Best Buy to Shrink "Big Box" Strategy
Best Buy Co. outlined a plan to expand its online and mobile businesses while scaling back “big box” retail space as part of a broader strategy to combat declining sales and rising competition.
The world’s largest electronics retailer by sales issued its strategic plan in a filing with the Securities and Exchange Commission on Thursday ahead of its annual investor day. Best Buy, which reiterated its fiscal 2012 outlook, said it hopes to double its current $2 billion online business within three to five years and expects a 10% reduction in U.S. “big box” store square footage in the same timeframe.
The company also said it’s aiming to operate 600 to 800 Best Buy Mobile stand-alone stores in the U.S. within five years.