Why Microsoft’s Mall of America Store Will Fail

Why Microsoft’s Mall of America Store Will Fail

Software giant Microsoft plans to open a new retail store Nov. 6 in Minnesota’s gigantic Mall of America — directly opposite from the Apple Store.

I predict that the Microsoft Store will fail spectacularly.

PC giant Dell tried retail locations a few years ago — the company peaked at 140 mall kiosks before the company announced that electronics superstores and the dell.com web site were better places for customers to buy.

Gateway tried it, too. The company opened more than 260 “Gateway Country” stores several years ago before shutting them down and selling out to Acer.

Microsoft’s Mall of America store will be much larger than the Apple Store across the walkway — reportedly 8,600 total square feet and 5,200 of which devoted to public showroom. And it will be a lot bigger than Microsoft’s existing retail stores in Scottsdale, Ariz., Lone Tree, Colo., and Mission Viejo and San Diego, Calif. (Apple has 310 stores.)

The new Microsoft store will mimic Apple’s shiny modern industrial wood, metal and glass architectural style. Employees will high-five customers as they stream in on Day One. There will be computers and tablets and smart phones displayed.

Microsoft’s strategy for competing technologies has always been to “embrace and extend.” The strategy for retail appears to be “copy and outspend.”

Why the Microsoft Store Will Fail

Tech giants, including Apple, open retail stores for four reasons:

1. Increase sales

2. Improve branding awareness and affinity

3. Improve public familiarity with products

4. Provide a place for tech support

I predict that Microsoft will fail in all four of these areas. Here’s why:

Apple Stores are profitable. The Microsoft store will not be. It probably wasn’t designed to be. It probably can’t be. The details of Microsoft’s money-losing retail strategy, especially for this giant store, will be contrasted unfavorably with the details of Microsoft’s incredibly lucrative retail strategy. Microsoft will probably lose a lot of money on this store, and the fact will embarrass.

The majority of PC users and the majority of cell phone owners — in other words, the majority of mall goers — do not use Apple products. Apple increases sales with its Apple stores by introducing people to its products.

People may walk by the store fogging the glass 10 times before they ever go in. Once inside, they play around with the computers, fondle the iPads, and allow themselves to be dazzled by the big screens.

For the average mall goer, the Apple Store is a journey into an exotic and beautiful alternative universe. But the Microsoft Store will be like a journey into… Best Buy.

Placing the Microsoft Store directly opposite from the Apple Store is an error. Once the novelty has worn off, the Apple Store will be consistently busier with a much broader spectrum of consumer. While the Microsoft store may be a hit with a 13-year-old boys who want to play Xbox on giant screen, proximity will expose differences in the consumer appeal of each company.

Note that Microsoft has many loyal and enthusiastic business customers. But they won’t be at the mall to represent.

Apple has its Genius Bar, which is a mixed bag of customer service experiences. Some people walk away unhappy, but some people are completely satisfied.

Offering tech support at the Microsoft store is probably a bad idea. Because the Windows platform is what Steve Jobs would call a “fragmented” environment (OS from one company, hardware from another), tech support issues are likely to require intervention by companies other than Microsoft. So Microsoft may not offer tech support, which makes the company look bad. Or it may offer tech support, which makes the company look worse. It’s a no-win for Microsoft.

The problem with Microsoft opening a store directly across from an Apple Store is that it invites comparison between a company that’s in a position to benefit from retail against one that isn’t.

Retail benefits Apple because the company’s products are more beautiful than its competition and less familiar. Retail benefits Apple because its products are all of a kind, they look as if they come from the same company with the same aesthetic value. So the Apple Store has a unified appeal that Microsoft won’t be able to fully replicate.

Microsoft may be a great company with much to offer. But it has nothing to gain from a retail store — especially one right across from an Apple Store — except embarrassment.

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  • Josh

    Curse you Microsoft for wanting to Innovate! If you could only read your article from a third party perspective man.

    • JD

      Innovate? lol.. thank you for the laugh. Good way to wake up in the morning. Microsoft is doing what they do best, copy an idea, try to act like they know what they are doing and then fail. Reset, look for another idea to copy.

      Aside from a huge Xbox screen, these stores will be nothing more than Best Buy’s computer department. I guess they can show off Zune’s as no one has really seen those outside being used.

      It’s one thing to open a store, and actually have an original idea, MS isn’t even trying to hide the fact they are once again copying Apple’s idea and will fail.

      Steve Balmer is the best thing that could have ever happened to Apple stock holders! I hope they never fire that man.

  • Jonathan

    Reason Number Zero (higher priority on the list than anything identified here):
    A retail environment requires an actual retail product.

    The half-a-product of bundled software on third-party hardware Does. Not. Count.
    Apple doesn’t merely have products that look shiner – it’s that they have products at all.

  • John

    We have no Apple stores here in NZ, but at least two local electronics vendors chain stores display their Apple stuff in the same way, so I assume there is a Bible on it somewhere.
    I frequent both of them regularly.
    In both stores, all of the PCs and Macs are in one section, The PCs are all segregated by Desktop or Laptop. Portable devices are usually completely seperate. Often all the brands are pretty jumbled up, Sonys, Acer, Tohiba, Asus laptop all pretty much mixed up, Netbooks from all the vendors again a seperate subgroup, all the vendors mixed up. Often not a lot of elbow room, and mostly the PCs are all locked, and you cant to much but look at the screen savers. Lots of advertising, lots of posters, and tiny cards with machine specs. Sometimes there might be some spec sheets to take away.
    Then there is the Apple oasis. Well lit, both very visible from both of the stores front door, and the first batch of computer equipment you are funneled past going in. Plenty of space around each device on display on a nice light coloured blond table (similar to what I have seen in photos of other real Apple stores). Simple posters, black backgrounds, and a single Apple logo. The gear is on display, not the Ads. You can always get on a demo machine, it is connected to the stores Wifi, mix of wired and wireless keyboards, Magic and Apple mice (they have to teather them with security cables – damn thieves!) And at least one example of everything. (BTW, I love the 27″ iMac with another 27″ Cinema display also connected!!)
    It really does make the PC are feel like a ghetto in comparison.

    Maybe MS was just wanting to put a retail space somewhere to display all the gear properly. Doesnt really matter if it does fail, for MS it has got them press and coverage of the store. A place to do launches, and a place to go play with some of their stuff with helpful staff, rather than the guy who sells washing machines, TVs AND computers.

  • john mitas

    I buy alot of electronic goods and i can certainly tell you that i would frequent a Microsoft store and buy goods thru it. Microsoft stores are perfect for me and my circle of friends, we go to stores that dont specialize in MS products BUT a MS dedicated store that sells MS friendly products is exactly what we want.

    I can’t imagine why these stores wouldn’t be profitable! Especialy with xbox stuff ,zune stuff, software, PC computers, and now WP7 related stuff.. So much goodness to buy!

    • Salomon

      zune stuff, lol.

    • DCJ001

      And just of all of the virus software you could get in an MS store!

  • Alan

    I have seen several of these ‘under construction’ Microsoft stores in different cities over the last few months. Microsoft tried the bricks ‘n mortar concept many years ago at the Metreon in San Francisco and it survived for several years but the overall Sony / Metreon experience was so dismal that all of the anchor stores in the complex are now gone. Will this new MS store concept survive? Only time will tell.

  • http://www.kamilstudios.com Kamil Studios

    I’m quite agree with the article, but at the same time I also want to see the Microsoft store.
    They can compete competitively, and Apple store can always aware ‘there is another computer store’ – then Apple will keep maintain & improve their store and services.

  • http://richplatform.com Mike Downey

    Shocking “analysis” from a blog called “Cult of Mac.” ;-)

    You may be right but don’t you think your point would be more compelling if you used some facts to make your case?

    For example, to prove your case you say things like:
    > Apple Stores are profitable. The Microsoft store will not be.

    Oh yeah? Any data to prove this point? There are a few MS stores that have already opened. Do you have any data from those stores proving they aren’t profitable?

    > Apple increases sales with its Apple stores by introducing people to its products.

    Well I can’t argue with that – considering that’s how ALL companies increase their sales. How, exactly, is Apple any different? Are you suggesting that “most” mall-goers already own all of the products that a Microsoft store could hope to showcase? Are you suggesting that Apple, not Microsoft, sells products that most mall-goers don’t already own? This point makes no sense.

    What about new PC hardware? What about people who haven’t upgraded to Windows 7 yet? What about all of the new Windows Phone 7 devices? What about PC games and applications? There are, in fact, MORE products within the Microsoft/PC universe that could be showcased within a Microsoft store.

    > Once the novelty has worn off, the Apple Store will be consistently busier with a much broader spectrum of consumer.

    What information are you basing this assertion on? Your own preferences for consumer products, Mr. Cult of Mac? :)

    Broader spectrum of consumer? You’re saying that a wider variety of consumer personas gravitate towards Apple products than Microsoft products? Any data to back that claim up? It would seem to me that the opposite is true. Apple products appeal to a much smaller, more affluent segment of consumer than Microsoft and it’s partners. Not everyone is willing to drop $500 on an entry-level iPad when they can pick up a Netbook for less than $300. Personally, I love the iPad – but I can afford it. I would wager that _most middle-America mall-goers could not_.

    > tech support issues are likely to require intervention by companies other than Microsoft.

    Why? Most PC problems are software-related, not hardware. Viruses, drivers, etc, are all pretty simple to resolve if you know what you’re doing – and qualify as an actual repair technician. Hardware problems that are covered by warranty can be dealt with. There are many companies out there who do PC support. I don’t think this would be that difficult for Microsoft to provide.

    I think you picked a great subject to opine on but without any sort facts or data to back up your opinions they’re really no more than fluff. Even if I were a die-hard Mac fanatic I would still be left with no value from this editorial.

    Mike
    (I am an evangelist at Microsoft. miked –at– microsoft –dot– com)

    • KillerCat

      >Shocking “analysis” from a blog called “Cult of Mac.”

      Shocking reply from a Microcrap evangelist.

      >For example, to prove your case you say things like:
      >> Apple Stores are profitable. The Microsoft store will not be.

      Apple earning reports demonstrates that very nicely. Apple stores are the most profitable of all stores.

      How about to publish detailed numbers, Mr. Microsofty?
      Unfortunately msft is not very detailed and open in it”s earning reports.

      Or is it to embarrassing?

      >Oh yeah? Any data to prove this point? There are a few MS stores that have already opened. >Do you have any data from those stores proving they aren’t profitable?

      All reports I have read indicates that there are far less visitors in the MS Stores than in the Apple Stores. Less visitors = less potential customers = less money. Quite easy.

      >Well I can’t argue with that – considering that’s how ALL companies increase their sales. >How, exactly, is Apple any different? Are you suggesting that “most” mall-goers already own >all of the products that a Microsoft store could hope to showcase?

      Not all of the individual products. But be honest : Winbooze isn’t anything special. And you know it. Most people know Winbozo from work. The only thing they might not know is the Surface table. But that’s it. It makes not a real difference if the tower comes from HP or Dell.

      Apple on the other hand IS something new and special for many people. They makes their very own hardware that is very different from the PC cloners.

      >Are you suggesting that Apple, not Microsoft, sells products that most mall-goers don’t
      >already own? This point makes no sense.

      No, it makes perfectly sense. Microbloat has a marketshare of 80-90%. So yes, most mall-goers do already some stuff from Redmond. Microcrap stuff is just boring and nothing new or special, it’s sold everywhere.

      >What about new PC hardware? What about people who haven’t upgraded to Windows 7 yet?

      Who would visit a m$ store if you can get hardware at best buy or somewhere else (internet) much cheaper.

      >What about all of the new Windows Phone 7 devices?

      What’s about them? Is anyone interested at all?

      >What information are you basing this assertion on? Your own preferences for consumer >products, Mr. Cult of Mac?

      I’m not Mr Cult of Mac, Mr. Microtrash, but it’s observation.

      >Not everyone is willing to drop $500 on an entry-level iPad when they can pick up a Netbook >for less than $300.

      According to sales numbers, netbook sales are shrinking, iPad sales are exploding.

      >Why? Most PC problems are software-related, not hardware. Viruses, drivers, etc, are all >pretty simple to resolve if you know what you’re doing

      Nice that you admit that most problems are a result of crappy software from Redmond.

      • Luke

        Killercat – nice response, however you still don’t answer any of Mike’s questions.

        Apple stores are the most profitable of all stores?? Huh? What? Of all stores in the world? Of all stores selling Macs? DO you have hard numbers to back this up, as your ‘apple earnings reports demonstrate that nicely’ actually doesn’t demonstrate it nicely at all. Apple is doing fantastically well, as is shown in earnings and the stock price, however that does not necessarily correlate to their stores profitability.

        Microsoft’s strategy surely isn’t to make money from these stores, rather to revers the belief being shepherded out by the Mac Cult that Macs are so special, and innovative and worth 2 or 3x the price of a PC. Showcasing the beauty of some of the PCs available is all that is necessary. Yes Macs are shiny and beautiful, there is no denying it, but in many instances they are aimed at a different consumer than the PC. Particularly the middle america consumer.

        Someone else made the observation that the current place you got to buy a PC is in a Best Buy etc who dont care necessarily about the environment they are showcased in. So why wouldn’t Microsoft and partners want somewhere nice to showcase their products? Makes sense no?

        Also, its a great environment to showcase other products – Phones, Gaming Consoles, Accesories etc, so I don’t see the problem with it. Most people in the world are buying these products….why not have somewhere nice for people to view them?

        Why are the fanbois so defensive on this….I don’t understand it?? If Microsoft is ‘copying’ Apple Stores, can’t we then summise that Apple copied the idea from Sony stores? Or from Bose stores, or from any one of a million stores out there?

        More importantly….why do you care???? Buy your Macs! Buy your iPods! Buy your iPads! and be happy about it! As consumers, the more competition we have the better.

        Disclaimer: I am a PC (still don’t see the point of paying 2 or 3x the price for a comparable machine just so it can have a shiny apple on the back of it so I can fit in with the cool kids at Starbucks) but I own an iPad and an old school iPod.

      • JayWilmont

        Don’t know why I can’t reply to Luke directly, but I wanted to clarify Apple Store profitability: Apple’s sales per store average $4,300 per square foot per year, making them some of the most profitable retail stores in the world in any category. For comparison, Best Buy sells $872 & Wal Mart sells $380.

      • Andy

        You know you’re desperate of comebacks when you try to make an insulting name. It really takes away from the validity of your argument and it makes you sound like you have no idea what you’re talking about.

  • Slaughter

    Microsoft doesn’t make hardware, so basically they will be selling very different brands, sort of like Best Buy. Will Microsoft be able to sell computers at prices that compare to the big retail chains? I doubt it. Microsoft is in the OS and software business, not the hardware business…will they ever realize this?

  • http://www.callboxlive.com Stan Winstone

    Yeah it’s a pretty pointless and desperate act. Brand awareness is not Microsoft’s problem. Their problem is a true lack of innovation and elegant design, both of which Apple has oodles of these days. Copying Apple’s Store idea by placing themselves directly across the mall? The irony is like shooting ducks in a barrel….

    • Andy

      Man, Steve Jobs really knew what he was doing when he invented the store, look at how many companies copied him! I buy 100% of the things I buy at stores! Apple had such a genius idea.

  • http://nettthrowmakingmoney.com Andy Malone

    I don’t understand why Apple stores succeed so I am not in a position to judge whether Microsoft’s foray will succeed or not. For technology, Malls are dead to me and Computer Stores were never interesting to me as a consumer.

  • James

    “Employees will high-five customers as they stream in on Day One”
    Wait…really? anyone else think this is just a sad attempt to look cool? Not that i’m all for apple or all for MS, but seriously, they need to stop trying, it’s clearly not working.

  • nacra

    Very good article, and very accurate. I know there is, at least in theory, “competition” in play here, but in reality, there really isn’t. At the end of the day, products stand on their own merit, and having PC’s directly across from Macs is a bad idea.

  • James

    Microsoft Stores will be another cool place to hang out at the mall. I don’t think it’ll make a dent in Apple’s profits but it’s pretty ignorant to say they will fail when it hasn’t even opened yet.

  • Marco white

    Microsoft better have an open bar! LoL

  • Cody

    I agree with John from NZ. I remember just a few years ago, you would walk into any electronics store in Australia and none of the laptops (or the few PCs, if any) on display would have any kind of live internet connection.

    Since Apple started penetrating retail stores (like DSE and JB, and now the Apple Retail stores), they’re mostly hooked up to the internet so you can see how they work.

  • Caspian

    Why should it be any different from any other store that sells PC with Windows inside?
    I can get Microsoft products anywhere. Acer has their stores…Microsoft again….Dell has their stores…Microsoft again….HP has their stores…Microsoft again…see the trend? So what gives?

  • give it away

    I thought Gates was going to give his money to charity not throw it away.

  • Onesixone

    Although i love my Macbook, i know that people who don’t got some spare Dollars will decide for 500$ Laptop instead of an 1000$ Macbook. On the opposite Location of an Apple Store a Microsoft Store surely will do good.

  • imajoebob

    First, I’m not sure Microsoft is doing this to turn a profit. It’s likely counter-marketing to make them appear to be an equivalent consumer experience to Apple. On the other hand, there is a true opportunity for Microsoft to use these stores to leverage the xBox. Apple was able to turn the iPod into a gateway to everything Apple. MS could turn about 50% of the floor space into all-things xBox, conditioning 14 year olds to connect the positive gaming experience with the rest of Microssoft’s products.

    It’s not as easy as connecting the “cool iPod” to the “cool Mac,’ but it’s not out of the realm of possibilities.

    • gw812

      That could/should be the use. The idea of a ‘gateway to all things Apple’ is spot-on and could be used by M$. Other than that, they aren’t going to see much traffic at all.

  • Alfred

    You know what kind of Microsoft store possibly would work? An Xbox store. Just for Xbox, nothing more.

    That would be truly awesome. Big screen demos everywhere. Special launch events. Tournaments. Game merchandise. An on-site repair shop :o). Maybe sell refreshments also. Like a Internet Café for Xbox and multi-player gaming.

    Dunno if it would make any money, but it would always be full of people!!

  • JDS

    Microsoft has 90+% of the desktop/laptop market share and yet cannot make money. Apple by contrast has only 10% and is making lots of money.

    Retail stores are part of that strategy to make money.

    Does it not make sense for Microsoft to figure out why it is not making money, generating buzz and all that instead of wasting money on opening stores?

    Sure they will hi-five the customers, give free t-shirts, maybe a few USB drives but at the end they will not solve the fundamental problem that plagues the company. They need to fix that and the stores will not solve it.

    If you have seen the documentary Nerds of Silicon Valley, at the end of part I, Steve Jobs makes some comments about MS – I don’t remember the exact words now – but something about MS not being innovative – guess what that is STILL the case.

    Disclosure : I own stock in Apple and Microsoft.

  • JDS

    WARNING

    All those hi-fives that the MS employees are going to give – they could also be pass on the flu to you – so avoid that hi-five and stay safe.

    • http://Ccc DCW

      Just another way for MS to spread virus’s

  • Greg

    Just an FYI,

    There’s also a new (1 year old) massive best buy on the third floor not very far from these two stores. This just seems redundant.

  • Ictus75

    The problem with the new “Zunestore” is that is is like so many MS products, about 3-5 years too late. If anything, this will be a boon for the Apple store across the isle.

  • OEB

    3 Reasons why MS will fail at this:
    1) The law of diminishing returns.
    2) MS is primarily a software company that doesn’t have the eye candy an electronics company can use to quantify or shift the demand curve.
    3) Its been done before. All software and computer companies have failed at this. Only electronics companies such as Apple and Sony have succeeded… And even then it is a high risk endeavor (i.e. Sony Metreon failed in San Francisco).

    Look at it this way: Would you want to walk into a MS store and see a bunch of software, a few zunes and xboxes and 3rd party PCs….. OR would you rather walk into a Sony store and see Entertainments systems, PDAs, TVs, Cameras, Music Systems, Console Gaming, and pretty much every other kind of electronic hardware you can think of?

  • Mezzrow

    I have to agree with this assessment. Strategic error on Microsoft’s part to place this store directly across from Apple’s, where the huge disparity in customer traffic will be painful to see.

  • Grawlix

    Microsoft is walking into a bear trap. I think part of Steve Jobs’ strategy in opening retail stores was to try to coax Microsoft and its hardware partners to do the same. He knows the competition can’t compete in this arena.

    No objective person could deny that Apple’s products look 1000% more appealing when displayed alongside one-another. Apple’s hardware margins are 10 times higher than PC hardware manufacturers (there’s plenty of proof in the public domain). Microsoft makes more margin on software than Apple, but Apple makes a substantially higher margin on the hardware/software/services package.

    I wish Microsoft all the luck in the world, but it’s just obvious this is going to end in tears.

  • Alexander Brusilovsky

    Ball shit. Complete nonsense of cheap typist. Apple is a company that makes products mostly for guys who like to be told what to do and how. Apple thinks for YOU what you need and what you not, and leaves you a litle or no choice for your preferences, customization and development. Plus it limits to all cooperate boundaries even though they copy and still bunch of work from other developers. If you are not a Graphic Designer or in real show biz where you need stability while using complicated 3D or advanced music projects, then you have no idea how and what to do with Mac. You stock all the time thinking how to???? Plus people get used to their limited area of use – typing messages, browsing the web, and few more. iTunes is a complete waste of life with mandatory and painful attachment to its operation. I have school of Mac and Windows, hell will not use Mac for most of projects. Probably will consider using Mac with Windows OS if I have no choice, but still will get read of apple keyboards and mice – some kind of female oriented cute looking useless and uncomfortable tools for heavy computer performer. People likes Microsoft, will like less iPhones and all these iThingie as long as technology goes for smart user. HTC is the most appreciated Mobile hardwire developer and way to go for improvement while iPhone is annoying “please like me-coz I am iPhing” money sucking and limitfull thing. Embarrassing is iPhone4 is a bad phone due to its simply bad antenna design. Microsoft is wiser and with greater potential. I am sure it will succeed across Apple store without a problem. We’ll see
    P.S. 4G, Sprint, HTC, plust new WinMo7 comming, are killers for iPhings and most of folks know it already.

  • http://bonsaiblog.net Paul

    I am pumped for MS to open their store on Saturday :] Will definitely be making a trip up to MOA for it.

    Apple has always irked me so I’ll be happy to be seeing PCs get the showroom that they deserve. I also hope they have a large Zune* section.

    *I have an 80GB Zune and an iPod touch. Not going to compare the two hardware pieces, but Zune software is AMAZING compared to iTunes. For the life of me I cannot get my library of music to sync without issue to my touch. There are ALWAYS duplicate songs, missing songs, unordered songs, etc. I have never had this issue with the Zune software… even if I have two files of the same song on my computer. Only thing I don’t like about it is the MS point system which is ridiculous.

  • Fred

    Why should I go into Apple store when they only update products once a year at best? I can go see latest Kinect / Xbox 360 games, new Windows Phone 7 devices, laptops and desktops from vendors all over the world. Not to mention productivity software titles and PC games that outnumber Apple’s offerings. With Microsoft store, you could see new products every week.

  • Joseph

    I probably will never go to either store. This rant though was really sad. Mike, you are going off the deep end dude.

  • waf

    Hmm, I get the sense from the comments that few of you have actually been *in* a Microsoft store. I’ve been to the one in San Diego and it’s a pretty nice place to be.

    Unlike big box retail, there is a selection of products neatly arranged by type on spacious tables with plenty of room for trying them out. Full desktop systems are arranged along the walls, laptops and netbooks are in tables in the center of the space, and there are Surface units in various places. All systems are in great shape, powered up, internet connected and fully functional. They have a wider range of products than at Best Buy, for example having a lot of tablets and touch enabled laptops and workstations. There are set ups with HDTVs and several example of home media centers.

    About 1/4 the store is given over to XBox and gaming, with mutliple stations set up for players to come in and try out the games. There is a Kinect area at the back which is used for demos and for training. There is a customize your PC station where you can get a film skin for your laptop, plus theres an area with cases, peripherals, and software. There is a section with Zunes and phones. They have regular classes on how to use MS software and will set up custom or one-on-one training. You can bring in your system, whether or not you bought it there, and have it worked on.

    The systems sold there are set up for you, and there is no crapware from vendors allowed on the machines. You can bring in your own software and they’ll install it on your new system. There are helpful and pleasant staff members who don’t cop any attitudes but are scarily knowledgeable about pretty much everything. There is a warmth and cheerfulness to the shopping there completely unlike the cavernous and dark Best Buy in the area or the too-cool-for-words Apple store a few doors down.

    In short, they are positioning themselves as a friendly, unintimidating place to come in and get your computer needs answered. It is a place to showcase how a Windows system will answer someone’s computing or entertainment needs. This is not their primary sales channel and should be viewed as much a public relations venue as a retail outlet. I don’t know why Mike insists they don’t make money since he doesn’t provide sales figures. I also don’t see how the stores will fail to provide all 4 services he identifies – sales, branding, prodcut familairity and tech support – since I could see for myself it is doing all four.

    I don’t work for MS in any capacity and I honestly don’t care what device or software someone wants to use. Whatever floats your boat is my philosophy. This article is simply nonsensical, however, and makes assertions rather than providing facts. As click-bait, it’s perfect. As a thoughtful report on retail sales operations, it’s an epic fail.

  • b_3000

    Microsoft could turn around and say the same thing that this rant reaps and it would be just as viable.

  • AlexD

    I was in the new store last night and have to say it had as much buzz at the Apple store across the way. We have 2 mac laptops, 1 imac, Apple TV, the ipad and iphone in service and a G4 cube gathering dust. Needless to say, I’m a devoted Mac fan. However, I am now the proud owner of xbox 360 and Kinect, or I should say, will be on xmas morning when my daughter finds it under the tree for her. I have to say I was impressed with their store and the display of Windows comupters in all shapes and sizes. As well, the Samsung Windows 7 mobile phone was VERY impressive. Much faster than the iphone. Microsoft’s legacy reputation is a problem, but from what I can see they have some very cools products under the hood.

  • KevinL

    The article was written before the Microsoft Store at the mall ever opened. It opened on 11/06/10 and the article was written 10/25/10.

    I’ve been to both stores several times at MOA. Own a few Apple products, and a few Microsoft products. But hands down the Microsoft store is the better store. It’s more exciting, the video walls are amazing, and it smells better. By comparison the Apple Store seems dull and depressing. Instead of video walls the Apple Store has cardboard cutouts attached to the walls.

    They took the Apple Store concept and improved upon it. And from what I’ve seen about the same number of people are leaving the Microsoft Store as are leaving the Apple Store with merchandise.

  • Laughing

    Please, how’s this article working out for ya? The numbers are out and the Microsoft Store in the Mall of America is outselling the Apple store by over 1 million dollars last year alone. And they haven’t even been open for 12 months yet.

  • Trashsignups

    I went into the apple store, looked at their ipads and when they couldn’t do what I wanted I went to the PC store across the hall and found exactly what I want, so I think you are on drugs or Apple coolaid or something.

  • Ron_mcd

    Get off the crack. You really don’t have any idea what you’re talking about. You may be in love with Apple and Steve Jobs, but you’re really so far off I can’t believe you’re called a columnist. I live in the Twin Cities and both of the stores are mobbed every day of the week. Guess anyone can be anything on the internet.

  • Ron_mcd

    Get off the crack. You really don’t have any idea what you’re talking about. You may be in love with Apple and Steve Jobs, but you’re really so far off I can’t believe you’re called a columnist. I live in the Twin Cities and both of the stores are mobbed every day of the week. Guess anyone can be anything on the internet.

  • Raj

    I lol’d reading the comments. That’s what happens when instead of reporting you try to become a prophet. I thought the article was good and had merit, but if the comments below are correct. You sir, got owned. And from now on any article I read that has Mike Elgan as the writer, I will read with a grain of salt!

  • zen

    I think the Mircosoft store will do fine. They sell all different kinds of things and are more compatable to what Apple products are not. If and when I go to the apple store I am only intrested in the IPad, however I know that Apple is not compatable to things when it comes to school. So it would be back to the Mircosoft store.

  • http://www.facebook.com/sharkaat Denis Jeleć


    I predict that the Microsoft Store will fail spectacularly.” your prediction couldn’t have gone worse. For you.

  • http://www.facebook.com/REIPhill Phill Grove

    WELL… Did it fail??? How’s it doing????!!?!?

  • http://www.facebook.com/people/Robert-Kellner/100002383508134 Robert Kellner

    Looks like that prediction was a FAIL.  In so many ways.  Funny thing, I was in there the other day, and the friend that was with me commented as we were leaving MoA that he hadn’t even noticed the Apple store.  Now that’s funny.

  • Minnperez

    Wow sounds to me this guy is a hater apple is cool but far more expensive and less compatible with other stuff

  • Upyourapplelol

    I went into the apple store today 3 times in a span of about 4 hours and it smelled bad I dont know what it was but it did however I got a sweat band from Microsoft store and before you trolls light my post on fire I am a Linux guy so stick it!

  • David_mercer

    Dude, microsoft makes Mac software and a large portion of Mac users run parallels with win 7. These 2companies are not the rivals everyone thinks they are! Please remember Microsoft does not make computers.

About the author

mikelgan

Mike Elgan is a Silicon Valley-based columnist who writes about technology and culture. His work appears in a variety of publications, including Computerworld, Datamation, PC World, InfoWorld, MacWorld, ITWorld, CIO, the San Francisco Chronicle. Subscribe to Mike's e-mail newsletter, Mike's List, and follow him on Twitter, Facebook, Digg and elsewhere by visiting http://elgan.com.

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Posted in Retail Stores, Top stories |