Apple has experienced tremendous success over the past decade through innovative products and effective marketing strategies. They launched game-changing products like the iPod, iPhone, and iPad that changed how people engage with technology. Apple focuses on differentiation through superior design, ease of use, and creating emotional connections with customers. Their marketing emphasizes creating buzz and viral word-of-mouth through innovative product launches and lifestyle-focused advertising. This focus on innovation, customer experience, and brand loyalty has led Apple to become one of the most valuable brands in the world.
2. The Marketing Story of the Decade…
Apple
seed The
history
Apple
turnover Proof of success
Apple
Differentiated
core Positioning
7P’s
Marketing
strategy
End The Apple Core
3. The Marketing Story of the Decade…
1975
Steve Jobs & Steve Wozniak Founded
Apple
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4. The Marketing Story of the Decade…
1980
Apple IPOs, the Nerds get Rich
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5. The Marketing Story of the Decade…
1984
Apple Launches Macintosh
(IBM = I Bought Macintosh)
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6. The Marketing Story of the Decade…
1985
Steve Job Ousted from the Company he
Founded
Apple PC Market Share = 16%
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7. The Marketing Story of the Decade…
1997
Apple Nearly Bankrupt, PC Market
Share = 2%
8. The Marketing Story of the Decade…
1998
Steve Jobs Culls Apple Organization
& Signs a Deal with the Enemy
http://valledosilicio.files.wordpress.com/2009/09/steve-jobs-
9. The Marketing Story of the Decade…
2001
iPod Launched
Apple Dreams “Digital Lifestyle
13. The Marketing Story of the Decade…
2003-2009
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14. The Marketing Story of the Decade…
2003-2009
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15. The Marketing Story of the Decade…
2009
Steve Jobs Awarded “CEO of the
Decade”
16. Comparing Apple with apples
The Marketing Story of the Decade…
2003-2009
Interbrand Global Brand Rankings
Rank Brand value $mn
2009
2009: 20th Most Valuable Global Brand
($15bn)
2003: 50th Most Valuable Global Brand
($5bn)
26. The Local View
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✓9% of unprompted survey responders
picked Apple as the top supplier of
technology products
✓75% of prompted survey responders!"
said Apple is very successful !" $" &" '" (" )" %" *" #" +" $!"
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28. The Local’s said...
Customer
Well integrated satisfaction and
software and
Fashionable hardware reliability
I like the fact
that I don’t
have to start
Apple tells people my day with
what they need Ctrl+Alt+Del
and then provides
Innovativ
e Good
marketing;
technology;
unique
31. Brand Architecture
Customer
Environmental sustainability
Customer Portfolio
Network Reputation
Experience Managemen
Right Quality
Purchase
products
experience
Developers Simplicity
Brand
pillars Right
Packaging
Carriers customers Design
Genius bar
Right time Innovation
Source: Knox et al. 2000, adapted by Green 3
32. Strategy 7P’s of Marketing
Apple’s overview
7P’s
Product Accessible, innovative, simple to use, stylish,
cool, emotional
Price Premium price - differentiation
Promotion Brand and brand response; user group word of
mouth advocacy; media exploitation; Packaging,
Placement Retailers, own stores, premium stores, online –
easily accessible
People Culture, Steve Jobs, training, explainers not
sellers
Process Segmentation strategy to innovators
Secretive, aligned to values
Physical White ear phone leads, bright colours, style,
evidence packaging
35. BCG Matrix
Market Share (Relative)
High Low
Stars ?
Market Growth Rate
High
Cash Cows Dogs
Low
Source: BCG Matri
36. Product development and pricing
Apple’s Direction Policy Matrix
Invest Grow
Harvest Divest
Source: Directional policy matrix for Apple products (Session 6-2009,Dr
Stan Maklan)
37. Product development and pricing
Apple’s Direction Policy Matrix
Invest Grow
Home
Networking
Harvest Divest
Source: Directional policy matrix for Apple products (Session 6-2009,Dr
Stan Maklan)
38. Customer Segmentation
“There are some Apple customer strategy two fold:
customers which we 1. Target innovators and early adopters
2. Drive through to early majority as
choose not to serve.” quickly as possible through marketing
Steve Jobs
Early adopters
Early majority
Innovators
Laggards
majority
Late
Price Skimming Price Penetration
39. It’s the Experience
4D experience
Aesthetics
1D
Perception
4D
2D 3D
Functionality Experience
49. Threats and Weaknesses
STRENGTHS WEAKNESSES
Strong Brand Image Expensive (compared to competitors
Robust Financial Performance e.g Dell, Sony)
R&D leading to Innovations Repair and service issues
Distinctive graphical user interface Product Recalls
Ease of use, Customization Patent Infringement
Reliability Steve Jobs
Own operating system
“Windows parallel”
OPPORTUNITIES THREATS
Home Entertainment - Apple TV Strong competitors e.g. Microsoft,
Mobile phone business, Smartphones Sony
Emerging Market e.g BRIC Uncertain Global conditions
Microsoft Media Centre vs Front Row
iPhone vs iPod
Dependence on specific suppliers
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38
50. Threats and Weaknesses
STRENGTHS WEAKNESSES
Strong Brand Image Expensive (compared to competitors
Robust Financial Performance e.g Dell, Sony)
R&D leading to Innovations Repair and service issues
Distinctive graphical user interface Product Recalls
Ease of use, Customization Patent Infringement
Reliability Steve Jobs
Own operating system
“Windows parallel”
OPPORTUNITIES THREATS
Home Entertainment - Apple TV Strong competitors e.g. Microsoft,
Mobile phone business, Smartphones Sony
Emerging Market e.g BRIC Uncertain Global conditions
Microsoft Media Centre vs Front Row
iPhone vs iPod
Dependence on specific suppliers
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38
51. Q: So, why is Apple so
successful?
RETAIL
PRODUCT
LEADERS
STAFF
SERVICE
PROPOSITIONS
52. A: Focus
Marketing
strategy
Technology
Form factor
Customer
focus
Digital world
Sales
channels
53. A: Focus
Marketing Apple’s values
strategy lens
Technology Quality
Simplicit
Form factor y
Innovation Culture
Customer
focus Ease
Digital world Design
Sales
channels THE APPLE DIFFERENCE
58. Oh and one more thing...
An Apple a Day keeps the Doctor
away, so please have some apples on
your way. 43
Hinweis der Redaktion
No black no white
No blood no stain
Flesh ad bones
One real decision
Apple understands product portfolio management. As products mature and become cash cows, new stars are required. E.g. iPod now operates in mature market, i-Phone is the new Star.
The directional product matrix is used to measure the health of the market and Apple&#x2019;s strength within the market vis-a-vis other competitors. Again, we can see when looking at Apples strengths the future shows a general migration to the left (higher business strengths to customers) and growth in computers and mobile phones.
Apple is unique. If you go into an Apple store and they do not think their MACs are right for you they will happy suggest you buy a Windows machine from another store. Apple deliberately targets the Innovators and Early adopters as they have a loyal price insensitive following who acts as advocates for Apple products. As products enter the mature phase, new variants are brought out to appeal to Innovators and Early Adopters whilst the mainstream buy the original product at a lower price.