Best Buy’s Amazon price match is an all-in bet it can’t win


Best Buy recently announced that it will match Amazon on price this holiday season — a move that will likely further depress its margins at a time it can least afford it. 75 percent of the items offered by Best Buy are cheaper on Amazon, on average by 17 percent.Best Buy is trying to play a game it can’t win in a sport it doesn’t participate in — like a middling veteran basketball player suddenly switching to hockey.

Not many in the US retail market think this Christmas will being anything but bad news for Best Buy.

  • imthedude

    Come on, look at the success Michael Jordan had in baseball!

    And don’t worry, they’ll make it up in extended warranties and US Weekly subscriptions.

  • AMZN has proven it is willing to (and can) take a loss to gain share. This will absolutely destroy BBY should enough people take advantage of it. AMZN will sell at or below cost on popular items just to stick it to BBY.

    BBY might have provided the nails for the coffin with this move.

  • Tvaddic

    Best Buy can’t be Wal-Mart or Amazon on price, they need to beat them on experience.

  • John W Baxter

    Best Buy has another problem in my case: buy at BB and the local portion of the sales tax goes to the wrong county (that is, not the county where I live). Buy through Amazon and the tax goes to the right county.