May 27, 2007

The Real Lesson Apple Teaches Us

Why is it that the Apple stores became a runaway success at a time when all the experts were declaring "retail is dead"? Randall Stross addresses that question in his New York Times column.
This piece isn't likely to win any business journalism awards. It doesn't say anything that hasn't been said before in many business mags, but what's interesting is it once again highlights how little corporate competitors have learned from Apple's example. Even when companies, like Sony, invest in design, they ignore the critical component driving Apple stores' popularity: customer service.
It's not just that Apple salespeople are knowledgeable about the products that they sell. It's that the store makes it easy to get products fixed and questions answered. At a time when people can spend literally hours on hold on the phone, waiting for "customer service" that never materializes or delivers, people are willing to pay a premium for genuine customer service.
I've always found Apple Care, the extended warranty for Apple products, worth every penny because it comes with seven day a week phone support. If I have a question, I call an 800 number, and rarely wait more than a minute or two for a service rep. If that rep can't answer my question, I get transferred to someone who usually can. I'm willing to bet that Apple numbers show a very high number of repeat customers because of this kind of service.
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