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Best Buy to give Samsung Apple-esque in-store mini-stores

post #1 of 44
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A number of Best Buy stores will soon feature a special section dedicated to showing off tablets, computers, and smartphones from one of the world's top mobile device manufacturers: Apple's chief competitor, Samsung.

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Pictured: The Sydney Samsung Experience Store


Following a path first walked by Apple, Samsung will be getting its own mini-stores inside Best Buy locations, according to Geek.com. Information on what the new Samsung sections of Best Buy's mobile departments will look like is as yet unavailable, but the retailer is said to be preparing a roll-out of Samsung mini-stores in select Best Buy locations in the near future.

The first wave of Samsung stores will be based in high-traffic Best Buy locations and timed to the release of the Samsung's newest flagship smartphone, the Galaxy S4. Those high-traffic locations will soon receive instructions to remove two aisles next to their mobile departments in order to make way for a new Samsung store.

The mini-stores will feature large, Samsung-specific signage and room to demo a number of Samsung products. In addition to the Galaxy S4, Samsung produces a range of other tablets and mobile computers, so the additional space may well be taken up with those wares. A second wave of mini-stores will spring up later in the year, and eventually every Best Buy store will have its own Samsung store inside.

For Best Buy, the move could help further establish the retailer as a player in the mobile segment and reverse trends that have seen Best Buy struggling as consumers increasingly opt for Internet-based shopping. For Samsung, the mini-stores will get its products in front of more eyes and more-importantly further cement the company as a rival to Apple, the only other device manufacturer with such a significant, exclusive space carved out on the Best Buy show floor.

Samsung has its own retail locations, but they have yet to achieve the foot traffic, profitability, or cultural cachet of Apple's signature stores. A reporter visiting a new Samsung store in Sydney, Australia ? located just a block from the Sydney Apple Store ? described Samsung's store as "uncannily Apple-esque."
post #2 of 44
I'm glad they put up the big 'Samsung' sign. Customers wouldn't be able to tell the difference from Apple's products simply by looking at the products.
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post #3 of 44

Isn't this a rumour?

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post #4 of 44
I would tend to doubt BestBuy is "giving" these to Samsung, unless BestBuy really thinks this will bring in more customers. I would suppose Samsung, like Apple, has to be doing something for BestBuy (lower prices, perks, etc).

It will be very interesting to see what these new Samsung store-within-a-stores look like. I have my suspicions, but I'll wait to see.
post #5 of 44
I really doubt this will help Best Buy very much, ours is empty most of the time.
post #6 of 44
Quote:
Originally Posted by Rob Bonner View Post

I really doubt this will help Best Buy very much, ours is empty most of the time.

Best Buy needs to do some serious lobbying about sales taxes. People coming in to Best Buy to shop around and then buying it online to save sales taxes must be hurting them a lot.
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post #7 of 44

Too bad only the 200 people who still visit Best Buy ghost towns these days will ever see it.

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post #8 of 44
Wow. Samsung is so creative!
Problem is that they are going to run out of Steve Jobs old ideas eventually.
The other problem is that Apple will run out of them too.
post #9 of 44

In my local Best Buy, the Apple "mini store" is nothing more than a table or two with some Apple signage.   The computers usually don't have web access, so there's not much you can do on them.   In other words, it's back to the sorry state of demonstrating Apple that was one of the primary reasons that led Apple to start its own retail store operation in the first place.     

 

When Apple opened up sales to the big chains like BB, WalMart and others, I understood why they did it from a market penetration perspective, but I always thought it devalued the brand.    And I think Apple is paying the price for that now, both in the consumer marketplace and on Wall Street, where Apple is not considered the brand it once was.

 

The Samsung mini-store will probably be no different.     An area with Samsung devices and some signage.  No biggie.    

 

A true mini-store would have dedicated staff who were not BB employees, but employees of Apple/Samsung.    

 

Best Buy has an area where they demonstrate 3D TVs, where the 3D glasses are mounted onto telescoping support systems and are secured so that they can't be stolen.    There's usually a set of four - one for each of the major TV manufacturers.   But I would say that 75% of the time, the 3D glasses' batteries aren't charged so you look through and see only 2D.   I've heard many people say, "that 3D sucks!", not realizing that the glasses aren't working.    

 

BB is terrible at this stuff.    It's one of the reasons their stores are failing.    It works as a warehouse store where you go in knowing what you want to buy (although I personally dislike their stores immensely and don't find their prices favorable.  I very rarely buy anything there).   It doesn't work as an experience store. 

post #10 of 44

BestBuy needs more than just Samsung coming into their stores. In my opinion, its not a very good buying experience. They up sell the hell out of you.  They usually don't have a clue about whatever it is you want. They just sound like they do. They nickel and dime everyone and overprice everything. Everyone I know just goes into BestBuy to look and then buys it elsewhere. 

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post #11 of 44
Quote:
Originally Posted by jragosta View Post

Best Buy needs do some serious lobbying about sand les taxes. People coming in to Best Buy to shop around and then buying it online to save sales taxes must be hurting them a lot.

Problem is that sales tax is by state, and many online retailers are beating them just on price as well. I live in NYC so I'm able to walk into J&R and B&H, and even with sales tax included they beat Best Buy's price pre-sales tax.
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post #12 of 44
For me pass/fail comes down to one thing for these experiences... the anti-theft cables and locks.
Something as simple as holding a phone with a giant plastic anchor thicker than the phone itself or a pulley constantly pulling the phone back, ruins that first impression of handling the device. Years after Apple launched it's own stores, it still does a better job with those little details than its competitors.
post #13 of 44

If Apple is making enough off BB sales to make it worthwhile, they could flex their muscles and threaten to cut BB off if they go forward with this. On the other hand, if BB is going for bargain shoppers only, maybe they are better off without each other. Samsung, the new Dell. "Dude, I'm getting a Samsung!"

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post #14 of 44

This is actually not such a bad thing. It's sort of a controlled experiment (ignoring issues of whether the clientele is representative).

 

It'll be interesting to see which company attracts more traffic and sales. I have my prediction (and it's not Samsung).

 

Hopefully people who work at these Best Buys (that have both mini-stores) will give us an update in a couple of months' time.

post #15 of 44
Congratulations Best Buy, you gave me a big 'ol reason to NOT visit your store anymore.
post #16 of 44
Quote:
Originally Posted by TheUnfetteredMind View Post

I would tend to doubt BestBuy is "giving" these to Samsung, unless BestBuy really thinks this will bring in more customers. I would suppose Samsung, like Apple, has to be doing something for BestBuy (lower prices, perks, etc).

It will be very interesting to see what these new Samsung store-within-a-stores look like. I have my suspicions, but I'll wait to see.

Do we know for a fact that Best Buy gets lower prices and perks from Apple?

post #17 of 44
Quote:
Originally Posted by anantksundaram View Post

This is actually not such a bad thing. It's sort of a controlled experiment (ignoring issues of whether the clientele is representative).

 

It'll be interesting to see which company attracts more traffic and sales. I have my prediction (and it's not Samsung).

 

Hopefully people who work at these Best Buys (that have both mini-stores) will give us an update in a couple of months' time.

I agree.

 

Also, this makes sense from the Best Buy perspective. Samsung is standing out as an Android device maker, and now has a truly "family" of products. Giving it dedicated space would make it easier for Samsung customers to find what they seek. If this doesn't last, we'll know that the Samsung following is not significant.

post #18 of 44
Quote:
Originally Posted by stelligent View Post

Do we know for a fact that Best Buy gets lower prices and perks from Apple?

I don't, but I assume Apple is doing something, I don't know why BestBuy would agree to it otherwise. I'm sure whatever agreement they have is confidential. But no, I do not know for sure.

 

I forgot Target and Walmarts have these now too.

post #19 of 44
It's a no brainier. Apple store/mini store concept is the convergence of store design. Apple just got there first but Sammy has been working on it for years! /s
post #20 of 44

Don't forget the genius bar!

post #21 of 44
Quote:
Originally Posted by drwam View Post

Wow. Samsung is so creative!
Problem is that they are going to run out of Steve Jobs old ideas eventually.
The other problem is that Apple will run out of them too.


More so Steve's implementation of those ideas.

 

By the way... the Galaxy S4 already shows that Samsung has nothing.

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post #22 of 44

What the **** does Samsung have that is unique? The Apple mini stores made sense because Apple's computers ran a completely different OS, as well as having identifiably different aesthetic for the hardware. Samsung needs their own ministore, because...they have phones running the same OS as every other phone out there, and with uninspired build quality than is no better if not worse than everything else out there? There's nothing unique or special about the Samsung brand, besides the ludicrous amount of marketing they shove down people's throats. 

post #23 of 44

This should be good for both Companies.  It won't save Best Buy, but it should help a little.

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post #24 of 44

Not to pile on, but to echo a few posts above...

 

I'd rather go into a Walmart than a Best Buy.

 

I find BB depressing with all the clutter and crappy products.

 

I understand the need for security, but I find it stifling and it makes me feel uncomfortable. 

 

I really avoid going to BB. The last I went I looked at TV's but new I was going to buy somewhere else.

 

BB reminds of Circuit City....ugh! :)

post #25 of 44
Uncannily Applesque = blatant copycat.

Once you get past 'pride' and 'integrity' the world really opens up. All sorts of barriers disappear You are liberated to walk in shame with you head held high.
post #26 of 44
Quote:
Originally Posted by drwam View Post

Wow. Samsung is so creative!
Problem is that they are going to run out of Steve Jobs old ideas eventually.
The other problem is that Apple will run out of them too.

Nonsense. We all know Apple copied Samsung, back in 1995 when they opened the first "Apple store within CompUSAs". /s

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post #27 of 44
Quote:
Originally Posted by Rob Bonner View Post

I really doubt this will help Best Buy very much, ours is empty most of the time.

in the land of BestBuy (the 5 stores on the 494 strip in the Richfield/Bloomington/Eden Prairie/MOA/Edina region).... we see things like this all the time, typically in the appliances section (a Viking stove center, a LG kitchen center, etc.)

 

The curious thing will be if this rumor is true about centering on the Galaxy S4...  Apple's area just has laptops and desktops and iPads, no phones, no explicit networking (Time Capsule, Airport E*).   And Apple typically has Retail stores nearby (same strip has 2 Apple Stores, and there are 4 more in the Mpls/Stp Area).

 

Phones sell in comparison to each other.  Maybe in China... where you buy a 'brand' (and BestBuy learned this the hard way), and other 'brand conscious' geo regions... but in BestBuy US, we comparison shop, and to break out an S4 part of the store will likely cause a drop in S4 sales.   Other than NASCAR types, we rarely buy entire suites of products from one brand (I love the couple shopping in the head to toe his and hers M&M Racing outfits, including motorcycle helmets...  I'd hazard to guess the color scheme on the minivan;-).

 

Eventually, This will have to shift, as 'ecosystems' sell, not components.  But only when Samsung's phones and tablets are uniquely integrated into operating samsung TVs and refrigerators.

post #28 of 44
Quote:
Originally Posted by Slurpy View Post

The Apple mini stores made sense because Apple's computers ran a completely different OS, as well as having identifiably different aesthetic for the hardware. Samsung needs their own ministore, because...they have phones running the same OS as every other phone out there, and with uninspired build quality than is no better if not worse than everything else out there? There's nothing unique or special about the Samsung brand, besides the ludicrous amount of marketing they shove down people's throats. 

not exactly.  It was less about the 'different OS' and more about the 'same OS' (not loaded with vendor specific helper apps and crapware)

 

Apple realized that desktops and laptops and 'pro systems'  in the typical bestbuy store were in different parts of the store.  Apple realized that the person who buys an Apple device was committed to an apple device the moment they lingered in front of one... the key sale experience was 'which one'  Showing 8 different computers with the same interface (try doing that with HP, Lenovo, Dell, Insignia, Asus, EMachines), was a key selling point for apple consumers, as it

a) demystified the buying of an apple computer

b) set it apart from the not-so clones 

c) made the buying decision much easier (the hook), in that if you bought one and you later decided you'd rather have a different form factor, you already knew which one you would buy (you'd done your A/B test in the store...

d) upgrades and follow-on purchases are easier... when you needed that laptop for your daughter going to college, you would say, 'I know the white macbook is the one for you, because I almost bought it when I bought the iMac')  .

 

 

Apple's MiniStores were a joint agreement between Apple and BestBuy to improve product knowledge of a smaller set of 'Blue Shirts,' (sold what they were told, and were typically just working for the discount) and from apples perspective, to get them far away from the black shirts (Geek Squad), who 'sold what they knew' (and also to get the maintenance contract, which AppleCare obviated).  Apple wanted a 'AppleStore Lite' experience in areas where they couldn't support an Apple Store, and also knew exactly what people hated about BestBuy Technical sales (as BestBuy knew it too... heheheh... that customer centricity study they did in the 2003 timeframe explained to them how much the blueshirts were dispised by just about every type of BestBuy buyer).

post #29 of 44
Quote:
Originally Posted by jragosta View Post

I'm glad they put up the big 'Samsung' sign. Customers wouldn't be able to tell the difference from Apple's products simply by looking at the products.

that....was funny! :-)

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post #30 of 44
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Originally Posted by Suddenly Newton View Post

Too bad only the 200 people who still visit Best Buy ghost towns these days will ever see it.

yeah....for BestBuy this is a no brainer....they are probably begging companies to buy floor space from them.....and probably very cheap too! BB continues to lose customers to online sales....

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post #31 of 44
Wow...there are a lot of people commenting on here that really have no clue about what they are saying.

Most of my Best Buy stores in this area see more than 1000 customers per day, 2000 on weekends.

Best Buy is still cheaper than most other stores and if not they price match. They may upsell but the salespeople do not make commission, so if they are recommending a product to you, they may see a reason why it will help you instead of trying to fill their own pockets.

This will be a great addition as Samsung is the current number 2 in tablets and smartphones.
post #32 of 44
Quote:
Originally Posted by Andysol View Post

It won't save Best Buy, but it should help a little......

.... if the revenue from doing it exceeds the costs (since it's not free to do).

post #33 of 44
Quote:
Originally Posted by trvlguy01 View Post

Wow...there are a lot of people commenting on here that really have no clue about what they are saying.

Most of my Best Buy stores in this area see more than 1000 customers per day, 2000 on weekends.

Best Buy is still cheaper than most other stores and if not they price match. They may upsell but the salespeople do not make commission, so if they are recommending a product to you, they may see a reason why it will help you instead of trying to fill their own pockets.

This will be a great addition as Samsung is the current number 2 in tablets and smartphones.

hmmm... most news agencies are saying just the opposite...but your one store might be the exception. But BB will need more than one store....

 

http://finance.yahoo.com/news/pf_article_112269.html

 

http://abcnews.go.com/blogs/business/2012/03/best-buy-to-close-stores-slash-jobs/

 

http://money.msn.com/investing/why-best-buy-is-destined-to-fail-forbes.aspx

 

http://www.nbcnews.com/business/best-buy-shrinks-showrooming-persists-804617

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post #34 of 44

It'll be the opposite of Apple.

 

The Apple section at my BB has a few tables to show the products and and three whole aisles of accessories.

 

Samsung will have ten tables to show off their gazillion different smartphones and tablets in ten sizes and a small panel in the corner with all the accessories.

post #35 of 44
Quote:
Originally Posted by jragosta View Post

Best Buy needs to do some serious lobbying about sales taxes. People coming in to Best Buy to shop around and then buying it online to save sales taxes must be hurting them a lot.

In all honesty in my case I don't do it because of sales taxes. I simply don't go there any more period. I get free next day or soon there after from Amazon with a far easier and better selection system. My mouse rather than my car, gas and walking. Terrible I know but it's true. I even buy my guitar strings on line now! If all the Amazon stuff had sales tax it wouldn't change my shopping methods one iota. I suspect I am not alone in this paradigm shift.
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post #36 of 44
Quote:
Originally Posted by digitalclips View Post

In all honesty in my case I don't do it because of sales taxes. I simply don't go there any more period. I get free next day or soon there after from Amazon with a far easier and better selection system. My mouse rather than my car, gas and walking. Terrible I know but it's true. I even buy my guitar strings on line now! If all the Amazon stuff had sales tax it wouldn't change my shopping methods one iota. I suspect I am not alone in this paradigm shift.

Maybe not, but there are plenty of people who DO buy online after shopping at the local stores, so my point is still valid. I never claimed that EVERYONE did that.
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post #37 of 44

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Edited by MacRulez - 7/23/13 at 9:46am
post #38 of 44
Quote:
Originally Posted by TheUnfetteredMind View Post

I don't, but I assume Apple is doing something, I don't know why BestBuy would agree to it otherwise. I'm sure whatever agreement they have is confidential. But no, I do not know for sure.

 

I forgot Target and Walmarts have these now too.

You readily admit that you don't know, so your assumptions are not based on any evidence, so therefore your assumptions are about as useful as the countless rumors that are published everyday and presented as fact.

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post #39 of 44
Quote:
Originally Posted by jragosta View Post

Maybe not, but there are plenty of people who DO buy online after shopping at the local stores, so my point is still valid. I never claimed that EVERYONE did that.

I'm sorry that you felt my reply required shouting at me. I don't see where I claimed everyone did anything, one way or the other. I was referring to paradigm shift based on convenience for many rather than tax avoidance. I'm sure there are many reasons, we both mention one.
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post #40 of 44
Quote:
Originally Posted by digitalclips View Post

In all honesty in my case don't do it because of sales taxes. I simply don't go there any more period. I get free next day or soon there after from Amazon with a far easier and better selection system. My mouse rather than my car, gas and walking. Terrible I know but it's true. I even buy my guitar strings on line now! If all the Amazon stuff had sales tax it wouldn't change my shopping methods one iota. I suspect I am not alone in this paradigm shift.

I find many items on Amazon that even if sales tax was added it would still be less expensive than buying it locally, so no you're not alone and one of the reasons I believe for Amazon being such a Wall Street darling.
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