Apple’s Marketing Mix

Product

Perhaps one of the most successful products that Apple has created is the iPhone, spanning 8 generations of phones; constantly updating and changing to stay in tune with what the consumer wants.1

(Picture – The development of Apple iPhones through the different generations. [1])

The 1st generation was a one of a kind product supplying us with access to not just a phone; but a web browser, a camera, a iPod, a movie screen, a map, 4GB/8GB storage and all inside one widescreen touch hand-held device. [2]

The photo below perfectly highlights how on the mark Apple have been while adapting this product. The use of new software giving advances in screen resolution and colour. The storage capacity and newer features such as Apple Music and Siri, means the adaptability of the phone can be to pretty much anyone’s taste and liking.


 

Price

Unique items at a premium price, contains software that is expensive but therefore makes the product easier to use. Apple never fluctuates from their prices as it wants to be seem as the high priced niche phone that is worth paying for.

Apple has continued to up their prices, with new advancement in technology and design. In some ways they are taking a gamble with increasing the price when the newest product gets released. But people are still buying, so therefore Apple will continue to up their prices.

2 new

Apple product against there prices from 2011 (Picture -[3]), Since then prices for the iPhone and iPad have increased, with the new iPhone X being nearly double the price of the iPhone here.


Place

Apple opened its first retail store in 2001. Since then there have been multiple well established Apple stores around the world in major cities, containing a way to view/interact with their products before you buy.

3

(Picture- Busy Apple Store in Hong Kong, with customers interacting with products. [4])

All Apple stores follow a similar theme with a ceiling to floor glass exterior and large iconic Apple signs. Spacious environment with lots of tables displaying all products and less clutter so customer can focus on the products being displayed.


Promotion

Students seem to get some of the best deals with Apple, like this one above: ‘buy a Mac, you get a free iPod’. This all comes from Apple’s ‘back to school’ promo. This promo first started in 2006 in the USA, and first offered ‘a rebate up to $179 on 2GB iPod Nano when purchased with Mac’.

4

( Picture – [5] ‘back to school’ promo 2008 advertisement.)

The offer for students lasts 2 months prior to college starting and in this years offer was $100 gift card for the Apple store with the purchase of a Mac. This is a great way to target people involved in a studying as technology has revolutionised the way we study.


People

Apple has a very large following, with a lot of technical staff committed to the Genius bar. Apple wants people to be happy with their products and a commitment to the Genius bar means they can speed up the downtime of a product from a consumer.

5

( Picture – [6] Apple’s Genius bar, showing ample desks so less waiting around for a genius to help).

Apple is the first to operate a Genius bar, which is a friendly way for customers to connect with Apple’s support, where users feel supported and takes away the hassle of sending it away.


Process

One of the first stages of the marketing process for Apple products is to hold a conference or keynote event whereby they first address new products and features in a lengthy speech. Apple has long by stood by it’s secrecy policy which helps with creating a buzz about an upcoming project, it tends to keep the consumers still buying the latest product before the bigger and better looking version is released and also doesn’t give the competition enough time to create a product to compete. This is an important part of the marketing process because Apple have found a unique way to drive the products forward.

6

(Screenshot of Youtube video about summary of keynotes September 2017 in 12 minutes. [7]).


Physical Evidence

The iPhone and iPad accounted for almost 70 percent of revenue for Apple in 2013 as oppose to only 13 percent for Macs (see image below). This shows the real drive to focus on their more successful products.

7

(Graph- Pie chart of revenue from Apple products. [8])

Apple has established an amazing marketing strategy with the iPhone, with its constant turnover of new generations. A research study from GFK in 2011 showed that 84% of iPhone owners plan to purchase another Apple handset when they replace their cellphone, with many people say saying the iOS system is a main reason for the upgrade.[8]


Referencing

1 http://www.mac-history.net/top/2011-01-24/the-history-of-the-apple-macintosh

2 https://www.apple.com/uk/newsroom/2007/01/09Apple-Reinvents-the-Phone-with-iPhone/

3 https://www.macrumors.com/2011/01/03/apple-bumps-uk-prices-as-vat-rises/

4 photo credit pixaby.com

5 https://www.tekrevue.com/apple-back-to-school-history/

6 https://www.cultofmac.com/175120/is-apples-genius-bar-the-future-of-the-corporate-help-desk

7 https://www.youtube.com/watch?v=Qhmx64wR1YI

8 http://marketrealist.com/2014/02/ecosystem/

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