Apple Inc. <ul><li>Design and manufacture consumer  </li></ul><ul><li>electronics, hardware and software products.  </li><...
Product - iPhone 3G <ul><li>iPhone  (29 June, 2007)  </li></ul><ul><ul><li>Internet connected multimedia smart phone </li>...
SWOT analysis
Marketing strategy <ul><li>Increased investment in marketing and advertising programs is critical to increasing product an...
Brand awareness
Market research – Niche market <ul><li>SURVEY  </li></ul><ul><li>Objectives:  Gauge public opinion on various aspects of A...
Market research – Why iPhone?
Market Segmentation PEOPLE  14-64 YEARS AGE <ul><li>CONSUMER& </li></ul><ul><li>SMALL&MID SIZE </li></ul><ul><li>BUSINESS ...
2008 CUSTOMER SATISFACTION AWARD RECIPIENT
Pricing $399 $199 $299 $599
Value-to-cost relationship Value to Customer  $399?  Price  $199 Estimated Firm’s Cost-of-Value Creation  $173 0 Consumer ...
Price vs. total cost
Apple iPhone Supply Chain Samsung CPU & Video processing Nfineon baseband  communication Primax Electornics Digital Camera...
Distribution Apple stores Network carriers  (AT&T, T-mobile etc)  Wholesalers &  Retailers  (Wal-mart etc) Manufacturers O...
iPhone vs. Competitors
iPhone vs. Competitors
Promotion & Communications
Promotion & Communications <ul><li>iPhone 3G is advertised on : </li></ul><ul><ul><ul><li>TV:  </li></ul></ul></ul><ul><ul...
Unit sales
Sales ($m) iPhone related revenue ($m)
Five forces Other smart phones Chip producers Screen producers More company enters Strong brands and finance Establish mob...
Recommendations <ul><li>Product quality can be improved: </li></ul><ul><ul><ul><li>Battery life </li></ul></ul></ul><ul><u...
Recommendations <ul><li>Mobile marketing </li></ul><ul><ul><li>High Net Worth Individuals </li></ul></ul><ul><ul><li>Early...
Reference <ul><li>http://www.cellular-news.com/story/34658.php </li></ul><ul><li>http://www.scribd.com/doc/4727162/Smartph...
 
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Iphone Presentation

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  • Iphone Presentation

    1. 2. Apple Inc. <ul><li>Design and manufacture consumer </li></ul><ul><li>electronics, hardware and software products. </li></ul><ul><li>Main products: </li></ul><ul><ul><li>Mac personal computers </li></ul></ul><ul><ul><li>iPod </li></ul></ul><ul><ul><li>iPhone </li></ul></ul><ul><ul><li>Software: iLife, iTunes etc. </li></ul></ul><ul><li>Business organization: </li></ul><ul><ul><li>Operating segments: Americas, Europe, Japan, and Retail (>200 retail stores) </li></ul></ul>
    2. 3. Product - iPhone 3G <ul><li>iPhone (29 June, 2007) </li></ul><ul><ul><li>Internet connected multimedia smart phone </li></ul></ul><ul><ul><li>Key features: </li></ul></ul><ul><ul><ul><li>Touch screen </li></ul></ul></ul><ul><ul><ul><li>Operating system: iPhone OS </li></ul></ul></ul><ul><ul><ul><li>Camera phone </li></ul></ul></ul><ul><ul><ul><li>Portable media player (iPod) </li></ul></ul></ul><ul><ul><ul><li>Text messaging </li></ul></ul></ul><ul><ul><ul><li>Visual voicemail </li></ul></ul></ul><ul><ul><ul><li>Internet services (e-mail, web browsing, local wi-fi connectivity) </li></ul></ul></ul><ul><li>iPhone 3G (11 July, 2008) </li></ul><ul><ul><li>Black or white </li></ul></ul><ul><ul><li>Key added features: </li></ul></ul><ul><ul><ul><li>Fast 3G wireless technology </li></ul></ul></ul><ul><ul><ul><li>GPS mapping </li></ul></ul></ul><ul><ul><ul><li>iPhone in enterprise </li></ul></ul></ul><ul><ul><ul><li>Apple store </li></ul></ul></ul>
    3. 4. SWOT analysis
    4. 5. Marketing strategy <ul><li>Increased investment in marketing and advertising programs is critical to increasing product and brand awareness </li></ul><ul><li>Providing a high quality sales and after-sales support experience is critical to attracting new and retaining existing customers. </li></ul><ul><li>The Company has also invested in programs to enhance reseller sales , including the Apple Sales Consultant Program , which places Apple employees and contractors at selected third-party reseller locations. </li></ul><ul><li>The Company is uniquely positioned to offer superior and well-integrated digital lifestyle products and solutions, which are further enhanced by the Company’s emphasis on ease-of-use and creative industrial designs </li></ul>
    5. 6. Brand awareness
    6. 7. Market research – Niche market <ul><li>SURVEY </li></ul><ul><li>Objectives: Gauge public opinion on various aspects of Apple’s new iphone </li></ul><ul><li>Methodology: </li></ul><ul><ul><li>Research conducted between Jan 11 Th and Jan 14 th , 2007 </li></ul></ul><ul><ul><li>Each question run across 15+ sites out of 148 sites </li></ul></ul><ul><li>Executive summary: </li></ul><ul><li>Public have high expectations from the iPhone and that how it will change the way they listen to music </li></ul><ul><ul><li>68% claim it is the first ‘all in one’ gadget, cell phone-MP3 player, camera </li></ul></ul><ul><li>Strong purchase intent among respondents, with 37% claiming they would switch to AT&T just to get iPhone </li></ul><ul><li>64% said that iPhone would become their primary MP3 player </li></ul><ul><li>32% respondents response that the mot cool thing is the touchscreen </li></ul>
    7. 8. Market research – Why iPhone?
    8. 9. Market Segmentation PEOPLE 14-64 YEARS AGE <ul><li>CONSUMER& </li></ul><ul><li>SMALL&MID SIZE </li></ul><ul><li>BUSINESS </li></ul><ul><li>ENTEPRENEURS </li></ul><ul><li>CORPORATE </li></ul><ul><li>USERS </li></ul><ul><li>EDUCATION </li></ul><ul><li>STUDENTS </li></ul><ul><li>ENTERPRISE, </li></ul><ul><li>GOVERNMENT& </li></ul><ul><li>CREATIVE USERS </li></ul><ul><li>HEALTH CARE WORKERS </li></ul><ul><li>PROFESSIONALS </li></ul>
    9. 10. 2008 CUSTOMER SATISFACTION AWARD RECIPIENT
    10. 11. Pricing $399 $199 $299 $599
    11. 12. Value-to-cost relationship Value to Customer $399? Price $199 Estimated Firm’s Cost-of-Value Creation $173 0 Consumer Surplus Firm Margin Profitable Pricing Band From Note by Prof. Robert Dolan
    12. 13. Price vs. total cost
    13. 14. Apple iPhone Supply Chain Samsung CPU & Video processing Nfineon baseband communication Primax Electornics Digital Camera Modules Entery industrial connectors Foxconn international circuitry Shenzhen, china apple manufacturing assembly, and fulfillment plant Broadcom technology screen connecters Cancher technology stainless metal casings Cambridge silicon Bluetooth chip set marvail 802.11 Umicron technology printed circuits boards Singapore Taiwan U.S China
    14. 15. Distribution Apple stores Network carriers (AT&T, T-mobile etc) Wholesalers & Retailers (Wal-mart etc) Manufacturers Online
    15. 16. iPhone vs. Competitors
    16. 17. iPhone vs. Competitors
    17. 18. Promotion & Communications
    18. 19. Promotion & Communications <ul><li>iPhone 3G is advertised on : </li></ul><ul><ul><ul><li>TV: </li></ul></ul></ul><ul><ul><ul><ul><li>Messages: iPhone’s multi-touch & graphical interface largely speak for itself </li></ul></ul></ul></ul><ul><ul><ul><ul><li>Ads: Never been an iPod, Calamari </li></ul></ul></ul></ul><ul><ul><ul><li>Prints </li></ul></ul></ul><ul><ul><ul><li>Video: Steeve Jobs & the launch of iPhone 3G </li></ul></ul></ul><ul><ul><ul><li>Radio </li></ul></ul></ul><ul><ul><ul><li>Internet: </li></ul></ul></ul><ul><ul><ul><ul><li>Mobile websites (Admob) </li></ul></ul></ul></ul><ul><ul><ul><ul><li>New ads every week </li></ul></ul></ul></ul><ul><li>Apple vs. Network agencies (AT&T, T-mobile etc) </li></ul><ul><li>iPhone 3G developers </li></ul><ul><li>Advertising cost : </li></ul><ul><ul><ul><li>Q1-2007: $10.4 million </li></ul></ul></ul><ul><ul><ul><li>Sep 2008: AT&T spent $21 million </li></ul></ul></ul><ul><ul><ul><li>Apple spent $15 million </li></ul></ul></ul>
    19. 20. Unit sales
    20. 21. Sales ($m) iPhone related revenue ($m)
    21. 22. Five forces Other smart phones Chip producers Screen producers More company enters Strong brands and finance Establish mobile manufacturing Software giants Google,Msft Consumer market Corporate market
    22. 23. Recommendations <ul><li>Product quality can be improved: </li></ul><ul><ul><ul><li>Battery life </li></ul></ul></ul><ul><ul><ul><li>“ Cut & paste” </li></ul></ul></ul><ul><ul><ul><li>Voice dialing </li></ul></ul></ul><ul><ul><ul><li>Camera </li></ul></ul></ul><ul><ul><ul><li>Memory card </li></ul></ul></ul><ul><li>Lower monthly payments  reduce the total cost </li></ul><ul><li>Improve carrier network: AT&T </li></ul><ul><ul><ul><li>Lots of people thought about getting the iPhone, but many balked at signing up for AT&T's service plan </li></ul></ul></ul>
    23. 24. Recommendations <ul><li>Mobile marketing </li></ul><ul><ul><li>High Net Worth Individuals </li></ul></ul><ul><ul><li>Early adaptors </li></ul></ul><ul><ul><ul><li>Offer them new applications </li></ul></ul></ul><ul><ul><ul><li>Corporations will get benefit </li></ul></ul></ul>
    24. 25. Reference <ul><li>http://www.cellular-news.com/story/34658.php </li></ul><ul><li>http://www.scribd.com/doc/4727162/Smartphone-industry-and-Apples-iPhone-analysis </li></ul><ul><li>http://www.apple.com/iphone/ </li></ul><ul><li>http://en.wikipedia.org/wiki/IPhone_3G#History_and_availability </li></ul><ul><li>http://www.apple.com/pr/library/2008/ </li></ul><ul><li>http://www.youtube.com/watch?v=sLGEH_6VyvI&feature=related </li></ul><ul><li>http://www.mobilemarketer.com/cms/news/manufacturers/1314.html </li></ul><ul><li>http://www.appleinsider.com/articles/08/07/10/piper_jaffray_says_iphone_3gs_real_cost_to_users_407.html </li></ul><ul><li>http://www.appleinsider.com/articles/08/07/15/iphone_3gs_final_build_price_just_174_33.html </li></ul><ul><li>http://www.fiercewireless.com/press-releases/admob-launches-new-iphone-3g-advertising-solutions-and-announces-1-million-iphone-dev </li></ul>
    25. 27. Q&A

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