Tesco has launched a technology brand and support service to take on the might of electricals specialists Comet and DSGi.
The world’s third-largest retailer has acquired computer support company, PC Guys, to introduce a raft of store-, phone- and home-based support services for customers. Tesco started piloting the service last week from its Bar Hill Tesco Extra store, near Cambridge.
It is also testing a new zone branded Tesco Digital in the same store, offering an enlarged computer, electricals and tele-communications area, with PC Guys on hand to help.
The venture will send shockwaves through DSGi, Comet and Carphone Warehouse, all of which have launched technical support services in the past 15 months. Tesco is offering 16 services, ranging from remote software support at£14.99 for 20 minutes to fitting a digital aerial at£169.
Although Tesco declined to comment on any plans to roll out the service, PC Guys’ web site provides a link for Tesco customers and says that the firm has ambitions to create a nationally branded company. It has also launched a recruitment drive.
Credit Suisse retail analyst Tony Shiret said that the specialist electricals retailers are likely to be “very, very worried”.
He added: “If it works, it could drive a stake through the heart of specialist electricals retailers in the UK.”
“A food retailer gets a zillion people going through its shops each week but, with a specialist electricals retailer, people have a reason for going there. The fact that people will be able to see that there is a service at Tesco means that, in theory, it will be successful.”
Last September, DSGi launched its Tech Guys service with a£50 million investment over five years, while Comet launched Comet on Call in the spring. Carphone launched its Geek Squad service this year.
Shiret said that Tesco’s push into the support market could hit specialists’ sales of warranties and add-on services in particular.
A Tesco spokeswoman said: “We want to help consumers keep up with the latest electronic trends and technologies, as well as provide support and maintenance to those who need a helping hand.
“PC Guys will help our customers at the Bar Hill store not only make better-informed purchasing decisions for electronic equipment, but deliver the very best levels of ongoing support – either at the store, over the phone or in their home.”
No comments yet