Friday, October 29, 2010

Advertising And Public Relations Part 2


Hey Bloggers here are some of the commercials from the Apple's
2006 - 2010 "Get a Mac" advertising campaign.

Thursday, October 28, 2010

Dear Blogger

      Thanks for visiting :) I will really appreciate if you leave comments, suggestions, and tips on how to make my blog better. This blog is for you, is me tell you what my point of view in certain topics about the Apple company.

Advertising And Public Relations

Are you Mac or a PC?

Mac Book Pro
  (October 20, 2010 Apple held a Keynote address hosted by the one and only Steve Jobs;  few amazing points were made during this presentation. Tim Cook, Apple's Chief Operating  Officer said that there are around "50 million Mac users, Macs hold 20.7% of the retail market share in the Unite States, that means that 1 out of every 5 PCs sold is a Mac. In fact, according to Mr. Cook 33% of the Apple's total revenue comes from the Mac; that's over $22 billion. With the prices of a Mac Ranging from $699 for the Mac Mini to $5,999 for the Mac Pro, I can tell you that Macs aren't  cheap at all. Again Apple is sales their brand and they don't need to be the low cost competitor in the market because they have one of the biggest competitive advantages there is: Customer satisfaction;  The American Customer Satisfaction Index named them #1 for the 7th year in a row.)


    So did you think of the question I asked you before? Well I'm a PC. Macs are very expensive, more expensive than lets say a Dell PC, so then Why do you keep on buying them?


The 2 "girls" in the picture represent a
home movie made with each respective
computer.
      Perhaps because of the "Get a Mac" advertising campaign that Apple launched in 2006. In America this campaign featured actors John Long as a Mac and John Hodgman as a PC that was using a Windows operating system. In the 24 TV Commercials John Long would present himself as a Mac and John Long as a PC, and then they'll go on where they'll show a scenario where the "Mac" would out perform the PC in every way. The advertising appeal in this situation targets young modern people, as well as quick, efficient, and creative people. Apple used comparative advertisement to promote their product, with the hopes that more people will notice that Macs are better than PCs and then go out and buy them. It work, according to Mr.Cook the revenue of Macs in the last fiscal year have tripled compared to those in 2005.




        To Apple reaching the right target market has been their key to success. In Japan the same advertising campaign is played by actors Jim Kaleagiri, and Kataro Kobayashi. People will identify themselves with members from their own culture, that's why Apple also used English actors for the ad in the UK. David Mitchell played the Mac and Robert Webb Played the PC.
  In April 2010 the get A mac advertising campaign came to an end, and the new campaign started; "Why you'l love a Mac". The new campaign is a product advertising campaign because it promotes the benefits of the Mac rather than compare them to a PC, like the old one did. You can check this new campaign at http://www.apple.com/why-mac/.



Wednesday, October 27, 2010

Thursday, October 21, 2010

Retailing part 2

Apple Retail
 (Retailing is the most important part of marketing because is where you get to see if your marketing mix is effective. Retailers can be broadly classified as independent retailers, chain store, and franchises. There are many different types of retail operations that go from department stores, specialty stores, supermarkets, drugstores, convenience stores, discounts stores, super-centers, warehouse membership stores, off/price retailers, factory outlets, and restaurants. The new age of technology has developed new ways to retail products such methods include automatic vending, direct retailing, telemarketing, and online retailing. A retail marketing mix that consists of 6 P's: product, place, promotion, price, presentation, and personnel has to be developed by retailers in order to achieve successful sales. In addition the location and atmosphere is crucial to the overall impression that the store gives to the customer. Layout, decor, surroundings, music, displays, employees, sounds, odors, and fixtures have to satisfy the needs and expectations the target market.)  

                                   

Store Information
Address:103 Prince Street
New York City, NY 10012
(212) 226-3126


       


       The Apple store in Soho is located at one of the most prominent Lifestyle shopping centers in the city. Soho is a densely populated urban community  in lower Manhattan, N.Y.C. Located on Prince street right around the corner from retailers like American Eagle, Levis, Prada, Guess, Banana Republic, H&M, Adidas, Hollister, Express, Forever 21, Kid Robot, Bape, Armani Exchange, and many many more you can conclude that the store is there for an obvious reason. The store is located on a 2 story building which seems to have been a post office; it has a very classic structure and fits right in with the surroundings. 
      The store in Soho is just one of the four Apple chain retail stores in the city; there are a total of 231 retail stores in the United States alone, and more than 300 world wide. The Apple stores have become famous for their grand openings which draw 1000s of people because of the a new product being released, free prices, or just for the fun of going to see "The new Apple store".

Inside the Apple store in
Soho.
      The Soho retail store displays their products in large modern wood tables that give the customer a chance to get a feel of the product. There are alot of "blue shirt guys" ready to assist you and answer every question you have on any of their products. The items are displayed with an information card next to them that includes price, models, and any additional information on the product. In the second floor the Genius bar is there to help you with any software or hardware problems you may have.(For privateness reasons I was not allowed to take pictures of  the 2nd floor of the store:) Apple uses the market basket analysis by positioning accessories right under the products as shown in the pictures above.  In my opinion Apple has one of the best concepts of electronics retailing in the market, their stores are so nice , their team is highly trained, product assortment and location is awesome, and they give out free headphones if you ask nice enough and return your old ones.
Accessories
      Apple also retails online where their website is just as efficient as their retail stores. You can buy any item, Pay by credit card, and have it delivered straight to your door. The website is easy to use, I had just as good of an experience shopping online and going to the store. The website of the store in Soho is http://www.apple.com/retail/soho/ , There you start shopping now.


        PICTURES I TOOK  AT THE STORE. 


iPod Touch

iPod Nano
iPad
iPod Classic
iPhone 4
Please swipe your card :)

Wednesday, October 20, 2010

Retailing part 1

At The Apple Store In SoHo.


(Right side)
The Apple store in Soho
(front)
       I'm at the Apple store in SoHo blogging from an iPad. The customer service is great, there is soft pop music in the background, the feel to the store is really empowering, you can try any of their products which are laid out in modern wood tables around the store. The store is great and there is a person waiting to help you at every turn. There is no really concrete smell to the store but the atmosphere is very high tech, modern, and hands on. I've been asked if I need any help 4 times by four different people and I've only been in the store about 10 minutes. The sales representatives are great, knowledgeable, well mannered, and very helpful. You can tell that they are well trained just by the way they are able to answer people's questions about the products. I also got new headphones for free so my visit to the Apple store was a total success.
iPad displayed at the store
     Just from getting a feel of the iPad I'm considering to buy one in the near future because of it's versatility and design. Two thumbs up to the Apple store at SoHo, it truly lives up to my expectations based on my visits to the other Apple stores in NYC:)

Thursday, October 14, 2010

Consumer Decision Making








(As a marketer your job is to sell your products, in order to be successful at it you must know you customer as deep as possible. Consumer decision making refers to the many ways a customer can act before and after buying a product and how marketers can adapt their marketing mix and planning according to the desires and needs of customers. Before a customer buys anything they can undergo a series of 5 steps that begin with a need recognition, information search, evaluation of alternatives, purchase, and post purchase behavior; these five steps are not always performed in order. The consumer decision making proses is shaped  by social, psychological, cultural, and individual factors. All customers are different but in all the differences you have to find similarities based on the way they go about making the only decision that is important to you; their decision to buy.)


.Targeting Your Customer Efficiently.

"iPod, If you don't have one you are a loser"
    You can go out and buy an mp3 player for a fraction of the price that an iPod cost, but why don't you? Apple manages to charge us hundreds of dollars for their products because they have successfully marketed their product to us.(by "us" I refer to any one who owns an iPod of any generation) They are definitely not the low cost competitor in the market but they have surely learned how to promote their product's efficiency and beauty.
    The consumer decision making process begins by us recognizing something that we want and don't have. 
   
   For example if you are walking down the street and you see the advertisement on the right that reads "iPod, If  you don't have one you are a loser" then a need for an iPod is created because nobody wants to be a loser. Specially if all your friends have an iPod and you are the only one that doesn't. Apple can already be know brand to you and you have heard lots of great things about it but you'll need to find out more about iPods to see which model satisfies your needs and your pocket. Then you will go on and research and ask your friends about their iPods and find out that there are 4 types of iPods that range from $50 to $250, you can only afford a shuffle. You go out to one of the Apple stores and you end up buying the iPod Touch for $229 wasting all the money you have saved for your mother's birthday present. 

    You have decided to buy the iPod based on the fact that your friends told you iPod are great but in case you didn't notice Apple also pushed you to buy by minimizing your cognitive dissonance also know as doubts. Apple gives you a one year limited warranty that you ca see at http://images.apple.com/legal/warranty/docs/ipodisight.pdf . There you can see that Apple guarantees replacement of any product if there are any factory malfunctions. The Genius bar in every Apple retail store helps you if you have any problems or questions regarding your device. This gives you a sense of security when you go buy an Apple product. 
      
        You come home with your brand new iPod and you decide that you did the right thing because you got the best iPod there is and all your friends will be jealous.Then you start feeling guilty about wasting money that you needed for something else. You decide to ignore those thoughts and think to yourself that buying  the iPod has been the best decision you ever made.
  
     Your decision was affected by your morals and values, maybe if you feel bad enough you'll return the iPod the next day. Most of us display our belongings to try to establish our status and help our self esteem. We also block out thoughts that go against what we want to believe, that's called selective distortion. 
         In conclusion, we buy the iPod and not buy a cheap MP3 player because Apple has  successfully understood the process every buyer goes through buying a new product. With that understanding they have targeted all different types of people and made our decision a little easier.

Tuesday, October 5, 2010

Developing A Global Vision

Apple To The Universe
( Global marketing is more than just making business abroad, it involves an understanding of the traditions, language, customs, and needs of the different types of markets that you can be dealing with in foreign countries. It also involves a large understanding of the environmental factors in that country such as culture,economic and technological development, political structure and actions, demographics, and natural resources that may affect the implementation of the marketing mix.)

   A thousand years from now Apple inc may go universal; for now they are only global. With more than 300 retail stores world wide they are very much on their way to becoming one of the biggest multinational companies in history. With 28 stores in the UK, 28 in Canada, 231 in the U.S, and several other store in 8 other countries it is irrelevant to say that Apple has expanded their markets well beyond the United states borders. One of the newest markets Apple is trying to develop is the Chinese, they just opened 2 new stores on Saturday Sept. 25, 2010 and plan to open a total of 25 stores by the end of 2012.

      According to the C.I.A there are more than 1.3 billion (estimate)people in China as of July 2010, and the world population in around 6.7 billion, that means that 20% of the world's population is Chinese; that's 1 out of every 5.
Qianman Street Store, in Beijing China.
      Such a big market is the perfect a attraction factor for any business going global, Apple's 2 new stores to make a total of 4 are aiming to infiltrate the market share in China. The Chinese population is moving steady towards becoming urban community and thus forming cities of immense population such as Beijing and Hong Kong. The middle class is also growing as well due to all the companies that have moved their production factories to China. The population in the large cities of China is estimated to be from 6 to 15 million making these fast growing cities attractive markets for the taking.
   There are very little malls in China and there for Apple is forced to open street level stores, their real state team helps them find the best fit location for a now store. Never the less some of China cities are very traditional so Apple has to keep a good look out for the cultural diversity between each target market.
    The iPhone 4 was released China, on Sept 25th on the opening of the 2 new retail stores, it was priced at 4,999 yuans- around $747 for the 16GB and 5,999 yuans-around $896. With the average income of a middle class person per year being  around $2,000 the price seems a bit too high for high demand, but than again Apple has never been the low cost competitor.
Salitun Village store in Beijing
     Apple has amazing store all over the world, you can't expect less from the new stores in china, the Hong Kong plaza store is an amazing 40ft high glass cylinder. As an Apple customer I think that Apple sells good products but the prices in countries like Mexico are too expensive to be available for the common middle class market as they are in America and other developed countries. An 8GB iPhone 4 is 9,799 pesos; that's almost a whole weeks salary for any average middle class family in Mexico. But than again product differentiation is what drives people to pay such high prices and Apple has set their standards high.
Hong Kong Plaza reatail
     You can also buy Apple products virtually any where in the world through apple.com official Apple web page for China is http://www.apple.com.cn, (for Mexico just change the cn to mx.) here you can see the prices for all of the Apple products available in China and Mexico.