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Angela Ahrendts

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Soft launch: Why the Apple Watch isn’t getting the ‘blockbuster’ debut it deserves

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It’s no secret that Apple’s launch plan for the Apple Watch hasn’t gone as well as the original iPhone and iPad launches.

Extremely limited supplies have led to long wait times for pre-orders. The lineup of choices is so complex that the company needed to give people weeks to try them on in stores before they were supposed to be available. And the confusing online-only purchase process advertised in Apple’s retail stores didn’t initially disclose that stores won’t have any units in stock on launch day. No part of the process has thrilled potential customers.

Yesterday, Apple’s SVP of Retail Angela Ahrendts sent an internal video memo to employees about the Apple Watch rollout in an attempt to help answer questions and assuage concerns about the many issues plaguing the launch, not the least of which is the lack of a “blockbuster launch” at retail outlets that customers and employees alike have come to expect from Apple. Some people took the video as an admission of guilt by Ahrendts. But although she may share responsibility for some of Apple’s missteps, she isn’t solely or even largely responsible for the issues.

Here’s where I believe things fell apart during this launch…


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1.3 GHz, built-to-order MacBooks begin preparing to ship following charges

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Apple has started to charge the credit cards of customers who ordered the highest-end 1.3GHz version of the 12-inch MacBook, according to emails from 9to5Mac readers. The customized, built-to-order MacBook went on sale earlier this month with 3-4 week shipping times for even the earliest orders, and Apple originally promised a delivery timeframe of May 8th to May 15th. As we saw with Apple Watch credit card charges earlier this week, it seems plausible that Apple already charging customers for the 1.3 GHz MacBook could indicate that shipments of the new laptop will begin occurring sooner than originally expected. However, readers have yet to report any signs of UPS or FedEx tracking numbers, or their Apple Online Store status pages moving from “Processing” to “Preparing for Shipment.”

Update: Several readers reporting that their MacBooks are now preparing to ship, several weeks early:


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Apple Retail SVP Ahrendts tackles Apple Watch/MacBook launch questions in 5-minute employee video

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The video accompanying the memo Ahrendts sent to staff last week has been published by Mac4Ever. Apple retail boss Angela Ahrendts clarified some of the details of the Apple Watch and MacBook rollouts that are starting this week. The executive confirmed that for the time being, watch orders will only be available online due to extremely limited supply.


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No Apple Watches in store until June, Ahrendts tells staff as April 24th date removed from website

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Angela Ahrendts has told Apple Store staff that the Apple Watch is unlikely to be available for in-store purchases before June – but they should expect the usual ‘blockbuster launches’ in retail stores for future products.

In a memo to retail store staff, Apple’s retail head thanked staff for making the try-ons “unforgettable,” told them customer feedback had been “overwhelmingly positive” and that the online-only ordering period was likely to continue throughout May.

Many of you have been getting questions asking if we will have the watch available in stores on April 24 for walk-in purchases. As we announced last week, due to high global interest combined with our initial supply, we are only taking orders online right now. I’ll have more updates as we get closer to in-store availability, but we expect this to continue through the month of May.

Ahrendts said that the decision to do things this way had not been an easy one … 
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Opinion: I’ve seen the future of Apple’s online/offline retail experience, and it’s magic

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‘Seen’ is something of an exaggeration, but ‘had a small glimpse of’ would have made for a rather lengthy headline.

Despite the fact that I’d placed my Apple Watch order online within a few minutes of pre-orders opening, I also made a same-day appointment for a try-on. This was partly because I wanted to handle the watch right away: Apple PR does not smile on a website that consistently reports upcoming product information, so we are firmly crossed-off the list of invitees to launches. But it was also partly because I was curious how the watch would be presented by store staff.

But let me begin by backing up a step or two … 
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Apple’s retail head Angela Ahrendts sold $6M of AAPL stock, likely to pay tax bill

An SEC filing shows that Apple’s SVP of Retail Angela Ahrendts sold AAPL stock totalling $6M in the week in which the Apple Watch hits stores.

It’s nothing out of the ordinary for Apple execs to sell shares from time to time, either to fund a purchase – like a house – or, perhaps more likely given the timing, to pay a tax bill.

Ahrendts was given a compensation package worth $73M when she joined the company, just over $70M of it in stock. Apple explained that the amount partly reflected that she walked away from $37M in unvested Burberry stock – shares she would have received had she remained with the company but lost by leaving.

Around 40% of the total sum she is due to receive from Apple is subject to performance requirements. Given the company is about to embark on what is easily its most complex retail launch ever, with Ahrendts attempting to direct Apple Watch and 12-inch MacBook sales online, she may be feeling just a little nervous at present.

The SEC filing can be seen below.

Photo: Fast Company

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Apple to open its second retail store in Hangzhou, China on April 24

Opening of the first Apple Store in Hangzhou

Apple opened its first retail store in Hangzhou, China back in January, and now the company has announced plans for a second. Apple says the store will be located at 701 Fuchun Road in the Jianggan District. The store will open at 9:00AM local time on April 24th, which also happens to be launch day for the Apple Watch.


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Angela Ahrendts to retail staff: Encourage customers to buy Apple Watch & MacBook online

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Apple may be revamping its storefronts to promote the Apple Watch, but it won’t be encouraging you to buy one there. Retail head Angela Ahrendts has sent a memo to Apple Store staff asking them to suggest customers use the online store to order both the Apple Watch and 12-inch MacBook. The memo reportedly reflects the fact that store inventory of both products will be very limited when the MacBook goes on sale on Friday and the Apple Watch follows two weeks later.

Ahrendts’ two-paragraph memo aims to put a positive spin on the fact that many customers are likely to be disappointed when trying to purchase the new products, suggesting that pointing them to online purchase will “make their day” … 
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Apple launches iPhone and iPad trade-in program in China Apple Stores

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Apple today officially launched a version of its Apple Store iPhone trade-in program for China, as noted on the individual store pages for China’s Apple Retail Stores.

As is the case in the United States and several other countries with Apple Stores, the program allows a user to bring in an older iPhone model and trade in that device for gift card credit toward the purchase of a new iPhone; the program will most likely not allow a customer to trade in an iPhone toward the purchase of an Apple Watch. But as contrasted with the U.S., France, United Kingdom, Germany, Canada and Italy, the new China program is limited to iPhones and iPads, and will not support non-Apple smartphones.


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Apple Watch Edition perks: 24/7 support, private 1-hour appointments, no lines

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After hiring a new team of fashion sales and marketing experts from Yves St. Laurent, Louis Vuitton, and Burberry, Apple has developed a unique Apple Store purchasing experience just for the 18-karat gold Apple Watch Edition, according to sources briefed on the launch plans. When a customer interested in the Apple Watch Edition enters the store, he or she will be given no-wait access to a dedicated Expert, who will provide a personalized “journey” from the beginning of the appointment until the end, as much as one hour later. There will even be a new option for at-home video conferencing rather than in-store personal setup. By design, it will be more “elegant” than the budget-focused experience Apple Watch Sport customers receive…


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Tim Cook reflects on the role of running a post-Steve Jobs Apple as Fortune names him “greatest leader”

Tim Cook Tulane University

Fortune has today named Tim Cook #1 on its list of the World’s 50 Greatest Leaders, publishing an extensive profile of the Apple CEO in which he reflects on the lessons he’s learned in the time he’s been running the company.

Taking over from Steve was not, he said, an easy transition, and he gained a new appreciation for the way that the co-founder had shielded him and the rest of the team from public criticism.

What I learned after Steve passed away, what I had known only at a theoretical level, an academic level maybe, was that he was an incredible heat shield for us, his executive team. None of us probably appreciated that enough […] but he really took any kind of spears that were thrown. He took the praise as well. But to be honest, the intensity was more than I would ever have expected.

Claims that Apple had lost its ability to innovate under Cook’s leadership were, he said, something he had to learn to block out … 
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Apple’s sales overhaul for Apple Watch will focus on building trust, offering fashion views, upselling bands

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The job of Apple Retail Store employees will begin changing in profound ways next month. In order to showcase and sell the Apple Watch, retail employees will be trained to provide personal fashion and styling advice to customers, according to employees briefed on the plans. Until now, Apple Retail has been tasked with recommending iPads, iPhones and Macs with few styling options aside from limited color options.

Apple is pushing for retail employees to initiate conversations that build trust, enabling the employee to serve as a valued fashion advisor during the purchase process, similarly to how traditional watches are sold. Apple Watch sales training programs will take place for Apple retail staff over the course of the next two weeks, teaching entirely new sales techniques to encourage iPhone upgrades, assist with gifting, and guide customers in watch and strap choices.

Below, we detail how employees will provide fashion advice to customers and Apple’s multi-part plan for selling an Apple Watch.


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Apple Store retail plan for Watch: 15 min. appointments, 10+ try-on stations, Experts for Edition

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Apple will introduce several major initiatives to ready its retail stores for the Apple Watch’s launch in April, according to sources briefed on the upcoming changes. Starting on April 10th, Apple will allocate 15 minutes per customer for in-store try-on appointments, using 10 or more try-on stations to manage what’s expected to be a steady flow of customers interested in having hands-on time with the Watch. While customers will not necessarily be required to have an appointment, they will be time-limited and guided during the hands-on experience. Additionally, they will be given the opportunity to place a reservation at the time of try-on for a particular model, and make a follow-up appointment to pick the watch up during the April 24th launch date. Stores will also have launch day stock for walk-in appointments.


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Apple Watch’s retail sales pitch revealed: 3 key features, switch to iPhone, focus on bands

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With next week’s Apple Watch event fast approaching, Apple has revealed its retail selling strategies to employees, including a focus on “three key features” and a plan to encourage Watch customers to upgrade or switch to new iPhones. According to selling guidelines provided by sources within Apple Retail, Apple believes that “many customers have already decided they want an Apple Watch,” and will use the Watch to “position the benefits” of purchasing a compatible iPhone model. Retail employees have been told to ask customers about their iPhone usage habits, their favorite feature in iOS 8, and if they use health and fitness software on their iPhone…


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Apple to overhaul Genius Bar, changing appointments and using phones as pagers

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Apple will soon make a significant change to retail store Genius Bar appointments to improve the customer experience, according to several sources briefed on the upcoming shift. During the week of March 9th, Apple’s United States stores will launch a new initiative called “The new Concierge” that replaces traditional walk-in Genius Bar appointments. Currently, a customer seeking Genius Bar assistance can walk into an Apple Retail Store, explain the issue to a check-in assistant, and get a specific time to return for an appointment…


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Apple considering dedicated Apple Watch stores as it sets up Paris booth, London Selfridges Wonder Room

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Apple Watch <a href="http://arstechnica.com">hands-on table</a> from September Media Event

According to multiple reports out of France, Apple is constructing a dedicated display for the upcoming Apple Watch in some upscale Paris-based retail outlets. The reports say that the size of the display is close to the length of a few small balconies and that Apple Retail Senior Vice President Angela Ahrendts has been directing the construction of the booth at retailer Galeries Lafayette on Champs Elysees. While these claims for France are still unconfirmed, sources have told us that Apple is considering constructing dedicated Apple Watch retail stores in the future if demand deems such outlets necessary…


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Live blog: Tim Cook at Goldman Sachs Tech Conference 2015

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As mentioned earlier today, Tim Cook is speaking momentarily at the 2015 Goldman Sachs Technology and Internet Conference where his remarks will be live streamed, and below we’ll update with the latest from the Apple CEO. In previous years, Cook has used the platform to share insight about product performance including the Apple TV and tease future roadmaps as the CEO often does. Today’s appearance follows Apple’s record quarter for any company with more than $74 billion reported in revenue and over 74 million iPhones sold. Apple is also positioned to release the Apple Watch in April, Cook recently mentioned, so today’s remarks should be interesting.
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First Apple Store coming to Queens as new Brooklyn & Manhattan stores running behind

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Apple is preparing three major new Apple Stores for New York, with two of the stores reaching major new markets for the first time. Apple is developing the first stores for the boroughs of Queens and Brooklyn, while a new store for the Upper East Side of Manhattan on 74th Street and Madison is also in development, according to sources.

The first Apple Store for Queens will be located in the Queens Center Mall on the second floor. One source says this store will be the largest Apple retail outlet located in a New York mall to date, and Apple is expecting revenues for this store to even beat out some of its flagship counterparts located elsewhere in the state. The store is under construction and is expected to open later in 2015, but an official announcement may come sooner…


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Chongqing Apple Store unveiled as mural removed ahead of tomorrow’s opening

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We recently saw the mural Apple commissioned for one of its five new Apple Stores in China, and today the mural is down revealing the glass cylinder entrance of its Chongqing store, an apparent clone of its Shanghai store design. The store opens at 10am tomorrow.

The photos were posted on Taisy and appear to have originated from MacX. The interior of the store is very reminiscent of the spiral staircase in the iconic glass cube store on Fifth Avenue in New York (photo below) …


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Angela Ahrendts recruiting U.S. employees for China as new stores & initiatives revealed

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Apple Senior Vice President of Retail Angela Ahrendts is continuing to go all in on growth in China. In video messages to employees in recent days and weeks, Ahrendts has been recruiting employees from United States-based Apple Retail stores to relocate to China to help build up Apple’s retail efforts in the region. In a note to employees late last week, sources say that Ahrendts reported that approximately 200 Apple retail workers from the U.S. have already offered to make the move. Ahrendts added that the offer to move to China “has no expiration date because as the business grows, our needs will only become greater, so as your personal and professional life changes, just always keep China at the top of your mind, because we’re going to need you…”


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Westlake Apple Store officially opens its doors in Hangzhou, China (Photos)

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Apple CEO Tim Cook shared the grand opening photo via Twitter

Apple’s latest massive retail store—the Westlake Apple Store in Hangzhou, China—had its opening to the public today as officially scheduled. Naturally, much attention has been paid to what is now the largest Apple Store in Asia with Apple teasing the store’s grand opening earlier this month with a magnificent mural by artist Wang Dongling. You can see more shots from the scene around the new Westlake Apple Store below:
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Apple hires Burberry’s VP of Digital Retail initiatives ahead of Watch launch

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Apple has made yet another key hire from the fashion industry: Chester Chipperfield, the Vice President of Digital and Interactive Design at Burberry. Chipperfield was “responsible for User Experience and Digital Design for all channels” and was “highly involved in digital retail initiatives” at Burberry, according to his LinkedIn profile. He confirmed the move to Apple on his profile as well as on Twitter


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$73M payout to Angela Ahrendts reflects the Burberry stock she sacrificed, explains Apple

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If you were puzzled by the fact that the $73M compensation package paid to retail head Angela Ahrendts dwarfed those awarded to other senior Apple execs, including Tim Cook’s $9.2M, Apple explained that it was in large part to compensate her for unvested Burberry stock she lost by leaving the company … 
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Apple teases soon-to-open Apple Store in Hangzhou, China, with stunning mural

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[youtube https://www.youtube.com/watch?v=8MAsPtCNMTI]

Update: Apple has posted a version of the video with English subtitles on YouTube (embedded above).

Apple is certainly not thinking small when it comes to China, with 25 new retail stores promised within a two-year period, and its latest soon-to-open store in Hangzhou features a massive mural covering the entire front of the store. The store is due to open on Saturday, January 24th, the second of five new stores Angela Ahrendts said would be opening by the Chinese New Year on February 19th.

Featuring a poem written around 2000 years ago celebrating the importance of the city—a provincial capital—the stunning calligraphy was hand-painted by Wang Dongling, a famous modern calligrapher. Apple has released a video of its creation … 
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