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Product Introduction
The iPod is a combination portable storing and playing audio files encoded by MP3 or AAC from Apple Computer and launched in 2001. The product line-up includes iPod Classic, the touch screen iPod Touch, the compact iPod Nano and the ultra-compact iPod Shuffle. All iPod models use an extremely small hard disk for storage. Also iPod Shuffle uses a flash memory; unlike the memory found in computers. This flash memory doesnt lose its contents when the power is turned off. The storage capacity of all models has increased over time. From 2001 to 2011, its reported that Apple have reached 275 mio iPod sales. In just first quarter of 2011, more than 19 mio iPods had been sold worldwide and monitized 24,67 billion USD Revenue with 5,99 billion Net Profit.
Brand Elements
Name
Slogan Character
: iPod
: 1000 songs in your pocket : Silhouette
URL
Logo Symbol Packaging
: http://www.apple.com/ipod/
: Just Apple logo : brand name itself : Simple and fascinating
You can carry all your music, pictures ,videos and movies with iPOD anywhere. And also its very easy to manage library with Apple inovative software, iTunes. The Basic benefits of iTunes are;
You can upload your own music You can purchase music, movie, apps from the iTunes store You can view your music details You can create your own playlists You can download and store podcasts easily. You can link up and update your iPod You can share and view other people's music list over a network
BEING LOVEMARK
RESONANCE
JUDGEMENT
FEELING
PERFORMANCE
IMAGERY
SALIANCE
Digital music player
With iPods and iTunes, Steve Jobs and his team at Apple have created a beautifully functional closed system for selling and consuming digital music and video.
So that consumers perceptions were differentiated as feeling themselves an exclusive and intimate part of this closed system. So all iPOD members act like a VIP.
Also, I know that music and video are going entirely digital. It wont be long before CDs and DVDs are obsolete as storage. The new device of choice is the iPod, which is in the midst of an incredible global boom that is enriching Apple. The only place you can easily buy material for your iPod, as opposed to stealing it, is the iTunes online store.
Also Apple did other associations for creating energetic and stylish brand for iPod with BMW and Ferrari.
But when it comes to iPod product category, the simplicity of product and relatively lower customer retail channel expectations cant be compared to others product groups.
Because of that ,its a very proper and efficient desicion to extend distribution networks across retailers in a wide geography from stores to vending machines as pointed out in Kellers casestudy book. Apple has 4.000 distribution points for Mac computers,but had over 21.000 points for the iPod. As a result of this approach , more than 297 mio iPods had been sold worldwide by first quarter of 2011.
Question: Apple has extended its distribution network to include large retailers such as Circuit Bay and Best Buy. How important are these outlets to Apple?Should they be concerned with not having full control over the customer retail experience control that they have in the apple store?