Marketing Plan for IPod Introduction The iPod is a device manufactured by Apple Inc that has taken the market by storm. Though critics were fast to describe the product as not so useful to consumers, its success in the market has proven them wrong. The device is mainly used to listen to music and support internet connections allowing users to download their favorite music and literature. Furthermore, it has an internal storage memory enabling users to save up to thousands of their favorite songs and literatures for future uses. The product has now been in the market for roughly ten years and its impacts are not just about to be extinguished soon. Situation Analysis The iPod is in the MP3 Player industry which has become more competitive as more operators flock into the market in efforts to thwart the success recorded by iPod so far. The market is influenced by both internal and external factors which greatly determine the level of activity for the operators. The iPod has already attained the maturity stage in the product life cycle hypothesis and it is up to the management to initiate product developments to differentiate it from competing players which the company has already done. Its massive resources as a multinational should be used to sustain operations as competition has increased in the market. It is also important they also increase the level of their marketing activities (Apple: The Next Waves of Growth, 2009). The external situation is also changing fast. Competitors have been trying to match the level of innovation in the iPod. This turn of events has heightened the degree of competition in the industry. Apple Inc needs to adopt a market leader position for it to effectively protect its market shares and the number one position it has attained. The globalization of economies has also been responsible for its success in the market by providing immense opportunities for the company to increase its market share. In terms of demographics, the company has yet to capitalize on the huge potential that is in the market. The major consumers are youths between the ages of 12 and 35 who also form the majority in the population. With the increasing levels of internet penetration even into the population of older individuals, additional opportunities are being provided for the company to expand its market share. Opportunities The following opportunities have been presented in the market. The marketing of the iPod has to strive to capitalize on these opportunities.
Apple Inc, the iPod manufacturing company, is a multinational with huge resources that can finance various initiatives in the market especially right now that the needs for extensive marketing as well as product developments have been created. The company has also created consumer loyalty in the market owing to its previous products that had been innovative and very successful in the market (DATAMONITOR: Apple Inc., 2010). The consumers will easily transfer this loyalty to the iPod. The population growth rate especially in the youthful market is increasing at an alarming rate which provides huge market for the product. This is also the situation with the increasing levels of technological adoption in the population by many individuals. The situation has been further aided by the breaking down of barriers to international trade. Threats There are also a number of threats in the market that have been identified and that need to be watched keenly. First is the threat of loss of market share to the new market entrants. In the recent past, there has been an increasing trend of new market entries increasing the levels of competition to the product. This is further worsened by the emergence of imitators that could misrepresent to the loyal consumers and much worse dent iPod’s image when the consumers purchase these counterfeit products. The price strategy that has been relied on in the marketing of iPod does not augur well with the targeted market. With its...
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