Wal-Mart and Apple will team to promote iPod shuffle
Apple Computer has initiated a partnership with Wal-Mart that will soon see the iPod shuffle featured at Wal-Mart discount locations around the country, AppleInsider has learned.
According to sources close to the retail giant, Wal-Mart in April will begin receiving mass quantities of Apple's new iPod shuffle digital music player, which it will then make available in many, if not all, of its nearly 5000 locations.
The deal between the two companies will be capped by a feature in Wal-Mart's March tabular advertisement, sources say.
Typically speaking, a Wal-Mart feature calls for at least 50 units -- in this case 25+ of each shuffle model -- per hometown store, while metro area locations would require significantly larger quantities of the product.
Figuring conservatively, with 5000 stores each receiving approximately 50 units, the feature alone would demand a quarter million shuffles. "That of course is in addition to regular sell through, and is a very conservative number," sources added.
Wal-Mart, which initially seemed willing to provide AppleInsider with specifics of the endeavor, abruptly recanted on its offer, citing confidentiality agreements with its suppliers.
The company also declined to say whether it would begin carrying Apple's new Mac mini computer. However, sources claim this is unlikely due to the mini's higher price point and lack of mainstream appeal.
Also on Friday, word broke that Best Buy had signed on to carry Apple's Mac mini in some of its retail stores. A report in The Mac Observer provides subsequent confirmation of the deal, adding that Best Buy will also begin marketing the 512MB iPod shuffle at over 780 of its stores.
In its investigation into the Wal-Mart deal, AppleInsider learned that the retailer had originally sought to launch its feature of the iPod shuffle a little later in the year. Apple reportedly told Wal-Mart it would be unable to guarantee sufficient quantity for all its stores at this later date, suggesting it may have already committed to similar deals with other large retailers within the same time frame.
According to sources close to the retail giant, Wal-Mart in April will begin receiving mass quantities of Apple's new iPod shuffle digital music player, which it will then make available in many, if not all, of its nearly 5000 locations.
The deal between the two companies will be capped by a feature in Wal-Mart's March tabular advertisement, sources say.
Typically speaking, a Wal-Mart feature calls for at least 50 units -- in this case 25+ of each shuffle model -- per hometown store, while metro area locations would require significantly larger quantities of the product.
Figuring conservatively, with 5000 stores each receiving approximately 50 units, the feature alone would demand a quarter million shuffles. "That of course is in addition to regular sell through, and is a very conservative number," sources added.
Wal-Mart, which initially seemed willing to provide AppleInsider with specifics of the endeavor, abruptly recanted on its offer, citing confidentiality agreements with its suppliers.
The company also declined to say whether it would begin carrying Apple's new Mac mini computer. However, sources claim this is unlikely due to the mini's higher price point and lack of mainstream appeal.
Also on Friday, word broke that Best Buy had signed on to carry Apple's Mac mini in some of its retail stores. A report in The Mac Observer provides subsequent confirmation of the deal, adding that Best Buy will also begin marketing the 512MB iPod shuffle at over 780 of its stores.
In its investigation into the Wal-Mart deal, AppleInsider learned that the retailer had originally sought to launch its feature of the iPod shuffle a little later in the year. Apple reportedly told Wal-Mart it would be unable to guarantee sufficient quantity for all its stores at this later date, suggesting it may have already committed to similar deals with other large retailers within the same time frame.
Comments
Wal Mart? Isn't that the place where the employees make minimum wage (or, less, if they can find contractors who'll hire illegal immigrants for them as they look the other way?) and have to pay more than the average worker does to get their families insured?
Isn't that the place that keeps their lawyers busy defending them against class action lawsuits detailing no pay for hours worked, women unable to become managers, etc.?
Sigh.
say it ain't so, Steve. . .
Two elements to this decision:
1. iTMS will make a bloody fortune - Walmart has their own music store, but sadly, it's incompatible, and who really wants their music censored anyway? Enter the Halo Effect(tm)*
2. if the shuffle does well, you may just see the mini on Walmart sales floors. Increased Mac sales will reduce the average stress level of the joe six pack consumer due to zilch on the virus and spyware front making the North Atlantic area glow with happiness, they'll purchase more technology, leading us into an economic renaissance leading to prosperity and joy for all and the streets will flow free will milk and honey.
Seriously though, with due respect to the red and blue smocks out there, it matters not what the compensation model is for staff at Walmart (which I imagine isn't near as bad as what you've described). This is la capitalisme! Don't like your job? Get a better one. Can't get a better one? Go get an education for Jobs sake!
Walmart is just another lovely distribution channel to invade and conquer. Rule Mactania, yo.
*Halo Effect(tm) is a wholly owned subsidiary of the RDF(c)(tm)(r)
If you have WMP or Real, check out this PBS documentary on Wal-Mart:
http://www.pbs.org/wgbh/pages/frontl.../walmart/view/
Originally posted by sheilae
oh man. . .
Wal Mart? Isn't that the place where the employees make minimum wage (or, less, if they can find contractors who'll hire illegal immigrants for them as they look the other way?) and have to pay more than the average worker does to get their families insured?
Isn't that the place that keeps their lawyers busy defending them against class action lawsuits detailing no pay for hours worked, women unable to become managers, etc.?
Sigh.
say it ain't so, Steve. . .
No, most of their employees are full-time employees (they said so in an ad I saw). But, then again, full-time is something like 28 hours, so maybe that means nothing.
But they don't have to make much, since they can shop at walmart. The money they save is money Walmart doesn't have to pay them.
Of course, putting Apple stuff in Walmarts is completely nuts. Apple products are about class and quality. Walmart stuff is about cheap crap produced by the lowest off-shore bidder (all part of Sam Walton's Patriotic vision, I'm sure). I've never been to a Wal-mart that was messy and cluttered, aisles partially blocked with half-assed displays, everything on the shelves looking like someone rummaged through it at 5am thinking their alarm clock was in there, and, if you're lucky, what you're looking for will be on the shelf it should be, rather than over here, or over there, or whereever someone decided to deposit it. Shopping in a Wal-mart is not done for the enjoyment of it, its because you either have to, or just want to try to save money on paper towels or buy some cheap clothes or a DVD player as a gift for someone.
I despise Walmart, but can't ignore the market validation (value) that this gives Apple and the shuffle.
lb
Regardless of what you think of Wal-Mart there is no doubt that Apple has caught the attention of retailers and this is going to have a huge impact on the performance of the stock in the next quarter.
Walmart stuff is about cheap crap produced by the lowest off-shore bidder (all part of Sam Walton's Patriotic vision, I'm sure). I've never been to a Wal-mart that was messy and cluttered, aisles partially blocked with half-assed displays, everything on the shelves looking like someone rummaged through it at 5am thinking their alarm clock was in there, and, if you're lucky, what you're looking for will be on the shelf it should be, rather than over here, or over there, or whereever someone decided to deposit it. Shopping in a Wal-mart is not done for the enjoyment of it, its because you either have to, or just want to try to save money on paper towels or buy some cheap clothes or a DVD player as a gift for someone. [/B]
The wal-mart near my house is not like that at all.
It is clean, well orgainsed, and the stuff there is
good stuff (not cheap crap) for the most part. I don't
like the electronics or shoe sections, admittedly.
The auto section is the best place to get a new
car battery.
I recently bought some cool rubbermaid containers with
locking tops to organise my computer and audio cable
collection. Except for the parking, I like wal-mart.
Originally posted by kenaustus
Regardless of what you think of Wal-Mart there is no doubt that Apple has caught the attention of retailers and this is going to have a huge impact on the performance of the stock in the next quarter.
Well, if the stock value goes up, it must be a good thing! For everyone! One would have to be stupid, a Communist, or hate America/freedom to think otherwise.
Originally posted by wilco
Well, if the stock value goes up, it must be a good thing! One would have to be stupid, a Communist, or hate America/freedom to think otherwise.
The stock value goes up because of expectations of future earnings. The *only* purpose of a company is to get a good return on the investment of its owners, while staying within the law. So if the stock value goes up, they did the right thing.
If they lied to make the stock value go up, then it would be different (entirely contrary to the core purposes of return for investors and staying within the law).
I see those Wal-Mart commercials on TV, too. Read the facts.
http://www.ufcw.org/worker_political...rm/walmart.cfm
say it ain't so!
stick to Target!!!!!
Originally posted by e1618978
The stock value goes up because of expectations of future earnings. The *only* purpose of a company is to get a good return on the investment of its owners, while staying within the law. So if the stock value goes up, they did the right thing.
If they lied to make the stock value go up, then it would be different (entirely contrary to the core purposes of return for investors and staying within the law).
Yes, a "good return". It's fair to say that Apple investors have already got a good return on their investment.
The question is how far do you go once you've already provided a good return? Should you team up with any company -- regardless of its horribly exploitive track record -- as long as it increases shareholder's profits even more?
Yeah, I know -- "it's capitalism." But Apple is being hypocritical by flaunting it's free-thinking image, while getting into bed with Walmart
Originally posted by wilco
Yes, a "good return". It's fair to say that Apple investors have already got a good return on their investment.
The question is how far do you go once you've already provided a good return? Should you team up with any company -- regardless of its horribly exploitive track record -- as long as it increases shareholder's profits even more?
Yeah, I know -- "it's capitalism." But Apple is being hypocritical by flaunting it's free-thinking image, while getting into bed with Walmart
No, good returns are never allowed to end.
You invest the money in stock, which is higher
risk than investing in fixed income. In exchange
for that risk, you are entitled to a higher return.
The directors and CEO of the company you invested
in are *required* to give you the best return you
can get. If you can prove that they didn't,
then you can sue them (and shareholder lawsuits
are common).
Originally posted by wilco
Well, if the stock value goes up, it must be a good thing! For everyone! One would have to be stupid, a Communist, or hate America/freedom to think otherwise.
\
Originally posted by sheilae
I won't shop at Wal-Mart. Or Sam's Club. Thankfully, there are choices, and here in Northern California, there are plenty of stores that provide a living wage to their employees, as well as the extra benefits, like health care.
I see those Wal-Mart commercials on TV, too. Read the facts.
http://www.ufcw.org/worker_political...rm/walmart.cfm
Imagine that, a labor union complaining about wal-mart. \
This has less to do with concern over wal-mart employees and more to do with the membership dues from the million plus employees they aren't getting because wal-mart isn't unionized.