Used-Computer Buyer Becomes a Seller
Geologist Bob Walton Jr. walked into a leading computer chain store in Bakersfield a few years ago to buy a monitor. New to the world of computer retailing, he was taken aback by the high price tags.
Instead of buying new merchandise, Walton went to a nearby store that sold used computers and purchased a monitor that did a quality job for less money.
The visit to the discount Computer Renaissance franchise set in motion a career change for Walton, who last week opened his own Computer Renaissance store in the Camarillo Towne Center.
The 2,400-square-foot shop, which sells both used and new computers, is the first of a series of stores Walton plans to open within the next couple of years. Walton already has acquired franchise rights for most of Ventura County and a portion of Santa Barbara County and intends to open stores in Thousand Oaks and Santa Barbara by year’s end. He also intends to acquire rights to sell in Los Angeles County.
Walton’s foray into the used computer market is based largely on his confidence that many computer buyers would just as soon pay less money for a used computer.
“You’ve got to understand there are people out there who don’t need a Pentium II 450 to run a spreadsheet--a lot of people just want to get on the Internet and don’t need a high-powered computer to do that,” Walton said. “In the few days we’ve been open, we’ve had computer hobbyists, high-end users, families who want a computer for their kid, families who don’t have a computer yet and don’t have $1,000 to spend.”
The Camarillo franchise is one of 240 stores in the Computer Renaissance chain, founded in 1988. The company is part of Minnesota-based Grow Biz International, which also owns the used merchandise chains Play It Again Sports, Once Upon A Child, Music Go Round, It’s About Games and ReTool.
Computer Renaissance stock comes from trade-ins, vendors, brokers and other used computer sources. The Camarillo franchise has about 40 computers on display, including Pentium computers for less than $500 and 14-inch monitors for less than $100. All used merchandise comes with a 90-day warranty.
“I think computer buyers that understand the value are tired of buying a computer and then six months later having it be perceived as obsolete in the market,” Walton said. “They may not in fact need the latest, greatest computer.”
Mike Flynn, Computer Renaissance president, said Walton’s is one of several franchises opening in California. “Our growth comes at the mercy of our franchisees--where they come from is not something we can determine,” he said. “Right now we are having a lot of action in California.”
