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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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