Will Best Buy’s latest acquisition be a healthy addition for the chain?
Best Buy has signed an agreement to acquire Current Health, a remote patient monitoring and telehealth technology company based in the UK.
“The future of consumer technology is directly connected to the future of healthcare,” Deborah Di Sanzo, president of Best Buy Health, said in a statement. “We have the distinct expertise in helping customers make technology work for them directly in their homes and by combining Current Health’s remote care management platform with our existing health products and services, we can create a holistic care ecosystem that shows up for someone across all of their healthcare needs.”
The deal marks a further step by the retailer into healthcare, a category of emphasis under Best Buy CEO Corrie Barry. The retailer has identified three segments within the category as growth opportunities: consumer health, active aging and virtual care. Ms. Barry pointed to current strength in the first two segments with a growing opportunity in the third on the chain’s second quarter earnings call in August.
Ms. Barry said that Best Buy had greatly increased its roster of vendors and grown its SKU count in health and wellness segments over the past year.
“These include new products important to our health strategy, specifically those focused on conditional health management that help customers track blood glucose levels, keep tabs on heart data, manage weight or even help identify allergens in foods,” said Ms. Barry.
She also added that Best Buy was “working with hospitals and care centers to curate health products for their patients on co-branded landing pages.”
Active aging, Ms. Barry said, was about emergency response services and tools that older consumers can use to continue living “independently in their homes.”
Ms. Barry announced in her very first presentation to analysts as Best Buy CEO in 2019 that the retailer had set a goal of providing five million seniors with health monitoring services in five year’s time. The retailer, in recent years, has acquired GreatCall, an emergency response system provider, Critical Signal Technologies, remote patient monitoring systems, and BioSensics, a predictive healthcare technology firm.
The virtual care opportunity has expanded significantly since the advent of the novel coronavirus pandemic, according to Ms. Barry, with more consumers seeking medical care without the need for an in-person visit.
“The amount of devices that are proliferating right now to help people manage their own care is absolutely incredible,” she said.
- Best Buy to acquire Current Health to help make the home the center of health – Best Buy
- Best Buy (BBY) Q2 2022 Earnings Call Transcript – The Motley Fool
- Best Buy makes a big bet on health tech – RetailWire
DISCUSSION QUESTIONS: What is your assessment of Best Buy’s healthcare strategy? How does it stack up against other retailers pursuing similar opportunities?