Monday, February 13, 2006

Heads Roll at Best Buy Over Xbox Bundles

A Business 2.0 article by Owen Thomas, via CNN/Money, reports that:

Last fall, when Microsoft's Xbox launched, retailers tried all kinds of strategies to deal with shortages. Some Best Buy tore managers hit on what they thought was a winning formula: Use high-pressure sales tactics to persuade shoppers to buy the Xbox in a bundle with controllers and other peripherals. Customers who came in to buy the $299 Xbox that was being advertised were told, "Sorry, we're out, but you can buy this $700 bundle instead."

The move backfired, with customers complaining they were tricked into buying hundreds of dollars of gear they didn't want just to get their hands on a scarce Xbox. Now, UK tech website The Inquirer reports that an internal Best Buy investigation into the affair has resulted in firings, including a senior district manager.

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