Apple Inc Marketing Strategy

Question: Discuss about the Apple Inc Marketing Strategy. Answer: Introduction The consumer good provider selected for this discussion is Apple Inc. Apple Inc. is an American public company that specializes in production of high technologically integrated products. The Company was established in 1976 by the US government informed by the increasing needs and diversified means of communication and to date, Apple company remains one of the vital contributors to US economy with respect to its funding capability. Apple provides a range of items and services the company gives to consumers in various market segments such iPhones products, iPods, iPads, MacAir, MacBook, Apple laptops and desktops, Apple TVs as well as guarantee services and proper packaging are all attributable to combined efforts of the Companys workforce. The Company is also engaged in a variety of stock exchange portfolios such as financial securities as Company shares, debentures and traded bonds. The ticker tape, AAPL: NASDAQ GS drives the Company financial and exchange markets with the highest stock price noted in February 18th 2014 at 555.19 billion dollars. Apples has shown tremendous success save to its marketing strategy as analyzed below. Analysis of Apples Marketing Concept The product strategy remains at the core Apples marketing strategy. This strategy has become a sustained competitive edge of the company. The strategys flagship products include MacBook, iTunes, iPod, iPhone and iPad. These products have been successful because they are user friendly alongside being highly intuitive compared to their rivals. The products are also unassuming because of their simple as well as uniform design and built. Besides this simplicity, the above products offer a premium user experience via innovative features and design considerations. The apple products have outcompeted their predecessors alongside counterparts since they offer an innovative and distinct overall product usability along with consumer experience. The product strategy embraces a retroactive and proactive approach (Sutherland 2012). Apple essentially develops such products on the basis of the prevailing rivals products but improves these products through the removal of undesirable qualities as well as via the integration of differentiating features. Accordingly, the resulting products remain those that appear newfangled and innovative but are still recognizable or similar. The far-reaching but controlled Apples product portfolio establishes a uniform and distinct product usability along with consumer experience. An iPhone or iPod would be incomplete without have been paired with App Store or an iTunes. The bottom line here is that Apple creates and sustain brand loyalty via complementary products. Apple uses a sleek metal-based aesthetics of a MacBook to signal a sense of uniformity when utilized together with iPhone. The user interface of such consumer electronic gadgets further employs the same design and functional principles revolving around simplicity hence creating a robust sense of familiarity. A given user of Apple gadgets has the advantage of Apples homogeneity via Apple ID. This ID remains an all-access account that permits users to manage respective digital identity, devices and files preferences across various devices hence permitting transition. Apple products establish a halo effect. Since individual product complements another one, consumers would select to stick with Apple brand instead of purchasing different products from various manufacturers and establish a hodgepodge of differing product along with consumer experience. Taking into account the fact that Apple owns a large pool of loyal customers, the buyers tend to purchase all products under Apple brand. Such a halo effect besides deep brand loyalty complements sales performance of individual Apple product. The development along with promotion of complementary services and services are irrefutably integral part of Apples successful marketing strategy. With relevant and iconic products together with industry established and tenure branding, Apple presently enjoys legions of loyal buyers that analogous to fandoms of famous celebrity. Selling concept Apples products remain comparatively expensive to other similar products from the rivals. Apples iPhone, for example, doubles the flagship Android smartphones of rival manufacturers. This is also true for MacBook air and MacBook Pro. For example a single Apples MacBook laptop might even purchase 3 to 5 OEMs Windows-based laptops. However, Apple integrates premium pricing strategy into its mainstream marketing strategy. The premium approach has assisted Apple to promote and maintain desirable perception among Apples loyal consumers. Apple exploits the belief among many consumers that expensive products enjoy extraordinary reputation or denote incomparable distinction and quality. Accordingly, the Companys products are positioned and sold as superior over rivals products via pricing strategy. Apple further exploits the consideration that luxury products enjoy a psychological linkage with premium pricing. Apple products undeniably remain luxury goods save to their high price points. Moreover, consumers of such goods are more than willing to pay additional amount to maintain a sense of status symbol or indulgence (Kim and Mauborgne 2014). Self-evident reasons exist to believe that Apple does not merely exploit their available consumers base or Apples target luxury market. Apples integral strategy is to offer a premium user experience via its product design considerations. An iPhone for instance unlike other rival Android smartphones with inferior built quality because of its plastic components, Apple has designed and subsequently built its products utilizing materials to encompass aluminum and glass. In this, the Company is able to enjoy more market share translating into more sales volumes than rivals. Marketing concept Apple Inc. has employed a distinct marketing and advertising strategy for the iPhone. Despite the iPhones record-breaking sales performance along with a high level of popularity, Apple has avoided any extensive marketing strategy for the iPhone. The Company only uses pricing and product strategies alongside the publicities coursed via media relations and tradeshows. Apple has succeeded in the sales of marketing despite the minimal advertising budget for its iPhone. Moreover, Apple has never advertised iPhone via print and broadcast media but occasionally generates contents for social media and online distribution. Apple delivers advertising messages linked to iPhone via various traditional medium for traditional media consumers (Graham 2013). Apple has done this cleverly and saved on advertisement cost since these messages are created and paid for by network carriers. Upon arrival of any new iteration to the series of iPhone, Apple allows the ever eager network carriers to announce to their prevailing consumer base along with target market. These network carriers announce to these audience that they are offering already the iPhone under various service plans. Even though it appears that the network carriers are doing Apple a favor, the network carriers are also marketing themselves via the iPhone. In the process, both Apple and network carriers benefit big time as target market and customers are lured towards network carriers data and mobile services. Apple ensures effectiveness of this arrangement by maintaining stringent branding lines which necessarily dictate the way in which these carriers undertake the development and implementation of their advertisement. Apple does this to make sure it maintains and protects its brand as well as promote uniformity in its created marketing message. The ads for iPhone look virtually the even despite coming from various advertisers (Cruikshank 2013). This uniqueness of iPhone advertising and marketing situation indicates the overall marketing strategy effectiveness of Apple that primarily centers on pricing and product strategies. Accordingly, iPhone has remained highly valuable due to its popularity which trigger network carriers to advertise that they already have it to capital on its success. Conclusion Apples marketing strategy is a combination of in-store displays, marketing argents and online marketing (Amit and Zott 2012). The company finds the use of In-store display and Online marketing much more important as the duo allows consumers to make purchase free of will without compulsion. Apples marketing mix include release of quality product, fair pricing, strategic location at the companys headquarters, promotional through special discount offers on refurbished products and a one year warranty, using Physical evidences like its website https://www.apple.com for easy location and processes such as converting new customers and securing their loyalty by emphasizing on customer servicing leading to remarkable success . References Amit, R. and Zott, C., 2012. Creating value through business model innovation. MIT Sloan Management Review, 53(3), p.41. Cruikshank, J., 2013. The Apple way. McGraw-Hill Professional. Graham, H., 2013. Marketing strategy and competitive positioning. Pearson Education India. Kim, W.C. and Mauborgne, R., 2014. Blue ocean strategy, expanded edition: How to create uncontested market space and make the competition irrelevant. Harvard business review Press. Sutherland, A., 2012. The story of Apple. New York: Rosen Central. Press.