Apple

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Contents

 Introduction
 Brief history
 Marketing mix
 Product/Market growth matrix
 Management orientation
 Summary
Quick facts
 Founded: 1976
 Founder: Steve Jobs, Steve Wozniak, Ronald Wayne
 Sector: Technology
 Areas served: Worldwide
 Headquarters: Cupertino, California, USA
 Number of employees: 116000 (2016)
 Market value: $753 Billion (March 2017), #1 globally
 Revenue: $215 Billion (2016), #7 globally
 Profit: $46 Billion (2016), #1 globally
 Repeatedly ranked as the world's most valuable brand
Brief History
 Apple's first product, the Apple I, Invented by Apple co-
founder Steve Wozniak, was sold as an assembled
circuit board and lacked basic features such as a
keyboard, monitor, and case.
 The Apple II, introduced in 1977, was a major
technological advancement over its predecessor.
 The Macintosh, released in 1984, was the first mass-
market personal computer that featured an integral
graphical user interface and mouse.
 The Macintosh Portable, released in 1989, was
Apple's first battery-powered portable Macintosh
personal computer.
Brief History
 The Pen lite was Apple's first attempt at a tablet
computer.
 Created in 1992, the project was designed to bring the
Mac OS to a tablet – but was shelved in favor of
the Newton.
 Power Mac was a line of Apple Macintosh workstation-
class personal computers based on various models
of PowerPC microprocessors that were developed from
1994 to 2006.
 The MacBook Pro, Apple's first laptop with
an Intel microprocessor, was introduced in 2006.
Marketing mix: Product
Consumer electronics:
 iPod portable media player
 iPhone smartphone
 iPad tablet computer
 Mac PC
 Apple TV
 Apple smartwatch
 HomePod smartspeaker
 Accessories
Marketing mix: Product
Consumer software:
 iOS, MacOS, tvOS, watchOS
operating systems
 Safari web browser
 iLife: software suite
 iWork: office suite of
applications
 iBooks: e-book application
Marketing mix: Product
Online services:
 iTunes digital media store
 iOS App Store
 Mac App Store
 Apple Music: streaming service
 iCloud: online storage service
 Apple Pay: digital wallet service
Marketing mix: Price
 Apple implements premium pricing strategy for its products.
 Premium pricing involves setting the price of a product
higher than similar products in order to encourage favorable
perceptions among buyers.
 It is used to maximize profit in areas where customers are
happy to pay more.
 This strategy is sometimes also called skim pricing because
it is an attempt to “skim the cream” off the top of the
market.
 Luxury has a psychological association with premium
pricing; That is why it is also called prestige pricing.
Marketing mix: Place
Apple distributes its products through these
channels:
 Apple retail stores: nearly 500 stores in 22
countries
 Online apple store
 Authorized retailer stores: Walmart, BestBuy,
Media Markt
 Authorized online retailers: Amazon, eBay
 Telecom Companies: Verizon, Sprint, Vodafone
Marketing mix: Promotion
Apple’s promotion activities emphasize the premium
image and quality of the firm’s products. Its promotions
include:
 Advertising: through social networks, technology news
sites etc. Apple commercials depict luxury lifestyle.
 Sales promotion: some Apple Stores offer old models
at discounted prices when bundled with larger and
more expensive products.
 Public relations: Apple events, leaks of new product
features, press releases, and exclusive interviews are
carefully implemented to maximize positive publicity.
Product/Market Growth Matrix
Market penetration:
 Apple tries to increase market share of its existing
products through heavy promotional campaigns in order
to drive out its main rival Samsung in the existing markets
for its products including North America, Europe and the
middle east.
Product development:
 Every year Apple innovates new products as well as it
introduces new versions of existing products to maintain
its leadership in existing markets against the competitors.
Examples could be recent apple watch and iPhone X.
Product/Market Growth Matrix
Market development:
 Apple recently has been making effort to enter the
education market, by convincing educational
institutions to integrate its products and software into
their system. Examples could be IT systems developed
by apple, Apple TVs, iPads etc.
Diversification:
 Apple is currently planning to develop a gaming console
such as Xbox or PlayStation in order to enter the gaming
market.
Management orientation:
 From the product perspective, Apple can defined as a
truly geocentric company, because its products have
standardized universal design and features.
Additionally, Apple continuously updates and adapts its
products’ in order to meet global market needs.
 But from the market perspective, Apple can be defined
as a regiocentric company because it mainly targets rich
countries in North America, Europe and Middle east and
ignores less developed countries.
Summary:
 Thanks to its innovative initiatives and effective
marketing strategies Apple is currently the leading
company in technology sector globally.
 Apple faces fierce competition in the global market,
mainly from Samsung, Huawei, Microsoft and google.
Therefore, it needs to continuously update its product
mix and rethink its marketing strategies in order to
maintain its market leadership.
Thank you…

Prepared by:
 Abobaker Arash Kohistani (B1606.060215)
 Mohammad Jawad Aria (B1606.020098)
 Souleymane Dicko (B1606.060005)

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