A new source of HDTV sales

Target is promoting home installation services on flat panel televisions in its weekly ads following the online launch of the service last summer, when the company partnered with Minneapolis-based Zip Express. The service was introduced to consumers in the company’s weekly advertising circular distributed in Sunday’s newspapers, in stores and online on Feb.22. The advertising piece featured an emphasis on video games in the first three pages, with select games offered for $10 on the cover. The TV installation service was promoted on page four along with four TV’s ranging in price from $446 for a 26-inch Westinghouse to $1,098 for a 47-inch Phillips. Those are compelling prices, but Target stands to make more profit from selling ancillary services connected to the televisions. For example, a customer who purchases the Phillips model, buys a service plan and wants the television mounted on their wall the next day, will pay $79 for the service plan, $99 for the wall mount hardware and $299 for installation service in addition to a $200 fee for next-day service.