Assignment 2

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Assignment 2.

LO2 Compare ways in which organisations use elements of the marketing mix
(7Ps) to achieve overall business objectives
LO3 Develop and evaluate a basic marketing plan.
L02. I choose Apple as the main company, in comparison with Samsung. Apple
and Samsung are strong competitors in the information technology business.
While Apple is valued for its unique design and is worshiped because of its
connection with Steve Jobs, creating a strong customer base who are loyal to the
Apple products and who are anxious to form a queue in front of the Apple Store
when new products are launched, Samsung bases its strategy on powerful
marketing campaigns and aggressive marketing plans. Samsung is known for its
expensive advertising campaigns with a high impact for the customers. Mostly, its
aggressive marketing strategies helped the company gain the popularity it has
today. Samsung came on the market with lower prices than the competition for
equal specifications of their products. Samsung phones, tablets or smartwatches
are attracting technology passionates all over the world, by offering an easy
customization of the devices, features that are innovative and a great number of
technical options. Samsung risked by using comparative advertising by designing
and ad where the features of the Galaxy S3 were compared to the ones of iPhone
5. The result was successful and the attacks to the Apple Company didn’t stop
here.
 Product Mix
The product mix of the Apple company includes products and services that
can be classified as information technology or that it involves it somehow. Apple’s
products and services are the following:
-iPhone
-iPad
-iPod
-Mac
-Apple Watch
-Apple TV
-Accessories
-Digital content
-Software
-Cloud services.
This marketing mix element demonstrates that the company is operating in
the consumer electronics products area.
 Place or Distribution of Apple Inc’s
The company distributes their products in their own company-owned
location and also to the other sellers that are authorized to ensure the
distribution of the Apple’s products:
-Apple Store locations
-Company-owned website and online stores for desktop and mobile
-Authorized sellers
-Telecommunications companies.
 The marketing communications mix
The Apple company accentuates the image of a premium brand and the
premium quality that their products have. Regarding communication strategies,
Apple is using the following:
-Promotion sales
-Advertising
-Public relations
-Personal selling.

Examples of advertising that the company uses: ads on the technology


news websites, ads that are present on the digital advertising platform of Google
and several contracts with well-known websites that promote and advertise the
Apple products.

 Prices and Pricing Strategies


Apple Inc. makes use of the following strategies involving pricing:
-Premium pricing strategy that refers to their sale of the products at a
premium price. This strategy requires setting high prices to their products and the
Premium pricing helps the company to maximize their profits. Their goal is to
combine premium branding with premium pricing in order to create innovation.
This combination creates competiveness which is a great thing for the customers.
-Freemium pricing strategy refers to the fact that some of the Apple’s
services are free, but it the customer want to access more he has to pay for better
features. For example: the iCloud storage has a free 5 gigabyte limit.
LO3.
1. Target Customers. The segment of the customers addressed is the young
customers with medium and small incomes. We want them to enjoy the
Apple products as well by designing a category of products (for example:
smartphones) just for them.
2. Unique Selling Proposition.
We know you love the Apple since Adam and Eve. Now is almost free!
3. Pricing and Positioning Strategy
Even if we want to attract young people with smaller incomes, we don’t
offer Apple products at a too small price like Samsung does. 500 euro could
be an attractive iPhone similar to the high end ones. We don’t want to lose
the association with the premium pricing.
4. Distribution plan
These products will be available in the Apple stores, as well as at the
retailers and on websites.
5. Offers
Our offer package will contain some free discount at a future purchase in
the Apple stores.
6. Marketing materials
We will use special brochures and catalogs with the new products.
7. Promotion Strategy
We will promote our new products on the websites and on TV ads,
billboards and on Social Media. We need to highlight the association of
Steve Jobs with young people and how important is for them to have
premium products.
8. Online Marketing strategies
9. Conversion strategy
Commercials with young people who never thought they will own an
iPhone and how they dreamed to purchase one with their first salary.
References

Apple Inc. – Apple Events.


Apple Inc. – ConnectED.
Apple Inc. – Find a Store.
Apple Inc.’s Website.
Borden, N. H. (1964). The concept of the marketing mix. Journal of Advertising
Research, 4(2), 2-7.
Carpenter, G. S., & Lehmann, D. R. (1985). A model of marketing mix, brand
switching, and competition. Journal of Marketing Research, 318-329.
Danaher, P. J., Hardie, B. G., & Putsis Jr., W. P. (2001). Marketing mix variables
and the diffusion of successive generations of a technological innovation. Journal
of Marketing Research, 38(4), 501-514.
Gronroos, C. (1994). From marketing mix to relationship marketing: Towards a
paradigm shift in marketing. Management Decision, 32(2), 4-20.
Naik, P. A., Raman, K., & Winer, R. S. (2005). Planning marketing mix strategies in
the presence of interaction effects. Marketing Science, 24(1), 25-34.
Rahmani, K., Emamisaleh, K., & Yadegari, R. (2015). Quality function deployment
and new product development with a focus on marketing mix 4P model. Asian
Journal of Research in Marketing, 4(2), 98-108.

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