Marketing Strategy Analysis

Apple Inc. iPhone

Christine Yang

Apple Marketing Strategies

Apple rank #1 as the most admired company by Fortune. Marketing mix and market segmentation. High secrecy. Creating innovative products and services aligned with a digital hub strategy, whereby Apple computer function as the digital hub for digital devices. Apple fully understands that all aspects of the customer experience are important and that all brand touch points must reinforce the Apple brand. Advertisement designed to reflect their products to creative individuals.

IiPhone
Apple released the 1st generation iPhone on June 29, 2007. Rumor of 5th generation iPhone to be release in Summer, 2011.

Prices
1st generation 4G iPhone $499, 8G iPhone $599. Current iPhone 4 16G $199, 32G $299 with two year contract. iPhone 3GS still available at AT&T for $49 with two year contract.

Features
3.5 inch touch display. Digital camera. Web browsing. Phone. E-mail . Game center. Ipod MP3 player.

Additional Current iPhone Features

High Definition Video Recording and Editing. Dual camera. Video phone. Multitasking. Retina Display.

Marketing Strategies
Target Market:

Primary customer targets is the middle-upper income professional to coordinate their busy schedules and communicate with colleagues, friends and family. Secondary consumer targets are high school, college and graduate students who need one portable multifunction device.

Marketing Strategies
iPhone Strategies: Brand Awareness. Ease-of-use. Compatibility with iTunes and Mac/Apple Products for upgradeability. Secrecy prior to new product launch. Promoted as both professional and hip.

Market Shares and Profits

17.25% of smart phone market. 4.2% of phone market. 51% share of overall phone market profits. 22% share of overall phone revenues.

*fourth quarter of 2010

Competitions
Smartphone Shares Android 33% Blackberry 28.9% iPhone 25.% Windows 7.7% Others 5%
*comScore between November 2010 and February 2011

Conclusion
Due to their secrecy, innovation, branding and product to product connectivity and compatibility, iPhone is the most sought after mobile device and is the market leader in the mobile market.