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Microsoft's Retail Partnerships

(April 2007) posted on Tue Apr 10, 2007

Retail partnerships enable Microsoft to demand attention for the critical 15 seconds


By Lauren Mang

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Who doesn’t know Microsoft? It’s one of the biggest companies in the world. Its chairman is one of the most recognized names. So when the company prepared to launch its first upgrade to the Windows operating system in five years, everybody was talking.

Steven Ballmer, Microsoft’s ceo, called the Windows Vista launch the biggest in company history, with a first-year marketing budget totaling hundreds of millions of dollars. The buzz prompted some loyal high-tech fans to line up outside of stores at midnight in January.

But what about the non-techies – the average consumer who knows Microsoft, knows about the upgrade, but still needs an extra push to purchase?

Parisa Zander, Microsoft’s group manager of visual merchandising worldwide, explains the consumer must understand what to buy and why to buy within the first 15 seconds. “If not,” she says, “you’ve lost them.” Her rules of engagement are simple: When a customer views a Windows Vista endcap, he or she should be captured from 20 feet away. To do this, Zander and her team developed internal partnerships among Microsoft’s subsidiary offices. Only then could they create a unified visual program that would command that 15 seconds of fame on the sales floor. With succinct messaging and consistent iconic elements, the program would continue to interest shoppers after the glitz and grandeur of the launch was over.

But once that partnership was in place, Zander had to create another partnership, with the retailers that would be carrying the merchandise. Microsoft has the benefit of being a commonly recognizable brand. The flowing flag-like window icon has had the same colors (red, green, yellow, blue) since Windows 3.1x launched in 1992. And the new Windows Vista and Office programs also bear the iconic four-color branding.

But retailers like Best Buy and CompUSA have their own visual identities. How much latitude would they be willing to allow Microsoft to establish its identity in the stores? Behind the barrage of digital displays on New York street corners, human billboards and storewide celebrations, how strong a brand statement could Microsoft make where it really mattered – on the sales floor?

First Piece of the Puzzle


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