The differential Promotional and Positioning Strategies adopted by Apple have been discussed. It is shown how iPod's introduced became a sensation in the market. The reasons for the SUCCESS of iPod's.
16. “All Mp3 players do the same thing, but nobody else
has the “COOL” factor of iPod, It’s a status symbol: you
are young, cool, vigorous if you have one.
-Prof. John Zhang
Wharton University
Promotional
Strategies
17. Secret Marketing
Steve Job created heavy speculation & curiosity by
stating the statement “Hint: It’s not a MAC.”
Moreover this strategy did not let the competitors
know the company’s plans
The secret marketing lead to impulse purchases.
The product was ready to be shipped the day it was
announced so that the customers would not have to
wait for the product.
It was all about Touch, Feel & Purchase
Impulse Purchases
18. Partnering with hotels
iPod's were placed in guest rooms for them to use and
enjoy the iPod.
This strategy would lead to the sale of iPod by people,
who otherwise would not have even considered buying
one.
Apple came out with this strategy to boost sales & give
its customers a customized feeling for the product.
Limited Edition
19. Podcasting
Podcasting made new files available on the internet
to automatically download on the users iPod who
have subscribed to the podcast feed
Apple collaborated with Nike to introduce “NIKE PLUS”
line of shoes.
This enabled users to listen songs, while running and
exercising.
Co-Branding Strategy
20. Apple’s unique print, television & outdoor
advertisements featuring black silhouettes wearing the
ubiquitous white earphones have been impossible to
avoid for the last five years.
-Samir Bhavani, Research Director
Advertising
Strategies
22. Consumers love the ease and the feel of the iPod, but
it is the simplicity of the iTunes software platform that
turned a great Mp3 player into a revenue-gushing
phenomenon.
-Larry Keeley, Innovative Consultant
Doblin Inc.
Pricing
Strategies
23. Pricing Strategies
Apple followed differential pricing strategy for its entire iPod product
line.
This strategy encouraged consumer to spend more for an iPod which
is “better value for money”
Apple also sold iPod’s through retailers like Radio Shack, Best Buy,
Target Stores & Wal-Mart.
24. The IPod is hip. It looks cool, people wants cool things.
And the IPod remains one of today’s coolest gadgets.
-Chris Breen, Senior Director
MacWorld Magazine
Positioning
25. Positioning
Focused on the “Coolness” aspect
The hype and word of mouth publicity
Buzz was the fact which made people to buy
The “Whole Widget” strategy
27. Success Factors
Emotional Consumption: Design as a primary purchasing factor
Value Consumption: Price-performance sensitivity
Technology friendly: User friendly, Sleek and Cool design and its
capacity to store thousands of songs on one single device
Trends friendly: its design, good interface software made it a status
symbol
And Finally…..