Texas-based CE and home theater retailer Modia dramatically increased weekend store traffic with a unique promotion last week. The company offered $1,000 in groceries to customers purchasing Mitsubishi HDTVs. The company’s CEO, Mihir Mody, spoke with Dealerscope this week about the promotion, how it works, and the effect it had on the store’s business.
The promotion offers several Mitsubishi models, ranging in price from $1,399 to $2,799, along with the voucher for the free groceries. The offer launched last week and is scheduled to expire March 31.
"We did it because it’s a little different," Mody said when asked why Modia participated in the offer. "We’re trying to generate some excitement, and some traffic in the stores. Our phones were ringing off the hook, foot traffic was up, and it was a very successful few days."
Mody did not have final sales numbers available, but did notice an appreciable gain in attention. "We did quite a bit of business," he said, "the most interesting thing was, we had a lot of traffic. We don’t have exact numbers, but it’s been a good promotion for us."
According to Mody, the offer was actually initiated by Mitsubishi, who offered it to various retailers. Online retailer AllAmericanDirect.com and West Coast retail chain R.C. Willey are among others have also offered similar deals; this was Modia’s first time participating in such an offer.
Customers purchasing the TVs are given a voucher for the $1,000, which can be submitted at any grocery store; the customer then sends the proof of purchase to Mitsubishi in exchange for a rebate.
Mody said the promotion was not entered into with any particular competitors in mind; it was merely an attempt to "drum up some sales." He said he would participate in the promotion again, were Mitsubishi to offer it.
Modia, which was founded in 1996 and was known as the Home Theater Store until 2007, operates ten retail locations, all in Texas.
