Despite political instability, economic turmoil and low per capita income, El Salvador has a chain of Apple resellers, including one that looks just like a U.S. mini-store. The Mac Store store at the Galerias shopping mall in the capital city of San Salvador features a glass and stainless steel storefront, blond wood furniture, back-lit wall graphics and stainless steel interior walls. The store even copies the shining, back-lit Apple logo on the store front, set in silver metal above the door. The store and mall cater to a small group of the population who earn more than the average $2,450 annual income–which wouldn’t buy you a Mac Pro there. Check this photo for a view of the Mac Store.
The country seems like an unlikely target for selling Apple computers at retail storefronts. There are few personal computers, few fast and reliable Internet connections, and the country’s 6.8 million residents have little discretionary income.
A 2000/2001 World Bank survey said the number of personal computers was too low for them to obtain a meaningful figure. Yet the country has 10 Apple resellers, according to Apple’s Latin America reseller Web page, including Office Depot and the Almacenes Simán chain, mostly selling iPods and accessories.
Money in the Central American country is concentrated in an upper class. Estimates put almost 60 percent of the country’s wealth in the hands of just 20 percent of the population. At least 20 percent of the country’s residents live in poverty.
The country’s telecommunications system is not well-developed. The phone network was privatized in 1998, and purchased by international companies that have not expanded or improved the system.
Interesting, the country adopted the United States dollar as its official currency in 2001. Both the colon and the dollar are now accepted, but the colon is being phased out.
Gross national income (GNI) per capita as reported by the World Bank (2007) is $2,450 for El Salvador, well below the same figure of all of Latin America ($4,767, or 47% less), and 66 percent less than the worldwide figure ($7,439). The World Bank pegs the United States GNI at $44,970, or almost 20 times that of El Salvador.
Like in other countries, Apple products sell for a premium in El Salvador compared to the United States. For example, the iPod Classic 80 Gb sells for $249 in the United States, but is priced at $325 in El Salvador, or a 30 percent premium. Other prices demonstrate that El Salvador residents pay more than those in the United States:
| Product | U.S. | El Salvador |
Premium |
| iPod nano 8 Gb | $199 | $249 | 25% |
| iMac, 2.0 GHz, 20-inch | $1,199 | $1,414.82 | 18% |
| iMac AppleCare | $169 | $190.97 | 13% |
| Macbook Pro, 15, 2.2 GHz | $1,999 | $2,358.82 | 18% |
| Mac mini, 2.0 GHz | $799 | $942.82 | 18% |
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{ 7 comments… read them below or add one }
See that’s the kind of stores Apple should put in smaller cities here in Canada….like London, Ontario…they would be perfect!
Aaah….so that’s the key. As long as the country is politically unstable and the market non-existant then the dealer has nothing to worry about. Otherwise Apple will plunk a store right across the street…right Scotsys?
I think it’s funny how they make it seem like that Apple store is in a country where everyone is poor and the store is in the middle of the woods or something. It’s true that there is a lot of poverty in the country, but if you are in the capital it is the opposite. Just like anywhere you go, it’s true that the income is really low there, but the cost of living is fraction of what it is in the U.S. There is more BMW dealerships than Toyotas or Hondas. if you go to the mall there you would find Ferrari, Porsche and Maseratti dealerships. I don’t think an Apple store is a big. if there is people that can buy Ferraris there’s def a lot of people that can buy an iPod or a Mac computer.
I agree with most of the content; although, I would not dare to assure that the telecommunications system is not well developed in this small central american country. For instance, up to 90% of the country’s population has a mobile phone despite their socio-economic level, in other words, almost everyone in El Salvador has a mobile phone equipped with the latest technology available in the U.S. or Europe.
On the other hand, Internet connections are available everywhere in the country via satellite, cable o dial-up and you can get incredible speed , you name it, you get it!!!!, and prices are also affordable…, i.e. up to 1Mb of wireless access is only $35 bucks a month.
As far as I’m concerned and judging from the photo, this Mac store has nothing to envy from any other store located in the U.S. or elsewhere.
Oh, and also I’d suggest you check the figures on how the telecom companies have expanded and improved the system.
..well, for those who think any latin american country is a freaking jungle..wrong.
Leaving that aside, yes..the formal-job-generated- income in El Salvador is low, but one must not forget the obscene amount of money that is injected in the economy by all those who live abroad and send money month by month.
A phenomena that is occurring is that the money sent by those hard working individuals is often spent carelessly by those who are being supported.
Also, we cant forget the huge amount of money laundry that does down, the drugs, etc..the country’s official numbers may seem disappointing..but there is a whole sub-reality out there..there is an explanation for gucci, masserati, prada, etc stores..and the answer is not prety.
Nevertheless, technology, should be available for all..glad my homies have a mac store.
“a country where everyone is poor”.
1-Technology is actually pretty advanced down there. The infrastructure and the tech is there. what I find freaking insane is the culture of costumer service. In El Salvador..everything is a “solicitud” (a formal application-or formal form).
Everything is made in such a non-sense way that makes even the smallest and simplest transaction an pain in the ass.
My personal experience with TELECOM was as followed:
a)a technician sent to my place told me the reason why my internet connection was slow was because of my CRT monitor..(he didnt know I have a degree in IT)
b)After escorting the guy out of my place immediately hearing that BS, I called costumer service..and complained, asked to speak with a supervisor..in a very calm polite manner..and I was simply given the run around, and ended up being accidentally “disconnected”.
c)this week actually, I took an Imac G5 home, plugged it to the DSL line and of course, it did not work like in the US..I had to call tech support, and the dude told me “oh..I can see the internet card is the problem”. how? with a cristal ball? C’on!
So, I am hitting the apple store today for help.
The thing about the cellphones, yes..everybody and their dog, and their mistress’s dog’s got one, the whores, the street market ladies, even the freaking kids got one..but the prices, and specially plans are a RIPOFF! ofcourse the prices are “affordable”..if you come from the US. these guys are making a FORTUNE by making the service available and by using really smart marketing moves to keep the population hooked on prepaid cards, etc.
Satellite is also available..but only for “corporate accounts”..and again, thats another stupid “application for service”, about 3 weeks to wait, and you MUST have a Business registration number, so the crap goes on and on.
xD dude, who the hell say that they are any ferrari or porsche dealer?
xD DIDEA the Toyota/Honda dealer from central america is the biggest
that Apple Store has been there since 1999 xD thanks to a guy that got some apple share actually