Apple lnc, is an American multinational corporation that designs and manufactures consumer electronics and computer products. The company’s well-known products include the Macintosh computers, the IPod and the iPhone. This company was established in Cupertino, California on April 1, 1976. On January, 1977, the company had been incorporated as the name called ‘Apple Computer, lnc.’ for over 30 years. The company have decided to change their company’s name to ‘Apple lnc.. Apple lnc. operates more than 250 retail shops in nine countries and an online store. It has about 35,000 employees in the whole world and had worldwide annual sales of $32.48 billion dollars at the end of the year 2008. (Seekingalpha.com,2009) According to the research in 2009, Apple lnc. has a high market share for about 7.96%. (www.apple.com ,2009)
1.2 Theory
Product:
Business must make sure that their products are meeting the needs of their customers. Their product must be suitable for their customers. (HALL,D, et al, P75)
Price:
The pricing policy that a business chooses is often a reflection of the market at which it is aiming. Prices will not always be set at the level which will maximize sales or short-run profits. (HALL,D, et al, P75)
Promotion:
There is a number of promotional methods a business can use including above the line promotions. (HALL,D, et al, P75)
Place:
This refers to the means by which the product will be distributed to the consumer. (HALL,D, et al, P75)
Market segmentation:
Breaking down a market into sub-groups with similar characteristics is known as Market Segmentation. (HALL,D, et al, P75)
1.3 Aims
Fortunately, the report will recommend the theory of Marketing and Business. Thirdly, the next purpose of this report is to try to explain one of the ads for IPod.(Figure 1)
Then, this report is going to investigate why the Ads has been product like its’ style and type. According to this report, the writer is going to state how this Ad work in the market. Finally, the final goal is to predict the future development of Apple lnc.
3. Findings
3.1 Color
First of all, it is clear that there are many different background colors in IPods’ ads, such as pink, red, blue and yellow. It is a random color for the background in all of the IPod’s ads and the color will never changeless. On the basis of this ad, the background color is pink, a color which is very romantic.
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3.2 Spokesman
IPod’s ads never use the same spokesman. The person in the ads are always in black whether they are men, women or children. In this ad, there is a pretty girl in the ad who is in black and this become another selling point. The consumer will never find out who the man or woman is because it is in black.
3.3 Production
This is an ad for IPod nano, which is one of the most important product in Apple lnc. IPod nano is a MP3 which is very small and fashion. Thus, in their ads it is always a white IPod nano in the spokesman’s hands or pockets. Therefore, black and white become a contrast color so that it can be easy to see that the colors of IPod and person are completely different from each other. Consumers can see different person with different IPod nano, but not other MP3 or MP4.
3.4 Catchphrase
The catchphrase for this ad is, ‘The best just got better.’
3.5 Price
According to the internet, the price of IPod nano is higher than other MP3s. For an 8GB IPod nano, it will cost the consumers $149 dollars or more than 1000 yuan and 16GB IPod attend to a price at $179.00 dollars.(APPLE STORE, US)
4. Discussion
4.1 Color
According to Color Wheel Pro – See Color Theory in Action, Red is the color of fire and blood, so it is associated with energy, strength, power, determination as well as passion desire and love. Red is a very emotionally intense color. It enhances human metabolism, increases respiration rate, and raises blood pressure. Red also brings text and images to the foreground. Pink is a color which is an embranchment of red, it means signifies romance, love, and friendship which is denotes feminine qualities and passiveness. (Color Wheel Pro) This ads’ background color is pink so that consumers can notice that this production is filled with energy and power which is very suitable for the youth. Contributed to there are many kinds of background color, the place can change to every kind of places. Every color represents a place, which means that the consumer can use the IPod nano anywhere and anytime they like.
4.2 Spokesman
Spokesman, definition from Ansewers.com, Spokesman is a man who speaks on behalf of another or others. (Spokesman, Dictionary) Consumers can not recognize the spokesman in this ad because she is in black. The company does not care about whether the spokesman is famous or not because their propagandistic main point is their production, IPod. The black color stand for every kinds of person can use IPod. There are no circumscriptions whether the consumers are old or young, boy or girl. It means that everyone can use IPod anyplace.
4.3 Marketing mix
4.3.1 Price
According to Business Studies (Hall, D et al), Price will not always be set at the level which will maximize sales or short-run profits. It means that IPod should have different of prices level for the consumers to buy. The price can not be the same because every consumer has their own demand. The demand will decrease if the price never changes or the product is always the same as before. Compare with other MP3s, IPods’ price is higher than other products. According to store.apple.com, for an 8GB IPod nano, it will cost you $149 dollars and 16GB IPod attend to a price at $179.00 dollars.(APPLE STORE, US) The price urge IPod to be the best brand in MP3. Relative to other MP3s in China, it can be easy seen that the price is very high so that it become valuable production in China.
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4.3.2 Place
According to Business Studies (Hall ,D et al), Place refers to the means by which the product will be distributed to the consumer. The main idea in this Ad depend on consumers is able to use IPod nano everywhere. The size and weight become the superiority of IPod which is better than any other MP3. The Ad show this idea from the place where the consumers put their IPod in.
4.3.3 Promotion
According to Business Studies (Hall ,D et al), there is a number of promotional methods a business can use including above the line promotions. The Apple lnc. dose the same work on promotion as other companies. Sometimes they hold sales promotion in retail space, therefore, it become a chance to get sponsorship for their advertising. Sale promotion is a function which the consumers prefer to attend because they will buy products in low price. Sales at the expense of profits is a good way to make profits.
4.4 Catchphrase
The catchphrase for this ad is, ‘The best just got better.’ This is a sentence which is short but deep thinking. The word ‘best’ and ‘better’ can be easily change in to anything as the company like. The consumers become able to put more interest in the product which the company what to sell.
5. Recommendations
To summarize, This Ad is suitable for IPod because of its’ exquisite idea. Based on the above discussion, IPod will become the youths’ first choice because its’ fashion and superiority. The fact have proved that Ipod is now the best mp3 for the youth. Never theless, if the company do not compare with others, its’ lifecycle will be end. Apple lnc. is reviving by brought up new products and changing target market. From different kinds of Ipods, it definitely shows that expand target market is very necessary for every company. The Ad has play an important role in attracting consumers and increasing market share. Because of its’ superiority Ad, IPod has become one of the best MP3 in the world. However, the developing market are never fully explored in a short period of time, it is still a good chance for Apple lnc. to expand their company size and making good advertisement might be a good choice. In a word, there is a good way for all the company to expand themselves and the target market.
6. References
- <1>http://seekingalpha.com/article/115797-apple-inc-f1q09-qtr-end-12-27-08-earnings-call-transcript?source=front_page_transcripts&page=-1
(access at 2009)
<2>http://www.apple.com/pr/library/2008/10/21results.html
(access at 2009)
<3>http://baike.baidu.com/view/14874.htm
(access at 2009)
<4>http://store.apple.com/us/browse/home/shop_ipod/family/ipod_nano?mco=MTAyNTQzMjM
(access at 2009)
<5>http://www.answers.com/topic/spokesman
(access at 2009)
<6>Hall, D., R, Jones, C. Raffo, A. Anderton (2008 4th p75), publication: British Library Cataloguing
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