Will move away from online to retail
Last modified on Friday, 25 July 2008 07:44
Gateway is going to change its sales model once again and move from online e-tailing to a retail channel-oriented model. The news of moving to this type of model that stresses retail sales is quite a departure from the online sales that the brand has been known for in the past.
By making this change, Gateway expects to save money over the build to order model that they have used in the past for customized online orders. Of course, this shift is expected to save the consumer money at the retail level.
While you still should be able to find Gateway products online, it will be through one of its retail partners. The move really is not a surprise, as the mode does align Gateway to be closer to Acer who purchased the brand back in 2007. We think it is more due to Acer admitting that they have been unable to create a direct sales model strategy that worked for them.
With the announcement, this will make Acer the only PC company that is in the top tier that will be committed only to a channel/retail model without a direct sales model, which will be monitored closely by the competition to see how well they are able to do it.