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Circuit City Plans Digital Home Install Service

According to TWICE, Circuit City said it will unveil later this year a strategy for offering affordably priced home theater installation services that will launch during the second half.

�We will aggressively grow our home theater capabilities,� president/CEO Phil Schoonover said in a conference call, describing the high-margin category as �critical to our long-term strategy� and �a critical competency to build.�

The plan would feature a mix of Circuit City installers and third-party vendors, he said, with employees deployed in primary markets and outsourced providers serving secondary and tertiary markets. The company will also introduce a new brand name for its service offering, which will debut in new and remodeled stores later this year.

The No. 2 CE chain is currently offering custom installation services in-house in 13 markets, and contracts with third-party providers outside those areas, Schoonover noted. He said the company is also honing its home installation skills and labor model at its two laboratory stores in Boston and South Florida, and that the category represents one of the company�s largest investments of R&D dollars.

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