Best Buy just recently shut down 8 Future Shop and seven of their Best Buy main stores in Canada. Many employees were not told of the closings beforehand, only to discover a note left on the store window when they arrived for work.
Best Buy has just shut down 15 stores across Canada as part of their restructuring and ‘transformational plan’.
The resent closings came as a shock to a few of the locals not current on Best Buy's problems, but in reality they should have seen it coming all along. Once the leader in regards to brick and mortar sales, Best Buy has been fighting a very tough up-hill battle with sites like Amazon.com and countless other on-line Internet stores.
In 2011 Best Buy reported a total loss of 1.23 billion dollars (U.S.). Richard Shulze, who was the founder of Best Buy, has been trying to buy back the company to take it private. However, this has not come easy and is a really tough sell with board members.
Best Buy based their decision on the closings after an extensive review of Best Buys’ retail footprint in the region. Company official said the closings were necessary to help reduce costs and to help with eliminating “redundant operating systems and to optimize its real estate strategy to reflect a changing retail landscape.”
The five Best Buy stores that were closed were located in South Surrey, Queensborough, Nanaimo, Victoria, Langford (Westshore Town Centre). The two Quebec store closing were the Lachenaie, and Sherbrooke (SmartCentres Sherbrooke) areas. The Future Shop closing were located in Manitoba (Regent), Alberta (Calgary), Columbia (West Kelowna), Quebec (Montreal and Laval), and Ontario (Ancaster, Barrie South and Erin Mills).
To add insult to injury, many Canadian on-line media outlets reported that employees working at the Sherbrooke Outlet in Quebec did not know beforehand about the closing. A few arrived to work on Thursday, January 31st only to find a note left on the window saying the store was permanently shut down. In all about 900 people will lose their jobs from the closings over all.
Currently, there are still about 120 Best Buy and Best Buy Mobile locations operating in Canada at present. They also have approximately 140 Future Shop stores scattered throughout the region as well.