My new Business model- Business models should be about describing how the firm will create a superior level of customer surplus in future transactions (adding a superior level of customer utility / lower price or both)
The new business model for Best Buy will describe how the firm will create customer superior customer surplus to grow the firm. This task will be obtained by adding great customer service the rebranding of some of their products and by adding a Genius Bar for in store technical solution. The service sector and knowledgably staff is where Best Buy will outperform it competitors.
In order to better satisfy the customers must cater to all its customer segments. The firm's niche market is college students. This market will be best served by incorporating the Genius Bar. The firm's incorporation of the Genius Bar will serve the market niche well and to improve the customer's experience.Although, the firm has the "Geek Squad" this is an adjacent business for the firm, which is a limited revenue stream for the company. This is mainly because of internet commerce and its nemesis, Amazon.com. However, the Genius Bar has proven very a very lucrative revenue stream for Apple.
Consumers of all ages still prefer physical stores to onlineservices, which include teens, millennials and generation X (lesonsky, 2014). The retailing industry's cornerstone today is brick and mortal buildings also its future the study predicts, most consumers will come back to stores. The Genius Bar will cater to their customers in house, who cause consumers to come into the store; consumers will return to Best Buy over its competitors because of this
Prices matching the online item and increasing store inventory entice customers to come into the store. The firm's increased inventory will insure customers can buy on-line and come into the store to pick the item up immediately.
Ojeda-Zapata, J. (2014, April). Geek Squad Founder has harsh words for Best Buy. Pioneer Press, () Retrieved from https://www.twincities.com/ci_25473441/geek-squad-founder-has-harsh-words-best-buy