Could Best Buy Be Your Next Electric Car Dealer?

Posted Feb 9th 2010 11:40AM by Brian White
Filed under: Rumors, Products and Services, Best Buy (BBY)

Best Buy (BBY) has done great things in recent years, even amid the economic downturn and a crunch in consumer spending. It has basically pushed Circuit City out of the market forever, held its own against the likes of Walmart (WMT) in flat-panel televisions and consumer electronics, and has launched various initiatives for the future.

Why keep itself to the consumer electronics space, then? At some point, could the largest consumer electronics retailer in the U.S. carry electric vehicles alongside those LCD televisions? Best Buy's recent push into individual "green" transportation indicates that the passenger vehicle of the future may not be something you visit a traditional automobile dealer for.

Are standard automobile dealers on the way out? Hardly -- the internal combustion engine will be around for a while (unless gas prices spike again and again). Still, selling and then servicing an electric vehicle is something that can't be done in electronics stores for the foreseeable future (especially service).

On the other hand, the makers of gas-less personal transportation devices may see an easy way to increase market share easily by partnering with leading electronics retailers to bring more visibility to their wares. Traditional auto dealers do one thing well: sell cars. Newer transportation models may not jive well with the established auto sales circuit/dealership racket that exists. And, therein lies an opportunity for Best Buy if it is really thinking ahead.

Tags: BBY, Best Buy, Hybrid car, hybrid car deals, hybrid car profit, hybrid car sales, hybrid cars, inthenews, Prius, Toyota Prius