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Apple Stores pushing resellers out of business

updated 01:45 pm EST, Tue March 22, 2005

Apple reseller woes

Apple's sleek company-owned stores are "," according to Chicago Business. In less than a decade, Apple "has gone from near death to the hottest brand in America as its iPod digital music players reignited interest in its acclaimed computer lineup." For Apple resellers like Evanston's Nabih Mangoubi, these "should be the best of times ... but the same good fortune is not smiling on the shrinking number of independent Apple dealers in the Chicago area and nationwide." Having sold and serviced Apple products for years, players like Mr. Mangoubi now find themselves being sliced out of the picture by Apple itself. "Within a few years, all of the independent resellers will probably disappear as Apple extends its storefront," says Joe Weingarten, a former Apple dealer in Dayton, Ohio, who last month filed suit against Apple.

by MacNN Staff





  1. theduffsronme

    Joined: Dec 1969


    It's called capitalism.

    I've been to Nabih's many times. They're a convenient place to get my Macs serviced, but that's it. Much of the time, they're rude and overpriced. They may be "loyal" to Apple, but they've never cared much about customer service. Places like Nabih's were the only game in town for many years, and profited from it. Now, if they want to survive, they have to upgrade their customer experience.

  1. aristotles

    Joined: Dec 1969


    So does that mean Sony...

    is killing Sony product resellers by having Sony Stores? Come on. If they are going out of business, it's because they are offering crappy services, have out of date stock and really bad business hours.

    I hope Apple opens a Store on the west coast of Canada soon because some of our local Apple dealers are absolute c***. They make you feel like you should feel honoured that they are taking the time to open up their store to you.

    One of the resellers is open Tuesday to Saturday but Tuseday is by appointment only. On the days that they are open, the hours are lousy for working people with a day job.

  1. hayesk

    Joined: Dec 1969



    Hmmm... why the one-sided stories like these? Apple getting a little too successful lately and the press feels the need to keep them down?

    The bias in these stories is blatant and pathetic. With terms like "pushing resellers" out of business I would expect similar commentary on how the resellers will need to smarten up to survive.

  1. MacnTX

    Joined: Dec 1969


    These Same Resellers...

    Were only helping Apple net about a 2% market share as well. The Apple retail stores have proven to be an overwhelming success since they debuted, plus a huge profit maker for Apple as well. Obviously these "loyal resellers" weren't pulling their own weight as you can obviously have success reselling Apple products as they themselves have proven over the past 3+ years.

  1. typoon

    Joined: Dec 1969


    Stop complaining

    I'm tired of these people complaing that Apple is putting thm out of business. Like someone said it's called capitalism. They need to find something compelling so that people will go to them. maybe better customer service. Offer services Apple doesn't. things like that. they could be putting there money from the lawsuit into something more constructive to there business.

  1. resuna

    Joined: Dec 1969


    Apple Store in Houston

    The only Apple Store in Houston is almost across the freeway from the store with the biggest Apple section in Houston that isn't an Apple store. I have no idea where the nearest "real" "pure Mac" retailer might be, the ones I know about all went out of business long before Apple opened in the Galleria.

    I went to the Apple store out of curiosity. I buy my Apple stuff at Micro Center. If any pure Mac stores want to thrive, they need to look at what Micro Center is doing right. No, don't ask me, go there and look.

  1. PookJP

    Joined: Dec 1969


    I hate to be heartless...

    I believe much of Apple's recent success is due to the complete corporate package their offering to the public. Part of that is the iPod and the computers, but another part are the Apple Stores. I, personally, am much more likely to go to an Apple Store than a certified reseller because I so much prefer the experience. I trust them when it comes to service, and it's easy... and I'm a loyal Mac user. Think of how effective these Apple Stores are for offering switchers an easy way to get answers, find new products, and get educated.

    So while I sympathize with the resellers and their plight, Apple needs to ensure its own viability, and a large part of that is offering an attractive, easy, comprehensive brick and mortar solution to customers.

    Starbucks wouldn't be the company it is if it just sold its coffee through indie coffee shops.

  1. endian

    Joined: Dec 1969


    it's about time

    they can't get put out of business fast enough, as far as i'm concerned. lousy service, high prices, 'classic mac' bigotry... good riddance.

  1. kcwookie

    Joined: Dec 1969


    Is the problem Apple's?

    We have a large Apple reseller and my dealings with them have left me cold. I contacted this company to find out if they were going to have a Panther Party like the corporate stores were having. The person who answered the phone acted like I had two heads and said probably not, but that they would be open at the appointed time to sell Panther.

    The long and short of it was that they didn't act like they wanted my business. Macs are not exactly huge and you can't buy them on every corner. This was not my only dealings with this company, I have called them on other occasions but they have never treated me like a customer with money to spend.

    Our Apple store has always treated me with respect and has gone out of their way to take care of me. They will get my money every time.

  1. theBlend

    Joined: Dec 1969


    Well duh

    There is a place for both loyal resellers and Apple owned stores.

    The Apple Store is necessary to showcase the Apple lifestyle. The products are stylish, hip and trendy; the Store helps show that off and attract customers. Most resellers are small inconvient shops with terrible service and do nothing to help Apple's brand image. Those are the shops in trouble.

    In Toronto, we have some resellers I know will get into hard times when Apple opens up shop here. But, top-notch places like 'Carbon Computing' ( will keep their customers because they help project Apple's image. I might visit the Apple Store just to look around, but when it comes to purchasing hard/software from Apple I'm still going to my local reseller.

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