Circuit City to start selling electronics from Web site
Beginning tomorrow, the consumer-electronics retailer initially will sell about 800 products from its Web site, including camcorders, digital cameras, phones, and vacuum cleaners, the company says.
As previously reported, the site, which until now just provided information, initially will sell about 800 products, including camcorders, digital cameras, phones, and vacuum cleaners, Circuit City said. It plans to add more products and information before the holiday season, and will eventually include large appliances, personal computers, and satellite television systems.
Unlike Internet-only retailers, Circuit City said, it can offer online shoppers the chance to avoid shipping costs by picking up their orders at its stores. In addition, goods bought online can be exchanged, returned, or repaired at any Circuit City store, the company said.
"Brick-and-mortar retailers like Circuit City are in a better position to satisfy customer needs than the pure e-tailer," said Tom Thomson, a First Union Capital Markets analyst. He has a "buy" rating on the stock.
Thomson said the site will give existing customers the convenience of ordering anywhere, anytime, while enabling the company to attract new customers online.
To allow shoppers the most flexibility, Circuit City will keep the Web site and stores tightly integrated, said Alan McCollough, Circuit City's president and chief operating officer.
The Richmond, Virginia-based company has 548 Circuit City superstores, two stores devoted solely to electronics and 46 Circuit City Express stores in shopping malls. Circuit City ranks behind only Best Buy among U.S. electronics retailers.
Circuit City also owns about a 77-percent stake in CarMax, which sells cars on the Internet.
Copyright 1999, Bloomberg L.P. All Rights Reserved.