Introduction
In the present day environment, marketing challenges are based on creating a competitive situation and proper interaction with consumers since they make use of products and brands in their lives. Principles of Marketing stresses on the need for entrepreneurs to develop a value and gain loyalty towards their customers. Knowledge of fundamentals of marketing assists the readers in understanding how to create a perfect marketing strategy using value chain. In addition, an organization should create a sustainable business environment and focus on today’s marketing challenges. Kotler and Armstrong explain the meaning of the market and marketing management. Managers have the responsibility of ensuring that they fully understand the market sector in which an organization falls in order to come up with the necessary strategies for growth (Kotler & Armstrong: p. 91). The following discussion analyzes the Apple Inc marketing plan.
Apple, Inc is an electronic manufacturing company. The Company specializes in the manufacture of consumer electronics, computer software, and mobile phones. The best known brand from Apple, Inc that hit the market was the Smart Phone. However, the company has customers all over the world understanding the customer values and needs assist in developing an excellent business enterprise. Apple, Inc has won in producing unique products that come in different designs and styles combined with innovative marketing and abundance communication leading to a big share in the mobile market. In the year 2010, Apple made a success in the mobile market after bringing to market the iPhone and the smart iPod phone models. These designs hit the market and developed high demand due to their well-performing hardware, advanced software, high performance, and customer friendly. Although, many companies have now managed to develop similar products and competition is becoming stiff.
Marketing Objectives
The objectives of carrying out the marketing research for Apple, Inc Company are as follows;
1) To explain the company strategic planning
2) To design a business portfolio and develop growth strategies for Apple, ltd
3) To decide the marketing role in making a marketing strategy and describe how the company plans to create and deliver customer values.
4) To describe the basic elements of customer-driven marketing strategy and mix together with the influencing forces
Apple, Inc marketing strategy
Apple, Inc developed a marketing strategy aiming at becoming the World’s best supplier of electronic gadgets, especially in the mobile industry. The company has always been successful in all its marketing strategies because of its innovative and unique way of doing business. Between the years 2003 and 2008 the company’s share value increased from 7.5 US dollars per share to 185 US dollars per share. The following trend continued until in the year 2010 when the company’s shares lead at 210 US dollars. The main objectives for developing the marketing strategy are to enable the company top in supply of MP3 players in all its areas of operation. Secondly, the company plans to increase its sales by 20 percent; increase its revenue by 20 percent; increase its market share by 15 percent; expanding its distribution to 10 percent; and promote customer awareness on its brands by 60 percent (Pailan School of International Studies 2010).
Apple, Inc scored well in the last ten years with production of classic phones and computers that fetched more revenues. The company produces mobile brands like iphones, and ipods, whose demand is increasing at an alarming rate due to globalization and changing technology. In the current situation, many companies are emerging in the same business of producing smart phones. On the other hand, the Company deals with the manufacture of Personal Computers. In case the market for mobile phones becomes so competitive the organization can shift more of its effort into computers and still manage more revenue. The managers at Apple Inc understand the need for diversification since it enables since it makes an organization depend on many sources of revenue. The main objective of an organization in developing a marketing strategy is to emerge the best in the market and maintain its top position (Kotler & Armstrong: p. 36).
A perfect marketing strategy is essential for every business since it helps a business in concentrating and utilizing the available resources and opportunities to realize profits and become competitive in the market. In developing appropriate marketing strategies, proper assessment of the internal and external environments of the business is essential. The internal environment includes type and nature of product, marketing mix and the distribution constraints. On the other hand, the external environment may include the nature, type and distribution of customers and competition in the market. Other external environmental factors could include technology, cultural, politics, legal and the economic environment. Assessment of the environmental factors helps in the development of appropriate strategic distribution plans. A proper distribution strategy is required to execute the distribution plans to realize the marketing objectives (Kotler and Armstrong: pp. 202-203).
Conducting a marketing strategy plan is very important and as seen from the discussion, several factors lead to a successful business marketing plan. The manager today has to make crucial decisions regarding business opportunities every single day. The greatest challenge is that the business environment is fast growing and extremely dynamic. Managers always find it difficult making marketing strategies since operations keep changing every day. Each company develops a game plan aimed at long-term investments according to the organization goals and capabilities (Lewis & Slack: pp. 994-998). Apple Inc Company should plan a Product Mix strategy through producing brands that are superior from their competitors. Apart from production of the Smart Phones, the company also specifies in the manufacture of high class computers referred to as POWEMAC. This computer was developed for professional work since is voted best in office use, web design, movie production, and music editing (Pailan School of International Studies 2010).
Creating value for customers
According to Kotler and Armstrong, customers get satisfied from the services offered they in return bring about rewards to the business resulting to company growth. On the other hand, entrepreneurs should approach customers and make them products and brands offered in their organization (32). Creating customer value enabled the company retain most of its consumers and also acquire more. Apple Inc undertook a number of processes in a bid to attain competitive advantage while serving their customers. Of great importance to them, is ensuring customer satisfaction because satisfied customers most often purchase again and tell other people about it. The processes range from communicating to the prospective markets about the services offered and getting the target customer interested, approaching them and presenting on what the business offers, answering questions and handling customer objections, making sales and providing after sale service (Brassington & Pettitt: p. 150). Customers contribute a lot in business growth and thus their environments should be properly catered for.
Apple Inc business portfolio
The development of business portfolio is done through analyzing the company’s mission statement and objectives. The business portfolio should go by the company’s strengths and weaknesses while taking care of the opportunities available in the business environment. In Apple Inc has the strengths of developing their own software and hardware, and well trained staffs that make use of current technology in improving brand awareness. Looking at the weaknesses company produces products whose life cycle is very small thus have to develop new products and services more often. Secondly, the company’s turn up on highly demanded products is very low. The prevailing opportunities about apple, Inc enable its strategy work successfully. To start with Apple, Inc is capable of defeating the increased rate of virus and worms attack on personal computers (PCs) since they are antivirus developers. Secondly the plan of becoming the world’s best in developing MP3 players will ensure the company makes high sales since they are very marketable. Finally, the company focuses on manufacturing high class laptops that come in new and unique models (MBA Tutorials).
Implementation of marketing strategies
Apple Inc developed a high premium pricing strategy by producing PowerMac PCs that assisted the company improve at a high rate. In addition, the company developed the iBook, a laptop that spent quite a long period to develop. The idea generated by Apple marketing and manufacturing units was the development of a new and unusual gadget, then sell it at a lower price. The iBook laptop attracted a lot of consumers, and within a short time the gadgets were out of stock. According to Kotler and Armstrong, an organization requires selecting and developing new marketing plans for its products (pp. 45-46). For Apple Inc, the company decided on developing a unique brand that contains all features required by a laptop user. After developing the iBook, the company sold it cheap although it made a lot of profits. The technique behind iBook was that the gadget is small in size thus easily portable. In addition, the mini-laptop contained features like webcam, Bluetooth, wireless internet connection, and a DVD drive. The company advertised the product too well that every customer wished to buy it (Pailan School of International Studies 2010).
Application of the topic towards Apple Inc Marketing Plan
The book gives a lot on encouragement especially for organizations like Apple Inc who make billions of dollars as yearly profits. The organization gets a clear understanding of the current business environment and necessities for a competitive marketing strategy. On the other hand, the topic gives the organization motivation towards moving forward. In real marketing companies make use of capabilities in creating unique products from material that others never value. In Apple Inc the management developed a plan of developing substitute products to beat the upcoming threats. On the other hand, the real market requires an organization posses enough knowledge on the current technology since technical advancement plays a great role in attracting potential customers. The mobile phone manufacturing industry has brought about special concerns on both challenges and opportunities. Companies always join the many trade associations that assist in giving mobile technology updates every day. Such bodies include Mobile Marketing Association and Direct Marketing association (Becker & Arnold: pp. 31-35).
The topic also brings a big change in business perception as viewed by Apple Inc top management team. The leaders develop an understanding of the present day business situation and this enables them focus ahead of others in making their operations perfect and unique. Some people hold the perception that their businesses are leading in the world but forget that the world is developing and companies are adapting new ways of doing businesses. Another idea that contributed to the change of perception is on the way the writers analyze a buyer from the time of product development to the time the product is in the buyer’s hand. This creates a new design of encouraging buyers to purchase products even without asking a lot of questions. Apple Inc ensures that all its products are well described and instructions for use well elaborated.
Conclusion
The marketing strategy involves four fundamentals, which give the explanation as to the questions that most people have in their mind therefore, making the understanding of the business easier. The consumers like a marketing environment where they are comfortable in purchasing the commodities although; the sellers try to exploit then in order to get profits. Apple Inc makes a lot of profits without exploiting its consumers. Producers ensure that they produce commodities in relation to the consumers need and which are affordable depending on the income level of consumer. At Apple Inc the electronics, manufactured gave full satisfaction to consumers and the company experienced less complains concerning their products. The knowledge of the marketing strategy and meeting customers’ values helps in determining the type of goods to purchase. The management at Apple Inc made reference to the book in all their strategies that enabled them to achieve their objectives.
Marketing management assists in designing the correct customer-driven marketing strategy after getting the knowledge of the prevailing customers and the marketplace. According to Kotler and Armstrong, marketing management entails the process of selecting the target markets and developing good relationships aiming at bringing profits. In Apple Inc, the marketing manager has the following duties; Finding, attracting, maintain, and developing customers through designing perfect customer values. The marketing manager has a big challenge since many mobile manufacturing industries have emerged and are offering the same products but at low prices. In coping with the following issues, the company requires an understanding of the type of customers to serve (the target market), and how best to serve the chosen customers (value proposition). In developing a marketing strategy, the company collaborates with both inside and outside planners in order to create value for the target customers (Kotler & Armstrong: pp. 8-12).
Works cited
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2010
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Kotler, P. and Armstrong, G. Principles of Marketing. The Fourteenth edition. Prentice Hall.
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MBA Tutorials. Apple SWOT Analysis. 2009. Retrieved from:
http://www.mba-tutorials.com/marketing/swot-analysis-marketing/273-apple-swot-analysis.html
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