iHorror at the Apple Store: Customer Service Plummeting after iPhone 3g?
My quest to buy the iPhone for my corporate and personal use has illustrated serious pitfalls with Apple's customer service and distribution methods surrounding its ever-popular iPhone 3G. I had waited until today to buy it, as I had been on assignment in Dubai, United Arab Emirates doing research on projects, including mobile telecom companies. In Dubai, Apple has no contract with telecom companies for the iPhone and only sells through second-hand vendors despite enormous demand.
Stuck in iPhone Limbo
It began today with a simple plan to arrive at one of the largest Apple Stores in New York City (which I humorously call the iStore) on 59th Street and 5th Avenue at 7:45 AM. I had cash in hand and I had purchased from there several times before. I would ask a few questions and then, hopefully, be out within 15 minutes. This, I thought, would allow me to easily and quickly buy the iPhone prior to work. Then I planned to turn over my new iPhone and my existing corporate Blackberry to our IT professionals who would begin loading enterprise software.
Arriving at the store, I approached the first iSalesman to inquire about purchasing an iPhone. This, indeed, was the way that I had purchased my personal MacBook and 2 iPods. However, the salesman who is standing doing nothing turns to me and tersely says, "We're all out," without providing any explanation. I asked him if other Manhattan Apple Stores had it in stock and whether I could buy it online. He answered, "I don't know" and "no, they have to be activated in the store” before rudely turning away to other people who had questions.
Disbelieving him, I walked over to another salesman in the iPhone section and asked him if I could buy the 3g iPhone. Contradicting the first salesman he said, “We have the 16 gig, but not the 8 gigs.”
I responded, “Great, where do I buy it then?” He replied that you had to wait in line just to get into the iPhone demo area, which was roped off. I asked him how I could get into the demo area and preview the phone. He replied, “I think the line is outside around the block.”
I did not recall any queue outside, but nonetheless I walked back up the spiral glass staircase outside. Nothing except a television crew shooting a special on the CBS early show was in sight.
I walked down to speak to one more salesman, asking the same question as before “Can I buy the iPhone?” For the first time, the third salesman responded with an explanation to what he was saying, that the store had no more iPhones for the public (contradicting the second salesman). He explained that they had given everyone standing in line a voucher, but that they were all out and could not sell one to me. His suggestion was that I come back. I asked him, “When should I come back then?” Responding with no specifics, “You can try back later today.”
Walking out in disbelief
I left the Apple Store, shaking my head in disbelief and calling 411-directory on my hassle-free Blackberry to locate and walk to an AT&T store in Midtown Manhattan. I walked in to the AT&T store on Park and 50th. There was only one person ahead of me, and after 5 minutes, I spoke to Stella who politely answered my questions and pre-ordered for me the iPhone 16 gig. She said it could take weeks to arrive. Thereafter, I would still have to come back to that store, wait in line, activate it and then hand it over to our IT department to customize it to our company.
Analysis
I could further analyze the distribution strategy (how Apple is selling a product in a completely different manner than most products with its preordering) and impacting the way it interacts with customers. But I will sum up the main idea of this experience, the immense difficulty facing executives who want to buy an iPhone to switch from blackberry makes it equally difficult for these customers to convince their coworkers and IT professionals to make the switch.
Stuck in iPhone Limbo
It began today with a simple plan to arrive at one of the largest Apple Stores in New York City (which I humorously call the iStore) on 59th Street and 5th Avenue at 7:45 AM. I had cash in hand and I had purchased from there several times before. I would ask a few questions and then, hopefully, be out within 15 minutes. This, I thought, would allow me to easily and quickly buy the iPhone prior to work. Then I planned to turn over my new iPhone and my existing corporate Blackberry to our IT professionals who would begin loading enterprise software.
Arriving at the store, I approached the first iSalesman to inquire about purchasing an iPhone. This, indeed, was the way that I had purchased my personal MacBook and 2 iPods. However, the salesman who is standing doing nothing turns to me and tersely says, "We're all out," without providing any explanation. I asked him if other Manhattan Apple Stores had it in stock and whether I could buy it online. He answered, "I don't know" and "no, they have to be activated in the store” before rudely turning away to other people who had questions.
Disbelieving him, I walked over to another salesman in the iPhone section and asked him if I could buy the 3g iPhone. Contradicting the first salesman he said, “We have the 16 gig, but not the 8 gigs.”
I responded, “Great, where do I buy it then?” He replied that you had to wait in line just to get into the iPhone demo area, which was roped off. I asked him how I could get into the demo area and preview the phone. He replied, “I think the line is outside around the block.”
I did not recall any queue outside, but nonetheless I walked back up the spiral glass staircase outside. Nothing except a television crew shooting a special on the CBS early show was in sight.
I walked down to speak to one more salesman, asking the same question as before “Can I buy the iPhone?” For the first time, the third salesman responded with an explanation to what he was saying, that the store had no more iPhones for the public (contradicting the second salesman). He explained that they had given everyone standing in line a voucher, but that they were all out and could not sell one to me. His suggestion was that I come back. I asked him, “When should I come back then?” Responding with no specifics, “You can try back later today.”
Walking out in disbelief
I left the Apple Store, shaking my head in disbelief and calling 411-directory on my hassle-free Blackberry to locate and walk to an AT&T store in Midtown Manhattan. I walked in to the AT&T store on Park and 50th. There was only one person ahead of me, and after 5 minutes, I spoke to Stella who politely answered my questions and pre-ordered for me the iPhone 16 gig. She said it could take weeks to arrive. Thereafter, I would still have to come back to that store, wait in line, activate it and then hand it over to our IT department to customize it to our company.
Analysis
I could further analyze the distribution strategy (how Apple is selling a product in a completely different manner than most products with its preordering) and impacting the way it interacts with customers. But I will sum up the main idea of this experience, the immense difficulty facing executives who want to buy an iPhone to switch from blackberry makes it equally difficult for these customers to convince their coworkers and IT professionals to make the switch.
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