As part of its efforts to bolster its retail operations, Apple Inc. is reportedly working on plans to expand its chain of stores and revamp existing locations across the US, Europe, and Asia. The initiative aims to create a stronger brand presence in growth markets such as India and other parts of Asia while also providing a better retail experience to customers in the US and Europe.
Sources familiar with the matter stated that Apple is discussing plans to open 15 new stores across the Asia-Pacific region over the next four years, including three new stores in India, its first store in Malaysia, and a location in Shanghai, China. Additionally, the company is considering opening five new stores in Europe and the Middle East and four additional locations in Canada and the US.
According to the sources, Apple is also planning to revamp or relocate nine of its stores in Europe, thirteen in North America, and six in Asia. The proposed initiative involves opening 53 new, renovated or refurbished stores over the next four years, with the primary focus being on the Asia-Pacific region. It generated about $130 billion of Apple’s revenue last year, accounting for roughly a third of its total.
Apple's retail chain is considered to be one of the world's most venerated, but it has been going through a rough patch in recent years. The retail chain was affected by pandemic-related issues, customer service problems, and labor unrest. The expansion and refurbishment effort seek to give the brand a boost in growth markets while improving the retail experience for customers in the US and Europe.
Apple's most significant upcoming new stores include three sites in India, its first outlet in Malaysia, and a refurbishment of its location in the Opera shopping district in Paris, among others. The company is also opening a new store in Battersea, London, near its new local headquarters, and planning another location in Miami. In addition, a flagship store is to be located in the Jing’an Temple Plaza in Shanghai.
The sources added that while many of the proposed new locations are already in development, some of the future sites and their timelines are still only internal projections or proposals, meaning there could be delays or cancellations. Apple did not comment on the matter.
Apple operates four main types of stores, according to internal specifications: standard indoor mall stores, “Apple Store+” outdoor mall or city street locations, “flagship” stores in key areas with unique designs, and “flagship+” stores, which are the largest and most expensive to operate. The main focus of the new expansion and revamp initiative is on the Asia-Pacific region, where 21 new or renovated sites are planned through 2027.
Apple's retail operations are overseen by Deirdre O’Brien, who took over as head of the retail chain in 2019 when Angela Ahrendts left the role. Kristina Raspe, Apple’s executive in charge of global real estate and facilities, is responsible for the construction and upkeep of the stores. The group reports directly to Apple's Chief Financial Officer.
To improve the retail experience for customers, O'Brien seeks to address complaints from both customers and employees. The initiative aims to revitalize the brand and regain some of the cachet Apple enjoyed when it first started opening stores in shopping centers two decades ago.
Despite the ongoing tensions between the US and China, Apple remains highly dependent on the Asian giant as a manufacturing partner and as a market for its products. The company's CEO, Tim Cook, celebrated the symbiotic relationship between Apple and China during a recent trip to China. The retail expansion and revamp seeks to underscore Apple's long-term commitment to the country.