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Its ability to differentiate its product has contributed to excellent annual returns. Apples target market consists of many business professionals. Additionally, parents, teachers and women are another primary targets. Apples most profitable product is a smartphone that syncs with the Mac computer, which can be tailored to meet consumer’s needs by being able to create playlists and pick what music will be stored on the phone. Consumers use this to their advantage by being able to use many applications that will allow them to operate many computer-based programs on their smartphones. The IPhone began as an ancillary product to Apple’s commercial computer business. However, due to the proliferation of PCs and the growth in technology, the IPhone soon became more profitable for Apple than its desktop computers. Apple has maintained a long-term relationship with smaller companies that produce components who have added capabilities to the IPhone. Apple’s staff focuses on the further innovation, development and marketing of the IPhone.
15 Those who make more than $150k as a household are primary targets. 1 out of every 2 households at this income level has at least one iPhone. Example: Many business professionals and people in their mid-1920s to mid-1930s who have disposable income are able to afford the IPhone. Medical and professional business-to-business market with extensive customer networks, such as banks, medical services, or financial planners. Example: With the creation of the new medical health applications of the IPhone, medical institutions can now have all of the patient information stored in one place no matter what medical facility they visit. Parents are a target consumer because the iPhone can be used as an educational tool thanks to apps that teach phonics, reading, and math. Example: Many parents are using applications that are made to help children learn basic skills. College students as well as middle age consumers that have disposable income. Consumers in this demographic have the need to have a stylish, yet effective smartphone as well as the brand name to go along with it. Example: College students that need a smartphone that can help with the basic necessities of everyday life if a student.
16 •-Android•- Samsung•- Lack of innovation•- Strong dollar•- Brand losing its reputation•-High Demand•-Global Growth•-Leader in technology•-Accessories market•-Growth of App's•-Patent infringements damages•-High prices•- Incompability Issues•- Seasonal demand•-IPhone restrictions•- Little Variety•- Product defect•- Brand Loyalty•- Leading innovator •-Strong financials•- Brand reputation •- Fast shipping/stores•- Strong advertisingSWTO