Apple was founded in 1976 as a computer company and started manufacturing phones in 2007 with the launch of the iPhone. The iPhone was one of the first smartphones to use a multi-touch interface and over 500 million iPhones have been sold. Apple targets young, image-conscious consumers with an innovative yet simple to use product line centered around the iPhone and its iOS operating system. Though iPhones have higher specs and prices than competitors like Samsung, Apple has cultivated an emotional brand through stylish design and extensive marketing campaigns.

1. Apple iPhone
from Computers to Mobile Phones
Submitted by: Mohit Kataria (PGP30318)

2. Apple
 Established in 1976 in California,
US
 Originally incorporated as Apple
Computers
 Founded by Steve Jobs and Steve
Wozniak
 Predominantly a manufacturer of
personal computers, Apple moved
onto manufacturing phones in 2007
 It is the 12th largest company in the
world (by market capitalization)‘Design is not just what it looks like
and feels like. Design is how it works’
– Steve Jobs
Source: Company Annual Report, Forbes Global 500 list

3. 1976 2001 2007 2010 2015
Apple I
iPod
iPhone
iPad
Watch
Product Timeline
Source: Company Annual Report

4. Product Portfolio
Source: Company Annual Report

5. iPhone
 First generation iPhone was
launched in 2007
 iPhone was one of the first
smartphones in the world to use
multi-touch interface
 8 generations of iPhone has been
launched since then
 In March 2014, Apple sold its 500
millionth iPhone
Source: Company Annual Report; IDC

6. ‘An iPod, a phone, an
internet mobile
communicator.. These are
not three separate
devices! And we are
calling it iPhone! Today
Apple is going to reinvent
the phone. An here it is.’
– Steve Jobs

7. Global Smartphone Market
CAGR: 33.9%
Source: IDC (2015) Source: IDC (2015)

8. Apple Product Portfolio Share
Source: Company Annual Report

10.  Innovative
 Simple to use
 Stylish
 High processing speed
 IOS operating system
 iTunes, Apple Store exclusive
apps
iPhone
Source: marketing91.com; ‘Marketing Analysis of Apple Inc’, The Write Pass Journal (2012)

11. Price
Rs 36,508 Rs 37,786 Rs 45,694 Rs 50,735
Source: Amazon

12.  Caters to Premium
Customers
 Demand based
 Skimming
 Strictly ‘No Discounts’
 Tie ups with Telecom
Operators like Airtel &
Vodafone for monthly EMI
plans
Source: marketing91.com; ‘Marketing Analysis of Apple Inc’, The Write Pass Journal(2012)

13. 4 Fold Distribution Strategy
Retail Stores
Franchise Retail
Stores
E-Commerce
Distribution
through E-
commerce
websites
Telecom
Operators
Tie-up with
Telecom operators
Corporate
Tie-ups
Tie-up with
Corporates
Source: marketing91.com; ‘Marketing Analysis of Apple Inc’, The Write Pass Journal (2012)

14. Pre-launch
• Blogs & Specialized Sites
• Opinion Leaders
• Speculations related to features
Launch Strategy
• Launch event
• Print media
• TV
• Social Media
Post Launch Strategy
• Digital campaigning
• Independent review websites
• Apple.com
Promotional Strategy

15. iPhone Ad Campaign
iPhone campaign that pleads to the brain rather than the heart,
while vaguely alluding to the inferiority of competing products.

16. Apple’s Latest Ad Campaign
Launched ‘World Gallery’ where all images
and video shot on iPhone 6 are housed
Why is the Campaign Great?
 Simple, clean, compelling
little product demos
 Campaign is for the
people, by the people
 It makes no claims about
Apple
 Apple celebrates the
creators it inspires

17. Apple Doesn't Target Markets. It Targets People
Demographics
• Targets people in the age group of 18-
35
• Youth population covering students
and young working professionals
Psychographics
• Brand Image
• Image Conscious
• Fashionable
• Tech-savvy
Influencers
• Family, friends and the peer group are
the main influencers
• Dealers do not play a significant role
in influencing the buyers

18. If not iPhone then?
28.9 31.5 30.7 28.9
22.9
16.9 15.2 18.3
2012 2013 2014 2015 YTD
Samsung vs Apple – Market Share (%)
Samsung Apple
Samsung Brands
Galaxy S6 Galaxy Note 4 Galaxy S6 Edge
Source: IDC (2015)

19. Specs Samsung Galaxy 6 iPhone 6
Screen 5 inches 5.5 inches
Weight 4.87 oz 6.07 oz
Resolution 1440 x 2560 pixels 1080 x 1920 pixels
Camera 16 megapixels 8 megapixels
Processor 2100 MHz 1400 MHz
RAM 3072 MB 1024 MB
4 P’s

20. Samsung Galaxy S6
Rs 38,700
Apple iPhone6
Rs 45,789
iPhone 6 sold at 20% premium to Galaxy
S6
4 P’s

21. The Great Smartphone War
Samsung
24.6
Apple
18.3
Lenovo
5.6
Huwaei
5.2
LG
4.3
Others
41.7
Sales
Source: IDC (2015)

22. Points of Difference
 Cutting Edge Technology
 Emotional Connect
 Brand Image
 Class Apart Quality

23. Features
Price
iPhone 6
Galaxy S6
Nexus 6
Lumia
iPhone 6 perceived highest in term of features
and price

24. Thank You