a brief story of ipod...

1. iPod : Creating An Iconic Brand
HAMZA ŞANDA

2. Product Introduction
 The iPod is a combination portable storing and playing audio files encoded by MP3 or AAC from Apple Computer and
launched in 2001.
 The product line-up includes iPod Classic, the touch screen iPod Touch, the compact iPod Nano and the ultra-compact iPod
Shuffle.
 All iPod models use an extremely small hard disk for storage. Also iPod Shuffle uses a flash memory; unlike the memory found
in computers. This flash memory doesn’t lose its contents when the power is turned off. The storage capacity of all models
has increased over time.
 From 2001 to 2011, it’s reported that Apple have reached 275 mio iPod sales.
 In just first quarter of 2011, more than 19 mio iPods had been sold worldwide and monitized 24,67 billion USD Revenue with
5,99 billion Net Profit.

3. Brand Elements
 Name : iPod
 Slogan : 1000 songs in your pocket
 Character : Silhouette
 URL : http://www.apple.com/ipod/
 Logo : Just Apple logo
 Symbol : brand name itself
 Packaging : Simple and fascinating

4. What is the most important feature of iPod?
 The most important feature of iPod is the easy user interface.
 All iPOD models have an innovative and a simple design with color displays use anti-
aliased graphics and text, with sliding animations.
 All new generation iPods have five buttons, also one is integrated into the click wheel as an
innovation that gives an uncluttered, minimalist interface. The buttons perform basic
functions such as menu, play, pause, next track, and previous track. Other operations, such as
scrolling through menu items and controlling the volume, are performed by using the click
wheel in a rotational manner.
 This smooth and simple appearence ,an iPod gives you incredible performance and
functionality pleasure.
 You can carry all your music, pictures ,videos and movies with iPOD anywhere. And also it’s
very easy to manage library with Apple inovative software, iTunes. The Basic benefits of
iTunes are;
 You can upload your own music
 You can purchase music, movie, apps from the iTunes store
 You can view your music details
 You can create your own playlists
 You can download and store podcasts easily.
 You can link up and update your iPod
 You can share and view other people's music list over a network

5. CBBE Model for iPOD
BEING LOVEMARK
RESONANCE
NISCH, HIGH QUALITY
FUN & FREEDOM
& INOVATIVE
JUDGEMENT FEELING
EASY-to-USE & LARGE COOL & SIMPLE
STORAGE CAPACITY DESIGN
PERFORMANCE IMAGERY
SALIANCE
Digital music player

6. iPod is a Closed System Or a Open System?
 iPod is a “really closed system” with its hardware, software (iTunes), and
distribution of third-party digital market (iTunes Music Store)
 Apple protected the powerty of its brand against its competitors and
imitators.
 With iPods and iTunes, Steve Jobs and his team at Apple have created a
beautifully functional closed system for selling and consuming digital music
and video.
 So that consumers’ perceptions were differentiated as feeling themselves an
exclusive and intimate part of this closed system. So all iPOD members act
like a VIP.
 Also, I know that music and video are going entirely digital. It won’t be long
before CDs and DVDs are obsolete as storage. The new device of choice is
the iPod, which is in the midst of an incredible global boom that is enriching
Apple. The only place you can easily buy material for your iPod, as opposed
to stealing it, is the iTunes online store.

7. Has Apple Done
A Good Job Of Marketing of iPod?
Yes, Apple has done a good job of marketing of iPod.
 The ‘Apple’ name created an association of innovation in people minds.
 Steve Jobs is the main the brand manager of iPod and Apple. His presentations always effects people
 İn 2003, iPOD caught an extreme success with silhouttescommercials.
 In 2004, Apple took wraps off iPod U2 Special Edition, to celebrate the company's promotional partnership with
the legendary rock band U2.
 For making the “iPod” brand more desirable, Apple made celebration with Eminem, Wynton Marsalis, Coldplay and Oprah
Winfrey.
 Also Apple did other associations for creating energetic and stylish brand for iPod with BMW and Ferrari.

8. iPod Distribution Network
 Apple had been in an alliance with Circuit Bay and Best Buy as retail stores for iMac product group. And Apple had always been
obsessed about “beyond the expectations-customer experience” in its stores.
 For this purpose it may be a significant desicion to break these relations apart in 1998 and selling its computer products in its
own stores to create an immense customer experience.
 But when it comes to iPod product category, the simplicity of product and relatively lower customer retail channel
expectations can’t be compared to others product groups.
 Because of that ,it’s a very proper and efficient
desicion to extend distribution networks across
retailers in a wide geography from stores to vending
machines as pointed out in Keller’s casestudy book.
 Apple has 4.000 distribution points for Mac
computers,but had over 21.000 points for the iPod.
As a result of this approach , more than 297 mio
iPods had been sold worldwide by first quarter of
2011.
Question: Apple has extended its distribution network to include large retailers such as Circuit Bay and Best Buy. How important are these outlets to
Apple?Should they be concerned with not having full control over the customer retail experience – control that they have in the apple store?

9. What Should Apple Do To Sustain iPod Sales?
 From now on Apple should continue to improve iPod and iTunes and its inovation series. This would preserve Apple against
competition while maintaining its dominant position in the digital music market. Also iPod should keep focusing on the music
and should use celebrities to present their products to next generations.
 iPod may be a physical product but in the same time recent products of Apple such as Iphone and Ipad already contains iPod as
an application. This is an extremely intelligent strategy that carries iPod to the future.
 Also, Apple should maintain this strategy on the further technology consumer products.
 Other next generation features might be designed such as wireless earphones, 3D screen solutions and IP TV features.

10. iPod:
Creating An Iconic Brand