Post on 14-Jan-2015
description
I POD
CREATING AN ICONIC BRAND
BY : SIDDARTH SONI (042)SUDHANSHU KUMAR (043)
Contents:• Introduction : I POD• Apple’s History• Launch : I POD & ITMS• Economics of I POD • Distribution Strategy• Innovative Uses of I POD• I POD Killers• Future Steps
Introduction• I Pod : Portable Digital Music player• Indispensable piece of personal technology• Market share : 78 % of portable digital music
players (Jan-2006)• 14.1 million I Pod sold ( Q1 -2006)• Market dominant through continuous product
Innovation and clever marketing
Apple- History:• 1974- Steve Jobs & Steve Wozniak founder• Predicted the Home computer Demand• Introduced Apple II in 1977• Public in 1980.• John Srulley : Apple CEO in 1983.• Launch of Macintosh with GUI.• Abandoned Apple II in favor of Mac product
Line
• TV commercial “On January 24th, Apple Computer will introduce Macintosh. And you’ll see why 1984 won’t be like 1984.”
• In 1996 Apple bought NEXT, Jobs returned back.
Launch : I POD & ITMS• Napster shut in July 1984 by RAAI• Sharing service : Peer to Peer.• Opportunity for record companies for online
distribution.• Late entry in Digital market with FireWire • In 1991 Tony Fadell’s hired by Apple to Market.• Nov2001 Ipod launched (after 11 sept –decline
economy)• ITMS store launched in 2003
ipod Timeline Intro
Economics of I POD • Razor Model turned upside down• Meager profit of $0.04,net profit resulted $20
million• Reinvent the entire Music business• Jobs pushed designer & engineer • Silhouettes everywhere –Print ads,Toronto
subway,Macworld,Newsweek & Wired Magazine.• Ads during 2004 Super Bowl – teenager• Famous songs only on ITMS• IPOD night events
• Apple’s IPOD and Itune are part of the digital hub.
• Relationship marketing• POD• To prevent ipod killers from cropping up –
sustainable competitive advantage• Company currently will not relinquish its digital
rights and allow iTunes to be a universal product• Copy protection and prevention of piracy
• Targeted at the niche market creating product desirability
• Marketed Ipod as a life style product, instead of just another mp3 player.
• Brand recognition high, because of same design• Experimental marketing, promoted ipod as an
enriching factor.
• Secondary brand association• Target audience – Teenager and electronic
geeks• Product nature• Enhance the sales of other product – Halo
Effect
• Product innovation has been the core branding strategy
• Sustain the desirability• Target is teenage, video games will enhance
the value proposition