Microsoft Corporation (MSFT) Digs Deeper Into Retail

From that statement it appears Ballmer isn’t as concerned with profits from the stores (although he obviously doesn’t want to lose money) as he is with making the stores a showcase for new Microsoft products and an entry point for potential customers. Investors should consider more than just the numbers side of Microsoft’s retail play, though. Even if we could look at sales from the Microsoft stores, which we can’t as of yet, it wouldn’t paint the entire picture of what Microsoft is looking to accomplish in retail. Whether people make purchases in the stores or go online to buy the products may not be so important right now. Microsoft needs people to touch and feel products like the Surface and identify with Microsoft’s brand.

A 2012 report by Intrabrand put Microsoft in the top five of most recognizable brands in the world, but the company placed it behind Apple and Google Inc (NASDAQ:GOOG). In the tech world, that’s not a good position to be in. Microsoft’s retail stores are a way for the company to reinvent how current and potential customers perceive the company, while showcasing the best of what Microsoft has to offer. Time will tell whether the retail push will pay off for the company, but with stores showcasing impressive new products like Windows Phones and the Surface tablet, the stores are step in the right direction.

The article Microsoft Digs Deeper Into Retail originally appeared on Fool.com and is written by Chris Neiger.

Fool contributor Chris Neiger has no position in any stocks mentioned. The Motley Fool recommends Apple and Google. The Motley Fool owns shares of Apple, Google, and Microsoft.

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