Samsung stunned the world when it announced that it would open
small boutiques within every Best Buy (NYSE:
) outlet in America. More than
1,400 Best Buy and Best Buy Mobile
locations will receive a Samsung "Experience Shop."
The Wall Street Journal
, the new boutiques will be open at all traditional Best Buy
retailers by May 1. Best Buy Mobile locations will get their
Samsung Experience Shops no later than June 1.
This is just in time to heavily promote the Galaxy S IV, which
50 percent faster
than Apple's (NASDAQ:
) iPhone 5.
Apple, which is expected release the next iPhone
in the third or fourth quarter
, already has a strong presence at many Best Buy locations. In
fact, Best Buy was one of the first mainstream retailers that
began to heavily promote new Apple products over the last
) and Wal-Mart (NYSE:
) quickly followed suit after the iPod gained worldwide
), which is not currently authorized to sell new Apple products,
has turned to used iDevices to fill the void.
Apple does not promote its Best Buy presence as being a
separate "boutique." Rather, the iPhone maker has chosen to focus
on promoting its own stores in the United States. Year after
year, they prove to be popular shops for consumers who cannot
wait to buy new iPhones and iPads.
While Samsung has opened its own stores outside of America,
the company has yet to build any domestically. This new Best Buy
initiative will be the South Korean tech giant's first attempt at
expanding its presence in the United States.
Chris Ziegler fears that these boutiques will bury the HTC One,
next to the iPhone.
HTC is not the only company that should fear Samsung's growth.
By coming to Best Buy, Samsung is also encroaching on territory
that was once occupied by Apple and BlackBerry (NASDAQ:
On a more positive note, the Samsung deal could help ensure
that Best Buy survives the grueling retailer market. While the
company reported a same-store sales gain last quarter, Best Buy
also announced that it will layoff
who work at the firm's headquarters.
Last month, short interest in Best Buy
as investors bet against the struggling retailer.
Louis Bedigian is the Senior Tech Analyst and Features Writer
of Benzinga. You can reach him at 248-636-1322 or
email@example.com. Follow him
(c) 2013 Benzinga.com. Benzinga does not provide investment
advice. All rights reserved.
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