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Tuesday, January 08, 2008 12:01 AM PT Posted by Tom Spring

CompUSA Saved from Closure: Why its New Owner Loves the Brand

Reports of CompUSA's demise have been greatly exaggerated ? or maybe just premature. In a deal that will keep 16 existing retail CompUSA stores open, Systemax announced it would acquire select assets and retail stores of CompUSA for $30 million on Sunday.

Systemax's subsidiary TigerDirect will take control of the CompUSA brand. Not only does TigerDirect plan to keep some CompUSA stores open under its control, it also plans to change the name of 11 existing TigerDirect retail stores to CompUSA. Gilbert Fiorentino, chief executive officer of TigerDirect, says three other TigerDirect retail store, currently under construction, will also be branded CompUSA.

I caught up with Fiorentino on Monday night at a press event at CES and asked how things might change for CompUSA customers under his division's oversight. Fiorentino said the CompUSA inventory will focus on computers as did CompUSA, but also push a large selection of HDTVs and a full range consumer electronics digital gear.

"We know CompUSA did some things wrong, but we are fixing what was broken about CompUSA," Fiorentino says. Be acknowledged CompUSA has faced criticism for having a less than adequate sales staff and the fact the PC chain has faced complaints of poor customer service. "TigerDirect knows how to do customer service. You're going to see a completely new CompUSA," Fiorentino says.

As a former CompUSA customer, I personally found it irritating when shopping for desktops at CompUSA. I was always annoyed at the way sales staff would try and up-sell me on Bronze, Silver, and Gold extended service plans for PCs. One the other hand, I miss my local, and now closed, CompUSA because where else can you pick up KVM switchbox on Sunday afternoon when you really need one?

"The CompUSA brand may be a bit tarnished, but it's a household brand," says Richard Wallet, executive vice president of retail stores for TigerDirect. Wallet says building quality back into the CompUSA brand is going to be a lot easier than spending millions to turn TigerDirect into a household name.

Wallet says the TigerDirect brand will not go away and it will live on in its current incarnation ? an online tech superstore at TigerDirect.com. As for CompUSA's Web site, it will now be beefed up with TigerDirect's infrastructure.

TigerDirect currently operates retail stores in Florida, Illinois, North Carolina and Ontario, Canada. Fiorentino says he hopes to keep select CompUSA stores in Florida, Texas, and Puerto Rico open. He added many of the new CompUSA would have grand re-openings before the end first quarter of 2008.

Comments

Hope the New owner protects the customer too from People in the back that re shrink wrapped programs that when sold again as new had viruses on them. Cost me a computer
Mark

markww
January 08, 2008
3:55 AM PT

Well, there you are. One (more) reason to drop TigerDirect. Not only do they charge insultingly high shipping rates, they tried to jack me on a simple RMA after taking forever to process the thing. Now, assuming they keep the store in my city open, they will be collecting tax. I wasn't a big fan of CompUSA to begin with, and will be even less of one now. Good bye.
Those who know...Newegg

Toulinwoek
January 08, 2008
6:31 AM PT

The store I shopped in and eventually worked at had very knowledgable staff. Their repair shop was the best in town, and all of the staff was able to steer me in the right direction BEFORE i worked there. For Mr. Fiorentino to assume that the problem with CompUSA was "less than knowledgable sales staff" is an insult, especially when CompUSA SELLS SYSTEMAX COMPUTERS!!!!

markww: sorry you had to deal with dishonest people at a CompUSA. We weren't all that way.

Toulinwoek: I know Newegg. Can't test drive unles you buy. I'm guessing you're one of those who goes to the retail store to check it out, then goes home to buy the product. Doesn't this still make the retail outlet usefull? I still shopped somewhere where I could test drive it before I bought it. BTW, taxes are a part of life, unless you live on the moon.

pbjazzy
January 09, 2008
8:21 PM PT

Just recently (Dec 22) I bought a video card from COMP USA as a present for my son. At home I discovered that I bought a PCI Express instead of a VGA type slot card. When I tried to exchange the Video Card for VGA type I was told we do not do exchanges because we are going out of Business. If this is how they are going to tread the customers in the future I must say it is really unsatisfactory. Anyway I work in a 15,000 plus organization and I will everybody inform that they better not do business with Comp USA as I can throw away a $122.- Card.

vanderflier
January 12, 2008
5:17 PM PT

Just recently (Dec 22) I bought a video card from COMP USA as a present for my son. At home I discovered that I bought a PCI Express instead of a VGA type slot card. When I tried to exchange the Video Card for VGA type I was told we do not do exchanges because we are going out of Business. If this is how they are going to tread the customers in the future I must say it is really unsatisfactory. Anyway I work in a 15,000 plus organization and I will everybody inform that they better not do business with Comp USA as I can throw away a $122.- Card.

vanderflier
January 12, 2008
5:19 PM PT

I am a former CompUSA Technician. In the last days I was a "salesperson" as the tech shop had been closed. I worked right up until the last day our store was open to the public... untill the walls were bare and there was absolutely nothing left in the store but the markings on the floors where the shelving and counters had been.

To markww:
Explain just how is someone going to write a virus onto a factory-printed CD/DVD ROM? Your accusation is absurd to say the least.

To vanderflier:
What part of "ALL SALES ARE FINAL" printed ON EVERY RECEIPT, posted Numerous places throughout the store, and the words "STORE CLOSING SALE" do you not understand? Because we were closing, there were different rules and those rules were clearly visible EVERYWHERE throughout the store. If you missed all the warning signs, thats your own fault. I hope you are not this absent-minded when you are driving.

amerist
February 20, 2008
4:30 PM PT

To Vanderflier:
Sometimes you have to know more information about what you are looking for before you buy anything. This research is your responsibility as the consumer.

You wouldn't go the gas station and start pumping fuel into your tank if you didn't know what kind of gas you needed to put in the car first, would you? Do you think the station attendant is going to know what kind of gas you need to put in your car if he can't see your car, and you don't know what kind of car you have?

I can't tell you what kind of slot your computer has anymore than I can tell you what color underwear you have on. I didn't build your PC and without looking inside it or at least being armed with a model number so I could look it up online there is no way I'd be able to help you either.

Furthermore, blaming CompUSA's new management for the actions and the policies of the former management, employees and policies is shamefully irresponsible, and reveals a lot about you as a person.

amerist
February 20, 2008
4:33 PM PT

I purchased a Toshiba laptop with a 3 year warranty which included 3 LCD screen replacements. The problem is I fought them to the end (1 year before I heard they were going out) and never received the rebate I was due. Even with the correct receipts and the rebate receipts that I sent and faxed to them they still said they didn't receive.
I would suggest going to Best Buy or a reputable company before dealing with Comp USA. They cheats and ripoffs. Take my advise...BY AT A REPUTABLE COMPANY AND NOT COMP USA!!!!!!
If you hear of a class action law suit let me know at vtshedman@aol.com

azurro
March 03, 2008
2:30 PM PT

I purchased a Toshiba laptop with a 3 year warranty which included 3 LCD screen replacements. The problem is I fought them to the end (1 year before I heard they were going out) and never received the rebate I was due. Even with the correct receipts and the rebate receipts that I sent and faxed to them they still said they didn't receive.
I would suggest going to Best Buy or a reputable company before dealing with Comp USA. They cheats and ripoffs. Take my advise...BUY AT A REPUTABLE COMPANY AND NOT COMP USA!!!!!!
If you hear of a class action law suit let me know at vtshedman@aol.com

azurro
March 03, 2008
2:30 PM PT

To amerist:

You sound like a COMP USA Employee. You are asking for a consumer to know what they are buying. That was always the problem with Comp USA Employee's. They didn't have the experience to educate the consumer as to what they need. They didn't even have the experience to program their web sight properly because there Web rebate system never worked. I am not the only one because I will criticize Comp USA as long as they have the same name that ripped me off for $150.00. You would be surprised how many people I have talked to had the same problems. I work hard for my money and wouldn't dare take a chance relying on Comp USA ever again. Comp USA are un-educated ripoffs.

azurro
March 03, 2008
2:47 PM PT

to Azurro: They BETTER know ahead of time. its stupid if you buy before you know at a business that is GOING OUT OF BUSINESS. NO business that is will do exchanges. Doesn't work that way.

That being said, what DID irritate me when going to the local Denver store closing was the following"

Bought an open power supply, stll near full price, and it was FAULTY. So i had the credit card company deny the charge.
bought a power supply tester to rest the power supply. CompUSA brand.. It has a burnt out LED. BRAND NEW.

On the shelf was a sony Viao with a broken LCD. They still wanted 1600 for it. 1600!?!?!. That was just shy of retail (about the 10-30% they were advertising actually) so they wanted FULL PRICE for a broken laptop. Geeze. No wonder they went under


They sell a Faulty PS without a mark indicating faulty (it was obviously a return) and a broken laptop at near-retail price
I hope the new CompUSA learns, and does different. even closing they showed bad habits

IvanOtter
April 10, 2008
6:08 PM PT

I was a TechPro at compusa and I survived until the very last day. It was a fun job and good experience. We ran the BEST techshop in town and catered to all the customers who had taken their computers to best buy (worst tech shop in town).

To azurro: They had STORE CLOSING posted everywhere. Your fault you got a pci-e card. I don't know where you get off insulting me and everyone else but I took time to educate my customers and that is why I am making such good money now fixing former compusa customers computers from home.
Obviously if PCI-E doesn't fit in your motherboard then you need an Accelerated Graphics Port (AGP) video card. Most video cards either come with DVI ports or VGA. I am assuming you want VGA. BUT you also want a high end card for about 150$ (dvi) so Find a AGP based card and get a VGA/DVI adapter.

Thanks for the insult

spywell
May 29, 2008
11:58 PM PT
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