Marketing Strategy of Apple Iphone

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Marketing Strategy OF Apple Iphone
Bcom hons. (University of Delhi)
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A MINI
PROJECT REPORT
ON
MARKETING STRATEGY OF APPLE IPHONE
SUBMITTED FOR THE PARTIAL FULFILLMENT OF THE
REQUIREMENT FOR THE AWARD
OF
MASTER OF BUSINESS ADMINISTRATION
(BATCH-2020-2021)
AFFILIATED TO:
Dr. APJ Abdul Kalam Technical University, Lucknow
SUBMITTED TO: SUBMITTED BY:
DR. PANKAJ PANDEY KESHAV SHARMA
( Faculty ) MBA 3rd SEMESTER
RD ENGINEERING COLLEGE, DUHAI,

GHAZIABAD

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DECLERATION
I, KESHAV SHARMA hereby declare that the project entitled MARKETING

STRATEGY OF APPLE IPHONE has been carried out by me under the guidance of
Dr. PANKAJ PANDEY
This project is submitted to Dr. A.P.J. Abdul kalam Technical University, Lucknow,
In partial fulfilment of the academic year 2021-2022.
This is the outcome of my own research work based on personal study and has
not been submitted previously for award of any degree or diploma to this
university or any other university.
(KESHAV SHARMA)

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Acknowledgement
Completing a task is never alone journey. It is often the result of a valuable

contribution from a number of individuals in every possible way, which
ultimately helps in achieving the objective.
Firstly, I would like to thanks Head of department Dr. GAURAV BANSAL and
Guide Dr. PANKAJ PANDEY, for their kind support and giving me the
opportunity to present this project.
I am thankful to all the members of management of the college, who provided

me to all the information that I needed to complete this project. This project
would not have been accomplished without their valuable support.
I would like to acknowledge the contribution of my parents and all my friends

who have been instrumental in successful completing of the project.
Name of student
KESHAV SHARMA

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Table of contents
 INTRODUCTION (4-7)
OBJECTIVES
1. MISSION
2. VISION
3. PROBLEM
4. IMPORTANCE
 RESEARCH METHODOLOGY ( 8-15)

1. MARKETING RESEARCH
2. RESEARCH DESIGN
3. DATA COLLECTION AND SAMPLING
Sources of Data Collection
i. Data Collection Tools
Sampling Plans
a. Sampling Units
b. Sample Size
c. Sampling Area
d. Sampling Survey
e. Sampling Design
 OBJECTIVES OF THE RESEARCH (16-17)
 SCOPE OF THE RESEARCH (18-20)
 APPLE”S CELLULAR PRODUCTS
PRICE RANGE (31-33)
 PROFILE OF THE COMPANY (34)

HISTORY AND BACKGROUND
 SWOT ANALYSIS (36-36)

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 MARKETING STRATEGY OF APPLE IPHONE (37-40)

1. MARKETING OBJECTIVES
a. TARGET MARKET
b. POSITIONING
2. MARKETING MIX STRATEGY

a. PRODUCT
b. PRICE
c. PLACE
d. PROMOTION
 APPLE AND ITS COMPETITORS (41-43)
 SUGGESTIONS (44-46)
 LATEST BUZZ OF APPLE’S PRODUCT (47)
 DATA ANALYSIS AND INTERPRETATION (48-61)
 FINDINGS AND OBSERVATIONS (62-63)
 CONCLUSION AND RECOMMENDATION (64-65)
 BIBLIOGRAPHY (66-68)
 QUESTIONNAIRE (69-74)
 REFERENCES (75)

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“THINK DIFFERENT ”
- Steve Jobs

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INRODUCTION

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OBJECTIVES:
Apple wants to be perceived as the provider of the youngest, newest, hippest and
most chic-designed products on the market. Their entire marketing strategy
revolves around a simplistic style that doesn't require a whole lot of wording; its
style alone is enough to entice and engage a customer. A
secondary marketing objective is that they want to communicate that all of their
products are interoperable - meaning that they'd like each of their products in
various segments (the macbook pro, the iphone, the ipad, etc.) to be used in
complement to each other. They'd like to create a generation that is defined by the
Apple lifestyle.
MISSION:
“Man is the creator of change in this world. As such he should be above systems
and structures, and not subordinate to them.”
VISION:
“Apple is determined and committed to deliver the personal computing experience

to students, educators, creative professionals and consumers around the world
through its innovative hardware, software and internet offerings. Apple is able to
enhance the resources for future generations and for continuous improvements.”
PROBLEMS:
Nowadays, people spend more time on their phone due to the function available
too broad. The first problem is the price for iphone is relatively high. Second
problem is the radiation release by iphone is high and it might put our health at
risk. Third problem is the durability of battery is low.

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IMPORTANCE:
In terms of developing a strategic vision as it relates to marketing, below are some

of the key takeaways to consider from Apple when formulating a long-termstrategy
for success:
1) Identify Trends – By recognizing such trends as digital consumerism and that

the PC industry was becoming highly commoditized, Jobs was able to visualize a
strategy for a product that met consumer needs. To uncover such insights, it’s
important to look across industries, strategic groups, buyer groups, the scope of a
product or service, the functional-emotional orientation of an industry, and time.
More info on that topic is available in a blog post here.
2) Analyze Competitors – When research pointed to the fact that Apple was
losing market share and cannibalizing sales due to their strict licensing policy, Jobs
ventured out to contract with Microsoft to develop core products, while at the same
time making the decision to utilize Intel chips in their computers, enabling Apple
to build laptops that were both faster and less power hungry. By thoroughly
understanding his competition, he was able to partner with competitors in ways that
were not only mutually beneficial, but downright advantageous.
3) Innovate – By following a Schumpeterian model of creative destruction and

focusing on the needs and wants of the consumers rather than how to just improve
upon an existing product, Apple was able to continuously re-think its product line
and invent new products that re-defined the traditional boundaries of the market.
Innovation allows for companies to capitalize on the “first mover advantage,”
resulting in the realization of high up-front market share and profit margins.

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4) Position Your Product - Because many computer systems and related

products can be easily replicated, finding ways to extend the life of a product
through complementary offerings is almost as important as re-invention. For
example, the App Store served as a complement to the iPhone which resulted in
$1 billion in annual profits. And upon the launch of the iTunes store, an exponential
demand for iPods was created.
5) Build Brand Awareness – Through utilizing creative campaigns and non-

traditional advertising channels for the Mac brand, Apple embarked on a truly
unique differentiation strategy, which helped grow brand awareness.
6) Optimize Distribution – Apple revamped its distribution system to move

from smaller outlets to national chains. They also opened their own retail stores
(280 stores in 10 countries), which now account for 16% of Apple’s total revenue.
The retail stores were a success because they provided users with an opportunity
to learn about, experiment with, and test drive products.
7) Don’t Forget Your Customers - Apple is known for superior customer

service. In fact, just the other day I corresponded with a customer service
representative though their online chat function and received a thorough answer to
my inquiry. By creating and sustaining a superior customer service model,
competitive advantage can be easily achieved.

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RESEARCH METHODOLOGY

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Marketing Research:
“Marketing research means the systematic gathering, recording, analyzing of data

about problems related to the marketing of goods and services.”
Marketing research has proved an essential tool to make all the needs of marketing
management. It is, therefore, a scientific process of gathering and analyzing of
marketing information to meet the needs of marketing management. The systematic
conduct of research requires:-
 Orderliness, in which the measurements are accurate.

 Impartiality in analysis and interpretation.
Research can be categorized into:
o BASIC RESEARCH: Basic research is intended to expand the body of

knowledge for the use of others.
o APPLIED RESEARCH: Applied research is one, which is carried out to find

the solution for a particular problem or for guiding a specific decision. It is usually
private in nature.
My research on Apple Iphone is carried on to expand the knowledge about the

policies of Apple Iphone and its results are useful to Apple Company for taking
particular decision regarding product quality, sales, and its trategies. Hence the
nature of my research study is “BASIC RESEARCH.”

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RESEARCH DESIGN
Research design indicates the methods and procedure of conducting research study.
It is the arrangement of the essential conditions for collection and analysis of data
in a form. Research design can be done in following three types:-
1. Exploratory Research:-
Exploratory research determines the general nature of the problem and the
variables related to it. The main emphasis is laid on the discovery of new ideas and
is generally based on secondary data.
2. Conclusive Research:-
Conclusive research provides information for the evaluation of alternative courses
of action and can be categorized into descriptive and causal research.
Descriptive research is undertaken when the researcher want to know the

characteristics and features of certain groups.
Causal research is undertaken to identify causes and effect relationship between

two variables.
The Research Design is: Descriptive Research Design
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Data Collection and Sampling:
A) Sources of Data Collection:-
Basically there are two types of data i.e. secondary and primary:
 Primary Data: Primary data comprises of direct responses and data is
collected from different respondents . Questionnaire was used as the major tool
in collecting primary data for our research. Primary data also collected through the
direct interview with the respondents.
 Secondary Data: Secondary data is the data, which is not gathered for the
immediate study at hand but for some other purposes. Secondary data for the
research is collected through magazines like Business World, newspapers, Auto
magazines and internet etc.
Therefore both the types of data were used in order to collect information for the
study.
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B) Data collection Tools:
To conduct a survey, the Researcher has selected a structured questionnaire as an

instruction for gathering valuable information from the customers. Questionnaire,
which is used for the survey, is consisting of questions and checklist questions to
check the customer feedback.
Sampling Plan:
The researchers have to design a sampling plan that consists of four decisions:
A) Sampling unit:
Who is to be surveyed?
The Researcher has selected youngsters, businessmen, housewives and employees

to conduct survey and to measure the satisfaction level of customer.
B) Sample Size:
Sample size means limited numbers of respondents covered under the research
study from a population. Here, the researcher has taken a survey of 100 respondents
to know the satisfaction level of customer.
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C) Sampling Area:
The researcher’s area for survey was:
 RD Engineering college, duhai, Ghaziabad
 Few areas in Ghaziabad, UP
D) Sampling Survey:
Here the researcher has randomly selected the respondents of Ghaziabad,

Noida and Ghaziabad.
E) Sampling Design:
Here the researcher has chosen “SIMPLE RANDOM SAMPLING” [sub part of
probability sampling] to carry out the survey. In this each unit of the
Population (100 respondents) has an equal chance of its selection.
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OBJECTIVE OF THE RESEARCH
The following survey was mainly done with an objective to know the state of mind
of an individual and their preference of buying an apple Iphone. And their
satisfaction level towards buying the same.
I. To know brand awareness of apple.

II. What are the problems reported by iphone user?
III. What are the places for purchasing iphone?
IV. Which type of promotion and packages available for iphone?
V. To know the customer perception with special reference of apple iphone.
VI. To know the buying pattern of consumers.
VII. To inquire the price, quality, feature and design expectation of the consumers.
VIII. To know the preference of this brand by the customers.
IX. To know the buying frequency of the consumers.

X. To know the satisfaction and pride from this brand.
XI. To know the percentage of purchasing this brand regularly.
XII. To know from which media the customers come to know about this brand.
SCOPE OF THE RESEARCH:

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 To conduct this research, the target population was the mobile users who
arousing apple technology
.
 Sample size of 100 respondents was taken.
 To these 100 respondents, a questionnaire was given, which was a

combination of both open ended and close ended questions.
 Finally the collected data and information was analyzed and compiled to
arrive at the conclusions and recommendations.
 Money plays a vital role during the whole project duration.
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APPLES CELLUAR PRODUCT

PRICE RANGE
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CAPACIT
8GB 16GB 32GB 64GB
Y
PRODUCT
S
IPHONE 12200/ 15000/ 18000/ --

3G - - -
--
IPHONE 14500/ 17000/ 20500/
3GS - - -
31000/
-
IPHONE 4 25000/ 27000/ 28500/
- - -
38200/
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PROFILE OF THE COMPANY
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History and Background:
The iPhone is a revolutionary piece of hardware. Matching simplicity with power,

it is the epitome of what Apple does well and will certainly appeal to the company’s
longtime faithful customer base. However, Apple must be careful that it does not
waste an incredible chance to effectively access the wireless smart phone industry
with the iPhone. Currently, there is no hardware interface superior to the iPhone,
and Apple must ensure that its accompanying software flows along the same vein.
So, it is imperative that Apple capture a substantial portion ofthe rapidly
expanding smart phone industry if it is to truly bring wireless communication
convergence to the world. While Apple has currently made deals with several movie
studios, it must also ensure that the iPhone serves as a practical solution for
businesses. While it is important that the iPhone provide entertainment, it must also
be a functional business tool, and an open source software development kit will
assure that developers will have the freedom to make sure that the iPhone realizes
its full potential. If Apple does appeal to businesses in this way, it is a very
realistic assumption that the company could capture at least a 30% market share
and increase its net profits by many times.
Since its initial release, Apple’s iPhone has garnered an incredible amountof
excitement throughout the world amongst both computer enthusiasts and
technophobes alike. The iPhone, Apple’s first foray into the extremely competitive
wireless telephone market, has captured attention with its revolutionary user
interface. With one face composed entirely of a touch screen, the iPhone is able to
provide its user with both a convenient and familiar “qwerty” keyboard, and a
widescreen cinema display, all at the touch of a finger. Furthermore, Steve Jobs
recently announced during Apple’s 2008Keynote that the company has signed
contracts with several large name studios including Disney, Paramount Pictures,
and Warner brothers, allowing it to provide iPhone users a vast catalogue of on-
demand movie rentals.
This chart depicts the astounding growth of apple’s stock from JANUARY 9,
2007 to JANUARY 9, 2008.
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SWOT ANALAYSIS
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Strengths:-
1) Customer loyalty combined with expanding closed ecosystem:
While at first Apple’s closed ecosystem was a weakness for the business, this has
now changed.
First, Apple now has a full range of apps, software and products that are interlinked
and support each other.
Second, new products and supplements will be released soon (iTV), hence
expanding the ecosystem.
Third, Apple has a strong customer loyalty, which increases due to Apple’s closed
ecosystem, which, in turn, is supported by customer loyalty. So the combination of
Apple’s expanding closed ecosystem and customers’ loyalty increases firm’s
competitive advantage.
2) Apple is a leading innovator in mobile device technology:
Apple has been chosen as the most innovative company in the world for the 3rd
time in 2012. Company’s core competency of producing innovative products is the
strength the company builds upon and is able to bring the most innovative products
to the market.
3) Strong financial performance ($10,000,000,000 cash, gross profit margin

43.9% and no debt):
Apple’s financial performance is one of the best among many companies. Company
currently (end of 2012) holds about $10,000,000,000 in cash, which can be used for
acquisitions, buying back company shares and other matters. It also has higher
gross profit margin than its main competitors, which is equal to 43.9%. Company
has no debt and is not directly affected by interest rates or credit markets.
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4) Brand reputation:
Apple has a reputation of highly innovative, well designed, and well-functioning

products and sound company performance. Apple brand is valued at $76.5 billion
and was the second most valuable brand in the world in 2012.
5) Retail stores:
Apple’s retail stores ensure high quality customer experience; provide direct
contact with knowledgeable staff and increases brand awareness. Besides, Apple’s
stores are one of the most profitable in terms of sales/ft2.
6) Strong marketing and advertising teams:
Marketing is one of the strongest functional areas Apple has. It can sell pricier
products, build superior stores (they are more or less built to achieve marketing
goals) and advertise their products in a compelling manner.
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Weaknesses:-
1) High price; Apple’s products cost much more than its competitors
devices:
Some critics argue that the price is not justified. When there’s such a fierce
competition, Apple products price becomes a weakness because consumers can
easily opt for similar quality but lower price products.
2) Incompatibility with different OS:
The iOS and OS X are quite different from other OS and uses software that is unlike
the software used in Microsoft OS. Due to such differences, both in software and
hardware, users often choose to stay with their accustomed software and hardware
(Microsoft OS and Intel hardware).
3) Decreasing market share:
The less market share Apple has, the less it can influence its potential customers
and persuade them to jump into using Apple’s closed ecosystem products.
4) Patent infringements:
The firm is often accused of infringing other companies’ patents and has even lost
some trials. This damages Apple brand and its financial situation.
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5) Further changes in management:
Apple has lost Steve Jobs in 2012 and Tim Cook became the new CEO. Scott
Forestall and John Brawest (chief of retail) left the company too and this will have
an impact on company’s management, which, as many think, will be negative.
6) Defects of new products:
This is not current Apple weakness but one that jumps out time to time. Some of
Apple’s iPod and iPhone releases had clear faults and thus disturbed sales of the
products and firm’s reputation of superior product performance.
7) Long-term gross margin decline:
Current Apple’s gross margin is one of the highest in the tech industry but analysts
fear that due to increasing component prices and competition current margins will
not be sustained. Hence, glooming firm’s future financial performance.
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Opportunities:-
1) High demand of iPad mini and iPhone 5:
iPad mini sales will increase Apple’s market share in the tablet market and, will
strengthen firm’s competitive advantage.
2) iTV launch:
iTV launch will support Apple TV sales and the products’ ecosystem.
3) Emergence of the new provider of application processors:

Samsung, the main Apple’s competitor, is also the only provider of application
processors for Apple’s products. Apple has to find a new source for the component
but could not find a suitable one yet. Nonetheless, new manufacturers with superior
engineering capabilities are arising and it’s just a matter of time, when Apple will
seize upon the opportunity of being less dependent on its direct competitors.
4) Growth of tablet and smartphone markets:
Growth of tablet and smart phone markets is a good opportunity to expand firm’s
share in these markets.
5) Obtaining patents through acquisitions:
Apple lacks of some patents to sustain its growth and the best way to acquire those
patents is to acquire the firms holding them. In addition, Apple could develop new
skills and competencies.
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6) Damages from patent infringements:
Apple patents are often infringed by its competitors. Thus, collecting the damages
from the companies that do so is a viable opportunity to not only increase the cash
reserves but to damage the competitor’s reputation and sales as well.
7) Strong growth of mobile advertising market:
Apple has developed iPAd advertising platform, which allows advertising on

Apple iPhone, iPad and iPod touch. The growth of mobile advertising market is an
opportunity which could be further seized upon.
Increasing demand for cloud based services. Apple could expand its range of
iCloud services and software as the demand for cloud-based services is expanding.
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Threats:-
1) Rapid technological change:
One of the most severe threats Apple and the other tech companies are facing is
rapid technological change. Companies are under the pressure to release new
products faster and faster. The one that cannot keep up with the competition soon
fails. This is especially hard when a company wants to introduce something new,
innovative and successful. Apple was able to bring very innovative products to the
market so far but for the moment, even Apple hasn’t unveiled any plans for the new
products (except iTV) and may lack new introductions to keep up with competition.
2) 2013 tax increases:
Tax increases in USA in 2013 will negatively affect Apple.
3) Rising pay levels for Foxconn workers:
Pay levels for Foxconn’s workers already rose 3 times from 2010 to 2012. Foxconn
is the main manufacturer of Apple products and the rising pay level for Foxconn’s
workers will likely raise the prices for Apple products.
4) Breached IP rights:
The companies that breach Apple patents might not be discovered soon and may
benefit from it, while weakening Apple at the same time.
5) Price pressure from Samsung over key components:
Samsung has already asked Apple to pay higher price for its application processors.
Due to intense competition and no viable substitutes, Apple may be asked to pay
even more.
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6) Strong dollar:
Apple earned more than half of its revenues from outside US. Dollar appreciation
against other currencies reduces potential profits from those countries.
7) Android OS growth:
Android OS is the main competitor for iOS in mobile device market. The
domination of Android decreases iOS power over influencing consumers to join
Apple.
8) Competitors’ moves in online music market:
Apple faces threat from online music stores, such as Amazon, Wal-Mart and online
music subscription companies, such as Spotify.
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MARKETING STRATEGIES OF APPLE

IPHONE
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A) Marketing Objectives:
 Set an aggressive buy achievable objective for the first and second years of
market :
 First-year Objectives - We are aiming for a 2 percent share of the U.S
and U.K. PDA/Phone market through unit sales volume of 445,000.
 Second-year Objectives - are to achieve a 10 percent share based on sales.
 Extend on the Apple brand name and link to the established meaningful
positioning.
 Extend on Apples image of innovation, quality, and value.
 Measure the awareness and response in order to make adjustments to the
marketing campaigns as necessary.
a) Target Market:
 Differentiate the iPhone from other PDA’s on the market.

 Primary customer targets are the middle-upper income professional to
coordinate their busy schedules and communicate with colleagues, friends and
family.
 Secondary consumer targets are high school, college and graduate students
who need one portable multifunction device.
 Primary business target is to partner with:
 large cell phone service providers, AT&T, Verizon, Sprint and Cellular One.
 large enterprise software firms where information is critical to the end
user.
 Secondary business target is mid-to mid-size corporations that want to help
managers and employees stay in communication or access critical data on the go.
 Market segment will consist of companies with $10-$50 million in annual
sales.
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b) Positioning:
 Using product differentiation, positioning the iPhone as the versatile,

convenient, value-added device for personal and professional use.
 Focus on the convenience of having one device for communication, but also
music, pictures, and video, and full Internet access.
 The iPhone will be promoted as both professional and hip.
B) Marketing Mix Strategy:
a) Product:
 Full year warranty along with an optional three-year Apple Care warranty
 Same taste as all other Apple products
 Special edition version to be launched (including the iPhone Beatles edition
celebrating their 40th anniversary)
 Launching a cheaper version in 2008 with less advanced features along with
a more advanced version for professional use
 Adding the following features to the iphone (large disk storage capacity, lower
weight, thinner device, long battery life, 4G wireless, GPS and improved camera).
b) Price:
 Set the base model at a cheap price of $349.

 A more advanced model for $399.
 Special limited edition Beatles iPhone for special prices.
 Generally lower our prices to ensure we establish market dominance in as
short of time as possible.
c) Place:
 Massive rollout worldwide at all reputable major retailers.

 Massive rollout Online, Showrooms and in all cell phone providers.
 All Apple Stores the Apple website will dedicate themselves to the iPhone.
 Eye catching displays will be found at all physical stores featuring the iPhone
to make the product stand out from the pack .
 Apple Stores will have the iPhone on display a full month before its
worldwide release.
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d) Promotion:
 Integrate Apple message of revolutionary communications and audio/visual

experience together in all media advertisements.
 Differentiate the iPhone against others is the touch screen functionality.
 Emphasize Apple brand prominently and associate the iPhone with the iPod’s
groundbreaking lineage.
 Original but tasteful advertisements at the same time.
 A massive TV campaign is planned before launching the iPhone featuring a
soon to be legendary ad to be the talk of the country .
 Advertising will be appearing on a regular basis to maintain general public
awareness.
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APPLE AND IT’S COMPETTIORS

Apple competes against other companies; that's a part of doing business. But
today, more than ever before, Apple faces increasing—and fascinating—
competition from companies that aim to recreate and then build on Apple's own
innovations. Apple's responses to those competitors and the products they create
are even more interesting.
In 2007, Apple introduced the original iPhone. There was nothing like it in the
marketplace: a multi-touch screen that took up almost the entire face of the device,
a user interface based on discrete apps. The competition responded, at first, by
trying to recreate the iPhone. “We too can make phones that use full-size screens
with apps,” the competitors seemed to say.
But those competitors—and their customers—initially found that simple iPhone
knockoffs weren’t very exciting. Part of the problem was that, as late CEO Steve
Jobs promised and as Samsung has found out all too well, Apple had “patented the
hell out of it.” Perhaps even more significantly, simply copying the iPhone wasn’t
such a simple or straightforward task; even today, some competitive platforms
struggle to do smooth scrolling and zooming.
Once Apple’s competitors realized that creating another version of the iPhone
wasn’t enough, they took what to them must have seemed the next logical
competitive step: They made the screens bigger. They made phones with screens
that hit the four-inch mark, then the five-inch mark; the Samsung Galaxy Note II
includes a 5.55-inch screen so large that it ships with a stylus—human fingers
simply aren’t long enough.
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Below are the graphs that shows the competition apple has in the market:
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GRAPH 1
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GRAPH 2
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GRAPH 3
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GRAPH 4
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MODIFICATIONS IN APPLES IPHONE W.R.T

IT’S COMPETITORS
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SUGGESTIONS
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Suggestions by respondents:
 Rattling problems are scarce, if you do get one with a defect, just send it back
and get a replacement. I have never had this problem, and I doubt you will either.
I definitely recommend the 4S, and I know you will enjoy Siri, a better camera,
faster processor, etc
 I have owned my 4s for nearly two months, i dont know what this rattle
sound you speak off? toe to toe the iphone 4s is the iphone 4! but faster processors
which means the apps will load faster - well the whole phone will work faster.
 My suggestion for iPhone makers is to add more options in the feature call
forwarding like divert/forward when busy or not reachable or out of network etc
 These are some and very important i feel, and i know that there are so many
features that are going to be added in iOS5 and addition of this would also make it
more better
 The voice control feature should be active all the time which will help in
calling contacts anytime even when we are over the earphone listening to songs
and driving. By saying this, I mean to say that we do not have to open the voice
control feature physically and then give the command.
 Please allow different formats of video to be played in the ipod and not only
.mp4 or .h264. There are so many formats which has to be included and i am sure
u know about it
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Latest buzz about apple and its products:
 Suppliers and vendors in China are buzzing about Apple releasing a lower-
priced, plastic Smartphone in July, and according to another analyst report that
supports the rumors, the device could sell for $350 to $400.
 Apple will reportedly begin production of the next iPhone in the next three
months, raising expectations of a summer launch.
 Apple develops tool to 'detect and remove' Flashback Trojan.
 Apple wins over Motorola in 'slide-to-unlock' ruling.
 Apple's iMessage, Face Time hit with second outage this week.
 T-Mobile offers iPhone 5 for $0 down to carrier-switching iPhone users .
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Apple shot for the ultimate high end with its iphone’s announcement today,
loading in radical new features those other phone manufacturers will be racing to
catch up with.
And they'll have room to race, because the iPhone is priced so high that only true
fans will be able to afford one, and only Cingular customers will be able to buy it.
That will prevent Apple from dominating the smart phone market the way they
have the MP3 player market.
The iPhone is much higher-end than I thought it would be: It has not only GSM,
EDGE, and Bluetooth (and notably, not one of the 3G high-speed cellular
networks) but Wi-Fi and a gigantic, super-high-res touch screen.
It surfs the Web with a desktop-quality browser and gets push email—but notice
it's personal Yahoo! email, not corporate email, and there's no solution for editing
document attachments. This is a consumer phone, not a business phone.
The iPhone's elegant scrolling and big buttons take Smartphone applications and
get rid of the need for a stylus. Apple aims to solve the famous problem of cell
phone usability with an all-touch screen interface that you can tap with your finger
rather than a stylus. Americans haven't taken to all-touch-screen phones before
because of the lack of tactile feedback proving that you've pressed a button, and
48

lOMoARcPSD|37168907
the unattractive "screen grease" look that results from pressing your cheek to a
touch screen.
Among the iPhone's many innovations is "multitouch"—an interface where you

can, say, pinch things on the screen with two fingers and drag your fingers apart to
make the items bigger. It's just one of many radical, intuitive elements in this
phone that I hope other manufacturers will copy.
49

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50

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Q-1. Do you own a mobile phone?
NO. PERCENT
1. 95% Yes
2. 5% No
Graph
NO
5%
YES
95%
INTERPRETATION:
The above given table & Graph shows that 95% customers own a mobile phone
and 5% customers are not interested to carry a mobile with them.
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lOMoARcPSD|37168907
Q-2.Do you know about the brand “APPLE”?
NO. PERCENT CUSTOMER
1. 75% Yes
2. 10% No
3. 15% Cannot say
INTERPRETATION:
The above graph and table shows that 75% customers aware about brand and 10%
customers do not believe in brand. 15% customers are not able to express their
own views regarding the brand.
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Q-3.What the factor that influences your decision while going for purchase of
a mobile phone?
% MEDIUM
CUSTOMER
NO.
1. 10% Brand Name
2. 25% Specifications
3. 50% Price
4. 10% Place
5. 5% Service
60%
50%
50%
40%
30%
25%
20%
10% 10%
10% 5%
0%
B/N Speci. Price Place Service
53

lOMoARcPSD|37168907
INTERPRETATION
The above given data and graph shows that 50% customers decision is influenced
by the price of the mobile phone, 25% customers make their decisions by
specifications,10% customers’ decisions are based on brand name & place, finally
5% of the customers decide on the basis of service..
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Q-4.From which media did you come to know about this brand?
NO. MEDIUM
CUSTOMER
1. 10% FRIEND/RELATIVE
2. 25% RADIO/T.V.CHANNEL
3. 50% INTERNET
4. 15% MAGZINE/NEWSPAPER
60%
50%
50%
40%
30%
25%
20%
15%
10%
10%
0%
F/R R/TV INTERNET M/NP
INTERPRETATION
The above given data and graph shows that 50% customers come to know about
the brand through the Internet, 25% customers aware from Radio and TV
channel(R/TV), 15% customers aware from Magazines and Newspapers(M/NP)
and 10% customers come to know through Friends and Relative(F/R) .
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Q-5.Which brand you prefer most?
S.NO BRANDS %CUSTOMER
1. APPLE 45%
2. SAMSUNG 30%
3. NOKIA 15%
4. OTHERS 10%
60%
50% 45%
40%
30%
30%
20% 15%
10%
10%
0%
APPLE SAMSUNG NOKIA OTHERS
INTERPRETATION
The above table and graph shows that 45% customers prefer Apple brand, 30%
customers like to be Samsung mobile holders, 15% customers are interested in
Nokia brand and accept it and 10% customers were with others.
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lOMoARcPSD|37168907
Q-6.How do you feel after having an apple iphone?
S.NO
After holding brand SATISFACTION

LEVEL%
1 Status/pride 40%
2 Satisfaction 25%
3 No Strong Feeling 20%
4 Cannot say 15%
60%
50%
40%
40%
30%
25%
20%
20%
15%
10%
0%
STATUS SATISFACTION NSF CAN’T SAY
INTERPRETATION
The given data in the table and graph shows that 40% customers feels status and
pride after holding an apple iphone, 25% customers feels satisfied, 20% customers
doesn’t have any feelings about it and 15% customers were not able to express
their views regarding the brand.
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Q-7.Where would you like to buy a mobile phone from?
S.No Buying Place

Customer
1. Branded Outlet 45%
2. Multi branded store 20%
3. Shopping malls 25%
4. General Store 10%
50%
45%
45%
40%
35%
30%
25%
25%
20%
20%
15%
10%
10%
5%
0%
BRANDED M BRANDED SHOPPING GENERAL
OUTLET STORE MALLS
STORES
INTERPRETATION
The given table and graph shows that 45% customers like to buy from branded
outlets, 20% customers believe in to buy from multiple brand stores, 25%
customers like to buy from the shopping mall and 10% customers like to buy from
General Stores.
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Q-8.How long have you been using Apple products?
S.NO Duration Percentage
1. less than one year 25%
2. 1~2 years 45%
3. 3~4 years 15%
4. 5 years or more 15%
60%
50%
45%
40%
30%
25%
20%
15% 15%
10%
0%
<1 year 1-2 years 3-4 years 5 years-more
INTERPRETATION
The table and the graph shows the duration that 25% customers are using Apple
iphone from not more than one year. 45% customers are using the Apple iphone
from not more than two years. 15% customers are using Apple iphone from not
more than four years and 15% customers are using the same from the last five
years.
59

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Q-9. Which iphone model will you prefer?
S.NO. MODEL PERCENTAGE
1. IPHONE 4S 25%
2. IPHONE 4 35%
3. IPHONE 3G 10%
4. IPHONE 5 30%
60%
50%
40%
35%
30%
30%
25%
20%
10%
10%
0%
IPHONE 4S IPHONE 4 IPHONE 3G IPHONE 5
INTERPRETATION
The given data in table and graph shows the models of Apple iphone that
customers prefer . 25% customers are interested in iphone 4S,
35% customers like iphone 4, 10% customers are iphone 3G buyers and 30%
customers are iphone 5 buff.
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Q-10. Do you focus on Apple’s Iphone news?
S.NO. PERCEPTION PERCENTAGE
1. NEVER 5%
2. SELDOM 15%
3. SOMETIMES 25%
4. ALL THE 35%

TIME
5. OFTEN 20%
GRAPH
40%
35%
30%
25%
20%
15%
10%
5%
0%
NEVER SELDOM SOMETIMES ALL THE TIME OFTEN
INTERPRETATION
The given data in table and graph shows the people’s interest in Apple’s iphone
news. 5% customers never focuses, 15% customers interested seldomly, 25%
customers keep the track of the news sometimes, 40% customers are frequently
track keepers and 20% customers lie in the category of often.
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FINDINGS AND OBSERVATION
62

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Results that the researcher found are:
 95% customers own a mobile phone and 5% customers are not interested to
carry a mobile with them.
 75% customers aware about brand and 10% customers do not believe in
brand. 15% customers are not able to express their own views regarding the brand.
 50% customers decision is influenced by the price of the mobile phone, 25%
customers make their decisions by specifications,10% customers’ decisions are
based on brand name & place, finally 5% of the customers decide on the basis of
service
 50% customers come to know about the brand through the Internet, 25%
customers aware from Radio and TV channel(R/TV), 15% customers aware from
Magazines and Newspapers(M/NP) and 10% customers come to know through
Friends and Relative(F/R) .
 45% customers prefer Apple brand, 30% customers like to be Samsung

mobile holders, 15% customers are interested in Nokia brand and accept it and
10% customers were with others.
 40% customers feels status and pride after holding an apple iphone, 25%
customers feels satisfied, 20% customers doesn’t have any feelings about it and
15% customers were not able to express their views regarding the brand.
 45% customers like to buy from branded outlets, 20% customers believe in to
buy from multiple brand stores, 25% customers like to buy from the shopping
mall and 10% customers like to buy from General Stores.
 25% customers are using Apple iphone from not more than one year. 45%
customers are using the Apple iphone from not more than two years. 15%
customers are using Apple iphone from not more than four years and 15%
customers are using the same from the last five years.
 25% customers are interested in iphone 4S, 35% customers like iphone 4,
10% customers are iphone 3G buyers and 30% customers are iphone 5 buff.
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 5% customers never focuses on Apple’s iphone news, 15% customers

interested seldomly, 25% customers keep the track of the news sometimes, 40%
customers are frequently track keepers and 20% customers lie in the category of
often.
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lOMoARcPSD|37168907
CONCLUSION AND RECOMMENDATIONS
65

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Apple created a very strong overall marketing strategy for the iPhone and managed
every aspect of the iPhone’s launch very effectively. Like almost all products, the
iPhone has some flaws and drawbacks, but Apple was able to develop a unique
product for tech-savvy consumers interested in a combination smart phone-music
player and make those customers aware of the product through well-managed
marketing efforts and strong publicity.
The iPhone exemplifies Apple’s knack for creating excitement about products
among its fiercely loyal customer base, who keep attention focused on the company,
and then justify the hype by delivering a high-quality, desirable product. In addition
to satisfying consumers with a great product, Apple built a powerful partnership
with AT&T and also conferred benefits to overseas suppliers of parts and
manufacturers. All of these efforts boosted Apple’s stock price considerably and
further solidified Apple’s image as a leader in consumer electronic gadgetry.
Apple‘s market share of total phone sales, meanwhile, is heading up inexorably.

(This chart uses estimated Q4 iPhone sales of 50m – it might be 45m, but that
wouldn’t alter the point). Apple passed 10% of the market by volume in 2012.
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The reason that Apple’s unit share in smartphones isn’t growing is because
Android is growing too, and faster. But what about revenue? This chart shows
Apple’s iPhone revenue as a percentage of the total industry’s revenues. Apple
has getting on for 40% of the revenue in the global mobile phone business, and
growing.
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This, of course, is the bear story for the stock: not that it has too little market
share, but too much: that Apple sales are already approaching saturation, and there
may not be much more growth left. I’m not sure I believe that, but it’s certainly a
credible view, given that smartphone sales are now 80% of US phone sales.
Right now the other 50% of the handset market – the part that isn’t buying
smartphones yet in the first chart – is mainly buying phones for under $100 with
no subsidy. The totality of the ‘under $100′ market, in 2012, was worth perhaps
$50bn for sales of 1bn handsets, while Apple probably cleared $85-90bn with
140m or so iPhones, at a higher margin.
Finally, at this end of the market the Android challenge of ‘low engagement’
changes to a ‘no engagement’ fact: cheap data plans are few and far between in
many emerging markets, and even if the operators try, providing a useful amount
of mobile data to someone with a monthly spend of $5 to $10 has pretty
challenging economics. This, of course, is a major part of RIM’s resilience in
some of these markets, and will change over time, but that’s a whole other topic.
68

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BIBLOGRAPHY
69

lOMoARcPSD|37168907
BOOKS:
 Dr. Arun Kumar (BUSINESS RESEARCH METHODOLOGY).
 PRINCIPAL OF MARKETING by Philip Kotler & Gary Armstrong.
 MARKETING MANAGEMENT by V.S. Ramaswamy & S. Namakumary.
 MARKETING MANAGEMENT by Philip Kotler
 MARKETING RESEARCH by Sangeeta Agarwal.
MAGAZINES & NEWSPAPER
1. Business World
2. Auto
3. Business Today
4. Outlook
5. Times of India
70

lOMoARcPSD|37168907
QUESTIONNAIRE
71

lOMoARcPSD|37168907
1) Do you own a mobile phone?
Yes ( ) No ( )
2) Do you know about brand “APPLE”?

Yes ( ) No ( ) Can’t Say ( )
3) What the factor that influences your decision while going for purchase
of a mobile phone?
Service ( ) Brand Name ( )
Price ( ) Place ( )
Specifications ( )
4) From which media did you come to know about this brand?
Friends/Relatives ( ) Radio/T.V. ()
Magazine/Newspaper () Internet ()
5) Which brand you prefer most?
APPLE ( ) NOKIA ( )
SAMSUNG ( ) OTHER ()
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lOMoARcPSD|37168907
6) How do you feel after having an apple iphone?
Status/pride () Satisfaction ()
No Strong Feeling () Can’t Say ()
7) Where would you like to buy a mobile phone from?
Branded Outlet ( ) Multi-brand Store ()
General Shop ( ) Shopping Malls ()
8) How long have you been using Apple products?
1 year ( ) 1-2 years ( )
3-4 years ( ) 5 years and more ( )
9) Which iphone model will you prefer?
I phone 4 ( ) I phone 4S ( )
I phone 3G ( ) I phone 5 ( )
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10) Do you focus on Apple’s Iphone news?
Never ( ) Seldom ( )
Sometimes ( ) All the time ( )
Often ( )
74

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References
Apple. Apple ‐ iPhone ‐ Feature ‐ OS X.
<http://www.apple.com/iphone/features/index.html#macosx>.
Apple Computer. Apple Store. <http://store.apple.com/us>.
Apple Inc. iPhone Premieres This Friday Night at Apple Retail Stores.
<http://www.apple.com/pr/library/2007/06/28iphone.html>.
Apple. Safari. <http://www.apple.com/safari/>.
Apple, Inc. Apple Reinvents the Phone with iPhone..
<http://www.apple.com/pr/library/2007/01/09iphone.html>.
BBC. "Quarter of US iPhones 'unlocked'." BBC News | Business 29 January 2008.
Canalys. "Smart mobile device shipments hit 118 million in 2007, up 53% on
2006." Press release. 2008.
RIM. "BlackBerry Connect Software." Research in MNotion. 4 June 2008
<http://www.rim.com/products/connect/index.shtml>.
Rose, Frank. "Battle for the Soul of the MP3 Phone." Wired Magazine November
2005.
Yuan, L. & Sharma, A. 2007, June 7. "Rivals Answer the iPhone." The Wall
Street Journal,Wikipedia.com
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Marketing Strategy OF Apple Iphone

Bcom hons. (University of Delhi)

Scan to open on Studocu

Studocu is not sponsored or endorsed by any college or university

RD ENGINEERING COLLEGE, DUHAI,

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I, KESHAV SHARMA hereby declare that the project entitled MARKETING

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Completing a task is never alone journey. It is often the result of a valuable

I am thankful to all the members of management of the college, who provided

I would like to acknowledge the contribution of my parents and all my friends

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 RESEARCH METHODOLOGY ( 8-15)

 SCOPE OF THE RESEARCH (18-20)

 APPLE”S CELLULAR PRODUCTS

PRICE RANGE (31-33)

 PROFILE OF THE COMPANY (34)

 SWOT ANALYSIS (36-36)

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 MARKETING STRATEGY OF APPLE IPHONE (37-40)

2. MARKETING MIX STRATEGY

 APPLE AND ITS COMPETITORS (41-43)

 LATEST BUZZ OF APPLE’S PRODUCT (47)

 DATA ANALYSIS AND INTERPRETATION (48-61)

 FINDINGS AND OBSERVATIONS (62-63)

 CONCLUSION AND RECOMMENDATION (64-65)

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“Apple is determined and committed to deliver the personal computing experience

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In terms of developing a strategic vision as it relates to marketing, below are some

1) Identify Trends – By recognizing such trends as digital consumerism and that

3) Innovate – By following a Schumpeterian model of creative destruction and

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4) Position Your Product - Because many computer systems and related

5) Build Brand Awareness – Through utilizing creative campaigns and non-

6) Optimize Distribution – Apple revamped its distribution system to move

7) Don’t Forget Your Customers - Apple is known for superior customer

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“Marketing research means the systematic gathering, recording, analyzing of data

 Orderliness, in which the measurements are accurate.

Research can be categorized into:

o BASIC RESEARCH: Basic research is intended to expand the body of

o APPLIED RESEARCH: Applied research is one, which is carried out to find

My research on Apple Iphone is carried on to expand the knowledge about the

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Descriptive research is undertaken when the researcher want to know the

Causal research is undertaken to identify causes and effect relationship between

The Research Design is: Descriptive Research Design

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Data Collection and Sampling:

A) Sources of Data Collection:-

 Primary Data: Primary data comprises of direct responses and data is

direct interview with the respondents.

research is collected through magazines like Business World, newspapers, Auto

magazines and internet etc.

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B) Data collection Tools:

To conduct a survey, the Researcher has selected a structured questionnaire as an