TELUS focuses on the connected lifestyle with its new store at Edmonton’s Southgate Centre

In today’s world, the smartphone is at the centre of almost every digital experience. In addition to a smartphone, many of us carry headphones, perhaps a battery pack, a fitness tracker, and maybe even a cable or two. The smartphone itself connects to a whole world of other devices on top of that, like so-called “smart” locks, thermostats, speakers, and video cameras. Can TELUS capitalize on this brave new world with its new store to change the way you buy electronics and perhaps make TELUS your preferred partner for the connected lifestyle?

Back in 2008 I wrote about the brand new Future Shop in South Edmonton Common, described at the time as “the future of Future Shop”. It was a curious time to be launching a fancy new electronics store – just a month or so before it opened, Circuit City down in the US had filed for bankruptcy protection. The Source had recently shut down more than 60 stores across the country and its parent company InterTAN had just filed for bankruptcy protection too. It took a bit longer until Best Buy felt the effects of online shopping, but in the last five years they’ve been hit hard with declining revenue (though recently have become profitable again). Earlier this year, Best Buy discontinued the Future Shop brand and closed 66 locations across the country, including that store in South Edmonton Common. And down in the US, RadioShack filed for bankruptcy protection too. It has been a rough decade for bricks & mortar electronics retailers.

But maybe it’s too easy to blame online shopping and showrooming for the difficulties facing Best Buy. The Apple Store has had incredible success during that same time period and is still expanding today, and others like Microsoft have followed suit with their own stores. Why go to Best Buy when you can go right to the source? Not to mention the experience of shopping at a Best Buy is nothing like shopping at an Apple Store. Maybe there’s hope for electronics retailers after all?

New TELUS Store at Southgate

It’s with all that in mind that I accepted an invitation to check out the new TELUS Store at Southgate Centre here in Edmonton. I joined fellow blogger Nugglemama for a tour of the new space, located directly across from the old TELUS Store near the stairs in the southeast part of the mall. Marc Jamieson, Director of Marketing, Merchandising, and Design at TELUS and Koodo, was in town to show us around and to explain all of the features of the new store.

New TELUS Store at Southgate

The existing TELUS Store at Southgate was about 640 square feet, and it’s safe to say it was a traditional phone company store (it will soon become a Koodo store). Most of the space inside was dedicated to counters where you’d spend lots of time waiting for a phone activation. There was very little product on display, and the whole environment was fairly uninviting. A few years ago TELUS launched its “G2” stores to try to change that perception. They were larger, brighter, and featured more phones and a limited amount of other merchandise, like cases and chargers. But they also made heavy use of digital screens and more or less kept the same core interaction – a TELUS employee on one side of a desk and you on the other. I’ve visited the G2 store at Edmonton City Centre a few times, and while it has always been a positive experience, I do find the store somewhat unfriendly thanks to the cold surfaces and dozens of screens.

New TELUS Store at Southgate

Now TELUS is introducing a new generation of store with some much bigger changes. The new Southgate store and the new store at Toronto’s Eaton Centre are “Connected Experience concept stores” that TELUS says “are an evolution of our retail shopping journey.” There are currently no plans for additional new stores, but if these two are successful you can bet that will change.

“There’s no doubt that our smartphones are a central part of our lives and how we’re using them changes almost daily – from listening to tunes, to tracking our fitness to monitoring our home – our devices can really enrich our lives. With our new Connected Experience stores we’ve created a playground where customers can touch, test and play with more than 1,000 specially curated products that help enhance their digitally connected life.”

The new TELUS Store is the largest in Canada at roughly 3,400 square feet. It officially opened on October 21, just eight months after the original concept was created (the Eaton Centre store opened October 14). It features a bold green exterior and a wide entrance, and is immediately more welcoming than previous stores. As you walk in a greeter will say hello, and you’ll find the store roughly split in half. The left side is where you can go to quickly purchase merchandise, and the right side is where you’ll go to sign up for a TELUS service.

New TELUS Store at Southgate

But perhaps the most obvious difference from other TELUS stores is the array of non-TELUS products on display and available for purchase. You can’t miss the Fitbit and Nest displays, for instance. The new TELUS Store features a series of categories, each with an anchor product partner. You’ll find:

  • Health & Fitness, anchored by Fitbit
  • Audio, anchored by Beats
  • Essentials, anchored by Mophie
  • Fashion, anchored by Kate Spade
  • Devices, anchored by Apple and Samsung
  • Lifestyle, anchored by GoPro
  • Home, anchored by Nest and Optik

Each category anchor can change over time, and there are more brands available in each. For instance, there is also Sonos, Bang & Olufsen, Jaybird, and many others available in Audio alongside Beats. The Fashion section (bags and cases) features Kate Spade but also Ted Baker and Rebecca Minkoff. Prices are comparable to other retailers.

New TELUS Store at Southgate

The items you’ll find at the TELUS store are all connected to the smartphone in some way. Fitbits, headphones, Mophies, Nest, and even toy drones, are all things you pair with your smartphone. I asked Marc if there were some things that just don’t belong in a TELUS store, noting the lack of laptops. Marc said that “there are things we have decided not to focus on, and laptops are one of those things.” He noted that even the tablet display was pretty basic. The focus is on “connected experience” devices – things you need a smartphone to get the most out of.

The new store is staffed more heavily than other stores, and all the staff have been trained on how to use all of the various products available. There’s a real focus on demoing, so you’re invited to try everything on display, and the staff all carry devices with the necessary software to show you how things work. I asked Marc if he was worried about showrooming, and he said he’s so confident in the training of the reps that he’s not concerned.

New TELUS Store at Southgate

There are some pretty cool displays to help with all that demoing, like the interactive sound bar for wireless speakers. It uses an app built by Stingray Music to allow you to compare different speakers and different styles of music. Above each table are attractive sound-dampening features, something you’ll find throughout the store actually.

New TELUS Store at Southgate

The new store has incorporated lots of feedback based on previous stores and also research that TELUS has done at its retail lab in Scarborough. There’s more quantity and variety of seating, because customers often spend a lot of time in the store. While the G2 stores featured Optik and other Future Friendly Home devices, they were hidden away. The new store puts them out in the open so that customers can better envision how the boxes will fit into their homes. There’s also a kid-friendly area and lots of carpet in the store. Instead of a single retail counter, there are eight point-of-sale stations throughout the store.

New TELUS Store at Southgate

Near the front of the store you’ll find a recharge station for your mobile device, and on the tables throughout the store are wireless charging pads (which my Lumia worked with immediately). There’s also free Wi-Fi at the store, though it wasn’t working on the day I visited. All of these things are open to all, even non TELUS subscribers!

To celebrate the grand opening of the new stores in Edmonton and Toronto, TELUS is offering 15% off accessories until November 23. They’re also encouraging you to share your experience on social media using the hashtag #ExploreTELUS. If you do, you’ll be entered to win one of the prizes they’re giving away weekly until December 14.

So, will I shop there?

I really liked the new store. It feels warm and welcoming especially when compared with its predecessors. There’s a lot to see and do in the store, and it definitely will feel approachable to anyone who likes the Apple Store in that it is experiential. When I made the comparison, Marc felt strongly that “aesthetically they are different” however, even if only thanks to the liberal use of the green and purple brand colors.

I can’t see myself buying my next Fitbit at the new TELUS Store, however. When it comes to electronics, I do a lot of research online. I compare and read and watch reviews and look up specs. I dig into forums and sift through social media to see what real people are saying and what issues they’ve run into. Then when I know exactly what I want to buy, I look around and compare prices. Often Amazon wins, especially as I’m a Prime member. The new TELUS Store isn’t competing on price and despite promises that the staff are exceptionally well-trained, I’m skeptical that they’ll have the level of knowledge that I would be looking for.

That said, as a TELUS mobile customer (since the Clearnet days!) I like the idea of a flagship store and would definitely visit the next time I need a SIM card or to talk with someone about my plan. It’s the same reason why I visit the Apple Store or the Microsoft Store – I expect a better experience and the flagship stores offer that.

But I’m probably not the target customer anyway. Marc mentioned that the new store has seen a large increase in foot traffic, and it’s the folks that are either casually looking or not willing to do all of that research that are the real target for TELUS. Have a smartphone and interested in getting an activity tracker? Head to the TELUS Store and they can help you get setup with the one that works best with your device.

It’s unlikely that selling Fitbits or Nests is going to measurably impact the $12 billion in revenue that TELUS generates each year. But if the new store can indeed become a hub for customers looking for the connected lifestyle, then it could positively impact wireless, Internet, and Optik subscriptions which is what TELUS really wants. The new store is about creating that halo effect. Will the new TELUS store be the last of its kind or the start of a successful strategy shift? Time will tell!

Win a Nest or Jaybird X2!

After I visted the store, TELUS was kind enough to send me a gift basket. Included inside were a couple of pretty expensive items which would be inappropriate for me to keep, so I’m giving them away to two lucky readers!

Nest and Jaybird X2

To enter my contest, simply leave a comment below by November 30 telling me how you currently like to purchase electronics and if you plan to shop at the new TELUS store. I’ll draw two valid email addresses at random from the comments and will contact the winners on December 1. Just in time to help with your Christmas shopping!

Telus and Bell team up, plan to roll out 4G

Big news today in Canada’s wireless industry. Telus and Bell announced they are partnering to upgrade their wireless network to 3G nationwide, laying the groundwork for an eventual move to 4G. The move should put both companies on equal footing with Rogers, but playing catchup is expensive:

Although both companies declined to provide any clear insights to the cost of the upgrade, analysts expect it to be approximately between $750-million to $1-billion, split two ways between Bell and Telus. Mr. Entwistle said that initial capital expenditures for the new network are included in Telus’ original guidance of approximately $1.9-billion this year and is expected to be $750-million higher than historical levels in the following year.

I’m not sure how I missed it, but apparently rumors of this specific deal actually surfaced back in July. The first rumor, that Telus would switch to GSM, started back in January. The announcement today covers the launch of a network with High Speed Packet Access (HSPA/GSM). Bell and Telus hope to have the network ready just in time for the 2010 Vancouver Olympics. After that the goal is to move to LTE (4G), which is in line with the plans of most other carriers around the world.

Clearly this is great news for Canadians. Having a single network standard will bring cost benefits, and faster time-to-market for hardware. I’m looking forward to it.

Here’s the Telus press release, and here’s the Bell press release. Both are incredibly similar, though neither one mentions the other! I guess we should use the term “partnership” lightly.

Telus Mobility surprises me with a free gift!

I received an interesting package in the mail today from Telus Mobility. A little white box with the phrase “Happy Anniversary” on the front was waiting for me! I opened it up to find a letter thanking me for being a customer since 2003. Actually, I’ve been a customer since 2000 but my first three-year contract was under my business partner’s name. I’ve written about Telus quite a few times on my blog, sometimes because of something bad, sometimes because of something good. This is obviously one of the good things!

Happy Anniversary from Telus Mobility

Wondering what was in the box? In addition to the letter, they sent me a three-in-one phone charger! It’s a pretty neat little gadget, plugs into the wall or a car outlet, and has a couple of cables with different connectors on it. And a little bag to store the cables in.

Letter from Telus Unboxing! 3-in-1 Phone Charger Cables & Charger

Thanks Telus! My current contract is up around November, and while it’s unlikely I’d have gone through the hassle of switching anyway, this makes it even easier to decide. Combined with some customer service improvements recently, Telus Mobility is starting to do more things right than wrong. Now if only they could get the cool new phones sooner 🙂

Telus Mobility switching to GSM?

Post Image It’s a headline I never thought I’d read – Telus considers dumping is ‘Betamax’ of wireless networks. Apparently executives are taking a look at how feasible it is to move from the current CDMA standard to the more widely used GSM. As a Telus Mobility subscriber this is exciting news! I’m not holding my breath though.

The idea "has been presented at the board level and is being actively considered," said one source familiar with the situation who asked not to be identified. The source cautioned that there were no guarantees Telus will go ahead with a changeover, which analysts say could cost about $500 million.

The Rogers network is the only GSM one in Canada at the moment, with both Telus and Bell operating on CDMA. There are significant advantages to being on GSM – most new phones are launched for it first (such as the RAZR and iPhone) and Telus could get a cut of the roaming fees that Rogers collects.

Seems to me that if they were going to do this, they should have done it years ago. The article points out that "4G" networks are on the way, though no one knows how many years it will be until a standard is adopted. It would suck if Telus switched to GSM, only to have to build out a 4G network soon thereafter.

Read: TheStar.com

UPDATE (10/6/2009): The new HSPA+ network built by Telus and Bell will be live in November, when both carriers will start selling the iPhone.

Did you have problems with Telus Mobility last night?

I just got off the phone with a client service representative at Telus Mobility. The good news is that their support service is still fast and effective, as I mentioned back in May. The bad news is that the Telus network doesn’t seem incredibly stable.

Around 9 PM last night, my phone stopped working. I couldn’t make or receive any calls, nor could I send or receive text messages. Every attempt was greeted with an annoying “beep beep beep” and text messages just disappeared into the unknown. I was kind of lost without my phone, and I mentioned to Megan that I should almost buy a backup pay-as-you-go phone on another network for precisely this type of thing. She just laughed!

Calls started working again around midnight, but text messaging still was not working this morning. Hence the call to Telus. The service representative asked a bunch of questions, and by the way I was answering, I think she got the hint and asked if this had happened before. I said yes, unfortunately, and asked her to send the clearing message. She did, and also said she was going to “do a reset” which means I have to turn my phone off for twenty minutes. Stange, I know. Hopefully it works.

I wasn’t the only one with problems it seems:

I’d like to know what happened, and if it was limited to just Edmonton and area or whether it was more widespread. Too bad they suck at communicating that sort of thing. Telus needs a blog!

Telus and Bell to merge?

Post ImageI didn’t see this one coming, but apparently Telus is interested in acquiring Bell parent BCE Inc. Such a move would create a truly national telecommunications company here in Canada, but I am not sure that’s such a good thing. Telus CEO Darren Entwistle seems convinced though:

“This acquisition will create a strong, integrated competitor that would generate continued expansion and growth in the years ahead,” CEO Darren Entwistle said in a media conference call.

“This particular acquisition makes enormous sense for our country. This move will create a truly national provider with the size to stand along side any telecom company in the world.”

Fellow blogger Mark Evans speculates on the deal and wonders if Rogers and Shaw would cozy up in response.

Who knew the Canadian telecommunications industry could be so interesting?

Read: TheStar.com

Telus Mobility Impresses

Post ImageAs you may know, my mobile phone provider is Telus Mobility. I have used them for years and for the most part, I’ve been content. Not excited, not angry, just content. I did write about some text message troubles I had back in January though, and noted:

…there was absolutely no wait time to talk to someone (minus the stupid speech recognition menu which took a couple minutes). This is a BIG improvement for Telus…normally you have to wait forever!

On Friday, I had another somewhat similar experience. My text messaging was not working as expected, so I called support. Right away I talked to a friendly lady who told me they were experiencing troubles in Alberta and B.C. with text message delivery. She connected me to network services anyway, to see if my problem was something more.

After about 15 minutes of waiting to talk to someone, I gave up. I hoped the problem was simply what the first lady had told me – temporary delays. Turns out she was right – my messages started working again late on Friday, and I started receiving a bunch of messages yesterday and today that were not delivered over the weekend.

As I walked in the door tonight around 7 PM though, it got even better! My cell rang and when I answered I was greeted by a recorded message from Telus Mobility. Turns out they were very sorry for the delay I had experienced Friday, and to apologize, they credited $5 to my account.

That’s the kind of thing that will make me a happy customer instead of a content customer. They went the extra mile. Well done Telus Mobility!

Ringtones are a complete rip-off

Post ImageI’ve never purchased a ringtone for my cell phone, and I don’t ever intend to – they are just too damn expensive. How expensive? On Telus, ringtones cost $3.50 CDN each. With Bell, they range from $2.50 to $4.00 CDN each. And on Rogers, comparable ringtones start at $3.00 CDN each, excluding a 75 cent download fee.

So after a little math we get an average cost of $3.50 CDN for a single ringtone. What else could you buy for $3.50?

  • My favorite – two items from the McDonald’s Value Picks Menu. And for 49 cents more, you could get one of the Value Meals.
  • You could purchase three complete songs from iTunes.
  • Two 710 ml bottles of Gatorade at Wal-Mart.
  • Almost two Grande coffees at Starbucks, or two Extra Large coffees at McDonald’s.
  • You could store 20 GB of data at Amazon S3 for a month. Or 1 GB for 20 months. Or you could transfer up to 15 GB in a month.
  • Any one of the 63,275 items available on eBay in just the DVD, HD-DVD & Blu-ray category that are less than $3.50.
  • A breakfast sandwich from Tim Horton’s.
  • And of course, three items from pretty much any dollar store!

Can you think of a worse deal? Cupcakes are expensive. Perhaps gas – you could only get 4.3 liters in Edmonton today for $3.50 CDN. Transportation in general sucks actually. One trip on ETS costs $2.50 CDN.

The high price of ringtones is just sick. Why pay Bell $4.00 for a ringtone when you could pay them $5.99 and get an entire movie streamed to your phone? It’s absurd.

Please don’t buy ringtones – it only encourages the wireless carriers to charge such ridiculous prices.

Txt Msg Troubles on Telus

Post ImageI guess you could say I’m a bit of a text messaging addict. It’s a very useful technology, and I try to make the most of it. So when something went wrong on Saturday that prevented me from receiving messages, I almost went crazy! In the morning, Dickson had sent me a message. Throughout the day I continued to get the same message, over and over, until I stopped receiving messages altogether around 6 PM.

I called Telus today to get it fixed, and after a quick phone call, everything was back to normal (I then received 23 text messages and 3 voice mails all at once). The lady that helped me was very friendly, and certainly seemed to know what she was doing. I asked her what went wrong, and this is what she said:

Sometimes if you are sent two messages at the same time, it causes problems with the queue. I was able to send two test messages to your phone that cleared up the jam.

Now I can only assume that she was trying to answer my question in layman’s terms, but still, doesn’t that sound like an odd reason? I mean what is the point of having a queue in the first place? The queue is there so that messages can be sent reliably, even if they are sent at the same time!

I’m really kind of curious about how the system works now. I also wonder if Telus is using an in-house system or a solution provided by a third party. Either way, it seems some improvements could be made!

Also: I should note that there was absolutely no wait time to talk to someone (minus the stupid speech recognition menu which took a couple minutes). This is a BIG improvement for Telus…normally you have to wait forever!

Canada to tax Income Trusts

Post ImageBy now you’ve probably heard that Finance Minister Jim Flaherty announced today a new tax on income trusts. The decision has drawn lots of criticism, especially since it comes just three weeks after BCE proposed the biggest trust conversion in our nation’s history. Telus was another major corporation looking to transform itself to an income trust.

So what the heck is an income trust? That’s been my question throughout all of this. According to Wikipedia:

An income trust is an investment trust that holds income-producing assets. The term also designates a legal entity, capital structure and ownership vehicle for certain assets or businesses. Its shares or “trust units” are traded on securities exchanges just like stocks. The income is passed on to the investors, called “unitholders”, through monthly or quarterly distributions.

Interestingly, the article also points out that they are most common here in Canada.

Anyway, that definition helps a little, but not a lot. When I heard that “BCE wants to turn itself into an income trust”, I thought, “but they are a company?” So if I understand things correctly, they just wanted to save some money on taxes, and becoming an income trust would allow them to do so. And indeed, as the CBC article points out, BCE would have saved itself $800 million in taxes by 2008. That’s some serious dough.

Actually, it turns out the CBC article is more helpful in understanding things:

Trust conversions are increasing in popularity because trusts do not pay corporate tax. Instead, they pay out most of their income in distributions to unitholders, who then pay tax on those distributions at a preferential rate.

Clearly, the government was not happy that it would be losing so much tax money. Existing trusts have a four year grace period until the new tax takes effect, while new trusts face the new rules immediately.

I don’t know if this is a good thing or not. I simply don’t understand things enough to say one way or the other. Certainly the markets don’t like the new rules. My feeling is that companies like BCE and Telus simply discovered a weakness in the laws and sought to exploit it. The government realized it had a problem, and took immediate action. Which one of them is correct? I don’t know. Tax avoidance probably isn’t a good thing for the country, but on the other hand, the companies were not breaking any rules. I can only hope that Mr. Flaherty’s rhetoric about income trusts hurting the economy is true, and not just a statement made up for his own purposes.

Read: CBC News