Marketing in Apple Inc

Category: Apple, Microeconomics
Last Updated: 07 May 2020
Pages: 5 Views: 308

Apple Inc. has had tremendous success in the domestic and international market. Its marketing strategies, superior products, imaginations and ability to develop ideas has transformed the markets in the United States and Europe. The great and exceptional designs and style of their products combined with great and innovative marketing strategies has kept Apple Inc. ahead of its competitors.

There is no doubt that the personal computer industry in the world markets is very competitive but Apple Inc.brands have been able to remain competitive in the domestic and international markets. Although the main reason for success of Apple Inc. personal computer and cellular brand has been their main focus on emotions and personality, their superior domestic and international marketing strategies have played an important role. There are however many environmental factors that have dictated the marketing strategies adopted by Apple Inc. According to Sliwinska et al (2008), Apple Inc. has succeeded in revolutionizing personal computer markets in America and Europe.

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The reputation of Apple Inc. among its consumers around the world is not in doubt, thanks to its superior products and marketing strategies. The consumers especially in the United States are very loyal to Apple Inc. brand names forming an excellent consumer base. In terms or repurchase and product loyalty, Apple Inc. is way ahead of its competitors in the personal computer industries in the United States and Europe. Although the loyalty of the consumers to Apple Inc. products has been considered by analysts to be unusual, the company has created it.

The same trend has been observed in the online iTunes Music Stores run by the company which has evolved to the 3rd largest music shop in the world. The rate at which the iPod accessories markets are expanding around the world is also substantial. The launching of Apple iPhone has also shaken the mobile phone market threatening the dominance of Nokia and Motorola in the market. One of the most important strategies adopted by Apple Inc. to expand and retain its domestic and international markets has been technology and invasion.

Their new state of the art products, iPhone has been designed elegantly adopting the latest technology in information technology and design which has gained it a significant command in the cellular market. Its smart phone capabilities combined with easy to use graphical interface on a multi touch displays makes it a sophisticated communication device of the 21st century. Although the device was introduced at a high price of up to 599 dollars, it was an anticipated device of the decade and attracted a lot of customers. The great sales on the device has been due to Apple Inc.

’s main target clientele of people aged thirty years and below who are considered more technologically sophisticated. However, Apple Inc. products have had a good reception across the population especially among the early technology receptors such as professionals, scientist and those in entertainment and communication technology industry. The main marketing strategy problem that faces Apple Inc. is therefore expanding their markets beyond the technology loving young generating to maintain substantive growth in its domestic and international markets.

This is because the mainstream users are able to maintain the success although the role of the early adopters in the introduction of the product in the market is very important (Sliwinska et al, 2008). There is no doubt that Apple Inc. injects a lot of capital in developing state of the art products. Consequently, the company adopts skimming strategies to increase their profits and sacrifice high sale to reimburse their capital investment. This strategy is however applicable in products that are less sensitive to prices because of the value of the product or the targeted users and is only used for a short period of time.

Other than attracting health profits margins, Apple Inc. has used skimming strategies to increase its command of the domestic and international markets. This is because the high prices despite low volumes of sale protect the privacy of the products. For this reason, development of pirated versions of Apple Inc. products is relatively slow securing the brand name. Consequently, due to the snobbism associated with Apple Inc. products, individuals who want to be part of the Apple family have eventually bought the products despite the high prices.

Apple Inc. skimming strategies is always in two levels. The prices of products have been observed to decrease progressively with time especially when launching the next generation version. In the second level of the strategy, the next level of generation products are launched at a lower price compared to their predecessor. It is also important to note that no one can singly gain a company domestic and international market share. Other marketing strategies are therefore necessary (Sliwinska et al, 2008). The Apple Inc.

has also employed versioning also known as pricing discrimination to expand its market share in the world while maintaining the snobbism of its brand names. This is a strategy in which a company charges the consumers of the same product different prices. The company ensures that the consumers pay the maximum they are willing to pay for the particular product. However, it is important to note that pricing discrimination is not applicable in all situations. It is only applicable when the product market is in the short term, market segmentation – either directly or indirectly – is possible and arbitrage of products at varying prices is possible.

These conditions are fulfilled in the contests of Apple Inc. products which together with the nature of the market act as an incentive to pricing discrimination. Apple Inc. sells its products at the prices to the intended customers at a price they are willing and able to buy. At first, they sell at higher prices to increase their profit margins but later drop their prices significantly to increase volume and consumer base. These changes in price may involve a change of up to 200 dollars within two months.

Moreover, the company is also Apple to provide iPod for example for the wealthy and less wealthy at different prices (Sliwinska et al, 2008). In conclusion, Apple Inc. command in personal computers and cellular market is not in doubt. The company has been able to maintain and expand the market of its products in the domestic and international markets especially in Europe while maintaining the snobbism associated with its products. This has been due to its creativity and innovativeness in their designs and marketing strategies.

One of the most important marketing strategies adopted by Apple Inc. has been in the pricing which has enabled it maintain the command in the market. However, these strategies have not been without challenges such as customers’ complains which the company has been able to respond to effectively. Reference Sliwinska, D. , Ranasinghe, J. & Kardava, I. (2008). Apple’s Pricing Strategy, retrieved on August 13th 2010 from http://christophe. benavent. free. fr/IMG/pdf/AINI_2008_Apple_s_Pricing_Strategy. pdf.

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Marketing in Apple Inc. (2018, Jun 17). Retrieved from

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