1. AZHAR HUSSAIN BBA(8TH) 15351
Brand Analysis
Strengths in SWOT analysis of Iphone Samsung
Sir Qusim
4/10/2017
Apple I phone took the world by storm by its amazing IOS operating system and its multi touch
features. It was the first phone which could be truly called a “Smart phone”. Having the first
mover advantage, Apple I phone is still going strong. Here is the SWOT analysis of Apple I
phone.
2. Apple Iphone took the world by storm by its amazing IOS operating system and its multi touch
features. It was the first phone which could be truly called a “Smart phone”. Having the first
mover advantage, Apple Iphone is still going strong. Here is the SWOT analysis of Apple
Iphone.
Strengths in SWOT analysis of Apple Iphone
Brand equity – Apple is one of the top most companies of the world for its brand equity. From
the days of mcintosh computers, Apple is known to be a brand with promise.
Tag of innovation – Besides the brand equity, the tag of innovation has always been applied to
Apple. From Ipod to Iphone and Ipad, Apple has been responsible for many tech revolutions.
Consumer loyalty – An Apple loyal customer will proudly proclaim in front of the whole world
that he is a APPLE guy. The brand loyalty of Apple Iphone can be compared with the Harley
Davidson brand loyalists. Just like the HOGS are known to be furious Harley enthusiasts, so are
the Iphone owners.
Amazing software and OS – The IOS which is the operating system of Apple Iphone is a
respected mobile platform because of its flexibility and speed. The user interface is fantastic, and
one you use an iPhone, you get addicted to its ease of use.
Wide developer support / control in the hands of users – Google play came long after the
Apple developer network. Before Google play, or android even started, Apple had lakhs of
applications and games made through its developer network. And the Apple developer
community is one of the strongest online community till date.
Design consistency – Iphone has delivered hit after hit due to its design consistency. Apple
Iphone are very much similar in looks, and design wise there are not many changes. But it is
what is present inside the machine that Apple Iphone sells.
Weakness in SWOT analysis of Apple Iphone
High price – With such brand equity, you are bound to target the A grade segment itself. But
even then, the Apple Iphone is costlier as compared to Samsung phones which offer similar
features.
Restrictions on the phone – There are unnecessary restrictions on the Apple Iphone out of the
box. There is no Bluetooth, expandable memory is absent, and battery is non removable battery.
With such a high priced phone you expect more features from the phone.
3. No variety – Apple Iphone design is very consistent which is a plus point. But at the same time,
there is a large population which continuously changes phones. They don’t get the variety that
they expect from Apple Iphone. This can be a reason that customers switch to other brands. The
variety and features offered are very high in a brand like Samsung.
No Steve jobs anymore – Many of Apple followers were staunch Steve jobs fan. And with no
Steve jobs anymore, Apple has lost some of its charisma.
Opportunities in SWOT analysis of Apple iphone
Market potential of smart phones – Smart phones are the rage nowadays and the market is not
going to get smaller. Thus the large market of potential customers is there for the taking for a
brand like Apple.
Continued technological advancement – Apple has delivered hits every decade or even every 5
years. So people have started expecting more unique products from a company like Apple. And
products which are technologically advanced can take the company to even higher levels.
More dependency on digitization – People are becoming more and more addicted to internet
and apps. So much so that nowadays hardly anyone is seen without a smart phone. As people
become more digitalised, and as spending power increases amongst consumers, smart phones
like Iphone Will see a boom in the industry.
Geographic expansion – Till date Iphone is selling only in urban areas. But there is bound to
come a time when Apple Iphone will look towards geographic expansion. At that time, the
opportunities will grow even further for Iphone because there is a lot of market pending to be
covered by Iphone.
Accessories – The accessories market is never ending, and the more company accessories that
Apple manufactures, the better profits they will get from return customers. Because accessories
in general give very good margins.
Threats in SWOT analysis of Apple Iphone
Android – The single biggest threat to Apple Iphone is the Android operating system. Google
has taken the world by storm due its mobile operating system and android is poised to grow even
further because it is free for all.
4. Samsung – Another threat to Apple Iphone is Samsung with it’s large arsenal of mobile phones
coming in all shapes and sizes. Samsung had really shown the world the power of android
phones and has brought android OS in cameras as well. Thus Samsung us the biggest competitor
for Apple Iphone.
Lack of innovation – In past few years, as said before, Apple has not brought any
new product in the market and people expect Apple to come out with innovative products. This
lack of new products might become a threat to the followers of Apple iphone.
Threat of brand Apple losing its shine – With no innovation in last few years, and no steve
jobs, there is a slight threat that the brand Apple might lose its current brand equity over a period
of time. If Apple launches a single innovative product in the coming years, then again the brand
value will go up. However to maintain the brand equity, Apple has to keep shining, else it will
fade.
Product in the Iphone marketing mix
The IOS operating system – The first and foremost quality which people loved in the Iphone
was access to the world renowned Apple ios operating system. The Mcbook is probably the most
desired laptop and the Iphone gave access to a similar operating system like Mcbook which was
Ios. As android and Windows operating systems came later on smart phones, Apple was able to
spellbound its customers with its mobile operating system.
Processing speed – Only the operating system was not enough to keep customers attracted, it
required processing speed as well. Iphone hardware was very much compatible with the software
and the OS used to run smoothly. Thus the high quality processing speed also lend a hand
towards the popularity of the product.
Apple to apple comparison – Iphone does not compare itself with other companies, though it is
known to trash competition from time time. But whenever you find promotions from Apple, they
would be independent from competition. It would be a communication of what Apple has done
in its current version of Iphone as compared to its previous versions. Thus, on the product level,
Apple does not enter competition with other smart phones. And rather it calls other smart phones
a copy cat.
Itunes, apple store and exclusive apps – Before Iphone came Ipod and at that time itself Itunes
store came in existence. Till date Itunes is the major attention grabber for Apple Iphone. The
Apple store has more number of apps than the Google play store which is a compliment for the
5. large developer network which Iphone has. Thus, Itunes, Apple store and the developer network
form the secondary products for Iphone.
Price in the Iphone marketing mix
Skimming price – There is little explanation required for the price of Apple Iphone. With a
premium target, and with the product and promotions to support the targeting, Iphone has a
skimming price. It is of higher price as compared to most phones in the market. Samsung has
recently introduced many phones to rival with Iphone. However, Apple customers are not
budging and they are very much loyal to the Apple brand and to Iphone.
No discounts – Another interesting thing to observe in Iphone pricing policy is that it does not
offer any discounts. However, discounts might be given in the form of sales promotions or by
exchange offers. But otherwise there is no discount given in Iphone. A standard price is
maintained across the market.
Place in the marketing mix of Iphone
Present across the globe with a fantastic service backup – Iphone is present across many
countries and nations and is known to provide an excellent service backup in all these countries.
The target of Apple Iphone is premium customers, hence it is found in A grade cities only.
I-stores are found in premium places and malls – Iphone has named its retail counter as I
store keeping in line with the complete product line of Apple which starts with I resulting in an
immediate personal connect with the customer. These I stores of Apple are found in malls and
premium areas in premium cities across the complete country wide network.
Distribution happens through CNF Modern retail or Distributor Retails –
All modern retail outlets are distributed the Iphone through a carrying and forwarding agent. On
the other hand, individual retailers are given the product through distributors. Finally, the I stores
which are the exclusive showrooms, are given the product directly from the company at best
discounts.
Corporate tie up – Apple also has a corporate sales department for the Iphone which does
corporate tie ups for the company. When Blackberry announced its exit from the handset market,
Apple Iphone soon came into the picture and did many corporate tie ups to replace itself as the
6. handset with all top CEO’s and managers who were previously using Blackberry. Thus, it could
take over a major market share left over by Blackberry.
Promotions in the Iphone marketing mix
ATL – Promotions of Iphone are known to be fantastic and might range from a full front page ad
on the launch of the product, promotions in the radio, the television and what not. Whenever a
new phone is being launched, be sure to see Iphone everywhere, on each and every ATL
platform. Because they are targeting a premium segment, the presence of Apple Iphone is higher
in the ATL segment than in the BTL segment. The interesting thing here is the taglines in
newspaper ads because many of the Iphone ads are known to come up with the most interesting
taglines for the new phone.
BTL – For BTL marketing, Iphone uses out of home advertising with hoardings and point of sale
advertising in major retail outlets. It also uses various forms of sales promotions and exchange
offers to lure in the customer via BTL marketing.
As you can see, the Iphone marketing mix is one of the strongest marketing mix because the key
factor – Product, is very very strong. When you read the SWOT analysis of Iphone, you will find
out the various strengths of the brand and the product. As the product is strong and it is being
supported by the promotions, this ensures that 2 P’s are very much intact for the Apple Iphone.
The remaining 2 P’s – Pricing and place contribute well to make Apple Iphone one of the best
selling smart phones in the market.
