The proposed report will look at effective and ineffective marketing factors for Apple’s iPad product. The iPad has many natural features to iPhone users and may be called a product innovation. The ultimate conclusion of the proposed report is that Apple’s iPad marketing has so far been successful, but needs to distinguish more products.
Current Marketing Situation
The iPad was released just a few months ago, and the first-generation edition is already currently being promoted. “From the point of view of the manufacturer, customers and trade are the two poles that anchor what can be seen as a continuing cycle of product creation, advertisement and promotional activities efforts to provide the fuel needed to keep this cycle in operation “(Ailloni, 1998).
The iPad is getting a lot of exposure, particularly when it comes to placements of media products.
The market that Apple operates in is extremely competitive. There are high barriers to entry and a couple of established competitors offer similar services. Switching costs have been increasing because many companies are using long-term contracts with harsh penalties against customers who try to switch products.
However, this is still an industry in which competition fuels innovation and progress, and many consumers are looking for the “next big thing.”
The iPad is a larger version of the iPhone with a more powerful processor without phone capabilities.
The proposed report will detail the product review’s specificities, features, and pros and cons when there is more textual space allotted to do so.
As noted, the market that Apple operates in is extremely competitive. It is currently facing stiff pressure from Microsoft, Samsung and other firms.
The proposed report will look closely at 3 of Apple’s major competitors, focusing on specific products in the same category as the iPad.
- Strengths—market position, premium pricing, internal subscription network
- Weaknesses—high price, the possibility of glitches, fragility
- Opportunities—changes in IT trends
- Threats—competition, external market variations
Objectives and Issues
One goal is to link the iPad and information retrieval in marketing terms. “To the extent that the information is made public and transparent, it will make people better informed and able to make better choices. New economy organizations tend to be flat, decentralized, and open to employee initiative” (Kotler et al., 2002, p. 4).
The establishment of new marketing principles that are not based on rigid rule structures, but are instead more able to respond to an ever-evolving dynamically present. The issue of market responsiveness is one that the proposed report will focus on predominantly.
- Price—as noted, premium pricing and network subscription increase this angle
- Product—product features have been mentioned
- Promotion—Apple is using traditional and nontraditional market channels
- Place—the proposed report will focus on Apple’s flagship store in NYC
Communications and Research
Even with increases in interface and technology, Apple shows traditional views about marketing. As Ailloni (1998) states, “In spite of all the intellectual legerdemain involved in repackaging old terms in new age catchphrases, the marketing of consumer packaged goods was, is, and will remain concerned with only one basic objective: the profitable movement of as many cases as possible.”
Budgets and Control
There remains a great deal of internal difference in how companies institute and perpetuate financial control systems. Just as every individual is not the same, every company has different parameters and guidelines it follows in the procedure of financial control. Some companies have strict and transparent controls, while others may not. A new economy, which is based in part on improved access to consumer information. These traditions are also financial, which can mean less dynamism when a structure divides marketing into advertising and promotions with different short- and long-term agendas for each function in terms of profit. Since Apple is a strong-performing market leader, it has a large budget and can afford the start-up costs that disallow small start-ups. However, with a large budget, consumer expectations also increase. The proposed report will analyze the budgeting management process at Apple closely, both in general and explicitly with respect to the iPad example.
- Ailloni, D. (1998, March 16). Marketing, by any name, is still about sales. Brandweek.
- Kotler, P (2008). Marketing: An Introduction. Boston: University Press.
- Kotler, Philip, Jain, Dipak C., and Suvit Maesincee (2002). Marketing Moves: A New
- Approach to Profits, Growth, and Renewal. Boston: Harvard Business School Press.
- Willis, D.M., and S.S. Lightie (2000, October). Management reports on internal controls. Journal of Accountancy.
- Apple iPad—Marketing (2010). http://bentremblay.com/en/apple-ipad-marketing-and-tech-blogs