Out with the old, in with the new. That’s the story at least a couple of times a year for retailers, and now is one of those times for consumer electronics seller Best Buy Co. Inc. (NYSE: BBY). From now until August 13, discounts of up to 50% are available both in the stores and online as the company tries to get rid of old inventory with sales on clearance and open-box goods.
Keeping too much inventory is anathema to retailers. The stuff costs money to store and that means costs are higher, margins are lower, as are returns on capital invested in inventory. Turning over inventory is a big deal for retailers. Best Buy’s turnover rate in 2015 was right around 6, somewhat worse than the 8 turns at Amazon.com Inc. (NASDAQ: AMZN).
Hence the big clearance sale. Here are some clearance and open-box items Best Buy is currently promoting:
A Sony BRAVIA 48-inch LED 1080p Smart HD TV (model #KDL48W600B) is being cleared out at $399.99, a savings of $200 from the regular price. Shipping is free.
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A 4K Ultra HD Samsung 60-inch 2160p Smart TV (model #UN60JU6500FXZA) is selling for $1,199.99, a savings of $300 from the regular price. Shipping is also free on this TV.
An open-box Lenovo 17.3-inch laptop with 4 GB of memory and a 500 GB hard drive (model #80QH008MUS) is available for $314.99, a savings of $20 from the regular price. Two-day shipping is free.
An open-box Apple MacBook Pro with a 13.3-inch display, 8 GB of memory, and 128 GB of flash storage (model #MF839LL/A) is selling for $1,074.99, a savings of $225 from the regular price of $1,299.99. Two-day shipping is free.
As of Thursday morning, Best Buy also lists 251 “last chance clearance” items. These include things like portable chargers, video games (Call of Duty: Ghosts for PlayStation 3 for $7.99, a savings of 73%), and watchbands for Apple Watch at a savings of 60%.
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