Concerning Target’s back-to-school essentials for the college age demographic, I believe it would be beneficial for Target to stock Apple laptops in their stores. Many college students are familiar with the Apple brand, and I feel it would substantially add to Target’s revenue.
According to a recent survey taken by a company called Student Monitor, 95% of college students owned a computer. Of the 95%, 88% owned a laptop. The largest group of laptop owners belonged to Apple with 27%. Dell was close behind with 24%, HP at 15% and Toshiba at 10%. In this same survey, 47% of the students who did not yet own a computer planned on purchasing a Mac.
For example, if we were to apply this to Indiana University it would be easy to see the benefits of stocking Apple laptops. Currently, there are around 38,247 students enrolled. Using the percentages from Student monitor, around 10,326 of these students would have an Apple computer. Considering the $999 price tag that the Mac website lists for a regular, white Macbook, revenues for four years worth of selling this specific type of Macbook at Target to college students would be $10,315,674. This is, of course, a rough estimate only to demonstrate the magnitude of profit that could be earned by selling Macbook laptops.
Target is missing out on this market opportunity by not offering Apple laptops. Providing Apple laptops in Target stores would make it convenient for college guests to get most if not all of their shopping done at Target. Target would also have the indirect benefit of attracting college students with Apple products and while the guests are in Target stores they would also conveniently be able to buy their other back-to-school essentials.
Sources:
http://www.macobserver.com/tmo/article/survey_finds_apple_laptops_1_brand_on_college_campuses/
http://www.stateuniversity.com/universities/IN/Indiana_University_Bloomington.html [continues]
According to a recent survey taken by a company called Student Monitor, 95% of college students owned a computer. Of the 95%, 88% owned a laptop. The largest group of laptop owners belonged to Apple with 27%. Dell was close behind with 24%, HP at 15% and Toshiba at 10%. In this same survey, 47% of the students who did not yet own a computer planned on purchasing a Mac.
For example, if we were to apply this to Indiana University it would be easy to see the benefits of stocking Apple laptops. Currently, there are around 38,247 students enrolled. Using the percentages from Student monitor, around 10,326 of these students would have an Apple computer. Considering the $999 price tag that the Mac website lists for a regular, white Macbook, revenues for four years worth of selling this specific type of Macbook at Target to college students would be $10,315,674. This is, of course, a rough estimate only to demonstrate the magnitude of profit that could be earned by selling Macbook laptops.
Target is missing out on this market opportunity by not offering Apple laptops. Providing Apple laptops in Target stores would make it convenient for college guests to get most if not all of their shopping done at Target. Target would also have the indirect benefit of attracting college students with Apple products and while the guests are in Target stores they would also conveniently be able to buy their other back-to-school essentials.
Sources:
http://www.macobserver.com/tmo/article/survey_finds_apple_laptops_1_brand_on_college_campuses/
http://www.stateuniversity.com/universities/IN/Indiana_University_Bloomington.html [continues]
Cite This Essay
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(2010, 11). Why Target Should Stock Macbooks. StudyMode.com. Retrieved 11, 2010, from http://www.studymode.com/essays/Why-Target-Should-Stock-Macbooks-499912.html
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"Why Target Should Stock Macbooks" StudyMode.com. 11 2010. 11 2010 <http://www.studymode.com/essays/Why-Target-Should-Stock-Macbooks-499912.html>.
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"Why Target Should Stock Macbooks." StudyMode.com. 11, 2010. Accessed 11, 2010. http://www.studymode.com/essays/Why-Target-Should-Stock-Macbooks-499912.html.
