why Apple is the best retailer in America
Apple’s New York City store
a very interesting article at CNNMoney about how well Apple’s stores are doing and how much effort was spent on perfecting the shopping experience.
“People haven’t been willing to invest this much time and money or engineering in a store before,” says the Apple CEO, his feet propped on Apple’s boardroom table in Cupertino. “It’s not important if the customer knows that. They just feel it. They feel something’s a little different.”
And not just the architecture. Saks, whose flagship is down the street, generates sales of $362 per square foot a year. Best Buy stores turn $930 - tops for electronics retailers - while Tiffany & Co. takes in $2,666. Audrey Hepburn liked Tiffany’s for breakfast. But at $4,032, Apple is eating everyone’s lunch.
“One of the best pieces of advice Mickey ever gave us was to go rent a warehouse and build a prototype of a store, and not, you know, just design it, go build 20 of them, then discover it didn’t work,” says Jobs. In other words, design it as you would a product. Apple Store Version 0.0 took shape in a warehouse near the Apple campus.
The most striking thing, though, is what you don’t see. No. 1: clutter. Jobs has focused Apple’s resources on fewer than 20 products, and those have steadily been shrinking in size. Backroom inventory, then, can shrink in physical volume even as sales volume grows. Also missing, at the newest stores, anyway, is a checkout counter. The system Apple developed, EasyPay, lets salespeople wander the floor with wireless credit-card readers and ask, “Would you like to pay for that?”


April 12th, 2007 at 4:33 pm
[…] why Apple is the best retailer in America […]
April 13th, 2007 at 3:35 pm
Blaine,
Apples cool, but hello Helio: http://www.economist.com/displayStory.cfm?story_id=9022169&fsrc=RSS
B