Who should worry more, Best Buy or the Apple Store?
Apple and Radio Shack are probably the two most successful electronics brands to have retail stores dedicated to selling their own products direct to the customer. Radio Shack of course is a much different business model, more of a commercialization of the hobby electronics store, where as Apple stores are dedicated to selling and supporting Apple products. Microsoft’s now telegraphing they’re planning to give the Microsoft store concept a try, something we might see in about two years or so. But if Microsoft wants to mimic the success of the Apple store, will Microsoft really copy all aspects of Apple’s store concept? And who should be more worried, Best Buy, Apple or Microsoft partners?There are some important decisions to be made about what needs to be in Microsoft stores in order to make a go of it. Microsoft’s strengths would be in Windows 7, Office products, server and infrastructure software, keyboards and mice, XBOX console game systems and software, game software, and books, books and more books about Microsoft products. I think Microsoft would do well in most if not all of these areas, though they may not sell as much of the infrastructure software in a retail store setting. The weaker areas would be the Zune mp3 player and possibly Windows Mobile, though Windows Mobile 7 should be out in that two year window.The two biggest question marks are; will Microsoft stores sell 3rd party desktops, laptops and cell phones, and will Microsoft stores include support services (hardware and software)? The speculation seems to be Microsoft will sell laptops and PCs, but no indication yet about support services. Support and repair services are one of the big reasons for Apple store successes, but it’s more important for Apple to offer these since there are far fewer options to get Apple support and repair.Microsoft stores are probably a greater concern to the Best Buys, Staples and Office Depots, but those retail outlets offer a lot more than just Microsoft products. Selling lots of other 3rd party products would seem to delute the focus and purpose of having a Microsoft store. Let the Best Buys, Staples and Office Depots sell a variety of products. Microsoft stores are important to Microsoft because of their proximity and access to customers vs. widely available products or services found elsewhere.
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Also visit Mitchell’s other blogs and podcasts:
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