Chapter 8 - Segmenting and Targeting Markets

Psychographic Segmentation is a method used by Apple to market their products. Apple products for some cunsumers is a lifestyle, if an electronic is made by Apple they have to purchase it. These customers won't buy an iMac and then buy a Zune mp3 player, they would get an iPod.

 Apple consumers also say that Apple products fits their personality; Apple products makes them feel technologically advanced, for "tweens" generation Apple products makes them feel cool, and for generation Y usually college students apple products such as Mac computers, makes these consumers feel smart.

A motive for Apple consumer is security. Apple is known for not getting viruses or spyware, also speed is another motive; Apple consumers say their Mac computers never freeze, unlike PC's.


Apple Products can be marketed to any section of the family cycle. Ipods can be targeted to all of the family cycle, specially tweens generation, Iphones are targeted to all the cycle, Macs are usually targeted, to generation X, Y, and Baby boomers, because of College use, and company use.

Developing and Managing Products

When Apple developed the first Iphone in 2007, Apple had high expenctancy in this new product. Because of the futuristic visions Apple had of the Iphone, they decided to announce this new product six months before the release. This was the first product Apple announced months before the release, usually Apple product are announced less than one month of anticipation.

Innovation is a word that fits perfect in Apple's world. Ipods have different generations, and everytime a new generation is released, you could expect a new feature that will amaze you. Iphone is another great example of Apple's innovation, from the first multitouch screen finger friendly starting with their first Iphone, then the sleeker design and 3g network for their Iphone 3g, next will be the first Iphone with video camera, and today the new Iphone 4 with hd video recording, facetime chat, and a great multitask phone.

According to some analysis I viewed, most of them agree that Apple's Iphone is still in their growth stage. These analists say that because of Iphones high sales growing everytime there is a new Iphone released, Apple is still in the game. Also consumers are always waiting with what innovation Apple is coming up next with, since these consumers already knows that the new models are always going to be different.

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Customer Relations Management

 

     

                       



   Apple's customer relationship managment is known to be one of the best, especially for brand loyalty. Apple uses different strategies to create loyal customers:

   One of them is the Apple store, this is a store where you could play with all Apple's products, and customers who already own Apple products can learn more about their products, and explore other Apple's exciting products.

   Apple offers complete solutions, by this I mean that if you buy an Apple product, all accesories, hardware or software that you will need, Apple makes it. Just imagine buying a computer, and you don't know if that pc company sells a software you need.

   Apple carries varied products, maybe you are not ready to buy a Mac yet, but I'm sure you can afford an Ipod or an Iphone. If this consumer likes the Ipod, and he or she is very satified with it, this customer is most likely to buy a Mac computer in the future.

  

Apple also offer educational sales. By offering Apple products to students, and offering them a discounted price, students are most likely to buy  Apple products like a Mac, but most importantly, by selling Apple products to students, is like a foundation, because once these students graduate they know Apple's performance and reliabilty is great and they will continue to buy Apple products, especially Macs.

New Microsoft Office for Mac 2011

We were all excited when the release of Microsoft Office for Mac 2008 was released, we didn't have to worry about recieving a file from a PC and not be compatible, or even worse; switching to a PC just because for your business or education you needed microsoft office. It is an important program offered for Mac users, but there were worried Mac users on the new release of PC's Microsoft Office 2010. Micorosoft Office 2010 for PC has made a big improvement, and has many new features. Mac users were worried because eventhought Office 2008 for Mac could be open by any Microsoft Office, but what if you recieve a file from a partnersgip or Proffesor using Office 2010 and he used new features from the software? You wouldn't be able to view it! Luckly last month Microsoft announced the Release of Office 2011 with all the features of Office 2010 for PC. And if you purchased Mac 2008 in the past 3 months, you would be able to upgrade to Office 2011 for FREE! Once again Mac has proved that they will do whatever it takes to make Mac users more PC compatible.



Integrated Marketing Communications



The Apple's Iphone has a marketing mix perspective. The first one I will explain is the product, Iphone is like the combination of a big screen Ipod, an internet browser, and of course a phone. What is great of this device is that before the Iphone existed, to see the mentioned features together we would think of a big device; like a mini computer maybe, but the Iphone is lightweight and compact; fits right in your pocket.

For the place Apple has decided to partner with AT&T to provide them service, and as a point of sale for their Iphones. But AT&T isnt the only place to buy an Iphone, it can also be purchased at the Apple retail store, Apple online store and currently in Best Buy stores.

For promotion, Apple had a different strategy for the release of the Iphone. Usually Appple will announce the release of a new product right before it hits their stores, but with the Iphone since they knew it was going to be a success, they decided to promote it 6 MONTHS before it's expected release.

As for price, Apple's Iphone started at a price of $499 for their 4gb, and $599 for their 8gb Iphone. You have to sign a two year agreement with AT&T and with monthly fees starting at $59.99.

Brand Loyalty

In our previous class we discussed about brand loyalty, and how your family can be a factor. In relation to tha subject, I found an interesting video not from my company, but by the car manufacturer Toyota: