Attitudes: Time to Adapt and Transition
This month's feature stories, "Juggling Apple" and the profiles on Dealerscope's Hall of Fame inductees, illustrate how important adaptation and transition are to consumer electronics specialty retailers, vendors and manufacturers. Without them, the industry stagnates and withers. With them, the industry thrives.
It should come as no surprise that more and more CE retailers are becoming authorized Apple dealers, trying to bring on as wide a mix of Apple products as they can. Who can blame them? The margins might be lousy but the products are hot. Then again, at this stage in the game, the margins on TVs and mainstream audio gear aren't much better and will continue to drop.
Unlike most CE products (with the exception of some new gaming titles and consoles, and a few select smartphones) consumers actually line up around the block, crowd stores and wait by their mailboxes to get their hands on select Apple products. Specialty retailers, especially today, are scrambling for more store and online traffic. Apple products generate the excitement that draws consumers. Unlike other manufacturers, Apple is not in a race to the bottom. The products demand premium prices (and sell out even during tough times). Those prices also help to keep tags high on related accessories, of which there are plenty that retailers can make money on.