Famous Brands In Todays Global Market Marketing Essay

There are many famous brands in today’s global market. IBM, Microsoft, Amazon are just few to name with (Business week.2005). Apple is also one of such brand which does not need an introduction to anybody. Apple has established itself as a brand with identity of being innovative, bold, technology savvy and reliable one (Brad Gibson. 2005). Apple iPod has become synonymous with latest advancements in the field of music and entertainment. Apple iPod has been able to set new dimension in the field of branding where customer seeks and tries to establish his identity along with a established brand like iPod. Customer finds various stages of operations where he can connect himself with the brand of Apple. It can be developing a list of songs which he plays or it may be downloading songs in his account, everywhere he can give a personal touch of his personality and feel like connected to Apple iPod brand identity. Either it is a birth day, dance party, a formal gathering or a informal meeting, customer can have his own play list so as to give personal touch of his personality and have a feeling of customisation of songs as per his personality. This way customer not only has greater satisfaction, but also feels of having got an opportunity to invent newer out of him and defines his personality. Apple iPod has given an opportunity to every customer if he wants to explore his music skills and polish these. It is not only the gadget, which has made impressive entry in music market, but other music related products such as download etc. Apple iPods are making not only the iPods better with every new model coming in market, but related services like iTunes have also helped brand in establishing it in broad domain of music related services. These associated services along with basic iPod have put Apple iPod brand ahead of its competitors in music market.

Apple iPods are being positioned in market as pocket size media players (Apple. Learning Lab. 2009). Company has been very careful in choosing target market segment. Company has focussed on urban masses in with higher income group. Company has also taken care that focus remains on young population for whom entertainment is occupies important space. Company has also kept in consideration the fact that urban young masses are technology savvy now days. If one looks closely at the income group company is targeting, it come out $25,000 to 80,000. Basically it is upper middle class of society which is targeted by the company. If company want to have wide appeal of its brand, it has to bring out few more models so as to penetrate market in lower middle class also.

Apple iPods are identified with simplicity these offer to customers (Epinions, 2003). Ease of operation helps in making brand more appealing. Apple iPod brand is recognised in today’s world with quality and innovation. Newer features are incorporated in coming models on a regular basis, making brand more and more innovative. Creativity is another dimension of Apple iPods brand. Newer music related products like iTunes are features customer find with Apple iPods. Universality of Apple iPods is another feature as these are equally attractive for male and female customers. Quality of iPods has been very competitive over the years. In fact, quality, ease of operation, state of art technology and related music related services have made Apple iPod a very strong brand in the market.

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In light of all these, it can be safely said, that Apple iPod has become a brand which is able to cater all needs of individual customers in the field of music. Apple iPods are available in four major categories. These can be listed as iPod touch, iPod Nano, iPod classic and iPod shuffle. There are many models in each of this category of products. There are various parameters on which a particular model can be selected by customers. Few important of these features are like physical features of iPod, weight of iPod, storage space of the iPod. Other factors influencing customer decision may be battery usage time, colour and display resolution along with other features. So we see brand Apple iPod offers a very wide range of iPods to its customers, where they can choose a product, suiting tio their specific requirement. Brand also offers few other significant features which put Apple iPod ahead of its competitors. Apple iPods are smaller in size, having latest technology, compatible to all information technology devices, with much easier operational ways and portable. All these features in Apple iPods makes it a very strong brand in today’s musical and entertainment related gadget market.

MARKET SEGMENT

Apple brought out iPods with a new revolutionary business model of revenue generation along with it. IPods also brought new dimension of downloads along with products. It made nonconventional approach to market. Besides these, iPods also tried to broaden its reach among student community on the basis of its memory and downloading capabilities, which helped iPods in getting used as educational device also. But though iPods have been designed to satisfy needs of many but company have focuses approach towards a specific market segments. These segments are like urban youngsters from high middle class, who have affordability and passion for music. It has also been taken in to consideration that this particular market segment is well aware about the new technological developments taking place and becoming of daily use.

Young population

Though music is enjoyed by people of all age groups but it is young population of 20n to 25 years, which love it most and remain passionate about newer and happening instances in music. People from age group of 25 to 45 are also takes interest in music more as compared to people who are elder or children. So company is focussing on this age group of people most. Company is putting promotional campaign keeping this age group of 20 to 45 in focus.

Higher Middle Income Group

Bringing innovative products with latest technological features cost company heavy most of the times. Besides that there is always risk of these products being copied in future. So company has to take care that it generates enough revenue so as to cover up investment and have profitability of operations. Keeping in consideration all these factors company has prices iPods on slightly higher side, which restrict the reach of iPods to higher middle income group customers. If one look at income Group Company is targeting, it falls in between $25,000 to $80,000. Prices have been kept approximately 65% over and aboce basic costing for the company, leaving enough margins for price reduction in future ties to boost sales at later life cycle of the products.

Urban Dwellers.

Though there is no defined geographic locations, which can claim to be associated with music more, but it is observed that urban masses are comparatively better associated with music. Keeping this fact in mind, company has targtted these urban masses for its iPod market. In all the promotional campaigns, one finds that urban transport and urban environment is incorporated. It is basically urban middle classes which are more closely associated with music, literature and accessibility to internet. It is on account of all these factors that company has targeted this particular group for its iPod market.

Technology Users

Though iPods are designed in such a fashion that it is very to use these. But iPods are advertised by the company y as high end technological products. Otherwise also downloading music and files from internet requires awareness of internet domain. Company has targeted this urban population which is technology savvy and well aware about developments at information technology ends.

STRENGTHS AND WEAKNESSES

Apple is a financially strong company. Its computer and other related businesses have done very well. Allocation of resources is not a problem at all for making brand and product a very successful one. Strong marketing initiatives can be taken up as and when desired to put company ahead of its competitors.

Apple iPod have universal appeal and attract both the genders equally. Music is something which attracts everybody irrespective of gender, age, geographic location etc. Coy products are designed with universal features and are getting acceptance almost with everybody.

Apple iPods have best operational features and comes with latest technological developments incorporated in these. It makes the Apple iPods very competitive in market. While competitors are struggling to bring in a single new feature in their products, Apple iPod models comes with advancement in size, memory, latest technology and operational ease.

Company has enjoyed good reputation for not only iPods but for almost all the products it has launched earlier. Especially company’s good reputation in high end technological products like personal computers has made apple brand synonymous for high quality and reliable products.

Company is using state of the art technology in its products. Company keep on incorporating latest developments in its upcoming models. This has helped company in making a brand image of latest technological products.

Company has also been able to bring out innovative products and services in market. Providing iTunes and then developing a playlist by customers were such innovative ideas, which put Apple iPod ahead its competitors.

Though company has been very successful at other fronts, but have not done so well on product range domain. Company have limited number of products at present, which cater mostly to upper middle class and higher income group. Here company need to make some further advancements by bringing out some variants of existing product, which are priced less and are easily affordable to lower middle classes also.

If one look at whole iPod and other music players market, it can be easily found out that prices of Apple iPod products are comparatively on higher side. Apple iPods have become a preferable choice by the high end market customers, but not of generally middle income group customers. Company may bring out some products for this category of customers also, though these products can be without some value added features.

Market for music players is very competitive. Companies are putting up efforts in bringing out very competitive products at quality as well as pricing fronts. So Apple cannot be relaxed and have to make continuous efforts to retain his position as market leader in technology, innovation and quality.

Company’s marketing campaign has been focussed on few selected market segments only. But in long term, company has to increase its customer base, from the sustainability and stability considerations. To achieve these, company marketing programs must be designed to have wider reach and appeal.

OPPORTUNITIES AND THREATS

Company have sound financial position. There are very few companies which have resources at disposal to strengthen ongoing and future operations. Most of the companies are facing capital scarcity, especially in this period of recession. Company can capitalise on its resources and use these effectively to be ahead of its competitors in music players market.

Company enjoy good reputation in market and all of its products are taken with very positive attitude in market. Customers have faith in quality of products and in spite of higher prices, they feel to have got value proposition. Company can develop this reputation as a company goodwill, which will have monetary value in coming times.

Apple can position its iPods as a supportive device for educational activities. IPods have large memory, which can be used to store required data. IPods can also be used to download required information from internet by students. This will not only increase acceptance of iPods but will broaden the customer base of company. This may provide the much required stability and sustainability to business.

Competition in market is increasing day by day as new entrants are coming in market with each passing day. Introduction of new products with new features has become trend of the present market. There are also changes in customer’s lifestyle on account of higher element of professionalism as a result of increased business activities. So apple has to be cautious that it is able to map the domain of customer preferences and emerging needs so as it can cope up with.

Apple iPods have good appeal to customers of higher middle class, but that alone will not help company in long term as far as sustainability is concerned. Company have to rope in middle class as a whole for in its customer base so as to give more stability to its operations.

Apple has put in lot of efforts and spent resources in developing iPods. Nothing comes cheap in research and developments. But at the same time copying products is a cheaper one. There are chances that Apple iPods can be copied by its competitors with minor changes to escape regulations. Apple has to be cautious for any such efforts being done by its competitors.

Regulations for downloading music files especially MP# songs are tightening up. Apple has to take care in its business model that it complies with regulations fully as a single slip may cost company heavy and may destabilise whole business model itself.

BRAND VALUES

Brand Apple iPod have various dimensions of brand value associated with it. Few important brand values to mention are simplicity, ease of use, user focused, quality Product, fun and humour, memorable & different and innovative. Apple iPods are designed with simplicity and ease of operation. IPods have also been designed keeping end user in focus. Apple iPod brand also try to extend quality in product and other associated services like music downloads etc. IPods are designed in such a way that these can be used while individual is on movements or even in exercise. There are added features such as one can measure distance covered while walking or running if specific sensors are attached in shoes, which are readily available in Nike shoes. IPods are also having feature, where one can generate his own personal play list and generate his own songs. These features help individual in inventing new dimensions and identity of his personality.

BRAND IMAGE

Apple iPods have a very strong and impressive brand image owing to such a bold, innovative and unique product. Brand image for apple iPods have been established for very innovative, creative, bold, energetic, universal appeal, quality product, state of the art technology products, narrow product line, higher side pricing and limited promotional support. Apple iPod brand have come to be identified with high end technological gadgets with best and desirable features incorporated in products. So company has been able to establish brand with almost all the desired features.

RECOMMENDATIONS

Apple should strengthen its promotional schemes so as to give better results in making reach and appeal of the products far and wide. Right now reach and appeal, both are restricted to certain specific market segment, squeezing further expansion plans of company. Company should adopt more media vehicles rather than only electronic media channels, as it is an effective one but has got its own limitations. There is a large market segment which goes with print media and also on internet.

Product differentiation should be adopted as an important marketing tool. Apple iPods offer many features which are not there in products offered by its competitors. So if company highlight these features , it may be helpful in establishing Apple iPod as a distinct brand in market, which has unique identity of its products.

Company has got very good reputation in market, which has been established over the years with the help of high end computers. Company should leverage its already established brand value in the field of computers, so as to strengthen technology element in its iPod market.

Company has been successful in updating its products successfully by bringing out newer models in market having latest state of the art technological features. But competing companies are also not far behind. So Apple has to maintain its pace of incorporating new features in the newer models of iPods.

Promotional marketing schemes must highlight the features of latest technology and innovativeness in the iPods company is offering. At present Apple is ahead of its competitors in technology as well as innovation.

Company should make the product range wider, so as to include few models with comparatively lesser cost so as to cover middle and lower middle income group customers. It will help in making Apple iPod brand more inclusive. Company should have models for every segment of marke. But if practically it is not possible, then atleast few models to cater lower middle class must be there. Music is something, which attracts customers of every age, every market segment and both the genders. So company try to be inclusive while bringing out products.

Company has been successful in developing exceptionally good products which have distinct features. With these products supporting brand, company should try to generate goodwill, which have monetary value and can be en-cashed in future time.

Apple iPod can be used not only as a music device, but as a educational device also. So if company highlight this feature, young population can be more inclined towards it, as elder family members will have positive attitude towards iPods.

Company should come out with some very basic models with less features or without added services like iTunes in offing, but prices comparatively less. This will help company in expanding its customer base in lower income groups.

Company should evolve strong system in place, monitoring and controlling iTunes business. Regulations regarding internet usage are becoming tough day by day and there is strong need that business complies with all the legal provisions. A single slip on the regulatory issue may cost company heavy on brand image.