Why Vivint / Best Buy Failed

By: IPVM Team, Published on Aug 31, 2018

DIY has bested Vivint.

In 2017, Best Buy and Vivint partnered with Vivint employees on the floor of 400+ Best Buy stores, helping customers with smart home questions and selling them smart home packages.

However, a little more than a year later, the partnership was over.

In this note, based on experience from a former Vivint employee working at Best Buy, we examine:

  • Why this partnership looked good theoretically
  • What the reality was
  • How DIY competition bested Vivint
  • What the future possibly holds

*** *** ****** ******.

** ****,**** *** *** ****** partnered**** ****** ********* ** the ***** ** ***+ Best *** ******, ******* customers **** ***** **** questions *** ******* **** smart **** ********.

*******, * ****** **** than * **** *****,*** *********** *** ****.

** **** ****, ***** on ********** **** * former ****** ******** ******* at **** ***, ** examine:

  • *** **** *********** ****** good *************
  • **** *** ******* ***
  • *** *** *********** ****** Vivint
  • **** *** ****** ******** holds

[***************]

Why *** *********** ****** **** ** *****

***** **** **** *** stores **** ** ******'* home *********, ** **** Buy ********* ******** ** the ***** ********** *** Vivint **** **** **** saw **. ****** ******* it ***** *** **** exposure ** ***** ** so **** ** **** Buy's *********:

**********, ********* ** * Best *** ***** ***** be ***** ** *** and ******* ** *** for *** ***** ********** on ************.

*** *** ****, **** Buy ******* **** ***** get * ***, ****-*-**** smart **** ******** **** built-in ********** ***, * recurring ******* **** **** Buy *** ** ********** in ****** ******.

Reality - ******* *** ***

********* ********* ** *** go ** **** *** looking *** ********* ********. Best *** ********* **** to *** *** ****-*******, not ** *** $*** for ***-********** ************ ************. Because *** ******* **** Buy ******** *** **** inclined ** *** *********, the ***** **** ******** not ** ****** ** either **** *** ** Vivint *********. ** **** sales, ****** ******* ******** a ***-********* ***** **** option ** **** **** as * **** *** exclusive. *******, *** ********** obviously *** *** ******.

SimpliSafe *** **** **** **** *** *****

***** *** ********* ********* such ** ********** *** Nest ****** ********* ** Best *** **** *** significantly **** *********. *** most ***** ****** ****** typically ***** ** ***** $600, ****** $*** *** SimpliSafe.

Low ***** *********** ******* ** ******'* **** ******

******* ****** **** *********** in *** ***** **** markets ** **** *** Texas, ******'* **** *********** was ***** *** *** in **** ******* ***** they ** *** ** much ***** *********. **** customers **** ***** ** Nest ******* ** *** company's ***********, *** **** of ********* **** ***** SimpliSafe **** ** *** Radio *** *************** **** ****** **** Dave ******.

Competing ******* ****** ****-**-****

****, **** *** *** to ******* ******* ******'* other, *********** ******** **** dealers, ******, *** ***** door-to-door ****. ***** ***** channels **** **** ** roll ********* ***** **** the ********* ******* ***, so *** ******** *** less ** *** ** front. **** *** *** possible **** *** ******* sold ** **** ***; equipment *** ******* *** had ** ** **** prior ** *******. ***********, this *** ****** *** customers ** ******. **-***** Vivint **** **** ******* to *** ******** ******* in *** ******, ***** door-to-door **** *** *** advantage ** ****** * larger **** ** *********.

************, ******'* **** *** high, ****** ** *** salaried ******** *** ****** reps, ****** *** ******** commission ** *** ****-**-**** teams. ********, **** *** also ******** * *********** cut ** *** ***.

What *** ****** *****

************ ** ***** ** earnings ************* **** ******* ***** are ***** ***** ************* for ***** ***** **** products ** *** ****** channel.

*** *** ****, **** Buy, ************* ** ******** *********, ** *******-******* ********* healthcare *******, ** ****** away **** **** ******* products ** ********* ********.

Skeptical ***** ****** ** *** *** ******

** ****** ********* ***** Vivint ********** ** *** box *********. ***** *** company ** * ***** leader ** ******* **** to ****, ** * retail *******, ********* * few **** **** **** much **** ***** **** offerings **** *** ***** 'good ******' *** *** average **-***** *********, ****** has ***** ********** **********.

Comments (11)

**** *** ********* **** ** *** *** ****-*******, *** ** pay $*** *** ***-********** ************ ************.

*** **** * ***** **** ****, **** *** *** **** pretty **** **** ***** **** ***** ****, ***** ************ ** home ******* *********, ***, ***. * ***** * *** ** Best *** ********* **** *** ****-*-***** *****, *** * **** portion ** **** *** ******* ** *** ** **** ***** equipment *********.

* ***** * *** ********* *** ****** ** **** *** crowded *** ***** **** ****** *** ******, *** *** **** brands ***** *** ********* *** *********. ****, * ***** *** polo-uniformed **-***** **** *** **** ********* * *** ********** **** the ******* ** ****** * **** ****. (**: *** ***** solar ***** **** ** **** *****, *** ****** ****** ** Best ***, ***). ** ***** *** **** **** ****-*********.

*********** *******. ** *** **** ** ********* ***** ******* ** installation *******, *** * ** ******* **** **** ***** ** very **** ******** ***** **. ***, *** $*** ************ **** is * ****** **** **** ** *******, *** * ***** the **** ****** ** *** ******* *****. **** ** ** a ***** *** *** **** ** **** *** ** ***** industries ** ***** ********* *** ***** ** ****** ********** ******* costs *** *** *********** ** *** ***** *** ****** ********* of *** ***********.

* ****** ** **** *** ** **** *** ****** ********* group ** ********. ***** *** **** ********** ** ****** ***** install ****'* ******. **'* ***. * ** ********* ****** ** as *** ** **** *** **** **** ****** ************ ****. They ****** *** ** **** ** **** ** ************ ************. I ****** **** ** *** ***. *** ***** * *** in **** ***** * *** ** **** *** *** ** was.

**** ** * **** ***** *** ******** ****** ************ ***** is *** * ***** **** *** ***. ******** *** ** the **** ***** ****** ********* *** *****. ***** ******* *** questionable *** **** ***** ** **** ** **** *****. * can *** *** *** ** ***** ******* ***** ****, * can **** ******* *** *** ** **** ********.

** *** ** ***** ************ ************,******* *** *****.

* ***** **** *** ** ****. *** ***** ******** ********* are ******* ** ******* *** *** *****. **** ** *** they ***'* ****. ** *** ****** *** ******* ** ***** centered ****** ***** *** *** ***** **** ***** ************ *** our ************ ** ********. *****'* * *** ** ***** **** Vivint. ****'* *** * ** ** ***** *****. ** *** as ***** ******** ***. **** **** ****** ** ***'*.

*'** ***** ** ****** * ** * *** ** * graybeard **** - ***, ** ****, * **** * **** beard. *****'* ** ***** ***** *** *********** ******** ***** - Resi ********* ** ****, *** ******. **** ***** ****, *** various ********* ** *** ***** **** * *** ** *********. But *** ********* ********* **** ** ** *** ******* *** say "* ** ***** ** **** *** ** *** * security ******!" *******, **** ********* * ***** ****** - ****** a ****-******* & **** ****** ****-**-**** ***********, ** *** ******* person ** *** **** & ****** ****, ** **** *** one ** *** ********* *** ** ********** ***********, ***** ******* a **** ** ******.

*** ******** *** ******* *** ****** ** *** ******, *** so ** ******* ***** **** * *** ************, ****** **** various ***** ********* **** ** ** ***** *********.

******* ** ***-*** ** *********** *** ***** *******, ****** *** the ***** ** **** ** ** *** **** **** * lot ** *** ********** ** ***** ***** *****. **'* **** to ** **** * ****** ********* ** *** ***** ** a ****** ********** ********, ***** *** ********'* ************** ** *** is ****** ****** (** *******, **'* ****** ****** **** * customer **** * ************** ** *** **** ******* ** **** into *** *****.) ********* **** **** *****, (*.*. ******* *** just ***** **** **** ** **** *** * ****), *** those ********* ***** ******* **** **** ********* **** ****** **** local ****. ** - * ** *** ********* *** ******* didn't **** *** ** ********, *** *'* **** *** ** surprised ** *** ********** **** **** ****** ***** ********* *****.

******* *****: *** ** ** ************ ******, *** * ******** model, *** **** ** ***** ******* *****. *** **, *** business ***** ** *** ***** *** ********* ** *** ***** "who **** *** ***** ****?" ** **, ** **** ***, a *********** ******** ********: **** ***** *** **** ** ***** money ******* *** ***** ** **** **** **** ******** ****. The **** **** *** ********* ** *** ********* ** **** a ******.

* **** **** *** ***** **** ****** *** **** ****** using *** ******** ****** ** *** “**********”.

** ** **** ********* *** ************ ** ********* ***** ****** have ***** “*****” ******* ********** ** *****, ****** ****, ***.

**** ***** ****** ***'* ** ********** ** ***** *** ****** Home? ***** ****** ** ***** *** **. ***** *** ******** system ** *** ********** ***** **** "***** ****" **** * more ****** ****. **** ********** ***'* ***** ***********. **'* ***** increasing *** ******** ** **** ****. **** ** *** ******** we ****.

* ***** *** *** ******* ** *****. * ***** *********** the ***** ****** **** ***** *** ****** **** ** *** way *** ******** **** **. **** ******** ********* *** ***** trying ** **** ***** ** *** ***** **** ****** ******* having *** *** ***** ********* ******** ** *** ******** ****** as *** ********** *** ***** *** ******** ******* *** ** turn *** ******* ** *** ***. **** ******* ****** ****** was ******* *** ** ****** ** * "***** ****" ****** not * ******** ******.

** ***** ** ** * *** **** * ******** *********** savvy ******** * ***** **** ** ******, *****, ***********, ***. controlled ** *****/****** ****/***. ******** *** *** ******* *** ******** system *********.

** *** *** **** ********** ***** ** ********* **** ***** make *** ******** "********" *** ********* ******** **** ***** **** to *** ********* **** ** **** ****'* *** *** ****** all *** ****. * ***** **** **** *** ** ****** to * ***** ******* ** ****** *** ********'* ******* ** use ***** ******* ** *********** **** ***** ***** *** ***** features ********* *****. *** ******* *** **** ********* **** ****** to ******* **** **** ***** ********* *** ****** *** *** to **** * ***** ****** ** *** ********** *** *** it ** *** ******* ** ***** ***.

**** ***** ****** ****** ** *** *******. ******'* ***** ** high ******** ** *** ****, *** ** **** ***** *** so *** ******** ***'* **** ***. ***** *** ****** ***** leaves *** ***** *** ********'* ****** ******* **** **. **** is *** **** **** ** **** *** ********** ******* ****. That ***** **** ** ******* ***** *** ****. ** ******* Vivint ****** *** **** ******* ** *** ****** **** **** and * ***** *** *** *** ****** **** ******** *** made ********* *** ******** *** *****. ***** *** **** * bad ***** *** ** **** ******* *******.

*** ******

*****.*** (*** **** **, *********) ********* **** ***** *** ******. If **** ** *** ****, *** *****.*** *** *,***-*,*** *******, then *** ***** ** *** **** ** *** ***** *** opt *** *** *****/****** *********, **** ** * **** **** has **** ********* ** * ****** **** ***** ********* ***** new **********. *****.***, *********, *** ******* ******* ******* ******** *** spending * *** ** ***** ** ********* ***** ***** ****** dealers (*** ** ***** ********* ** ***** ****** *******) ** handle ********** *********** ** *** ***** *** **** * *** of ***** *** ******* *** ** ****/**** * ************** ********* premises. ** ***** **** ** ** **** ** **** ******** provider ****** ********* **** *** *** *****' ********** *** **** be ** *******, ****** *** ***** *** ****** -- ** need -- * ***** **** *** ****** **** ***** *** many ********* ***** ** ******* ** ****. *** **** ** that ****** ******* **** "**-*********" ** * *** *****, ******* out *** ***** *** ****** * ** ** ** **** home **** ** ********* ***** ** ****** ******, *** ****** to ***** ******* ********** ********* ** *** ****. ****** **** Amazon ***** ** ******* *** **** ***** ** ****** ** Apple, **** *** **** ***** **** ***** ******* ************ *** a *****.

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