Just three months after announcing it would close over one-half of its store, computer retailer CompUSA announced it will drastically narrow its customer focus to three tech-oriented groups that include small and medium-sized businesses, and which does not include ordinary consumers. In a press release, the company said it was “responding to (a) growing market need,” and was acting to better serve its core customer base, which includes “tech enthusiasts, educated professionals and small and medium businesses.”
Earlier this year the company had 231 stores in the U.S. and was considered a powerhouse among retailers of computers and related gear. But the public company was taken private in 2000, and significant ownership changes followed. In February 2007 the company decided to close 126 of its retail stores, apparently in response to financial losses.
Roman Ross, president and CEO, said in a press release, “Our goal is not to be everything to everyone. We’re focusing our efforts on the customer base that best aligns with our clear value proposition,” apparently referring to profit. CompUSA said it will bring back products that are “trade specific,” and that they are already testing a new store format to include a designated section of the store specifically for small and medium businesses. Employees will receive advanced technical training, the press release said, and the company will host free, in-store seminars and events, “geared at educating small business owners and their employees.”
CompUSA said it will also focus on serving tech enthusiasts and educated professionals. The company considers tech enthusiasts as, “early adopters of the latest technology products,” while educated professionals are “familiar with using high-end business products and are more apt to purchase them for their home use.” The company said that later this year it will launch “new marketing initiatives in the store, on the Web and through its promotional materials” to target these two customer groups.
Lastly, CompUSA said it will “enhance its products, services and operations in all of its 103 stores,” adding, “Customers will see product, services and store merchandising enhancements throughout 2007.”
