Latest news with #JasonBonfig
Business Insider
03-07-2025
- Business
- Business Insider
'Black Friday-Like Sales': Best Buy Stock (NYSE:BBY) Gains On New Sales
We know that the retail market is not doing that great these days, especially the e-commerce side of things. But brick-and-mortar retail operations like Best Buy (BBY) have been living with adverse conditions for years now, and continue to endure. In fact, Best Buy has some big sales planned for Fourth of July weekend, which some are even comparing to Black Friday sales in the middle of summer. This was good enough for investors, who sent shares up fractionally in Thursday afternoon's trading. Don't Miss TipRanks' Half-Year Sale Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence. Make smarter investment decisions with TipRanks' Smart Investor Picks, delivered to your inbox every week. Reports noted that Best Buy planned a week-long sales event, which was referred to as 'Black Friday in July.' The event is, not surprisingly, timed to coincide roughly with Amazon's (AMZN) eponymous Amazon Prime Days, and hopefully, steal some of that thunder for themselves. Best Buy's senior vice president of customer offerings and fulfillment, Jason Bonfig, explained, 'We try to do everything that is the best of who Best Buy is, so it's the mixture of every category, its the mixture of the Doorbusters, the 'Deal of the Day' and then obviously bringing additional value on top of that to our members.' With a recent PwC survey revealing that 37% of shoppers were planning to pare back back-to-school spending, and 44% planning to cut technology purchases, there is a clear demand for Best Buy to improve value to get what it can get. Dropping Healthcare It might surprise you to know that Best Buy actually had kind of a healthcare arm in its ownership of Current Health. It might surprise you even more to know that 'had' in that previous sentence was quite correct, as Best Buy has it no longer. Its former co-founder, Christopher McGhee, reacquired the firm from Best Buy just recently. Best Buy bought Current Health back in 2021. Given that this was during the pandemic, an investment in home healthcare made for a good idea. But Best Buy found it a tough needle to thread, as it restructured the health business and took a '…non-cash goodwill impairment charge of $475 million.' McGhee noted that the health sector in general is in 'early innings' of a shift from hospital to home-based operations, so, getting Current Health back from Best Buy made a certain sense. Is Best Buy a Good Stock to Buy? Turning to Wall Street, analysts have a Moderate Buy consensus rating on BBY stock based on nine Buys, nine Holds, and one Sell assigned in the past three months, as indicated by the graphic below. After a 13.17% loss in its share price over the past year, the average BBY price target of $80.53 per share implies 11.79% upside potential.
Miami Herald
03-07-2025
- Business
- Miami Herald
Black Friday-like sales are now in summer too, as Target, Best Buy compete with Amazon Prime Days
America's big retailers, including Best Buy and Target, continue to lean into big mid-summer events to boost sales as the back-to-school season begins. Amazon Prime Days is the impetus for the dayslong sales, but each retailer has done things to stand out. "We try to do everything that is the best of who Best Buy is, so it's the mixture of every category, it's the mixture of Doorbusters, the 'Deal of the Day' and then obviously bringing additional value on top of that to our members," said Jason Bonfig, senior vice president of customer offerings and fulfillment for Best Buy. The "Black Friday in July" promotions come as the Richfield-based electronics retailer is trying to regain ground. The sales also come at a time when consumers are limiting how much they spend on nonessentials. According to a PwC survey of nearly 1,200 parents, 37% of shoppers plan to pull back on back-to-school spending and 44% are lessening spending on technology. More than one-third plan to only buy items on sale. Best Buy's sale runs July 7-13, overlapping with Amazon's extended Prime Day offering from July 8 to 11. Minneapolis-based Target's summer promotion, Circle Week, runs from July 6 to 12. Prime Day previously ran for two days, giving Best Buy a clear advantage when it came to "top tech" deals. This year, Best Buy has changed its sale a bit to sway consumers. The retailer will also offer Doorbusters - a sales initiative offered on Black Friday - for the first time during this year's event. Like Prime Days and Circle Week, new deals will be available every day. My Best Buy Plus and My Best Buy Total members will also get exclusive access to rewards, such as a $20 reward for every $200 spent on tablets, e-readers and accessories. Target made its Circle Week announcement last Monday as part of its back-to-school promotion events. College students and teachers will both receive a one-time 20% off storewide discount with Target Circle. The company is also holding the pricing offered last back-to-school season. "This is such an important time for everyone preparing to head back to class - or heading off to school for the first time," said Rick Gomez, chief commercial officer at Target. "The Target team will be there for families by holding last year's prices on key school supplies and standing tall for unrivaled style, quality and exceptional value." Best Buy's sales event comes a little over a month after its midnight opening parties, celebrating the Nintendo Switch 2 launch. The launch marked a major sales moment for Best Buy, but the company also saw it as a starting point for continued engagement - both for Nintendo-related sales and renewed interest in the retailer's offerings. It also sets the stage for the launch of Best Buy's third-party digital marketplace. CEO Corie Barry said the retailer is "on pace for a midyear launch" in a first quarter earnings call. The electronics retailer previously opened its website to select outside sellers from 2011 to 2016. About 200 sellers were participating before the initiative ended, reportedly due to low sales and customer confusion around returns. Similar to Target, Best Buy's rebooted marketplace will bring in vendors by invite only. Best Buy launched a refined approach to the third-party marketplace in Canada in 2016. Third-party sellers now account for 25% of orders shipped on according to Jefferies. The U.S. marketplace could account for 14% of online sales by the end of the decade, according to the investment bank's research. "Canada's had a marketplace for nine years and we've learned a lot from all the success they've had. We want to make sure we replicate that in the U.S. and even make it a little bit better," Bonfig said. Barry previously said Best Buy's U.S. marketplace will focus more on new products and offering multiple versions of the same product. "I think what we've learned from Canada is that there is a demand to go deeper into the assortment," Barry said in an earnings call. "We can see that in customers who are searching our website and looking for a broader selection or looking for a broader quantity of products, and we just don't have them there." Copyright (C) 2025, Tribune Content Agency, LLC. Portions copyrighted by the respective providers.
