Electronics retailer Best Buy is testing outlet stores in four states as an alternative way to sell clearance and open-box merchandise, according to the Minneapolis/St. Paul Business Journal.
The outlet stores will sell clearance and open-box merchandise at discounts up to 50 percent off, according to Best Buy spokesperson Paula Baldwin. Available merchandise includes televisions, home appliances, computers and other electronics that were either returned by a customer in a traditional store, served as in-store floor models or are otherwise discounted, the outlet store website says. Products come with a manufacturer’s warranty and all sales are final, Baldwin says.
Best Buy outlet stores are currently operating in California, Delaware, North Carolina and Texas and are only open Friday, Saturday and Sunday.
The Minneapolis Star Tribune reports that the outlet stores occupy retail space where the big-box retailer previously operated traditional stores and the leases have not yet run out. The newspaper says that the retailer has “an issue of quickly moving out clearance-priced items to make room for new models.”
Other retailers are contributing to changes in the appliance market as well. J.C. Penney recently started selling appliances and HVAC equipment in its stores, and independent retailers have found success in selling appliances through partnerships with Sears Hometown and Outlet Stores.
Best Buy is headquartered in Richfield, Minnesota, and operates more than 1,500 traditional big-box stores in North America.