In some markets, we don't have a lot of room to expand. We've done studies of store density and essentially found our more dense markets have more than one store per 15,000 people.
Sentiment: NEGATIVE
The markets where we've got real good presence are the older, more mature markets like Australia, and Western Europe - where we've only got 6,000 stores, compared to the US with 13,000.
In the U.S. and Canada, we have one store for every 12,000 people.
The trick is, a market has to be nonexistent when you start. If the market is large early on, you will have too many competitors. You have to make it large.
No one cares how valuable your product is if its addressable market is small. The key isn't so much the number of users as it is the dollar size of the market.
You need to make certain decisions to expand your market.
Distributers don't need massive amounts of square feet to stock digital products. Retailers don't need brick-and-mortar stores to sell them. The entire supply chain for these select items has been permanently dematerialized. The marketplace has been blown to bits.
Every year we close 300-400 stores anyway, just relocations.
We have a big opportunity in China. We think the number of stores here can rival the number in North America.
Well, we are expanding in all of our segments of the market.
Marketplaces by their nature tend to grow faster than most other companies.