>> Apple should buy CompUSA <<
Why is that? Do you think that Apple may be able to salvage a retail chain that is mismanaged to the point of near collapse? Is there an unrealized value in the company that would be worth the huge investment in dollars, time and energy?
I agree that in the current retail climate, Apple could be served better by stores dedicated to Apple products rather than the current situation of stores serving as computer supermarkets; where software simplification is misinterpreted as lacking performance and flexibility, as necessarily complex evaluations are tossed aside in a simplistic assessment based on price alone.
But then Apple would face the same problems the retailers face, how to maximize return on the high overhead of retail floor space. Apple, if it bought CompUSA, would be placed in the unlikely position of having to either sell Wintels in its stores or get rid of them and suffer the loss of volume in retail sales.
A more palatable solution would be for Apple to "invent" a franchise store. Apple would serve as a guide to franchisees in setting up the retail space and stocking merchandise for the Macintosh market. Apple would provide brand identity as well as co-op advertising and could even serve as peripheral and software wholesaler for third party products. The key to making this plan work has to be in finding franchise investors willing to take a chance on building a business that has no proven track record. To that end, Apple could get it started by co-oping the first several stores in key markets with matching funds at low interest rates or partial ownership.
Call it AppleAmerica or MacTree.
I envision the franchise plan to include a common store layout, that of four service points surrounding a central retail display area. The end result would be a 4 profit center store.
RECORDING STUDIO
One service area would be a complete professional recording studio, with both audio and video stage, blue screen and editing. A staff expert would run the service as both a showcase and a profit center leasing time in service. Sound proofing the room from the rest of the store would be essential.
DTP STUDIO
The next service area would be a complete desktop publishing studio. Again, a staff expert would be responsible for running the service as a separate profit center, with high end type setting and plotting. Emphasis would be on making page setting and engineering drawing to print services available.
ARCADE
The third service area would be for kids and young adults; a Macintosh based arcade with network game play. The store could charge for time on the machines but may be served better by simply managing a reservation system as the staff expert schedules events such as Marathon shoot offs, Quake madness nights and Unreal gatherings. The traffic generated here would increase hardware sales and would be worth a fortune in word-of-mouth advertising.
RETAIL SALES
Central to it all would be the Macintosh sales center. All things Mac would be available including both peripherals and software. An expert sales staff working on commission would also serve as resident experts, establishing word-of-mouth advertising from happy customers and repeat business.
SERVICE
All computers stores should have a service department. The stock room with a service window to the retail area would complete the rectangular shape of the building. Though his presence in the store is represented only by a window onto the main floor, the technician operates the forth profit center, and provides on-site installations when called for.
IMHO this is a model of Apple involvement in the retail channel that will serve the company well. Perhaps as the company becomes more confident in its ability to stay the course over the long haul, we will see something happen in this area. Until then, I guess we'll just have to suffer the outrageous circumstance of being the piccolo of the computer industry orchestra, relegated to a tenuous grasp of requisite retail shelf space.
Ahhh... It would be glorious!
HerbVic |
