Buddy Technologies secures Costco and Lowe’s as distributors for LIFX smart lights

Buddy Technologies BUD ASX LIFX Costco Lowe's
LIFX smart lights will be sold in the US through Costco and Lowe’s.

Cloud-based smart lighting specialist Buddy Technologies (ASX: BUD) has added retail giants Lowe’s and Costco to the list of companies authorised to sell its LIFX smart lights in the US.

Costco is the world’s third largest retailer (after Walmart and Amazon) and the move to stock LIFX smart lights follows the same move made by Costco UK in June.

The company will stock LIFX smart light bundles, initially for sale through its online store which accounts for a large portion of consumer electronics sales.

The online channel will also cater to the possibility of new COVID-19 waves towards year end which will impact sales in physical retail stores nationwide.

Expansion to Costco’s 550 US warehouse clubs is expected in 2021.

Lowe’s network

Buddy Technologies has also received contracted purchase orders for LIFX smart lights from Lowe’s US network of more than 2200 stores.

The orders are in addition to $30 million in orders received during the company’s largest ever 30-day sales period announced earlier this month.

The achievement was a new record for the company and considered a “very robust result” given the worldwide economy and global impact of COVID-19.

Lowe’s is the nation’s second largest hardware chain (after Home Depot) and will become the largest retailer of LIFX products by number of stores.

US market reach

Buddy Technologies chief executive officer David McLauchlan said gaining shelf space at Costco and Lowe’s would substantially increase the company’s US market reach.

“We are bringing more smart light models to market, reaching a broader cross-section of the community, and selling at a range of price points in as many retail locations as we can,” he said.

“The addition of Costco and Lowe’s dramatically increases the footprint our LIFX brand has in the US and positions us directly in front of a very large mass-market consumer audience, priming ourselves for strong growth.”

Current sales

LIFX Wi-Fi-enabled lighting products are currently sold in over 100 countries via distribution and sales partnerships with leading retailers and ecommerce platforms including Amazon, Google, Apple, JB Hi-Fi, Bunnings and Officeworks.

The smart lights are used in nearly one million homes and viewed as second only to lighting giant Philips Hue.

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