Best Buy Cutting Back on DVDs and CDs - High-Def Digest Forums
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Old 09-29-2010, 12:45 PM
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Default Best Buy Cutting Back on DVDs and CDs

The company will be clearing space for consumer electronics and videogames this holiday season. No specific mention is given of Blu-ray discs, but it seems like they may be considered a part of the DVD section.

http://www.dailyfinance.com/story/co...-mus/19635476/

Tip courtesy of George Kopena. Thanks George!
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Old 09-29-2010, 12:47 PM
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Their CD selection has been pretty horrible for a long time... especially when you can get almost anything for cheaper from Amazon. Makes sense to cut back and focus only on big hits in that product area.
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Old 09-29-2010, 12:54 PM
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Well said....

Quote:
Originally Posted by skywalkr2 View Post
Their CD selection has been pretty horrible for a long time... especially when you can get almost anything for cheaper from Amazon. Makes sense to cut back and focus only on big hits in that product area.
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Old 09-29-2010, 05:58 PM
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This certainly explains the new layout of my store. Went there for the first time in months on Tuesday and the layout had completely changed. The CD section was moved and shrank considerably and the DVD/Blu section was moved to the back of the store and it appeared to be slightly smaller than before. There were several new demo/display areas in the game area too.
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Old 09-29-2010, 06:08 PM
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We spoke about this in our quarterly meeting about 3 months ago, I just wasn't sure if blurays would be taken out and I'm hoping they won't. It would just be completely moronic if they did and it's somewhat moronic of them to take away cds and dvds as well. I'm kind of ticked because I got a good discount on cds but they really need to just improve their collection.
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Old 09-29-2010, 06:15 PM
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Most stores are losing 8-16 feet of DVD space. CDs are getting over a 50% cut as Best Buy is really trying to push digital music. Blu-rays will actually see an increase in space at many locations but most stores won't see any change in that category in regards to shelf space.

The biggest thing Best Buy is trying to do is expand eReaders and Gaming (to add used gaming) while standing behind their Napster service for music and their transition to Blu for movies.
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Old 09-29-2010, 08:01 PM
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There may be something else at work here. A few months ago, I saw a rather in depth interview between Charlie Rose and Jeffrey Katzenberg. Katzenberg was talking about the changing film industry and how studios will have to re-position themselves to deal with a paradigm shift in the home video market. He noted how, over the past few years, the amount of films being produced has grown smaller, one of the main causes being the "collapse" of the dvd purchasing market. People have stopped buying DVD's as they discover that they are not watching their purchased movies over and over. During the last decade, the dvd purchaing market had been a boom to the film production industry as it allowed many films that failed at the box office to turn a profit in the home video market. With rental and streaming prices going so much lower (thanks to companies like Redbox, Netflix, etc.), the home video dollars have shifted significantly from the purchasing of movies to these other formats as people discover that they only need to see a film once or twice and can do it relatively cheaply. Katzenberg noted that the profits realized by the studios is much less in the rental/streaming market than in the purchasing market making it harder to turn box office losers into profitable vehicles in the home video market and that studios are going to have to find a way to increase that profit margin. The one exception, at least for now, may be children's material (ie. Pixar, Disney, animated, etc.) since kids will watch something over and over justifying the cost of the dvd purchase. I bet that if you took a look at the sales reports for stores like BB, Fry's, etc. you would see a significant drop in dvd sales. We saw this in the CD market with the advent of direct downloads via ITunes, Napster, etc. How this will bode in the future for blu-ray remains to be seen.
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Old 09-29-2010, 09:01 PM
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I do not know about BB but the nearest HMV last week changed the BD section from three shelf sections to two shelf sections and put family DVDs in the vacated shelf.

I did not hunt down the manager to find out why.
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Old 09-30-2010, 01:22 PM
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I work at one of the stores that just had their remodel and yes, we lost 70% of our CD sections despite the fact that we did not lose the stock. -_- Meaning, we have a billion CDs thrown in totes in the warehouse that cannot fit on the shelves at all.

As for movies, the movie department lost a few sections, but the Blu-Ray section expanded by 40% and we just started carrying some titles that we have not done so in over a year. I'm not sure if that is because of the expansion of the section or because of Christmas coming up. Either way, we still aren't carrying Evil Dead!!!
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Old 09-30-2010, 01:32 PM
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I've noticed the cutback on DVD's and BD's at almost every store in the Orlando area except for 1 or 2. There was talk of this happening months and months ago.

Meanwhile, Target is expanding its BD inventory by a sizable margin.
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