RadioShack To Become 'The Shack' - InformationWeek

InformationWeek is part of the Informa Tech Division of Informa PLC

This site is operated by a business or businesses owned by Informa PLC and all copyright resides with them.Informa PLC's registered office is 5 Howick Place, London SW1P 1WG. Registered in England and Wales. Number 8860726.

IoT
IoT
Government // Mobile & Wireless

RadioShack To Become 'The Shack'

The retailer is increasing focus on its mobile and wireless products.

RadioShack is changing its name to "The Shack," hoping to present a fresh face to consumers as the electronics retailer directs more of its resources to selling wireless products.

The new brand is scheduled to be unveiled Aug. 6 during a three-day launch event in New York and San Francisco, the company said Monday. RadioShack also plans to get the word out through television, print and Web advertising.

"The Shack" was chosen as the new name based on the fact that many consumers were already dropping "Radio" from the company's name when referring to one of its stores. "We decided to embrace that fact and share it with the world," Lee Applebaum, chief marketing office for RadioShack, said in a statement.

RadioShack also hopes the new name will help the company change its image.

"We have tremendous equity in consumers' minds around cables, parts and batteries, but it's critically important that we help them to understand the role that we play in keeping people connected in this highly mobile world," Applbaum said. "You will see a real focus on mobility and wireless products from leading brands in our new advertising."

RadioShack announced last month the addition of T-Mobile to its line up of wireless carriers that the company has partnered with in its 4,000 stores as the retailer moves toward a more wireless-focused product line. RadioShack also sells AT&T and Sprint as wireless options for its products.

Late December, RadioShack announced plans to sell an Acer netbook for $100 to customers willing to sign a two-year contract for AT&T mobile broadband service. The offering reflected an emerging trend among wireless providers to subsidize the mini-laptops much like they offer mobile phones at reduced prices in return for customers signing service contracts.

RadioShack last month reported an 18% increase in profit in the second quarter, most of the gain the result of cost cuts. Actual sales disappointed analysts, who said in interviews with The Dallas Morning News that RadioShack appeared to be cutting too deep, leaving itself in a weak position when it enters the holiday shopping season later in the year,

The company reported a nearly 3% drop in total revenue, while sales in stores open at least a year fell 4% from the same period a year ago. Wireless accounts for almost a third of the RadioShack's business.

Registration is now open for the leading enterprise communications event, VoiceCon. It happens in San Francisco, Nov. 2-5. Find out more and register.

We welcome your comments on this topic on our social media channels, or [contact us directly] with questions about the site.
Comment  | 
Print  | 
More Insights
News
Top 10 Data and Analytics Trends for 2021
Jessica Davis, Senior Editor, Enterprise Apps,  11/13/2020
Commentary
Where Cloud Spending Might Grow in 2021 and Post-Pandemic
Joao-Pierre S. Ruth, Senior Writer,  11/19/2020
Slideshows
The Ever-Expanding List of C-Level Technology Positions
Cynthia Harvey, Freelance Journalist, InformationWeek,  11/10/2020
White Papers
Register for InformationWeek Newsletters
Video
Current Issue
Why Chatbots Are So Popular Right Now
In this IT Trend Report, you will learn more about why chatbots are gaining traction within businesses, particularly while a pandemic is impacting the world.
Slideshows
Flash Poll