MORE BUILD TO ORDER COMPETITION IN THE NEWS TODAY: read below:
COMPUSA ANNOUNCES "COMPUSA PC"
Q & A
DALLAS, July 15 /PRNewswire/ --
1) Are the PCs available for sale now? We plan to introduce the
CompUSA PC(TM) and make it widely available to the public early this
Fall.
2) Who is the target customer for this product?
We have designed the CompUSA PC to appeal to any customer who
desires the flexibility and convenience of a build-to-order PC. One
important group of target customers are those who now do business with
local, independent PC manufacturers and VARs. In broad terms, however,
our primary targets are individual consumers, businesses, government
entities, and educational institutions.
3) Where are the biggest areas of opportunity for this product?
The CompUSA PC build-to-order concept is centered on "flexibility" --
which we believe will enable us to attract many different types of
customers, especially in the business/corporate arena. We also believe
that CompUSA's unique service offering, supported by our nationwide
network of Computer Superstores(SM), will deliver added value that will
further differentiate the CompUSA PC from the competition.
4) Who, specifically, do you consider to be your competition in
the build- to-order business?
We consider our competition to be any company that manufactures
build-to- order PCs. On a national basis, our primary competitors will
be Dell and Gateway. On a local basis, we will compete with small,
independent computer manufacturers and VARs, which we believe represent
one of the largest segments in the personal computer industry.
5) Will the PCs be sold in CompUSA stores?
Customers will be able to place their orders through our Computer
Superstores, and their PCs will then be shipped directly to them.
6) How does CompUSA's build-to-order PC compare to (or compete
against) the direct sales plans recently announced by Compaq and IBM?
CompUSA currently carries one of the industry's broadest
selections of personal computers, and the CompUSA PC will simply
enhance our offering. Both Compaq and IBM have made a commitment to
working with the reseller channel, and we expect to continue our
partnership with them.
7) Are you planning to sell notebook PCs as well as desktops?
We are not planning to sell notebooks at this time.
8) What will your price position be?
The CompUSA PC will be a high-quality product at an aggressive
price. Just as importantly, we plan to offer consumers unrivaled
overall value based on CompUSA's unique service and support
capabilities for our PCs.
9) Who is manufacturing the product?
Various third party manufacturers will assemble the PCs, which
will be built under the strict supervision of CompUSA employees and
according to stringent CompUSA quality standards. Although we do not
plan to disclose the names of our manufacturing partners at this time,
it is our goal to offer the highest quality build-to-order personal
computers available.
10) What kind of growth do you expect for this new business in the
coming year?
We are encouraged by our initial research studies, which showed that
both individual and business PC-users reacted positively to the CompUSA
PC concept. However, by policy, we do not provide business forecasts.
SOURCE CompUSA Inc.
-0- 07/15/97 /CONTACT: James E. Skinner,
Executive Vice President & CFO, 972-982-4000; Media Contact: Carol
Elfstrom, Director of Public Comm., 972-982-4181/
CO: CompUSA Inc. ST: Texas IN: CPR SU: |
