The retailer’s digital marketplace debuted Tuesday (Aug. 19), more than doubling Best Buy’s available items and adding entirely new brands and products.
“Best Buy Marketplace, powered by Mirakl, marks the largest expansion ever of Best Buy’s product assortment, while seamlessly integrating the new products from sellers across all digital experiences,” the announcement said.
“Customers can now explore and shop from hundreds of new brands and added categories like seasonal décor, automotive tech, office and home, and movies and music. Best Buy will also soon introduce licensed sports merchandise to its product lineup.”
Best Buy first revealed plans for the marketplace in January. Mirakl is an enterprise marketplace technology company that has worked with traditional retailers like Macy’s and Nordstrom to expand their offerings by integrating third-party sellers.
“It’s all about delivering value to the consumer,” Alex Hase, general manager of the Americas at Mirakl, told PYMNTS earlier this year.
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He said that this model enhances the shopping experience while maintaining a curated selection that aligns with the retailer’s brand promise, and providing sellers with access to new channels and consumers.
“Mirakl sits in the middle of this ecosystem, enabling traditional eCommerce to evolve into a platform business model,” Hase said.
In an interview with CNBC, Best Buy Chief Customer, Product and Fulfillment Officer Jason Bonfig said the company had seen gaps in its product line up the marketplace can help close.
For example, Best Buy can now do things like offer furniture to complement a new large-screen TV. He added that the marketplace can help smaller vendors sell their products even if they aren’t established enough to sell those items in stores.
As that report notes, the marketplace comes as Best Buy could use a sales boost, with revenues declining over the last three years. The housing market is slow, consumers are cutting back, and a wave of tech purchases during COVID means fewer devices need replacing.
Then there are tariffs. The company in May projected yearly revenue of $41.1 billion to $41.9 billion, below past guidance of $41.4 billion to $42.2 billion. During an earnings call, management said Best Buy’s vendors could pass along higher costs to the chain, which would mean increasing prices.
