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Apple to shut down higher education Authorized Campus Stores in Canada this June

post #1 of 66
Thread Starter 
Canadian post-secondary students with access to an Apple Authorized Campus Store will soon have to look elsewhere for Macs and iPads, as the company has decided not to re-up contracts with higher education outlets due to declining sales.

Campus


People familiar with Apple's plans said the company will be closing all community college and university Authorized Campus Stores in Canada sometime in June. The move comes as students increasingly turn to the Online Apple Store or major retail chains to purchase Macs and iOS devices, making the Apple-subsidized on-campus stores financially unviable.

Sources told AppleInsider that Apple will not sign its usual contracts with certain Canadian educational institutions, but the exact date on which the current agreements expire is unknown.

The sources, however, note current Authorized Campus Stores have until May 31 to sell existing Mac and iPad stock, suggesting an early June end date. After supply is exhausted, campus shops will only be allowed to sell accessories and peripherals.

Apple's change in policy has sparked a fire sale at some institutions like the University of Victoria in British Columbia, which is "blowing out" Apple inventory at-cost. For most products, markdowns are not substantial, but now may be a good time to buy for students in the market for big-ticket items like a MacBook Pro.

As for the U.S., Apple is expected to keep the Authorized Campus Store initiative alive -- at least for now -- as some larger institutions generate substantial revenue for the company. On a whole, however, campus sales performance has been slowly sinking to sub-par levels.

Apple has long touted its role in education, beginning with the earliest Macs, then with the eMac initiative and now the iPad in education push. Although it will no longer have an official physical presence on campuses across Canada come June, Apple will continue to serve educational discounts through its online storefront and authorized dealers.

AppleInsider has requested comment from Apple and will update when a response is received.
post #2 of 66

Too bad, kids.  Had you spent enough at the campus stores, you would not be losing them.  Too late now.  Enjoy driving to the city.

post #3 of 66
Quote:
Originally Posted by SudoNym View Post
 

Too bad, kids.  Had you spent enough at the campus stores, you would not be losing them.  Too late now.  Enjoy driving to the city.

That or order online at Apple.com which is probably what they are already doing hence declining sales at the campus shop.

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post #4 of 66
Very short sighted on the part of Apple. Apple technology in campus stores has made Apple computers the default for students and faculty. Dell, the previous darling on campuses, has not had campus sales for quite some time.

Apple is clearly being run with only immediate profits the driving force. If Apple continues this trend, it is dead, and there won't be another Steve Jobs coming along to save their asses.
post #5 of 66
post #6 of 66
Quote:
Originally Posted by waldobushman View Post

Very short sighted on the part of Apple. Apple technology in campus stores has made Apple computers the default for students and faculty. Dell, the previous darling on campuses, has not had campus sales for quite some time.

Apple is clearly being run with only immediate profits the driving force. If Apple continues this trend, it is dead, and there won't be another Steve Jobs coming along to save their asses.
Really? What pct of Apple sales to students come from these college stores?
post #7 of 66
Quote:
Originally Posted by waldobushman View Post

Very short sighted on the part of Apple. Apple technology in campus stores has made Apple computers the default for students and faculty. Dell, the previous darling on campuses, has not had campus sales for quite some time.

Apple is clearly being run with only immediate profits the driving force. If Apple continues this trend, it is dead, and there won't be another Steve Jobs coming along to save their asses.

Hahaha!

What do you mean you weren't joking?

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post #8 of 66
Quote:
Originally Posted by waldobushman View Post

Very short sighted on the part of Apple. Apple technology in campus stores has made Apple computers the default for students and faculty. Dell, the previous darling on campuses, has not had campus sales for quite some time.

Apple is clearly being run with only immediate profits the driving force. If Apple continues this trend, it is dead, and there won't be another Steve Jobs coming along to save their asses.


You forgot to add, "Apple is doomed!"

 

I don't see a problem with closing these stores if sales from them are declining.  The article clearly states that students, etc. are turning to the Apple store and retail chains for their purchases. 

post #9 of 66
Quote:
Originally Posted by jungmark View Post


Really? What pct of Apple sales to students come from these college stores?

It doesn't matter. Until relatively recently, the idea of buying an Apple was considered a stupid move. Dell was the default on the campuses I'm familiar with. What happens during orientation when mom and dad accompany their freshman to campus. "I need a computer!" They go to the campus store, and mom and dad see Apple computers for the first time. The staff can talk to them, demonstrate the Apple, let them touch it. Be told, "Sure you can run Windows programs. Bootcamp and VMs from Parallels or VMWare. Let me demonstrate....". And, they can walk out with a  computer immediately. You can't do that with Dell. Mom and Dad might even buy one. 

post #10 of 66
Quote:
Originally Posted by waldobushman View Post
 
Quote:
Originally Posted by jungmark View Post


Really? What pct of Apple sales to students come from these college stores?

It doesn't matter. Until relatively recently, the idea of buying an Apple was considered a stupid move. Dell was the default on the campuses I'm familiar with. What happens during orientation when mom and dad accompany their freshman to campus. "I need a computer!" They go to the campus store, and mom and dad see Apple computers for the first time. The staff can talk to them, demonstrate the Apple, let them touch it. Be told, "Sure you can run Windows programs. Bootcamp and VMs from Parallels or VMWare. Let me demonstrate....". And, they can walk out with a  computer immediately. You can't do that with Dell. Mom and Dad might even buy one. 

even when Apple was in the toilet, you could buy a Mac at my campus store but not a Dell.   The question may not be, "what's up with Apple?", but "what's with campus stores in Canada"?

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post #11 of 66

See no issue here. A: People don't buy computers when they get on campus, they buy computers before they leave home. B:You can get the same educational price for computers in person at an Apple Store, via Personal Pickup or online. In fact, those are better locations since campus stores seem to stock a limited number of configurations anyway. Back in the day, they'd open the box and add CD drives, RAM, AV cards, etc. They can't now, which means a greater inventory cost. And, C:, the stores sell accessories, iPads and Apple TV at the full retail price anyway, only computers are discounted.

post #12 of 66
Quote:
Originally Posted by thetorrey View Post
 
I don't see a problem with closing these stores if sales from them are declining.  The article clearly states that students, etc. are turning to the Apple store and retail chains for their purchases. 

I did a few numbers and as it turns out Apple stores in Canada serve about a million people each if you divide the entire population by the number of stores. This is almost the exact same ratio as the US. I also looked at the locations of the most well known colleges in Canada and compared that to a list of the 29 Apple stores in Canada. There were a few colleges not represented in the cities that Apples serves but for the most part it turns out that Canadian colleges are in the same places that Apples stores are, so it is no wonder that students prefer a real Apple store with every product verses a small campus store with limited inventory, limited hours of operation and no genius bar.

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post #13 of 66
Quote:
Originally Posted by waldobushman View Post

Very short sighted on the part of Apple. Apple technology in campus stores has made Apple computers the default for students and faculty. Dell, the previous darling on campuses, has not had campus sales for quite some time.

Apple is clearly being run with only immediate profits the driving force. If Apple continues this trend, it is dead, and there won't be another Steve Jobs coming along to save their asses.

 

50% of my class had a Mac laptop—it was a business program, 4 years ago. There's an Apple Store 10 minutes walk away in one of the busiest malls in town. Why do I need to visit the campus store with only 3 Macs on display?

post #14 of 66
Quote:
Originally Posted by konqerror View Post
 

See no issue here. A: People don't buy computers when they get on campus, they buy computers before they leave home. B:You can get the same educational price for computers in person at an Apple Store, via Personal Pickup or online. In fact, those are better locations since campus stores seem to stock a limited number of configurations anyway. Back in the day, they'd open the box and add CD drives, RAM, AV cards, etc. They can't now, which means a greater inventory cost. And, C:, the stores sell accessories, iPads and Apple TV at the full retail price anyway, only computers are discounted.

not always true.. I know plenty of people who sent their kids away to school with a PC laptop in hand as freshman (as you state), only to replace them with Macs at the campus store when their PC laptop "died (whatever that means)" in the middle of the term.  :lol: 

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post #15 of 66
Quote:
Originally Posted by waldobushman View Post

It doesn't matter. Until relatively recently, the idea of buying an Apple was considered a stupid move. Dell was the default on the campuses I'm familiar with. What happens during orientation when mom and dad accompany their freshman to campus. "I need a computer!" They go to the campus store, and mom and dad see Apple computers for the first time. The staff can talk to them, demonstrate the Apple, let them touch it. Be told, "Sure you can run Windows programs. Bootcamp and VMs from Parallels or VMWare. Let me demonstrate....". And, they can walk out with a  computer immediately. You can't do that with Dell. Mom and Dad might even buy one. 

Lots of students have computers before they go to college. Lots of students decide to get a computer before they go to college if they didn't have one already.

And by recently, do you mean 15 yrs ago?
post #16 of 66
Quote:
Originally Posted by snova View Post
 
 I know plenty of people who sent their kids away to school with a PC laptop in hand as freshman (as you state), only to replace them with Macs at the campus store when their PC laptop died in the middle of the term.  

Really? How many is plenty? Probably more likely they found out that all the fashionable people were using Macs so they accidentally on purpose killed their PC so they could buy a Mac. There are probably dozens of PC repair shops near campus that could easily have gotten the laptop back up and running in no time at all unless the students' parents gave them a 10 year old hand me down Win PC, in which case, your scenario might make sense. Otherwise, your claim of 'plenty' sounds suspicious.

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post #17 of 66

Back in the dark days when Apple did not have their own stores and Macs got shoved into the corner in favor of PCs at electronics stores, the campus stores were a lifeline for anyone who wanted to get a good fair demo of Apple products. With Apple opening their own stores and commanding more favorable placement at other retailers, students no longer lack for options to try out and buy Apple products.

 

But, if the campus stores are indeed on the way out, I think the biggest force behind their demise is simply the decline of significant discounts on Apple products for students and staff. Apple still makes offers for academic purchases, but they are a lot more modest and also available online.  Going way back, the academic pricing for Macs used to feature huge discounts, and that drove traffic to the campus stores. Back in the Sculley era, I recall that a Mac SE carried a list price of $3,200 (1 MB RAM and dual floppy drives), while the academic price was less than $1,800. The academic prices even undercut the grey market mail order vendors, which indicates that the campus stores might have been selling for below the normal wholesale cost. 

 

Today, a Macbook Pro starts at $1,200, and an iMac starts at $1,300.  The academic discount ranges from $50 to $200.  For perspective, if you inflation adjust that ~$1,800 Mac SE, it would cost over $3,700 today.  So, obviously the products are more affordable to begin with.  But, it also illustrates how the campus stores no longer undercut other vendors by a huge margin.  Any discounts and offers are also available through Apple by mail order or in-store pickup.

 

The campus stores were a bright spot during a dismal period in Apple's history, so it is sad to see them going by the wayside, as their role is no longer as vital and Apple is no longer the struggling underdog.


Edited by Woochifer - 3/18/14 at 5:55pm
post #18 of 66
Quote:

Originally Posted by Woochifer View Post
 

So, obviously the products are more affordable to begin with.  But, it also illustrates how the campus stores no longer undercut other vendors by a huge margin.  Any discounts and offers are also available through Apple by mail order or in-store pickup.

 

One benefit is that in certain US states, you don't have to pay sales tax for campus bookstore purchases.

post #19 of 66

Not sad at all... my local University coop-store hardly ever had inventory, so the Future Shop was (now is) the default (admittedly I don’t qualify for student pricing anymore, but I live close by the campus).

 

Also, the coffee shops neighbouring the campus have absurd amounts of students toting Macs (like 75 % of them or something). So if the sale numbers of the coop store are low, it’s definitely worthless to give them the customer trafic given that they sell other manufacturers as well (students are obviously getting their Macs somewhere else if that is the case).

post #20 of 66

I'm much more upset that American higher education students no longer have Authorized Canadian Bacon stores on their campuses. It's just not right if you ask me. 

 

Seriously, is there any topic, no matter how infinitesimally small and inconsequential, that has "Apple" associated with it, no matter how remote, that does not lead to the immediate conclusion that "Apple is Doomed?" Anyone have any insider information into the portion sizes of the entrees in the Apple main campus cafeteria? A 2.3 gram reduction in the average grilled chicken breast weight may, you know, be an undeniable sign of impending doom. You never know!

post #21 of 66
Quote:
Originally Posted by mstone View Post
 
Quote:
Originally Posted by snova View Post
 
 I know plenty of people who sent their kids away to school with a PC laptop in hand as freshman (as you state), only to replace them with Macs at the campus store when their PC laptop died in the middle of the term.  

Really? How many is plenty? Probably more likely they found out that all the fashionable people were using Macs so they accidentally on purpose killed their PC so they could buy a Mac. There are probably dozens of PC repair shops near campus that could easily have gotten the laptop back up and running in no time at all unless the students' parents gave them a 10 year old hand me down Win PC, in which case, your scenario might make sense. Otherwise, your claim of 'plenty' sounds suspicious.

my daughter reports that 4 of her friends replaced their PC laptops that they brought with them to school with MacBooks while away at college. statistically speaking its "plenty".

Did you want names and phone numbers?

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post #22 of 66
Quote:
Originally Posted by snova View Post

my daughter reports that 4 of her friends replaced their PC laptops that they brought with them to school with MacBooks while away at college.
Did you want names and phone numbers?

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post #23 of 66
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Originally Posted by DewMe View Post
 

 Anyone have any insider information into the portion sizes of the entrees in the Apple main campus cafeteria? A 2.3 gram reduction in the average grilled chicken breast weight may, you know, be an undeniable sign of impending doom. You never know!

I found this:

http://www.huffingtonpost.com/2011/09/27/apple-cafeteria-caffe-macs_n_983053.html

 

Apparently they do serve chicken but it is not a featured offering. Worth a read, it mentions Steve.

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post #24 of 66
Quote:
Originally Posted by snova View Post
 
my daughter reports that 4 of her friends replaced their PC laptops that they brought with them to school with MacBooks while away at college. statistically speaking its "plenty".

Did you want names and phone numbers?

Okay. That answers the question. Third party hearsay. 

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post #25 of 66
Quote:
Originally Posted by mstone View Post
 
Quote:
Originally Posted by snova View Post
 
my daughter reports that 4 of her friends replaced their PC laptops that they brought with them to school with MacBooks while away at college. statistically speaking its "plenty".

Did you want names and phone numbers?

Okay. That answers the question. Third party hearsay. 

do you want sworn testimony?  geez dude.. you don't believe anyone. Its reality, deal with it instead of sticking your head in the sand. Shit happens while away at school and kids don't have the luxury of an IT department to get stuff fixed and they need things ASAP. Not days or weeks later to get things fixed.  When you have an urgent need, the campus store for a new computer is often the solution.


Edited by snova - 3/18/14 at 6:26pm
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post #26 of 66
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Originally Posted by Gatorguy View Post
 
Quote:
Originally Posted by snova View Post

my daughter reports that 4 of her friends replaced their PC laptops that they brought with them to school with MacBooks while away at college.
Did you want names and phone numbers?

Are they cute? Attracted to older men by chance? 1cool.gif

only guys that live still live in their mom's basement and wear Google Glass all the time.  /jk

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post #27 of 66
Originally Posted by waldobushman View Post
Apple is clearly being run with only immediate profits the driving force.

 

Yep¡ :rolleyes:

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post #28 of 66
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Originally Posted by Tallest Skil View Post
 
Originally Posted by waldobushman View Post
Apple is clearly being run with only immediate profits the driving force.

 

Yep¡ :rolleyes:

that should make NCPPR very happy.

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post #29 of 66
All kinds of 'campus' stores -- even campus bookstores -- are slowly disappearing.

Nothing unusual here, just a sign of the times. Moving along.....
post #30 of 66
Quote:
Originally Posted by snova View Post
 
do you want sworn testimony?  geez dude.. you don't believe anyone. Its reality, deal with it instead of sticking your head in the sand. Shit happens while away at school and kids don't have the luxury of an IT department to get stuff fixed and they need things ASAP. Not days or weeks later to get things fixed.

Look, I'm just questioning your initial premise that plenty of Windows PCs die and are irrepairable for college freshmen and they decide to buy a Mac instead of getting their presumably modern current PC repaired. The much more likely scenario is they decided they would rather have a Mac. Windows PCs don't just inexplicably die unless they are super cheap or super old. Quit trying to turn the discussion into a hardware/software failures statistic. Choosing Windows or Mac is a personal preference situation.

 

Either way switching platforms is not a right away process as you describe. You have to replace all your software and somehow get your documents back.

 

Edit: And don't call them kids. Almost everyone in college is old enough to fight in the military, have sex and disown their parents.


Edited by mstone - 3/18/14 at 6:45pm

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post #31 of 66
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Originally Posted by snova View Post

only guys that live still live in their mom's basement and wear Google Glass all the time.  /jk

Those are your daughters friends?? Ummm. . . Never mind. 1biggrin.gif
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post #32 of 66
Quote:
Originally Posted by Juil View Post
 

Not sad at all... my local University coop-store hardly ever had inventory, so the Future Shop was (now is) the default (admittedly I don’t qualify for student pricing anymore, but I live close by the campus).

 

Also, the coffee shops neighbouring the campus have absurd amounts of students toting Macs (like 75 % of them or something). So if the sale numbers of the coop store are low, it’s definitely worthless to give them the customer trafic given that they sell other manufacturers as well (students are obviously getting their Macs somewhere else if that is the case).


Low inventory is not an indicator of low sales -- just low inventory. The biggest selling point of campus stores for the longest time was the student/staff discounts, and even if something was not in inventory, the campus stores I'm familiar with would take the order and have it ready for pick up in a day or two. The campus stores carry other brands simply because not all consumers purchase the same platform (and Future Shop does the exact same thing).  Plus, other manufacturers have their own academic discount programs.

 

The campus stores' decline is sad for a long-time Mac fan like me because they helped prop Apple up during some dark times. They were often one of the few stores where Macs were on an equal footing with PCs, if those other stores even bothered carrying Macs in the first place. With Apple as this global colossus, it's hard to look at them as the struggling underdog with declining retail support. But, that indeed was the case.

post #33 of 66
Quote:
Originally Posted by mstone View Post
 
Quote:
Originally Posted by snova View Post
 
do you want sworn testimony?  geez dude.. you don't believe anyone. Its reality, deal with it instead of sticking your head in the sand. Shit happens while away at school and kids don't have the luxury of an IT department to get stuff fixed and they need things ASAP. Not days or weeks later to get things fixed.

Look, I'm just questioning your initial premise that plenty of Windows PCs die and are irrepairable for college freshmen and they decide to buy a Mac instead of getting their presumably modern current PC repaired. The much more likely scenario is they decided they would rather have a Mac. Windows PCs don't just inexplicably die unless they are super cheap or super old. Quit trying to turn the discussion into a hardware/software failures statistic. Choosing Windows or Mac is a personal preference situation.

 

Either way switching platforms is not a right away process as you describe. You have to replace all your software and somehow get your documents back.

look. now you are just spinning off in a tangent.  All I said, there are plenty of kids that go to the campus bookstore to replace the PC laptop they brought with them as freshman. They just happen to be replacing them with Macs.  You called BS on my use of the word "plenty".   I quantified "plenty".  Then you called my quantization as being hearsay.  ..and frankly at this point you pissed me off for effectively calling me a liar. 

Now you are trying to spin things, for some strange purpose that I could care less in trying to understand.   You called me out. I explained my numbers. Just deal with it. 

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post #34 of 66

I hate any store that my university runs, this includes the book, computer, clothing and coffee stores.  All of them have either horrible hours or horrible prices. Something as simple as some printer paper is way over priced.  I understand apple sets the price for its products available at the stores, but after getting shafted on so many items I don't want to shop at the school.

 

I am in canda and live close to the border.  So if you cross the border and get a full price computer from a state with very low sales tax, you will be similar to ontario after edu discount plus the ridiculous amount of tax we have to pay.

post #35 of 66
Quote:
Originally Posted by DennyC2013 View Post
 

I hate any store that my university runs, this includes the book, computer, clothing and coffee stores.  All of them have either horrible hours or horrible prices. Something as simple as some printer paper is way over priced.  I understand apple sets the price for its products available at the stores, but after getting shafted on so many items I don't want to shop at the school.

 

I am in canda and live close to the border.  So if you cross the border and get a full price computer from a state with very low sales tax, you will be similar to ontario after edu discount plus the ridiculous amount of tax we have to pay.

I think some of that can be expected for the convenience.   Don't expect to get price deals at your local 7-eleven.  As far as skirting sales tax, that really up to you. Its your community.  You want to use the government services without paying for them, that your call.

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post #36 of 66

That hand basket and hell are not treating Canada well.

Et tu, Apple?

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post #37 of 66
Quote:
Originally Posted by konqerror View Post

One benefit is that in certain US states, you don't have to pay sales tax for campus bookstore purchases.

Well if you ship to an address in a non sales tax state, you also pay no sales tax.
post #38 of 66
Quote:
Originally Posted by snova View Post
 

even when Apple was in the toilet, you could buy a Mac at my campus store but not a Dell.   The question may not be, "what's up with Apple?", but "what's with campus stores in Canada"?

When did Dell ever sell its computers through retail? I remember back in the day when I'd visit CompUSA, there were computers from all the major companies except Dell. Didn't Dell use to sell exclusively through its online store? 

post #39 of 66
Quote:
Originally Posted by waldobushman View Post
 
Quote:
Originally Posted by jungmark View Post


Really? What pct of Apple sales to students come from these college stores?

It doesn't matter. Until relatively recently, the idea of buying an Apple was considered a stupid move. Dell was the default on the campuses I'm familiar with. What happens during orientation when mom and dad accompany their freshman to campus. "I need a computer!" They go to the campus store, and mom and dad see Apple computers for the first time. The staff can talk to them, demonstrate the Apple, let them touch it. Be told, "Sure you can run Windows programs. Bootcamp and VMs from Parallels or VMWare. Let me demonstrate....". And, they can walk out with a  computer immediately. You can't do that with Dell. Mom and Dad might even buy one. 

 

 

Quote:
Originally Posted by d4NjvRzf View Post
 
Quote:
Originally Posted by snova View Post
 

even when Apple was in the toilet, you could buy a Mac at my campus store but not a Dell.   The question may not be, "what's up with Apple?", but "what's with campus stores in Canada"?

When did Dell ever sell its computers through retail? I remember back in the day when I'd visit CompUSA, there were computers from all the major companies except Dell. Didn't Dell use to sell exclusively through its online store? 

I'm the wrong guy to ask about Dell on campus. Try the poster I quoted above who stated that Dell was the default on their campus. 

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post #40 of 66
Quote:
Originally Posted by d4NjvRzf View Post
 

When did Dell ever sell its computers through retail? 

 

They seriously got into it around 2007. They even had their own mall kiosks. It was part of the industry shift into cheap assembly in China. (Apple made the shift too, they ended US assembly around 2003.)

 

The end of Dell's shift happened around last year. With their margins so low, they can't afford to air freight computers or manage a dynamic supply chain anymore. Build-to-order options are gone for all but large corporate orders and high-margin gaming systems. Everything is basically sold from stock, fitting in well with the retail store model.

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