are struggling to be fair. I know the group will get through this and become even stronger. As far as HotHousing is concerned, that was a loud of crap brought to our company by Mr Hedgecox and only added more task to an over worked team, but thankfully John Browett has spotted that already. The idea of colleagues being able to share their thoughts and ideas is fantastic. I plan to stay with the company because I love retail and cant see anywhere else in retail I would want to go to. Cheers Onwards & Upwards
  • Gareth
    Smudger - as a successful retail manager, perhaps you might want to know that "alot" is in fact 2 words. Your apparent lack of intelligence does not surprise me at all. As an ex-DSG employee I can say from experience that the management is singularly THE WORST I have ever worked for. I worked for Equanet prior to acquisition by DSG and it was like watching a lesson in how to kill a company. They removed a world class IT system and replaced it with one which didn't work. They made the most efficient depatch/config dept in the company redundant and aligned sales to use a warehouse who made errors on 50% of orders. However the most striking thing I noticed about the DSG employees in Bury was how incredibly THICK the majority of them were. No wonder a company fails when you employ absolute numpties and, in the case of Colin Dyke, you put them on the board of directors.
  • x
    I work for DSGI customer services. We're not really allowed to help customers, but only get in trouble if our calls are over 230 seconds long. If we try to help a customer, and it takes getting off calls for a bit to do it, we get in trouble for that. The stores get grouchy with us if we call them if they have messed a customer about and tell them to fix it. Granted their are customer's who only like to winge, but their are some that have been messed about, and we're not allowed to help them, only flog them off with excuses.
  • Me
    I Wonder how many bittersite people actually have purchased a home or business product from a DSGi Store. Quite a few i bet!!!!!
  • carry-on-campus-newark
    Well.......i have to say that iv been working for DSGI since 2006 and they are without a doubt THE WORST company iv ever worked for, They employ managers that have no BALLS, too many agencey who know naff all as thw site has developed a trend of NOT training anybody properly and most of all people are STILL nicking stuff and thats because the security on site is to be honest RUBBISH ! We had a meeting yesterday, with Sean Feeney, Sebastian James and some other guy, these are some of the top people in DSGI, apart from John Browet whos the TOP TWAT of our chain, anyway they was spouting on about changes and new ideas bla bla bla, this guy Sebastian James, was talking utter SHITE....iv neber heard so much rubbish in all my life lol it was apoor attempt to pull the staff on board with his new ideas, which clearly isnt working !! Take my advice DONT work for DSGI !!
  • eat w.
    "They’ll be starting with between one and five store opening in the Spring of 2010. Probably just the one then." EAT YOUR WORDS ANDY DAWSON... ITS FOUR...
  • member d.
    i work for this lot and have done for a long time bring on the yanks they might treat there staff a little better... hopefully they might take over...dsgi to many chiefs and not enough indians thats our problem,customers demand cheaper poducts every day these costs are not cut from the directors wages i can asure you,they get cut from quality & amount of stock holding this coupled with anoying old customers and pissed off staff = bad customer service!!! its the market of todays retail greed...one other fact for you the current back log of repair is about 23.000 customer units!!! is this the shite build quality?? idiot customers?? or just the way of things today?? ill let you decide!
  • joolz
    I am a customer. I went back to their Lakeside store today to buy a Logitech Squeezebox Boom they had discounted yesterday at £99. Today it has gone back up to £209 (£30 more than Amazon) I was told that it was a short term offer and that the price had gone up for the weekend. The customer service was the same rubbish you get else where but in a different polo shirt...the guy could not demo the product and tried to appease me by saying they had no stock anyway (I had checked stock before I left home). Their 32" TVs look over priced compared with online deals. As for the website, it is possibly the worst designed and uninformative I have seen in ages. On this basis DSG, Amazon and co will walk all over them. Many customers will be put off by the sheer number of sales assistants roaming the place. The ambience isn't great and save for the electric vehicles section and 3D TV demo it's no different to Comet & co. A waste of time and left me cold.
  • ukwrecker
    Unfortunitly I had the experience of working for them, and I had to listen to the bull shit Sean Feeney had to shovel, more crapp comes out of that maans mouth then anywhere else, he should use the toilet with his head down the pan, have managers telling us to work unsafe working practices endangering our health and safety and members of the public, and we have office lackies telling us to take vehicles out onto to road, when I refused to do so because of the condition of the vehicle, I was told to take it out or go home without pay, again endangering my safety and the public, and they have delivery drivers knocking on peoples doors at 21.00 hours at night to deliver and install washing machine

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