RadioShack Messed Up Big Time

[Hank Fletcher]

Is it just me, or did RadioShack totally drop the ball on their own business by moving out of providing anything other than tacky Christmas gifts? I know this has come up before on this site, but I just can't believe what a compromise going to RadioShack is.

For those of you in the U.S. who can't imagine anything worse than RadioShack, there is. Canada's RadioShack is now called "The Source," and it's getting worse on a daily basis. I'm not knocking either businesses' products exactly, it's more their choice in direction.

Why would a company with decades as a trusted name completely turn their back on a customer base that only time and good service can build? Yeah, maybe someone up top figured out that it wasn't cost effective to use store shelf space to be selling fairly specific ICs to a relatively small market, but I still feel like they completely missed an opportunity there. I mean, they were ideally positioned to move that kind of inventory into a RadioShack e-store.

In the end, it's not a big deal for me, because there are hundreds of other e-stores where I can get what I want. My point is what seems to me such an apparent marketing blooper on RadioShack's part. Just goes to show that even Goliath can make mistakes.

 

[Leftyretro]

Is it just me, or did RadioShack totally drop the ball on their own business by moving out of providing anything other than tacky Christmas gifts? I know this has come up before on this site, but I just can't believe what a compromise going to RadioShack is.

For those of you in the U.S. who can't imagine anything worse than RadioShack, there is. Canada's RadioShack is now called "The Source," and it's getting worse on a daily basis. I'm not knocking either businesses' products exactly, it's more their choice in direction.

Why would a company with decades as a trusted name completely turn their back on a customer base that only time and good service can build? Yeah, maybe someone up top figured out that it wasn't cost effective to use store shelf space to be selling fairly specific ICs to a relatively small market, but I still feel like they completely missed an opportunity there. I mean, they were ideally positioned to move that kind of inventory into a RadioShack e-store.

In the end, it's not a big deal for me, because there are hundreds of other e-stores where I can get what I want. My point is what seems to me such an apparent marketing blooper on RadioShack's part. Just goes to show that even Goliath can make mistakes.

"Why would a company with decades as a trusted name completely turn their back on a customer base that only time and good service can build?"

Poor management plain and simple. For so long RS didn't know if they wanted to be a computer retailer, cell phone retailer or consumer electronics supplier. So they pretty much failed at all of them. Their brand name and still large retail outlets could still make them viable if they could ever get their act together, but I'm not holding my breath

Lefty

 

[Sceadwian]

They know how to put flashy packaging on cheap overseas junk. Not even good overseas junk mind you, hand soldered off off off brand bargain bin scrape offs. Employees are also on a sale commission. Who wants to try to sell a 2.50 transistor pack when there's a 200 dollar knockoff DVD or cell phone nearby to sell?

 

[HarveyH42]

I think Radio Shaft has been a last minute, emergency source for over-price, poor quality parts for decades. I've avoided them for so many years, and would much rather wait a week for a part order to come in.

 

[Sceadwian]

I'd much rather buy from Futurelec. I know I'm getting cheap overseas junk a month later than I want. But it's absoltuly dirt cheap. If I want truly top shelf stuff I can just go to Digikey and Mouser and any of the other places out there. Between what I have in my home now, the junk we have at work and online sites, I seriously hope never to shop at Radioshack again.

 

[3v0]

We used to joke about how the IC factory first selected high speed parts, low speed parts, etc and then tossed what was left in a barrel and shipped it to RS.

RS has a nice online store stocked with overpriced junk. The thing they do have going for them is that you can have an order shipped to a local store for zero shipping. That would be good if they actualy had what I needed. Have not tried it.

 

[CanonMan75]

Is it just me, or did RadioShack totally drop the ball on their own business by moving out of providing anything other than tacky Christmas gifts? I know this has come up before on this site, but I just can't believe what a compromise going to RadioShack is.

For those of you in the U.S. who can't imagine anything worse than RadioShack, there is. Canada's RadioShack is now called "The Source," and it's getting worse on a daily basis. I'm not knocking either businesses' products exactly, it's more their choice in direction.

Why would a company with decades as a trusted name completely turn their back on a customer base that only time and good service can build? Yeah, maybe someone up top figured out that it wasn't cost effective to use store shelf space to be selling fairly specific ICs to a relatively small market, but I still feel like they completely missed an opportunity there. I mean, they were ideally positioned to move that kind of inventory into a RadioShack e-store.

In the end, it's not a big deal for me, because there are hundreds of other e-stores where I can get what I want. My point is what seems to me such an apparent marketing blooper on RadioShack's part. Just goes to show that even Goliath can make mistakes.

Sounds exactly like the way Maplin Electronics in the UK has turned out

 

[picbits]

I worked for Tandy many many (around 20+ years ago) for a number of years back in the days it was owned by Radio Shack and also when they were taken over by Intertan and various other things happened to it.

When I was a kid, Tandy was my dream shop - it had everything but as the years progressed they went more and more along the toy route as Maplins are doing in the UK.

I still have very fond memories of Tandy and probably always will.

 

[Nigel Goodwin]

Sounds exactly like the way Maplin Electronics in the UK has turned out

The reasons are pretty simple (and obvious), the continuous fall in prices of ready made equipment means it's getting less and less viable to make your own. This has resulted in a huge drop in demand for components, which means that there's not enough custom to run a high street shop selling components.

 

[AllVol]

I still have very fond memories of Tandy and probably always will.

And so will I. Back in those days, RS (Tandy) was interested in the amateur radio operator and the experimenter. But those days are gone, and so are those customers.

 

[picbits]

Over here RS is a totally different company to Radio Shack but we refer to it as RS (RS Components)

Probably one of the biggest stockists of electronic components and other engineering stuff in the UK.

I'm lucky - my nearest RS (the main one in Corby) is only a 20 mile drive - Maplin is 20 miles one way or 15 miles the other way so its a bit of a no brainer at times where to go for emergency parts.

 

[Optikon]

We used to joke about how the IC factory first selected high speed parts, low speed parts, etc and then tossed what was left in a barrel and shipped it to RS.

RS has a nice online store stocked with overpriced junk. The thing they do have going for them is that you can have an order shipped to a local store for zero shipping. That would be good if they actualy had what I needed. Have not tried it.

RS never has anything of interest to me. These days, they are another bloated, over-hyped store trying to rip you off with some cell phone plan or inferior TV set.

The last time I went into one, I think I picked up some speaker wire because it was on sale. Ever try and talk technical to the guy behind the counter? Oh Jeeeezzzuss.... it's bad. They are salesman and that's it!

 

[HiTech]

I remember many years ago when RS would ask me for my name, address & phone # before ringing up a simple cash sale... even for a stupid 99 cent watch battery. I refused to supply them with that info. everytime, especially when I found out the clerks received a penny or two for every one collected. Once a clerk was so frustrated with me for not providing him my personal info. that he threw the return change at me, saying "go have a nice day" sarcastically. I immediately summoned the store manager who was empathetic with his employee, offering no apology, stating that a sale cannot be completed without my name, address, etc. So, I went and filed a complaint with the regional manager. There I learned that RS was selling the name/address data base as well as keeping them in their own database for returned purchases purposes and the manager was indeed wrong to state that it's a requirement for a sale.
About two weeks later I read in the obituaries that the clerk committed suicide.... from depression and relational problems over his girlfriend. Do you think that me reporting him to the regional supervisor pushed him over the edge? I doubt it and I didn't lose any sleep over it.

 

[picbits]

We were told at Tandy that although it wasn't essential to get the customers name and address it would be frowned upon if we didn't at least try and get it. The mystery shoppers that used to regularly come and shop with us would report back if we didn't ask them.

I had a customer called Mr Zplyflek on the system who mysteriously lived at the same address as me who used to buy lots of stuff every day ............

 

[HiTech]

I can see why some companies try to gather info. for their demographic studies and all that, but I still think it's a needless invasion of privacy. That info. isn't necessary UNTIL an item is returned for credit or exchange IMHO. As you may be able to tell by now, I'm big on personal privacy. Here in America, there are long lines of paid snoops lurking about to get this and that bit of personal information from a customer.

 

[Papabravo]

So, had you been the CEO, and it were up to you, how exactly would you have approached the problem of expensive retail space and ever expanding lines of components that sell for pennies to dollars? Would you stock through hole or surface mount? How could you afford to stay in business and make money at it? What would you estimate as the square footage of the Digi-Key warehouse in Thief River Falls, MN?

 

[Nigel Goodwin]

So, had you been the CEO, and it were up to you, how exactly would you have approached the problem of expensive retail space and ever expanding lines of components that sell for pennies to dollars? Would you stock through hole or surface mount? How could you afford to stay in business and make money at it? What would you estimate as the square footage of the Digi-Key warehouse in Thief River Falls, MN?

You really answered you own question! - comparing RETAIL SPACE to WAREHOUSE SPACE - retail space is massively more expensive, and you need a HUGE amount more of it. Selling components through retail space is really (and sadly) no longer very practical.

 

[Hero999]

I worked for Tandy many many (around 20+ years ago) for a number of years back in the days it was owned by Radio Shack and also when they were taken over by Intertan and various other things happened to it.

When I was a kid, Tandy was my dream shop - it had everything but as the years progressed they went more and more along the toy route as Maplins are doing in the UK.

I still have very fond memories of Tandy and probably always will.

I used to shop at Tandy, many years ago. It's one of the things that got me interested in electronics in the first place. Before I used to mess around with bulbs, switches and buzzers but buying the Forrst Mimms books from Tandy taught me about the really exciting components like transistors, capacitors ect.

I'm lucky - my nearest RS (the main one in Corby) is only a 20 mile drive - Maplin is 20 miles one way or 15 miles the other way so its a bit of a no brainer at times where to go for emergency parts.

Where abouts in Northamptonshire do you live?
I live in Bedford, Bedfordshire (for the benifit of people here who don't know about the counties here in the UK) and Corby is a bit far to travel so I'm stuck with Craplins for last miniute buys.

 

[Papabravo]

You really answered you own question! - comparing RETAIL SPACE to WAREHOUSE SPACE - retail space is massively more expensive, and you need a HUGE amount more of it. Selling components through retail space is really (and sadly) no longer very practical.

The idea was to prod the discussion, I already knew the answer. Maybe some bright soul out there knows something the rest of us don't. Those who have visited Fry's Electronics on the US West Coast will also understand what it takes to have a successful retail electronics outlet. Most of the space is taken up with high cost high margin items. This leave a few aisles for components, but I doubt those aisles make much money. The rest of the aisles make up for it.

 

[Souper man]

Radio shack has overpriced crap that hardly works. Some of them are defective, and dont work at all. The best buy they have is the perf boards. they are good sizes, and thats all radioshack is good for. other than that, is a useless, overpriced store that could really close up and nobody would care. if you can offer me a new place to buy perf boards, i would definately be willing to leave radioshack in the dust.