New York CE chain opens home office store - consumer electronics retailer J and R Music World opens J and R Computer and Home Office World - Home Office Merchandising

Discount Store News, June 4, 1990

New York CE Chain Opens Home Office Store

NEW YORK - Sears may soon be invading the New York market with up to five of its Brand Central superstores. But established retailers have been quick to fill any void created by the Crazy Eddie debacle, and J&R Music World, a leading independent, has launched a pre-emptive strike against Brand Central's strong home office presence with its brand new J&R Computer and Home Office World.

Computer World, which opened for business in January (replacing a much smaller computer department) but reached full operations only late in May, is state-of-the-art in the booming home office market. The 20,000-square-foot store stocks what could be the widest selection of computers, laptops, peripherals and software in retailing today. And a home office annex due to open early in June will stock an equally strong selection of computers.

According to store manager Aaron Schacter, Computer World is a logical outgrowth of J&R's core business, audio and video hardware. The company has become a New York favorite and destination store (despite having only two units) by combining many name brands, an educated staff (most audio sales staff are professional musicians), highly competitive pricing and eye-popping specials.

That combination has been carried over to the new Computer World, which is located next door to the main J&R business on Park Row. There is one telling modification, though. Where most J&R departments are cluttered, Computer World offers a relaxed, upscale and easy-to-shop atmosphere.

With roughly 18 computer systems on display, along with 11 laptops, some 30 monitors, a dozen printers and an outstanding selection of software and accessories upstairs in a large balcony, J&R can fit just about any need, from an opening price point ($299 for an IBM compatible from Laser) to sophisticated corporate systems. "Everything's on the floor here," he noted. "It's not in a back room, and since we're not married to any one vendor, we can offer a much wider selection than most resellers."

J&R emphasizes its selection by grouping products together, as well as in systems. For instance, echoing its video wall next door, Computer World has created a "Monitor Wall" that includes some 20 sku's, all with the same graphics displayed. "Customers can select the monitor that fits their needs, and see the difference clearly," Schacter said. The same strategy is implemented for printers, which in addition to sheer numbers also features examples of the print out capabilities of each unit.

J&R also offers free on-site configuration, messenger delivery, telephone trouble-shooting, on-site repairs, corporate sales service and corporate training programs.

Recently, the retailer was in the process of hanging video monitors that will play a mixture of advertising and new product news on a tape loop, and stations in the store contain literature, how-to manuals and other information. The firm is also negotiating to acquire "demo" software so that customers can try before they buy. "We're not a lending library," Schacter said, "but we want our customers to actually experience their software so that they won't be disappointed when they get it home."

A 20,000-square-foot storeroom beneath the store (connected by a dumbwaiter) allows J&R to stock each and every product it sells. "There are no 10-day waits; we're almost always in stock on everything we sell," Schacter said.

The new home office department, which will spotlight several vignettes to suggest optimal room layouts, features fax machines, personal copiers, phones, TADs, word processors and other electronic devices, along with a large offering of RTA business furniture, a new merchandise category for J&R.

That category could be hot: due to the high business real estate prices endemic to Manhattan, J&R won't face much competition in floor space-intensive RTA furniture. Key suppliers include Bush, O'Sullivan and Acco.

PHOTO : J&R's Aaron Schacter (right) explains the benefits of HeadStart's CD-ROM personal computer to customer.