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Circuit City launches year-long digital TV education campaign

Circuit City Stores, Inc. (NYSE: CC), which continues to struggle with sales, profit and just about every other meaningful metric, at least is clinging to life with some public relations efforts. The second largest consumer electronics chain in the U.S. has noted many times in the past that the falling prices of flat-panel televisions contributed in large part to its negative fortunes.

Now, though, the retailer wants to become the 'answer center' for all consumer questions related to next February's switch to digital television. It will start by hosting an interactive web forum with input and help from Sound & Vision magazine. The forum will host consumer questions to address what Circuit City is billing as "a significant shift in the way television is broadcast and received."

While that is true, the actual amount of Americans expected to be impacted by the switch from analog to digital is definitely not the majority of TV consumers in this country. But, there's nothing wrong with Circuit City using this transition as a marketing tool to move more digital television sets, right? Every other competitor will be doing the same thing, although most of them will also be carrying the $50-60 converter boxes meant to allow older televisions to receive the new digital signals next year. My guess is that those products will be placed next to signage on discounted flat-panel sets and credit applications. Which would you pick?

Circuit City educating consumers on Digital TV

Circuit City Stores, Inc. (NYSE: CC) has said it will be rolling out quite a few new initiatives to increase customer awareness and education on the digital television transition set to occur in 2009. This should come as no surprise, as there will inevitably be millions of U.S. consumers who will needlessly fret when the analog television signals currently being broadcast cease to exist in a little under two years.

This is where Circuit City has a chance to shine. For years (well, for a decade, really), the consumer electronics chain has been beaten by larger rival Best Buy, Inc. (NYSE: BBY), and the pressure has only become more intense in recent years.

Circuit City no doubt sells quite a few television sets, although the profit misses and generally bad quarters in the last six months or so has been largely attributed to the declining profit margins on flat-panel televisions. This is the very product Circuit City now wants to trumpet as it reaches out to consumers to offer education well ahead of the actual analog-to-digital hand-off.

Continue reading Circuit City educating consumers on Digital TV

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Last updated: November 27, 2009: 02:47 AM

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