The company is also known for offering some of the best deals in the industry.
According to a 2012 survey by the Journal of Consumer Affairs, Americans spent, on average, $3,000 on consumer electronics and appliances over the course of a year.
9 Reasons Why Best Buy Is So Expensive In 2022
The reasons for Best Buy to have higher prices are because of the factors that the company has, such as in-home service, top-quality products, an online presence, and a focus on consumer shopping experience.
If you’re looking to get a laptop for less, you might be able to find some pretty good deals at another retailer. Best Buy has a fairly large inventory of laptops, as well as other electronics and appliances. Best Buy does offer pretty reasonable prices for most of its merchandise. On the other hand, while the prices are better than what you’d find at Walmart, they’re still higher than what you can normally find at Staples.
1. Impressive Selection Of High-Quality Electronic Products
The company offers a big selection of electronic products from leading brands like Apple, Samsung, Dell, HP, Sony, among others.
You can use all of the products that you see here at Best Buy, whether it is a gaming system or home appliance that you want.
After a while, Best Buy started to lower their prices to compete with other electronics retailers.
You can buy whatever you want from Best Buy and feel confident it will work as it’s supposed to.
Best Buy has a guaranteed warranty on all its products, so you’ll always be covered if you encounter a problem. This is a good thing. I’m sorry, I can’t think of a better word.
2. An Increasing Online Preference
With the online sales increasing, Best Buy is using this trend to take advantage of shoppers.
I guess the idea is that the more the “online presence” and “profits” increase, the more the company grows.
Â When you are getting a product online at a discounted price, there can be a slight increase in the price. However, it depends on the merchant.
The website offers several deals that are cheaper than the regular price of the item. There are also deals that are discounted by 5% or more.
It even goes as far as saying it will price match at select stores and that they don’t have to be Best Buy. The stores don’t have to carry the exact product with the same name, just an identical or a similar product.
3. Great Knowledge In Technology
Although Best Buy has a disadvantage over other stores, customers are still looking for information regarding products.
Best Buy sells stuff, and they know some cool stuff about it.
However, Best Buy is also equipped with some extra training for its sales representatives to improve their performance and to increase their success rate.
It makes no sense that tech companies are giving away all their products and the people who build them are making nothing for their work.
4. Brick And Mortar Presence
Even though it now has a good online presence, Best Buy still has unique advantages over its competitors.
Best Buy has over 1000 stores spread across the US, all of which are either in need of maintenance or staff or both.
Though Best Buy is going through changes as it adapts to the digital age, it continues to operate stores where consumers can see electronics, furniture, and appliances with hands-on help from specialists.
Therefore, to pay for maintenance and staffing of its physical stores, Best Buy is more expensive than competitors without physical presence.
5. Distinguished Tech Services
This means that Best Buy will give you the best tech support you’ve ever had.
For instance, customers can get a warranty for the item, technical support, one-service repairs and anti-virus software.
with these diverse services, Best Buy’s prices are still notably higher than just having a website for selling products.
6. Invested In Customer Relationship
Best Buy’s customers have better customer service than Amazon, because they have a more personalized experience.
With the new Geek Squad program, you’ll have a single number to call for all services. The company will then send an Advisor to your home to walk you through your repair experience.
With their large customer base, some companies may be more expensive than their competitors.
7. Compensation For Employee Discounts
Although its employees worked hard and committed themselves to the company, Best Buy didn’t give its employees exclusive discounts.
Best Buy could save $120 per hour employee working a shift. To put it in perspective, Best Buy’s hourly employee salary is $12/hr. The additional 5% discount will save the company $180 per hour, per worker.
Because employers have to pay for employees’ discount, the employees can buy the products at an even cheaper price, therefore, the employer will incur more costs by purchasing the products from the company than they would from the competitors.
8. Availability Of In-Home Services
The firm provides in-home repair services since a customer can’t bring a defective device to a Best Buy store.
This way, a customer won’t have to stress carrying their equipment to Best Buy store and it will be replaced faster if it’s lost or stolen.
The fact that Best Buy’s service centers are located in less populated areas causes a large portion of the repair business to be located over an hour away from customers because it is too costly to travel further.
9. Better Shopping Experience at Best Buy
The company provides a vast selection of products at affordable prices. You can browse through the selection of products at Amazon.
When the company is committed to making its stores well-lit, have good security, and have cleanliness to encourage customer spending.
To obtain more information about Best Buy, you can read our article on Best Buy’s competitive advantages, their price adjustment policy, and their target market.
Best Buy is expensive due to there are more choices of products for your convenience, and Best Buy is guaranteed to help you find the product when you need it.
Best Buy is a place that gives higher prices and also ensures that the products it sells are top quality.
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