Apples Current Competitive Position, Marketing Strategy - Research Paper Example

Marketing Research: Apple Inc Analyze the company’s current competitive position, marketing strategy and marketing mix Source: www.forbes.com Competitive position Apple’s competitive position is vested in its unique control over hardware and software. This is because the next generation is geared towards the the mentioned ecosystems in terms of products, technology and internet based usage, and customer orientation. For instance, Apple has partnered with IBM in spreading Apple-based apps into the corporate market because most companies rely on smart phones and tablets to carry out field operations and access the internet. Through such an initiative which is expected to be launched by mid 2015, Apple has a competitive advantage since it currently has more market shares than the Google Android in the enterprise market. In fact, most research findings prove that Apple’s competitive advantage is in its ecosystem and not just the hardware and software prowess. Marketing strategy Apple use Exclusivity Technique which works by making the selected customer subset feel like kings due to the premium offers it gives. Through this strategy, Apple has been in a position to create and sustain a unique customer relationship while reducing marketing costs at the same time. To make it effective, Apple deliberately restricted the flow of most of its products more so iPhone and tablets to a number of mobile phone providers and customers. Marketing mix While most firms use the marketing mix concept on the seller perspective, Apple applies it from the buyer’s perspective. This means that the company aims at delivery quality to ensure customer satisfaction, offer long-term solutions to customers, create what customers imagine and ensure convenience. Apple’s marketing mix is incorporated in the five Ps: Price, Place, Product, Promotion, and People. 2. Analyze the company’s current IMC and advertising strategies. An integrated marketing communication approach is relied upon by the company to help it in achieving objectives linked to the marketing campaign by using a variety of promotional methods (Wernick p.34). The main components of IMC strategy are advertising, public relations, personal selling, and sales promotion Apple Inc. puts a lot of emphasis on Research and Development (R&D) and marketing communication strategies. It does all these to make sure there is brand loyalty among customers who derive satisfaction from the Apple Inc. products. In a unique way, though one of the largest companies in the world, it has managed to run as a small company, which is the best strategy in surviving through difficult times. To make sure this is effective, the company relies on small but capable firms and shifts Brand Focus Apple where it capitalizes on the Minimalist approach to its design in products and shields itself using the brand image to communicate its strategy. By being strict and paying attention to every little detail has made the company thrive in the competitive market. The mentioned strategies applied by Apple Inc. are evident in consumer experience at all critical moments: products, shopping in Apple stores, and online. 3. Consumer and market trends impacting the market place for this company Emerging trends in the market that have a direct effect on the company’s market place are discussed below. Industry consolidation This is situation where large companies acquire other companies to come up with new entities. Fr instance, companies that sell hardware and software products are being acquired by big mobile tech companies like Apple, which has acquired more than 61% of hardware companies that manufacture Apple iPad. This is an indicator that Apple Inc. has a competitive edge in the market place because it has access to the vital competitor technology and will always stay ahead. Decline of the commission system The commission system gave power to crafters since they could decide on who to give by-products. Its decline gave most tech companies the ability to engage in open trade businesses. A good example is the android operating system that is used by most mobile tech companies. This is a real blow to Apple Inc. which uses an independent operating system because the android OS has widespread recognition in the market. Changes resulting from new media Technology keeps changing due to increased customer expectation and orientation in the business world. This means that companies have to keep on changing and improving on their innovations. For instance, ‘selfies’ has brought a new change in the way people take pictures of themselves. This means that companies have to come up with devices that have front camera. Economic downturn 4. Objectives of advertising campaign Apple Inc. has one of the best advertising campaigns in the world. The objectives of its campaign are as discussed below. Continuity Though a big company, Apple Inc. operates like a small company. Through its advert campaign ‘Think Differently’ because it aims at keeping loyal customers glued to their products. It does this by continuously coming up with new developments and giving offers to such customers. Brand switching There are many mobile-tech companies that are competing with Apple Inc. for the same potential market. Through advertising campaigns, the company attracts customers who are relying on Apple competitors for services to use Apple products. Demonstrating a product Apple Inc. advertises most of its products because it is a good opportunity to demonstrate how effective the product is. Through the short and summarized advert, customers can get a clue of how easy it is to use Apple Inc. product and thus minimize consultation. It also attracts customers to try out the product because of the attached coolness. Source: www.forbes.com a. Rationale The campaign through the photograph above was used by Appl Inc. to capacitate people with endless capabilities to imagine and re-invent themselves in a different way. The company aims at making sure all its products get a unique perspective; something uncommon in the whole world. True to its word, the company has thought differently, in a unique and creative way that has left everyone wondering how and when they managed to do it. All its devices have created a whole new experience into people’s lives since are a satisfaction and offer valid life solutions. b. Specific considerations Customer needs The campaign aimed at incorporating all the needs that customers look for in a product. Major examples of needs are biogenic, psychogenic (need for status, power, and affiliation), utilitarian (tangible attributes), and hedonic needs (needs for excitement, self-confidence, fantasy). With all the needs merged together, the advert categorically aligns customers to ‘think differently’ in accordance to what apple devices offer. Markets Apple Inc. is a multinational company with its markets well established in developed countries. However, it has potential markets in developing countries. The international campaign ‘think differently’ incorporates everyone the world without showing discrimination in terms of race, gender, economic development, and behavior. Such a consideration is essential when making international campaigns to ensure that people do not feel offended or a product being rejected. Brand Apple Inc. is a strong brand associated with quality, stature, and other best features in the world. Using the brand assumption in making the advert s evident in the Apple’s Logo is another major focus. Each time people see an Apple, apart from a fruit, it will be the Apple Inc. on their minds. c. The creative process The creative process model has five steps. These were effectively used in coming up with the advertising campaign. The steps are preparation, incubation, illumination, evaluation, and implementation. Preparation entails gathering and understanding the basis of the research and information that can solve the intended problem. Incubation is when an idea is constructed. It entails adapting the idea as a result of something. The advertisement campaigns were adapted from the fact that people had need solutions for their problems and probably they should know Apple if they have to find a solution because ‘A’ is the first letter in the alphabetical chart. Illumination requires lots of imagination to determine how best the ideas can co-relate without conflicting with social norms. Illumination is like the light to the solution and the real idea behind the concept. Evaluation is looking at the possible solutions to the idea, identifying the possible risks associated with each solution and the ease of execution as well as conformance to the objectives. Implementation is the execution of the idea by creating the advert and making it accessible to the intended markets. d. Practical and tactical considerations To chose a media platform on which the advert campaign will be run onto and the budgetary considerations, it is important that the following considerations must be observed. Company goals Adverts cannot be made on every media platform. Apple has unique business goals and can only advertise with companies that have the same motive. Media platforms that can be of great use are television stations, social media platforms like Face Book, websites, and institutions. Key trends There is an increased tendency in customer focus in terms of technology orientation and perceived interests. This means that all brands in the market are committed to ensure that all thir products are advertised on digital platforms. The budgetary considerations will also depend on the trends so as to camouflage with existing issues. Works cited Siltanen Rob. The Real Story Behind Apple’s ‘Think Different’ Campaign. Forbes.com. Dec 14, 2011. Web. Wernick, Andrew. Promotional culture: Advertising, ideology and symbolic expression. Sage Publications, Inc, 2011. Read More