Developing Products And brands
INTRODUCTION TO APPLE
Apple Computer Inc was founded by Steve Woznaik and Steve Jobs in April 1976. In 1984, Apple established the position of innovators in industrial design after the introduction of Macintosh line of computers which were renowned for their spontaneous ease of use. It designs, manufactures, markets personal computers, peripherals, software, focusing on lower costs and designing unique computers such as Power Macintosh models and iMac.
In 1976, Woznaik started working on Apple I computer which did not have keyboard nor power supply. To start the company, Woznaik and Jobs had to sell their most valuable possessions, two calculators and van by which they raised $1300.. This was the beginning of a successful journey for Apple. A start to innovative and attractive products that would wow customers and give them a reason to become loyal. Today, Apple is a large successful electronic brand in the market, with a current market value of about $300 Billion.
The reason behind Apples success and popularity worldwide is attached to the fact that it has been able to study consumer requirements and has been successful enough to incorporate these requirements into their products. Consumers are likely to go out and buy a product that will fully satisfy their needs. If this is met, consumers will be willing to pay a high price. Apple’s use of intellectual marketing skills has also been a big reason for their success. Hard work and commitment was an important element in their growth and is what has made them where they are at today, occupying a large market share and catering for a large fan group.
Apple Inc is now one of the most popular electronics brand sold globally. The extent of its products creativity, uniqueness, functionality and style is a great explanation for its success. The five product levels that can be applied to Apple’s new iPhone 4s are core benefit, which is the satisfaction of a basic need. In this case the iPhone 4s being a communication device. Secondly, the generic level which is concerned with the development of the product, the IOS 5 which is an interactive operating software. Thirdly, the expected product linked to the minimum expectations of the consumers. Fourthly, the augmented product level includes extra added benefits of the product. For instance: “siri” which is like a personal assistant, recognizes voices and is capable of having a normal conversation with the user. Lastly, potential level, which envisions improvements of the product in the coming years in order to retains its differentiation. Apple products can be easily incorporated with the product life cycle. Starting with development stage, which is the process of carrying out market research to develop a new product or developing an old version to a newer one. Introduction is when the product is in the launching stage. Advertising and promotional expenses are largely incurred and a very low rate of return is generated. The growth stage is associated with the rapid acceptance of the product, high demand and growing profits. Maturity is the slow down on sales and the declining of profits. Lastly, the decline is when the market experiences a downturn either because of a newer product introduced or due to changes in consumer preferences. Apple iPhone 4s is now in the growth stage of the PLC. Applying Doyle’s theory to one of Apple’s most successful product, the iPhone 4, all the four criterions of a strong brand are met. The iPhone 4 delivers a strong consumer proposition, as it is packed with relatively attractive functions that are likely to capture consumers. It is also integrated with other assets, in the sense that it can be used in conjunction with a PC or a Mac in order to download iTunes and thus manage and organize personal music. The iPhone 4 was introduced in a very attractive market, where people eagerly queued outside the Apple store in June 2010 on the...
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