Marketing strategy about apple

Marketing Strategy of Apple Inc – Apple Marketing Strategy

January 11, 2019 By Hitesh Bhasin Tagged With: Strategies

Apple is the largest brand in the technology industry in terms of its revenue generated as well as its brand ranking. It is not a surprise to many because Apple has time and time again presented products which were ground breaking and which revolutionised the market.

Apple has given us many delights over the years including the Macbook, the Ipod, Iphone, Ipad, Iwatch, Itunes and others. And due to its excellent product and differentiation, it is close to the heart of many techie enthusiasts.

Table of Contents

Here is the Marketing strategy of Apple

Segmentation targeting and positioning of the brand

There are three major segments which Apple targets. It generally uses lifestyle segmentation as Apple is the most premium brand out there. The segment is usually the urban population with enough buying power for purchasing Apple products. These are people who are early adopters in life but the brand equity of Apple is such that even laggards have started adopting the products.

In the Marketing strategy of Apple, it has three target groups

1. One is the music lovers who are targeted by the Apple Ipod and Itunes.
2. Another target the professionals or even teenagers who are targeted for Apple Iphone, Tablets, Macbook and other such gadgets which can be used by anyone, irrespective of age.
3. And third is the crowd which can use their other products and services like Apple TV and Apple Iwatch. They also use Ibooks, Apple pay etc.

Apple being the world’s number 1 brand has the topmost mind positioning and there is no doubt that when someone talks about Smartphones or Laptop or Tablets, Apple is the first brand that comes to mind maximum number of times.

Marketing mix in the Marketing strategy of Apple – Click here to read the Marketing mix of Apple, Apple Iphone and Apple Ipad.

SWOT analysis in the Marketing strategy of Apple – Click here to read the SWOT analysis of Apple Inc as well as SWOT analysis of Apple Iphone.

Mission in the Marketing strategy of Apple

Apple designs Macs, the best personal computers in the world, along with OS X, iLife, iWork and professional software. Apple leads the digital music revolution with its iPods and iTunes online store. Apple has reinvented the mobile phone with its revolutionary iPhone and App store, and is defining the future of mobile media and computing devices with iPad.

Vision in the Marketing strategy of Apple

We believe that we are on the face of the earth to make great products and that’s not changing. We are constantly focusing on innovating. We believe in the simple not the complex. We believe that we need to own and control the primary technologies behind the products that we make, and participate only in markets where we can make a significant contribution.

We believe in saying no to thousands of projects, so that we can really focus on the few that are truly important and meaningful to us. We believe in deep collaboration and cross-pollination of our groups, which allow us to innovate in a way that others cannot. And frankly, we don’t settle for anything less than excellence in every group in the company, and we have the self- honesty to admit when we’re wrong and the courage to change. And I think regardless of who is in what job those values are so embedded in this company that Apple will do extremely well.

Tagline – “Think Different” is one of the best slogans in the tech industry. Many people assume that Apple launched the slogan “Think different” in response to IBM’s slogan “Think”. However, since 2002, Apple stopped using the slogan in its marketing. But from time to time, the slogan has bounced back on Apple’s website or in their marketing and it has never left the mind of Apple loyal consumers.

Competitive advantage in the Marketing strategy of Apple

Apple has several competitive advantages over its competitors

1. Superior technology products – Macbook and Iwatch are clearly leaders in their market space because of the OS and the technology used.
2. Brand equity – Apple has repeatedly taken the top spot for its brand equity and has a cult following since ages.
3. Revenue over time – Apple has deep pockets due to its high margins.
4. R&D – A major competitive advantage of Apple is the amount it spends on R&D keeping its eyes on the future rather than on the present.

BCG matrix of Apple

When plotting the BCG matrix of Apple, the product portfolio of Apple is clearly divided into four parts.

1. The Cash cows are products which are existing since ages and which cannot be challenged in the current market conditions and have a majority market share when the global data is referred – These are Macintosh, Iphone, Iwatch (50% market share in 2015) and Itunes (a solid support service to all Apple products)
2. The stars are Ipad and Ibooks where there is a lot of competition and Apple has to invest a lot to keep these businesses on top.
3. The question mark is Apple TV which has low market share in an industry which is showing great potential and might grow at a rapid pace in the future.
4. The dog is Ipod because although it has a high market share, the industry itself is rapidly degrowing because Smartphones have replaced Ipods.

Distribution in the Marketing strategy of Apple

Apple has a very smart retailing setup. It has around 450 stores within the US. And these retail outlets are such that they are more focused in helping the customer and making him comfortable with using Apple rather then selling the product and stuffing the product down customers throat.

Apple has also introduced the Apple Genius Bar, which is a walk-in service center and can help any customer in problems they are facing in MacBook or Iphone or Ipad. Overall, the company owned Retail and Service outlets are great.

Along with company owned stores, Apple has set trade partners like Ingram Micro and Redington which are responsible for the sales and distribution of the brands. These trade partners will buy in bulk from the brand and then distribute the product in the market. Thus, besides its own retail stores, Apple is found present in other modern and premium retail stores. These stores are covered by its retail partners.

The Online E-commerce presence of Apple is fantastic. Most E-commerce portals promote the brand themselves because they know that the brand is in huge demand. Besides this, there is very less price penetration in Apple, and hence the channel partners and E-commerce portals are happy too as they don’t have to fight on price. from the home page itself. The combination of retail, distribution and E-commerce gives a complete market reach to Apple.

Brand equity in the Marketing strategy of Apple

Apple has the highest brand equity in the world as of 2016 and it is the topmost ranked brand in the world. The brand worth of Apple is 118.9 billion dollars. The brand has done a lot to reach this brand equity, but a major contributing factor was its ability to give hit products back to back, and to reach across the globe with these excellent products. The combination of both with the excellent marketing communications of the brand help Apple reach the highest brand equity possible.

Competitive analysis in the Marketing strategy of Apple

Although on a company level there is very less competition for Apple, on product levels, there is repetitive competition for each of its individual products. Ipad faces competition from Samsung tablets, Iphone faces major competition from Android based phones, Macbook is facing stiff competition from Dell which also has superior products.

The unique services offered by Apple such as Itunes also face competition from other online music players which are cropping up every day. Ibooks faces strong competition from Amazon and even Apple TV faces competition from Fire TV of Amazon. Samsung gear and other smart watches are rising competitors to Iwatch although Iwatch still holds a majority market share.

Promotions in the Marketing strategy of Apple

Apple is one of the most elegant advertisers as can be seen from any of its print ads in newspapers. You will commonly find Apple ads to be clear and crisp in their message. Their background will be white and there will be a splash of colors on the print ad introducing the product or differentiating the product.

And that is one major strength of the brand. Apple has so many differentiation points that it can have a slew of ads, all targeted towards differentiating the products that it is offering. Not only the print ads, even the video ads do the same. They tell you one point which highlights the product features.

Here is a simple image made by Apple to differentiate between PC and Macintosh. Look at the clean and to the point copy.

Overall, the advertising and promotions of Apple are used tenfold when there is a new product launch. The hype created is so much that you just can’t ignore it. And this hype is continued until the product becomes a success. As the number of products with Apple is less, it is no doubt that it wants each one of its product to be a hit.

This was the Marketing strategy of Apple. The Brand can teach a lot to marketers with regards to differentiation, brand building and most importantly – Innovation.

Источник

An Inside Look at Apple’s Marketing Strategy: How They Became The Market Leader

Brief History of the Company

According to the Library of Congress Business Research Services, «Apple Computers, Inc. was founded on April 1, 1976, by college dropouts Steve Jobs and Steve Wozniak, who brought to the new company a vision of changing the way people viewed computers. Jobs and Wozniak wanted to make computers small enough for people to have them in their homes or offices. Simply put, they wanted a computer that was user-friendly.»

This logo has become the apple of many an eye.

By August, 2018, Apple had become the first publicly traded company to reach a value of $1 Trillion.

Here’s a look at some milestones along that journey, via The Financial Post.

1. June 1977: The Apple II computer is released.
2. January 1984: Jobs unveils the Macintosh, the first mass-market personal computer to feature a mouse and a graphical interface on the display screen.
3. August 1993: Apple releases the Newton, a touch-screen device that was supposed to work like a digital notepad.
4. May 1998: Jobs unveils a new line of personal computers called the iMac.
5. May 2001: Apple opens its first retail stores in Virginia and California.
6. October 2001: Jobs unveils a digital music player called the iPod.
7. April 2003: Jobs unveils iTunes, a digital music store that initially only could be accessed on Apple devices.
8. January 2007: Jobs unveils the iPhone.
9. March 2008: Jobs announces an app store for the iPhone.
10. January 2010: Jobs unveils a tablet computer called the iPad.
11. October 2011: Jobs passes away.
12. September 2014: Apple announces the Apple Watch, its first new product since Jobs’ death.
13. March 2015: Apple becomes one of the 30 companies comprising the Dow Jones Industrial Average.
14. June 2015: Apple launches its music-streaming service.
15. June 2017: Apple announces its first internet-connected speaker, the HomePod.
16. September 2017: Apple unveils its first $1,000 phone, the iPhone X, in celebration of the product line’s 10th anniversary.

While Apple has experienced internal strife and power struggles along the way, the brand has always been defined first and foremost by their exceptional and innovative line of products that have been embraced by hundreds of millions worldwide.

Steve Jobs helped set Apple apart as the market leader.

Apple’s Marketing Strategy — Become a Purple Cow

Apple’s marketing strategy can best be described by referring to Purple Cow, a book by Seth Godin that argues traditional marketing efforts are less effective today because of clutter and advertising avoidance. Companies should focus rather on creating remarkable products and target people who are likely to spread the word. Kind of like you would if you saw a purple cow standing in a field of regular ones.

Apple has created one of the most powerful brands in the world by focusing on quality, mastering their target markets and being unapologetic about the things the company stands for.

How Apple Stands Out From the Crowd

Focus on Unique Value Proposition

Apple creates products people want, and they will pay a premium to get them.

As Neil Patel puts it, «Apple focuses on their UVP (unique value proposition), which is beautiful design that works right out of the box with ever-smaller packaging. It’s a marketing strategy that gets juice throughout social media and is very much a competitive advantage for Apple and its market share. And the cost? Well, let’s just say Apple is absolutely not competing on price! In fact, you’ll almost certainly pay more – sometimes a lot more – for an Apple product than you would for a competitor’s version of the same product.»

Apple’s marketing strategy has been to set itself up as the luxury vehicle of technology products, creating retail stores that look like showrooms.

Apple customers are more than happy to pay a premium because they know they’ll get their money’s worth . and it looks cool to do so.

Build a Loyal Community of Users

Over the years, Apple has built a fiercely loyal consumer base, with many lining up for days in order to be one of the first to get their hands on a new device. You don’t often see that kind of consumer commitment with other brands.

Again, according to Neil Patel, «Apple has created a brand personality and culture that’s cool, fun, and friendly — the opposite of some of its competitors. Apple’s marketing strategies include making customers want to belong to that community. Their market share shows just how successful they have been.»

Patel outlines a few steps to reach that level:

Create a vivid and accurate picture of your brand — core message, deeply-held values, personality, what it stands for above all else.

Make sure that your pages, marketing copy and content all express those values and that personality. Every aspect of your website should be consistent with those words you chose to describe your brand, from graphics to fonts to colour scheme.

Show your customers you value them, as well as their opinions. Let them know that you’re deeply interested in them with your content.

Keep it Simple

Apple’s focus on simplicity begins with their products and extends to their marketing efforts.

Apple devices are sleek and minimal, with simple and clean colour schemes. Even the names are short and easy to remember — iPad, iPhone, MacBook, etc.

Along those same lines, Apple’s marketing strategy includes keeping their web and sales content simple as well. In that respect, it’s quite easy to replicate for even the smallest of businesses.

Even Apple’s famous product launches have been simple in presentation — many featuring Steve Jobs, on stage alone wearing his trademark black turtleneck.

«Start by making sure your website and blog have scannable content. Research shows that only 16% of website visitors read every word on a page. The vast majority of users – 79% of web users, in fact – simply scan the page. This is imperative in understanding your content marketing and potentially using social media with smaller bits of digestible date.» (Source: Neil Patel)

While Apple’s marketing strategy has led to unparalleled success, small business owners would do well to learn from their model. More specifically, focus on creating a great product that people will value, and keep things simple.

We can help get you started with our free marketing plan template!

Sometimes less is more, and Apple is an amazing example of that truth.

Источник