CompUSA, once a major big-box retailer for computers and electronics, effectively ceased operations as its stores closed in stages from 2007 to 2012 due to intense competition from online sellers and other chains, failing to adapt to market changes, with the remaining stores converted to TigerDirect stores before also shutting down, leaving the brand mostly a nostalgic memory.
Key Events in CompUSA's Decline:
Early 2000s: Faced pressure from Best Buy and online retailers as the PC market matured.
2007: Mexican retail conglomerate Grupo Sanborns, the owner, sold CompUSA to restructuring firm Gordon Brothers Group, leading to store closures and liquidation sales.
2008-2012: Remaining stores were sold to Systemax, which rebranded them as TigerDirect stores, but these also eventually closed, ending the brick-and-mortar presence.
Post-2012: The brand became largely defunct, with its online presence eventually redirecting to an error page by 2023, marking the end of a significant era in tech retail.
Why It Discontinued:
Market Shifts: Couldn't compete with the growing online retail landscape and broader electronics offerings of competitors.
Failure to Adapt: Struggled to transition from its warehouse model to a modern retail strategy, focusing too heavily on PCs as the market diversified.
Competition: High-tech price drops and fierce competition from other retailers eroded its profitability.