Taking the direct route.
Published:
18 August 1999 y., Wednesday
IBM and Compaq--both major presences at retail stores--are also working feverishly to sell more directly. This week IBM announced new consumer models and said that one of its consumer PC lines will no longer be sold at retail outlets. "There_s a large segment of the population that will now buy online," said Mark Del Tufo, a manager at IBM_s Aptiva group. Though Compaq is not abandoning retail, it has significantly increased direct sales over the Web, said Bob Brewer, Compaq_s
director of sales and marketing for consumer-direct and retail configure-to-order. In addition, the company depends more on 9,300 retail kiosks, where customers order custom-configured systems for delivery to the store or their home. Some models, such as the Presario 5700T and 5700N, which come with Intel_s newest chips, are only available built-to-order at retail kiosks or directly from Compaq. Brewer estimated that this side of Compaq_s consumer business is growing fivefold year over year. Compaq is also relying more on Radio Shack for retail sales after replacing IBM early last year.
Another factor contributing to the distress of superstores is the "free" PC movement.
"Retailers are more susceptible to losing sales through other channels than ever before," according to Allison Boswell of Allison Boswell Consulting. "With the offering of free PCs and new competition through Internet e-tailers, the environment is highly competitive."
Copying, publishing, announcing any information from the News.lt portal without written permission of News.lt editorial office is prohibited.
The most popular articles
The European Parliament's proposal for its own operational budget for 2011 includes the financing of measures in preparation for enlargement with Croatia.
more »
Links between business and the academic world need to be strengthened but higher education institutions must retain their autonomy and public support, says a resolution adopted on Thursday by the European Parliament.
more »
The Spanish Minister of Economy and Finance, Elena Salgado, will present the additional fiscal tightening measures set out by the Spanish Government to her eurozone (Eurogroup) counterparts on Monday; the measures were required by Spain’s European partners as a condition of approving the plan to bolster the euro on 9 May.
more »
The European Commission has opened an in-depth investigation under EU State aid rules into capital injections destined to two subsidiaries of state owned company Elan Skupina in Slovenia.
more »
GDP growth in the EU expected to gradually pick up, though recovery less robust than past upturns.
more »
The EESC tabled its opinion on the regulation of alternative investment funds, such as hedge funds and private funds. Although endorsing the much debated proposal of the European Commission, the EESC calls for uniform risk data provision for all such funds and emphasizes their responsibility in triggering the crisis.
more »
Concluding the process and deciding on the schedule for releasing the funds agreed on for Greece, as well as examining and learning lessons from the crisis for the governance of the eurozone, will be the focus of the discussions of the heads of state and government at the meeting in Brussels this Friday.
more »
The EU pavilion at the world expo in Shanghai marks the first time the EU has presented itself to a large Chinese audience.
more »
Shanghai's World Expo offers visitors plenty of fun offering bizarre things to do at over 200 pavillions competing for attention.
more »
The European Investment Bank (EIB) is providing a loan of EUR 150 million to MVM Zrt. for the capacity increase and the extension of a high-voltage transmission network, partly constituting priority axes of the Trans-European Energy Network (TEN-E) in Hungary.
more »