Radioshack searches for suitable suitor

Discussion in 'The OT' started by Nick, Apr 5, 2010.

  1. Apr 5, 2010 #1 of 47
    Nick

    Nick Charter Gold Club Member

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    The...
    Retailer exploring sale and share buyback options

    "This is all about handheld devices. A whole new
    wave of these products is coming out and they
    are going to break the monopoly of the carriers."
    More @ NewYorkPost.com
     
  2. Apr 5, 2010 #2 of 47
    tcusta00

    tcusta00 Active Member

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    I've always thought an outfit like Best Buy scooping up Radio Shack would be a good play... they can call it Best Buy To-Go or something like that to reflect the smaller scope of the store's inventory. Plus it would give them exposure in smaller markets where a 4,000 sf store is warranted and not quite a 40,000 sf store.
     
  3. Apr 5, 2010 #3 of 47
    matt

    matt New Member

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    Careful, BB will steal your idea and send you a $5 gift certificate for it like they did with me when they had the idea box. :mad:
     
  4. Apr 5, 2010 #4 of 47
    Stuart Sweet

    Stuart Sweet The Shadow Knows!

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    I'd like to see them scooped up by HH Gregg in a way to get that brand name known nationwide. As standalone electronics stores go, Best Buy's already big enough
     
  5. Apr 5, 2010 #5 of 47
    Nick

    Nick Charter Gold Club Member

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    The name, "Radio Shack", is an outmoded anachronism. Wouldn't want to see them go (all those quirky, hard-to-find batteries, ya know) but it's past time for a name change.
     
  6. Apr 5, 2010 #6 of 47
    AntAltMike

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    There is a Vietnamese shopping mall in Falls Church where they don't even bother to put up small, English signs below the ones written in Vietnamese. If I ever opened a consumer electronics store there, I'd call it Chiang-Kai-Shack
     
  7. Apr 5, 2010 #7 of 47
    Nick

    Nick Charter Gold Club Member

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    I wonder if anyone in Taiwan has a copyright on the general's name, but as I alluded to, the name "shack" doesn't have the meaning it once did.
     
  8. Apr 5, 2010 #8 of 47
    Stuart Sweet

    Stuart Sweet The Shadow Knows!

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    I'm not sure it's the name that's the problem. It's just a legacy of mediocre, high-priced products and bad service.

    I would love to see someone else make a go of the very same concept... a chain store specializing in interesting small, cool stuff at reasonable prices. I'm not worried about the battery assortment (as my local Shack doesn't have them anyway) but it would be really cool if they partnered with monoprice, crutchfield, or some other established full-line web/catalog site. If the local store doesn't have it, find it for the customer at monoprice and offer to order it or e-mail/text the customer the information.
     
  9. Apr 5, 2010 #9 of 47
    photostudent

    photostudent Godfather

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    There is plenty of small retail space available in this economy so neither BB nor Gregg need RS. The outlook is not rosey if you see what private equity have done to other companies either. I hate to see them go but, even as an electronics junkie, I hardly go there anymore.
     
  10. Stuart Sweet

    Stuart Sweet The Shadow Knows!

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    I don't think it's a matter of the space. I think it's a matter of having an instant brand presence in a gazillion strip malls all across the country.
     
  11. Herdfan

    Herdfan Well-Known Member

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    And if BB were to buy them, I could get overpriced Monster cables just down the street instead of having to drive 15 minutes. :lol:

    My Rat Shack actually has good service. There is a guy who has worked there since the store opened 15+ years ago. You don't even have to look for stuff, just ask him as he seems to know everything they have and if its in stock.

    Stuart,

    Do you like HH Gregg? There is one near my in-laws in Indianapolis. It is a huge store with not enough inventory. Don't really get a good "vibe" in there compared with the BB (w/Magnolia) a mile away.
     
  12. Stuart Sweet

    Stuart Sweet The Shadow Knows!

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    It is not so much that I am a huge HH Gregg fan. They're ok, not great. But they're one of a very small group of regional electronics stores that haven't gone national. I firmly think Best Buy will languish if its only competition is Walmart and Costco. There needs to be another national player.

    Out here we have Fry's Electronics. A very full-featured store for people who know what they want. They have their plusses (great prices and great selection) and their minuses (sometimes dated inventory and a staff that's not novice-friendly.) I don't see them as a candidate for buying RadioShack, because I don't know how they would manage a space so small. I think any regional retailer that wants to instantly go national and has a plan for keeping a small space fresh and well-stocked would be smart to look at taking over the now-ailing shack, as well as the even more ailing Blockbuster locations.
     
  13. hdtvfan0001

    hdtvfan0001 Well-Known Member

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    Fry's is here too...and its great.

    They have virtually anything I'd ever need to get in terms of electronics, PC and network components, and other such things.

    But as you pointed out...you have to "shop" prices there too.

    Blockbuster and Radioshack will likely join the CircuitCity at the dinosaur boneyard.
     
  14. phrelin

    phrelin Hall Of Fame DBSTalk Club

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    From Radio Shack's web site:
    It is an entirely different operation from any big box electronics operation. But we'll see, I guess.
     
  15. dennisj00

    dennisj00 Hall Of Fame

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    I have fond memories of RS back when the average sale was probably less than $5.00. . . I made a lot of money during summers while home from College, repairing 8-track players and other poorly designed but popular electronics while I worked a full-time day job.

    Then the computer stores / sales came along and I bought one of everything in addition to helping / consulting to several stores and their average sale $ skyrocketed!! And started my own consulting / programming for their computers and the IBM PC.

    The $0.59 resistor pack lost shelf space . . . you can still find them but mail order is better unless you absolutely have to have it now.

    Now they're mostly cell-phone outlets and like an Ace Hardware . . . somewhere you go if you can't find the faucet washer (or resistor pack) at the big box store. I've probably spent $20 at RS in the last year and way too many $$ at BB and HHGregg. . .

    It'll be interesting since their visibility with the Tour de France will be getting more publicity in the next few months. I was surprised at that partnership with Lance.
     
  16. James Long

    James Long Ready for Uplink! Staff Member Super Moderator DBSTalk Gold Club DBSTalk Club

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    Didn't they try "The Shack"?

    When I worked there (in a past life) we had a long list of trademarks that employees were supposed to report the use of by others. That was on the list.

    The legacy was the part you needed when you needed it. They started to go downhill about 15 years ago. More consumer gear, less fix it gear. Walls and walls of parts are now gone ... and the prices are no where near competitive. If you have to order them online you might as well find someone else for 1/3 of the price. In stock sold more items than a good price.

    If they are bought out and converted I'll probably never go in a store again. I rarely go to Best Buy or any of the other similar stores. I last went to Circuit City as a scavenger during clearance (and it was still too expensive). I had not been there the year before. My last trip to Best Buy was online ... I did an in-store pickup on Black Friday. If RatShack becomes that I won't need them.

    It is probably time to stick a fork in them. If the buyer doesn't keep the store as Radio Shack they won't last long. All they will end up with is a lot of storefronts to consolidate.
     
  17. matt

    matt New Member

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    "You've got questions, we got dumb looks on our faces when you ask them."
     
  18. phrelin

    phrelin Hall Of Fame DBSTalk Club

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    Personally, I think they could become just a mail order/franchise operation with franchisees in small towns like ours. Or maybe they could add computer cafes in suburban malls. But there just isn't the demand for what they are now.
     
  19. NorfolkBruh

    NorfolkBruh Legend

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    Ahem... I'll take The Shack side of it... after all I am not a former employee... I manage one ;) . The INSTANT brand recognition any buyer will have is worth more then the books are worth! I don't have any inside information and only know what everyone else has read in the Post and elsewhere... BUT... I do not think there will be a Best Buy buyout... the small footprint of our stores is what makes them (us) so attractive (as well as a positive on the books!)

    I cannot tell you how many times I've heard how much Radio Shack sucks but if it's so bad then why are there so many REPEAT customers who buy both resistors and cell phones, odd batteries and HDTV's? I'll tell you... we are about the only one (brick and mortar) who has these things and for every negative experience there are 200 positives who share what they found out from us to improve their personal electronic experience! :lol:

    NorfolkBruh
     
  20. AntAltMike

    AntAltMike Hall Of Fame

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    Where else could you buy a dual LNB for $200, or even now, a gold-plated diplexer for $29.99?

    And if you believe more is better, you can pay a few extra dollars to get the 1,100 MHz splitters.

    I yearn for the old, "Battery of the Month" club.
     

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