Best Buy 2001 Annual Report Download - page 11

Download and view the complete annual report

Please find page 11 of the 2001 Best Buy annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 56

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56

Best Buy Co., Inc.
10
O ur Best Buy stores continued to lead the industry in
sales of personal computers, consumer electronics, music
and movies in fiscal 2001. W e increased sales to a
record $15.2 billion, an increase of 21 percent, despite
challenging economic conditions. O ur average sales
per Best Buy store approached $39 million, more than
double that of our closest competitor. Sales of digital
electronics products grew faster than other categories.
In addition, consumers opted for more fully featured
products within the categories. Both trends helped boost
our gross profit margins.
O ne of the highlights of the past year was our entry
into the greater N ew York area, the most expansive
undertaking in our history. W e celebrated the opening
of our initial N ew York stores by hosting a concert
featuring world-renowned musician Sting in Central Park,
supported by a full marketing blitz. In total we opened
15 stores in the N ew York area and 47 stores in other
markets, on top of the 47 new stores we opened the
prior year.
W e expect to open another 60 stores in fiscal 2002.
Beginning in the fall, our new stores will use our newest
store format, which features a flexible merchandising
architecture, faster checkout, a labor model more
tailored to the various product categories and improved
merchandising.
O ur customers recognize Best Buy’s brand promise
of being fun, honest, young and techno-savvy, and our
core customer is the technology enthusiast. Technology
Best Buy Leads
Best Buy stores project sales of 20 million Internet-
connected devices in fiscal 2002.