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AppleiPhoneMarketingPlanGroupAssignmentArabAcademyforScience,TechnologyandMaritimeTransportationMBAGroupHAhmadullahEl-HadidyBasemGaberHanyAbdulwahabKareemRaslanMoustafaHanafyTamerYousifAppleiPhoneMarketingPlanExecutiveSummerySituationalAnalysisSWOTAnalysisMarketingObjectivesMarketingStrategyImplementationBudgetControlExecutiveSummerySituationalAnalysisSWOTAnalysisMarketingObjectivesMarketingStrategyMarketingResearchImplementationBudgetControlExecutiveSummeryThePast–SteveJobs,SteveWozniakandRonaldWayneestablishedAppleonApril1,1976inordertoselltheApple1ComputerKitthatwashandbuiltbySteveWozniak.TheApple1wassoldasamotherboard(withCPU,RAMandbasictextualvideochips)–lessthanwhatisconsideredapersonalcomputertoday.Applewasresponsibleforcreatingthedesktoppublishingmarketduetotheirinnovativeprogrammes,PageMakerandLaserWriter.Between1983and1996Appleexperimentedwithanumberoffailedconsumertargetproductsincludingdigitalcameras,portableCDplayers,speakers,videoconsolesandTVappliances.Marketshareandstockpricesdecreased.In2001,AppleintroducedtheiPodportabledigitalaudioplayer.Theproductwasphenomenallysuccessful–over100millionunitsweresoldwithin6years.
ExecutiveSummerySituationalAnalysisSWOTAnalysisMarketingObjectivesMarketingStrategyMarketingResearchImplementationBudgetControlExecutiveSummeryTheiPhonetargetsconsumerswhoneedtostoreinformationandcommunicateorpeoplewhowantentertainmentonthego.Applestargetsegmentsconsistofprofessionals,students,corporateusers,entrepreneurs,andhealthcareworkers.Currently,themarketforhigh-endphonesliketheAppleiPhoneissmall.FewpeoplewantInternet,video,andPDAfeaturesinonedevicebecauseofthehighprice.Thesmartphonemarketisstillrelativelysmallcomparedwithgeneralphonemarket.Themarketwillrapidlyincreaseincomingyearsduetolowerpricesandgreaterpower.
ExecutiveSummerySituationalAnalysisSWOTAnalysisMarketingObjectivesMarketingStrategyMarketingResearchImplementationBudgetControlSituationalAnalysisPoliticalSituationTaxationissomethingthatgovernmentsputandAppleshouldbestudythisascountrybycountrycasetoanticipateprofitability,andpricingstrategy.ImportinglawsintheworldwithGATTareinfavoroftrading.Countriesareveryvariableinstabilityof,soweshouldstudyeachcountrycasebycase.EconomicalSituationEconomicalgrowthworldwideisinabigrecessionwhichneedcarefulmanipulationPotentialityofthemarketisdecreasingbutitishigherthananyothersintheTelecomsector.ExecutiveSummerySituationalAnalysisSWOTAnalysisMarketingObjectivesMarketingStrategyMarketingResearchImplementationBudgetControlSituationalAnalysisSocio-CulturalSituationPopulationgrowthleadingtoexpansionofthesectorneedsforcellphones.Peopledependmoreanmoreonmobilecommunicationeverywhere.Thereiseducationalgrowthintheworld.Culture’sperceptionofthetechnologicaldevicesispositiveworldwide.Literacy&illiteracylevelisnotaffectingusingcellphonesbutaffectinghightechnologicalcellphones,thisfactneedstobeconsidered.AcceptanceofimportedproductsinsomecountriesarelessifthereislocalproviderTherearedifferentsocialviewsthatmayaffectproductshouldbeconsidered(e.g.:BoycottingAmericanproductsintheIslamicworld)ExecutiveSummerySituationalAnalysisSWOTAnalysisMarketingObjectivesMarketingStrategyMarketingResearchImplementationBudgetControlSituationalAnalysisCompetitionSituationThereare19260cellphoneproducerintheworld,buttherearemorethan15bigcompaniescompetingattheworldlevelMarket.ExecutiveSummerySituationalAnalysisSWOTAnalysisMarketingObjectivesMarketingStrategyMarketingResearchImplementationBudgetControlSituationalAnalysisEnvironmentalSituationTheglobalconcernoftheGlobalWarmingissue&otherpollutioneffectsconcerningthepackagingmaterialandradiationofthecellphonesThedemandoftheinternationalenvironmentalapprovalsisamust(ifthereisany)
SalesSituationCellphonesindustriesareoneofthemostprofitableindustrieseverywhereandtheMarketisincreasingExecutiveSummerySituationalAnalysisSWOTAnalysisMarketingObjectivesMarketingStrategyMarketingResearchImplementationBudgetControlS/OAnalysisStrengthsInnovative–TheiPhonehasaninnovativetouchscreen.Italsohasmanyfunctionsofothermobileproductsallinonedevice
Compatibility–ThephonewillworkwithiTunesandwithotherMac/AppleproductsandOSsoftwaretoolswhichmeanslimitlesspotentialforupgradeability.
Ease-of-Use–Theall-newtouchscreeninterfacerecognizesmultifingergestures,justasthehumanhandnormallybehaves.
ExecutiveSummerySituationalAnalysisSWOTAnalysisMarketingObjectivesMarketingStrategyMarketingResearchImplementationBudgetControlS/OAnalysisStrengths
Price–iPhonewouldbesoldatareasonablepriceforitsvalue.
Quality–Scratchresistantscreen–durableandlightmetallicfinish-softwaresuiteresistancetocomputerviruses.ExecutiveSummerySituationalAnalysisSWOTAnalysisMarketingObjectivesMarketingStrategyMarketingResearchImplementationBudgetControlS/OAnalysisOpportunitiesIncreasingdemandandexpansiontoanewtargetsegment–AstechnologyadvancesandsmartphonesgetcheaperApplewillattractconsumersandgetiPoduserstoupgradetoiPhones.
Upgradeable–iPhonesoftwareallowsnewexcitingfeaturestobebroughtinwhichtakeadvantageofthetouchscreenability.Futureversionswillalsobehardwareupgradeable.
ExecutiveSummerySituationalAnalysisSWOTAnalysisMarketingObjectivesMarketingStrategyMarketingResearchImplementationBudgetControlS/OAnalysisOpportunitiesPartnerships–ApplecancollaboratewithmanypowerfulglobalmobilephonecompaniestofloodthemarketwithiPhones,whichreducescostsinmarketingandincreasesrevenuethroughlong-termagreementdeals.ExecutiveSummerySituationalAnalysisSWOTAnalysisMarketingObjectivesMarketingStrategyMarketingResearchImplementationBudgetControlW/TAnalysisThreatsIncreasedcompetition–Smartphonesareeasiertomakenowmorethanever.Morecompaniesmayenterthemarket,andcompetitorsorevenApplecontractorscanmaneuveraroundpatentstocreatesimilardevices.
Downwardpricingpressure–TheiPhoneismarketedasahigh-endphone,butphonepricesarealmostcertainlygoingtofallwhenothercompaniesundercutthepriceofiPhones.
DifficultyexpandingintoAsianmarket–ThereislesshypeandinterestinAsiasincesmartphonesarebetterknownandalreadywidelyused.ExecutiveSummerySituationalAnalysisSWOTAnalysisMarketingObjectivesMarketingStrategyMarketingResearchImplementationBudgetControlW/TAnalysisThreatsCompetition(Palm)-PalmhasthelongesthistoryinPDAmarketandhasexperience-developingsoftwareformobiledevices.Itisalsoawell-knownbrandforbusinesspeople.Existingsoftwareiswellestablishedandcompatiblewithmanyproductsforthismarket.ThemarketisfamiliarwithPalmproducts;significantswitchingcostsareinvolvedingoingtoaniPhone.PalmcanaddmanysimilarcapabilitiestotheirproductsthatmatchtheiPhoneandexpandtoawidermarketthroughlowercostandhigher-powerproducts.ExecutiveSummerySituationalAnalysisSWOTAnalysisMarketingObjectivesMarketingStrategyMarketingResearchImplementationBudgetControlMarketingObjectivesSetanaggressivebuyachievableobjectiveforthefirstandsecondyearsofmarket:First-yearObjectives-Weareaimingfora2percentshareoftheU.SandU.K.PDA/Phonemarketthroughunitsalesvolumeof445,000.Second-yearObjectives-aretoachievea10percentsharebasedonsales.ExtendontheApplebrandnameandlinktotheestablishedmeaningfulpositioning.ExtendonApplesimageofinnovation,quality,andvalue.Measuretheawarenessandresponseinordertomakeadjustmentstothemarketingcampaignsasnecessary.ExecutiveSummerySituationalAnalysisSWOTAnalysisMarketingObjectivesMarketingStrategyMarketingResearchImplementationBudgetControlMarketingObjectivesTargetMarket(cont.)Secondarybusinesstargetismid-tomid-sizecorporationsthatwanttohelpmanagersandemployeesstayincommunicationoraccesscriticaldataonthego.Marketsegmentwillconsistofcompanieswith$10-$50millioninannualsales.PositioningUsingproductdifferentiation,positioningtheiPhoneastheversatile,convenient,value-addeddeviceforpersonalandprofessionaluse.Focusontheconvenienceofhavingonedeviceforcommunication,butalsomusic,pictures,andvideo,andfullInternetaccess.TheiPhonewillbepromotedasbothprofessionalandhip.
.ExecutiveSummarySituationalAnalysisSWOTAnalysisMarketingObjectivesMarketingStrategyMarketingResearchImplementationBudgetControlMarketingMixStrategyProductFullyearwarrantyalongwithanoptionalthree-yearAppleCarewarranty
SametasteasallotherAppleproducts
Specialeditionversiontobelaunched(includingtheiPhoneBeatleseditioncelebratingtheir40thanniversary)
Launchingacheaperversionin2008withless
advancedfeaturesalongwithamore
advancedversionforprofessionaluse
Addingthefollowingfeaturestotheiphone
(largediskstoragecapacity,lowerweight,
thinnerdevice,longbatterylife,4Gwireless,
GPSandimprovedcamera)ExecutiveSummarySituationalAnalysisSWOTAnalysisMarketingObjectivesMarketingStrategyMarketingResearchImplementationBudgetControlMarketingMixStrategyPriceSetthebasemodelatacheappriceof$349
Amoreadvancedmodelfor$399
Special
limitededitionBeatlesiPhoneforspecialprices
GenerallylowerourpricestoensureweestablishmarketdominanceinasshortoftimeaspossibleExecutiveSummarySituationalAnalysisSWOTAnalysisMarketingObjectivesMarketingStrategyMarketingResearchImplementationBudgetControlMarketingMixStrategyPromotionIntegrateApplemessageofrevolutionarycommunicationsandaudio/visualexperiencetogetherinallmediaadvertisements
DifferentiatetheiPhoneagainstothersisthetouchscreenfunctionality
EmphasizeApplebrandprominentlyandassociatethe
iPhonewiththeiPod’sgroundbreakinglineage
Originalbuttastefuladvertisementsatthesametime
AmassiveTVcampaignisplannedbeforelaunchingtheiPhonefeaturingasoontobelegendaryadtobethetalkofthecountryAdvertisingwillbeappearingonaregularbasisto
maintaingeneralpublicawarenessExecutiveSummarySituationalAnalysisSWOTAnalysisMarketingObjectivesMarketingStrategyMarketingResearchImplementationBudgetControlMarketingResearchFouragegroupswillbetargeted:15-20years,20-25years,25-45years,and45yearsandupHighSchoolandCollegeagedpeoplewilldemonstratesocialusesThe25-45yearsgroupwillbeusedtodeterminebusinessapplicationandsocial/personaluseThe45yearsandabovewillgiveusaplantomarkettomoreseniorwell-refinedgroupExecutiveSummerySituationalAnalysisSWOTAnalysisMarketingObjectivesMarketingStrategyMarketingResearchImplementationBudgetControlImplementationCompensationsystemworkers$5incentivepayforeverynonrejectphonetheyproduce$10perphonesixsigmaqualityprogrameachworker$5000eachyearforbestpracticetrainingusecontrolmeasurestocloselymonitorqualityandcustomerservicesatisfactionconsumerscancontactthemainheadquartersaboutanypossibletechnicalproblems–byusingAppleCustomerServiceBarandacustomerservicephonenumberstoredinthephonebookExecutiveSummerySituationalAnalysisSWOTAnalysisMarketingObjectivesMarketingStrategyMarketingResearchImplementationBudgetControlImplementationIncaseofslowsalesOfferiPhonetocustomerswhohavepurchasedotherAppleproducts$10perphonesixsigmaqualityprogram,whichwillleadto:demonstratetheproductforconsumers,itwillpromotesynergyandlurebuyers.developdeeprelationshipswithtwoverydifferentsegments:thosewhohaveitandthosewhoaspireExecutiveSummarySituationalAnalysisSWOTAnalysisMarketingObjectivesMarketing
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