Apple Watch Orders Exclusively Online at Launch, Demand Expected to Exceed Supply

[colem1]

so what Angela'a really saying is....come to the store and try it on...fine, and go home to order. ? I think they're going to lose a lot of folks who won't make that final step to close the sale. I think they'd be better off having a kiosk/dedicated computer/ipad where you can order it in the store right after trying it on.

Yes, but two factors:

1. Doesn't the Apple Store have dozens of computers?

2. This device NEEDS an iPhone, which they can easily just get the app right there, as they will probably have it, after all " iPhones are never more than an arms length " - Tim Cook

 

[citysnaps]

OR, "hey let's to the old demand is outstripping supply" scarcity tactic again because it whips up press coverage and hype every single time. "We love free advertising!"

Same-o, same-o tired response to when Apple introduces a new product and despite maxing the capacity of their vendors (dealing with yields for cutting edge tech), assembled by the largest manufacturing companies in the world, and employing huge shipments, Apple somehow consistently and cleverly manipulates the market in their favor, fooling everyone. Except you.

Just like the iPhone 6, right, where for the first 3 or 4 months it was very difficult to purchase one. All manipulated, right? And that's how they sold 74 million phones in its first quarter, right?

To make that assertion you for sure must have detailed inside information supporting your theory of artificial scarcity, so please share the details here.

 

[phillipduran]

I've never liked when people tell me what the best anything is for me. I define my best experience as not dealing with salesman or making appointments. The best they could do for me is have a display with what I want on it, I go in, I grab what I want, I check out and I'm on my way. I do my research online, I don't need your people to tell me what fits me.

This overall attitude of "we know whats best" always grinds my gears.

 

[ChinaRye]

OR, "hey let's use the old demand-is-outstripping-supply" scarcity tactic again because it whips up more press coverage and hype every single time. "We love free advertising!"

I think this is the case here. Not to disparage Apple, though. As a company, they would be remiss not to.

The Watch hasn't proven itself like the iPhone has, so I have the feeling that many people are on the fence and will wait until they actually see one in action. Even then they might not be sold on it.

But I am prepared to eat my words!

 

[EW800]

Wasn't Angela brought in to enhance and build the in-store retail experience? She keeps putting out statements pushing people to go on-line. Odd strategy in my opinion....

 

[mdelvecchio]

OR, "hey let's use the old demand-is-outstripping-supply" scarcity tactic again because it whips up more press coverage and hype every single time. "We love free advertising!"

I can't believe some of you actually believe this stuff. as if Apple needs the attention. as if these miniaturized computers weren't incredibly difficult and time consuming to produce and don't actually come out of thin air.

 

[macduke]

It appears to me that Angela's goal might be to either slim down Apple stores, or expand them in their existing space so that they remodel and take out the stock room, or perhaps both.

If you slim down Apple stores, you can have more of them and/or more easily embed them at other retail partners. If you remodel to remove the stock room and push online sales, you end up with a larger space to show off future (and expanding current) Apple products. I think that may be a serious concern as Apple dives into new areas such as wearables, has expanded the iPhone and iPad into multiple sizes (including a rumored iPad Pro), and is rumored to be expanding their TV-related business. How do you display all of those products at once in your front of house, while also having to make extra space in the stock area for direct sales? It seems like this is coming from necessity, and if so it's a smart move.

Their physical store would become a showcase for all of that stuff, how to use it, support, and then you can order everything online. Although honestly I wonder if they would stop doing even basic repairs in-store to make room. Apple could build large warehouses in each state and around different countries, much like Amazon, and ship products to customers in 1-2 days. These same facilities could also house repair centers and quickly ship them back to customers.

 

[i5pro]

Can you not use one of their computers/iPads on display or your phone to order it right in the store?

Of course, but since i had to make an appointment to try it on, they can "help" me order it and close the sale right there...enhancing the customer experience.

 

[Kaibelf]

Of course Apple is "expecting" this demand. But the markets, tech news sites, etc. appear not.

I wonder if this time Apple with withhold supply to make the appearance of demand, thereby creating a market of lemmings wanting to buy it because they cannot have it.

Also, FWIW, I'm 100% Apple, love Apple products, etc. But the iWatch is a solution to a non-existent problem.

So was the iPad. I do wonder, however, why you feel the need to call others names if you don't approve of how they choose to spend their money. Isn't that a little juvenile? It's not like it's your money, or anyone would or should need your approval.

 

[TimUSCA]

Of course Apple is "expecting" this demand. But the markets, tech news sites, etc. appear not.

I wonder if this time Apple with withhold supply to make the appearance of demand, thereby creating a market of lemmings wanting to buy it because they cannot have it.

Also, FWIW, I'm 100% Apple, love Apple products, etc. But the iWatch is a solution to a non-existent problem.

So was the iPad.

I love how you just set things up so that if they DO sellout, it's because they held back supply. And if they don't sellout, the product sucks.

 

[Kaibelf]

Wasn't Angela brought in to enhance and build the in-store retail experience? She keeps putting out statements pushing people to go on-line. Odd strategy in my opinion....

A good part of the retail experience is the store not being so packed you can't even get help or you keep bumping into people unnecessarily.

 

[Chcougar1]

IT's more like whats the point of a retail store....Make the store a showroom, direct all sales online, and service the products? Doesn't sound like a good recipe for success.

Granted they started exclusively online, but the men's clothing brand Bonobos has "guide shops" where you can see and try on clothing in person and get assistance from staff, but their sales are exclusively online. It seems strange but I wonder if this is the direction retail is heading. Less inventory at stores, everything shipped from warehouses, etc.

 

[shk718]

One thing that astounds me is that, on one hand, Apple/Angela Ahrendts talk like they are trying to make the Apple experience a more luxurious/higher end product, yet large portions of the purchasing public have to get out of bed at ridiculous times in the slim hopes of ordering a launch day product. Believe me, there is nothing classy about seeing me at 3am* sitting in front of my iMac in my boxers!

*No, nobody is FORCING me, I get it.... But it all seems rather contradictory to me, just my opinion.

I agree - I think Angela is proving herself to be another failed retail manager - and if you don't have supply then why offer the watch in China at launch? Delay it. I don't care that its your new frontier - you don't have enough supply for it.

 

[Locoboof]

For the love of God....... Please have your servers ready apple. Please

 

[dannyyankou]

Apple is doomed..... Hope I am proved wrong...

Oh you will be, don't worry.

 

[2457282]

As I have mentioned before, I hope Apple does well with the watch, but I feel they are screwing up the launch entirely. They want to sell this like fashion. But with fashion, a big part of the process is the impulse or passion created in store when trying it on. The whole approach of having to make an appointment to try it on and then only in certain configurations, only to be rebuffed if you want to buy it seems way off. "So glad you like it, but sorry you can't have one. Please visit our website, order it and come back in a month to pick it up." That is just such a bad customer experience. I would have expected better from Angela with her background.

 

[Chcougar1]

It appears to me that Angela's goal might be to either slim down Apple stores, or expand them in their existing space so that they remodel and take out the stock room, or perhaps both.

If you slim down Apple stores, you can have more of them and/or more easily embed them at other retail partners. If you remodel to remove the stock room and push online sales, you end up with a larger space to show off future (and expanding current) Apple products. I think that may be a serious concern as Apple dives into new areas such as wearables, has expanded the iPhone and iPad into multiple sizes (including a rumored iPad Pro), and is rumored to be expanding their TV-related business. How do you display all of those products at once in your front of house, while also having to make extra space in the stock area for direct sales? It seems like this is coming from necessity, and if so it's a smart move.

Their physical store would become a showcase for all of that stuff, how to use it, support, and then you can order everything online. Although honestly I wonder if they would stop doing even basic repairs in-store to make room. Apple could build large warehouses in each state and around different countries, much like Amazon, and ship products to customers in 1-2 days. These same facilities could also house repair centers and quickly ship them back to customers.

You beat me to it. I think this is the direction retail is going.

 

[EW800]

I agree - I think Angela is proving herself to be another failed retail manager - and if you don't have supply then why offer the watch in China at launch? Delay it. I don't care that its your new frontier - you don't have enough supply for it.

I tend to agree. While it is still somewhat early, I am not sure that Angela will go down in history as a positive in regard to the retail experience.

 

[Bazooka-joe]

Didn't I read on here a little while back that you could pick up your watch from the store and have an apple employee assist you with connecting your watch to your phone and go through all its functions?
How are they going to do that if watches are home delivery only. Personal visits to our homes perhaps?

 

[Imacdan]

I hope Apple servers can handle all of the preorders!

 

[Locoboof]

Can you imagine all the people who don't pay attention online and just know the pre-orders are tomorrow? Sleep outside,wake up to find out all the appointments are gone for the day. Lol

 

[Chatter]

Same-o, same-o tired response to when Apple introduces a new product and despite maxing the capacity of their vendors (dealing with yields for cutting edge tech), assembled by the largest manufacturing companies in the world, and employing huge shipments, Apple somehow consistently and cleverly manipulates the market in their favor, fooling everyone. Except you.

Just like the iPhone 6, right, where for the first 3 or 4 months it was very difficult to purchase one. All manipulated, right? And that's how they sold 74 million phones in its first quarter, right?

To make that assertion you for sure must have detailed inside information supporting your theory of artificial scarcity, so please share the details here.

Did you just give a logical intelligent response to that guys comment? Save your time sir and just roll your eyes!

 

[MasterRyu2011]

What's going on with Apple's supply chain management? Why does it seem that every product launch comes with a shortage? Surely, they have the money to come up with some better predictive analysis.

 

[shk718]

They are obviously going with the withholding supply tactic. Once the new iPhone comes out, they will flood the market. Just "watch".

thats a rather stupid marketing method - seeing a headline that Apple sold 1 or 2 or 5 million watches over the weekend is a much better tool. Holding back sales makes no sense.

 

[OllyW]

It appears to me that Angela's goal might be to either slim down Apple stores, or expand them in their existing space so that they remodel and take out the stock room, or perhaps both.

If you slim down Apple stores, you can have more of them and/or more easily embed them at other retail partners. If you remodel to remove the stock room and push online sales, you end up with a larger space to show off future (and expanding current) Apple products. I think that may be a serious concern as Apple dives into new areas such as wearables, has expanded the iPhone and iPad into multiple sizes (including a rumored iPad Pro), and is rumored to be expanding their TV-related business. How do you display all of those products at once in your front of house, while also having to make extra space in the stock area for direct sales? It seems like this is coming from necessity, and if so it's a smart move.

Their physical store would become a showcase for all of that stuff, how to use it, support, and then you can order everything online. Although honestly I wonder if they would stop doing even basic repairs in-store to make room. Apple could build large warehouses in each state and around different countries, much like Amazon, and ship products to customers in 1-2 days. These same facilities could also house repair centers and quickly ship them back to customers.

I don't think I would bother making the effort to travel into the city again to visit my nearest Apple Store if I couldn't make the purchase while I was there.