The Thompson Center isn’t the only slice of Chicago real estate where Google is staking new ground.
The tech giant is opening its first bricks-and-mortar Google Store in the Midwest and its fifth overall next week at Oakbrook Center, offering shoppers a chance to test drive everything from new AI-enhanced Pixel phones to tablets and Fitbit trackers.
It may be an opportunity for Google, still a relatively small smartphone player, to take a bite out of Apple, whose ubiquitous stores have helped secure its spot as the dominant market leader in the U.S.
“We don’t see ourselves as trying to directly compete with Apple stores, ” said Mike Camacho, the Chicago-based head of stores for Google. “I think what we are doing, though, is adopting a model where we introduce the technology in a physical space. Obviously, I think it’s hard to deny the similarities.”
While Google is the leading search engine in the world, its Android-powered devices lag far behind rival Apple in the smartphone business. Apple’s iPhone accounts for more than half of all smartphone sales in the U.S., while Google’s share of the market is less than 5%, according to data from Statista.
Apple has 272 stores in the U.S., including nine in the Chicago area. It opened its $27 million glass-enclosed Chicago flagship store along North Michigan Avenue in 2017. There is also an Apple store at Oakbrook Center as well.
The new 2,000-square-foot Google Store — located just an apple-throw away from its rival at the sprawling outdoor shopping center — will be the fifth Google store to open since launching the retail strategy in New York City three years ago. Google has also opened stores in Brooklyn, Boston and near its Mountain View, California, headquarters.
After the Nov. 1 launch in west suburban Oak Brook, Google is planning to open a store early next year in Santa Monica, California, the company said Wednesday. Google plans to continue to grow its retail footprint, but Camacho did not offer guidance as to the timing or scale of the expansion.
Like an Apple Store, the new Google Store will feature an array of smartphones, tablets and other devices, knowledgeable staff to help both Luddites and the tech-savvy alike navigate the options and a service center to fix everything that can and does go wrong.
“Perhaps they broke their screen on their phone, or perhaps they just need some help with navigating the Android OS or maybe they just want to learn how to use it better,” Camacho said. “We have trained technicians who specialize in this work. We also do onsite repair.”
Google announced its next-generation Pixel 9 phones in August, which include the new Gemini Live, a conversant AI voice assistant that may prove a formidable rival to Apple’s Siri.
Camacho said the ability to test out the new technology with hands-on demonstrations may be the most important aspect of having a physical store for Chicago-area customers.
“This is one of the most popular and frequent demos we provide in our stores, and our teams are able to really provide a demonstration that is helpful, immersive and really unlocks what the capabilities are,” he said.
Adding the first Google Store in the Midwest is the latest tenant coup for Oakbrook Center, which has been thriving in the post-pandemic retail landscape.
Built in 1962, Oakbrook Center is one the largest Chicago-area shopping centers with more than 1.7 million square feet of leasable space. Anchor tenants include Macy’s, Neiman Marcus and Nordstrom, with dozens of retailers, restaurants and a growing portfolio of experiential offerings.
Brookfield Properties, part of Toronto-based Brookfield Asset Management, took over Oakbrook Center and a handful of other area shopping centers with its $15 billion acquisition of GGP in 2018. It is looking to redevelop Northbrook Court as a mixed-use residential and retail center, and gave Water Tower Place back to the lender in 2022, but Oakbrook is mostly leased and generated more than $1 billion in sales last year, according to Britt Burridge, vice president of leasing at Brookfield Properties.
“It’s one of the best centers we have in the Brookfield portfolio,” Burridge said.
Meanwhile, Google’s visibility in Chicago is certainly rising with its ongoing $280 million renovation of the Thompson Center in the Loop, which will serve as the company’s Chicago headquarters for some 2,000 employees.
The west suburban retail outlet will also fly the Google flag proudly, offering a physical presence to a company that for most Chicago users, exists entirely in a virtual world. In addition to its tech offerings, the Google Store will also feature some merchandise for fans of the tech giant who wish to show their colors.
Available items range from sweatshirts and coffee mugs to a Google basketball. There’s even a toy replica of the colorful Google bikes that employees use to cruise the Google campus in California.
“I think our stores support all things Google,” Camacho said. “We want people to feel like our stores are really a place where you can engage with this brand, which you really can’t do anywhere else.”
rchannick@chicagotribune.com
