“Apple’s new Senior Vice President of Retail and Operations, Angela Ahrendts, recently attended the opening of Apple’s new London store,” Mark Reschke writes for TGAAP. “Ahrendts was in Omotesando, Japan to unveil another large-scale, two floor Apple retail storefront yesterday. While much of the media focus has been on Ahrendts herself — and the amazing retail glass architectural wonders Apple continues to erect — it is Apple’s direction for retail outlets that merits investigation.”
“On the international stage Apple is loudly promoting its large, standalone retail stores,” Reschke writes. “However, in the U.S., Apple is very quietly moving into ever larger spaces.”
“In 2003, 13.9 million people visited an Apple store. Today, Apple has 425 retail locations, and sees over 425 million customers annually. The original sizes of Apple’s mall stores are no longer able to handle the ever-growing traffic the company is creates with its constant flow of never ending products. Apple’s mall storefronts also struggle mightily in being able to adequately service customers due to the massive amount of foot traffic. The majority of Apple’s retail stores no longer represent the open, friendly vision Jobs brought to market. Rather, the stores are now cramped, loud and physically difficult to navigate,” Reschke writes. “Apple’s waiting for long-term mall location leases to expire isn’t a strategy Apple can control or leverage as they grow. The result is Apple retail is moving in a new direction, building more of its own stand-alone storefronts.”
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