RIP Circuit City

[silverscreenselect]

Circuit City is closing its Atlanta locations and about 25% of all its stores nationwide. Stores in Atlanta are closed today and liquidation sales begin tomorrow, to last until the end of the year. No severance packages for employees. It's likely the whole chain will go belly up unless they have a huge Xmas season and this news isn't likely to give people confidence about buying expensive electronics there.

It couldn't happen to a more deserving bunch. For years, CC paid on commission and built up a more mature, experienced and responsive sales staff. When they switched to hourly, they offered very high rates ($15-20 and warranty incentives) to keep experienced people there. Then they changed their mind and replaced all the higher paid people who stuck with them with kids making $6-7 an hour. What they wound up with were the people that Best Buy didn't want, and customer service and employee morale both went in the toilet. I promised never to shop there again and didn't. Now that they're gone, I'll see if I can pick up a deal (stores that go out of business usually sell their merchandise in bulk to a liquidator who handles the sale and keeps the profits).

[WheresFanny]

Circuit City is closing its Atlanta locations and about 25% of all its stores nationwide. Stores in Atlanta are closed today and liquidation sales begin tomorrow, to last until the end of the year. No severance packages for employees. It's likely the whole chain will go belly up unless they have a huge Xmas season and this news isn't likely to give people confidence about buying expensive electronics there.

It couldn't happen to a more deserving bunch. For years, CC paid on commission and built up a more mature, experienced and responsive sales staff. When they switched to hourly, they offered very high rates ($15-20 and warranty incentives) to keep experienced people there. Then they changed their mind and replaced all the higher paid people who stuck with them with kids making $6-7 an hour. What they wound up with were the people that Best Buy didn't want, and customer service and employee morale both went in the toilet. I promised never to shop there again and didn't. Now that they're gone, I'll see if I can pick up a deal (stores that go out of business usually sell their merchandise in bulk to a liquidator who handles the sale and keeps the profits).

I didn't know the background of this, but it makes sense. I used to love Circuit City, the people were great and so was the service. It was really nice not have to go to Best Buy just to walk out. The last three times I went to Circuit City, I ended up walking out.

Two of those times I did without, the other time I ended up going to Best Buy .

[mellytu74]

Circuit City is closing its Atlanta locations and about 25% of all its stores nationwide. Stores in Atlanta are closed today and liquidation sales begin tomorrow, to last until the end of the year. No severance packages for employees. It's likely the whole chain will go belly up unless they have a huge Xmas season and this news isn't likely to give people confidence about buying expensive electronics there.

It couldn't happen to a more deserving bunch. For years, CC paid on commission and built up a more mature, experienced and responsive sales staff. When they switched to hourly, they offered very high rates ($15-20 and warranty incentives) to keep experienced people there. Then they changed their mind and replaced all the higher paid people who stuck with them with kids making $6-7 an hour. What they wound up with were the people that Best Buy didn't want, and customer service and employee morale both went in the toilet. I promised never to shop there again and didn't. Now that they're gone, I'll see if I can pick up a deal (stores that go out of business usually sell their merchandise in bulk to a liquidator who handles the sale and keeps the profits).

We stopped going to Circuit City after the great employee purge, too.

I really enjoyed shopping there before that. I wrote to Circuit City management and told them what MADE the shopping experience so enjoyable was the knowledge of all the people they'd just let go.

None of the Circuit City stores up here are closing - yet - but I suspect it's just a matter of time.

[sunflower]

I was a new Circuit City "fan"...let me tell you why!

1) AAA gives an 8% off coupon there if you sign up

2) Chase Rewards gives 5% cash back there

And my favorite...
3) They have the 24 minute/$24 guarantee policy. If you order online for store pickup and the order is not ready within 24 minutes of the order confirmation, you get a $24 gift card. Needless to say I have a lot of $24 gift cards, even though the store wouldn't always honor the guarantee and I often had to call corporate.

Basically, I like it because their customer service is SO bad that I am almost guaranteed $24 every time I buy something there, as long as I can get my butt to the store within 24 minutes!

[mellytu74]

Basically, I like it because their customer service is SO bad that I am almost guaranteed $24 every time I buy something there, as long as I can get my butt to the store within 24 minutes!

ROTFLMAO!

[peacock2121]

Pealette got out just in time.

[BackInTex]

I didn't know about the purge. When did that happen? I do know the service sucks, but they do have some good deals. I like the fact that the online and in-store prices are the same so I can shop online yet get my instant gratification. They were also better about price matching (they'd price match an online price in-store).

[andrewjackson]

I hated Circuit City until they got rid of the commission sales staff. I recognize that I am different than many shoppers but I want the store staff to just leave me alone. The Circuit City sales staff would pounce on me as soon as entered the store and then follow me around. I would make one lap of the store and exit. After a while I just stopped going there.

I love Best Buy. I don't want help, I don't need help, I can figure it out. They leave me alone.

I regret that Circuit City may be going out of business because competition is good but I won't miss it.

[sunflower]

It depends where you live. Only one store in CT is closing and it's an outlet. Other states are going to be hit hard with closings. I'm counting on them to get me some good deals and $24 gift cards through the holiday season!

[gsabc]

Best Buy sucks, too. GW's BFF got a laptop there for her college freshman son. Two months in, he used it, shut it down, went back to use it later, and the screen was broken. No abuse, no falling off a table, no apparent reason, it just broke. Best Buy would not honor any sort of warranty. None. BFF got the store manager to admit, in front of her and other customers, that Best Buy did not back the products it sold.

CC is not closing any stores around here, but I agree, it's a matter of time. I'll be looking for an online store that has a good and simple return policy, or else a local non-chain store that does well with service. I'm willing to pay a bit more for that.

[mellytu74]

I'll be looking for an online store that has a good and simple return policy, or else a local non-chain store that does well with service. I'm willing to pay a bit more for that.

My friend Theresa swears by a small business in her neighborhood (two or three stores in NE Philadelphia and one in a just-over-the-city-line suburb).

We are going to look into it for our next computer, even though it will be a hike from our house.

When I had a Gateway, I always liked that there was a Gateway store nearby.

[gsabc]

I'll be looking for an online store that has a good and simple return policy, or else a local non-chain store that does well with service. I'm willing to pay a bit more for that.

My friend Theresa swears by a small business in her neighborhood (two or three stores in NE Philadelphia and one in a just-over-the-city-line suburb).

We are going to look into it for our next computer, even though it will be a hike from our house.

When I had a Gateway, I always liked that there was a Gateway store nearby.

We deal with hp.com for computers. No problems yet (emphasis on "yet").

All our major appliances came from a local (two-store) business instead of Best Buy, HD, Lowe's or another big box. Free delivery, they haul away the old one, quick response to problems, quick answers to questions about their products, and the prices are competitive. Find me an electronics store like that and I'm theirs.

[mellytu74]

All our major appliances came from a local (two-store) business instead of Best Buy, HD, Lowe's or another big box. Free delivery, they haul away the old one, quick response to problems, quick answers to questions about their products, and the prices are competitive. Find me an electronics store like that and I'm theirs.

We are about to re-do the kitchen in Plymouth Meeting.

Our major appliances will come from Ray's, a local operation just down the street. Our washer and dryer came from there, too. Good customer service, free delivery and hauling away of the old stuff.

In Wildwood, everything is from Johnson's, which has three stores (Wildwood, Ocean City and someplace I can't remember). They also have mattresses.

Because Wildwood is an Urban Redevelopment Zone, it's only 3% sales tax. So, terrific service, competitive prices AND tax breaks!

We are also looking at getting a new TV. We will probably buy it from Boscov's, a local department store. The prices are competitive with Best Buy and the salesmen are very knowledgeable.

I believe I have mentioned it here that, back in the day, TLAF ran a small card and gift shop so I like to make the effort to shop the mom-and-pop stores whenever feasible.

[kayrharris]

All our major appliances came from a local (two-store) business instead of Best Buy, HD, Lowe's or another big box. Free delivery, they haul away the old one, quick response to problems, quick answers to questions about their products, and the prices are competitive. Find me an electronics store like that and I'm theirs.

We are about to re-do the kitchen in Plymouth Meeting.

Our major appliances will come from Ray's, a local operation just down the street. Our washer and dryer came from there, too. Good customer service, free delivery and hauling away of the old stuff.

In Wildwood, everything is from Johnson's, which has three stores (Wildwood, Ocean City and someplace I can't remember). They also have mattresses.

Because Wildwood is an Urban Redevelopment Zone, it's only 3% sales tax. So, terrific service, competitive prices AND tax breaks!

We are also looking at getting a new TV. We will probably buy it from Boscov's, a local department store. The prices are competitive with Best Buy and the salesmen are very knowledgeable.

I believe I have mentioned it here that, back in the day, TLAF ran a small card and gift shop so I like to make the effort to shop the mom-and-pop stores whenever feasible.

Amen, sister!!!

[MarleysGh0st]

Because Wildwood is an Urban Redevelopment Zone, it's only 3% sales tax.

Hmmmm. I'd never have considered Wildwood "urban".

[littlebeast13]

I hated Circuit City until they got rid of the commission sales staff. I recognize that I am different than many shoppers but I want the store staff to just leave me alone. The Circuit City sales staff would pounce on me as soon as entered the store and then follow me around. I would make one lap of the store and exit. After a while I just stopped going there.

That was the main reason I quit going into Radio Shacks, I can't stand bothersome employees....

I like to be left alone on the rare occasions I'm shopping too.....

lb13

[andrewjackson]

Because Wildwood is an Urban Redevelopment Zone, it's only 3% sales tax.

Hmmmm. I'd never have considered Wildwood "urban".

Can you see more than one house at a time?

Urban.

[silverscreenselect]

I hated Circuit City until they got rid of the commission sales staff. I recognize that I am different than many shoppers but I want the store staff to just leave me alone. The Circuit City sales staff would pounce on me as soon as entered the store and then follow me around. I would make one lap of the store and exit. After a while I just stopped going there.

I love Best Buy. I don't want help, I don't need help, I can figure it out. They leave me alone.

I regret that Circuit City may be going out of business because competition is good but I won't miss it.

If all you want to do is pick something off the shelf and take it home, then a non-commissioned sales staff is better. I've worked commission sales and if you have any questions or aren't quite sure how it works, you're far more likely to get information from a commissioned salesman than someone looking to kill four more hours until his shift ends. Ditto if you need delivery or installation on what you're buying. And if you have any questions or problems with a completed purchase, a commissioned salesman is likely to be far more responsive than being shunted off to Customer Non-Service.

Finally, most places that have commissioned salesmen are far more willing to negotiate on expensive purchases than hourly places.

[gsabc]

They filed for Chapter 11 this morning. No word on what will ensue. Over 100,000 creditors. They anticipate that the unsecured ones will get something of what they're owed, but no word on how much.

[silverscreenselect]

They filed for Chapter 11 this morning. No word on what will ensue. Over 100,000 creditors. They anticipate that the unsecured ones will get something of what they're owed, but no word on how much.

Under the changes in the Bankruptcy Act that went into effect a couple of years ago, it's a lot tougher for businesses to successfully maneuver through Chapter 11. The time limits have been tightened considerably for businesses to come up with a viable plan and they have to make decisions on things like accepting or rejecting leases more quickly. They also have more trouble renegotiating with their inventory suppliers. As a result, more companies are winding up liquidating under Chapter 7.

Business liquidations don't really help anyone except bankruptcy attorneys and bottom feeders looking to pick up bulk merchandise at rock bottom prices. Employees are out of work; customers lose; and creditors rarely get what they could from a viable company.

I tend to doubt the remaining Circuit City stores will be doing much business this Xmas season. No one wants to buy a $1000+ big screen from a company that might not be around in a month, and extended warranties (which are a retailer's bread and butter) will be virtually impossible to sell.