I have to admit that having heard the news that Microsoft was opening a retail store in the Park Meadows mall, I was more than a bit skeptical that this might end up another Microsoft “Bob” moment. First, lets understand some key elements of where the Redmond software giant’s business is right now. It’s stock price is lower than both Apple and Googles’, over the last several quarters it has lacked the media blitz frenzy that has surrounded the release of the iPad and iPhone 4, as well as competing phones by Motorola and HTC running Google’s Droid software; which is now on version 2.2. With little to no fanfare, Microsoft has released Windows 7, Exchange Server 2010, Office 2010, Sharepoint 2010, and Microsoft Server 2008 R2; all of which were critically regarded very well. In the first quarter of 2010, Windows PC sales outpaced sales in the first quarter 0f 2009 by a whopping 27%. Keep in mind in the first quarter of 2009 PC sales were fairly strong for recession economics and outsold its only competitor, Apple, by a very wide margin.
Why then, is Microsoft’s share price lower than it’s two main rivals? Microsoft is beginning to think that selling its Windows 7 software through a major manufacturer like Dell or HP, or a big box store like Best Buy, removes a personal element that Apple Store customers enjoy. I think they have a point. Microsoft is kind of like a cloud that hangs over Dell and HP, they don’t actually make computers, unless you count the XBox game console. If you want personal service, you often have to go to your local PC repair depot, or drop your PC off at the geek squad where before they even look at your computer, they will (annoyingly) try to sell a support contract or extended warranty or whatever. Wondering how this would take shape with a Microsoft flare, I got in my car and drove down to the Park Meadows mall to have a look for myself.
First of all; before the Apple fanboys begin to complain, Microsoft has totally ripped off the Apple store from the Answer Desk (Genius Bar) to the under 25 hipsters waiting to answer any question that comes their way. They ripped it off properly. The Microsoft Store is large and spacious, plenty of room to move about with lots of eye candy on display for sampling. I found Dell’s answer to the Mac Book Air; which has been on the market for over a year but has not gotten any press:
Traffic was high today. Unlike the Apple Store, even though it was crowded it was not claustrophobic; the store is at least double the size of an average Apple Store. Including PCs and laptops, they had Windows Mobile phones by HTC, XBoxes, hundreds of accessories, software, game titles, and Windows 7 Kiosks showing off Microsoft 7′s multi-touch capability. If you are waiting for this, don’t call Redmond. We are waiting for Samsung or someone else to make a monitor capable of multi-touch.
Why would you buy a computer here instead of Best Buy or directly from Dell or HP? I spoke with one of the answer desk guys and they told me that unlike those retailers, when you buy a PC here, an answer desk tech will go through with you exactly what you want on the computer. Pretty much any software title is available (of course you have to buy it!) for you to chose from. Bring your old PC in for them to migrate. Once they get all this information they will install a fresh copy of Windows for you, install your purchased software, and migrate your data from your old PC. You don’t have to worry about silly Dell or HP software, or a 60 day trial of Norton; they will only install what you tell them too. Not a service I would take advantage of, but I would send my mother there.
The ultimate question is, will this work? I have no idea, I think that Microsoft is wise to try new strategies to remain relevant. However, I think that they would be just as well to reinvent microsoft.com to make it quick and painless to purchase and install software. They could also try selling Dell’s and HP’s through microsoft.com. One of my principle complaints about the Apple Store is that when something went wrong (and they do), you had to go to the Apple store. I don’t have time for this, ship me the part and an instruction sheet and I will forget that the thing broke. In all seriousness it seems like this is a plea from the dozens of manufacturers who rely on Microsoft as their platform. In the Apple Store all you get is Apple. You might as well subtitle “Microsoft Store” with “Dell, HP, Acer, Asus, Lenovo, Sony, HTC, and Samsung too”.
Bottom line, I will still do my shopping online. Although, I may pop in from time to time to check something out before I decide to purchase something, and in that case I will by probably buy said product from the Microsoft Store. This is exactly the behavior PC makers are trying to capture.





