Apple retail head Ahrendts talks demise of retail, 'human business' at Cannes Lions
Apple retail chief Angela Ahrendts spoke at the ongoing Cannes Lions festival in France on Wednesday, interviewed by the company's own VP of marketing communications, Tor Myhren.
"The smart outside guys, they don't say retail's dying," Ahrendts said during one part of the interview. "They say digital's going to grow at three times the rate of physical. But in the next five years...75 percent of the people will shop online -- shop -- but 75 percent of the business will still be done in physical stores.
"And so retail's not going away, retail's not dying," said Ahrendts. "But it has to evolve, it has to continue to move. And I think it has to serve a bigger purpose than just selling."
Apple has bucked the trend set by other large U.S. retailers, many of which have had to close stores when faced with the onslaught of online-based vendors like Amazon, or simply a switch to online orders at their own websites. The company now has over 500 locations worldwide.
Under her tenure, Ahrendts has tried to further the draw of Apple retail by expanding in-store workshops and special events under the "Today at Apple" brand. The former Burberry CEO has even tried to rechristen the stores as "town squares" with a greater social purpose than just capitalism, though in recent months the company has made little mention of that label.
At Cannes, Ahrendts likewise brought up Apple's famous concept of merging technology and the liberal arts, suggesting that the company may be in "the human business" with the obligation to "humanize technology."
One example of this may be its long-running Apple Camp workshops for kids, which just recently opened up 2018 reservations. The program teaches basic artistic and technological concepts while exposing kids to Apple's product line.
"The smart outside guys, they don't say retail's dying," Ahrendts said during one part of the interview. "They say digital's going to grow at three times the rate of physical. But in the next five years...75 percent of the people will shop online -- shop -- but 75 percent of the business will still be done in physical stores.
Some really interesting insight on the future of retail from Apple's @AngelaAhrendts!
For more expert insights and sign up for a #CannesLions Digital Pass, available here https://t.co/VB1kN9uzpt pic.twitter.com/AsBKbSURe2— Cannes Lions (@Cannes_Lions)
"And so retail's not going away, retail's not dying," said Ahrendts. "But it has to evolve, it has to continue to move. And I think it has to serve a bigger purpose than just selling."
Apple has bucked the trend set by other large U.S. retailers, many of which have had to close stores when faced with the onslaught of online-based vendors like Amazon, or simply a switch to online orders at their own websites. The company now has over 500 locations worldwide.
Under her tenure, Ahrendts has tried to further the draw of Apple retail by expanding in-store workshops and special events under the "Today at Apple" brand. The former Burberry CEO has even tried to rechristen the stores as "town squares" with a greater social purpose than just capitalism, though in recent months the company has made little mention of that label.
"Apple's DNA is Creativity, but..." @AngelaAhrendts on stage at #CannesLions talking about the DNA of @Apple!
For more great insights, sign up for a #CannesLions Digital Pass, available here https://t.co/VB1kN9uzpt pic.twitter.com/Uek13M77FN— Cannes Lions (@Cannes_Lions)
At Cannes, Ahrendts likewise brought up Apple's famous concept of merging technology and the liberal arts, suggesting that the company may be in "the human business" with the obligation to "humanize technology."
One example of this may be its long-running Apple Camp workshops for kids, which just recently opened up 2018 reservations. The program teaches basic artistic and technological concepts while exposing kids to Apple's product line.
Comments
People like my Mom & Pop really don’t like online shopping.
They want to use a product before buying one. That’s why I trust Craigslist more than eBay or Amazon.
I think retail still has a valid presence and if stores like JCP, Macy's, Target, etc can just get their act together and keep up with the times they'll be alright in the long run. The weakest links will die off such as Sears, BonTon, Toys R Us, maybe even JCP.
And, yes depending what it is, I like using the product before buying it. Again, I don't want to deal with returning something even as easy as it is with places like Amazon.
On the Apple Retail front...I hope Apple continues to expand their existing stores meaning, moving their stores into larger spaces. They're getting a little too crowded and now they've started this thing where they line people up that are waiting for the Genius Bar around IN FRONT of all of the products. So when go in, everyone is standing in front of everything around the outside walls (which is where all of the Macs are in my local Apple Store) so I can't use anything. It's incredibly annoying and IMO, totally defeats the purpose of the store. Sometimes I think Apple should just have a store next to the retail store that is just for Genius Bar appointments. Probably not the most financially sound idea, but it would at least eliminate the over crowdedness of their stores. Apple has the exact opposite issue of most other retail stores today and it needs to figure out how to solve it. Sometimes it gets to the point where its not even worth going in.
Best
The other person i see I see as being positioned to succeed Cook is Jeff Williams, but he’s less aggressive than Angela who was already CEO of Burberry.
Predictions are wrong often enough because technology changes, gets delayed, and usage habits can be unpredictable. But more importantly, culture doesn’t always stay on the same track. Any intelligent person who isn’t in denial of history can look back and predict with a high degree of accuracy that even our current cultural trends toward technology are likely to pass entirely. We tend to believe that we are on the right track now and believe we are so advanced and it’ll just move forward indefinitely, but that’s what many civilisations in the past were convinced about as well. We blind ourselves to the downsides until we’ve had enough of them and then can no longer ignore them.
We may be continuing to lean toward online shopping but maybe people will tire of the heavy social disconnection technology brings and will desire (or be prescribed) more in-person interaction and relationships.
While im extremely frustrated with Apple right now i hope they never come under the influence of these idiot investors. Some of those investors are nothing but thieves.
Williams
Schiller
Cue
Ahrendts (maybe she would be moved up because she has CEO experience but I still think the board would choose someone with a technology or operations background).
Wow, I'm shocked to hear you say this. In what country is this? In Canada, literally the opposite is true. Everyone absolutely hates those self-serve checkouts, and complaining about them is as popular as complaining about the weather. Even though there is literally NO LINE at all for the self-serve kiosks, and MASSIVE lines for the few human-run checkout lines, most people would gladly wait much longer rather than get out right away and have to deal with those things. They have staff literally begging the people in line to come to the self-serve checkouts, proclaiming that it will be much much faster and they won't have to wait. Sometimes there are even promotions where they can get discounts or free stuff, gift cards etc. Hardly anyone will budge though. Those self-serve kiosks are truly despised here.
This would work like iTunes with corporate and small businesses selling their products with Apple getting a small cut per sale. You can shop by store like Macy's, Sears, etc. or Brand or category. It could be like Amazon, Etsy and the mall all in one.
My supermarkets are about half and half.
I have no idea why someone would wait in line for an automated machine when human aisles are literally empty.
Are you being truthful?