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Vista launch next big thing

By ASSOCIATED PRESS
Published January 23, 2007

DALLAS - Some retailers are planning to use tactics normally reserved for must-have electronics such as new video-game consoles when the Windows Vista computer operating system goes on sale next week.

CompUSA Inc. will throw open the doors of its 230 stores shortly before midnight for the Jan. 30 launch and start selling the first Vista-equipped desktop and notebook computers the minute it can do so under its arrangement with Vista's maker, Microsoft Corp.

Best Buy Co. plans to do the same thing at about 15 of its stores. Both chains are promising deals on PCs and notebooks to create opening-night fever.

The retailers hope that the release of Vista, Microsoft's biggest operating-system launch in many years, will help extend a strong holiday sales season for computers.

Still, no one is expecting the kind of buzz that surrounded the launch of Windows 95 a decade ago, when people - and not all of them geeks - camped outside stores before the product went on sale at midnight.

"It was a much different market 10 years ago. Before Windows 95, people who bought operating systems knew what they were getting into," says Stephen Baker, a computer-industry analyst for market-research firm NPD Group. "That was the beginning of the consumer PC market."

While Vista will have a smaller impact on the PC market than Windows 95 did, Baker still sees an important milepost with the launch. Retailers plan to use the unveiling to an unprecedented degree to sell service offerings and hardware add-ons to consumers, he said.

CompUSA is charging cut-rate installations and a money-back guarantee to customers who bring in their machines before the launch. (They can pick up their desktop or notebook as early as 12:01 a.m. on launch day.) The chain will also pitch unlimited tech support for one month for $29.99.

"There's more consumer demand for installation now. And there are choices between premium and basic," the two levels of Vista aimed at consumers, said Roman Ross, the Dallas-based chain's chief executive. "We're going to help consumers get through that. From curiosity to purchasing is a big leap of faith."

Best Buy also expects plenty of service business from Vista. David Morrish, senior vice president for merchandising, said the chain analyzed the types of machines sold over the last few years and thinks that many will need upgrades such as more memory to run Vista.

Many of those users are likely to be satisfied to stay with their old operating system. Home Premium costs $159 for an upgrade, $239 otherwise.

Likely a better source of installation and other service work will come from customers who just purchased a Vista-ready PC or notebook in December. Morrish said Best Buy gave them certificates to get the new Vista from the manufacturer and expects many will bring in their machines and the discs for installation.

Retailers are spending time and money to train their sales staffs in how to use and demonstrate Vista.

[Last modified January 23, 2007, 00:13:14]