Comments on: Microsoft follows Apple into the retail business

The company said Thursday that it will open its own line of retail stores and has hired a Wal-Mart veteran to lead the effort.

[Vegaman_Dan]

The article states this store model was built in the fall of 2008. I'm curious where it is. I travel all over campus and the only place I can think of that any new construction like this would be in possibly building 92. That's where the Company Store moved to, but that store is mostly for MSFT branded stuff like clothing, cardkey holders, pens, software, etc. It felt more like browsing through a Skymall catalog or Sharper Image.

I don't know about this store model. If they allow business partners in like the OEM's, then that could really be something. If it's a kiosk sort of thing that they put in retail stores, then I don't see it doing so well. Apple's had a lot of trouble with Best Buy not supporting them as promised (byzantine rules about staffing, distance between their display and any competing product, how to contact customers, etc).

I suppose the only thing to do is keep an open mind about it. See what happens when it happens.

[Pishkado]

Just what the world is asking for: someplace to buy a Zune.

[alex-cnet]

Hmm, might be cool. They can use free Xbox gaming to attract customers. Have a section dedicated to the Zune, trying to make it look stylish. Then they will have sections for Windows, Windows Mobile, Home Server and theater type stuff... Maybe even a troubleshooting and help section. They are going to need a big store, especially if they want a troubleshooting section.

[Nataku4ca]

funny how so many ppl just say "copy", What ever MS do they will say copy... Ever consider the fact the this is a part of a strategy to expand like all other business like sony, apple, etc?

apple's store made it easier for people to get apple products, it wasnt easily found in a store back then at least in my area, sony's was more for branding imo, where microsoft's is heading remains to be seen but at least i believe it will allow consumers to find out what other products they have on hand, as i believe there are a bunch of people that don't know what other products MS has other than windows and I/O devices

at least I for one am interested in seeing what the outcome of the retail store end up as

[rccoffee]

When I go to the Apple Store, I see computers designed by and made for Apple with all the basic Apple software included. I can buy additional Apple Software and third-party software, some external speakers and some printers, scanners, all-in-ones and extended hard drives. I can make an appointment with the Genius Bar and take my i-Pod, desktop or laptop with me for help. This is why I switched to a Mac. Apple offers both free and paid training for customers.

I can see Microsoft selling MS software orX-Boxes or Zunes but will they sell third-party hardware? Can someone bring in a DELL or HP or Sony, etc. that is not working and get it fixed under warranty? If there is a problem with MS software, will they be told that since it is an OEM version, they have to contact the computer manufacturer or will MS just fix it?

If Microsoft offers full service as does Apple, this would be great but if MS only wants to sell boxes like Gateway (I went to one store twice), I don't think that this would work. Perhaps MS will buy or start a computer manufacturing facility and stop the ping pong effect between MS and the computer manufacturers. Imagine a Microsoft computer with basic Microsoft software included and a reasonable 3-year warranty available at Microsoft Stores? Boggles the mind, huh?

I wish Microsoft well.

[Akiba]

If they carry the right models there is definitely a market for this. The current retail experience for PCs isn't very good and the selection is terrible. You generally need to go online to get the good stuff and a lot of people want to see and touch what they are about to buy. If Microsoft can accommodate that void then they should be fine.

[contentcreator--2008]

I think this is a loss leader. Predict <50% floor area devoted to products actually for sale: mice, keyboards, software in boxes (probably the kind with nothing in them), products from Dell, HP etc who pay dearly for the privilege of having their products seen but not actually sold, plus the odd T-shirt. Very unlikely they can or intend to break even on this.

I think the main part of the store will be image-oriented, nothing directly for sale. Stations making the case for windows application areas: here's the photo area, here's the music area, here's the office area, here's the Windows Live blah blah area, etc. Each with glossy how-to orientation and resident expert, and maybe pointers to 3rd party s/w apps for experts. That would be a strength vs Apple's monolith. Maybe sessions for businesses, something you don't see at Apple either.

The third leg would be a help desk. (For bonus points, delivered remotely from Bangalore)

Apple has been pitching it's "lifestyle" story for a while. If M/S defends itself, it seems a tad capricious to say they are being a me-too.

[ppgreat]

The fact that the folks behind this come from Wal-Mart should be an indication as to how they view this.

Even the people talking in the video keep mentioning enterprise buzz words/phrases: empowerment, immersive experience, impacts the back office, outputs of our consumer research, merchandising strategy, how we look at operational costs and efficiencies...

And they're looking for "hip neighborhoods" to set up these stores. What the heck does that mean? You're walking down the street and see: local coffee shop, trendy homemade jewelry store, Microsoft store, super cool bistro.

Come one, Microsoft. It's just not in your DNA.

[mpitogo]

You guys are being to hard on them. I'd walk into a store to look at a zune, an xbox or admire the nice graphics on the vista box along with some surface tables, dozens of clones of PC's and phones. Its cool to see it I would guess.

[t8]

Microsoft, you need to be cool to sell your wares in your own branded shop.
Putting PC guys outside the door and inside the shop all wearing brown suits and selling Zunes isn't going to work or do much for your image. But hey, waste your money and make a fool of yourself. It will be a bit of a laugh at least. By the time you realize that you have failed, and that you threw less resources at your OS as a result, coupled with the rise and rise of Google and Apple, it will just be too late.

[mbmpdx]

How sad Microsoft can't innovate ANYTHING anymore :-(

[not_dead_yet]

here is a picture of the new Microsoft Store:

http://cache.gizmodo.com/assets/resources/2008/04/flandersmicrosoftstore.jpg

[canberra_photographer]

Epic mistake. Apple's retail arm works because they sell tightly integrated hardware and software as well as accessories for their products, hence it's a one stop shop. Microsoft has it's software chopped and diced to fit on heaps of devices and sells mediocre accessories. They will sell what regular retailers sell but likely without the competitive edge

[cwkoller]

The challenge is going to be for MS to present a clear, compelling story to its customers without overwhelming them with complexity. The Apple store is clean and inviting. The only real chaos is the customer traffic. Look at Windows alone - how many boxes are they going to stock? Six? Whereas with Apple, there's basically one workstation OS - unless you want the family pack.

Somebody at MS is going to have to draw the line on store featuritis. If this thing is designed by committee, as so many things at MS have been, it'll definitely suffer by comparison to the Apple Store, however it may still succeed with MS's core buyers. Then again, I imagine a lot of people might check products out at the MS store, then run home and buy the cheapest version online.

We'll see...

[Heebee Jeebies]

Typical that Microsoft would choose to pattern its stores after the most evil retailers on the planet Walmart.

Robert

[thebes123]

The risks are higher than any possible benefit.
Stores--even the concept of customer--are indeed alien to Microsoft's culture.

These stores had better have good security. The economy has put consumers in no mood for Microsoft's usual answers.

[kerjeman]

Utterly pointless -- Microsoft looks like it's floundering. In a recession (that gives every sign of going deeper into a depression), what good will retail outlets do? At least MS stores will have a bigger hiring pool from the ranks of the unemployed, and may sell a few more copies of "Windows Vista 7" (but only if store employees get a company discount).

Businesses that are laying off staff by the hundreds of thousands are more likely to foxhole their IT purchases, not increase their hardware and software budgets for Vista or Windows 7. Windows XP still works just fine for most companies, still holds the leading market share, and will stay there for the foreseeable future..

Operating System Market Share
http://marketshare.hitslink.com/operating-system-market-share.aspx?qprid=10

MS would do well to reinstate and resell XP again. If you want to have good customer service, shouldn't you serve your customers what they obviously want to keep buying?

[dbloyd]

I wish Microsoft would copy Apple exactly on everything. I would love to run Microsoft OS X on generic hardware instead of this Vista / XP ware.

[bdaughtry]

Why would Microsoft do it? I can think of two reasons...

1. Want to be successful, do what successful companies do. Apple has been very successful, so Microsoft is going to emulate that success if they can.

2. Microsoft may not be happy with the way their OEM partners are portraying their products. So, they may feel the need to be able to demo Win 7 (Vista III) in a better environment. Perhaps they feel they can do a better job of educating the benefits of Winders from their own stores.

[Inconnux]

At least Xbox 360 owners will have somewhere to bring their consoles when they get a RROD.