While some are struggling to stay afloat, DealsDirect is moving head strong into the consumer electronics market – Paul Greenberg tells us why.
Given DealsDirect’s latest acquisition of Extrastock, Paul Greenberg, Group Executive Chairman, shares his views on the state of the local consumer electronics market, in light of the spate of retail closures in this industry and Harvey Norman’s latest predictions for its e-commerce business.
The last month has not been a good one in terms of news from consumer electronics retailers. WOW Sight and Sound has gone into administration and looks likely to be closed, Dick Smith has put up the ‘for sale’ sign and Gerry Harvey has pared back his estimates around online sales and consumer electronics (CE) volumes. What does that mean for the DealsDirect Group, and to any entrepreneur with fire in the belly? – OPPORTUNITY!
Entrepreneurs tend to recognize that disruption and opportunity go hand-in-hand. And in my view there has never been a better time to get into CE, particularly online. When sizeable retailers like WOW, Dick Smith and others start putting up the white flag, that is the time to get onto the front foot and push the pedal to the metal.
I have deep admiration for the achievements of Ruslan Kogan of Kogan and The Leibovich Lads over at Catch Of The Day; they have seized the moment and recognized that customers have not evaporated! I have followed my own advice and the DealsDirect Group has acquired Extrastock, a well-established channel partner of some of the largest consumer electronics and appliance brands in Australia.
Our DealsDirect department store has tended over the last few years to focus more on home family and lifestyle products, but with the acquisition of Extrastock and the current chasms in the market, we are getting into computers and IT, CE and appliances in a big way.
We are excited and pleased to be an Australian online retailer, offering range and variety, convenience and value to Australian customers. The growth of our business, and a number of our competitors tells me one thing – customers are still out there in droves, but need to feel the love to spend their hard earned dollars. Those retailers that give them the love will prosper during these changing times.