Our Macs? They’re in the Back Between the Toasters and PCs.
by John Paczkowski
Posted on May 19, 2009 at 11:15 AM PT
Those store-within-a-store Apple boutiques that have been appearing in Best Buys (BBY) around the country may soon start popping up in Wal-Marts as well. That’s the word from Ben Reitzes, an analyst with Barclays Capital, who thinks the retailer hopes to add the Mac to the PC lines it peddles.
“We believe Wal-Mart is actively pitching Apple to carry more products,” Reitzes said in a research note this morning. “With Wal-Mart improving its retail displays, we believe that the mega-retailer could eventually earn the right to sell select Mac products without diluting Apple’s brand….Apple is very particular and exclusive with who sells its Macs and any ‘Mac experiment’ with Wal-Mart would likely start very gradually via a pilot program at first–just like Mac sales started at Best Buy….While we don’t expect an immediate impact this year and believe Apple would need to reposition its line-up first, we believe that closer ties to Wal-Mart makes sense.”
Indeed, Wal-Mart (WMT) could certainly bolster Apple’s (AAPL) distribution, particularly in areas without Apple Stores. A compelling proposition: broader access to the mass-market consumer without the infrastructure costs of a standalone boutique. And surely Apple has overcome its aversion to Wal-Mart now that the big-box retailer has been peddling its iPhones for so long.
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Comments
I’d love to see more Mac software and products available in locations like Walmart. They’ve got the iPods already. I love Mac stores but would like other options.
Posted by Ken Okel at May 19th, 2009 at 11:48 ambuying an Apple product at Wal Mart is like buying coffee at Mcdonalds.
Posted by David Owens at May 19th, 2009 at 5:46 pmIf true, this is dangerous ice onto which Apple is venturing. Will lowly WalMart “associates” be up to the task of presenting the Mac in the proper light? Will they be able to intelligently answer questions? Or are we harkening back to the days when Performas and Quadras were sold at Sears and Kmart, lost amongst the hordes of Compaqs and Dells with which they fought for shelf space?
Posted by Steven Thomas at May 19th, 2009 at 10:47 pmThis is just another analyst bloviating without any real facts to share. The success of Apple’s retail stores is better per square foot than any other retail store of any kind. Vastly more profitable than even Tiffany’s.
So what would Apple gain by selling Macs at stores with poorly paid associates? Apple’s choices for retail locations has always been high-end Malls where people with money can walk into the store while shopping for other things.
There’s not much chance the typical Wal mart shopper is going to pay the premium to get better computers when cheaper is there. Not even Microsoft dares to take one of their “hunters” from their recent ads to Wal mart. There’s a stigma attached to the company that flies in the face of Apple’s image.
Not to mention Apple has standards for companies and how they treat their employee’s requires something better than average. Wal mart is not the first company that comes to mind when the issue of treating employees well comes up. I suspect Costco would be a MUCH better fit.
Not to rumor mongers: I don’t know about any deal between Costco and Apple.
Posted by Eric Welch at May 20th, 2009 at 8:36 am