eHam.net - Amateur Radio (Ham Radio) Community

Call Search
     

New to Ham Radio?
My Profile

Community
Articles
Forums
News
Reviews
Friends Remembered
Strays
Survey Question

Operating
Contesting
DX Cluster Spots
Propagation

Resources
Calendar
Classifieds
Ham Exams
Ham Links
List Archives
News Articles
Product Reviews
QSL Managers

Site Info
eHam Help (FAQ)
Support the site
The eHam Team
Advertising Info
Vision Statement
About eHam.net



[Articles Home]  [Add Article]  

RadioShack to Close up to 1,100 US Stores:

from Associated Press on March 4, 2014
View comments about this article!

Tuesday, March 4 2014 7:49 AM ET

Radio Shack plans to close up to 1,100 of its underperforming stores in the U.S. and reported a wider loss for its fourth quarter as traffic slowed during the critical holiday season.

The stock tumbled more than 24 percent in Tuesday premarket trading. (Click here for the latest quote.)

The store closings would leave RadioShack with more than 4,000 stores. For the period ended Dec. 31, the electronics retailer lost $191.4 million, or $1.90 per share. That compares with a loss of $63.3 million, or 63 cents per share, a year earlier. Excluding items, RadioShack lost $1.29 per share. Analysts expected a loss of 16 cents per share.

Revenue declined to $935.4 million from $1.17 billion. Sales at stores open at least a year fell 19 percent on weaker traffic and the soft performance of its mobility business. Analysts expected revenue of $1.12 billion.

Member Comments:
This article has expired. No more comments may be added.
 
RadioShack to Close up to 1,100 US Stores:  
by WA2ADS on March 4, 2014 Mail this to a friend!
This is what happens when you turn an electronics parts and radio store into a cell phone and toy store.
 
RadioShack to Close up to 1,100 US Stores:  
by WA1RNE on March 4, 2014 Mail this to a friend!
Although I do use them, it's usually for RF connectors, audio adapters or a cable that I need in a pinch.

Otherwise, with the way retail is going, I'm amazed they haven't been blown out completely by the likes of Best Buy, Verizon, Amazon, etc.

Even Best Buy is feeling the sting - many people use them to try products then take their business on line to make the purchase.

 
RE: RadioShack to Close up to 1,100 US Stores:  
by WD4HXG on March 4, 2014 Mail this to a friend!
I remember seeing an early 1960's sales flyer for Radio Shack. They had about three stores in New England if memory serves me correct and sold things like overruns of turntables, and other odd electronic excesses. It is going to be interesting to see the current organism try to morph once again.
 
RadioShack to Close up to 1,100 US Stores:  
by K1CJS on March 4, 2014 Mail this to a friend!
I was kinda shocked when I saw the figure of 1,100 closings, but this has been in their future for a long, long time. We knew that they were changing their ideals, in their view for the better--although their consumers knew better--when they killed off their Realistic line and stopped (for the most part) selling equipment, including ham radios.

The CEO says that a turn-around could take several quarters, but the way the Shack is going there won't be a turn-around, just a going out of business sale.
 
RE: RadioShack to Close up to 1,100 US Stores:  
by KE0XQ on March 4, 2014 Mail this to a friend!
All they sell there is junk besides sell phones and toys. Their components are somewhat to be desired.
 
RE: RadioShack to Close up to 1,100 US Stores:  
by STRAIGHTKEY on March 4, 2014 Mail this to a friend!
I laughed when I read the "several quarters" comment. RS has been terminally ill for a long time. If the CEO thinks they just need several quarters, he's out of touch with the market and the condition of RS, and is probably part of the problem. That kind of comment comes from someone who reads spreadsheets all day and never sets foot in a store to talk with customers... or he's just keeping the ship afloat until he gets a golden parachute.
 
RadioShack to Close up to 1,100 US Stores:  
by NA5XX on March 4, 2014 Mail this to a friend!
Not really a surprise. No radios and uneducated employees at most locations. Radio Shack. You got questions we got batteries and toys.
 
RadioShack to Close up to 1,100 US Stores:  
by AD0AR on March 4, 2014 Mail this to a friend!
I hate to admit it, but I used to work at the shack 12+years ago. I actually enjoyed it for a while, but then it started happening. Ignorant people who thought they knew more than everyone working there.
There was an individual who was returning a flashlight purchase because he didn't think it needed batteries and was upset when he found out it did need batteries to operate. Then there was the case of the cordless phone battery. This guy came in twice a week for two weeks to buy a new cordless phone battery because his kept going dead. After the fourth time helping him, I had to ask if he was charging them. He replied "What a great idea! How do you do that?"
The straw that broke the camel's back was the individual that wanted a telephone answering machine that didn't use electricity and heard from someone that we sold a water powered telephone answering machine. I had enough and quit before I could top that story. Now I work private industry and could not be happier!
Back in the 80's and early 90's with the Micronta and Realistic branded electronics, Radioshack really had their niche. Too bad they wanted to be like everybody else in the retail marketplace and eliminated what made them unique. At least they adopted Arduino, and kept some of the parts drawers. Great for prototyping or a part when in a pinch!
 
RadioShack to Close up to 1,100 US Stores:  
by WB0HZL on March 4, 2014 Mail this to a friend!
It is sad when you go into a Radio Shack and know more about the products than the sales staff. It is also a shame that they did away with their nitch market items.

Have you see the prices the HTX-10 and HTX-100 10 Meter transceivers sell for eBay? The 2 Meter transceivers sell very well too.

Oh well life goes on! RS will soon go the way of Bernstein-Appleby, Allied, Lafayette and the other great radio stores of the past.
 
RE: RadioShack to Close up to 1,100 US Stores:  
by W2EM on March 4, 2014 Mail this to a friend!
My favorite was the old Lafayette Radio stores. Radio Shack morphed into a cell phone store because that was where the money was to be had. How long would they have lasted if all they sold was Ham Radio gear? You have a few stores around the country taking care of most the ham community now. HRO, AES, Universal, DX Engineering, etc. make up the bulk.

I'm happy to find some limited components in the RS stores when I need them. Some of the clerks are radio knowledgeable but unfortunately they are few and far between. I don't want to see RS disappear even with their overpriced parts.
 
RE: RadioShack to Close up to 1,100 US Stores:  
by K2GWK on March 5, 2014 Mail this to a friend!
I doubt they would have been around this long had they settled on just selling electronic components. So many of the electronic component stores have gone away that I don't think there are any located on Long Island anymore with the exception of the limited stock that Radio Shack has and LNL in Syosset. Even LNL is a shadow of what it once was. Lafayette, Harrison Radio, Electronic City, T&M Electronics have all gone under. If Radio Shack was to survive they had to do something other than electronic components. I am afraid that had they just stuck with Electronic components they would have gone away a long time ago.
 
RE: RadioShack to Close up to 1,100 US Stores:  
by K7CB on March 5, 2014 Mail this to a friend!
"You've got questions, we've got dazed and confused looks."
 
RadioShack to Close up to 1,100 US Stores:  
by AA4Q on March 5, 2014 Mail this to a friend!
With all the "maker" movement and DYI and robotics and Arduino and dozens more similar electronic companies, , RS might be able to reinvent themselves back to where they started parts and educational things, but I doubt it, with ebay & amazon as competition, maybe they can't make a profit with that...

 
RadioShack to Close up to 1,100 US Stores:  
by W5TTW on March 5, 2014 Mail this to a friend!
Some of you actually believe that RS wouldn't be in trouble if they had stuck with 4,000 stores full of knowledgeable clerks selling radio gear and electronics parts? Snap out of it.
 
RE: RadioShack to Close up to 1,100 US Stores:  
by K1CJS on March 6, 2014 Mail this to a friend!
No, Radio Shack couldn't have stayed exactly as it was and not be in some kind of trouble. There are many small store 'specialty' retail chains that have gone through what they've been going through--and a lot of them have closed their doors.

What Radio Shack did wrong is that they tried to diversify their offerings too much, then they narrowed their focus to what they believed was the 'core' offerings in those things. For example, (probably not a good one) they stopped offering parts with one or two of the same kind/value parts in one package. Instead they offered many varied parts in a package--including parts that were not in demand--and raised the prices for those part packages. Then they stopped carrying them at all when people wouldn't buy them.

They eliminated the Realistic brand and tried a half hearted attempt to replace it with name brands, and stopped offering the name brands when they wouldn't sell for the price they were asking--which was always higher than the price at the nearest big box store.

There are many more examples, a long, LONG list that could only have been made by executives that only looked at the bottom line without considering what the customers went to Radio Shack for. Without looking at--or even setting foot into--the stores to see what did and did not sell. Without even any consideration of what made Radio Shack the successful operation that its founder built!

They've made several dozen changes, and almost every one of them was a bad change. Is there any wonder that they're in the mess that they are in now?
 
RE: RadioShack to Close up to 1,100 US Stores:  
by K1CJS on March 6, 2014 Mail this to a friend!
Oh yeah, one other thing that used to bring people into the stores was their free battery cards. One free battery a month, and usually people bought more batteries since there is hardly anything that uses just one battery a month.

That 'draw' usually resulted in another purchase of either more batteries or something else that was seen by the consumer when they went into the store to get that battery.

Another example of penny wise and pound foolish by college educated "bottom liners" who can't see giving ANYTHING away for free.
 
RadioShack to Close up to 1,100 US Stores:  
by W7WQ on March 7, 2014 Mail this to a friend!
Close them all. They won't be missed
 
Email Subscription
You are not subscribed to discussions on this article.

Subscribe!
My Subscriptions
Subscriptions Help

Other News Articles
DX News -- ARRL DX Bulletin #31:
London Hams Bridge Communication Gap:
Conversations With the World:
Malaysia's Over 11,000 Radio Ham Operators Can Offer Help In Emergencies:
WIA: Temporary Reassignment of Commercial Services into 70cm: