3D Hype Subsiding Claims JB Hi Fi Boss As LG Calls For Better Instore Demonstrations

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Retailers will need to invest in technology in an effort to explain and sell a new generation of TV’s the new home entertainment marketing manager at LG has said. Meanwhile JB Hi CEO Terry Smart has said that vendors did a “poor” job of merchandising their 3D offering with retailers when they first launched their offering earlier this year.

Smart has also said that the “hype” surrounding 3D is starting to “subside” and vendors need to do something about it.
Kim Barnes a Canadian who recently took on his new job at LG Australia claims that TV’s are becoming extremely complicated for the average salesperson to sell with the introduction of new features like 3D, IPTV, THX Certification and new display technology.
“Consumers are confused and it’s now becoming a challenge for retailers to demonstrate the large amount of changes that are happening around the TV. Both 3D TV and IPTV features need to be demonstrated and in some stores the environment is not necessarily idea”.
Among the issues confronting TV vendors in stores is fluorescent lighting which according to several TV experts “flattens” the 3D image shown on a TV.
“We need to work with retailers to introduce technology and in store environments that are conducive to being able to demonstrate a TV’s capability properly. Retailers are doing a good job of merchandising consumer electronics goods” he said.
When asked whether retailers should move to a store within a store environment where vendors can set TV’s to be demonstrated in an ideal environment Barnes said “It’s an option”.
Barnes also conceded that LG stores similar to what LG, Samsung and Sony are doing overseas is an option for Australia.
In Singapore recently ChannelNews visited two corporate stores run by Samsung and Panasonic and in both stores an ideal viewing environment had been set up to demonstrate the Samsung range of TV’s. Buyers were then directed to a local retail store or were allowed to purchase online.
 
Barnes said “TV technology is becoming sophisticated and we need to separate plasma from LED and LCD to demonstrate the technologies properly. The consumers needs to feel comfortable with what they are being sold” he said.
According to Terry Smart CEO of mass retailer JB Hi Fi vendors have to be wary of the way retailers operate. “We have limited space and that is a reality that vendors have to accept. It will be an impossible task to try and reinvent the way we sell TV’s” Smart said.
When asked about corporate stores similar to what Samsung is operating in other Asia Pacific Countries Smart said “This is a possibility. Apple is doing it in Australia in a way and doing it well people go there to see a product and we often get a sale”.    
“What vendors need to do is work closer with retailers in the environment that they have to merchandise their offering. All the vendors did a poor job of creating a good in store retail experience for 3D and it is only now that they are starting to lift their game. The big 3D hype is starting to subside and the vendors need to do something about it”.  
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