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Apple iPhone from Computers to Mobile Phones Submitted by: Mohit Kataria (PGP30318)

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Apple iPhone

from Computers to Mobile Phones

Submitted by: Mohit Kataria (PGP30318)

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Apple

Established in 1976 in California,

US

Originally incorporated as Apple

Computers

Founded by Steve Jobs and Steve

Wozniak

Predominantly a manufacturer of

personal computers, Apple moved

onto manufacturing phones in 2007

It is the 12th largest company in the

world (by market capitalization)‘Design is not just what it looks like

and feels like. Design is how it works’

– Steve Jobs

Source: Company Annual Report, Forbes Global 500 list

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1976 2001 2007 2010 2015

Apple I

iPod

iPhone

iPad

Watch

Product Timeline

Source: Company Annual Report

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Product Portfolio

Source: Company Annual Report

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iPhone

First generation iPhone was

launched in 2007

iPhone was one of the first

smartphones in the world to use

multi-touch interface

8 generations of iPhone has been

launched since then

In March 2014, Apple sold its 500

millionth iPhone

Source: Company Annual Report; IDC

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‘An iPod, a phone, an

internet mobile

communicator.. These are

not three separate

devices! And we are

calling it iPhone! Today

Apple is going to reinvent

the phone. An here it is.’

– Steve Jobs

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Global Smartphone Market

CAGR: 33.9%

Source: IDC (2015) Source: IDC (2015)

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Apple Product Portfolio Share

Source: Company Annual Report

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Innovative

Simple to use

Stylish

High processing speed

IOS operating system

iTunes, Apple Store exclusive

apps

iPhone

Source: marketing91.com; ‘Marketing Analysis of Apple Inc’, The Write Pass Journal (2012)

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Price

Rs 36,508 Rs 37,786 Rs 45,694 Rs 50,735

Source: Amazon

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Caters to Premium

Customers

Demand based

Skimming

Strictly ‘No Discounts’

Tie ups with Telecom

Operators like Airtel &

Vodafone for monthly EMI

plans

Source: marketing91.com; ‘Marketing Analysis of Apple Inc’, The Write Pass Journal(2012)

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4 Fold Distribution Strategy

Retail Stores

Franchise Retail

Stores

E-Commerce

Distribution

through E-

commerce

websites

Telecom

Operators

Tie-up with

Telecom operators

Corporate

Tie-ups

Tie-up with

Corporates

Source: marketing91.com; ‘Marketing Analysis of Apple Inc’, The Write Pass Journal (2012)

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Pre-launch• Blogs & Specialized Sites

• Opinion Leaders

• Speculations related to features

Launch Strategy• Launch event

• Print media

• TV

• Social Media

Post Launch Strategy• Digital campaigning

• Independent review websites

• Apple.com

Promotional Strategy

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iPhone Ad Campaign

iPhone campaign that pleads to the brain rather than the heart,

while vaguely alluding to the inferiority of competing products.

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Apple’s Latest Ad Campaign

Launched ‘World Gallery’ where all images

and video shot on iPhone 6 are housed

Why is the Campaign Great?

Simple, clean, compelling

little product demos

Campaign is for the

people, by the people

It makes no claims about

Apple

Apple celebrates the

creators it inspires

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Apple Doesn't Target Markets. It Targets People

Demographics

• Targets people in the age group of 18-

35

• Youth population covering students

and young working professionals

Psychographics

• Brand Image

• Image Conscious

• Fashionable

• Tech-savvy

Influencers

• Family, friends and the peer group are

the main influencers

• Dealers do not play a significant role

in influencing the buyers

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If not iPhone then?

28.931.5 30.7 28.9

22.916.9 15.2 18.3

2012 2013 2014 2015 YTD

Samsung vs Apple – Market Share (%)

Samsung Apple

Samsung Brands

Galaxy S6 Galaxy Note 4 Galaxy S6 Edge

Source: IDC (2015)

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Specs Samsung Galaxy 6 iPhone 6

Screen 5 inches 5.5 inches

Weight 4.87 oz 6.07 oz

Resolution 1440 x 2560 pixels 1080 x 1920 pixels

Camera 16 megapixels 8 megapixels

Processor 2100 MHz 1400 MHz

RAM 3072 MB 1024 MB

4 P’s

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Samsung Galaxy S6Rs 38,700

Apple iPhone6Rs 45,789

iPhone 6 sold at 20% premium to Galaxy

S64 P’s

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The Great Smartphone War

Samsung24.6

Apple18.3

Lenovo5.6

Huwaei5.2

LG4.3

Others41.7

Sales

Source: IDC (2015)

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Points of Difference

Cutting Edge Technology

Emotional Connect

Brand Image

Class Apart Quality

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Features

Price

iPhone 6

Galaxy S6

Nexus 6

Lumia

iPhone 6 perceived highest in term of features

and price

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Thank You