Dave Benson Merchant Director Drew Bowers T6 Strategy Manager
Year to date... Source: NPD data as of May 2009;Analysts notes Year to date (June 09), total retail HW and Software is down -13% and 12% respectively. June down -31% overall CY09 Software revenue Y/Y% growth year to date YTD = tough comp last year. Plus 50% March through June LY Current Outlook
Size of the Prize $1 Billion in December –Over 1.5 Million consoles in December –Over 10 million software units –Over 5.5 million accessories units Nearly $1 Million per store in gaming –1500 consoles in December –10,000 units of software –5,500 units of accessories
Hardware –New prices…new SKUs Key Products and Releases
Hardware –New prices…new SKUs Software –Wii Fit Plus –DJ Hero –Call Of Duty: Modern Warfare 2 –New Super Mario Bros –Assassin’s Creed 2 Key Products and Releases
Hardware –New prices…new SKUs Software –Wii Fit Plus –DJ Hero –Call Of Duty: Modern Warfare 2 –New Super Mario Bros –Assassin’s Creed 2 Accessories –Rocketfish and Dynex –Core is still king with high 1st party volume
Competitive Strategy and Key Promotions Competitive Market Place Hardware Bundles –Home Theater Solutions –More exclusive opportunities
Competitive Strategy and Key Promotions Competitive Market Place Hardware Bundles –Home Theater Solutions –More exclusive opportunities Software Promotions – Buy more save more –RZ Gamers Club Rewarding our best customers
Key Differentiators MNO –COD –Assassins Creed 2
Key Differentiators MNO –COD –Assassins Creed 2 Demo Days
Key Differentiators MNO –COD –Assassins Creed 2 Demo Days RZ Gamers Club –Social Networking
Key Differentiators MNO –COD –Assassins Creed 2 Demo Days RZ Gamers Club –Social Networking Tools –Buyers Guide and Insider
Key Differentiators MNO –COD –Assassins Creed 2 Demo Days RZ Gamers Club –Social Networking Tools –Buyers Guide and Insider Best Buy.com –Trade In now available –Pre-order online…pick up in-store
Merchandising Bundle Bands Pallets/Race Track
Merchandising Bundle Bands Pallets/Race Track Clearance Sections Value Software –In-line and racetrack Project Team Support
Merchandising Bundle Bands Pallets/Race Track Clearance Sections Value Software –In-line and racetrack Project Team Support Retail Marketing Tool RZ Gamers Club Customer Phone List RZ Gamers Club Customer Phone List Print Vehicles Store Web Page announcement
Hand off to Drew
Operational Preorder –Alerts posted with customer contact info EOL, R&E and Rapid Exchange –GSBTP with new pricing for Xbox and ADH on portables At-Risk Management –Value is sendback, no longer At-Risk Labor and Zoning –Talent selection and maintained zoning
Gaming & Your Local Growth Plan FY09 Data –Xbox360 ASP $350 –PS3 ASP $400 –Wii ASP $250 Gaming = $xx.xxx.xxx –Console Contribution $x,xxx,xxx –Basket Contribution $x,xxx,xxx FY10 Forecast –Xbox360 ASP $300 –PS3 ASP $300 –Wii ASP $200 Gaming = $xx.xxx.xxx –Console Contribution $x,xxx,xxx –Basket Contribution $x,xxx,xxx
How TRUSTbuilders in Gaming –Get to know customers as individuals –Create Rapport with the customer –Capitalize on their own individual strengths and talents to personalize each interaction Listening AND Understanding Core customer needs –Sub-bullet copy entered here –CCN
Goals November goals: –Console $80 | Software $70 | Portable $50 December goals: –Console $75 | Software $70 | Portable $50 January goals: –Console $90 | Software $60 | Portable $40
Key Take Aways Best Gaming Experience –Merchandising and Farming, Interactivity and Demo’s Providing customers the complete solution –Everything you need to maximize your gaming experience Reward Zone Gamers Club Geek Squad Hardware and Inventory Support YOU!!