A year ago, a Best Buy board member heard Barry Judge talking about Twitter and thought Judge had invented the word.
But these days Judge, the company's chief marketing officer, is doing a lot more than talking. He's using Twitter, Facebook and other online social networks to lead one of the most ambitious social media campaigns during the holidays.
"Social media is a great way to show off our culture," said Judge, 46, a soft-spoken executive who joined Best Buy Co. Inc. a decade ago. "That's really all we've got. We sell the same stuff, generally, as anyone. We're competing against the low-price leaders, the Internet and everyone who's pushing a value proposition. But it's our people, our culture, that differentiates us. Social media lets you show who you are -- the good and the bad."
To amp up for the holidays, the Richfield-based retailer began rolling out videos, interactive games and gift finders on its Facebook page this week, aiming to connect with existing customers and reel in new ones. There's plenty of high-tech attitude -- a Hint Helper seemingly hacks into pages of potential gift-givers; a Christmas morning simulator, expected to launch Dec. 6, spins out how the holiday will go. (How about that Elvis cologne dispenser?)
Some of the Facebook applications heavily push a sale. Others are image-builders that are merely fun to play with. Judge hopes all will go viral -- spread quickly among networks of friends.
"When you look at Secret Santa, the Hint Helper, those things are going to build business because consumers are going to be engaging with us," Judge said at a media briefing in New York this fall. "To us, it's getting at a deeper, more visceral level of communication than even our television does."
Best Buy, the nation's largest consumer electronics retailer, has seen profits fall in the past year as consumers have cut back buying discretionary items and profit margins on personal computers and televisions have narrowed as the retailer has lowered prices to lure buyers. Even though Best Buy picked up market share after Circuit City closed its doors, competition has been steady from discount retailers such as Costco, Target and Wal-Mart as well as Amazon.com.
Best Buy expects annual same-store sales to be flat or down two percent from a year ago, and the holiday season is key to lifting sales to that mark. The push is on to compete on price and to portray superior customer service. Judge believes that's a sweet spot for social media.