During its roller coaster of an earnings call on Thursday evening, Hewlett-Packard confirmed that it will take a huge charge as a result of the TouchPad’s poor sell-through rate at retailers. The company said on its earnings call that the TouchPad would result in a charge of $0.05 per share. With just over 2.07 billion public shares outstanding according to HP’s investor relations website, the total charge will come to more than $103 million. Even more costly, we’re afraid, could be the damage done to HP’s brand image in the eyes of customers who have purchased HP products in recent months. Of course this damage could be limited by the fact that HP might not be in the PC business much longer either, though it is unclear if a spun off PC division would continue to carry some kind of HP branding, or if it would instead opt for something fresh and new (like Compaq, perhaps).
According to a report filed by Droid-Life, electronics retailer Best Buy will be allowing consumers to opt-in to its recently announced Buy Back Program, free of charge, from February 6th to the 26th. Best Buy hopes the giveaway will draw attention to its new offering; often referred to by the company as “future proofing.” What else will BB be doing to draw attention to said program? Well, they’ll be running a Superbowl commercial during the third-quarter of this year big game staring… Justin Bieber. Sigh. Regardless, if you plan on purchasing a phone, laptop, or television around that time, why not get in on the Buy Back program for free?
UPDATE: We’re being told that Best Buy Mobile will be offering the Buy Back program free to customers from February 6th to the 26th; all other departments will have the promotion running from the 6th to the 12th. More →
Via a press release, Best Buy has made its electronics Buy Back Program – the very same program we broke the news on last week — official. The program will allow users to trade in their laptops, netbooks, tablets, or smartphones for a percentage of the device’s original value. Best Buy is billing its new service as “future proofing.”
“We recognize that technology is changing faster than ever, and our customers tell us they want to enjoy these devices without worrying about when the next or newest version will launch,” said Brian Dunn, CEO of Best Buy. “We call this ‘future-proofing’ because our customers can now have more confidence that they’re protecting the value of the products they’re purchasing today.”
Best Buy’s Buy Back Program will begin to be offered this month and retail for $69.99 for laptops, netbooks, and tablets and $59.99 for mobile phones — the price for TVs (under $5,000 only) was not disclosed in the press release. Hit the jump to read the full announcement. More →
In case you had any open questions about Best Buy’s upcoming Buy Back program, a trusted source just sent some more information that will clear up any open questions. The new info includes an internal PDF detailing exactly what this new service means to you, the customer, in addition to Best Buy the company, and also employees that work at Best Buy. The program, as we exclusively reported, will offer customers up to 50% of the purchase price on their laptops, netbooks, tablets, TVs, and mobile phones for two years. Best Buy is positioning this internally as a way to continually lock in customers. For instance, “for every Buy Back plan sold, a future customer purchase is locked in.” The document also states “customers will come back to Best Buy when they are ready to upgrade,” and “customers tend to spend more than the amount of the gift cards they receive.” Hit the break for all the details.
One of our trusted Best Buy sources has come through with several documents that provide additional details on the retailer’s new Buy Back program. The new protection plan, which allows consumers to sell back their devices for a percentage of the its original MSRP, will launch covering phones, laptops, netbooks, tablets, and TVs priced under $5,000 on January 5th; the service will be expanded to “other product categories” sometime during fiscal year 2012. To heighten awareness, commercials and advertisements will begin hitting the airwaves and print media beginning on February 6th.
The pricing structure for television “buy backs” will vary from that of computers, tablets, and smartphones. TVs under 6 months old can be turned in for 50% of the original full-retail price; 6 to 12 months, 40%; 12 to 18 months, 30%; 18 to 24 months, 20%; and 10% during the third and fourth years of ownership.
All “buy backs” will be issued in the form of Best Buy gift cards and the company is positioning the program to its sales staff as “protection against obsolescence.” Hit the jump to see a few more images and be sure to let us know what you think. More →
It looks as though retail giant Best Buy is planning to launch a new buy back program aimed at keeping users who
uncontrollably constantly upgrade their smartphones off-cycle, buying from Best Buy Mobile. At this point, details are scarce. But from what we can gather, cell phone purchasers can opt into the cleverly named Buy Back program for $59.99 at the time of handset purchase. Between months 1 and 6 of handset ownership, users can then trade-in their device to Best Buy Mobile for 50% of the phones full retail value. Between months 6 and 12 the device can be turned in for 40% of its original value; months 12 to 18, 40%; and months 19 to 25, 20%. In the example above, a phone with a full-retail value of $599.99 can be exchanged, between days 32 and 180 of ownership, for $299.99 — netting the customer $240 when factoring in the plan’s cost. The offering will certainly resonate well with some frequent upgraders who purchase new smartphones long before their two-year commitments have expired. What do you think of the Buy Back program? Does it make you any more likely to pickup your next handset from Best Buy?
UPDATE: We’re being told that the Buy Back program will extend beyond mobile devices to cover a variety of other consumer electronics. A source also tells us that customers will get a discount on the price of the Buy Back plan if they combine it with Best Buy’s Geek Squad protection offering as well; the Buy Back program price will vary in accordance with the type of product covered.