Marketing Problems Faced by Apple - Essay Example

In the case of Apple marketing holds very great importance because it has not only helped in creating the strong brand image of Apple but has contributed immensely to bridge the gap between the customers and the products offered by Apple. Apple has strong marketing practices but there are indeed some problems associated as well.

The first problem is related to the high innovation rate at Apple. Customers expect innovative products from Apple. But the problem that lies in that the ads made by Apple usually do not provide relevant information about the innovations that have taken place. The ads project the product but do not project its essence and history or information. Customers know that the company is providing fancy and expensive products and are lost in the charm of owning such products. Most of the customers are least concerned about what the product is all about. But some customers want to know every detail of the product. So, this poses a challenge for Apple to come up with a marketing strategy that could satisfy both types of consumers. It causes a problem because Apple cannot afford to lose anyone segment just because of the risky marketing.

Another marketing-related problem faced by Apple is again regarding the new products. Customers expect that every marketing campaign will focus on a new product because the rate of innovation at Apple is high. For Apple, it is very difficult to keep up with the customers’ expectations and come up with innovative products and marketing campaigns at the same time. Failing to do so can tarnish the image of the brand.

The third marketing-related problem faced by Apple is its undefined target market. As mentioned before, Apple first innovates and then focuses on the target market for its products. To so it uses its marketing practices. An inefficient marketing campaign fails and creates a huge problem for the company. Marketing is not a cheap game. It requires a lot of resources. Its ads need to target the desired market segment.

Marketing practices at Apple are not just related to ads and online advertising. It also includes opening up retail stores in different parts of the world. Managing this practice is in itself a problem. Apple is critical of its marketing practice because it is afraid that what if the marketed product does not meet the customers’ expectations. This means that the marketing showed a different side of the product but in actual the product was different. Apple’s marketing practices create hype for its products and at times it causes a problem for the company. An example that can be quoted here is the iPhone. When it was launched, it was heavily promoted, resulting in long customer lines and a spot shortage. iPhone was initially very expensive but after the first 8 weeks of its launch, the company decreased the price of the iPhone by $200. Loyal customers of Apple were caught short and this damaged customer loyalty. To regain its customers Apple had to apologize publically (HARVARD BUSINESS SCHOOL 2007)

The last and the most important marketing-related problem faced by Apple is that of comparative advertising. Apple operates in a highly competitive industry. Since the very beginning, Microsoft has been the largest competitor of Apple. Microsoft was the first to come up with comparative advertising (BUSINESS INSIDER 2009) Its ads used to directly hit Apple (SOFTPEDIA 2008) In such a scenario Apple had to take defensive measures and it also started doing comparative advertising. The marketing practice became more like an advertising battle that was being fought between Microsoft and Apple. This further created a problem for Apple because it had to deviate from its original marketing plan to hold its position against its competitors especially Microsoft. Apple still faces the same problem of comparative advertising (SOFTPEDIA 2008) Rather than focusing its marketing efforts on its products and innovations, now Apple has to also focus its efforts on the anti-Apple ads made by the competitors. This has resulted in increased marketing costs. Apple not only has to come with comparative advertising to answer its rivals but also has to come up with marketing campaigns that solely focus on the products as well (SOFTPEDIA 2008) This also creates a problem because the comparative marketing done by the rivals affects the brand image of Apple. Apple has to face the huge problem of maintaining its brand image through its product offerings and also marketing efforts.

Though Apple faces some grave marketing-related problems its marketing efforts are commendable. It tries to face and tackle these problems with vigor and strong teamwork. Apple has always tried to meet the customers’ expectations. Even if the company has to apologize publically like in the case of the launch of the iPhone, it does not hesitate a bit. It takes full responsibility for its actions and tries its level best to take corrective measures at any step of its marketing practices. Apple faces a problem of increasing costs because it operates in the recession-hit world and this affects its marketing costs as well (FORBES 2009). Lesser profits mean that there will be a smaller marketing budget.