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DSGi hikes digital spend to drive sales

May 30th, 2008 // Permalink

LONDON - DSG International (DSGi) is boosting its £2.5m digital and direct marketing spend in a bid to reinvigorate sales across its Currys, Currys.digital and PC World stores.

The beleaguered electronics retailer has appointed new agencies, and plans to bolster the below-the-line portion of its £80m annual spend in an effort to stave off competition from US rival Best Buy, which plans to enter Europe through a joint venture with Carphone Warehouse.

John Browett, who joined DSGi as chief executive last September from Tesco, recently embarked on a wide-ranging business review that will result in the closure of almost 80 Currys digital stores. The company hopes the shake-up will contribute to a £50m cut in costs in 2008/09.

The retailer is yet to brief its agencies on specific projects, but it is understood that they will work to help the company transform its business over the next three years.

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