INNOVATION AT APPLE

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Presented to:- Mrs Kokil Jain Presented By:- Rishika Sharma Chetna Bhatia Zarah Dua Khan Jaishree Chaudhary

INTRODUCTION

Organization of Apple was established in 1976 as a computer company. In 2001, Apple broke the barrier with the iPod, eventually becoming the dominant market leader in music players. The unique characteristic about Apple is that it has a very strong 5/16/12 customer base, which is extremely

PRODUCT LINES

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STRENGTHS

Apple is a very successful company. Sales of its iPod music player had increased its profit . The favorable brand perception had also increased sales of Macintosh computers. So iPod gives the company access to a whole new series of segments that buy into other parts of the Apple brand. Sales of its notebooks products is also very strong, and represents a huge contribution to income for Apple. Brand is all-important. Apple is one of the most established and healthy IT brands in the World, and has a very loyal set of enthusiastic customers that advocate the brand. Such a powerful loyalty means that Apple not only recruits new customers, it retains them i.e. they come back for more products and services from Apple, and the company also has the opportunity to extend new products to them, for example the iPod. 5/16/12

WEAKNESSES
It is reported that the Apple iPod Nano may have a faulty screen.This is in addition to problems with early iPods that had faulty batteries. Early in 2005 Apple announced that it was to end its longstanding relationship with IBM as a chip supplier, and that it was about to switch to Intel. There is pressure on Apple to increase the price of its music download file, from the music industry itself. Many of these companies make more money from iTunes (i.e. downloadable music files) than from their original CD sales. Apple has sold about 22 million iPod digital music players and more than 500 million songs though its iTunes music store. It accounts for 82% of all legally downloaded music in 5/16/12 the US.

OPPORTUNITI ES

Podcasts are downloadable radio shows that can be downloaded from the Internet, and then played back on iPods and other MP3 devices at the convenience of the listener. The listener can subscribe to Podcasts for free, and ultimately revenue could be generated from paid for subscription or through revenue generated from sales of other downloads. A version of Apple's iTunes music store has been developed for the phone so users can manage the tracks 5/16/12 they store on it. Downloads are available via a USB cable,

THREATS

The biggest threat to IT companies such as Apple is the very high level of competition in the technology markets. Being successful attracts competition, and Apple works very hard on research and development and marketing in order to retain its competitive position. The popularity of iPod and Apple Mac are subject to demand, and will be affected if demand falls for their products. There is also a high product substitution effect in the innovative and fast moving IT consumables market. So iPod and MP3 rule today, but only yesterday it was CD, DAT, and Vinyl. Tomorrow's technology might be completely different. Wireless technologies could replace the need for a physical music player.

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PRODUCT INNOVATION AT APPLE AND ITS MARKETING STRATEGIES Click to edit Master subtitle style

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TOP 10 APPLE INNOVATIONS

1) iPod Apple's personal music player, launched in 2001, was by no means the first MP3 player,
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2) Graphical User Interface

Apple built on the pioneering work of the team at Xerox Parc to produce the first commercially successful computer to use a graphical user interface -- the Macintosh. Launched in 1984 with Ridley Scott's famous advertising campaign, ushered in a new dawn of accessible computing.

It used a "desktop" metaphor to guide 5/16/12 users around the computer, with

3) iMac

Appeared in 1998 Marked as apples major tech player.

Under the guidance of chief designer Jonny Ive, Apple ripped up the computer design rule book, doing away with dull beige boxes and instead replacing them with fun, translucent machines in shades such 5/16/12 as "Bondi Blue" that hinted at the

5) Mac OS X While Microsoft continues to sell more computers than Apple, critics have regularly argued that its Windows operating system lacks
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7) Newton

Before the iPhone was even a twinkle in Steve Jobs' eye came the Newton, a touch-screen personal digital assistant.

Commercially, the Newton was a damp squib, but it is still fondly remembered by long-time Apple users for its neat interface 5/16/12 handwriting recognition. and

9) Keynotes

Apple has turned the product launch in to an art form. Steve Jobs' attention to detail ahead of keynote speeches and product unveilings is legendary -- every aspect of the presentation is rehearsed and rehearsed to ensure all participants are pitch-perfect. 10) MacBook Air

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APPLES MARKETING STRATEGIES

1. Ignore Your Critics

Apple decides to flip the script and instead focus on building what they want to build, no matter the perceived cost. Each and every time Apple decided to innovate, they were laughed at. They prevailed anyway.

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3. Justify Your Price

Once more, Apple ignores the standard by not only pricing their technology more than 2x what their competitors charge, but doing so without blinking. How can they get away with it?

Well, the answer is twofold:

1. They build beautiful products for an audience that loves them passionately. 2. They justify their price with features and benefits that cant be matched. No other computer can match the display of a 27 iMacit simply cant be done. No other software can match what iTunes brings to the table.

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4. Communicate in the Language of Your Audience

It makes no sense to talk about things like megabytes, gigahertz, and processing power to customers that simply dont care about technical jargon.

Take a look at any Apple product page and youll find that though they 5/16/12 discuss product specifications and do

5. Extend the Experience

After Apple packaging post-sale, there are legions of people that record the actual process of unwrapping their newly purchased Apple products. Do a search on YouTube and youll

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6. Build a Tribe

Its no secret that Apple has built one of the most hardcore fan bases of any product and of any time. Theres a reason theyre called fanboys. They know that they serve an elite audience, and rather than back away from that fact, they embrace it.

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7. Become The Name

You dont buy tissues, you buy Kleenex. You dont buy MP3 players, you buy an iPod.

You dont buy a smartphone, 5/16/12 you buy an iPhone.

Promotional Tools Advertising Sales Promotion Public Relations Direct Marketing

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Advertisem ents

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When it comes to Sales Promotion, Apple knows best. When it comes to Sales Promotion, Apple knows best. Apple uses promotional methods using special short-term Apple uses promotional membersusingtarget market to techniques to persuade methods of a special short-term techniques to persuadetheir products.target market to respond or undertake members of a respond or undertake their products. Examples of certain methods :Apple uses for sales promotions certain methods :Apple uses for sales Examples of are money back guarantees, lower purchase price and rebates etc. promotions are money back guarantees, lower purchase The and rebates etc. priceApples stores are very distinct and captivating from many other electronic stores because they display from The Apples stores are very distinct and captivatingall of their products for consumers to experience hands- on. many other electronic stores because they display all of their Consumer's are allowed to surf the web on any products for consumers to experience hands- on.of their computers, listen to the latest ipods, and experience the Consumer's its features. to surf the web on any of their iPhone and are allowed This lets consumers get comfortable computers, listen to thefamiliarize themselves with it. This is with the products and latest ipods, and experience the iPhone and its features. This lets consumers gethas a major consumer sales promotion that Apple comfortable with the products and familiarize themselves with it. This is developed. a major consumer sales promotion that Apple has 5/16/12 developed.

Sales Promotion

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Public Relation

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Direct Marketing

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Apple uses email marketing extensively to deliver targeted information to its

Competitive Positioning
The international court ruling that HTC has infringed on Apples patents has brought Apple and Android to an important crossroad that will likely impact the mobile segment 5/16/12 for a long time.

Companies involved in mobile tech turn to patents to protect research and innovation from being used by competitors. Apple and HTC are going head-to-head currently over patent infringement, and the former has won its first victory in court where it has been determined that HTC has improperly used Apples IP in some of its Android smart phones. If Apple puts HTC out of the Android device business, its next order would likely be to go after
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Samsung. Samsung is coming on

Apple's designs are, well, elegant. There is no better word for it. Sony and Toshiba can come close at times, but, on average, Apple has the best-designed hardware from an aesthetics point of view of any vendor. It is amazing that, after several years, no one has been able to design a better hard-drive-based MP3 player than Apple did with the iPod. Even Toshiba's design, which used

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RECOMMENDATIONS

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