Brand Extension for Apple: Holographic Gesturing for All Devices
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This presentation discusses Apple's brand extension strategy for a new product, holographic gesturing for all devices, using Ansoff's growth strategy. The presentation covers the proposed target market, mechanism, design, and key competition. It also discusses the Pestle factors that prompted the idea and the references used.
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Apple Brand extension
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Company background •Founded by Wozanik and Steve in 1985, the company branched into different units of manufacturing. (Apple, 2019) •Although headquartered in America, most of the manufacturing operations are carried out in China. •By the end of 2012, about 16% of the total smartphones sold worldwide were Apple products. (Facts, 2019) •The market share is comparatively low in developing countries like India and Brazil. •In 2018, Apple secured 51% of the total global market share in smartphones and tablets.
Brand value of Apple •The brand was launched in market back in 1984, with the introduction of a personal computer training program at the Super Bowl. •Since then, Apple has been conducting advertisement campaigns featuring celebrities and airing advertisements made by the creative team of the company. (Sponsorship, 2019) •Apple has collaborated with private technology firms for promoting their products. •The official website of Apple is one of the most uniquely designed technological sites in the world. •Apart from sponsoring the Super Bowl committee, Apple supports several charity programs in and outside America.
Growth strategy of new product •Holographic gesturing for all Apple devices is the new product idea. •The 3D system can create an invisible space for the user, enabling him/her to operate via holographic images andcontrol the screen, switches with only their gestures. (CelticsBlog, 2019) •Apple has adapted Ansoff’s growth strategy for succeeding in the market. •The market penetration will be accomplished by offering seasonal discounts and promoting the product at social events. (En.wikipedia.org, 2019) •A new market segment in different countries will be identified for developing the market of the new product. •Adequate research has gone into designing the product for differentiating it from anything already available in the market.
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Pestle factors that prompted the idea •The technological factors in the Pestle analysis suggest that Apple has all the adequate resources to innovate its products. •As per the social factors, the target market of Apple consist of upper class businessmen and financially affluent teenagers. •This section of the target market would be particularly fascinated by holographic gesturing devices since it is both time saving and unique.
The design
Proposed target market •.The product could be put to medical applications in clinical settings, so hospital owners would comprise a major target segment. •Established businessmen who could benefit from their saved time would be a suitable target. •It is also a desirable product for gamers, hence young college students should be targeted both for extending brand value and profitability. •Educational and training organizations would benefit from the product.
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What influenced the idea •The technological aspect of Apple’s PEST analysis suggest that the product innovations are too mainstream. •A brand extension calls for a remarkable product differentiation, andholographic gesturing introduced in the existing Apple devices is breakthrough consumers have been desiring. •Holograms and visual impressions are popular trends in the technology market.
Key competition •The chief competitor in the new market sector is VNTANA. •The company engages in promotional activities by collaborating with popular brands like Pepsi and Lexus. •However, Apple is still the more recognized brands among the two and is more updated than VNTANA. •The competitor brand is a new company whereas Apple has been in the market for over 35 years. •The rival company offers lower charges, this can cause consumers to switch to a relatively lesser known brand.
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References: •Apple. (2019).Site Map. [online] Available at: https://www.apple.com/sitemap/ [Accessed 25 Jan. 2019]. •Extensions, B., Extensions, B. and weergeven, M. (2019).Apple is everywhere. [online] Brandextensions1.blogspot.com. Available at: http://brandextensions1.blogspot.com/2010/11/apple-is-everywhere.html [Accessed 31 Jan. 2019]. •Facts, A. (2019).Topic: Apple. [online] www.statista.com. Available at: https://www.statista.com/topics/847/apple/ [Accessed 25 Jan. 2019]. •Heath, A. (2019).Apple Working on 3D Displays With Holographic Gesturing for Future Devices | Cult of Mac. [online] Cult of Mac. Available at: https://www.cultofmac.com/113497/apple-working-on-3d-displays-with- holographic-gesturing-for-future-devices/ [Accessed 25 Jan. 2019]. •Sponsorship, A. (2019).Apple Sponsorship - Apple Community. [online] Discussions.apple.com. Available at: https://discussions.apple.com/thread/1669095 [Accessed 25 Jan. 2019].