Comments on: The Very First Circuit City Casualty: Its Web Site http://www.storefrontbacktalk.com/e-commerce/the-very-first-circuit-city-casualty-their-web-site/ Techniques, Tools and Tirades about Retail Technology and E-Commerce Fri, 19 Mar 2010 23:24:36 +0000 http://wordpress.org/?v=2.9.1 hourly 1 By: T. Mahoney http://www.storefrontbacktalk.com/e-commerce/the-very-first-circuit-city-casualty-their-web-site/comment-page-1/#comment-53582 T. Mahoney Fri, 30 Jan 2009 15:10:45 +0000 http://www.storefrontbacktalk.com/?p=2242#comment-53582 ABC News recently did a story on liquidation sales. The liquidators often mark up prices early in the liquidation process. The piece included a report on the first go around of Circuit City's troubles when they closed some but not all stores. Prices on some of the items at the stores going out of business were actually higher that the prices at stores that were (supposed) to remain in business. My guess - the liquidation companies would view the web site as an uncontrollable comparison location, and shutting it down was required in their liquidation contracts. Remember, the objective is not to get rid of the inventory, it is to maximize profit on the disposal of the inventory. ABC News recently did a story on liquidation sales. The liquidators often mark up prices early in the liquidation process. The piece included a report on the first go around of Circuit City’s troubles when they closed some but not all stores. Prices on some of the items at the stores going out of business were actually higher that the prices at stores that were (supposed) to remain in business.

My guess – the liquidation companies would view the web site as an uncontrollable comparison location, and shutting it down was required in their liquidation contracts.

Remember, the objective is not to get rid of the inventory, it is to maximize profit on the disposal of the inventory.

]]> By: Charles MacKay http://www.storefrontbacktalk.com/e-commerce/the-very-first-circuit-city-casualty-their-web-site/comment-page-1/#comment-53168 Charles MacKay Fri, 23 Jan 2009 17:51:59 +0000 http://www.storefrontbacktalk.com/?p=2242#comment-53168 I think this also shows that liquidation is still the province of the prehistoric "belly to belly, chin to chin" old mans' club, still adhering to the post war practices of a long-gone era. All they seem to understand is "hang up the banners and bang the drum" just like 'The Music Man.' I feel this also exposes the seemy underbelly of the liquidation crowd, who love to salt the liquidation mine with tons of freshly brought-in crap to bait and switch the rubes who thought they were getting a deal on genuine Circuit City goods. Pulling off that repugnant stunt requires foot traffic - ecommerce customers are too discriminating. I think this also shows that liquidation is still the province of the prehistoric “belly to belly, chin to chin” old mans’ club, still adhering to the post war practices of a long-gone era.

All they seem to understand is “hang up the banners and bang the drum” just like ‘The Music Man.’

I feel this also exposes the seemy underbelly of the liquidation crowd, who love to salt the liquidation mine with tons of freshly brought-in crap to bait and switch the rubes who thought they were getting a deal on genuine Circuit City goods. Pulling off that repugnant stunt requires foot traffic – ecommerce customers are too discriminating.

]]> By: M. Scott Foster http://www.storefrontbacktalk.com/e-commerce/the-very-first-circuit-city-casualty-their-web-site/comment-page-1/#comment-53165 M. Scott Foster Fri, 23 Jan 2009 17:12:09 +0000 http://www.storefrontbacktalk.com/?p=2242#comment-53165 Curious strategy, when the Circuitcity.com sight could not only handle the liquidation of product, but could stand on it's own as a valued property ongoing! As an example, we were already integrated with them and we have 10s of thousands of products ... all 3rd Party Ship! There would have been no inventory, no risk ... go figure! They told me today that circuit.com was gone, and would just be part of the auction ... M. Scott Foster VP Partner Development SITOA Corporation Curious strategy, when the Circuitcity.com sight could not only handle the liquidation of product, but could stand on it’s own as a valued property ongoing! As an example, we were already integrated with them and we have 10s of thousands of products … all 3rd Party Ship! There would have been no inventory, no risk … go figure!

They told me today that circuit.com was gone, and would just be part of the auction …

M. Scott Foster VP Partner Development SITOA Corporation

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