CompUSA

CompUSA was an American retailer and reseller of personal computers, consumer electronics, technology products and computer services. Starting with one brick-and-mortar store in 1986 under the name Soft Warehouse, by the 1990s CompUSA had grown into a nationwide big box chain. At its peak, it operated at least 229 locations.[1] Crushed by competition from other brick-and-mortar retailers, corporate oversight which was out of touch with evolving market realities, and a failure to make a strong transition to online sales, CompUSA began closing what they classified as "low performing" locations in 2006. By 2008 only 16 locations were left to be sold to Systemax. In 2012, remaining CompUSA and Circuit City stores were converted to TigerDirect stores, and later closed. As of 2023, the CompUSA online website redirects to an error page.[2]

History

Founded in 1984 as Soft Warehouse in Addison, Texas, a northern suburb of Dallas, Texas, by Errol Jacobson and Mike Henochowicz,[3]

Timeline

1986 – Under the original name Soft Warehouse, the first of their super stores opens on Marsh Lane and Belt Line Road in Addison, Texas

1988 – Opened their second store in Atlanta, Georgia

1990 – Long running radio ad campaign featuring character "P.C. Modem" (played by actor Jack Riley) begins.

1993 – Began offering technical services at customer locations.

1996 – Launched retail sales on CompUSA.com.

1997 – Partners with Apple Computer in a "store within a store" concept for selling Macintosh computers. By January 19, 1998, 57 stores had been built with the remainder to be built by February 1998.

1998 – Acquired Tandy's Computer City subsidiary with the help of former CEO Nathan P. Morton.

1998 – In May, the company invested in facilities, technology, and expertise to form CompUSA Call Center Services, a division that provided contact center services to OEMs, corporate help desks, software publishers, and cellular service providers.

2000 – Became privately held company under Grupo Sanborns, a Mexican retail company as they purchased 85 percent of the company.[12]

2001 – In July, CompUSA Call Center Services became The Telvista Company.[13]

2003 – Acquired Good Guys.[14]

2005 – Converted three CompUSA stores and 13 Good Guys stores into megastores. Closed all 46 Good Guys locations. Began marketing in California and Hawaii as "CompUSA with Good Guys Inside" in response to Best Buy's marketing campaign "with Magnolia Inside".

2005 – CompUSA started a customer loyalty program called The CompUSA Network. For every dollar spent at any CompUSA store, the customer received 13 points.

2006 – Sales of the CompUSA Network membership cards were suspended pending further investigation onto the operation's effect on customer retention and "program awareness among low-visit customers."

2006 – CompUSA announced the end of the Network Reward program. All customers were issued coupons for the remaining reward value. They were also offered a refund of the original purchase price in the original form of payment, surrendering remaining points.

2006 – Announced the closing of 15 stores across the United States including several locations in California. These stores were being used to liquidate discontinued items from other stores across the nation until the end of October. Roman Ross, a former Philip Morris executive, replaced Tony Weiss as president and CEO after only four months in office. In November, CompUSA launched their new "Home Entertainment" rollout in 40 of its stores, including Puerto Rico, that sold a variety of high definition televisions and home theater equipment. Ross claimed that home entertainment was one of his chief focuses as the new CEO.[15] In September, it was reported that CompUSA's Mexican parent, Grupo Carso, was interested in putting CompUSA up for sale.[16]

2007 – The company announced the closing and liquidation of 126 stores due to the "need to close and sell stores with low performance or non strategic, old store layouts and locations faced with market saturation," according to CEO Roman Ross.[17] The realignment included a $440 million cash infusion, store closures, major expense reductions, and a corporate restructuring.

2007 – On May 14, CompUSA finalizes the first round of store closures as liquidation sales end.

2007 – On December 7, CompUSA was acquired by Specialty Equity, an affiliate of Gordon Brothers Group, as discussions led to the agreement on store sales and closeouts for the remaining 103 stores.[18]

2008 – On January 6, Systemax Inc. announced an agreement on the acquisition of the CompUSA brand, trademarks, e-commerce business, and as many as 16 CompUSA retail outlets in Florida, Texas, and Puerto Rico.[19]

2008 – On March 2, CompUSA finalizes the round of store closures that started on Dec 7. AT&T Consumer Home Services agrees in principle to purchase the TechPro group for an unstated amount.

2008 – On March 21, CompUSA announces that 12 CompUSA stores are open to the public.[20]

2008 – On October 1, CompUSA announces a new strategy called 'Retail 2.0' which integrates Internet shopping convenience throughout retail stores. Concept store debuts to public at Dadeland Miami, Florida location.[21]

type	Public
fate	Absorbed into TigerDirect (original)
defunct	2008 (original), 2012 (Tiger Direct relaunch), 2023 (2018 relaunch)
industry	Retail
products	Electronics
parent	Specialty Equity (2007–2008) Systemax (2008–2013) Source Brands Group, LLC.
foundation	1984 (as Soft Warehouse) Addison, Texas, U.S. 2018 (as CompUSA.com)
location	Miami, Florida
website	https://www.compusa.com/

History

Timeline

Closings and sale to Systemax

See also

Further reading

External links

References