Date post: | 06-Apr-2018 |
Category: |
Documents |
Upload: | trang-pham |
View: | 226 times |
Download: | 0 times |
of 36
8/3/2019 File Cuoi Cung
1/36
BNG PHN CNG NHIM V
Stt H v Tn MSSV Nhim v
1 Nguyn Th Hng K094020144Composing the chapter 1 and preamble
2 Nguyn Th Thanh Ngc K094050867
3 Trn Duy Thi K094051052
Composing the chapter 24 L Anh Vi K094020249
5 L Th Bch LyK094020179
6 Hong Th Thu Huyn K094020160
Composing the chapter 37 Ng Tr Tng K094050890
8 L Nguyn Kiu Trinh K094020241
9 Chu nh Ngc Hiu K094020150
Composing the assessment,recommendation and conclusion,completing the word file
10 T Th Ngc Qu K094020342
11 Phm Th Trang K094020236
8/3/2019 File Cuoi Cung
2/36
PREAMBLE............................................................................................ 4
Chapter 1: INTRODUCTION................................................................ 5
1.1.Brief introduction of Apple Inc ........................................................... 5
1.2.The iPhone .......................................................................................... 6
1.3.Profit from iPhone............................................................................... 7
Chapter 2: SWOT ANALYSIS .............................................................. 8
2.1.Strengths ............................................................................................. 8
2.2.Weaknesses ....................................................................................... 10
2.3.Oppotunities ................................................................. .................... 11
2.4.Threats ......................................................................... .................... 12
Chapter 3: MARKETING STRATEGY ....................... .................... 14
3.1.Marketing Research ..................................................... .................... 15
3.2.Segmentation. .............................................................. .................... 15
3.3.Target Markets. ............................................................ .................... 17
3.4.Positioning the brand.................................................... .................... 18
3.5.Producing the brand. .................................................... .................... 19
3.6.Price ............................................................................. .................... 22
3.7.Promotion. ................................................................... .................... 25
3.8.Place ............................................................................ .................... 28
3.9.Post purchasing. ........................................................... .................... 30
Chapter 4: ASSESSMENT AND RECOMMENDATION ................. 30
4.1.Assessment .................................................................. .................... 30
4.2.Recommendation ......................................................... .................... 32
CONCLUSION ................................................................ .................... 33
REFERENCE SOURCE ................................................. .................... 35
8/3/2019 File Cuoi Cung
3/36
3
3
PREAMBLE
Marketing plays a key role for existing and development of products. Today, atrader does not deny the central role of marketing in the company.
Marketing has many different directions that research subjects to focus on marketing
principles microscopic fields of marketing and profit. For those interested in this
subject and to analyze the role of marketing a new product, group 3 we are pleased to
introduce and present activities iPhone Product Marketing. This is a product of new
technology and the success of Apple company, initially for the introduction of next
generation smart phones in the world. This product in Vietnam had "rain, as the
wind" on the mobile phone market with long rows of people waiting to buy. The study
and analysis of the group will show that Apples and its distributors have made very
useful marketing plan to create iPhone fever in Vietnam in the past year.
In this understanding, the group has inherited many research results of many
members and organizations as well as individual contributions and supplements.
The group would like to thank the individuals and organizations that all materials
used in this understanding. Especially we would like to thank Ms. Nguyen Thi Mai
Trang has directly give us the knowledge of Marketing and guide the implementation
of this subject group.
In the learning process, although the group tried hard, we cant avoid these
shortcomings. Expect and appreciate her glasses and your comments, review all the
shortcomings to learn to be more complete.
Ho Chi Minh City, in May, 2011
8/3/2019 File Cuoi Cung
4/36
4
4
Chapter I. INTRODUCTION
1.1. Brief introduction of Apple Inc.
Apple Inc. (NASDAQ: AAPL, NYSE: AAPL;
previously Apple Computer, Inc.) is an American
multinational corporation that designs and markets
consumer electronics, computer software, and
personal computers. The companys best-known
hardware products include the Macintosh line of
computers, the iPod, the iPhone and the iPad.
As of August 2010, the company operates 301 retail stores in 10 countries, and
an online store where hardware and software products are sold. As of May 2010,
Apple is one of the largest companies in the world and the most valuable technology
company in the world, having surpassed Microsoft Corporation.
Established on April 1, 1976 in Cupertino, California, and incorporated January
3, 1977, the company was previously named Apple Computer, Inc., for its first 30
years, but removed the word "Computer" on January 9, 2007, to reflect the company's
ongoing expansion into the consumer electronics
market in addition to its traditional focus on
personal computers. As of September 2010, Apple
had 46,600 full time employees and 2,800
temporary full time employees worldwide and had
worldwide annual sales of $65.23 billion.
For reasons as various as its philosophy of
comprehensive AESTHETIC design to its
8/3/2019 File Cuoi Cung
5/36
5
5
distinctive advertising campaigns, Apple has established a unique reputation in the
consumer electronics industry. This includes a customer base that is devoted to the
company and its brand, particularly in the United States. Fortune magazine named
Apple the most admired company in the United States in 2008, and in the world in
2008, 2009, and 2010. The company has also received widespread criticism for its
contractors' labor, environmental, and business practices.
1.2.The iPhone.The iPhone is a line of Internet and multimedia-enabled smart phones designed
and marketed by Apple Inc. The first iPhone was unveiled by Apple CEO Steve
Jobs on January 9, 2007and was released on June 29, 2007.
An iPhone can function as a video camera, a camera phone with text
messaging and visual voicemail, a portable media player, and an Internet client with e-
mail and web browsing capabilities, and both Wi-Fi and 3G connectivity. The user
interface is built around the device's multi touch screen, including a virtual keyboard
rather than a physical one. Third-party as well as Apple application software is
available from the App Store, which launched in
mid-2008 and now has over 350,000 "apps"
(=application: ng dng) approved by Apple.
These apps have diverse functionalities,
including games, reference, GPS navigation,
social networking, security and advertising for
television shows, films and celebrities.
There are four generations of iPhone models, and they were accompanied by
four major releases of iOS (formerly iPhone OS). The original iPhone was a GSM
phone that established design precedents like screen size and button placement that
have persisted through all models. The iPhone 3G added 3G cellular network
capabilities and A-GPS location. The iPhone 3GS added a compass, faster processor,
8/3/2019 File Cuoi Cung
6/36
6
6
and higher resolution camera, including video. The iPhone 4 has two cameras
for FaceTimevideo calling and a higher-resolution display; it was released on June 24,
2010. In the U.S., AT&T was the only authorized carrier until February 10, 2011,
when a CDMA version of the iPhone 4 launched for Verizon.
1.3. Profit from iPhone.
Thanks in part to the increasing momentum of the iPhone, Apple has bested
Wall Street's predictions again, this time for its second quarter 2010 earnings.
The currently available iPhone models saw increased sales in every geographic
region for Apple for the quarter, helped in part by adding eight new carriers to reach a
total of 151 worldwide. Including hardware, accessories, and payments from carriers,
Apple made $5.3 billion off of its smartphone.
Growth of the iPhone in Asia Pacific and China (including Hong Kong and
Taiwan) was "staggering" to Apple, according to Cook. Asia Pacific was up 474
percent, Japan 183 percent, Europe 133 percent. But China is a relatively new market
for Apple, and Cook said revenue from the region for the past six months was $1.3
billion, a increase of 200 percent.
Apple sounds eager to capitalize on the iPhone's growing popularity in China.It's planning two new stores for Shanghai this summer, and a total of 25 for the greater
China region by the end of fiscal year 2011, according to Oppenheimer.
Apple guided typically conservatively for the next quarter, saying it expects
third-quarter 2010 revenues to be between $13 billion and $13.4 billion, and earnings
per share between $2.28 and $2.39.
Some additional numbers: iTunes Store sales for the quarter hit $1.1 billion. Apple retail stores pulled in $1.68 billion, or about $5.9 million per store.
(There were 284 stores open during the second quarter.) Those stores sold 606,000
Macs, and half of those were to new Mac users, according to Oppenheimer.
8/3/2019 File Cuoi Cung
7/36
7
7
47 million people filed through the doors of Apple Stores worldwide, which is20 percent better than the same quarter a year ago.
The company continues to add to its pile of cash: It now has $41.7 billion,adding $1.9 billion since the end of the first quarter of 2010.
Apple shares were up 5.68 percent to $258.49 in after-hours trading on the news.
8/3/2019 File Cuoi Cung
8/36
8
8
Chapter 2: SWOT ANALYSIS
2.1. STRENGTHS
One of the leaders in mobile industry
The fact that the company is first to deliver in this arena of computer phones is
one of its greatest strengths.
Integration
Complete chain - 1 device, 2 current models (16 or 8GB), the hardware, the OS,
the App Store, the iTunes integration, the potential integration in Leopard and Snow
Leopard.
Innovative
The iPhone has an innovative touch screen that is patented and unmatched by
any other mobile product today. It also has many functions of other mobile products
all in one device.
Compatibility (tnh tch hp)
The phone will work with iTunes and with other Mac/Apple products like the
new Apple TV, allowing for wireless connectivity to the big screen. The iPhone is
also compatible with many Mac OS software tools. Mac OS compatibility means that
the iPhone has limitless potential for upgradeability.
Ease-of-Use (n of easy)
The all-new touch screen interface making operations are extremely intuitive. It
is radically different from those of other phones or PDAs that recognizes multi fingergestures, just as the human hand normally behaves. The Mac OS X application
imbedded into the iPhone assures users will easily recognize what they can do.
Brand awareness
8/3/2019 File Cuoi Cung
9/36
9
9
Apple is well known for cool essential gadgets (my ci tin, dng) like the
iPods along great technological innovations like the original Macintosh.
Price
At $500, the iPhone would be sold at a reasonable price for its value. It
outperforms any other PDA or smart phone on the market and the convenience of
having multiple features combined into one-device increases its overall value.
Quality
The iPhone has one of the brightest and most scratch (hn tp, linh tinh) resistant
screens in the market. It also has a fine metallic finish that is durable and light. The
software suite included is also unsurpassed with their ease of use and resistance tocomputer viruses.
Attractive designs
The iPhone mainly distinguishes itself from competitors over its user interface
which is driven by a multi-touch screen. Apple claims various patents relating to this
technology
There are two major complements to the iPhone: cellular phone service andwireless Internet access. Phone service is currently entirely provided by Cingular,
wireless Internet is provided through a Cingular data plan when no other/free wi-fi is
available.
2.2. WEAKNESSES
Bad battery
Iphone is the only one which has no replaceable battery on the market now. So ifyou get troubles with battery, there is the only way that you send it to apple.
Too sensitive touch screen
8/3/2019 File Cuoi Cung
10/36
10
10
This feature also causes many problems for user. Today, some manufacturers tend
to produce mobile phones that have handier keypad. In contrast, Iphone provides only a
big too sensitive touch screen meanwhile its competitors have both, for example Nokia
N97 Moreover, iphone doesnt accept signals caused by nails but 35% customers of
iphone in Viet Nam are female. So a large number of ladies have to cut it to use iphone.
No radio
Its really inconvenient because many people listen to the radio todays. It is an easy
and fast way to get information for busy business men. But iphone has no radio. Its is
one of iphone limitations that makes customers consider another product.
IPhone 4 price version 16 and 32 GB are 200$ and 300$, with a two-year contractwith AT&T. Because of many limitations and rules in App Store such as no porn, no
copyright infringement of Apple customers have to pay from 600$ to 800$ for an
international version, if they dont want to be restricted. This price makes iphone is one
of the most expensive smartphones.
Easy-to-broken screen
According to Cnet, iphone 4 screen gets dust and fingerprints easily. Beside,
iFixyouri warns the screen may break if it falls from 1 mettre high.
2.3. OPPORTUNITIES
Vietnam is more likely to have relatively greater political stability. Would be
advisable (thch hp, khn ngoan) to form good relations with the local government and
negotiate favorable terms with them.
Currently, mobile phones are in the process to exempt from import tax to 0%, so
compared to many other items is a huge incentive for commodities which are now ingreat demand in society.
High growth rate of the low-end market.(Vietnam is a developing economy. In 2010,
Vietnam economy grew 6.78%)
8/3/2019 File Cuoi Cung
11/36
11
11
High level of GDP growth (As of 2010, GDP per capita in vietnam has reached
about $ 1,170 per year)
High demand for personal mobile-related products
20% of Vietnam population is aged 15 and 24, and half of young people already use
mobile services.( Source : Nielsen company )
Infrastructure (an important factor) in Vietnam is adequate. Road, and rail
infrastructure is well-developed. There are also 17 civil airports operating in Vietnam.
The rapid increase of number of distributors by Viettel and other mobile phone
service companies such as Vinaphone and Mobiphone.
According to GSO, the total number of Internet users in Vietnam by the end of May
11-2010 was 27.3 million, accounting for approximately 31.7% of the population ofVietnam. So after 13 years after Vietnam Internet global peace (1-12-1997), the number
of Internet users in the country has increased rapidly.
Vietnam is also one of the mobile phone market is the fastest growing in the world.
According to the General Statistics office, the number of telephone subscribers
nationwide as of last month 3 / 2011 reached about 174.1 million, up 28.2% over the
same period last year.
2.4. THREATS.
Many similar or substitute products.
8/3/2019 File Cuoi Cung
12/36
12
12
LG KE850 Nokia Aeon Concept Phone Samsung F700 ultra slim phone
Neonode N2 TouchScreen Neo1973 Asus Aura Concept Phone
LG KE850 Nokia Aeon Concept Phone
Samsung F700
Source:http://mobithinking.com/stats-corner/global-mobile-statistics-2011-all-quality-mobile-marketing-research-mobile-web-stats-su#smartphone-shipments
New powerful entrant-Google.
Google has reentered the phone production market with the Nexus One and Nexus
S, the first phone to launch with Android 2.3 Gingerbread, the latest version of
8/3/2019 File Cuoi Cung
13/36
13
13
Google's mobile operating system. With many special features, Google nexus is a big
threat to iPhones development.
Besides, when Apple enters in a new market like Viet Nam.They have some
difficulties:
Vietnam is a Single Party Communist State. There is more likely to be higher
government control and less autonomy (quyn t tr, khu t tr) for the organization
wanting to enter the Vietnamese market.
Now, inflation in Vietnam has risen to nearly 14% in 3 / 2011 (Reuters) and
Mobile phones are one of the items of import restrictions.
(Notice No. 197/TB-BCT, 1380/QD-BCT, 4388/BTC-CST)
Vietnam is a country with average income. To cater for the largest demographic,
it is best to use a price leadership strategy rather than rely on product differentiation.
Sell a cheaper, and more basic product or service, rather than offer a premium quality
or novelty product. In 2010, Vietnam phone market appear more high-tech device
such as Windows Phone 7, Samsung Wave S8500, Motorola XT720, Nokia N8, Sony
Ericsson XPERIA X10, BlackBerry 9800
8/3/2019 File Cuoi Cung
14/36
14
14
Chapter 3: Marketing Strategy. (9P)
3.1 Marketing Research. Probing the market
Before iPhone hadnt officially launched in Vietnam market, some researchshowed that this is a potential market, especially to young people.
Apple uses a large variety of consumer research in order to further improve the
iPhone as the market changes. Staying close to the end user and listening to the
customer will be paramount to our success. Through the use of focus groups, feedback
from consumer surveys and brand awareness studies to insure they know of the
iPhone is view by the world. Targeting segments will be important in order to extend
the siphoned reach to business and a broader professional base. Four age groups will
be targeted: 15-20 years, 20-25 years, 25-45 years, and 45 years and up. These groups
will give an expansive view of the study groups to include middle and upper income
individuals. High School and College aged people will demonstrate social uses. The
25-45 years group will be used to determine business application and social/personal
use, and finally the 45 years and above will give us a plan to market to more senior
well-refined group.
This research has been done through surveys (via email campaign through portals
such as, iTunes and other on-line application developed for the siphoned) and
interviews (in Apples stores) with the same age groups listed above. The surveys will
target to not only to current Apples customers but also consumers not currently using
their products. It is important to weed out members who have a bias view to insure
non-prejudice data. In order to bring the siphoned to the front of the business world it
is important to research different ways to grow the 15-25 year old group into businessuses of the product. Brand awareness will be an important tool in taking the Apple
brand from social cool to business cool. Apple will also ask for feedback on
siphoned features, and implement those changes most important to the end user in the
next generation siphoned. To ad incentive, and encourage users to participate theyll
8/3/2019 File Cuoi Cung
15/36
15
15
offer opportunities to win gift certificates. In addition, Apple will use customer
satisfaction studies provided by various private third party firms to get a larger non-
biased sampling. Apple will also allow users themselves to design their own ideal
siphoned on-line and use any useful ideas to further refine future siphoned models.
Finally, Apple will continuously scour their fan websites to understand what the Mac
faithful are saying, as they are our best customers.
3.2 Segmentation. (Partitioning the market)
The iPhone targets consumers who need to store information and communicate
or people who want entertainment on the go. Apple target segments consist of
professionals, students, corporate users, entrepreneurs, and health care workers.
Currently, the market for high-end phones like the Apple iPhone is small. However,
few people want Internet, video, and PDA features in one device because of the high
price. The smart phone market is still relatively small compared with general phone
market. Customers in Vietnam had a lot of information about iphone before it was
launched in Vietnam. Different to customer in US, they are the innovators (not afraid
to try new thing) so Vietnam segmentation has something different from US
segmentation.
In Vietnam, there are only 3 official distributors Viettel, Mobifone and
Vinaphone. Similar to the way apple divides market, segmentation are divided
according to job, income and age.
- Target in customers who was young men in the age from 18 to 35 because
they are technology enthusiasts, easy to access new technology and they want a
product that are affordable, compact, and stylish. By targeting the product at young
men with middle upper income, it went without saying that women were also
interested in the product. Moreover, people who use cell phones for work are often
more highly educated and will respond well to detailed information in the advertising.
8/3/2019 File Cuoi Cung
16/36
16
16
Target
SegmentConsumer Need Corresponding Feature/ Benefit
Professionals
-Stay in touch while onthe go
-Record informationwhile on the go
-E-mail, instant messaging, andphone
-Applications from Mac OS X fornotes and record-keeping.
Students
-Perform many functionswithout carrying
multiple gadgets.
-Style and individuality.
-Ipod, phone, video, TV shows,Internet, PDA
-Apple branding as fashionstatement.
Corporate
Users
-Input and access criticaldata on the go
-Applications from Mac OS X fornotes and record-keeping
-Compatible with widely availablesoftware
Entrepreneur
s
-Organize contracts,access contracts and
schedule details.
-Wireless access to calendar andaddress book to easily check
appointments and contacts.
Medical
Users
-Update, access, andexchange medical
records
-Wireless access to calendar andaddress book to reduce paperwork
and increase productivity.
3.3.Target Markets. (Pursuing the segment)iPhones marketing strategy is to differentiate the iPhone from other PDAs on
the market, and in Vietnam it is famous with multi function and stylish.
Primary customer targets is the middle-upper income professionals that need one
portable device to coordinate their busy schedules and communicate with colleagues,
8/3/2019 File Cuoi Cung
17/36
17
17
friends and family; organize contracts, access contracts and schedule details; stay in
touch while on the go
+ Considering the attractive rate of this segment:
It has many opportunities to develop due to iphone fever The proportion is large. Vietnam has gold population so the number of
people in the age from 18-35 is large. Moreover, they have a job with
middle- upper income and they are sensitive to new technology. Easy to
access customers.
+ All 3 distributors (Vinafone, Mobifone, Viettel) have high position in
communicate service in Vietnam. They have ability to market iphone, attract
customers.
Iphones primary business target is to partner with large cell phone service
providers, AT&T, Verizon, Sprint and Cellular One; As well as large enterprise
software firms where information is critical to the end user.
3.4 Positioning the brand.
Using product differentiation, Apple is positioning the iPhone as the versatile
(nhiu ti, linh hot, uyn bc), convenient, value-added device for personal and
professional use. The marketing strategy will focus on the convenience of having one
device for not only communication, but also music, pictures, and video, and full
Internet access. The iPhone will be promoted as both professional and hip.
Additionally, differentiate itself from other smart phone on the market. First,
this is the 3.5-inch screen as an industry first. Secondly, it has a touch sensitive
keyboard. Apple has worked hard to make sure that their iPhone stays on the front
page of newspapers across the country. This has severely limited competitors from
fighting back with their new smart phones.
8/3/2019 File Cuoi Cung
18/36
18
18
Nokia is selling the N95, which is a smart phone geared to compete against the
iPhone with its ability to play music and DVD-quality video (Yuan and Sharma,
2007). The N95 has more features than the iPhone, but it lacks a major U.S. partner
for widespread distribution and carries a $749 price tag in the U.S. market. Other
competitors such as LG Electronics are also rushing high-end smart phones to the
market in an attempt to keep customers using their devices instead of switching to
Apples iPhone.
Software compatibility is one smart phone aspect in which competitors have a
definite edge over the first generation iPhone. Software developers currently must
develop programs that are optimized for the iPhones Safari Internet browser and
wireless capabilities, which severely limit their ability to introduce to the device
applications in high demand, but Jobs has said that the security of the iPhone is
planned to be overhauled and the software platform provided to programmers will
have features that protect the iPhone from malicious programs.
There are 4 levels of competition, in Vietnam, they are:
Brand competition: Nokia E7, Sony Ericsson XPERIA Arc LT15i,BlackBerry Torch 9800 (Price over 16 million VND)
Product competition: Nokia, Samsung, LG, Motorola, Need competition: iPod, homephone, iPad.. Budget competition: Travelling, Laptop, Motorcycle,
Target market in Vietnam is the youth and high salary people, therefore they have
both functional needs and psychological needs. Apple has to make some survey,
interview for more information. Then, Apple builds a map and analyze position of
Iphone trademark in Vietnamese market. Finally, choose the most suitable positioning
campaign.
3.5. Producing the brand.
8/3/2019 File Cuoi Cung
19/36
19
19
As every Apple product such as iPhone, the main marketing message to the
consumer is Something different, something cool, user friendly and simply Apple.
- The unique selling proposition (USP) of iPhone was not in the message but
rather in different functions the handheld was offering.
- Innovation: Adding the following features to the iPhone (large dish storage
capacity, lower weight, thinner device, long battery life, 4G wireless, GPS and
improved camera).
+ Differentiate the iPhone against others is the touch screen functionally.
+ Launching a cheaper version in 2008 with less advanced features along
with a more advanced version for professional use.
- Customization: iPhone have built a Community Online in its functions, such
as: flickr, youtube, bebo, facebook, dig, my space, twitter...and some of The Free
Tools Used: Google AdWords, Google Alerts, Addictomatic, Delicious, Yahoo Pipes,Bloglines, Phone Applications. The variation of the different applications available
opened up the target audience considerably and the option to choose applications
that the individual wanted helped to do this. Apple essentially claimed that there is an
8/3/2019 File Cuoi Cung
20/36
20
20
application for everyone and enforced this claim with the functionality that the phone
could also supply.
- Personalization: Simple and effortless synchronization with the address book,
calendar and email client throught iTunes and Mac applications.
- Connectivity: Stay in touch through almost all knows the ways for mobile
handhelds.
- Storage: Full features iPod like ability to store and play music up to 4Gb or
8Gb.
Beauty is the most important factor
In all of Apple's product line, even to details, everything is almost perfect and
eye-catching design, even advertisements on television.
Creating consumer interest
Look at Apple's subsidiaries and you will see many interesting things. They work
with customers in a friendly way. Apple's strategy is not telling you about what are
their weaknesses (in case you do not believe in the product), but their strategy is toshare comments of other people who are using their product with their
customers. It will be objective and more reliable. To apply this idea, businesses
(distributors in Vietnam) should make customers to have belief in your product. The
best way is regular access to the wants and needs of customers, then
provide them the best product.
Arouse (khuy ng, nh thc) interest of customers
Look at the subsidiary of Apple, and Apple saw many interesting things. They
reach customers in a friendly way.Apple's strategy is not telling you about what are
their weaknesses (in case you do not believe in the product), but their strategy is to
8/3/2019 File Cuoi Cung
21/36
21
21
share with customers the remarks of other people people are using and talking about
their product. It will be objective and more reliable.
Let the media uncover
Instead of the traditional advertising model instantaneous nature of the month,
the week was merely informed of products, Apple has used many different approaches
to all our customers know their brands such as articles on product quality, detailed
information about new products and not only just wrapped in a press release. And as a
result, thousands of people are aware of Apple products. The mass media really have a
great strength, especially for small businesses. For example, Apple, you can do this by
providing them make some new and unique information about you to them.
Create a unique experience for customers
All customer interaction is Apple careful planning.The minute you visit their
website just as you step into an entirely different site. If you visit one of their stores,
you'll feel like you're in a party fun and comfortable. And finally, when you buy the
product, packaging and even then you are already a member club of Apple.
Listen
The most important thing that Apple has to take care a lot is to create an
unprecedented experience for customers, then let the customer loyalty as well as the
media help you sell. That's the way Apple did. They let customers use their products
then invite them to show their feelings, their thought. Its also a source of information
to improve products with high quality, suitable to the tastes of customers and
gain good response from customers. Until now, Apple is still the most attractive
product.3.6. Price
- The iPhone was set at a price much higher than the competitors of the smart
phone market. Moreover, most of Vietnamese population doesnt have high income so
8/3/2019 File Cuoi Cung
22/36
22
22
Apple seems to have counted much on the new technology and the huge fan base that
allowed adopting the skim pricing strategy.
- As you can see below, the same approach with the difference between the 4Gb
and the 8Gb models was kept in the other countries. Initially this action plan has
raised numerous acts or discontent among the customers who failed to see why the
German user had to pay more that the American one, for example. In that sense, Apple
was going clearly for the Geographical pricing module.
8/3/2019 File Cuoi Cung
23/36
23
23
Source: http://www.mymapofjjapan.com/blog/iphone-japan-launch-details/.
- All of these benefits and features of the iPhone come for a price though; the
initial price of the 4GB model was $499 and the 8GB model cost $599. Aimed at the
high-end, tech-savvy consumer, who is often a business user, the iPhone is marketed
to a sizable, fast-growing market.
- Set the base model at a cheaper price. However, this makes adopter and
innovators upset that most of them is loyal customers because they didnt believe that
Apple would reduce the price so quickly.
- Special limited edition Beatles iPhone for special prices.
- Generally lower prices to ensure that establishes market dominance in as short
of time as possible.
In Viet Nam, Selling iPhone 3G at 4 million Vietnam dongs, equal to 1/4 1/3
of the market price while ensuring the origin and warranty, VinaPhone and Viettel has
8/3/2019 File Cuoi Cung
24/36
24
24
caused a fever in the 1st quarter mobile market. However, the more people expected
to own a 3G iPhone the more they felt disappointed when operators officially
launched their charge package. Accordingly, total price was about 10-14 million
Vietnam dongs, not cheaper than those are selling in free market which were not
limited by provisions in services contract. Then iPhone 3G fever reduced quickly a
month later and did not attract 3G subscribers as operators expectations. Reduction in
service charges and terminal price did not pay attention from customers again.
At the end of June, Apple officially released iPhone 4. Hours later, VinaPhone
and then Viettel declared to sell iPhone 4 in Vietnam. Once again this warmed up
Vietnam mobile market. Due to limited number of imported handsets, operators gave
priority to post-paid subscribers. This policy has settled users concern about
limitations in service contract. However, the supply did not satisfy users demand. It
could be said that 2 times of distribution launched by VinaPhone and Viettel did not
produce significant effect for the increasing number of 3G subscribers. For iPhone 3G,
it was a failure because this handset was widespread with a large quantity in free
market, especially advertisements led to customers misunderstanding over the price
to buy an iPhone. On the contrary, iPhone 4 attracted attention from customers
because this model was newly released and its price was lower than those in free
market. However, due to the limited number of iPhone 4 as stipulated by Apples
policy, operators could not increase the number of 3G subscribers considerably.
Therefore, many experts said that the race for iPhone distribution among operators
tends to advertise their brand name rather than to attract more 3G subscribers.
3.7. Promotion.
- Apple used both the pull and push strategy in its communication with thecustomer. One was the company advertising, promoting the product by itself
employing the full spectrum of the marketing communication mix channels and the
other is relying on the selected exclusive distributor region wise to advertise the
iPhone. In that sense, the customer was approached from two different sources
8/3/2019 File Cuoi Cung
25/36
25
25
creating differentiation from the competitors and delivering the product message with
added value service or application.
Pre Launch
Strategy
yPRyBlog Opinion Leaders & Specialized SitesySneak Peaks on R&D infoyBuzz & Viral Marketing.
Launch Strategy
yApple.comyPrinted MediayTVyOutdoor MediaySocial Media
Post Launch
strategy
yCarrier handheld advertisement.yApple.comyIndependent review WebsitesyPaid Online ListingsyDigital Campaigning
- Integrate Apple message of revolutionary communications and audio/ visual
experience together in all media advertisements.
- Emphasize Apple brand prominently and associate the iPhone with the iPods
groundbreaking lineage.
- Original but tasteful advertisement at the same time.
- A massive TV campaign is planned before launching the iPhone featuring a
soon to be legendary ad to be the talk of the country.
8/3/2019 File Cuoi Cung
26/36
26
26
- Advertisement will be appearing on a regular basis to maintain general public
awareness.
- Especially, Apple employed almost all digital channels known and making
business sense to use for hosting its communicational message to the customer and
targeted audience.
Digital channels.
Email-marketing - A message sent to every Apple customer few
weeks before launch
Display ads - Banner ads
- Interactive Ads
Social Media Ads - Facebook
- My space
Blog - Industries blogs
- Forums
- Discussion Boards
Website: Apple.com - Extensive introduction to the advantages the use
of iPhone gives.
-Hosting iPhone Apps purchasing center.
Crowd sourcing and
Online Communities
- Word of mouth, Apple fan club websites, blogs.
Search engine
marketing
-PPC (pay-per-click marketing).
-Affiliated marketing
-Other paid listings
8/3/2019 File Cuoi Cung
27/36
27
27
Opinion Leaders -Handing free iPhone for review.
-Supply access to iTunes iPhone apps section for
free.
One of the most influential periodicals dedicated to advertising, Advertising
Age, in 2007 selected Apple as a runner-up for the annual Marketer of the Year
award. This status was conveyed because of Apple's "rare accomplishment of
successfully bringing a new product into an already crowded and competitive market.
Apple's agreement with cellular telephone service provider AT&T gave it an upper
hand in their relationship older cellular telephone firms have yet to acquire" (Bulik
and Cuneo, 2007).
The network carriers in Viet Nam took advantage of the elements that would
like to own a fashionable products at reasonable prices and a hot event so many
newspapers have voluntarily jumped into the cause of this spread. Besides, the
majority community to spread information to the story naturally to the drama through
some of the giant order before the official date of sale, while the volume of goods
imported to be revealed less than of them several times, had impact on both those
previously not interested in the iPhone is.
Promotion plan for the iphone does not need to spend on advertising costs soon
after launch because the product itself and the event is very good.The media campaign
for the iPhone in Vietnam is very cheap and easy as enjoying headhunted by the
media and many customers even when the product has not yet been launched in
Vietnam.
3.8.Place
-Apple is aiming for massive rollout worldwide at all reputable major retailers
online and brick and mortar stores along with cellular phone providers. All Apple
Stores the Apple website will dedicate themselves to the iPhone and also provider
8/3/2019 File Cuoi Cung
28/36
28
28
channel partners by providing product demonstrations. Eye catching displays will be
found at all physical stores featuring the iPhone to make the product stand out from
the pack. Apple Stores will have the iPhone on display a full month before its
worldwide release. This is designed to lure consumers into Apple stores and see the
whole range of products Apple can offer.
- Distribution of the iPhone is set only to exclusive mobile carriers in each other
country that it was launched. This was due mainly to strategic decision made to
partner with a mobile communication service provider. The technological time to set
the parameter of the agreement was the main reason for the delay. For example, the
iPhone up to August 2009 is still not launched in the biggest market for mobile
handhelds- China.
- Apple has chosen a hybrid distribution channel involving its online store,
physical outlets and the retail points of the executive mobile services provider.
8/3/2019 File Cuoi Cung
29/36
29
29
Apple made some changes in its traditional consumer distribution channels,
choosing to eschew third-party dealers/retailers such as Best Buy and RadioShack
Corp. When planning where to sell the iPhone. AT&T offers the phones in its roughly
1,800 company-owned stores; iPhones are also available in Apple stores or through
Apple's website (Sharma, 2007). While impossible to predict a possible backlash for
Apple as it continues to market its entire product line, altering established distribution
channels can confuse customers and risk future distribution plans with those retailers
who were cut out of the iPhone plan.
In Viet Nam, iPhone bought by units via official channels after three mobile
network carriers VinaPhone, Viettel and MobiFone that were reached an agreement
with Apple to distribute the hi-tech products in Vietnam in 2010 and the latest iPhonelike iPhone 3G and iPhone 3Gs launched in the following months.
Vinaphone iPhone offers three models, including: iPhone 3G - 8GB and 16GB
iPhone 3G-iPhone 3G - 32GB (black and white), is accompanied by three paid
packages and an exclusive pre-paid packages for iPhone customers may purchase.
Meanwhile, according to Viettel, the first time provides Viettel three models
like Vinaphone, except that the distribution unit 2 versions: the international version
and unlocked version. Viettel provides consumers with five selections including onesale price and no commitment as well as four sales commitment to customers choice.
For Mobiphone, the original iPhone by MobiFone distribution will not be there
right in Vietnam in April 2011 as originally planned, although the company has
completed contracts with manufacturers Apple.
3.9. Post purchasing.
- Full year warranty along with an optional three-year Apple care.
- The iPhone includes an Apple Customer Service Bar and a customer service
phone number stored in the phone book so that consumers can contact the main
headquarters about any possible technical problems.
8/3/2019 File Cuoi Cung
30/36
30
30
Chapter 4. ASSESSMENT AND
RECOMMENDATION
4.1.ASSESSMENT
ADVANTAGE
As with all Apple marketing, the
iPhone marketing strategy is very clear,
simple and clever.
y Choose the exact target market: theiPhone had identified their targetcustomers who have above average
incomes. Particularly in Vietnam, they are
creative (not afraid to try new things) so that Vietnam has some different things with
the U.S. segment. They are youth aged 18-35 because they are passionate technology,
new technology accessible
y Interactive media is very effective: Apple has used all media to advertise the iPhone.In Vietnam, the networks have taken advantage of factor that everyone wants to own a
fashionable products at reasonable prices and a hot event that so many newspapers
have voluntarily jumped into the cause of this spread. In many ways, even using
rumors as a means to create curiosity, excitement, interest from consumers. ... In
Vietnam, many users advertised iPhone by themselves and many other users will know
it. Apple are benefited from this.
y The study of market efficiency, respect for customers, how to acquire genuinecomments from customers and justifiable: Near the end users and listen to
customers will be critical to the success Apple's. Apple also constantly scouring the
Apple fan site to understand what their fans are saying, because they are Apple's best
customers.
8/3/2019 File Cuoi Cung
31/36
31
31
y Decentralization (phn quyn) of marketing organization achieve highperformance: perform top-down, CEO Steve Jobs' s iPhone marketing group
dedicated to the management, operations management, design engineers, hardware
engineers, the software engineers, product management and business developmentmanager. Steve Jobs will be the last media spokesman, is the marketing genius - who
brings half the success of the iPhone.
DISADVANTAGE
Although rated as one of the best marketing campaigns of all time, but Apple has
also acquired a certain number of mistakes. We'll review the major mistake in the
marketing campaign for Apple's iPhone to see if the home network in Vietnam has
stepped foot on the car wound down it does not
y Vietnam is still a small market: Many different views and also said that to an iPhone4 in Vietnam at this moment is not easy, because it is a too small market, is not Apple
attention. Number of samples is too few, users have little choice and no special low-
level order, it will not fit U.S. market because it is characterized by multi-income
population remains low, the population of young children easy to change interest and
pay through the account was not so popular.
y Discount too fast: Apple iPhone retail discount 33% after first release 3 months, thismakes the loyalty of the "Apple" feel betrayed and abused. They had a hard time
ordering and queuing to buy the iPhone dream, but three months after so many people
had it. Similar scenario in Vietnam can occur: in June to launch 4GS iPhone, iPhone
3G prices will fall rapidly if the second home network without appropriate policy for
customers who purchased during the last opening then, most likely will suffer phase
response from customers.y Launched late in the market: All European countries and the other outlets in the
world including Vietnam has been launched slower than in the U.S. This made many of
the Apple customers in the market that can not wait for this delay. They has done
anything, including unlocking the iPhone to be able to own.
8/3/2019 File Cuoi Cung
32/36
32
32
y Black market: In China, sales in the first few days may reach 5000. IPhone price is agenuine obstacle to the user. While the market in black market, no contract, with only
800 USD a customer can own the iPhone, the models have Wi-Fi connection that
Unicom's version sells for above $ 1,000 - estimate number. Sold in markets wherethere exists in the black market is very difficult to sell such as Vietnam and China.
4.2.RECOMMENDATION
y Edit the previous error: Low profile, Interface, Too sensitive touchscreen., No radio.As the analysis of iPhone weakness
y Increase the number of suppliers before: Mobile Phone should join this marketbecause only 2 suppliers Viettel and VinaPhone dont satisfy the needs of people with
high incomes in Vietnam
y Expand market segments (non-market income, middle income is in high demand)y Reducing the price: reducing the price quickly is only a part of the price policy
(skim). Product is breakthrough technology, when released, Apple needs to consider
similar products will have opponents out after, or product technology is now obsolete
quickly, the life cycle too short ... hence the use of skimming price policy is correct, inorder to profit from the beginning to cover the cost of R & D, marketing, sales ...
should continue using this strategy.
y Suitable policy for both suppliers an Apple corporation: Apple is also very difficultto provide in cooperation with distributors, which is one reason why Vietnam did not
8/3/2019 File Cuoi Cung
33/36
33
33
have exclusive iPhone distributor. The consistent application of policies with partners
around the globe, such commitment to use the logo image to promote, or commitment
from the users themselves ... especially the commitments imposed on product sales for
Apple's iPhone distributor in each time period, will also be a major challenge to the
iPhone distributor in Vietnam.
In fact, Vietnam is not an important market for Apple to focus all resources on
iPhone marketing strategy in Vietnam. A few years from now, when the number of
high-income people in Vietnam increases, the information about iPhone is
disseminated to those who are currently not required and Apple continue to launch
new model series, the iPhone strategy marketing will then be successfully applied in
Vietnam.
8/3/2019 File Cuoi Cung
34/36
34
34
CONCLUSION
As the iPhone remains to be the number one smart phone around, the product
continues to grow, increasing size capabilities, increasing the number of applications
available, and providing new features that are released through new iterations of the
phone, continue to provide a greater value to the iPhone while the pricing remains
relevant.
At this time in the product life cycle, Apple continues to release enhanced
iterations of the iPhone. With most iPhone users un-willing to purchase a newer
version of the iPhone because of price, the target audience for the newer generation
phones is new iPhone customers. With Apples installed base continuing to grow, they
have found a way bring in reoccurring revenue from their existing customers through
the sales of their application downloads. As more and more people purchase the
iPhone, Apples audience for new customers continues to dwindle. Fortunately for
Apple, they have built in another source for revenue that continues throughout the life
of the product.
In the end, this is simply a lesson in making well-thought-out choices. Marketing
can get you excited about features you don't need and products that, if you thought
about it, aren't better than the ones you already have. Our group has researched a lot of
information about Apples marketing strategies for iPhone. We understand what
Apple has done to make iPhone be popular all around the world. With our knowledge
and interest in iPhone marketing strategy, we tried to present all we knew and learnt
that you can understand clearly and have more different and new thoughts from the
lessons of iPhone marketing plan strategies.
8/3/2019 File Cuoi Cung
35/36
35
35
REFERENCE SOURCE
1. iPhone Marketing strategy analysis- Borislav Kiprin.
2. Apple iPhone marketing plan-Colleen Maxwell, Bryan Lee, Anthony Suen, James
Hofmann.
3. Apple's iPhone Launch: A Case Study in Effective Marketing-Kyle Mickalowski
Mark Mickelson, Jaciel Keltgen from Augustana College
4.http://www.techiewww.com/marketing/apple-iphone-marketing-strategy
5.http://www.slideshare.net/digitalspace08/online-marketing-strategy-iphone-
presentation
6.Source: http://www.macworld.com/article/54769/01/iphone.html.
7.Source: www.appleinsider.com/article/09/08/19/dfsssuhfukh.html
8.http://www.techiewww.com/marketing/apple-iphone-marketing-strategy
9.http://www.slideshare.net/digitalspace08/online-marketing-strategy-iphone-
presentation
10.http://www.mymapofjjapan.com/blog/iphone-japan-launch-details/
11.http://ibsconsulting.wordpress.com/2008/10/23/iphone-marketing-plan/
12. http://www.ftaresearch.com/vi/articles/category/page/3/id/3
13.http://rsatechnologies.in/iphone-marketing-strategy.html
14.http://www.ictnews.vn/Home/Di-dong/iPhone-4-o-Viet-Nam-Gia-
dien/2010/07/2SVCM1229013/View.htm
15.http://vnexpress.net/gl/kinh-doanh/kinh-nghiem/2010/04/3ba1a956/
16.http://www.thegioididong.com/tin-tuc-dien-thoai-di-dong,27571-bat-ngo-ve-
nguoi-dung-iphone-o-viet-nam.aspx
8/3/2019 File Cuoi Cung
36/36
36
17.http://www.marketingvietnam.net/content/view/689/16/
18.http://sohoa.vnexpress.net/sh/dien-thoai/smartphone/2009/12/3b9b14cf/
19.http://www.mobilemondayasia.com/category/hanoi
20.http://english.vietnamnet.vn/en/print/lastest-news/988/iphone-4-selling-like-hot-
cakes-in-vietnam.html
21.http://www.vertygoteam.com/apple_marketing_strategy.php
22.http://lowendmac.com/ed/hatchett/09jh/difference.html
23.http://www.internetmarketingmonitor.org/01073/apples-subtle-but-effective-
iphone-marketing-plan.html
24.http://www.shmula.com/the-apple-iphone-supply-chain/304/
25.http://seekingalpha.com/article/166698-two-lessons-from-iphone-piracy
26.http://f.tin247.com/21764210/%C4%90i%E1%BB%87n+tho%E1%BA%A1i+di
+%C4%91%E1%BB%99ng+b%E1%BB%8B+h%E1%BA%A1n+ch%E1%BA%
BF+nh%E1%BA%ADp+kh%E1%BA%A9u.html
27.http://dantri.com.vn.
28.http://www.dalatsme.com/index.php?option=com_content&view=article&id=23
51:do-tuoi-su-dung-dien-thoai-di-dong-o-viet-nam&catid=146:thuong-
hieu&Itemid=335.
29.www.vatgia.com
30.http://www.financialcrisis2009.org/forum1/Corporations/pest-analysis-of-
vietnam-116505.htm