NORTH SIOUX CITY, S.D., May 27 (Reuters) - Gateway Inc. on Wednesday unveiled a new sales
program aimed at prodding more home purchases of personal computers.
Called "YourWare," Gateway's new purchase plan allows buyers to specify the hardware, software and
service options included in their purchase.
Options also include simple Internet access -- Gateway, unlike many PC companies, offers access
through its own service -- and financing options such as allowing monthly payments on purchased
systems to be spread out over several years.
In a twist, Gateway will also offer buyers the chance to upgrade all or part of their systems after two
years and get average wholesale prices for the replaced part or system.
In an interview, President and Chief Operating Officer Jeffrey Weitzen said the program was aimed at
overcoming what Gateway sees as the top obstacles to direct sales of PCs.
"When you look at people considering the purchase of a PC but are on the fence, about 75 percent are
hung up on price, usability and fear of obsolescence," Weitzen said. "This program is targeted at
overcoming all three."
Gateway, which like Dell Computer Corp. (Nasdaq:DELL) sells computers direct to customers,
configuring the systems to buyer specifications, will broaden its software bundling options.
Available packages will include standard applications like word processors and spreadsheets, for
example, or be tailored to targeted categories like education or games.
Unlike Dell, Gateway has embarked on a retailing initiative, opening showrooms across the United States.
The stores only display systems, however, and do not carry computers for sale. Rather, customers place
orders and get systems by mail, the same as Gateway's other customers.
Weitzen said that over time, the showrooms could play a bigger role in service, providing a local stop for
customers returning parts to Gateway under the upgrade program, for example. |
