Best Buy said it’s seeing signs of pent up demand since it reopened 800 of its stores to general shopping.
From June 15 through July 18, the company’s sales growth was approximately 15 percent over the same period a year ago.
As of June 22, Best Buy said all of its stores are open for general shopping. The chain did not mention the status of its car audio installation facilities although, as reported, we’ve been told that 600 to 700 installation facilities (out of a total of about 1,000) are expected to reopen by the end of this month.
For the quarter which started in May through July 18, sales are up 2.5 percent compared to a year ago, even though for much of that time sales were by appointment only.
Best Buy continued to see strong gains in online sales, which grew by about 255 percent compared to a year ago (May through July 18). Even after the stores reopened, online sales have remained high at 185 percent over the period compared to the year prior, said Best Buy in a press release Tuesday.
In addition, the company announced that all US employees on hourly wage will receive a minimum of $15/hour starting August 2.
About half of the 51,000 employees furloughed earlier in the pandemic have returned to work, “so far,” said Best Buy. The company has also extended its health benefits at no cost through September 5 to those still furloughed who are on the health plan.
Best Buy said it has listened to its employees, and beginning August 2 its is instituting new compensation. Employees will get a 4 percent increase in hourly pay. That replaces short term incentive compensation for hourly employees below the leadership level. After the 4 percent hourly pay increase, employees who are not yet at $15 per hour will have their pay increased to the $15 per hour starting wage.