[Ti] Market Share: 2.3% -- That's NOT good press, coupled with the loss

NaegeleWDC at aol.com NaegeleWDC at aol.com
Fri Jan 17 09:02:28 PST 2003


Just run a Google search for "Apple and loss," and you will see how negatively the story is playing around the world for Apple.  One BBC story is entitled "More Gloom For Apple," which is the message for many hardware and software buyers.

However, perhaps the real prize goes to InformationWeek, which ran the following story:

See http://www.informationweek.com/story/IWK20030115S0014

Oops, they caught their errors and changed the story today, Friday, January 17th!  Yesterday, below the title "Apple Reports Q1 Loss" appeared the words: "Sales of its physically huge new laptop weren't enough to stave off a consecutive quarterly loss."  This morning that title was changed to refer us to the iMac.  Furthermore, the last clause in the second paragraph of yesterday's version (which went around the world) read: ". . . reflecting Apple's introduction last year of a laptop featuring a 17-inch flat-panel screen."  I have both versions for comparison purposes, as well as the message that I sent to them saying that they should get their facts straight.

All of this merely underscores the fact that there are reasons why Apple's market share has been literally cut in half within a relatively short period of time (i.e., from 5 percent to 2.3 percent).  Bad press hurts sales, period.

Next, Simon Chapman offered some very important observations, including:

"[Apple's] strategy for the present economic climate should have been about entry-level machines, price-matching at all price points. . . ."  

I agree, and would only add that Apple needs: (1) an OS which operates across platforms (e.g., to truly attract Wintel users), and (2) customer service that responds immediately to all problems (e.g., paint bubbling), without making its customers jump through "hoops" to get their problems solved.  My paint bubbling problems were solved within a few days; however, many of you have agonized over these and other problems, with your NEW Apple products -- and this shouldn't happen!

Finally, I love my Ti 800, and only hope that it is followed by years of wonderful Apple innovations (like the Al), and that Apple thrives, prospers and gains back at least its 5 percent market share! 
 
Tim Naegele

www.naegele.com

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