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Redefining Marketing: Getting Back To Core: People With Passion Can Change The World For The Better"
Redefining Marketing: Getting Back To Core: People With Passion Can Change The World For The Better"
In continuation with the quest to have end to end control over entire Product Value Chain, Jobs hated the idea
of someone else selling apple products in a big box retail store. He believed that uniqueness of apple product
would be lost along with customer experience if they are sold through such retail outlets.
He was obsessed about the finding ways to communicate apple’s innovation to customers and took idea of
building Apple’s own store to the board of apple. Initially Board hated the idea as Gateway had failed miserably
by investing in stores.
But Jobs persisted with the idea and got on board Ron Johnson who had a passion for design and boyish
enthusiasm of a natural born retailer. Its was astonishing to see that how Jobs always used to find ways to
leverage expertise of someone around him or someone with whom he worked in the past.
Johnson argued with him that tech store in areas with lot of foot traffic won’t make sense because of infrequent
purchasing patterns. However, Steve believed in the apple products to such an extent that he assured Johnson
if they make store inviting enough, they will win over the customers.
Jobs paid minute attention to the details he come across in routine life such as how Ralph Lauren’s mansion
like store created physical expression of Ralph’s ideals. Even though apple didn’t have that many products to
put on the shelves in the store, he wanted to build it on the ethos of apple products- Playful, easy and creative.
He imagined the store as minimalist and airy with lot of space offered to consumers to try out its products.
He started working on the prototype of the store in rented vacant warehouse in Cupertino along with Johnson.
Jobs was demanding and described by many as often difficult to work with. He paid attention to smallest
changes from week to week.
When design of the store was almost finalized, Johnson highlighted issue with organizing the store around
apple’s product and explained to Steve that it should be built around what people might want to do. After
initial reluctance, Steve accepted the changes saying that they will get only once chance to get it right. You
should not wait for something to fix later in time if you know that it’s not right.
Steve used Siena Sand stone from Florence which were installed on the sidewalks instead of light wood
floors to provide more authentic look. After some initial resistance, He incorporated Johnson’s idea of having
Genius Bar in the store which will be staffed with Smartest Mac people to interact with customer.
The store was opened at 5th avenue in Manhattan for 24/7 and to no surprise it attracted 50000 visitors a week
against 250 visitor’s a week of Gateway. Also, Store was earning highest gross revenue per square feet in
New York. Even though such stores in future accounted for only 15% of revenue, by creating buzz and brand
awareness they indirectly helped boost everything the company did.