Thursday, March 25, 2010

The magic of 285 Apple Stores

In a report to clients issued overnight Monday about Apple's (AAPL) opportunities for growth in China, Morgan Stanley's Katy Huberty adds, almost as a throwaway, the instructive charts at right (see also below the fold).






They show what she calls the "Positive Correlation Between Apple Store Expansion and Mac Market Share."


It seems flagrant that the accrued market share is a corrollary of the expansion of the number of Apple stores worldwide. Right now, Apple is planning to open up another 25 retail shops in China. This might be a perfect opportunity to expand in China given that Google has some conflicts with China at the moment.


It might be a once-in-a-lifetime opportunity to convert the Chinese into Apple fans!


Nonetheless, Apple still has many other opportunities elsewhere other than China. For instance, in Asia it is becoming more and more prominent where more and more teenagers are enticed by the iPhones and iTouch. Many are wowed by the number of applications and you can hear them talking about the up and coming applications of the day on the train everyday.


To be a topic of the day is HUGE!


The best form of marketing to date is for sure without a shadow of a doubt, the word-of-mouth marketing.



Imagine you yourself going up to the highest floorth in your country. Then, you pierce a pillow (which you have brought along) filled with feathers with a knife. Every single feathers will float along with as the wind gust and you will have no idea where each feather goes.


That is the power of the word-of-mouth. With the increasing number of shops as a concomitant, Apple is approaching invincibility.



I'm pretty sure that even though iPad was not a huge success, Apple will continue to move on with even greater success in the near future.


You have my word!




Credits -cnn, -charicemania, -cache4

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