Yes Walmart is evil, but...
Yes Walmart is evil, but this could be friggin' huge for Apple *if true*. The article was being waaaaaay to conservative. Even as a *failure* we're talking about a buttload of Shuffles just to get started with Walmart for distribution...and yes, this could open the door for the Mac mini.
The big question comes with Walmart's music store. I can't see them selling iPods if they have their own incompatible online music store.
Of course this could mean Walmart's online music store is shutting down, but I doubt it.
If they asked me, which they didn't
I would suggest that if they wanted to sell Shuffles and not close down their online music store, that they simply allow people to go to the Walmart online music store, and then upon checkout they send the "cart" to iTMS for iPod users. Of course the problem with this is that either Walmart would need to charge 11 cents more for those that go to iTMS or iTMS would need to charge 11 cents less for Walmart customers...or some sort of split or sacrafice of revenue...but this is doable.
The big question comes with Walmart's music store. I can't see them selling iPods if they have their own incompatible online music store.
Of course this could mean Walmart's online music store is shutting down, but I doubt it.
If they asked me, which they didn't
I would suggest that if they wanted to sell Shuffles and not close down their online music store, that they simply allow people to go to the Walmart online music store, and then upon checkout they send the "cart" to iTMS for iPod users. Of course the problem with this is that either Walmart would need to charge 11 cents more for those that go to iTMS or iTMS would need to charge 11 cents less for Walmart customers...or some sort of split or sacrafice of revenue...but this is doable.
Comments
Originally posted by hmurchison
Apple just sold their soul.
But did they get a good price for it, that's the question? I've read some scary articles about companies succeeding themselves to death when working with WalMart. They are not know for helping out their vendors. I hope Apple knows what they are doing. If so, it could be big for Apple.
Originally posted by D.J. Adequate
But did they get a good price for it, that's the question? I've read some scary articles about companies succeeding themselves to death when working with WalMart. They are not know for helping out their vendors. I hope Apple knows what they are doing. If so, it could be big for Apple.
Walmart gets that kind of pricing power because they can tell a supplier give us a better price, or we'll go to your competitor. With commodity items, that is fairly easy to do. With something like an iPod, where Apple has a commanding market share, and with buying anything else akin to buying a fake Louis Vuitton purse, Apple is in the driver's seat. Plus I don't think Steve Jobs is afraid of telling Wal*Mart to go f**k itself.
Originally posted by D.J. Adequate
But did they get a good price for it, that's the question? I've read some scary articles about companies succeeding themselves to death when working with WalMart. They are not know for helping out their vendors. I hope Apple knows what they are doing. If so, it could be big for Apple.
I've read the same thing. Apparently Walmart puts a lot of pressure on the manufacturers/vendors to keep their prices low. I wonder who caved, Apple or Walmart?
Originally posted by hmurchison
Apple just sold their soul.
No, they sold their products through the largest distributor in the country. I don't see anything insidious about that.
Originally posted by BenRoethig
Why is this good for Apple? There are over 3000 Walmarts in the U.S. with eight alone with a 50-mile radius of me. There are only 1200 targets, 600 BestBuys, and what 150 Apple Stores,
I think you said it. I know this may be before some of you were born but years and years ago back when Apple had about 20% marketshare they had their products in Walmart's and other stores.. You could just walk in and buy a Mac. Try that today? another solid reason apple has 2.5% marketshare. They need to have a display with pods and mini's and software. Apple doesnt try very hard to sell products does it?
Originally posted by Aurora
I think you said it. I know this may be before some of you were born but years and years ago back when Apple had about 20% marketshare they had their products in Walmart's and other stores.. You could just walk in and buy a Mac. Try that today? another solid reason apple has 2.5% marketshare. They need to have a display with pods and mini's and software. Apple doesnt try very hard to sell products does it?
Apple tries hard to cater to its base. That base makes Apple enough to get by. Unfortunately, that base also has hardware needs widely different from 95% of other computer users.
Originally posted by BenRoethig
Apple tries hard to cater to its base. That base makes Apple enough to get by. Unfortunately, that base also has hardware needs widely different from 95% of other computer users.
Just making a point. years ago macs where everywhere today just at that apple store or perhaps a pod here and there. Fact you aint going to have much say in the market when you own 2.5% Apple must have figured this out with pod sales and music and is why they just decided to have a consumer computer Mini without forcing a display on someone. Marketshare matters. Why the hell this retail company doesnt have a line of products in a few retail chains is beyond me. You cant sell out of a empty store or in this case no store. Apple needs to get back to the days when you could actually see and buy a Mac anywhere you went.