This report will use Apple Inc as a case study to underline the importance of what is the role of marketing in a consumer society? Also there will be critique of different theorist such as Jean Bauldriard, Raymond William and Stuart Hall to for the marketing concepts.
The modern definitions and history of Marketing;
During 18th and 19 century Marketers realized that consumers are buying products for the sake of their desires and satisfaction, where as before only selling a product was important and not the need and satisfaction of the customer. When companies realized the needs and want of the customers then they started to change rapidly and started to create an image in customers mind by using advertising/promotion. Technological and social changes are included in this change.
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Nowadays marketing defined as involving “product development, distribution, pricing and communication. Also in developed firms, continuous attention to the development of new products with product modifications and services to meet the changing needs of customers”. Peter Drucker states that “The aim of marketing is to make selling superfluous” as most companies doing marketing to distribute information to seek attention and persuade customers to purchase. As a result we can say that marketing is a process that aims to understand and satisfy the needs of a customer to make sales and maximise revenue. Marketing is not advertising, it is one of the component within marketing, which is used to inform consumers about product or services provided. This report will use marketing techniques and strategies apply it to Apple inc. to explore the concept of marketing and its role in consumer society.
Raymond Williams highlighted about advertisement in the Magic System theory, that advertising doesn’t means of only selling goods/products. However, advertising in its modern forms operate to maintain the consumption ideal from criticism, that consumption does not address social needs.
Consumer society is when people buy new goods and services, it can also be said as consumer behaviour in terms of demand is constantly changing especially for the goods that they do not need, and which leaves high value on owning many things. We are all participants in an existing phenomenon that has been variously called a consumerist culture and a consumer society. Consumerism is a social and economic method that is based on the systematic creation and encouragement of desire to purchase goods and services in increasingly amount. To say that some people have consumerist attitudes or values means that they always want to consume more. The theory states that an increasing consumption of goods is economically beneficial. In long-term historical and social factors influencing consumption. Jean Baudrillard stated the consumption theory in his (The Consumer Society) book, that consumption has become the most important basis of the social order. He explores how consumer products, rather than modern decisions such as class, made up a system of signs that differentiated the population and those meanings related with products being delivered to customers via.
Apple Inc.http://www.hotstocked.com/articles-img/small/apple-inc.jpg
Apple Inc is an American multinational company established on April 1st 1976, which designs and produces consumer electronics such as iPones, iPods, iPads and iMacbook and software products and its best known for its computer hardware products including Macintosh personal computer line, Mac OS X, extremely loyal user-base, iTunes media application and the iPod personal music player. The companies head office is based in Cupertino, California. CEO and co-founder is Steve Jobs.
Apple’s popularity increased more in late 1970’s with its interesting, forceful and inviting advertisements to inspire individuals. In 1990’s Apples advertisements were at the top with the “Think Different” campaign, it owned its popularity by using famous people in their adverts. Apple has achieved its high targets in its development and growth in 2007 when they first created iPhone, which has changed the fortune of the company. The iPod, iTunes, iPhone and new great Mac computers became the most popular and profitable devices ever for Apple.
Apples Marketing Strategies and Techniques
Apple has gained successful image in past couple of years with their creative, fresh and progressive way of making business, they create great style and designs, great strategy, innovative marketing, smooth and tempting communications. Apple’s seductive success is owned by their iPhone, iTunes and iPod products. All these products have presented a combination of an immense hardware, perfect style, and great software, expeditious and speedy performance with a good e-business service. (2007, 2010 Venrtygo team)steve jobs apple computers
Apple has exceeded $160 billion in 2008, $210 billion in 2010 and in January 2011 they exceeded $302.47 billion in market capitalization, as Apple Inc. shares has increased by more than seven points. They made huge differences in the market shares and this implies that consumers are more aware of the products, and the right marketing strategy used has reached to right consumers. Apples has made extraordinary campaigns in communication with consumers and extremely modified marketing strategy with particular target section of the market. They appeal to customer’s needs and wants directly with their great communication, the distribution network and with their quality and price ratios.
Apples has several key strategies in marketing which made them successful and come to top of their game in a way like no other. Apple always managed to extend their experience and created a tribe. Apple also communicates in the language of their audience; Apple tries to give information in the way that their customers want to be informed. Their prices are justified, apple customers gladly pay premium for the reason of their good selling quality devices are nowhere else.
They ignore critics, any time Apple produce a new device especially for the iPad people say that it will fail. Every time Apple decided make new changes and introduce a new device they prevailed. Steve Jobs did not listen to critiques instead focus on building what they want to build. Albert Einstein said that “Great ideas often receive violent opposition from mediocre minds.”
Apple turns the ordinary into something beautiful. PC makers constitute a standard hardware for standard applications. Apple is the leading best standard operating system and computer system against to their competitors. Simultaneously they are exploring the design standards as well. Result of this is the multi-wanted iMac, Mac book Air and iPhone 4
Former of Apples marketing executive and consumer marketing expert Steve M. Chazin has revealed the Secrets of the World Best Marketing Machine from Apple.http://www.i-seb.com/wp-content/uploads/2009/04/segmentation.jpg
One Don’t Sell Products (People buy what other People have) according to Steve M. Chazin’s point here is that products don’t sell people do. For example when looking to the advertisement of the popular product iPod, there is lots of happy, energetic people dancing in shape against a colourful, vibrant and ever-changing background and it is the newest, trendiest features coming on the market, which gives customers the desire to buy as we live in a society that wants things new and improved and different from the regular products. Therefore Apple is showing its customers the difference they have from their competitors, it isn’t selling you a simple MP3, its also inviting you to the difference lifestyle of apple. They indicate that if you use MP3 you’ll hear good music, but if you use apple iPod then you will feel good due its value and ability to play it in many different places. As Raymond Williams talks in ‘The Magic System’ that in our society advertisements are created to make customers to believe that the product they buy will make them feel in a different way. Apple makes people believe by the advert that they will feel the same way of those happy dancing, energetic people.
Also Apple has an distinctive white headphones (uniquely to Apple), which are produced as pure apple marketing trick, it is designed to make visible part of their product a status symbol, wear white headphones and you are the member of the club. For example the advertisement of iPod shows us the people shadows dancing hold their iPods and showing distinctive white headphone. Accordingly Baudrillard states that, “consumption is the most important basis of the social order and sociologically a particular individual belongs to a specific group which consumes a specific product, and the individual consumes such a product because he or she belongs to such a group” This theory is related to the marketing that Apple gives to its customers, when customers buys Apple Product because they know that they belong to that society and it add-ups value to them. According to Raymond Williams when people buys more than just the product, as they buy self-respect, beauty, and power in their society through this consumption. Raymond also believed that people who have high consumption of products are living high standard life. …….http://cdn1.iofferphoto.com/img/item/193/716/718/oZ4Y.jpg
Two Never be the First to Market, (Make Something Good Greater) the marketing executive of apple applies that Apple is always leader creating new categories, surely they have never invented anything new such as PC’s and MP3’s and phones, but iPhone is very successful with functionality of on existing designs such as The Mac, iPod, iTunes and iPhone. Apple makes complex things easy and elegant as it is easy now to get music in to your pocket. Apple don’t define you categorize rather they try to occupy shelf space that already exist in prospects mind, apple focuses on the one thing they do better and then make that mater to us.
Baudrillard also declares that he can go one better and introduces a third form of exchange which is symbolic exchange in the form of the sign. Baudrillard argues that in addition to the satisfaction of human needs, commodities can also provide social status something of increasing value in modern society. This value is expressed in the form of the sign.
Three Empower Early Adopters, this aspect identifies that Early adopters are those who are genuinely Apple Lovers and those who taking a risk to help Apple to succeed. Early adaptors are younger in age and have money to spend. Steve M. Chazin says that they are the first to take Apple product to everywhere. iPhone users feel in the same way the PowerBook users felt in 1993. Early adopters are the first to voice Apples marketing force through word of mouth as these adopters have set apart from the crowd and their gadget is a symbol of their states which they are proud to show off. http://www.dealgiant.co.uk/wp-content/uploads/2010/01/MacBook_Pro_MB990B-A_offers.jpg
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Apples glowing apple logo is always upside down to you and it was fixed to be right side up for others to see when you open you open your Macbook you are showing others the brand and selling the brand to others. What this makes is that enables customer to make their choices by seeing it in others. Baudrillard stated that “either prior production (polls, market studies) or subsequent to it (advertising, marketing, conditioning), the general idea “to shift the locus of decision in the purchase of good from customers where it is beyond control to the firm where it subject to control” (p.38). Apples intention is to make customer come to them without any encouragement via the firm. Apples secure customer loyalty by considering its product strong design as it is plain and simple.
Many consumers may possibly not ready to buy an Apple computer due to its price, but they are willing to give gadgets to try such as smart iPods or iPhone, as these products are lower price entry to Apple Inc it gives the customer opportunity to be introduces to the brand and its quality products. Customers are more likely to buy apple computer in future if they are happy with these gadgets. According to Baudrillard he described the way of influencing customers desires “the infernal round of consumption is based on celebration of needs that supposed to be “psychological”. These are distinguishes from physiological needs since they are supposedly established through “discretionary income” and the freedom of choice and consequently manipulate at will” (Baudrillard p.39). Apple can influence easily their existing customers who are using iPhone, iPad and iPod to buy their Mac book computers.http://www.itechnews.net/wp-content/uploads/2008/06/griffin-powerdock-2-iphone-ipod.jpg
Encoding / Decoding in Apple Inc.
Stuart Hall developed a theoretical model to clarify the influence of television broadcasts such as advertisements called the encoding and decoding model. Encoder is trying to transfer information in a certain meaning based way to decoder, while decoder is adapting this original meaning into a new version according to their own way of perceiving. “Production, here, constructs the message” (Hall, 1980). According to iPod advertisements via Hall’s concepts, arguing that his production-reception model is a useful approach to understanding modern mass media messages, especially advertising. This model assumed that the media tools had an interest in production, circulation, distribution, consumption and reproduction rather than just conveying a message. In the encoding/decoding model of media discourses developed by Stuart Hall, the meaning of the text is located between its producer and the reader (Hall, 1980). Therefore apple produces plain and not confusing adverts towards customers as if the decoder perceiving differently to the encoder, the decoder will create their own version of the message with a totally different intention. When decoder functions under this position hall states that “He/she is operating with what we must call an oppositional code” (Hall, 1980). Encoding decoding is not a important concept for Apple Inc as their customers all ready knows what to perceive they won’t be confused.
Apple Branding
Marketing executives in a company give values to add services to a product and an attempt to enhance their products like Apple with values and links that are recognised and valuable to their customers which is then a brand. Identification or distinction from other competitors is the reason for branding which gives them their own identity. Apple is one of the examples which are now leading as a brand in IT arena. Apple (brand name) which is auspicious had a consumer’s loyalty by the strength of their services and values which then lead the customers to repeat a purchase from the same company again. Advertisements do have an enormous attraction for a customer to hit on an individual mind for a company. Apple as compared to other companies is a well recognised brand and it definitely preferable by customers.http://www.damonchernavsky.com/Pictures/Creative_Ads/Evolution_of_Brands/history-of-apple-computers.jpg
Critical Analysis and conclusion
Conclusion
Referances
Dougherty, M. (2010) The story of apple Inc. Last accessed on 12.03.2011 [online] http://www.brighthub.com/computing/mac-platform/articles/65346.aspx
http://blog.kissmetrics.com/7-strategies-apple-marketing/
http://www.vertygoteam.com/apple_marketing_strategy.php
http://www.theglaringfacts.com/2010/11/encodingdecodingmodel
Williams, Raymond (1962) ‘Advertising, the Magic System’. In Problems in Materialism and Culture. London: New Left Books.
Baudrillard, J. (1998). The Consumer Society: Myths and Structures. Sage Publications Ltd. London, England.
http://mashable.com/2011/01/03/apple-300-billion/
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