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Wishing for a geek IPO

Posted Jun 03 2008, 01:56 PM by Kim Peterson
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You know what IPO I'd love to see? A spinoff of Best Buy's Geek Squad.

There's unlimited potential for a service that sets up and fixes PCs, audio and video components and other devices. As technology gets more complicated, the Geek Squad will only become more of a necessity.

Consider this story, which says that 95% of electronic goods that are returned still work. People don't read manuals, they can't figure out how to get Gadget X working right and they give up, telling retailers the product is faulty. Between 11% and 20% of electronics are returned, costing the electronics industry $13.8 billion in the U.S.

That's a huge market opportunity for the Geek Squad, which could forge relationships with other retailers after Best Buy spins it off in an IPO. Best Buy says that when the Geek Squad is involved in a sale, the return rate is cut by nearly half. 

Comments

 

ok, i see your point, but what if those people buy their tech at stores that dont offer tech support.

or what about wholes-sellers that sell products that are no longer supported by the companies customer service or tech support.

on the other hand, i fix computers, i run a business TOTL Computer Maintenance. I admit i go to garbage dumps and find computers that only need one component replaced. or the computer has a virus on it.

So really, the general public might send back technology that still works. If they throw away computers that cost hundreds of dollars because they need a hard disk reformated. its because they have no access or they dont know where they can get help

and if the store doesnt say "if you have any questions or concerns please call this number" i dont blame the person for bringing technology back that works. its the stores fault because they are not informing the customer where they can get help.

Well, I was saying that Geek Squad could be more independent and then partner with other stores that don't offer tech support.

I admire your resourcefulness with finding computers, by the way. That's smart, and it also helps keep electronics gear out of garbage dumps.

Geek Squad and Firedog do second rate work, at least on computers and charge fees that rival the replacement cost of an inexpensive computer. This is good for me since I own a chain of local computer stores and have been able to raise my rates becuase of these guys. We are still 30% cheaper, complete work in less than half the time, and have very few "bounce backs". Our service revenue is up 40% this year. amazingly over one third of the machines we see have been in a Best Buy or Circuit City and completely misdiagnosed.

I agree with Glen. On the issue of second rate work. I filled out a job form for Geek squad. I have probably more experiance then these guys. I know server tech, i have multiple corporation clients.

let me tell you a little bout me. I am MCP - PC certified, i got my A+, Net+, Security+. I also have a few certs under server 2003. I never heard from them after i filled out my job application.

But i bet you half these guys have had interviews like fill in the blank exams. like the think on your desk that you type with is a _________________

I also agree, my sales and repair rate has increased by 25% this year alone. because these geeks dont know a power supply from a CD rom.

I used to work for Geek Squad. I left because they tried to turn us into salesmen. When I would return to the store from a job, the first question I got from my manager was not, "Were you able to fix the clients pc?", it was "How much extra were you able to sell them. They call it attaching. Each Geek Squad agent has a sales budget that he has to meet every month by "attaching"  other products and services to every service call. You only get promoted in the company if you are a good salesmen. This is supposed to motivate you to sell more. When we were looking for new agents last year, my district manager's exact quote was "I'm not looking for technicians, I'm looking for salesmen.  

hold up. isnt geek squad suppose to be "uuber technicians that can solve any technical issue" well kuudos to them that they are salesmen. but id take a chief engeneer to fix my warp core over a salesman.

BTW. LUIS, we are looking for some engeneers to help on our beowulf, can u help?

hey, i got a fan.. anyways heres a question to you, how many geek squad members does it take to screw in a lightbulb?

anyways - bout your beowulf, email me at data_matrix_ancient@hotmail.com. well talk there

My wife and I have a computer that we share. she is on one network and I am on another. I have over the years,screwed the machine up. We called the Geek Squad. All they did was take our money and say they didn't KNOW what was wrong with the computer. The Geek Squad don't work for free, so we were forced to pay them . The computer is still messed only more so. On my brithday, I bought I bought myself an APPLE.

The Geek Squad is a joke.

My wife and I have been using the same computer for awhile now. Over time I managed to put it out of wack. We called the GEEK SQUAD. This guy came to the house ,messed around a long time, and said he could not fix it. It cost me a lot to hear those words: they work by the hour. When my birthday came around I bought a APPLE. Iam getting my wife one in july.

The Geek Squad Is a JOKE.

I completely agree regarding the services of Geek Squad and Firedog. I recently purchased a HP notebook at Circuit City. Firedog offered to do some "junk" cleaning up for a ridiculous price at which I said no. I'm not certified or anything, but I do know how to run "MSConfig" and stop programs from starting up and removing un-needed programs from a system, along with plenty of self-taught hardware replacing. Why pay when you can do the same thing for free???  

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