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Circuit City's Bones Offer Slim Pickings

I took a little time Friday afternoon for a field trip to Circuit City's store in Baileys Crossroads--not with a particular item on my shopping list, but to see if the expiring Richmond firm's store-closing sales offered any bargains.

circuit_city_liquidation.jpg

To judge from my survey, that answer would be no. The company doesn't seem too desperate to unload its remaining merchandise--in some cases, it's now asking more than it did a few weeks ago. Consider these items:

* A 42-in. LCD, LG's 42LG30, was listed on sale at $899.99, the same price as Best Buy and $100 more than Amazon's pricing.

* Another LCD, Samsung's 40-in. LN40A630, was even worse, carrying a $1,499 price--$400 more than Circuit City had asked for it the week of Christmas. (It feels horribly wrong for the price of any electronic item to go up at all, much less increase by more than a third.)

* A smaller set with a built-in DVD player, Toshiba's 22-in. 22LV505, was selling for $404.99, which at least wasn't too far out of line compared to other retailers' prices.

* One of the few DVD recorders in stock, Panasonic's DMREZ28K DVD recorder, carried an equally unremarkable price of $229.99, either a few dollars cheaper or a few dozen dollars more expensive than at other stores.

* Logitech's Squeezebox Duet, a wireless digital-music receiver (you plug it into your stereo to play music files and Web radio streamed over from your computer), represented a genuine bargain at $269.99--$30 to $100 cheaper than at many competing retailers.

* A Hewlett-Packard WiFi-enabled printer/scanner, the PhotoSmart C4599 WiFi printer/scanner, went for $134.99, a minimal discount from HP's $149.99 list price.

* A basic point-and-shoot digital camera, Canon's A1000is, was saddled with yet another uncompetitive price, at $161.99. (And yet a decent number of the cameras on display had already sold out.)

Now factor in the strict purchase conditions [PDF] imposed by Circuit City's liquidators--the four most important words there being "all sales are final"--and these deals look even worse. It's a sad chapter to add to an already sad story.

(This is somewhat personal for me: I happen to own a $24 Circuit City gift card, awarded in December when the store had a little trouble locating an online order I'd placed earlier that day. I'm starting to think that this thing might as well be denominated in Zimbabwean dollars.)

At some point, I'd like to think that these prices will have to see a further drop, but that hasn't happened yet. Inconveniently enough, the only way to check is to stop by a store yourself--Circuit City's Web site has itself been largely shut down. So if you are going to try your luck at a nearby CC location, bring a phone with bookmarks to a couple of price-comparison sites. For example, try the mobile versions of PriceGrabber, Google's product search and Amazon, at atpgw.com, google.com/products/wml and m.amazon.com (note that these links may not work in some desktop browsers).

And if you do spot any legitimate bargains at Circuit City, please share your findings here--post your reports in the comments.

By Rob Pegoraro  |  January 26, 2009; 12:37 PM ET
Categories:  Shopping , Tips  
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Comments

The lousy deals available at 'liquidation' sales have been discussed in detail recently at several websites, notably Consumerist. In most cases prices actually go UP as the liquidator attempts to maximize their profits while consumers see the word 'liquidation' and lose all semblance of common sense. I would use the gift card ASAP since you are effectively an unsecured creditor and at some point they will stop accepting them as a form of payment.

More information can be found here:

http://consumerist.com/5137962/behold-another-investigation-concludes-that-circuit-citys-liquidation-sale-is-awful

Posted by: skipper7 | January 26, 2009 1:27 PM | Report abuse

The hideously beautiful thing was watching all the people crowd the store and checkout lines the first weekend of the liquidation. The unfortunate thing was that you could tell many of the people making these purchases really needed as much discount as possible. The collective buying frenzy was pushed along by the random consumers who would happily but into a conversation with a clerk and help explain the discounts being given and that 10% was a good deal. 10% off full retail?! Sad sad sad. I walked away shaking my head, but smiling because I knew better.

Posted by: JorgeGortex | January 26, 2009 2:23 PM | Report abuse

I when to the CC store in Virginia Beach's Pembroke area Sunday night. I noticed the same thing. The prices were equal or higher than the Best Buy store, which was directly across the street. I also went to take a look instead of with a particular product in mind. However, I do need a small LCD for my bedroom and a hard drive to back up the work computer. I wasn't impressed with the selection, layout or pricing. Everything still seems to be right where it was during the last few months. The signs say 20 percent off, but for a WD portable 320 drive, the list price was $129. Exactly the same as Best Buy!

For S&G, we asked when the "savings" would hit 30 percent. The guy at the door, could have been the liquidator's "boi", said it may not go that high if things kept selling. The CD's were selling, I bought two, and a bunch of people were in the aisles. However, I didn't see anyone walk out with a big ticket item.

So, it’s not surprising to see Circuit City go -- out on the same note.

Posted by: ummhuh1 | January 26, 2009 3:36 PM | Report abuse

By the time the discounts get to 30% anything that you might really want will be gone. My guess is that there will be heavily used floor models, open box items with a part or two missing, and odd items like F-F gender changers and PS/2 (not PlayStation, IBM PS/2) mice. They should also be selling all the display shelving around that time.

Posted by: skipper7 | January 26, 2009 3:57 PM | Report abuse

I just can't understand the ignorance of the "consumers" who think that these "sales" at Circuit City are anything but a total ripoff. I walked into a store the other day just to see what they had, and just couldn't believe how many people were buy stuff. There wasn't a SINGLE item I looked at that you couldn't walk to the closest Best Buy or Target and buy at a cheaper price. People were buying DVDs that were priced higher than Columbia House ($19.99 for BAD movies that came out years ago and can't make it out of Wal Mart's $5 bargain bin). I was trying to take stock of specific items that they had that I would be interested in at the right price, but soon realized that nothing would be available when prices actually reach real SALE prices in mid-March, if anything makes it that far.

HOW STUPID CAN PEOPLE REALLY BE??? This is a sociologist's doctoral thesis waiting to be written.

Posted by: Russtinator | January 26, 2009 6:58 PM | Report abuse

Even with the liquidation "discounts" their prices are still way higher than if you buy the same thing online. Often i'll go into the store, check out a product, and then buy it from Amazon and save 25-50% .. I've been using this site to find some good deals online:

http://www.zingsale.com

It's a free service that tracks prices of products from online stores (like amazon) and sends you an email when the price drops.

Posted by: chris250480 | January 26, 2009 7:24 PM | Report abuse

Sadly, there are NO BARGAINS as the LIQUIDATORS are trying to squeeze every penny out of this. Just to show you how greedy they are, they have the same item priced with as much as a $30 to $100 difference in two different stores.
BOTTOM LINE: WHEN BUYING ELECTRONICS YOU ARE BETTER OFF DEALING WITH A STORE THAT IS REPUTABLE IN THE EVENT SOMETHING IS WRONG WITH THE PRODUCT YOU BOUGHT. Why give up peace of mind for a $20 saving and in most cases it's a $20 OVERPAYMENT!!!!!

Posted by: bushman4 | January 27, 2009 3:20 AM | Report abuse

OK, so avoid most liquidation sales as 'scams,' almost like a "Going out FOR Business' sale -ugh !!!

Many probably read that as "Going Out Of Business.' so if you did, read it again. LOL

Posted by: brucerealtor@gmail.com | January 27, 2009 3:31 AM | Report abuse

First off, this scenario has been repeated over and over at ALL the recent liquidation sales. It's not something exclusive to Circuit City. It will likely be repeated again when the next retailer goes bust.

The lame pricing is the "fault" of the liquidators, not the retailer. All the merchandise being sold belongs to the liquidation company, not the retailer, and the liquidation company prices items as it sees fit.

Speaking of which, it all boils down to supply and demand. If uninformed people want to overpay at a liquidation sale, it's nobody's fault but their own. As with any seller, the liquidator is trying to make the maximum possible profit in order to cover expenses, etc. If I was one of Circuit City's creditors, I'd demand nothing less.

Posted by: jfw9 | January 27, 2009 5:35 AM | Report abuse

All these so called liquidation claims are bogus. The word is used to con penny pitchers. Why would anyone dumb enough to buy an expensive item from a business knowing that it won't be there should one needs to return or exchange the item?

Posted by: sayNo2MS | January 27, 2009 5:55 AM | Report abuse

Same old story, let their products rot on the shelves, another rip-off. Same thing happened at Linen n Things last summer. 25% off and they still sold a potato peeler for 8 bucks. Went to Kohl's and with all discounts got the same exact thing for under a fiver.

Posted by: nonneocon | January 27, 2009 6:25 AM | Report abuse

I agree 100%. Went to my local Circuit City store in Bethlehem, PA last weekend, and found nothing of a) interest or b) affordibility for a "closing sale". Ten to twenty percent off things already marked up by 30% is no sale at all.

Example: Looked at a shelf stereo system unit at CC, priced at $120. Saw same system at Sam's Club for $80. Checked out the dvd selections, also offering no deals. $24.99 for "300", which can be picked up at Wal Mart for $19.99 or less.

No wonder Circuit City and other big box retailers are going under. It's not just the lousy economy. It's also terrible business practices.

Posted by: jmninpa | January 27, 2009 8:24 AM | Report abuse

I noticed the same thing in the Baileys store before Christmas, sparse merchandise even on the sale items.
Maybe we can get cheaper batteries and movies since they loved cheap movie deals at Xmas.

Posted by: tplum2 | January 27, 2009 8:25 AM | Report abuse

I have no sympathy for this company I worked for them many years as a district
mgr and the way they have treated their employees it is no wonder they failed
this company become a hollow shell of the once great business that Alan and Richey
started many years ago,goodbye and you got
what you deserve.

Posted by: wellsworth2 | January 27, 2009 8:52 AM | Report abuse

NOT ALL Going Out of Business Sales are there to rip you off.

When Hechingers went TU (a tech term for out of business forwever), we bought a 500 gallon lot of paint for a buck a gallon. We also bought what was called 300 square feet of random width 3/4" cherry and brazilian cherry at 25 cents a foot. The lot actually installed closer to 1,000 square feet. So the real price was closer to 10 cents a square foot.

Now, regarding Circuit City, I'm waiting to see if they will let loose a lot of 10 or so 52 inch LCD TVs. I'd be willing to dish out $3,000 or so for the lot.

Posted by: MarriedMann | January 27, 2009 8:53 AM | Report abuse

The liquidation "sale" is only going to get worse. In a few weeks they will run out of actual C.C. merchanize and will bring in lots of no-name flea market junk and try to sell it.

Posted by: buffysummers | January 27, 2009 9:14 AM | Report abuse

Over the weekend, kotatu.com had a post about comparing the Circuit City prices for a few game (which almost never go on sale) with the prices of Best Buy, Gamestop and some online shop. The only game CC won out on was some crappy game that still didn't deserve the price it was at.

Posted by: tidalwv | January 27, 2009 9:14 AM | Report abuse

@buffysummers
Really? Do they do that? I was at Linens n things' liquidation and all the merchandise seemed to be their own. I did fine there by the way, got some pans and a chafing dish for $10 each, and considered getting a margaritaville for $100 (when it was 60% off) but didn't want to go for the big ticket item wihtout the store to fall back on for a return.

Posted by: mb129 | January 27, 2009 9:35 AM | Report abuse

I have two CC liquidation experiences.

1) The Tysons Corner CC had a liquidation sale just before Christmas and most of the merchandise was actually 40% off but the pickings were very slim - I did find good buy on a video game controller.

2) Went to the Springfield, VA CC more recently to see if there were similar discounts but everything was only 10% off and therefore not cheaper elsewhere. I'll check back in a month.

Posted by: wwc4g | January 27, 2009 9:36 AM | Report abuse

I had been scoping out a Sharp 19" LCD/DVD combo TV at Christmas time at CC, but their $385 price was higher then Amazon's. I went back yesterday, and the price was raised to $449 and discounted to $384. Amazon, has the TV for $449 retail, on sale for $349.

Posted by: 2ndman | January 27, 2009 9:55 AM | Report abuse

Tell them it's on sale and they'll pay full price. Such a deal.

Posted by: whocares666 | January 27, 2009 10:39 AM | Report abuse

I sure there were others like myself drooling at the thought of getting some deals. Not happening. I stopped in looking for some MS Office deals or the chance at a large lcd monitor. The Tysons store had a dozen copies at best of the student teacher edition for a meager 10% off. Staples had a Small Business Edition upgrade for $169 ($110 off list!)Not much else at circuit city worth the time unless you want to risk an open box purchase from a bankrupt retailer for a meager discount. Not worth the trip. Most anything of value I think was sold off to other retailers.

Posted by: denman | January 27, 2009 10:40 AM | Report abuse

I am sure there were others like myself drooling at the thought of getting some deals. Not happening. I stopped in looking for some MS Office deals or the chance at a large lcd monitor. The Tysons store had a dozen copies at best of the student teacher edition for a meager 10% off. Staples had a Small Business Edition upgrade for $169 ($110 off list!)Not much else at circuit city worth the time unless you want to risk an open box purchase from a bankrupt retailer for a meager discount. Not worth the trip. Most anything of value I think was sold off to other retailers.

Posted by: denman | January 27, 2009 10:41 AM | Report abuse

Since the liquidators are getting a bad rap, I'll stand up for them a bit. Sure, Circuit City's prices are this way right now because that is what people are willing to pay. Just like every other person in this economy, they are trying to maximize their profits...there's nothing wrong with that. As time goes on, Circuit City's inventory will shrink, and in order to move the remaining merchandise the prices will be dropped. Of course, by then the liquidators are trying to move the stuff that people don't want, so they have to drop the prices...it's simply supply and demand...so stop complaining about it.

Posted by: wolfcastle | January 27, 2009 10:55 AM | Report abuse

Yes, in the L&T liquidation stores there was a small sign posted that said they could also offer "equivalent merchandise" along with the usual L&T inventory. This was not too far from a massive amount of rugs, and I could see that these rugs were basically junk dragged in from one of those by the side of the road merchants.

Selling for $1,000-$2,000 on "sale" of course.

Look for that sign in the next few weeks at CC along with a ton of complete junk. Maybe snuggys.

Posted by: cz_man | January 27, 2009 11:22 AM | Report abuse

As LNT got closer to its final days there was an influx of random merchandise...things like area rugs and the previously mentioned flea market knock-off items...alongside sets of dishware missing multiple pieces, curtain rods with no hardware, sheet sets with obvious defects (e.g., burns and rips) and things like curtain/drapery panels with no match.

When prices were 40% off we did buy several sets of Corning serving and baking dishes as wedding gifts along with some bar seating.

While Hechinger might have had some good deals, that was a different time when the level of sophistication for liquidators was much lower. This has grown into an industry with well-honed best practices designed to maximize revenue so that creditors can be paid. Anyone expecting lots of big screen TVs or anything of value to be sold off near the end is kidding themselves. That stuff now ends up at places like Via Trading, Overstock.com and Bidz.com.

Posted by: skipper7 | January 27, 2009 11:53 AM | Report abuse

I said goodbye to Circuit City years ago... in fact, the last major purchase I made at one of their stores was for a washer and dryer during their appliance liquidation sale. I never understood why they left that market to compete on CDs and software and, though I appreciate the cost issues, why they slowly replaced electronics specialists with minimum wage high school dropouts. When they flushed their experienced staff, I washed my hands of them.

But, more importantly, I remember the Hechinger's liquidation. I still have air filters for my lawnmower, picked up at 75% off, and my $10 computer desk (a maple-look dining table).

What was really sad was losing Hechinger's. Every time I hear that Home Depot is in trouble, I just assume it's Harry and Henrietta Homeowner urinating down on them from retail heaven. ;)

However, if you're feeling nostalgic, someone has reopened a site under the old name, logo and such at http://www.hechinger.com/ It's almost like the old days when there were still Woody's and Hechts dotting the Washington landscape, rather than the soulless giants that replaced them. So, in spite of it all, maybe things are better online.

Posted by: endhaiku | January 27, 2009 12:16 PM | Report abuse

Circuit City is not in a hurry to sell or liquidate? Fine; I am not in a hurry to buy. Problem solved!

Posted by: meldupree | January 27, 2009 12:41 PM | Report abuse

Went to the CC in Reno - and there were no bargains ! These idiots have some A\V Receivers listed at MSRP's and are giving- big deal - 10% off. You can buy on the web for 40-50% off, with no sales tax and free shipping, so no one in their right mind should be buying anything at CC ! Good riddance to a company that should have closed years ago- for they simply didn't have the brains to hire competent people on commission- who could inform the buyer as to what they were buying - like pro's - and sell. Instead they fired their best people- who worked on commission- and hired people - who knew nothing- for peanuts. In sum, they got what they paid for - in spades.

Posted by: JRLF | January 27, 2009 1:01 PM | Report abuse

I never liked Circuit City even when it was open! I've totally converted to online shopping for big-ticket items. And my favorite site recently has definitely been Sortprice.com

www.sortprice.com

Posted by: DFelipe | January 27, 2009 1:06 PM | Report abuse

Well, the story repeats itself, i have been to so many "Out of Business" liquidation sales, and one seldom finds a true bargain

Posted by: craig123 | January 27, 2009 1:45 PM | Report abuse

CC sucked in life; it sucks in death. Why is anybody surprised? Remember the COMPUSA liquidations? The prices were dreadful.

Posted by: mdean3 | January 27, 2009 1:51 PM | Report abuse

Bob,
I am not sure if they will accept Gift Cards anymore. If they accept, buy something that you may not need to return like batteries,cable etc.

Posted by: Troglodyte | January 27, 2009 1:58 PM | Report abuse

I was at the CC in Sterling VA 2 weeks ago and the lines were snaking all the way though to the back of the store. I checked some prices on some computer speakers that I was interested in and they were higher than both Best Buy (which I had just visited) and Amazon (where I ultimately ended up making my purchase). I could not believe people were standing in a huge line to pay full price for stuff they could not return if it was broken or otherwise unsatisfactory.

CC deserves to die. I always hated their system of having to go to the counter and wait for someone to pull the item out from the back room and put it on that stupid conveyor belt thing.

Posted by: georgejones5 | January 27, 2009 2:22 PM | Report abuse

Poor management led to their demise. Now that they need to unload what merchandise they have remaining so they can pay off their creditors they once again make poor decisions. It's no wonder this pathetic store went belly up.

Posted by: askgees | January 27, 2009 2:35 PM | Report abuse

The Wheaton store was PACKED, but nobody was buying.

Posted by: crzytwnman | January 27, 2009 2:49 PM | Report abuse

Ditto. Last month I looked at a CC store in Fremont CA that was closing down (ahead of the nation-wide shutdown) and all the computer equipment that was marked down for clearance was significantly more expensive than the same items at Fry's down the street. No wonder CC is going out of business!

Posted by: boboran | January 27, 2009 2:52 PM | Report abuse

I live near a Circuit City in Union Square, Manhattan. The day the liquidation started, the place was a madhouse -- checkout lines several hours long snaking through the whole store. But the few items I was interested in had actually increased in price from the day before.

In the past, I would stop into Circuit City just to comparison shop on my way to Best Buy. Almost always, CC lost on the comparison. They won't be much missed.

Posted by: just_semantics | January 27, 2009 3:04 PM | Report abuse

Nothing says, "This is the store I would have bought you a gift in, if I had cared enough about you to actually buy a gift," like a gift card. "I would have just given you cash, which can be spent anywhere, but that's just too impersonal. Instead, I'm going to show you how much you mean to me by forcing you to spend it here."

Now if anyone still had any doubts as to whether or not gift cards are a dumb gift, you have the very real prospect of gift cards that can never be redeemed. "Here's a piece of useless plastic with the name of a defunct chain on it. It cost me $24. Merry Christmas!"

(Although, I guess in your case, Rob, the store was the one who gave it to you: "Well, we didn't have what you wanted in stock, so here's some money to spend in our store on other things you don't want... Why don't we just give you your money back? Same thing! This is just like regular cash, only we get to keep it.")

Posted by: ComfortablyDumb | January 27, 2009 3:11 PM | Report abuse

the time for the deals are AFTER they announce they are filing and BEFORE the liquidators come in....

I was able to pick up a Samsung 46" 860 for just over $1500 + tax + 3 year warranty...$2k total

Posted by: indep2 | January 27, 2009 3:25 PM | Report abuse

Couple of comments that have not already been made. First, there are these liquidations, and then there are real business auctions: www.rasmus.com. The auctions can be better deals, but need to watch the seller premium costs, and understand that in some cases the business skims off the best stuff to sell separately in advance, leaving the dregs to actually be sold at auction. You often get a better deal on the refrigerator, than you do the new flat panel TV. Good luck.

Posted by: blackbear336 | January 27, 2009 4:39 PM | Report abuse

I'm going to concur with others' assessments: the prices at the liquidation sale of my local circuit city were in no way great deals. You'd have been better off buying the same items the week after Thanksgiving. Then again, I said the same thing about last year's CompUSA liquidation. Apparantly the wholesale electronics market is healthy and efficient because none of these retailers are showing any desperation to sell to consumers.

Posted by: bill3 | January 27, 2009 4:50 PM | Report abuse

I went the first weekend of the "liquidation" and saw exactly what this article addresses. Everything was 10% off the original price. What was even more amusing was that the Christmas sale prices for many items were on display and were less than the liquidation price. My real interest was to see if there were any bargains on LCD televisions. No bargains there - Best Buy, Tiger Direct, Amazon, all had lower prices for the same or better merchandise. I saw quite a number of people looking at the televisions, but did not see one person initiate a conversation with a salesperson to buy one. I simply smirked at the whole thing and left. Didn't seem like an "everything must go" liquidation to me. Also, why buy an LCD television at even near retail price when "all sales are final" and therefore no recourse if it is defective. It was, at least to me, a misleading experience and utter waste of time.

Posted by: fwillyhess | January 27, 2009 5:05 PM | Report abuse

Same experience at the store in Glen Allen(Richmond), VA on Saturday, 1/24. Price escalations, disorganized and/or outdated merchandise (YEARS old), no price tags or unclear pricing, 10% reductions after reading the small print on the larger teaser signs, and absolutely NO sales staff in the store to assist with inquiries, purchases, etc. CC's failure is no surprise based on this business model.

Posted by: girlsnpearls53 | January 27, 2009 6:17 PM | Report abuse

"I was able to pick up a Samsung 46" 860 for just over $1500 + tax + 3 year warranty...$2k total
****

Uh, was that a Circuit City extended warranty? Who's going to service the Samsung once CC's gone?


Anyhow, this is sad, but let's face it. CC bet the farm on that stupid DIVX expiring DVD system, which delayed the popularization of DVD players for at least one Xmas cycle. When it failed, I knew they were going down eventually.

Posted by: Georgetwoner | January 27, 2009 7:15 PM | Report abuse

I totally agree....No deals in Waldorf,MD. The store was really crowded this past Saturday; the majority of customers left empty handed! Want a joke! NO DEALS!!!!!!

Posted by: genesolomon1 | January 27, 2009 8:24 PM | Report abuse

Looks like most Circuit City items were cheaper before Christmas. The discounts are applied to full-ticket base prices. Anyone who is doing homework will realize that they aren't bargain prices. We wanted a TV, and got the same one we wanted at Circuit City for $400 less at Best Buy, and it wasn't even a huge TV.

Posted by: AndrewfromNH | January 28, 2009 12:12 AM | Report abuse

Just go to Walmart, they know how to run a business

Posted by: pdmjr99 | January 28, 2009 4:16 PM | Report abuse

I think the strategy here is to hit them in the last week. That's what I did with Linens n' Things, and I got a quilt set for my bed for 75% off, much cheaper than I could have gotten it anywhere else, and it happened to be something I actually liked and wanted. With Circuit city, there may be little left by that time, but I have a feeling some of the more obscure items that I need (camera accessories being one) might still be there at a good price. But yeah, the one near me in MN has no bargains on any actual devices right now at all. And no price tags on half the merchandise, for that matter.

Posted by: susanthehuman | January 29, 2009 1:01 PM | Report abuse

Has anyone noticed if iPods are discounted? I'd be interested in a nano or classic model. I'm curious if they are cheaper now than at Costco.

Posted by: gadgetjeff | January 30, 2009 1:01 PM | Report abuse

I work for one of the liquidation companies involved with the sale so here goes:
1. We do not raise the prices. Per the rules of the auction where we the highest bidder, our purchase price is figured on a formula which related back to the MSRP of each of the items. On the day we take over the company, not us, puts all the prices back to normal selling price or MSRP.
2.We do not get the benefit of CC's prior temporary promotions.
Because there were current circulars mailed out during our sale, we gave customers the benefit of that circular if the circular price was lower than the liquidation discount and many times it was. In the early days of the sale we sold some big screen TVs at a discount of 25% off MSRP when we were only at 10% off because the circular price was lower.
3. Companies go out of business for a reason. It is not unusual for their price files to be screwed up. Thus you may find two identical items in 2 different stores having different prices. Prices may also be higher than the competition --thats one reason why customers were turned off by CC and CC went bankrupt.
4. We have to exit the store by a date certain and the discount cadence reflects that. If we started the sale at 40% off all TVs, the store would become a car audio and CD store, which wouldnt be too enticing to customers. Thus we're trying to balance the sell thru of faster and slower selling inventory.
5. We make sure that at each discount change, there is real value given to the customers. IPODs and some models of notebooks, for example are never discounted and they sold like hotcakes in the first fews days.
6. We're not trying to trick anyone. Most folks know how these sales work. At some point we will reach the price you're willing to pay for a particular item. The question is whether the item will still be there. I'm going to buy a Plasma today, I hope there are still some left. Thanks for reading.

Posted by: scottb6316 | January 31, 2009 1:24 PM | Report abuse

I worked for RHODES furniture a few years ago when they were liquidated, and yes the liquidators had more merchandise than us in our 250,000 sq ft warehouse. They would give away the RHODES stuff and sell there items with about a 40% mark-up. They purchased our inventory for about 60cents on the dollar.

Posted by: dellc521 | January 31, 2009 10:19 PM | Report abuse

I bought a Samsung 52 inch LCD TV (LN52A650) in December 2008 at CC for 1999.00 with 36 months no interest. I went to the "liquidation sale" and the same TV was 2499.00. If you figure in average interest on a credit card over 3 years the TV is really being offered at the "bargain" price of about $1200.00 more than the original price at Circuit City before they closed. These liquidation sales are the biggest scams going. But, if you advertise it they will come.

Posted by: guyintampafl | January 31, 2009 10:37 PM | Report abuse

the funniest thing was seen on the street last week...... I saw on one side of the entrance to a circuit city store the liquidation sign, on the other a sign stating that Bernies would meet or beat any Circuit City prices

Posted by: jmenard2 | February 1, 2009 12:41 AM | Report abuse

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