Apple VARs peel off threat of second W1 store
Vendor's latest central London retail outlet will cause few headaches in terms of reduced business, say partners
Go West: Apple resellers with central London premises are not worried about losing out to the new store
The opening of Apple’s Covent Garden store tomorrow will have little impact on the firm’s London-based partners, according to channel onlookers.
The store, less than a mile from Apple’s flagship retail outlet on Regent Street, is the fourth the vendor has set up in the capital.
When Apple’s plans to open a second retail outlet in central London first surfaced, fears were raised by London-based Apple Premium Resellers (APRs) about the effect the move would have on their businesses.
Several APRs contacted by ChannelWeb at the time said the downturn in sales they suffered when the Regent Street store opened in 2004 would be exacerbated by the move.
But two years on, Robert Peckham, Mac channel director at the Technology Channels Association, said he doubts the opening will have much impact on local APRs.
“Albion Computers has premises on The Strand, but its business is more B2B oriented," he said. "The products it stocks are markedly different to those in an Apple store and its customers need a different kind of support.”
“From a footfall point of view, I think it will do very well, but I do not think its turnover will be massive.”
This view was echoed by Nick Gatt, marketing manager at Micro Anvika, an Apple VAR with three stores on Tottenham Court Road.
“Covent Garden is awash with tourists, not technology consumers," he said. " Our customers are well aware that we offer deals on Mac hardware that you would not find at an Apple store. I see no logical reason why customers would not continue to buy from us."
The new shop is also blighted by the same access issues as the Regent Street store, limiting the size of products that customers can take home with them, said Peckham.
“Apple opened one store in Westfield, a site where there is lots of parking, and its
performance has exceeded expectations," he added. "It has become its second most profitable store, and location has played a big part.”
An anonymous London-based APR said the new store could lead to an increase in demand for its IT support services.
“Apple makes it difficult to compete on product prices, but we get a lot of work fixing problems caused by support staff in the Apple stores,” the APR said.