AT&T Expecting Crowds For iPhone Launch

[MacRumors]

The Boy Genius Report has obtained an internal memo that states that AT&T stores should prepare landlords for the iPhone launch next Friday, June 29th, including the acquisition of crowd control fences.

Also mentioned in the report is an initial inventory rumor that states that AT&T stores should receive between 100-250 units in the initial shipment. If this rumor holds true, it should still be noted that a recent report in USAToday indicated that customers not able to grab one on launch day would still be able to mail order one, with shipping in 3-5 business days.

The site had previously reported that AT&T stores would be closing at around 4:30 on that day to prepare stores for the iPhone launch, and to prevent customers from crowding the stores in the hours pre-launch.

 

[Le Big Mac]

They're turning this into a media event simply through hype!

While I'm sure there will be plenty of buyers, with a $500 starting price, surely there are some limits to the number of customers.

 

[nagromme]

We will see about demand Lots of products (and some phones) cost more than an iPhone.

They are definitely promoting the launch well--but I suspect the crowd fences are not a bluff. Some of the stores will need them.

The tazers are bit much though.

 

[Doctor Q]

This could be a public relations blow if the demand is much less than anticipated, there are ropes around non-existent lines, or stock doesn't run out. Could that happen?

 

[cjewby]

I just hope no one gets shot... a la ps3....

 

[cjewby]

This could be a public relations blow if the demand is much less than anticipated, there are ropes around non-existent lines, or stock doesn't run out. Could that happen?

I think lines can definitely be expected. Everyone will want to play with the demo phone at least - whether or not they will buy it is a different question. I plan on going and hogging the demo for at least 20 minutes haha...

 

[Rocketman]

They're turning this into a media event simply through hype!

Yep.

This effort to talk about crowd control, closing stores early to prepare, limited quantities per store, etc has several "audiences".

Of course they are getting consumer attention.

They are helping AT&T to maximize the benefit they will get from the Apple partnership through unprecedented mindshare and positive consumer feedback through both anxiousness to buy and satisfaction of ownership.

Also this is intended to make an impression on carriers in other regions besides USA north America. Apple has its sights on Canada, Europe and of course Asia. Those markets are particularly sensitive to "crowd behavior", so showing a fanatical response in the USA is important to the cross-region marketing. It almost doesn't matter how short the hype lasts either.

Note the release is "6pm local" across the USA. These stores are not staying open all night. They are selling 250-500 units per location and DONE. Maybe more the next day, MAYBE NOT.

AT&T has been adding EDGE bandwidth capacity system wide and really testing actual reception experiences so they can address initial customer inquiries and apply a sense of realism to answers. EDGE is only 2.5G, but it is very widely deployed in the USA and can be ramped to speeds in excess of low-end 3G.

Let the hype be massive and short lived. No week-long campsites in front of every AT&T and Apple store nationwide

Rocketman

 

[Macnoviz]

I sure hope all this preparation will be worth it. If the initial reaction is not as big as expected, iPhone may be DOA.

P.S. the Zune also had a hype

 

[cjewby]

P.S. the Zune also had a hype

What hype? It was DOA before it was even announced... I don't remember anything more than a few bloggers and excited anti-mac-heads. no lines or system upgrades..

But true.. hopefully iphone will do better.. (can't imagine it not.. )

 

[mags631]

This could be a public relations blow if the demand is much less than anticipated, there are ropes around non-existent lines, or stock doesn't run out. Could that happen?

It could. But, my take (not buying an iphone either) is that the iPhone is already a success based on the media attention alone. It's hard to argue that Apple and AT&T haven't significantly benefited from all the coverage and hype without a single phone shipped. Regardless of the concessions that AT&T has made to Apple, I'm guessing just the discussion about the iPhone have driven new, non-iPhone, customers to it.

But that's just an uninformed pointed of view... ;-)

 

[Squonk]

If I had one of those cappuccino carts, I could make a killing selling to people in line....

 

[EagerDragon]

IMHO we are going to see failrly big lines, everyone in that line probably have already made their mind (prety much) before arriving as the phone price is well known.

The twist is going to be the plan package, if the package is too high, the number of actual buyers will be severly reduced in the area of about 20% of people in line will bite, versus 80% will buy.

The big killer is going to be the data plan. Minutes and texting they can not rape you on since the are exactly the same cost regardless of phone. Only the data plan is an unknown.

I expect that the data plan will be closer to blackberry than to any other plan (most expensive), it will be similar to a laptop rate as they expect the iPhone to have higher data rate usage than most other phones.

I bet on data plan being around 60 USD. However to help hide the cost, they will probably sell you a package so customers can nott easily figure out the data plan cost.

They can have 80% crowd sale or 20% crowd sale, their choice. Either way that is a lot of sales.

 

[EagerDragon]

We will see about demand Lots of products (and some phones) cost more than an iPhone.

They are definitely promoting the launch well--but I suspect the crowd fences are not a bluff. Some of the stores will need them.

The tazers are bit much though.

A day does not go by that I do not see some news in the local news channel related to Apple or AT&T or IDG reference the iPhone.

 

[TheBobcat]

I'm gonna laugh when no one shows.

 

[Macnoviz]

I don't really know the american market, but I think the EDGE cost will be the biggest factor to calculate. Withouth an internet connection, the iPhone loses a lot of its value

 

[JPyre]

AT&T rep today told me they'll probably have 40-50.
I told her "I hope so"

 

[GroundLoop]

AT&T rep today told me they'll probably have 40-50.
I told her "I hope so"

With 50 iPhones that store will generate roughly $147,500 in sales/commitments in a few hours. Not bad at all.

Just think, if a store can sell about 340 of these things, that would be a cool million.

Hickman

 

[iSaint]

Just back from my local Cingular turned AT&T store. My daughter's phone is dead (from abuse), so I went in and played dumb about the iPhone, basically telling them I was interested in the iPhone so I could give her my old Samsung. The rep said they would be out next Friday (duh), and they would be closing at 4:30 and reopening at 6:00. I asked (innocently) if they were expecting a lot of people, and the girl next to her chimed in "not around here." Again, I'm from a small town of 25,000.

The one different thing I was told was that they would sell me the phone, give it to me, and I would call Apple to activate it. This makes me wonder more about iTunes interaction/setup/billing, etc.

 

[JPyre]

The one different thing I was told was that they would sell me the phone, give it to me, and I would call Apple to activate it. This makes me wonder more about iTunes interaction/setup/billing, etc.

This makes me worry about credit check deposits and how they will be handled. As of right now I CAN NOT purchase a phone from AT&T online or over the phone, and Apple continually declines my Juniper/Apple Credit app...

 

[cjewby]

With 50 iPhones that store will generate roughly $147,500 in sales/commitments in a few hours. Not bad at all.

Just think, if a store can sell about 340 of these things, that would be a cool million.

Hickman

...kind of. net profit will not be a cool million... I'm sure the following weeks of probably iphone purchase draught will make up for this surge..hah

 

[cjewby]

The one different thing I was told was that they would sell me the phone, give it to me, and I would call Apple to activate it. This makes me wonder more about iTunes interaction/setup/billing, etc.

hmmm... maybe the iphone won't turn on until it is linked to an itunes. and if you unlink it will self distruct in 10 seconds so that no one can unlock it to use on another sp... hah

 

[Cindynjgirl79]

do we know anything about how the apple stores are going to handle this? they are keeping their mouths shut huh?

 

[whooleytoo]

With dozens if not hundreds of people queueing up to use the demo iPhones, I think we'll find out PDQ just how "smudgy" the glass touchscreens get!

 

[cjewby]

With dozens if not hundreds of people queueing up to use the demo iPhones, I think we'll find out PDQ just how "smudgy" the glass touchscreens get!

I heard the phone will be in an incubator like display case only touchable with those silly black gloves through the wall... It's THAT precious... iphone in a bubble...


hah

 

[Zwhaler]

How funny would it be if ATT got all of the guards and crowd control stuff and then like only 2 people showed up