Best Buy is the Next Big Retailer to Start a Marketplace. Here’s What We Know | Global News Avenue

Another online market is about to be launched, this time a large e-retailer.

Best Buy (BBY) Join Amazon.com (Amzn), Walmart (WMT) and other retailers join a sales space estimated to be worth hundreds of billions of dollars. Third-party U.S. market management was launched earlier this month, and the company will open this summer. CEO Corie Barry shared more details about the program on Best Buy’s latest revenue call, saying she believes it can attract shoppers and boost profits.

This is the company’s second attempt in the U.S. market; it was closed about a decade ago, with the media reporting on product overlap and minimum revenue issues. The Canadian market launched in 2016 is considered more successful.

“We believe that as trusted leaders of (consumer electronics), we have the opportunity to leverage our positioning and assets to build a differentiated digital marketplace platform that gives our customers a wider range of categories and new categories,” Barry said during the call.

Barry said the new market will allow Best Buy to offer customers more options without increasing their own inventory. The company said the sellers will go through a review process.

Other details of Best Buy discussion:

• The U.S. market will offer a variety of new products, while the current Canadian market will focus more on refurbished goods. The company said Canada’s demand for a deeper lineup has seen, and the US version can be offered. “Customers are searching our website for a wider range of options or a wider range of products, and we just don’t offer them.”
• Executives say U.S. customers will be able to return market items to the store.
• Ultimately, executives say the company can offer fulfill Go to the market seller. “It’s still early in the process, and we’re happy with the seller’s keen interest and think it shows that this is a promising launch,” Barry said.
• Best Buy is partnering with corporate marketplace company Mirakl to launch in its marketplace, which operates its Canadian marketplace.

Best Buy has not yet shared the release date publicly. The company did not respond Investopedia’s Request timely comments.

Best Buy shares fell 10% this week and have fallen about 17% so far this year.