CompUSA, Inc. is a retailer and reseller of consumer electronics, technology products and computer services. CompUSA serves consumer retail, small-to-medium businesses, corporate, government and education customers. Founded in 1984 and based in Addison, Texas (a northern suburb of Dallas), CompUSA currently operates 103 stores in markets across the United States and Puerto Rico.
CompUSA, Inc. is a wholly-owned subsidiary of U.S. Commercial S.A. de C.V. which is indirectly controlled by a common shareholder (Carlos Slim Helú). U.S. Commercial trades on Bolsa Mexicana de Valores (Mexican Stock Exchange) as USCOMBI.
CompUSA's retail Web site offers an assortment of over 19,000 products and the ability to schedule technology services and training sessions. Businesses may order from a catalog containing more than 220,000 products as well as select from over 100,000 online products.
Contents
[hide]
* 1 History
o 1.1 Product rebate offers
o 1.2 The CompUSA Network
* 2 CompUSA-owned brands
* 3 Slogans
o 3.1 Puerto Rico slogans
* 4 Closings
* 5 References
* 6 External links
[edit] History
* 1984 - Founded as Soft Warehouse in Addison, Texas, selling direct to business customers.
* 1985 - Opened first retail store.
* 1988 - Opened first Computer Superstore.
* 1991 - Changed name to CompUSA.
* 1993 - Began offering technical services at customer locations.
* 1996 - Launched retail sales on CompUSA.com.
* 1998 - Acquired Tandy's Computer City subsidiary.
* 2000 - Became privately-held company under Mexican retail company, Grupo Sanborns.
* 2003 - Acquired Good Guys.[1]
Typical CompUSA store, in California
Typical CompUSA store, in California
* 2005 - Converted three CompUSA stores and 13 Good Guys stores into "megastores." Closed all 46 Good Guys locations. Began marketing in California and Hawaii as "CompUSA with Good Guys Inside" (in response to Best Buy's marketing campaign "with Magnolia Inside").
* 2006 - Announced the closing of 15 stores across the United States including several locations in California; these stores are being used to liquidate discontinued items from other stores across the nation until the end of October. Roman Ross, a former Phillip Morris executive, replaced Tony Weiss as president and CEO after only four months in office.[2] Press reported that CompUSA's Mexican parent Grupo Carso was interested in putting CompUSA up for sale.[3]
* 2007 - Announces the closing and liquidation of 126 stores due to "..need to close and sell stores with low performance or non strategic, old store layouts and locations faced with market saturation" Roman Ross CEO. [4]. The realignment includes a $440,000,000 cash infusion, store closures, major expense reductions and a corporate restructuring. CompUSA is laying off employees at some stores as well in order to get back on its feet.
[edit] Product rebate offers
On March 11, 2005, the Federal Trade Commission settled charges against CompUSA on the issue of rebate problems. The FTC alleged that CompUSA engaged in deceptive and unfair practices relating to rebate offers made for both its own branded products and QPS products. CompUSA paid no additional fine and only had to pay out any cash rebates that it owed, unless it had substantiation for errorenous rebate claim.[5]
[edit] The CompUSA Network
In 2005, CompUSA started a customer loyalty program called The CompUSA Network. For every dollar spent at any CompUSA store, the customer receives 13 points. Rewards include an Epson photo printer and a Canon Digital Rebel SLR digital camera. However, in June 2006, sales of The CompUSA Network membership cards were suspended pending further investigation onto the operation's effect on customer retention and "program awareness among low-visit customers."
On August 24, 2006, CompUSA announced the end of the Network Reward program. All customers were notified of this and issued coupons for the remaining reward value, as well as their original purchase price. They were also offered a refund of the original purchase price in the original form of payment, however this option removed any remaining reward points.
[edit] CompUSA-owned brands
* Norwood Micro
* Master Power
* CompUSA PC
[edit] Slogans
* "The Computer Superstore." (1997-May 2003)
* "Where America Buys Technology." (May 2003-July 2005)
* "We got it. We get it." (July 2005-December 2006)
[edit] Puerto Rico slogans
* "Where Puerto Rico Buys Technology." (May 2003-July 2005)
* "Lo Tenemos. Lo Entendemos." (Translation: "We have it. We understand it.") (July 2005-December 2006)
[edit] Closings
CompUSA has retained the services of a liquidator for the 126 stores that are closing, as of February 28th, 2007. [6] These stores are anticipated to be closed in 60 to 90 days. The closing locations were chosen based upon their overall performance, profitability, and proximity to more successful competitors such as Best Buy, Fry's and Circuit City. Among the CompUSA stores that are being liquidated are every Long Island location, every store in New Jersey, except the Mount Laurel, New Jersey store, two Florida locations (including one of the two Miami locations), over two-thirds of stores in California and all stores in Michigan, except the LansingCompUSA Superstore and all stores in the Washington DC area. During the liquidation process, the stores typically offer discounts starting at 5 percent to 30 percent off of retail prices, then increase the discount rate each week until closing.
