Apple Watch to test no-lines approach
Firm pushes online sales; previews start Friday in stores
SAN FRANCISCO — Before getting an Apple Watch, you’ll need to figure out how to buy it.
Apple’s first new gadget since the iPad was unveiled five years ago, and the first test of whether Chief Executive Officer Tim Cook can inspire the same sort of product magic as co-founder Steve Jobs, arrives in stores Friday for previewing.
The smartwatch, which starts at $349, can be preordered starting at 3:01 a.m. Eastern, ahead of its official availability on April 24. Apple’s taking a risk with an altogether different shopping experience that favors ordering online, making appointments and selecting from an array of models and sizes.
That’s a break from Apple’s usual product introductions that involve long lines outside stores and the relatively simple choice between a couple of colors and sizes.
“It’s going to be challenging for them to get this buyer experience exactly right, especially early on, when there are likely to be large crowds of people that want to come in and see these things,” said Van Baker, an analyst at Gartner. “The Apple personnel are well-trained in terms of how to demo a product and show a product off, but there’s just a lot more variance on this. There’s the you-have-to-try-it-on aspect.”
Optimism for Apple’s new product lineup has helped push the company’s shares to record highs this year. Sales of the Apple Watch may reach almost 14 million units in the fiscal year that ends in September, according to the average estimate of five analysts surveyed by Bloomberg.
To get there, buyers will have to embrace the new approach. Cupertino, Calif.-based Apple is encouraging shoppers to make appointments online to try on the watch instore. Executives are also directing retail employees to have customers purchase the watch online.
“The days of waiting in line and crossing fingers for a product are over for our customers,” Apple said in an internal memo. “This is a significant change in mindset and we need your help to make it happen.”
Gene Munster, an analyst at Piper Jaffray, isn’t expecting lines Friday for the watch preview because no watches will actually leave the store that day. Come April 24, he’s projecting a small turnout.
“It’s not going to be anything close to what an iPhone launch is like,” Munster said.
The Apple Watch has been met with fairly positive reviews. Bloomberg’s Joshua Topolsky wrote, “You’ll want one, but you don’t need one,” while Farhad Manjoo of the New York Times said, “The first Apple Watch may not be for you but someday soon, it will change your world.”
An expectation that the next version of the watch could be better may affect which model customers buy, Gartner’s Baker said.
“The vast majority of the sales are going to be with the low-end model because the one thing all of the reviews are basically saying is that version 2 is going to be so much better,” he said.