E-com sales: $18.11 billion
Even before the pandemic, Best Buy had “assumed digital penetration was going to increase,” Best Buy CEO Corie Barry said earlier this year. “One of the greatest things was all of the supply chain investments we have been putting in place for literally four years,” she continued. “We flexed all of those up to meet that large-scale demand. But we also put the customer in control [of how they wanted the order fulfilled.] It did not matter to us. We just need to agnostically meet that customer wherever they are. That is going to be the future of retailing. I don’t think people will revert back to their 2019 behaviors.”
Best Buy said during its Q1 2022 earnings call that sales originating online continue to be much higher than pre-pandemic – it’s seeing 33% of domestic sales, compared to 15% two years ago in Q1 2020. Active My Best Buy loyalty program members have also grown considerably, and members are using the program more than last year and two years ago. Earlier this year, the electronics retailer began piloting a new membership program called Best Buy Beta in 60 stores, which provides customers benefits like exclusive member pricing, unlimited Geek Squad technical support, up to two years of protection on most product purchases, free standard shipping and delivery, and free installation on most products and appliances, for $199.99 per year.
“To be clear, what we are piloting is not in direct competition with Amazon Prime, Walmart+ or, frankly, any other membership programs in the market today,” Barry said. “It is playing to our unique strengths and what customers want from Best Buy.”