MARKETING MIX FOR THE IPHONE
The IPhone is an amazing gadget made by Apple. When you get an IPhone you will not want to use any other phone. It is a phone, computer, and MP3 player all wrapped up in one little small package. Steve Jobs believed that cell phones were going become important devices for portable information. The original IPhone came out in January 9, 2007. Steve Jobs presented one of the most incredible presentations of his life, “a life filled with incredible keynotes” and in the history of consumer electronics. It was hard to believe that this extraordinarily device could be used as a full featured phone and a media player. When Apple raised the bar they not only created the IPhone, they also created the IPod and the IPad. The list goes on and on. What it boils down to is that no other phone company can beat Apple. The down side of that is that the IPhone wasn’t universally adored. But that didn’t matter because Apple wasn’t making a phone that was smart they had made a PC that could make calls. By June of 2008, the original IPhone was discontinued. But by then the sale of the IPhone had reached over 6 million units.
These days everyone is looking for the newest gadget when it comes to cell phones. Apple really has a lot to offer when it comes to cell phones. And ever if your are not looking for a cell phone your could get the IPod or the IPad. The list goes on and on. Apple is considered one of the number one cell phone companies.
Pricing is one of the elements in the marketing mix. Pricing is important strategy because of its relationship with the product positioning. Apple’s products have always been designed to be ahead of other companies. Apple CEO Tim Cook told Bloomberg Business Week “we never had an objective to sell a low cost phone. The primary objective was to sell a great phone and provide a great experience. Apple used Steve Jobs 4 pillar strategy for the IPhone:
*Offer a small number of products.
*Focus on the high end.
*Give priority to profits over market shares.
*Create a halo effect for new products.
Apple uses a retail strategy called “minimum advertising” or (MAP). MAP’s policy prohibits resellers or dealers from advertising a manufacturer’s products below a certain minimum price. This pricing strategy is effective and it prevents retailers from competing directly with Apple’s own stores.
Production is another part of the marketing strategy. Production is a great strategy to always make winning moves. This is what Apple continues to do with their product. Apple knows the core benefits of their products. For example, when Apple produced the IPhone customers knew that they weren’t just getting a cell phone they we’re getting a personal PC, MP3 Player, and a gaming system all wrapped up in one tiny little gadget called the IPhone. Apple added all the bells and whistles to the IPhone so they would be different than their competitors we’re offering. When placing a product on the market many factors have to be taken into consideration. For example, will the design be the selling point? Quality has to be consistent with all the other elements of the marketing mix. The features that Apple adds to each new gadget will benefit the target market. One of the most important decisions a marketing manager can make is the brand. Brand has the power of instant sales. And Apple conveys this message of confidence, quality, and reliability.
Place or placement decisions are those associated with channels of distribution that serves as the means for getting the product to the target customers. Distribution decisions include market coverage, channel member selection, logistics, and levels of service. Placement clarifies where a product will be sold. Will the product be sold by retailers? Will it be sold through the internet? Companies have to determine if the product is suited for the...
References: Internet Source: Learnmarket.net
Internet Source: TechCrunch.com
Wikipedia: November 2013
Internet Source: Ritchie, Rene Editor-in-Chief iMore, History of Apple.
Block, Ryan (Engadget)
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