Question-and-Answer Session
Operator
(Operator Instructions) Your first question comes from David McGee – Sun Trust Robinson Humphrey.
David McGee – Sun Trust Robinson Humphrey
Can you give us a little more color regarding the ASP pressure out there? Are you seeing it more on the larger TV's, the smaller TV's? And as a second part to that, how important will LED models be to your assortment this fall? Are they of size and price points that would matter to your customers right now?
Timothy Frank
Certainly on the LED front, and then I'll talk to the average selling price. LED is a very important new category as it really fits with our model of trying to mix the product, using our credit as buying power leverage for the consumer to get them into a higher quality product and larger screen size.
It certainly fits with our commission sales model. It fits with the fact that those TV's, being larger generally have to be delivered, and so it is a very important part of our business. There is a lot of competitive pressure there as there is across all of the TV segment right now, although I'm certainly not very excited about the fact that our average selling price, the overall class of product fell more than 25%.
Certainly we are not, and I am not willing to forfeit market share at this point. We feel it's very important to defend the market share and in fact expand market share. We do have to work smarter at getting our same store sales up. But certainly LED is very important to us. The average selling price of those TV's being down 25% again is not exciting, but we're going to defend our market share.
David McGee – Sun Trust Robinson Humphrey
How do you see this playing out over the next several quarters? Just based on your history in the sector, and prospects for hopefully better economic conditions and new products, but you still have this grab going on for market share. How do you see the next three quarters playing out with regard to the ASP? Certainly comparisons are easier. That's one positive.
Timothy Frank
Absolutely. Third quarter should be a good quarter for us because of the comp comparisons that were created by the two evacuations that we had to do last year. So we would expect the third quarter to be a strong quarter for us.
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