Best Buy Express (retail chain)
 | |
| Best Buy Express | |
| Formerly | RadioShack Canada (1986–2004) The Source by Circuit City (2004–2009) The Source (2004-2024) |
| Company type | Subsidiary |
| Industry | Retail |
| Founded | June 1986 (as InterTAN Canada) |
| Products | Electronics |
| Parent |
|
The Source (Bell) Electronics Inc., doing business as Best Buy Express (formerly The Source), is a Canadian consumer electronics chain owned by BCE Inc. The stores presently operate as a franchise of consumer electronics chain Best Buy Canada, with locations primarily in smaller markets and at shopping malls as a companion to the chain's big-box stores.
The chain has its origins in the Canadian franchises of RadioShack; in 2004, parent company InterTAN was acquired by American retailer Circuit City, who rebranded the stores as The Source by Circuit City. In 2009, amid the liquidation of Circuit City's U.S. operations, Bell acquired The Source for US$135 million.
In January 2024, BCE announced that it would close approximately one-third of The Source's locations, and transition the remainder to a franchising partnership with its erstwhile competitor Best Buy through the end of 2024. 167 locations were renovated and rebranded under the new Best Buy Express banner; BCE continues to own, operate, and staff the locations, but they now receive product inventory through Best Buy, and offer services such as Geek Squad, and in-store pickup and returns for Best Buy online orders. They also continue to exclusively offer telecommunications services from BCE's subsidiaries including Bell Canada,
History
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The Source began as the Canadian branch of Radio Shack (later "RadioShack"). The first Radio Shack store in Canada was opened on April 20, 1970, in Rexdale, Ontario. The chain was originally owned by Radio Shack's American parent company Tandy Corporation, but was spun off in June 1986, along with the rest of Tandy's international operations, as InterTAN. A licensing agreement with what became RadioShack Corporation allowed InterTAN to continue to use the chain's name and logo. InterTAN abandoned its non-profitable West German stores in 1987, left Belgium and France in 1993, sold its British stores to Carphone Warehouse in 1999 and sold its Australian stores to Woolworth subsidiary Dick Smith Electronics in 2002, leaving just the Canadian Radio Shack, Battery Plus, and Rogers Plus stores.
As The Source
[edit]In May 2004, InterTAN was acquired by Circuit City. One week after the acquisition was completed, RadioShack Corporation filed a lawsuit in the 352nd Judicial District Court in Tarrant County, Texas, to end the licensing agreement. RadioShack Corporation claimed that InterTAN had breached the terms of their agreement. On March 24, 2005, the district court judge ruled in favour of RadioShack and cancelled the agreement. The ruling prohibited InterTAN from using the brand name on its stores or in any of its products, packaging, and advertising after June 30, 2005.
On April 26, 2005, Circuit City announced that the stores would be renamed The Source by Circuit City (La Source par Circuit City in Quebec). The rebranding process was completed in the majority of the chain's Canadian stores by July 1, 2005. The chain also introduced new house brands, including Nexxtech and Vital, in place of RadioShack store brands.
In February 2007, The Source announced it would close down 62 low volume stores across Canada. On March 30, 2007, Circuit City announced to its shareholders that it was seeking options including selling off the InterTAN/The Source subsidiary to cut losses. On November 10, 2008, InterTAN sought protection from its creditors, after Circuit City filed for Chapter 11 bankruptcy.
Circuit City announced on January 16, 2009, that its namesake U.S. stores would be liquidated. The Source was not affected by the announcement, and a process followed to sell the Canadian operations as a going concern.[1]
On March 2, 2009, Canadian telecommunications firm Bell Canada announced it would acquire The Source and continue to operate it as an independent division. The acquisition was completed July 1 for the final purchase price of $135 million US, following which the chain removed the "by Circuit City" from its name. Prior to January 2010, the stores sold mobile phone services from Bell's main competitor, Rogers Wireless; at that point, the chain began to exclusively market Bell-owned wireless (including Bell Mobility and Virgin Mobile), television, and internet services.[2] The Source continued to sell a full array of consumer electronics products.[3][4]
As Best Buy Express
[edit]On January 18, 2024, Bell announced that it would enter into a franchise agreement with Best Buy Canada to relaunch some of The Source's locations as Best Buy Express.[5] The stores will be integrated with Best Buy's retail operations, offering in-store pickup for online orders from the Best Buy website, and technical support services under the Geek Squad banner.[6] The stores will otherwise remain owned and operated by BCE under license, and continue to exclusively offer Bell-owned telecom services (unlike the Best Buy Mobile kiosks at big-box Best Buy locations, which offer services from multiple providers).[6] Best Buy stated that the agreement would roughly double its total number of retail stores in Canada, and extend its retail presence into new markets such as malls and smaller population centres.[6]
The first converted Best Buy Express location opened at the Guildford Town Centre in Surrey, British Columbia, on June 26, 2024; gradually through October 2024, 167 of The Source's nearly 300 locations were converted to Best Buy Express, and all other locations have closed permanently.[6][5][7] The Source also closed its Barrie offices.[5]
References
[edit]- ^ Marina Strauss, "Circuit City's The Source to remain open Archived 2009-01-18 at the Wayback Machine", globeandmail.com, January 16, 2009
- ^ "Rogers turns to courts in attempt to block Glentel sale to BCE". The Globe and Mail. 17 December 2014. Retrieved 18 December 2014.
- ^ Simon Avery, "Bell Canada snaps up The Source Archived 2009-03-05 at the Wayback Machine", globeandmail.com, March 2, 2009
- ^ "Bell to acquire national electronics retailer The Source", March 2, 2009
- ^ a b c Daley, Dean (2024-02-06). "Bell to close The Source headquarters, lay off employees following Best Buy Express rebrand". MobileSyrup. Retrieved 2024-02-09.
- ^ a b c d Toneguzzi, Mario (June 26, 2024). "Best Buy Express Opens 1st Store in Canada, Plans 167 Small-Format Locations". Retail Insider. Retrieved July 4, 2024.
- ^ "Bell, Best Buy team up to rebrand and revamp The Source stores". The Globe and Mail. 2024-01-18. Retrieved 2024-01-18.
External links
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