Apple’s Extended Marketing Mix
Apple are a prime example of using the Marketing Mix effectively. Here are 7 images to show how they use this well.
PRODUCT:
Apple sell a wide range of products, which are available to buy online and pick up in store. Products range from smartphones, computers and most recently watches that can even detect heart problems. Alongside selling these products, Apple also up sell alongside their mainstream products. Whether this is an upgrade to your system or even a case for your phone it’s one of the many ways they persuade customers to make more purchases.
Apple are constantly updating their product range in order to keep ahead of its competitors and keep their customer loyalty whilst also meeting customer needs. Apple are renowned for their simplicity and slimline designs. Screen size is a major selling point for Apple and this is evident in their new range of XS iPhones.
PLACE:
Apple make it very easy for customers to purchase their products. This can be done online or in store. The online process is easy for the customer and there are ‘buy’ links throughout the website. The layout of the website makes it easy to purchase items. This also resonates in store with technology playing a key focus. The interior of Apple stores are very clean and simple which could be an indication of how they want the brand and service to appear to the customer. Apple stores have a wide range of products on display that puts it into the hands of the customer. It gives them the chance to interact with the technology and see the different features they have. Staff are also on hand to talk through products with customers and answer any questions or concerns that they may have.
The staff known as an ‘Apple Genius’, are very well trained and are on hand to sell products to customers and persuade them to buy. Customer service is a vital part of the business to make sure the the customers’ needs are fulfilled.
PRICE:
Apple’s products come with a high price and this reflects the quality of the brand. The latest iPhone XS Max announced in September 2018 is priced at £1,449.00 for the top spec model (Apple UK 2018). Apple also have a pricing strategy where they also provide less expensive models, for example the iPhone XR. This lower end model doesn’t have as many features or tech as the higher spec but does have a cheaper price tag. This is good for those with a lower income or in countries where people don’t pay as much for phones because wages are lower for example India or China. Website Android Authority states that the good news for Android is that as Apple moves further up in price, this could leave a hole for Android OEM’s to fill (C.Scott Brown, 2018). This could threaten the sales of Apple’s lower priced iPhones and older models. Apple provide payment instalments for customers and offer student discounts. Allowing flexibility in payment options discourages customers from going to rival brands that may be cheaper. Despite the high price tag, Apple iPhone sells are still going strong. Tech website wired states that in 2017 Apple sold 215.8 million iPhone’s worldwide (Wired, 2018)
PROMOTION:
Apple’s demographic is vast covering many ages, locations and incomes. A lot of Apple’s promotion comes in the form of outbound marketing with TV adverts, billboards & posters being used to market the brand and its products. This means that Apple can target a large audience. In some of Apple’s promotional content there are celebrity figures. This is likely to make more people watch and also puts trust into the brand if a well known person is seen wearing or promoting products. Influencers play a key part in promotion for Apple. People with a large online presence and large numbers of followers can promote Apple products to their fans. This gains more promotion for Apple.
Apple also uses inbound marketing in the form of presentations, social media and online articles. This allows the brand to reach people further and promote their products to them in a more personal way. Launch events are also held overtime Apple launch a new product range. These events are very popular and can be watched all over the world online reaching out to millions of potential customers. Apple’s branding and promotional adverts are very clean, bold and to the point. The adverts feature very little text and on most TV adverts there is no dialogue.
PEOPLE:
Apple have a huge customer base located worldwide so it is vital that the company invest the time and money into its people. Employees at Apple are well trained to help provide customers with excellent customer service as well as any technical or product questions they may have. Apple employs people to work in their stores who provide customers with product knowledge and service, the can be seen wearing Apple branded tops so that customers can identify them. It’s not only physical interactions that Apple provide. The company also provides an excellent online service where you can call or even chat to an employee through their website. They can answer any questions you have and identify problems with products. There is also an online forum where customers can interact with each other and seek advice. This ease of communication is partly what makes Apple so successful and it’s vital for the brand to have well connected employees.
PROCESS:
Apple make buying their products an easy process. They do this by making both their store and website experience easy and simple. The Apple website is easy to use and navigate. This allows the customer to find the product they are after with ease. There are minimal steps on the website from selecting a product to actually buying it. This encourages the customer to complete their purchase before they perhaps change their mind. In store it is a very simple process to buy a product. Apple employees use iPads or iPhones that act as a till so that there is no need to queue or wait around. It is quick and convenient for the customer thus providing a great customer experience (CX) would would encourage repeat business. Apple support is easily accessible on the website and if you do need to go to a store to get a problem resolved, Apple provide you with an appointment. This avoids customers having to queue in store. Instead you arrive at your designated time. This process encourages customers to stick with the brand and therefore discourages them from going to competitors.
PHYSICAL EVIDENCE:
BUILDINGS
Apple are renowned for their modern, professional looking stores. They often have a large glass frontage with bright lighting inside the store. The stores are designed to feel welcoming to the customer with many products widely available on display that the customer can test or try out. Stores are located throughout the world and are often located in major cities Their logo takes prime position at the front of every store to make them instantly recognisable to the customer.
WEBSITE
The black background on the homepage makes the photographed product stand out. The text used is bold and simple.The Apple website is modern and elegant. It is easy to navigate and products are easy to find. Every product is beautifully photographed and shows the product in maximum detail. There is a support tab in the navigation bar which allows the customer to connect with Apple Support and find handy guides on how to use their products.
A report on Promotion within Apple
Promotional marketing for Apple is vital. In the first Quarter of 2018, Apple announced that its active installed base of devices reached 1.3 billion users (Apple 2018). It’s important for the company to advertise the benefits of its products to gain an advantage over its competitors. The company have adopted a unique look and style, evident in its stores and products to make the brand instantly recognisable worldwide. The company uses four promotional mix tactics; Advertising, Personal Selling, Sales Promotion & Public Relations. (Panmore Institute 2018)
Apple’s competitor brands such as Google and Samsung are developing at a rapid rate for example in September 2018, Samsung announced that it is launching a three-camera budget smartphone (Cult of Mac 2018). In order to keep up with this tough competition, Apple uses both inbound and outbound marketing to reach as many customers as possible, to showcase their range of products. It’s also a good way to target their large demographic. Apple’s main promotional methods include billboards, TV adverts, and posters including print adverts. Their 2018 campaign ‘Behind the Mac’ (YouTube 2018) solely focuses on users of the MacBook, therefore, putting their customers at the forefront of the campaign. The advert explores the types of people using their product all over the world. There is no dialogue or speech and it is filmed in a personal way. As well as the main commercial, Apple also released case studies with those featured in the advert. These short videos explore the lives of those using MacBooks in much more detail. The interesting thing about this advert campaign is that it barely focuses on the product and more about the people. This opens up questions to potential customers who may be looking to purchase a MacBook and encourages them to find out more about it themselves. It also showcases the wonderful things that the MacBook can do from an everyday users’ perspective. As well as the commercial, Apple used billboards to reach more people.
Apple have also adapted inbound marketing to target its customers. Since June 2005, the company have had a huge presence on YouTube with 7 million subscribers on their main channel (YouTube 2018). They also have an Apple Support channel where they upload free how-to videos and guides to meet the needs of their customers. They created this channel much later in October 2017 (YouTube 2018). This is proof that Apple are
constantly evolving their marketing methods to reach and entice more customers. Apple’s social Media platforms include Instagram, Facebook and Twitter. The company’s Instagram page has 8.1 Million followers (Instagram 2018) and almost all of its content uses photos from Apple customers through their campaign #ShotoniPhone. This is again a good example of Apple making their marketing personal for the customer. The photos used are beautifully shot and this showcases the iPhones capabilities. The photos also feature scenes from all over the world showcasing Apple’s vast demographic.
Apple’s other social media pages are interesting. Both their Facebook and Twitter accounts have little or no posts. This is because they would rather use target ads through these platforms to reach out to specific people, rather than post aimlessly on their pages. Apple are using a relatively new advertising technique known as ‘Dark Marketing’, which is targeted marketing aimed at a relatively small audience but with unprecedented results. This is yet more evidence of Apple evolving their marketing methods. (LinkedIn 2018)
On Twitter, Apple buy ‘tweet ads’ so when they do send out a tweet, it doesn’t appear on their timeline. (Scoop Whoop 2017). This is Apple’s way of showing that they like to think differently. Social Media expert and blogger Neil Patel quotes that “the decision is simple: why bother tweeting out product announcements and new developments when our legion of fans will do it for us?” (Neil Patel 2018)
In conclusion, I think Apple are very successful and innovative with their marketing. The fact that they use techniques such as Dark Marketing proves that they are evolving their marketing techniques to reach out and target more customers using effective and clever methods.
Bibliography:
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C Scott Brown (2018). Apple’s new pricing strategy: Is it good or bad news for Android?’ Android Authority [Online] Available at: https://www.androidauthority.com/apple-pricing-strategy-android-904248/ [Accessed 23 Sept 2018]
Wired.co.uk (2018). ‘New iPhone will be way overpriced. It doesn’t matter.’ [Online] Available at: https://www.wired.co.uk/article/new-iphone-launch [Accessed 23 Sept 2018]
Image 1: Apple UK (2018). iPhone XS. [Online] Available at: https://apple.com/uk/iphone-xs [Accessed 23 Sept 2018].
Image 2: Apple UK (2018). Apple Newsroom. [Online] Available at: https://www.apple.com/uk/newsroom/2018/07/apple-piazza-liberty-now-open-in-milan [Accessed 23 Sept 2018]
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