On March 28th 2015, it was announced that all 131 Future Shop stores were closed and was effective immediately. This means at least 1,500 jobs have been lost.
At least 66 of the 131 stores will be closed for good while the other 65 will be closed for one week to be converted into a Best Buy. This will bring the total number of Best Buy locations in Canada to 192, which is made up of 136 regular stores and 56 Best Buy Mobile stores.
Future Shop first opened in Vancouver back in 1982 and in 1990, it was the largest consumer electronics retailer in Canada. Then in 2001, Future Shop was purchased by Best Buy for $580 million.
Ron Wilson, the President and COO of Best Buy Canada had this to say on the closures, “Any decisions that impact out people are never taken lightly; our first priority is to support them through this change.” Wilson also added, “I want to express my appreciation to the employees who are leaving, for their contributions to Best Buy Canada.”
All Future Shop gift cards will be accepted at any Best Buy Canada location and at BestBuy.ca. For any more information about the closure, check out Future Shop’s website for an FAQ.
Here is the press release from Best Buy Canada:
Best Buy Canada announces the consolidation of Future Shop and Best Buy stores and websites under the Best Buy brand – Best Buy Canada
March 28, 2015 | Burnaby, BC
BURNABY, BC – March 28, 2015 – To strengthen its position as Canada’s leading provider of consumer electronics products, services and solutions, Best Buy Canada, a subsidiary of Best Buy Co., Inc. (NYSE:BBY) – which owns and operates both Best Buy and Future Shop stores – today announced it is consolidating the Future Shop and Best Buy stores and websites under the Best Buy brand and unveiled an ambitious plan to build a leading multi-channel customer experience.
Best Buy Canada also announced today it has reviewed its real estate footprint to address the fact that a significant number of its Future Shop and Best Buy stores are located adjacent to each other, often in the same parking lot. The result of this review is the closure of 66 Future Shop locations, effective today. Concurrently, an additional 65 Future Shop stores will be temporarily closed for one week as they begin their transition to the Best Buy brand. The company will now have a total of 192 locations across Canada, including 136 large-format stores and 56 Best Buy Mobile stores.
“Currently, 80 per cent of our customers are within a 15 minute drive to a store and this won’t change,” said Ron Wilson, President and COO of Best Buy Canada. “We will continue to have a strong store presence in all major markets in Canada.”
As a result of this consolidation, approximately 500 full-time and 1,000 part-time positions will be eliminated. The affected employees will receive severance, employee assistance and outplacement support.
“Any decisions that impact our people are never taken lightly; our first priority is to support them through this change,” Wilson said. “I want to express my appreciation to the employees who are leaving, for their contributions to Best Buy Canada.”
Providing a seamless customer experience to all Future Shop and Best Buy customers is a key focus throughout this transition. All Future Shop gift cards will be accepted at any Best Buy Canada location and at BestBuy.ca. Existing product orders, service appointments and warranties will continue to be honoured and Future Shop purchases to be returned or exchanged will also be accepted at any Best Buy. For information on store changes and opening dates, customers are encouraged to visit our store locator. Customers with any questions can visit BestBuy.ca/questions or call 1-866-BEST-BUY (1-866-237-8289). Customers who visit FutureShop.ca will be guided to BestBuy.ca.
Looking ahead, investments of up to $200 million dollars will be made in Best Buy stores and BestBuy.ca, to build a leading multi-channel customer experience. This multi-faceted strategy will include: (1) launching major home appliances in all stores; (2) working with our vendor partners to bring their products to life in a more compelling way; (3) increasing our staffing levels to better serve our customers; (4) investing in the online shopping experience, for example by expanding in-store pick-up areas for online customers and launching a ship-from-store program, making in-store inventory available to online customers across the country.