Best Buy previews Concept III with its 2.5 version in Orlando - consumer electronics stores chain; Orlando, Florida

Discount Store News, Sept 5, 1994 by Pete Hisey

ORLANDO, FLA. -- Concept 2.5 of Best Buy's ongoing trek to Concept III megastores debuted here last month with a slew of updated features that enhance the store's customer-friendly attributes.

Chain employees applied the Concept 2.5 nickname to the sleeker, more interactive version of the company's Concept II megastore, but chairman Dick Schulze suggested 2.3 as a more appropriate name as the store isn't really halfway toward Concept III.

"Concept III, when it debuts, will blow your socks off," he said.

Nevertheless, there were significant changes at this store that will also appear in Concept III. Among them were:

* Lower fixtures in music and computer software to improve sightlines throughout the store; these fixtures also make the software area more comfortable and bookstore-like.

* A full multimedia display added to the rear of computer department;

* Interactive information displays in car audio that match systems with car year and model, and budget;

* A new color scheme that replaces the omnipresent red signage and accents with colors specific to a product category; i.e., green in home office;

* Appliances have been moved to the front left of the store to get those shoppers away from the hubbub of the music, video game and computer departments;

* Introduction of big-tube and projection TV rooms;

* More extensive use of endcapping;

* Increased sku count in computer software (2,000 vs. 1,200) and music.

Despite all of this, the big changes are being reserved for the Concept III openings in Los Angeles this fall. In a pre-opening interview, Schulze said that interactive touchscreen presentations will be available in every department, with up to 100 Listening Posts (compared to 16 at present) available in the CD department.

Samples of every video game Best Buy sells will be playable on dozens of Sega, Nintendo and other game platform units and all departments will be carpeted to save money and cut ambient noise levels.

The appliance department will include gourmet-level goods, specialty cookware, and even regular cooking demonstrations. An 1,800-sq.-ft. accessories department will be added, and Best Buy's bright yellow price tag entrance will be updated.

The interactive devices, which form what Best Buy calls the electronic information system, are the true innovation. While other retailers have introduced the technology in a limited fashion, Concept III will offer short video demonstrations of every feature of every product Best Buy sells, Schulze said.

The company's video department, located at headquarters in Eden Prairie, Minn., has worked feverishly over the past six months to produce literally thousands of video clips, which will run about 12 to 15 seconds each.

"For instance, if a customer wants to know more about equalization on a receiver, a quick demo will show various parts of an orchestra swelling and shrinking as bass and treble settings are raised and lowered," Schulze said. "And with the touchscreen technology, the customer will control the pace at which he or she gets the information."

With all this information at hand, is there any reason to have a sales staff at all? According to Schulze, the floor staff's contribution will be to recommend products that are most compatible with goods the consumer already owns, demonstrate performance features, answer advanced questions, and recommend accessories and peripherals. Also, at least some customers will be uncomfortable with this approach to selling, and will demand personal attention.

The net result, he hopes, is increased hold time on shoppers. With commissioned help, the average stay ranged from 15 to 18 minutes. At Concept II, that increased to 30 to 35 minutes, thanks in large part to the enormous software selections added to the store. At Concept III, with something fun and interactive planned for the entire family, that hold should increase to 45 to 60 minutes, Schulze said.

Cutting into that time will be the new accessories department, which will take Best Buy deeper than it has ever gone into this high-margin but sku-intensive category. At 1,800 sq. ft., it will resemble Radio Shack in assortment and convenience.

Best Buy started with "A!" accessories, moved into "B" goods, and Concept III will take accessories to the next level, with hard-to-find specialty products, he said.