Best Buy sees steep drop in TV sales countered by Apple iPad, phones

Apple Online Store“Best Buy today reported a drop in profit for its fall quarter owed to TVs but countered by smartphones and the iPad,” Electronista reports.

“It still made $217 million in net income but saw its core home electronics business shed 10.6 percent of its revenue as it saw a low double-digit drop in TVs as well as matching home theaters and movies,” Electronista reports. “However, it saw a comparable increase in smartphones as well as a single-digit boost to notebooks, which it credited primarily to ‘strength in tablet computers.'”

Electronista reports, “The company wouldn’t mention the iPad by name but was selling Apple’s tablet almost exclusively for the three-month span.”

Read more in the full article here.

Best Buy’s earning press release is here.

11 Comments

  1. I think 3D TVs will be popular and become the norm, but not really used all that often. People will try out some 3D content for the novelty factor, then go back to regular 2D viewing. A big waste in the end.

  2. They just can’t stand it. There is only one tablet in demand, but they can’t bring themselves to say “iPad,” unless it’s diluted to say: “…tablets, such as the iPad.”

    As far as “smartphones,” they wouldn’t be selling anything but iPhones if Google and the handset makers didn’t give their efforts away in order to undercut Apple.

  3. People replace their phones, computers & iPods every 2-3 years or so.

    Not so with TVs and game consoles.

    Apple’s in the right business. There’s a healthy replacement cycle in the hardware it makes.

  4. Some people just don’t get it!! My dumb neighbor watches news, sports, movies, and various movie channels on his 54″ big screen..

    As we at MDN know, that’s so 2000’s. My wife actually wanted me to waste money on a TV and Cable and I told her, “in this house we only rent movies on iTunes and watch them on our cell phones or iPads”….

    Wooo Hoooo, let’s face it folks, TV’s are for Windows users!!!

  5. Not only do they loose the TV sales, but the bigger loss is the extended warranty the push on every TV sold, but Im sure no one is buying the extended warranty on the iPad. They may be buying Applecare instead, if they are buying anything.

  6. Bubbles is right. Best Buy, Walmart, etc. have been on a big push for the last two years (particularly at Christmas) to sell big flat panel TVs. Well, guess what? Most people who wanted one got one.

    There are few places in a home where you put a large TV. There are fewer reasons to have more than one larger than 48″ TV. And just because a new, thinner, lighter model comes out doesn’t mean you need it. My 46″ 3 y.o. flat panel TV is thick by today’s standards, but it shows 1080p just as well as the new models. So why would I replace it?

    On the other hand. I’m on my second iPhone (original and 3GS), and likely going to get the iPhone 4 for my family of 5 for Christmas. And we’ll upgrade in 2 years, too. Not to mention adding iPads when the 2G comes out.

    TVs just aren’t consumables. About the only thing people keep and use longer without replacing are refrigerators, washers and dryers.

Reader Feedback

This site uses Akismet to reduce spam. Learn how your comment data is processed.