Apple Inc. Brand Analysis

Apple Inc. is a multinational company that offers a variety of electronic products to its customers. The organization began in the year 1976. Steve Wozniak and Steve Jobs are the founders of Apple Corporation (Khan et al., 2015). The initial idea of the two founders was to design computers that are small and user-friendly for the consumers so that they can have them at their offices or home. The organization uses its brand to compete with its rivals in the electronic segment in various markets around the world (Khan et al., 2015). The firm has expanded the range of the services and products it offers to its customers. For instance, the corporation began by providing desktop computers in the 1970s, in the 1990s it started offering laptops and later introduced an iPod in 2001 which was a new product in the market. In 2007 it introduced iPhone, whereas in 2010 the organization brought iPad in the market followed by the Apple Watch and Apple Pay in 2014. 

Apple Marketing Strategy

According to Khan et al. (2015), Apple Corporation introduced iPod in 2001 and iTunes app store and online music store that changed the music segment since it helped in promoting digital music. These products supported and gave rise to the emerging environment for purchasing and selling music using the internet. However, to understand how Apple Corporation has become successful in the business, there is a need to consider its marketing strategy. Marketing strategy is essential since it plays a significant responsibility in hurling the products and brand of the organization to the approval and popularity level. Some of the plan that Apple has employed to ensure its success in the industry include the following;

Creating competitive advantage by the application of product strategy. According to Chen and Ann (2016), Apple Company was at a losing end when the Macintosh series got pitted against the PCs. As a result, the firm experienced challenges when trying to maintain its sales. However, it lost to Microsoft who had attained popularity in the market. Thus, the company needed to develop a new marketing strategy. 

Apple came up with the product strategy. This approach has enabled the firm to have a competitive advantage. Furthermore, one of the primary reason why Apple products enjoy success in the market today is that they are highly intuitive and user-friendly as compared to those offered by rival organizations. Moreover, Apple products provide a premium user experience via their design considerations and innovative characteristics. Also, Apple Corporation uses a proactive and retroactive strategy as part of product approach. The firm designs its products depending on the available rival products, but it enhances by eliminating undesirable features and incorporating differentiating elements. 

Another strategy is using complementary products to sustain and create consumer loyalty. The controlled and extensive product portfolio of the company gives rise to unique and uniform customer experience and product usability for Apple. For instance, the company would consider an iPhone to be incomplete it has no App Store and iTunes. Furthermore, the metal-based aesthetics also ensures uniformity signals in iPhones and MacBook. The user interface of the Apple products applies similar design and useful guidelines which as simple, which signals familiarity.  

Additionally, it is essential to indicate that a specific customer of Apple products has an Apple ID which acts as an advantage for the homogeneity of the devices. The ID allows the user to be able to manage the device preferences, files and digital identity in all the accessories. Also, the devices create a halo effect. Since each product is a complement of another, customers are likely to stick in buying Apple brand. This effect improves the sales performance of all Apple products by ensuring consumer loyalty. 

Also, premium pricing strategy helps Apple Corporation to maintain the image of its brand. As compared to the rival products, Apple products are relatively expensive. For example, the cost of an iPhone may be more than twice the cost of an android phone. Also, the cost of Window-based laptops is lower as compared to the MacBook laptops. Creating higher prices has assisted the organization in maintaining and promoting favorable belief among its loyal customers. In many cases, buyers believe that high-quality products are often expensive. Hence, Apple products have a better position compared to its rivals based on its premium pricing policy. 

Objectives

Given that Apple is a business organization, it has its purposes. One of its primary goals is to create ground-breaking products. Two, dictate and innovate the future technology movement. Three, create an eagerness of new upcoming technologies and expand and sustain its brand name. 

Apple STP

Myers et al. (2018) connote that the brand of Apple Corporation has evolved. The organization emphasizes on offering a unique consumer experience via elegant user interfaces. The product strategy of Apple focuses on the same, with its products such as iPhone playing significant roles.  The distinctive element of each Apple Watch and Apple Pay remains the consumer experience which is simple to use and has a well-designed user interface. The brand of Apple got strengthened when the organization launcher iPod in 2001. After the introduction of iPod, the organization has worked towards changing and harmonizing its brand and product approach to be able to attain the current position in the market.  In the words of one of the founders, Steve Jobs, “mobile devices company” be one of the largest around the globe (Myers et al., 2018). The firm changed its name to Apple Inc, from its previous name Apple computers, which showed that it is more than a computer organization. The title indicates that Apple offers more products other than computers. The firm has merged its digital content services such as iBooks, iTunes and Apple music as an essential part of its proposition value to its customers. Product pricing of Apple Inc. is high. The firm targets middle and high-income groups who can buy its products to get a unique piece of technology. Additionally, the organization aims both adults and youngsters who need to appear exceptional from the crowd. Apple Inc. provides superior items which surpass products in a similar category. 

Brand positioning

Apple is the second most valuable around the world. The brand has a valuation of more than 146 billion dollars (Khan et al., 2015). The organization over the past years has shaped an environment that no other rival product has managed to attain. Marketing mix of the company is the reason why Apple Inc. has been successful in creating such a niche. Furthermore, the organization enjoys an attraction as compared to other companies in the segment. However, to understand what makes Apple exceptional and distinct from its rivals, there is a need to understand the positioning of the company. 

Targeting and segmentation of Apple Inc. 

Market segmentation is a way of dividing a business market that comprises of potential and existing customers into segments depending on the shared features. Market segmentation focuses on variables like demographics, geography, behavior and psychographic features depending on personality and lifestyle. In market segmentation, a company creates customer personas that fit its brand. 

Targeting is when an organization can select a specific segment that it requires to go after, that will enable them to earn more profit. The following are ways in which one can precisely define Apple. 

• Age group: 22 – 55

• Gender: Male and Female
• Income: Given that the organization has an affluent brand, it aims in attracting high and medium income individual. 
• Lifestyle: The income of the customers is identical to lifestyle because Apple Inc. has high and medium income groups as its target. Additionally, the organization targets open to change, young and modern market. 
• Behavior: Hard-core loyalists. Apple users are always loyal. They are not likely to purchase products of the different brand.

Positioning of Apple

The position of Apple Inc. can only get done via advertisement and promotion. The elements, products, and identity of the Apple brand play a significant role in positioning its products. Additionally, Apple entails the experience, and it targets emotional branding felt in the mind and heart of its potential buyers. The brand depicts the core perceptions about the design and innovation of the organization. The perceptions get promoted and reflected via advertisements, consumer experiences and products. Customers have positioned Apple as a luxury brand that has enormous emotional relation and customer loyalty. The following are some of the factors attributing to the position of the organization in the market. 

Brand identity

Some elements help Apple Inc. in creating a specific position in the customers’ minds. Some of these intangible assets include culture, type of imagery, and tone of voice, employees and brand colors. 

Product quality and design

Since the beginning of the organization, Apple has been offering products with an epitome of quality and design. The organization was the first to design a computer with a graphical user interface and a mouse. For example, Apple Macintosh. The firm always creates an enhanced and innovative design, which has helped it to be able to have a strong command in the business and come up with premium product prices.

Advertisements:” The less, the Better”: 

Apple Inc. follows the philosophy “The Less, the Better.” The organization uses fewer colors and straight and clear messaging. The strategy has enabled the organization in positioning itself in the market. 

Apple Brand

Brand awareness

Khan et al. (2015) claim that Apple Inc. is one of the organizations that have the most influential brands around the globe. However, there are nations where the logo of the organization is not ubiquitous. For instance, India is one of the countries that is experiencing such a situation. The study shows that almost fifty percent of the Indian market is not aware of iPhone (Khan et al., 2015). This evidence shows how brand awareness of Apple is low in India. Thus, it is valid to suggest that Apple Inc. is in its early stages of growing its brand in India. Given that India is the second most populous nation around the world, the organization needs to build awareness. 

Apple Brand Architecture

From the brand architecture perspective, Apple Inc. has a master brand identity, since all its products have its logos, such as the iPod, iPhone, iPad, and Apple music products. But, even if the marketing asset around iPad is significant, the organization has not created an “i” brand. Even though Apple uses “i” for consumer goods, many of the products from the company do not possess it. For example. Apple TV, Mac mini, Safari, Magic Mouse and AirPort Extreme (Khan et al., 2015). The move by the firm in 2014 to create Apple Watch and Apple Pay has drawn its newest areas of the business to have an association with the Apple name. The brand identity of Apple product merely is its logo with a word defining the purpose of the device. Interestingly the names of Apple Watch and Apple Pay relates to the Apple TV, which has been one of the long-term projects of Apple Inc. that aims in changing the experiences and lives of the customers. 

Brand elements

Brand identity is the promise that a firm makes to its customers. In many cases, people can perceive a brand as a set of values, product, personality or position in the minds of the customers. Brand identity is a characteristic that has a connection with a particular individual, service, product or an organization (Khan et al., 2015). It is a strategy that companies use in expressing their brand to the consumers. Brand identity elements can assist an organization to differentiate and recognize a specific brand from the competitors. The following are the six elements of Apple Inc. 

• Brand name

The brand name of the organization has helped Apple Inc. to create brand association and awareness among the consumers that assist in identifying and differentiating it from the competitors such as Sony. Additionally, as an allusive name, customers have a perception that Apple offers high quality and innovative products through imagination and creativity. The high performance, excellence, and quality provide value to the buyers. 

• Logo and Symbols

Symbols and logos are valuable strategies that customers can relate to the brand. Every organization has its symbol and logo. In many cases when an individual sees an Apple logo, he or she will be able to relate it to Apple Inc. The logo of Apple Inc. is a non-word to connect to Apple which is the name of the firm. According to the study, the organization has one of the most known logos around the world (Khan et al., 2015). The company uses it on all its products. It has shown how Apple Inc. is innovative and active since the firm does not have to include its name on the products. Through the marketing strategy and the creative logo, Apple Inc. has created brand awareness without including its name but by the use of its logo. 

• Endorsements

In many instances, organizations use famous individuals to promote their products. For the past year, firms have used celebrities to connect their brand with the consumers. Endorsements assist in communicating the essential benefits of a specific product via marketing channels. For instance, Apple Inc. uses different famous individuals in its advertisements. For example, the organization uses Coldplay and U2 in ads to influence others to purchase iPods. 

• Slogans

It is a motto or a phrase that an individual should be able to memorize and remember. For example, Apple Inc. uses the slogan “think different.” 

• Jingles

It is a musical which organization use so that customers can remember the jingle so that they can connect with the brand that uses it. For instance, Apple Inc. uses jingle on its brand which enables the consumers to be able to recall it. 

• Packaging of brands

Brand packaging helps in recognizing the brand and coming up with a brand association that is strong. For instance, Apple Inc. in most cases uses the Apple logo and the white box when packaging its products. 

However, before selecting the brand mentioned above elements, the following is the criteria that Apple follows.

• Memorable. The brand elements of an organization should be easy to recall and identify. Based on the above premises, Apple elements are notable since the organization uses its logo in all its products. Thus, it allows the consumers to identify it after seeing the logo. Furthermore, the design of Apple products is always black and recognizable design. It makes it easy for customers to be able to differentiate Apple products from competitors in the industry. 
• Meaningful. Brand elements need to be persuasive and descriptive. In the above premises, it is evident that the brand name of Apple does not deal with a specific product. However, the organization has promoted its brand effectively which has made its logo meaningful. In many occasions when people come across the Apple logo, they think of high quality and innovation. 
• Likable. Brand elements need to be exciting and fun. They should be able to please the customers either verbally or visually. The products offered by Apple Inc. has interesting aspects, the organization updates its products regularly, which makes customers to develop a curiosity of knowing the new products and updates. 
• Transferable. The brand elements should be across and within the categories of the product in the market. Transferability determines the level at which the component adds to the equity of the brand in the new market. For instance, Apple Inc. offers different products belonging in various categories in the market. For example, it has televisions, phones, and computers. 
• Adaptable. Every brand element needs to be easy to update and flexible. Apple products are available in every big city in countries around the world. The products are always easy to upgrade since the organization creates new updates that depend on the internet nearly in every city. Apple brand maintains its sort of designs.
• Protectable. Every brand element should get protected legally. Therefore, Apple Inc. selects elements protected legally internationally, register with the legal authorities and defend trademarks from competitive infringement. 

Brand Leveraging

Apple Inc. has a culture of launching new technologies. In many cases, as soon as the company announces that it’s about to start a new product, its customers always get excited and involve themselves in debates across the world. Digital services and products have merged into the lives of people to a state where they are inseparable. Apple Inc. takes advantage of this merger and creates emotions among the consumers which makes it difficult for them to ignore the brand. For instance, the mainstream media seems to focus on transforming the world. 

Also, Apple enjoys the inclination of the consumers to confirm the status of their beliefs by purchasing its products. When a user has used an Apple device for some time, then he or she likely identifies him or herself with the brand. 

Apple does this by
• I am emphasizing on the superior packaging and design.
• We are providing high-quality service to the customers.
• By complying with a premier pricing approach.
• Exhilarating commercials involving individuals attempting to transform the globe using an electronic device

Sustainable competitive advantage

Brand strength

In 2017, Apple Inc. became the top leading brand across the world, beating IBM. Coca-Cola and Google. Myers et al. (2018) show that a brand provides Apple with significant market visibility and assist in improving customer loyalty. The interrelationships between its offerings and the strong branding motivate the consumers to purchase more Apple products. They always want to try another. Products such as iPad, iPhone and Mac has similar applications and has the same way of operation, which makes the organization to have a primary choice of customers.  

Innovative Products

Apple Inc. has a right and innovative reputation around the world. The organization was the first to design a Mouse and user interface for its computers. Additionally, it introduced iPod and various smartphones performance. The competitive advantage of Apple is that it is capable of creating innovative items that have similar applications, software, and operating system. The strategy minimizes costs, timescale, and risk of product development, allowing the organization to launch new products to stay ahead of competitors. Additionally, the approach of the firm of creating products that are complementary helps in building customer loyalty. 

Strong Integrated Supply Chain

An environment of business partners, developers and suppliers give Apple a strong competitive advantage. Apple Inc. controls manufacturing and takes care of all the operations within its stores. Apple deals with entertainment and leading music organizations to offer an extensive source of media for all the products designed by the firm (Myers et al., 2018). Additionally, Apple Inc. also has over six million independent software; this has enabled the organization to come up with applications for its new products. This advantage offers the organization with control over the whole process of marketing, manufacturing and product development, which the rival companies find hard to meet. 

Premium Pricing Strategy

Apple Inc. creates premium prices for its services and products and lowers discounts to wholesalers, which ensures that the cost of their products remains consistent within the market. The organization emphasizes on providing consumers with products of unique elements and high quality and applies the premium pricing strategy to reinforce the view of the values added and ensuring profitability. This strategy sets a benchmark for rivals that need to provide similar features to be able to match Apple with a fear of losing money. 

Brand Extensions

Brand extension is a situation where customers know a specific brand for making a particular product and begin selling another product. Thus, the brand extension needs to associate with the product categories. For instance, Apple Inc. started with designing Mac which was personal computers later introduced iPod and then followed by iPhone. According to Myers et al. (2018), there are benefits of brand extension. Brand extension has enabled Apple Inc. to be able to lower marketing expenditure and has increased brand awareness. 

Additionally, brand extensions have acted as a marketing strategy for Apple Inc. since the cost of commercials is likely to spread across various products. Instead of building a new brand, the existing brands have leveraged Apple Inc. brand awareness, since one product category supports the other group. Thus, Apple should use brand marketing to invest in brand equity. 

CBBE Model

Customer reaction

In Apple Inc., one can have a view that the organization has a strong customer reaction. The consumers also consider the products of the firm as high end, offering high-quality performance and provide a category of aspects that benefits individuals that use the product. Also, the customers claim that the premium pricing element is too high. 

Consumer Brand Resonance

Apple Inc. is a brand that seems to be favorite around the world. Furthermore, the name appears to be a universal favorite. The type of technology provided to the international range of users by Apple is an ultra-modern and sophisticated. In many cases, buyers who have an interest in electronic and technological devices prefer organizations that offer quality and updated accessories. It makes Apple Inc. a technological giant and favorite among the gadget lovers since it has all the features an individual would need. Therefore, the brand resonance of Apple Inc. has a very strong worldwide scale of end users, and the potential buyers have an attachment with the latest technology within the market. 

Conclusion

The above text gives a brand analysis of Apple Inc. The paper shows that Apple began in the year 1976 and founded by Steve Jobs and Steve Wozniak. The two started the organization as a computer organization. The initial idea of the two founders was to design computers that are small and user-friendly for the consumers so that they can have them at their offices or home. However, the firm later changed and introduced different products such as iPods, iPads, iPhones, Apple Pay, and Apple Watch. As a result, the organization changed its name from Apple computers to Apple Inc. The name enabled consumers to understand that the firm does not only deal with computers. The premises shows that the firm employed various marketing strategies to become successful in the business. For instance, it applied the premium pricing strategy, where it sets high prices for its products, which attracts many customers since they believe that expensive item is always of high quality. 

However, the text shows that the company has not gained maximum customer brand awareness in India which is the second populous country in the world. Thus, the organization needs to come up with ways to ensure that the customers there can recognize the brand. One of the ways the organization can create brand awareness in India is by the use of its logo in advertisements, on billboards and magazines. This strategy will enable the brand to be able to reach the majority of the population. Also, the organization should open up retail stores in Indian cities in the malls and also get involved in internet promotions. By considering these, the organization would be able to create brand awareness in India. As a result, it will be able to become a leader in the segment. 

References

Chen, C. M., & Ann, B. Y. (2016). Efficiencies vs. importance-performance analysis for the leading smartphone brands of Apple, Samsung, and HTC. Total Quality Management & Business Excellence, 27(3-4), 227-249.

Khan, U. A., Alam, M. N., & Alam, S. (2015). A critical analysis of the internal and external environment of Apple Inc. International Journal of Economics, Commerce and Management, 3(6), 955-961.

Myers, S. A., Rappoport, B. M., & Lynch, S. B. (2018). U.S. Patent No. 9,866,660. Washington, DC: U.S. Patent and Trademark Office.