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Economics Articles - Apple Watch

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The article “WHY APPLE DOESN’T WANT YOU TO LINE UP FOR ITS WATCH” examines the new selling strategy Apple has set in place for its new product. Business Insider was able to obtain an internal document from Apple which expounded on its reasoning for the change. The memo suggests that employees have the customers try on the watch in store and then encourage the purchasing of a product online. Apple firmly believes that their iWatch will not have enough supply to keep up with the demand come release time. Apple is also testing this strategy to help overcome “showrooming”. This process is when a brick and mortar store becomes a place for customers to see the product at hand and purchase it online for a lower price. Apple believes that this unique method of selling the iWatch will help combat showrooming. The article argues that Apple’s new marketing technique has the ability to alleviate an unsettling problem for brick and mortar stores. Not only does it force shoppers to buy through Apple one way or the other, but it also alleviates any tensions that may arise from limited in store quantities. Previous releases from Apple have caused many people to wait in line over night to come up empty handed in the morning when the stock dried up. Through the online-only selling method they will be able to convert more customers into buyers. I personally believe that this newfound strategy could backfire for Apple. The article does not state if the iWatch will be sold in stores once the quantity meets demand. However, human beings are very fond of the notion of instant gratification. The ability to get your gadget the moment you desire is a very strong selling point for a customer. Personally I have camped out overnight for an iPhone solely due to the fact that I wanted it on release day. The allure of an impulse buy from a customer is now lost to Apple due to their online only sales method. On the contrary this new measure may create ne

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