Comet blazes a trail for IBM's retail push

IBM has returned to the retail fray by setting up web kiosks in 75 branches of Comet, to allow store customers to buy Aptiva PCs online.

IBM has returned to the retail fray by setting up web kiosks in 75 branches of Comet, to allow store customers to buy Aptiva PCs online.

Customers will be offered the chance to use IBM's Aptiva hardware, which will act as the kiosk. They will also be able to purchase online and pay at the till. However, delivery will take up to two weeks, according to IBM.

Since its exit from the sector last October, IBM has found retail a hard nut to crack. Barry Hill, sales manager at IBM's personal systems group (PSG), said: "IBM and Comet are bringing together the best of both worlds: online access to IBM PC products on the internet, and advice and guidance in-store from Comet personnel."

Ken Batty, marketing manager at IBM PSG, added: "We haven't found another way of doing retail profitably."

According to Batty, at no point in the sale does Comet take title to the product. "It's a win-win situation," he said. Comet's agency model means it will not hold inventory.

Andy Brown, senior analyst at IDC, said IBM's strength in the past has been in its business sales, rather than its consumer sales. "The consumer market is really divided between Compaq and Packard Bell," he said.

"With stiff competition in the UK from stores such as Tiny, Time and the Dixons Group, this won't make much impact on the major players."