INTRODUCTION on Apple MARKETING STRATEGY
This formal report is formed with the aim of simplify the term marketing strategy. “A marketing strategy is a process that can allow an organization to concentrate its limited resources on the greatest opportunities to increase sales and achieve a sustainable competitive advantage”.Main aim of forming this report is to clearify the term “Marketing Strategy”. Marketing strategy assignment basically means to increase the sales of the company by optimally using the available resources of the company. It is basically putting different tools in action to promote the sales and the product. Various tools are being used to set any marketing strategy by looking after the market condition, they are market segmentation, target market and SWOT analysis etc. is being used for marketing the product (Shankar and et al., 2012).
This report comprised of the brief introduction of Apple organization and their strategies which are in action presently to cover the large part of sales in the. The work is to find out that what tectiques of marketing, Apple are using to promote their product globally. Proper analysis of Apple is also discussed to know more about the companies position. What activities they are using by its marketing department? This report include brief introduction of APPLE and its marketing strategies to gain the market share and all its depth analysis which we think should be consider necessary to analysis of such a big company. Apple was founded in 1976, by Steve jobs and Steve wozniak, situated in California with 394 retail stores (O’grady, 2009).
The objective of this report is to find out that what problems Apple are facing and what their reasons behind it. So they are low engagement of medium class people because they are not appealing to the price conscious customer. Apple faces the problems of changing customer taste because competitor also coming up with the best phones in the market with low price as compared to them. Low customization and prices are too high. This leads to a lower market share of Apple (Fifield, 2012).
Tools of Marketing Strategy:
SWOT Analysis of Apple is as follows:
Strength: potential resources through which they are strengthen their place in the market are:
- Branding: when the idea or image is marked by the company so that it can be easily recognizable by more and more people and also identify their certain product or services that they are offering Is known as branding. In case of Apple, their brand is the bitten apple (fruit). This logo let the people to understand easily that this is an apple product (Ferrell and Hartline, 2010).
- Innovation: Apple not only comes with new product but also engage innovation in them on a continuous basis. Like iphone series- 1, 2, 3 and 4. This they consider themselves as their strength (Handlechner, 2008).
- Differentiated product: Apple is not just limited to micro processor or computer they are also engaged in iphones, ipod, ipad etc with the latest features in them.
- Ease of use: Apple products so familiar with every people that it can be used even by a new purchaser without any guidance and help of other. No user ever complaint regarding operating their products and this makes their strength to dominant the market.
- Superior quality: Apple phones are costlier but with this cost they are providing us the new features and the extreme high quality features in them which satisfy their customer against their resources that they have spent (Ireland and et.al., 2011).
- Retail strategy: Apple phones are not available in every retail shop of electronics. It is being given to certified retailers only or they have opened their own retail stores and their service centers. So that they can serve their customer in an easy and effective way. This is also considering as their strength.
Weaknesses of Apple. Though apple are strong company still they have some weakness (Sadghi, 2012). They are;
- High price: Apple products are very high in range that no every person can afford their phone. It normally starts from 20K which seems so high priced products for middle level customers. This high price proprietary system is one of the weakness of Apple.
- Less penetration: Apple is just limited to their high level segment. Means the phones they are producing targeting only to the high class people or status quo people. They are not trying to capture the segment of upper middle class or middle class.
- Niche market: niche market is defines as the narrow market where company focusing on specific product or specific market. As explained above that they are focusing only to the higher level segment (Cheverton, 2005).
- Cannibalization: another weakness of Apple. It means that removal of one part for the sake of making something else. Apple also removes some features to make some other thing Ex: they have removed Bluetooth from their iphone to make it different from other phones and the result of that people complaining regarding this problem or not involving this features.
Opportunity: Demand for smart phones and tablets are growing and apple can seize on that. As in the international market, the use of iphones and ipads are getting so common and but if the apple integrate with Mac’s, this will make them more appealing for the apple. If apple phones integrate with the icloud this may boost the appeal for other apple phones. They should come up with the talking mp3 player and they are already started upon this.
Threat: The major threat is from the Samsung because they have already copied their style and now they are providing the smart phones as same as apple in cheaper rates.
Apple are not customizing their products, as the other competitor are doing with their phones.
Last but mojor threat of apple phones is their high price. They are offering their products at very high range of price on the other side same features are providing by Samsung and other phones but at lower price.
ADVANTAGES OF APPPLE PHONES:
Apple phones are the only mobile phones in the world that people actually let people to wait standing outside Apple’s stores even before launching and this kind of love others companies can just dream of (Badur and et.al., 2011).
- For iphones, it is need to say that no other phones are highly recognized as the Apple iphone, because apple has maintained their offerings in a very good quality like iphone and ipad and they are very newer and are comes with latest technology.
- It’s the Apple that brings revolution in the smart phones. Every new products of smart phones comes with some new features but the iphone4 comes with no exception.
- One of the best features that an apple device comes with which attracts many customers are ability to access and easy to download application from their own apple store (Singh, 2007).
- Another best features that apple provides is that they provide only those apps that are being approved by the Apple. It is because, it prevents device from unknown viruses
- Not every smart phones are providing face time video calling. Apple is the only phone that started the face time video calling with the extreme high video clarity.
- As per the views of the people, iphone got the best touch till now and is thinnest smart phones and its weight is also low as compare to other smart phones(Ferguson and Hlavink, 2007).
POSITIONING: Positioning doesn’t means to position the product in the market. It is position the product in the customers mind. For that apple is working hard upon that and with the superior quality of iphones they are placing their products in the mind of the customers (Marketing strategy, 2009). Now to recommend that what other positioning strategy they should use is that they should use simple taglines, jingle or message that when people heard that, they quickly recognize their products and company. Though the logo apple is sufficient enough, but still the taglines and jingles are necessary (Webinar, 2013).
Another way to position is to create a character or using celebrity to endorse their product. With that character or celebrity people remind the product (Yannopoulos, 2011).
So these are the recommended positioning tools for the apple company to place their product in maximum people’s mind.
So above report is all about the Apple company and their present situation of their firm. Report is asked to recommend some strategy regarding marketing the product of apple phones. Above tools are being discussed which are being recommended to apple incorporation. It is being cleared with the matter discussed that apple are doing extreme well with their present iphones and upcoming phones but the thing is that they are serving to only few segments of the people and are not targeting the people of other segment, but still the people of lower segment are using their phones and are also ready to purchase the product by spending bit more price for their product. Also read about Marketing Intelligence.
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- Cheverton, P., 2005. Strategies, Tools and Techniques for Marketing Success. 2nd ed. Kogan Page Publishers.
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- Fifield, P., 2012. Marketing Strategy. 2nd ed. Routledge.
- Handlechner, M., 2008. Marketing Strategy. GRIN Verlag.