Marketing Management Strategies: Apple Inc. iPhone Positioning

This report provides a comprehensive analysis of Apple Inc.'s marketing management strategies, focusing on the iPhone's market position. It uses marketing models like the Ansoff Matrix to examine Apple's product development, market penetration, diversification, and market development strategies. The report identifies key marketing objectives for Apple, including continuous innovation, expansion of retail presence, sustaining premium pricing, and building brand anticipation. It also identifies target segments such as business professionals and young consumers, detailing strategies for fostering brand loyalty within these groups. Furthermore, the report explores the use of the marketing mix and other marketing tools to effectively position the iPhone in a competitive industry, emphasizing the importance of product, place, price, and promotion. The analysis concludes with recommendations for Apple to maintain its competitive advantage and achieve its marketing objectives.

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Executive Summary
The report has helped in analyzing the different strategies of marketing positioning that has
helped Apple Inc in managing the different tasks in an effective manner. Furthermore, there
are different techniques that has been applied by Apple Inc as to gain more strategic
advantage in the economy and gain more popularity as well. The marketing mix importance
along with different other marketing tools has been applied that has assisted Apple in
managing the different tasks effectively.

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Table of Contents
Overview of Apple Inc and iPhone 3
Answer to Question 1 3
Answer to Question 2 7
Answer to Question 3 9
Answer to Question 4 12
Recommendation 15
Conclusion 16
References 17
Annexure 20

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Overview of Apple Inc and iPhone
Apple Inc is one of the American Multinational Company that is headquartered in
Cupertino, California that helps in developing and selling consumer electronics and the
online services as well. The company was founded in the year 1976 in the month of April.
Apple Inc is one of the largest information technology company as per the revenue and this is
the second largest mobile phone manufacturer in the entire world as well (Apple 2018).
Answer to Question 1
Apple iPhone has tried to position themselves in the entire competitive market by
offering affordable kinds of products such as smart phone along with innovative smartphones
users by offering the experience that is uniquely different from the other competitors in the
market. The features of iPhone offer a kind of experience that is not provided to the
customers and they are adjustable to the different demands of the different individuals in an
appropriate manner.
Furthermore, this has been seen that Apple iPhone helps to provide the customers
with best personal experience to the different users in an effective manner. The main motive
of the positioning is to analyze the different demands of the customers and try to improve
their positioning in such manner as well. With the help of Ansoff Matrix, the market

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development and positioning strategy can be analyzed and this will help in analyzing the
experience of the customers from Apple or the iPhone versions. Furthermore, it has been seen
that the main and major competencies of Apple Inc remain delivering exceptional kind of
service with the help of user interfaces. The brand personality of Apple mainly focuses on the
different emotions and the iPhone SE and iPhone 5S prices have been lowered and this has
assisted the company in meeting the preferences of the customers effectively.
Product Development- Apple tries to create new products for the customers who are
the existing customers of Apple or the different iPhone products. This was the first and
foremost entertainment tool from Apple such as iPhone X and this is powered by hexa-core
processor and this comes with 3GB RAM.
Product Penetration- Apple tries to provide different kinds of advertisements on
iPhone X for attracting their customers towards buying the same product in the market. The
company is constantly trying to advertise their products in television along with in YouTube
to make the customers aware of the products effectively.
Diversification- In September 2017, Apple introduced iPhone X which is the latest
version of iPhone and the entire market was attracted towards the product sold by them.

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Market Development- Apple introduced iPhone X which is entirely new product line
for the company and they try to develop their reach in the entire competitive market
effectively. Through such market development approach, the iPhone needs to develop the
entire market as per the requirements of the wants of the customers in the market.

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From the positioning map, it can be analyzed that the iPhone has tried to position
themselves in such a manner that the different consumers in the market choose iPhone due to
different reasons such as:
● The ease of usage
● Brand that offers consistent kind of product
● Modern type of designs
● Fits into different kinds of lifestyles
The brand positioning of Apple iPhone has helped them in focusing on the
preferences of the customers and this has helped them in analyzing the competitiveness from
the other brands in the market and this has assisted them in gaining competitive advantage.
iPhone falls under the category of high price and quality as well and this is a premium brand
that is not affordable by all in the market as well (Tomczak, Reinecke and Kuss 2018).
iPhone has been positioned in the entire competitive market in such a way that has
helped the entire company in adopting the corporate branding strategy that revolves around
the emotional experience with the products. This respective factor is efficient in nature as the
product brand development refers to the entire process of growing the entire brand and meets
the expectations of the customers in an appropriate manner as well (Ijbmi.org, 2018).
iPhone has tried to gain competitive advantage over the other competitors such as
providing superior quality products that are technologically advanced and the major
competitive advantage gained by the company is to spend their R&D keeping their eyes on

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future rather than on the present. However, lastly it can be seen and concluded that iPhone
can be bought by the high earners who are from upper class (Cascio 2018).
Answer to Question 2
The three marketing objectives that is required to be adopted by Apple Inc Company
that should be pursued by them are described are follows:
Product- Apple offers their customers with premium brand products and they are
trying to maintain large market share along with high margins of profit.
Objective 1- To continue to create groundbreaking products for the customers and
Apple Company has tried to make a name for themselves in becoming trend setter in the
entire market by introducing something new along with exciting quality.
Strategy- In order to prepare groundbreaking products, Apple will require great team
building culture for their customers with proper and accurate research and development team.
Objective 2- To dictate and innovate movement for future technology as technology is
ever changing in nature and this is the reason in which Apple continue to lead the serge of the
entire innovative world.
Strategy- The main strategy is to continue with the success of creating the best
products and Apple needs to study the entire market as to analyze and understand the wants
of the consumers as they can improve the products by the feedback provided by the
customers in the market in an effective manner (Elenkov 2014).
Place- Apple products are available in different parts of the world and this is the main
goal of the business and the main objectives are described as follows:

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Objective 1- Expansion of Apple stores in the entire world and there should be
different stores that will be extension of the stores in the world to increase their sales in an
appropriate manner.
Strategy- Apple needs to open the different stores in various parts of the world that
will be based on the demand from the different consumers in the market.
Objective 2- To make the different products that is available in possible retail channel,
online and Big Box retailers. Apple needs to make sure that the different products are
required to be accessible to the customers in an effective manner.
Strategy- Apple needs to place products in all the different retail stores that sells
different electronic devices that are featured and this will help them in delivering the products
in an effective manner (Kavaratzis, Warnaby and Ashworth 2014).
Price- Apple products are premium branded products and they come with premium
pricing as well. The different objectives include the following:
Objective 1- Enter along with sustain premium pricing in gaining huge market share
as the premium pricing is essential in nature and this will help them in including the premium
pricing as well.
Strategy- Proper price has to be strategically done as to be on the top of the market
base and serve the customers with the best quality in an effective manner.
Objective 2- To increase the margin of profit as it can be seen and analyzed that Apple
Inc has huge margin.
Strategy- Apple Inc needs to continue to push to the lower cost to make the different
products wherein sustaining in the same retail market price in the entire market (Seyed-
Javadin, Raei, Iravani and Safari 2018).

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Promotion- Proper building of the brand is essential in nature and this is the toughest
challenge that can be faced by the company. Proper promotion strategies are required to be
adopted in order to certainly demonstrate the different anticipation of the product strategies in
an effective manner.
Objective 1- To build anticipation for the new products that are upcoming in the entire
market wherein Apple needs to include different kinds of features in their new hand sets as
this will help in attracting the different customers in the market in an effective manner.
Strategy- Proper usage of the annual conference along with different events as to
announce the press release before it will hit the market. Furthermore, this will allow the
customers in building demand for the respective product before it hits the shelf.
Objective 2- To expand and sustain on the strongly branded name in which Apple has
changed the entire way for the different individuals in the market to look at the phones and
tablets (McDaniel 2014).
Strategy- Apple needs to be trend setter along with entering into the new markets
before the competition and this will assist Apple in building their brand stronger in nature and
this will help the company in gaining more competitive advantage in the entire economy
(Lidstone and MacLennan 2017).
From the above, these can be analyzed that these are the different kinds of strategies
along with objectives that is required to be adopted by the company Apple in gaining more
success and gain more competitive advantage in the competitive market.
Answer to Question 3
Identification of target Segments

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The target segments that have been adopted and targeted by Apple Inc Company are
the following:
Demographics- iPhone targets the individuals between 18-35 that mainly focuses on
the youth population in the entire market (Zenker, Braun and Petersen 2017). This group
mainly comprises of the ones who have monthly household income above 2 lakhs dollars and
live in different metros or mini metro cities.
Psychographic- An iPhone user generally looks for the different features such as the
stylish kind of appearance, technology that is user friendly in nature along with countless
applications that appeal to the senses of the different individuals in the entire competitive
economy (Panigyrakis and Veloutsou 2015). The main driving force towards buying the
iPhone is the brand name itself and this attracts the different customers in the market
effectively. The person who uses iPhone in the economy are image conscious, fashionable
and attention seeker individuals in the economy.
The major target markets of Apple Inc Company in the entire market that is
competitive in nature includes the following:
● Business People- It has been seen that the different business individuals in the
economy are intrigued towards the usage of Apple iPhone or other Apple products.
The different devices of Apple have the perfect blend of business quality which is
useful in nature. These are the different devices that are utilized in nature to finish the
work in a fluent manner and to communicate with the different essential clients in an
easy manner. In addition, sending the different documents is organized and easy in
nature (Melewar and Skinner 2018).

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● Young Children and Kids- Apple products are useful and efficient in nature to the
different young kids and children. There are different devices such as iPads and iPods
which are easy to handle and use as the touch screen quality is good for the children
and they are being able to solve the different issues easily. The parents are being able
to download learning apps on the Apple devices as to teach their young children and
kids in an appropriate manner (Wrenn and Mansfield 2014).
● Teenagers- The different teenagers are being considered one of the target markets of
Apple Inc and teenagers use iPods and iPhones for different reasons. Firstly, they
socialize with their friends and there are different gaming applications as well that are
used by them in the iPhones. They listen to music and socialize with their friends on
MSN, Facebook and twitter as well (Kotler 2015).
These are the three different target markets of Apple Inc Company wherein this has
been seen that these are the major segments of the market and the company needs to develop
loyalty towards these target customers as to gain more competitive advantage in the economy
effectively. Proper loyalty programs are required to be developed by Apple Inc Company in
the entire competitive market as this will assist the entire company in managing the target
customers in an even manner and understand their requirements in an easy manner (Keller
2017).
Apple Inc will develop loyalty with the different customers in the organization in such
a manner wherein this has been noticed that the company needs to follow certain steps that
will help them in maintaining proper relationships with them to gain more competitive
advantage in comparison to the other competitors (Piperopoulos 2016). There are different
kinds of procedures wherein it is seen that communication is required to be done by Apple in