Shiret states relying on margins from accessories and software is doomed

Analyst predicts end of PC retailing

Time could be up for the traditional computer shop after a raft of appalling Christmas statements from the likes of DSGi, according to veteran retail analyst Tony Shiret.

Highlighting the recent poor performance of retailers such as PC World, the veteran retail analyst at Credit Suisse said: "Structurally, it is the end of the ‘British Stupid Way’ of buying PCs."

He said that relying on sales of high margin accessories, software and warranties was a recipe for disaster, especially as the supermarkets increasingly encroach upon the territory of DSGi.

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