Showing posts with label Gregg Keizer. Show all posts
Showing posts with label Gregg Keizer. Show all posts

Tuesday, 17 September 2013

PC satisfaction scores dip as customers drift to tablets

'Misalignment of expectations' caused by Windows 8 disconnect with traditional computing devices, says pollster

The jarring combination of Microsoft's radical reinvention of Windows with old-style hardware caused the average satisfaction score of PC makers to slip in the last year, a pollster said today.

Meanwhile, Apple again took top honors by tying its own 2011 record in computing device customer satisfaction as measured by the American Customer Satisfaction Index (ACSI), a consumer survey that's tracked opinions on technology for 18 years.

Apple's score of 87 -- out of a possible 100 -- was up one point from 2012 and seven points higher than its closest competitor.

The ACSI survey polled more than 2,700 Americans in April and May, asking them to rate their experiences with recently purchased devices -- desktop and notebook personal computers, as well as tablets -- sold by Apple, Acer, Dell, Hewlett-Packard and Toshiba. The rest of the OEMs (original equipment manufacturers) were lumped into a secondary "All Others" category in ACSI's results.

With a score of 80, HP was Apple's nearest rival; other OEMs collected scores between 76 and 79.

Although both HP and Toshiba increased their ACSI ratings by a point compared to 2012's poll, Dell and Acer dropped two points and All Others fell four points. The average of all those, other than Apple, fell by a point, a decline of 1.3% over the prior year.

David VanAmburg, the managing director of ACSI, did not point a finger at Microsoft's Windows 8 for the slip in PC satisfaction -- as have some industry analysts -- but acknowledged it was a contributor.

"It's not so much Windows 8 itself as the incongruity between the operating system and most of the devices it's sold with," said VanAmburg. "There's a disconnect between what Windows 8 is touting and the desktop and laptop environment. I'd call it a misalignment of expectations."

VanAmburg was referring to Microsoft's pitch that Windows 8 is a "touch-first" OS that works best on touch- and gesture-enabled hardware, like tablets, and the inability of hardware makers to capitalize on that either on tablets or touch-ready notebooks.

Choices in the latter have been relatively skimpy, and prices have been considerably higher than for laptops that rely on a mouse -- or a touchpad -- and a keyboard. "If [OEMs] could get to lower prices on touch, it could be a whole different ball game," said VanAmburg, echoing Microsoft's own belief.

The lower scores overall for traditional PC makers, and the slip in ratings for the likes of Dell and Acer, neither of which has scored in tablets, are expressions of consumers' search for something more than PCs can provide, said VanAmburg.

"What we're seeing in our data is the same as what we're seeing in PC sales, that the trend toward greater mobility continues to gather steam," VanAmburg said. "Mobility is so attractive [it's] driving people away from PCs."

To tablets, specifically. On average, tablets recorded a satisfaction score of 81, two points higher than traditional PC form factors. "Tablets are just a more satisfying computing device," said VanAmburg, citing the data. Smartphones, too, have scored higher than PCs in ACSI's recent surveys.

PC shipments have contracted for five consecutive quarters, research firm IDC has said, and the slump shows no sign of ending before 2015. The decline in traditional PC sales -- from which Microsoft has always generated the bulk of its Windows revenue -- has put the Redmond, Wash., developer in a tough spot, and spurred it to aim for a "devices-and-services" strategy, revamp its corporate structure and look for a new CEO.

That the cause of those seismic shifts -- consumers' preference for more smartphones and tablets over PCs -- caused desktop and notebook makers' scores to drop didn't surprise VanAmburg.

"We would have been surprised if Apple had dropped, or PC makers suddenly surged to the top," said VanAmburg. "But this is a revolution like what happens to the industry every few years. A while ago, it was laptops. 'You mean I can pick up my computer and take it somewhere?' This is the next generation of that. People are increasingly adopting tablets and smartphones and buying fewer desktops and laptops."

Best Microsoft MCTS Certification, Microsoft MCITP Training at certkingdom.com


Sunday, 14 July 2013

Microsoft chops Surface RT price to $349

One Microsoft bull urges consumers to take a pass, even at that price

Microsoft on Sunday slashed prices on its Surface RT tablets by as much as 30%, with the entry-level 32GB model selling for $349.

The 64GB Surface RT was also discounted by $150, and now sells for $449, or 25% off its former price.

When Microsoft launched the tablet, it sold the 32GB device for $499 and the 64GB configuration for $599.

Microsoft started selling the Surface RT at the lower prices Sunday, as did some of its U.S. retail partners, including Best Buy and Staples. On its website, Staples noted that the discounted prices are valid until July 20, and only while supplies last.

Microsoft's website, however, listed no caveats, hinting that the lower prices might be permanent or at least will be honored for longer than one week.

The prices are another attempt by Microsoft to clear its existing inventory in preparation for a second-generation line of Windows RT devices. Previously, Microsoft had launched multiple deals to rid itself of the poor-selling tablet, most recently in June when it slashed prices by 60% in a bid to get universities and K-12 schools to buy the device.

Earlier, it kicked off a buy-a-Surface-RT-get-a-free-cover deal that ran until June 30. And at several conferences, including June's TechEd North America and this month's Microsoft Partner Conference, the company sold attendees a 64GB Surface RT for $100, 83% off list price.

Today's sale prices were nearly Microsoft's cost, which according to estimates of the tablet's component prices, runs the company at least $284 for the 32GB Surface RT.

Microsoft has not abandoned Windows RT, the pared-down operating system that powers the Surface RT, but virtually every third-party OEM has either pointedly ignored the OS or publicly announced that they would not support it with devices of their own. Instead, the OEMs have flocked to Windows 8 Pro, even though some analysts question the value of touch devices on a platform whose biggest selling point is legacy software that doesn't support touch.

It was the lack of OEM support that made it possible for Microsoft to drop the price of the Surface RT so dramatically. Microsoft essentially had promised hardware partners that it would not undercut their pricing -- unlike Microsoft, the third-party OEMs must pay for the Windows RT license -- but with no competition, and thus no OEMs to antagonize, Microsoft was able to push the Surface RT into the bargain basement.

Long-time supporters of Microsoft have turned their back on Surface RT, even at the heavily-discounted price. Today, blogger Paul Thurrott, generally bullish on Microsoft, excoriated the tablet, calling it a "piece of junk" that is "simply too underpowered to provide a satisfactory experience."

Microsoft has made no noise about when, or truth be told, even if, it will debut new Surface RT devices. But it seems clear, after last week's corporate reorganization and its emphasis on a "complete spectrum" of devices -- a "family of devices," as CEO Steve Ballmer put it -- that the company must at some point unveil new tablets, if only to put its money where Ballmer's mouth is.

Analysts and pundits alike have held up the newest processors from Intel and ARM licensees such as Nvidia as Microsoft's best hope for gaining more ground in tablets. Those processors, battery misers and more powerful, respectively, are expected to appear in new devices this fall -- in time for the holiday selling season but likely not for the almost-as-important back-to-school sales, into which Best Buy lumped the discounted Surface RT.

Microsoft has not revealed sales figures for the Surface line -- which also includes the Surface Pro, powered by Windows 8 Pro -- but estimates by research firms like IDC have been lackluster.

Surface RT on sale

Staples is one of the U.S. retailers selling the Surface RT tablet at a sharp discount. (Image: Staples.)

The discounted Surface RT can be purchased at Microsoft's retail and online stores, as well as retailers like Best Buy and Staples.

Best Microsoft MCTS Certification, Microsoft MCITP Training at certkingdom.com