I guess it had to happen: Microsoft is opening retail stores with the help of some guy named Dave Porter who used to work for Wal-Mart. Super synergy. I can see it now: these stores will be the exact polar opposite of the Apple Store – brightly lit, overstocked, and oddly jarring.
No real information on these stores just yet, but Dave is going to start planning a slow and steady roll-out. Will they have Smartie Stations with trained technicians? Training in Windows Paint? What I suspect will happen is that Microsoft will launch a set of pop-up stores using distressed retail space and then roll out if and when these spaces become popular. Nothing like a boom or a bust to build out bricks and mortar.
Microsoft Appoints David Porter as Corporate Vice President of Retail Stores
Twenty-seven-year retail veteran will focus on transforming the PC and device-buying experience for retail consumers and developing and rolling out new Microsoft-branded stores.REDMOND, Wash. — Feb. 12, 2009 — Microsoft Corp. today announced that David Porter will join the company as corporate vice president of Retail Stores. He will lead Microsoft’s efforts to create a better PC and Microsoft retail purchase experience for consumers worldwide through the development and opening of the company’s own retail stores. Porter will report to Microsoft Chief Operating Officer Kevin Turner. He is joining Microsoft from DreamWorks Animation SKG, where he was head of worldwide product distribution.
“I am delighted to welcome David to Microsoft,” Turner said. “This is an exciting time with our strong lineup of upcoming product releases including Windows 7 and new releases of Windows Live and Windows Mobile. We’re also working hard to transform the PC and Microsoft buying experience at retail by improving the articulation and demonstration of the Microsoft innovation and value proposition so that it’s clear, simple and straightforward for consumers everywhere. David’s unique and diverse background, coupled with his deep retail roots and distribution understanding, will be an invaluable asset in this long-term effort.”
“There are tremendous opportunities ahead for Microsoft to create a world-class shopping experience for our customers,” Porter said. “I am excited about helping consumers make more informed decisions about their PC and software purchases, and we’ll share learnings from our stores with our existing retail and OEM partners that are critical to our success.”
Defining the time frame, locations and specifics for planned Microsoft-branded retail stores will be Porter’s first order of business. The purpose of opening these stores is to create deeper engagement with consumers and continue to learn firsthand about what they want and how they buy.
Porter, whose new role and focus will complement the work Microsoft is already doing with its retail partners, will work in close partnership with leaders of existing retail programs in Microsoft’s Entertainment & Devices Division.
Before joining DreamWorks Animation in 2007, Porter spent 25 years at Wal-Mart Stores Inc. in roles of increasing responsibility and seniority in store operations, merchandising and information technology. In his last role at Wal-Mart, Porter was vice president and general merchandise manager of Entertainment, where he served as a strategic point of influence throughout the Wal-Mart business.
Porter’s first day at Microsoft will be Feb. 16, 2009.
Check out Ars’ take on the stores and chime in on what you’d like to see at GatewayMicrosoft retail.
Can’t wait for the equivalent of the genius bar — troubleshooting your bluescreen of death! :D
When was the last time anyone had a bluescreen of death in the last 8 years. Seriously, 2000/XP and beyond have been stable.
Poor 3rd party drivers do not count.
I’ve blue screened my stock Dell with Vista on it a couple times in the last year. Maybe you’re not doing anything hard?
hahahahahhahahhahahahaha. hahahahahhahahahahahahah. sorry, had to breath in between there.
about the only thing XP is stable for is playing solitaire… and i’ve even seen people get BSOD’d by that.
I’ll vouch for XP stability. Maybe one or two BSODs in the 7 years I’ve been using it, and those were likely due to bad RAM.
XP used to be much better than vista. I’ve seen two with vista already (since July last year) — only saw 3 in five years with XP before.
OMG! I’ve seen more than 10 BSODs in the past 5 years on my home computers and another 50 or so at work (I was doing IT at the time) all on XP. Instead of Vista, I went the free route with Ubuntu I haven’t looked back!
FYI, I came across this free application, Wubi, that lets you install and try Ubuntu for free, inside of Windows (no fresh install required).
Read more about it here:
http://generopolis.com/wpblog/2009/02/13/try-ubuntu-on-windows-using-wubi/
One of the biggest news stories of the year in my opinion. This really could make or break them. If they fail and Windows 7 bombs, there aren’t really many options left. But then again, they haven’t got much to lose as things stand.
Lots of questions need answering though. Will they do an apple and manage the entire product chain?
Big gamble.
Not many options left and not much to lose? Don’t they have, like, 80-90 percent of the OS market? I hardly think they’ll close up shop if Win7 isn’t a homerun, which all signs (and the beta) point to that will anyway.
Actually, I think it’s not a bad idea at all. MSFT needs to reconnect with consumers after the Vista disaster, and a retail store is a great way to improve the consumer experience.
The same way we are attracted to go to BestBuy to experience a 51″ Plasma with home theater, they could show Surface, Xbox, and other cool products in action… and maybe we could buy a copy of Windows 7.
apple fanboys are really annoying.
Lots of open retail space… They can get some really good prices. Is anyone going to buy…
I’m hoping they’ll bring back Clippy for the stores. I’ve always wanted to meet someone dressed up as Clippy so that I could kick him in the shin and tell him that no, I was not writing a letter.
Inevitable, yes. A gamble, perhaps. I imagine it has been in the works for some time and that it is a force in motion, but still the timing seems peculiar — but Wal-mart and Apple are both weathering the times remarkably well and so, we’ll see.
Didn’t they do this already in 1999 in the Metreon? No so much inevitable as totally retro.
The guy from Wal-Mart, hey.
And I thought they mean it with becoming a cooler company that delivers quality products developed and designed with good taste.
Well, it starts at the top and if that’s how their retail adventure starts then I can see how it goes:
- 40 foot tall shelves with boxes that have so much crap written all over them that it takes you and afternoon to figure out what’s in the box.
- teenage ‘expert’ sales clerks that are more interested to finish of their Popsicle before its melted while dealing with another customer that claims to know more about the products they they do.
- 40 rows of checkouts but only one customer service and returns counter (”most costumers will dump the product into the conveniently positioned bins and get a new one instead of waiting through the lineup”)
- A interactive terminal in front of the windows shelves that invites you into a 95 minute tour on “how to choose the right Windows for your requirements”
- A new entrance system that asks people to sign a universal customer agreement before they are allowed to walk in.
- The Klingon Bar, where interestingly dressed MicroExperts ‘teach’ people with violent voices the difference between defect hardware or buggy software and USER ERROR …
Am I bitter about MS? Not really.
Did I become and Apple fan boy? Not really … but then I am typing this on a Mac Air that I just picked up this afternoon form service where all internal parts and the screen were replaced for free because it occasionally gets too hot in certain use cases. Try that at any PC dealer.
I had hope for MS with their recent orientation but the Wall Mart guy is the wrong foot to start off the a retail adventure on.
nerd
with honor.
All I have to say is – good luck!
Why don’t the just buy the assets of Circuit City and change the signs. MS City?
Excellent move. It is about time, and it makes no difference at all what apple fanboys say: Microsoft *is the global software leader.* With mountains of cash.
Apple products are great, however, they have a minuscule share of the software+hardware market. Even if we consider the iPhones: they are way behind the Blackberrys, losing ground to the Android and other smart phones –Nokia and Dell devices are on the horizon.
Microsoft stores make a lot of sense. They are going to partner with IBM, Dell, etc., making the stores a one-stop outlet –We must remember that *MOST* people use PCs at home, work, schools, libraries, etc.
Whether or not anyone sees it, this is a really good move on Microsoft’s part and I suspect this is mainly about Windows Mobile and Windows 7.
Why is this a good idea?
1. As a couple of commenters have already mentioned, Microsoft can pick up some prime real estate at really good rates.
2. They can sell Windows Mobile enabled devices without competitors smartphones detracting potential buyers.
3. They can showcase Windows Mobile and Windows Vista/7 devices working seamlessly together (an experience currently not found anywhere).
4. It’s the perfect place to introduce consumers to Microsoft Surface and potentially catch the eye of execs of major corporations which will want to put a surface in their store.
5. And if they’re smart, Microsoft will use this as a front line to gather feedback from consumers and do some positive PR.
I’m sure there’s tons of other good reasons, but these are the ones that readily came to mind.
I hope they make the employees dress up like paperclips
wouldn’t a Microsoft store have to be dark. apple stores are quite bright.
honestly though, shouldn’t microsoft take the money they’re gonna put into this failure and give everyone free copies of 7 instead. it should be called vista SP3 anyways.
Microsoft! From Hell’s heart I strike at thee!
There is probably a MS Phone in the works and some other gadgets… but I’m thinking maybe they will use the stores to showcase the XBOX360. It really is an awesome device that doesn’t get enough credit (or correct marketing).
On another note: seriously cut down on the MS bashing. It is old and tired (yes, just like Windows. Stole your thunder).
Apple stores aren’t that great. They look nice and sterile — just like Steve Jobs (see it works both ways). Their workers are misinformed, but act completely smug. Ask them how to do something with an iPod and the only answer they know is “use iTunes it will do what you want”. Wrong.
I’d be excited to go, the Microsoft Surface is reason enough! I’m very excited to give that a try. Maybe with these retail stores we’ll have a PC store with quality products rather than stores like Best Buy with the cheapest parts, good looking specs and poor final performance and reliability. Maybe Microsoft will be a company invested enough in the operating system itself to not ship it out full of bloatware. Maybe…
>I can see it now: these stores will be the exact polar opposite of the Apple Store – brightly lit, overstocked, and oddly jarring.
Now tell us how you really feel. Your bias deeply overshadows the importance of this event.
Apple has a lot of products and people can try them in their own stores. What does Microsoft have? X-Box and zune? Software presentation in a store? I don’t see any logic in this strategy.
I’d be excited to go, the Microsoft Surface is reason enough! I’m very excited to give that a try. Maybe with these retail stores we’ll have a PC store with quality products rather than stores like Best Buy with the cheapest parts, good looking specs and poor final performance and reliability. Maybe Microsoft will be a company invested enough in the operating system itself to not ship it out full of bloatware.
Why criticize when you haven seen ANY plans what so ever. I suggest you don’t be so short sighted.
I really want to know what the name of the store would be.. May be a Soft-Warehouse :)
See this link for interesting screen shots of a computer graphic simulation of the store done on 3D modeling software.
http://www.caligari.com/News/news_200901/REC.html
And here’s a link to a Photosynth walkthough of the “build out” demo store in Redmond.
http://photosynth.net/view.aspx?cid=b3361a18-4d97-40d5-92d2-5a1094736786
If the demo store is similar to what’s built in the field, it has easily 50 computers, mainly laptops, up and running.
And of all the big-name chain stores, I believe that Wal-Mart is doing much better than average at the moment; they apparently know a thing or two about retailing and addressing their consumers.
To keep things in perspective, as one commenter alluded, Apple worldwide PC market share is about 3% and actually dropped about 20% last year.
The current Windows laptop offerings from, say, the $1400 high-end HP offer enormous value and performance: HDMI, dual hard drives, 18.4″ screens, and Blu-Ray. The Apple laptops lack all of these features, and cost 2 to 3 times as much. That’s a fact that’s hard to avoid for very long.
Maybe Soft-Mart. Relaxing but to the point. One thing is for sure, MSFT and a lead guy from WMT joining forces will probably produce gargantuan profits. Windows 7 has potential-there is little doubt. If they can capitalize on that with the opening of these stores they might just have something sustainable. This will also provide a place for people like my parents to go in and ask “what’s wrong with my firewall” “do I have virus protection” and maybe get a straight answer. For now I relay them to this* digital security information site.
I’m thinking: Egghead Software stores Nuevo
Funny or better … an obvious fact:
Microsoft power of innovation is equal to zero….. me too strategy only….. after I’ll do a game box too, a music device too, now … I’ll do a store too …..
Very good … at least we will all know where to go when we have issue with our OS!!
You’re forgetting the xbox. But regardless, you are spot on, and it is hilarious.
John Biggs: Nice in depth analysis of how these stores might fit into Microsoft’s retail marketing mix. Your inclusion of existing retail products (xBox, Zune, Windows Mobile, Vista, Office 2007) with those in the pipeline (WinMo 6.5, Windows 7) as well as recent product enhancements (Windows Live) and changes in bricks and mortar retail (Circuit City’s demise, WalMart’s increasing importance) was brilliant.
You could have spent a little more time on how Microsoft’s partners (phones, PCs, games) and the recent rise of netbooks could fit in.
Hope all the microsoft products will sold similar to general stores
Have you seen the proposed retail store? Its actually quite nice:
http://www.istartedsomething.com/20090113/microsoft-opens-fake-store-demo-retail/
That is a very surprising move here. I just want to wait and see…
isn’t Wal-Mart the Microsoft store???
This could be the Walmart of software. MS has the power to demand the lowest prices from other vendors.
It could be a bricks and mortar version of Apples’s APP Store and MS could F**k the vendors good if they wanted to sell their software there just as Walmart does.
Looks clear to me what the model will be.
Looks like they’re following Apple’s B&M strategies. How unoriginal. Hopefully they offer good competition.
sometimes being unoriginal is good. You take good things you’ve learned from others and hopefully improve on it. you don’t ALWAYS have to be original…. dog…
Microsoft still don’t get it…this guy needs to get a clue. Ever heard of channel conflicts? Flashback to 1996…
I think Microsoft’s retail strategy won’t work. Microsoft does not have a cult or ‘coolness’ on it’s product so it’s pointless to setup Retail Store. Mass channel marketing and distribution over Non Microsoft Retail store should fit MSFT’s brand and strategy better:
http://www.wealthalchemist.com/Blog/2009/02/microsoft-retail-stores-collision-apple/
I think that if I was a third party that made products that used windows I would be pissed. Will they sell mp3 players other than the Zune? Will I Have to fight to get my product on the shelves next to my competitors or will the only feature my competitors product because they are a better Microsoft partner? What laptops will they feature just dell, only sony, no HP? This is just another example of Microsoft making the mistake of trying to fit it’s self into a a place that it just does not belong!
There are tremendous opportunities ahead for Microsoft to create a world-class shopping experience for our customers.
They used to have stores -they had one in that funky building in downtown SF where the movie theatre is. They closed it.
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Thank You, Frank
They opened one of these stores in the plaza of my business. I think I had them clocked at 5 weeks, from the opening to the closing of their doors.
Is there one in London? I would have to add it to my list of flagship stores in London
flagshipstorelondon.com