March 8th marks the last day for Circuit City.
They've been on the decline since before our economy took a serious nose dive.
Although Circuit City was a star company many years ago, they didn't successfully address the growing popularity of video games, online shopping, or partnerships with hot new brands, like Apple.
In addition, the service at Circuit City was less than stellar, if not dismal.
When I first heard about Circuit City closing its stores, I thought that it must be good news for Best Buy.
Maybe it's not.
Circuit City was Best Buy's biggest competitor, but recent changes in the economic landscape have changed the way people buy and what they spend their tightly gripped money on.
Comparable same store sales have dropped by 6.
5%.
On top of that, three of Best Buy's competitors are quickly picking up the market share that was left behind by Circuit City.
Amazon.
com can offer prices and product selection that puts even the big box behemoth Best Buy to bantam.
If you couple those attributes with the ability to get the items delivered with free shipping and NO SALES TAX then you'll see why Amazon.
com is stealing share.
Plus, you don't have to drive to the store, fight the crowd, wait in line for a service person or at the check out.
Some people want to see the items their purchasing, especially TVs.
This is true.
Also, some people aren't sure what they need, so they seek advice.
Unfortunately for the company, Best Buy has quickly become a research center.
People go to Best Buy to see the items and to get insight from their in-store experts.
Then, those people go online and find the item they found at Best Buy for a lower price.
If it's an item that you don't need immediately, it's nice to save 10% or more.
The remaining two quickly-rising competitors to Best Buy can be considered no-brainers.
Wal Mart and discount warehouse clubs, like Costco, Sam's, and BJ's, are competing with Best Buy on price and frequently win.
Their selections have recently grown to rival that of Best Buy.
In a time of vigilance, consumers are even more cautious with how they spend their money.
I don't think that Best Buy will fall down the Circuit City hole anytime soon, but I also think that the company will need to address their quickly rising competitors.
They can do this by offering new in-store services as well as continuing partnerships with hot new brands.
The company's recent announcement of re-testing an entry into the used game market is proof that they are working towards the future and meeting the needs of the cash-crunched present.