Marketing to Europe: iPod

Slideshow Transcript

1. Slide 1: 
2. Slide 2:  iPod Comparing Apple’s Marketing Strategy in the UK and France
3. Slide 3: Discussion Product Sophie Promotion Jamie Price Anna Place Andy Segmentation Ketan Recommendations Ketan
4. Slide 4: Success
5. Slide 5: 45M iPods sold since 2001
6. Slide 6: 14M Sold 4th Quarter 2005
7. Slide 7: iPods Sold (cumulative) 45M 40M 35M 30M 25M 20M 14m 15M 10M 5M 0M Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 2004 2005
8. Slide 8: 1 Billion Songs purchased and downloaded in past 3 years
9. Slide 9: 3M Songs purchased and downloaded per day
10. Slide 10: MP3 Player Market Others 27% iPod 73%
11. Slide 12: Product
12. Slide 13: iPod Family
13. Slide 14: 3 Level Analysis of iPod The Core Benefits Secondary Level Augmented Product
14. Slide 15: 3 Level Analysis of iPod The Core Benefits Secondary Level Augmented Product
15. Slide 17: Carry thousands of songs on the go Portable Music Player
16. Slide 18: 3 Level Analysis of iPod The Core Benefits Secondary Level Augmented Product
17. Slide 19: 3 Level Analysis of iPod The Core Benefits Secondary Level Augmented Product
18. Slide 20: Distinctive white colour Click-wheel Simple design
19. Slide 21: Simple user interface Easy to use
20. Slide 22: No difference in French and UK versions Language support for both in the software
21. Slide 23: No difference in French and UK versions Language support for both in the software
22. Slide 24: Minimalist packaging Reflects the iPod design
23. Slide 25: Minimalist packaging Reflects the iPod design
24. Slide 26: 3 Level Analysis of iPod The Core Benefits Secondary Level Augmented Product
25. Slide 27: 3 Level Analysis of iPod The Core Benefits Secondary Level Augmented Product
26. Slide 28: Brand premium product distinctive name instantly recognisable white earphones clickwheel
27. Slide 29:  iPod iPod shuffle iPod nano Market segmentation = increased shelf space
28. Slide 30:  AppleCare
29. Slide 31: iPod eco-system
30. Slide 32: accessories
31. Slide 34: Car integration
32. Slide 35: Car integration
33. Slide 36: Car integration
34. Slide 39: Product Lifecycle
35. Slide 40: Introduction Growth Maturity Decline
36. Slide 41: iPods Sold (cumulative) 45M 40M 35M 30M 25M 20M 14m 15M 10M 5M 0M Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 2004 2005
37. Slide 42: iPods Sold (cumulative) 45M 40M 35M 30M 25M 20M 14m 15M 10M 5M 0M Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 2004 2005
38. Slide 43: iPods Sold (cumulative) 45M 40M 35M 30M 25M 20M 14m 15M 10M 5M 0M Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 2004 2005
39. Slide 44: Promotion
40. Slide 45: Standardised Approach Centralised marketing team Economies of scale Consistent branding
41. Slide 46: Standardised Approach Centralised marketing team Economies of scale Consistent branding
42. Slide 47: Standardised Approach Centralised marketing team Economies of scale Consistent branding
43. Slide 48: Standardised Approach Centralised marketing team Economies of scale Consistent branding
44. Slide 49: Convergence of tastes
45. Slide 53: Ad United Kingdom
46. Slide 55: Ad France
47. Slide 57: Almost identical advert
48. Slide 60: TV Advertisement • Internationally recognised music star • No need for translation
49. Slide 62: Associative advertising
50. Slide 64: AIDA Awareness Interest Desire Action
51. Slide 65: Price
52. Slide 66: Disk Space Text Price
53. Slide 67: Size 512MB 1GB 2GB 4GB 30GB 60GB Price £49 £69 £139 £179 £219 £299 Difference +£20 +£50 +£40 +£40 +£80 £/GB £95 £69 £70 £45 £7 £5
54. Slide 68: Price Value 9 Box Model
55. Slide 69: Market in 2001 Sony iPod Creative (MD) Price £299 £200 £150 Songs 1,000 20 40 £ / Song 0.30 10 3.75 Market skimming
56. Slide 70: iPod in 2001 Perception Competitors Costs
57. Slide 71: Market in 2006 Price £220 £220 £199 GB 30 30 20 Songs 7,500 7,500 5,000 3p 3p 4p Price / Song Apple iPod Creative Vision:M SONY NW A300
58. Slide 72: iPod in 2006 Perception Competitors Costs
59. Slide 73: Price £299 / €424 £308 / €446 Sales Tax 17.5% 19.6% Ave. Salary £21,300 / €31,200 £16,663 / €24,400 % 1.4 1.82 £1 = €1.42
60. Slide 74: Cost plus pricing
61. Slide 75: Place
62. Slide 76: 2001 Apple.com Customer Apple Retail
63. Slide 82: 2002 Apple.com Customer Apple Retail Electronic Apple Customer Stores
64. Slide 83: 2003 Apple.com Customer Apple Retail Electronic Apple Customer Stores Apple Websites Customer
65. Slide 84: 2006 Apple.com Customer Apple Retail Electronic Apple Customer Stores Apple Websites Customer Apple Customer Supermarket
66. Slide 85: ✓ ✓ Apple.com ✓ Apple Retail ✘ ✓ ✓ Electronics ✓ ✓ Websites ✓ ✓ Supermarket
67. Slide 86: Apple Retail ✘ •Compete in stores that sell other devices •Lack of expert knowledge of product •Inconsistent personal selling
68. Slide 87: Segmentation
69. Slide 89: No boundaries Age Gender Race Continent
70. Slide 90: No boundaries Age Gender Race Continent
71. Slide 91: Psychographic target on the basis of some psychological trait, characteristic or life style
72. Slide 92: Problem?
73. Slide 93: Player Songs £ / Song Tape 15 1 CD 20 2 Flash 20 10
74. Slide 94: Player Songs £ / Song Tape 15 1 CD 20 2 Flash 20 10 iPod 1000 0.30
75. Slide 95: Solution?
76. Slide 96: Entire music collection in your pocket (for most people!)
77. Slide 98: Positioned itself as the choice for music fans with the artist promos
78. Slide 99: Recommendations
79. Slide 100:  1 Maintain single global product for all markets 2 Develop Apple stores in main French cities such as Paris 3 Continue leveraging iPod brand into new areas
80. Slide 101: ?