Apple’s two new iPhones target high, low-end markets

http://www.reuters.com/article/2013/09/10/us-apple-iphone-idUSBRE98908I20130910

(Reuters/Stephen Lam)

The article focusses mostly on the new upgrades and features of the IPhone 5C and 5S but also discusses the negative criticism that has been made in regards to the new models. Although this new model has been developed in order to become an affordable luxury, critics have stated that Apple’s “new” products are becoming easier to replicate, allowing competitors to catch up to their product designs and unique features. The article also mentions that Apple has had difficulty compared to its competitors in reaching out to the global market, faltering in sales to companies such as Samsung.

I believe Apple’s attempt to create a product that is more inexpensive compared to its older models is a poor strategy to target emerging markets. One of Apple’s strengths is the strength of its brand, for being known to provide high quality innovative products that are “cool” and useful. In order for it to succeed, shouldn’t Apple develop a marketing strategy that enables them to allow consumers to believe in the strength of the brand? Should price be considered, or should segmentation, targeting, and positioning be re-evaluated in each of the global markets/demographics in order to develop a marketing strategy that customers will buy into? It is also dependent on whether the current CEO Tim Cook wishes to continue on with Steve Job’s image of Apple, of “thinking differently,” or whether he wishes to lead the company in a different direction.

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