EDLP the right response to consumer empowerment?

RetailWire panelists recently discussed an article about Best Buy considering a move to “everyday low pricing” (EDLP). Apparently this change of heart is triggered by the growing number of customers armed with smartphones (and more knowledge about comparative prices) when they walk into the store. My point of view:

Unless Best Buy’s EDLP pricing will be consistently the lowest prices in the marketplace (always a tough thing to accomplish), I don’t see this strategy overcoming the “smartphone” dilemma. Consumers will be just as capable of price comparisons vs. Walmart and other competitors, whether Best Buy is following a high/low or EDLP strategy. The bigger question — regardless of pricing strategy — is whether Best Buy can maintain its edge by focusing more sharply on growth businesses like tablets and smartphones with the breadth of assortment and quality of service that they are known for.

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