Earlier this month, we reported on several changes at Apple retail stores that were reportedly seeing some employees being laid off or seeing recent promotions being retracted, while other part-time employees were seeing their hours reduced significantly, in some cases to zero. Our report was followed several days later by an acknowledgement from Apple that the company had "messed up" in adjusting its staffing formulas for its retail stores.
ifoAppleStore now takes a close look at the situation, tying changes in the philosophy of Apple's retail experience to the passing of Steve Jobs and the operational focus of Apple CEO Tim Cook and new retail chief John Browett. At the most basic level, Jobs served as the champion for former retail chief Ron Johnson's vision of Apple stores focused on consumer satisfaction, and without Jobs to protect that vision Apple has slipped into a numbers-focused perspective for its retail operations.
Johnson was champion of customer satisfaction, designing and staffing the stores to provide a superior experience for visitors and buyers alike. He was able to win over Steve Jobs with the concept that revenue and profit should be a secondary goal of Apple’s retail stores.
But in 2009, Jobs took six months of medical leave and put Tim Cook in charge of the company, including the retail stores. Cook is primarily an “operations guy,” sources explain, and his natural focus is revenues and profits, not customers. While Jobs was away, Cook and chief financial officer Peter Oppenheimer began to confront Johnson on his customer-centric retail philosophy—both felt the stores didn’t generate enough revenues to justify operating expenses.
The report claims that Cook hired Browett to replace Johnson, who departed Apple to lead department store chain JC Penney last year, specifically because of his focus on "traditional concepts of retailing" that prioritize revenues and profits as the key performance metrics.
Tim Cook (left) and John Browett (right)
Even with Apple reportedly having reversed a number of the staffing changes that brought the company such significant publicity earlier this month, stores are reportedly still subject to directives reducing workshop offerings for customers and specifying policies on staff evaluation and compensation that prioritize profits over the customer experience and employee satisfaction.
I appreciate all that Cook has done for the employees, but I will be the first to say that meeting these numbers/profits is not going to bode well for them.
I don't understand the world of business. If your primary goal becomes meeting quotas and percentiles rather than customer satisfaction, how do you ever expect to be a respectable business?
You can make all the beautiful, respectable things in the world.
But if you don't have heart, you don't have anything.
And here we are.... the start of $ is more important than the customer experience :). Won't be long before there will be justification of a cheaper crappier product to save $....
This totally makes sense as Apple is struggling to make a profit. Give me a break. Glass cubes, giant stores in Grand Central Station, and architectural innovating buildings is not the way you go to maximize profits, and thats not the point of these highly successful retail outlets. Its shock and awe, its getting the products into the hands of consumers so they can "play" with them. To do this is to understand why Apple products are so successful. Nickeling and dimeing consumers is the surest way Apple can shoot themselves in the foot.
Tim, your consumers made Apple the biggest company in the world, and we fight the good fight for you all over the internet (there are no fans like Apple fans) but if you even give off the appearance that you are trying to increase your already sky high profits, then you risk it all sir. You should fire this douche Browett and quit worrying about retail stores profits. Their job is to showcase... obviously the profits will come.
I worked retail for 35 years before retiring in 2009. Everything I read and everything in my customer service "gut" tells me that Browett is the wrong person to head Apple retail.
Friday March 24, 2023 12:27 am PDT by Tim Hardwick
This year, all iPhone 15 models will include Apple's Dynamic Island that unifies the pill and hole cutouts at the top of the display, but there will also be a material change to the feature that wasn't included in the iPhone 14 Pro models.
According to a new tweet by Apple industry analyst Ming-Chi Kuo, the proximity sensor on the iPhone 15 series will be integrated inside the Dynamic Island ...
Thursday March 23, 2023 3:41 am PDT by Tim Hardwick
Apple is tracking the attendance of its employees at offices using badge records in order to ensure they are coming in at least three times a week, according to Platformer's Zoë Schiffer.
Since April 2022, Apple employees have been operating on a hybrid home/office work policy as part of a gradual return strategy following the pandemic, with staff required to work from the office at least...
Thursday March 23, 2023 6:42 am PDT by Joe Rossignol
While the iPhone 15 series is still around six months away from launching, there have already been plenty of rumors about the devices. Many new features and changes have been rumored for the iPhone 15 Pro and iPhone 15 Pro Max in particular.
Below, we have recapped 10 changes rumored for iPhone 15 Pro models that are not expected to be available on the standard iPhone 15 and iPhone 15 Plus:A1...
Wednesday March 22, 2023 9:48 am PDT by Juli Clover
Nothing today announced the launch of its second-generation wireless earbuds, the Nothing Ear (2), which offer many of the same features as Apple's AirPods Pro 2 at a lower price point. We went hands-on with the Ear (2) earbuds to see whether they're a viable alternative to the AirPods Pro 2 for those who want to save some cash.
The Ear (2) earbuds are the successor to the Nothing Ear (1),...
Thursday March 23, 2023 12:06 pm PDT by Juli Clover
Apple is no longer allowing customers who purchase an iPhone, cellular iPad, or Apple Watch to activate a device with now-defunct mobile carrier Sprint. Apple has also removed remaining references to Sprint from its online store.
When checking out with a new purchase, Sprint is no longer an option for connectivity, a change that Apple appears to have implemented today. Prior to now, Sprint...
Apple says iOS 16.4 is coming in the spring, which began this week. In his Sunday newsletter, Bloomberg's Mark Gurman said the update should be released "in the next three weeks or so," meaning a public release is likely in late March or early April.
iOS 16.4 remains in beta testing and introduces a handful of new features and changes for the iPhone. Below, we have recapped five new features ...
We saw a lot of great deals on Apple products and related accessories this week, including Samsung's iMac-like Smart Monitor M8 for $250 off, a 30 percent off spring sale at Anker, and the year's best prices on numerous AirPods models. All of these deals are still available to purchase right now, so we're recapping them and more below.
Note: MacRumors is an affiliate partner with some of these ...
We're still almost six months away from the official unveiling of the iPhone 15 lineup, but it seems like every day we're learning more about what to expect from the next-generation models. Notably, this week gave us our clearest look yet at what appear to be some changes for the volume and mute control hardware.
iOS 16.4 and associated releases are also right around the corner with some new ...
Apple on January 23 released iOS 16.3, delivering support for Security Keys for Apple IDs, changes to Emergency SOS functionality, support for the second-generation HomePod, and more.
Earlier this month, we reported on several changes at Apple retail stores that were reportedly seeing some employees being laid off or seeing recent promotions being retracted, while other part-time employees were seeing their hours reduced significantly, in some cases to zero. Our report was followed several days later by an acknowledgement from Apple that the company had "messed up" in adjusting its staffing formulas for its retail stores.
Top Rated Comments
I appreciate all that Cook has done for the employees, but I will be the first to say that meeting these numbers/profits is not going to bode well for them.
I don't understand the world of business. If your primary goal becomes meeting quotas and percentiles rather than customer satisfaction, how do you ever expect to be a respectable business?
You can make all the beautiful, respectable things in the world.
But if you don't have heart, you don't have anything.
Disappointed.
Tim, your consumers made Apple the biggest company in the world, and we fight the good fight for you all over the internet (there are no fans like Apple fans) but if you even give off the appearance that you are trying to increase your already sky high profits, then you risk it all sir. You should fire this douche Browett and quit worrying about retail stores profits. Their job is to showcase... obviously the profits will come.
Mark