Becoming a Full-Service Retailer
Those types of offerings become important differentiators as more big-box stores like Wal-Mart and Target begin developing installation services, forcing consumer electronics retailers to constantly evolve their services. “So Best Buy and Circuit City will be doing more custom work, more home automation,” said CEO Leon Temiz. “Everyone will be reaching for the higher end, changing the business models again.”
The new relationship is also important to Control4. After introducing its products through the high-end custom install channel—a strategy that helped Control4 hone its products and programs by working with small dealers—it broadened its channel to larger specialty dealers like Abt, MyerEmco, Bjorn’s Audio-Video and 6th Avenue Electronics, which reach a more economically diverse clientele.
“Our vision is to create a broad platform for home automation, and you can’t do that strictly by doing business with just the custom installation channel; it doesn’t have the visibility,” said Jim Arnold, Control4’s senior vice president of sales, adding that the company’s relationship with the PRO Group has helped it reach key retailers. “With retailers, we can work to create a broad market that we think can exist out there.”