Microsoft Corp. (NASDAQ: MSFT) aimed to start its first store in New York City, a strategy to expand its retail presence in malls whole over the U.S.
In 2005, gossips flew across the air that Microsoft might be occupying a retail store in the prestigious Time Square Building, but no evidence was there that suggested that the plans were executed.
Microsoft did open a full sized store when surface tablet was launched in 2012 in Times Square but soon got closed. The company currently has “specialty stores” but lacks a full-size store.
According to sources, the tech king plans to build its store in Big Apple at Fifth Avenue, specifically at 677 Fifth Avenue near 53rd Street, which gives a dominant spot on NYC within arm’s reach of Apple’s NYC flagship cube store.
Microsoft has an excellent strategy of setting up its retail stores juxtaposition to Apple’s store as consumers who go to malls or neighborhood to check out Apple stuff can easily digress passing by a Microsoft Store checking out its array of computers, mobile devices and Xbox games on display. The important question that arises is the approach can be fruitful in terms of sales and not just public attention.
“For Microsoft to land on Fifth Avenue just a few blocks from Apple would certainly be interesting,” stated Faith Hope Consolo, a top retail broker with Douglas Elliman, who was not involved in the deal. “It would be dramatic.”
Store rent of ground floor store on Fifth Avenue can be more than $3,500 per square foot, which means Microsoft has to invest a high amount of bucks.
At this point of time, Microsoft has almost 60 full retail stores in United States, Canada, Puerto Rico, and many more. The full size stores are stocked with Windows Phones, Windows PC’s, Xboxes, Microsoft Softwares and other third party softwares and much more.