Advertising Campaign Planner

Apple iPhone advertising campaign plan
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Table of Contents
 TOC \o "1-3" \h \z \u  HYPERLINK \l "_Toc353329821"
Executive summary  PAGEREF _Toc353329821 \h
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Industry/Company Review  PAGEREF _Toc353329822 \h
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Marketing summary  PAGEREF _Toc353329823 \h
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Product Review/Buyer Analysis 7
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Promotional Program Situation Analysis  PAGEREF _Toc353329825 \h
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SWOT analysis  PAGEREF _Toc353329826 \h
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Strengths:  PAGEREF _Toc353329827 \h
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Weakness:  PAGEREF _Toc353329828 \h
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Opportunities:  PAGEREF _Toc353329829 \h
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Threats:  PAGEREF _Toc353329830 \h
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Competitive Review  PAGEREF _Toc353329831 \h
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Marketing strategies  PAGEREF _Toc353329832 \h
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Marketing mix  PAGEREF _Toc353329833 \h
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Product  PAGEREF _Toc353329834 \h
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Pricing  PAGEREF _Toc353329835 \h
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Place/ distribution  PAGEREF _Toc353329836 \h
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Promotion  PAGEREF _Toc353329837 \h
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Segmentation, Targeting, and Positioning  PAGEREF _Toc353329838 \h
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Customer requirements  PAGEREF _Toc353329839 \h
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Communications Objectives & Budget Request  PAGEREF _Toc353329840 \h
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Integrated Marketing Communications Program  PAGEREF _Toc353329841 \h
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Creative Strategy Statement  PAGEREF _Toc353329842 \h
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IMC Mix  PAGEREF _Toc353329843 \h
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Specific Media Objectives/Mix  PAGEREF _Toc353329844 \h
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Measuring IMC Program Effectiveness  PAGEREF _Toc353329845 \h
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Evaluation Program  PAGEREF _Toc353329846 \h
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References  PAGEREF _Toc353329847 \h
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Executive summary
Apple Inc is renowned for the production of innovative products the first launch of the iPhone in 2007 created much hype with regards to the company’s products. This advertising plan highlights on the role of market segmentation with the plan focusing on male consumers between the ages of 18- 35. Brand recognition and customer loyalty for Apple products provides opportunities to increase market penetration away from traditional markets in North America and Western Europe. Thus, the use of promotional strategy will help to create brand awareness as well as maintain brand recognition. The main marketing objective will be to increase sales as shown in the revenues of the company over time. However, the pricing strategy adopted is mostly applicable for the traditional market where individuals are typically less price sensitive. Thus, it is necessary to focus on how the pricing strategy will influence future advertising campaign plans. This plan also recognizes the role of technological innovations in influencing the smartphone market. Therefore, there is a need to do more research before creating other advertisement campaign plans as customers may easily switch to other brands if they consider the brands to be more stylish than Apple iPhone. Essentially, the target groups are typically big spenders, but they are tech savvy and more likely to choose smartphone dependent on the multitasking functions in the gadgets.
Industry/Company Review
In 1976, Steve Jobs, Ronald Wyne and SteveWozniak founded Apple Inc, this company dealt with software, computer accessories, computer hardware and digital distribution. The headquarters of the company was in California and just like many technological organizations; the company is well represented in the State of California which has other technology companies. Recently, the brand image of the company has been well recognized globally through production of innovative products including the iPod, iPad and iPhone. Apple Inc seeks to get more market share in the computer and electronics market through technological products that meet the demands of the consumers. Beyond earlier products like Macintosh, the company has made great strides in the technology field with marketing strategies being more prominent than before, under the leadership of the late CEO Steve Jobs (O’Grady, 2009).
The Apple Macintosh marked the first product that proved the innovative ability of the company in 1984, through use of a new operating system. The user friendly feature of Macintosh led to further adoption of the system by other competitors in the computer electronics industry. However, Microsoft Company dominated the market as home users preferred Microsoft windows with the company gaining a competitive edge over her rivals through production of cheaper computers and computer accessories. In the smartphone industry both iOs and Android operating systems used mainly by Apple and Google products respectively, are the most preferred operating systems. There are different direct competitors in both the personal computer industry and mobile phone technology industry. In the personal computer industry, the main competitors are Google Inc, HP Company and Research in Motion Limited (Hoovers, 2013). In the mobile phone technology, category the main competitors are Samsung, Nokia and Motorola. In 2012, the company had a net in come of $41.75 billion ranking the company as one of the most profitable business in America (Yahoo Finance, 2013).
Marketing summary
The iPhone is the recent gadget of Apple Inc intended for entertainment, communication and storage of information. The smart phone market is growing, but there is increased competition especially from Samsung. The target customers include corporate workers, students, professionals and entrepreneurs. The price of iPhones is high because of the features and hence the high end market still remains the primary target of expansion of iPhone, but with time this cost is expected to fall. Access of the internet and applications that facilitate record keeping are mostly suitable for professionals and corporate workers. As a phone accessory with wireless connection, videos and other features of iPod and earlier versions of iPhone, the gadget is particularly popular with students who view it as a fashion statement. Though, the market for smartphones is mainly concentrated in industrialized and emerging markets, the industry will continue to grow as prices reduce and there is more adoption of the mass market strategy.
Even though, the smartphone industry has been targeted towards the middle class in the developed world, there is a gradual shift towards a global mass market oriented approach. Essentially, there are forecasts that emerging markets from the Asia Pacific region will have the biggest increase in the purchase of smartphones for the coming decade. Consequently, the market share of smartphone manufacturers will depend on this region for close to a third of their revenues and to a lesser extent on traditional markets in Western Europe and Northern America. In addition, Central and Eastern Europe will also have similar smartphone penetration rate, with the penetration rate in China approximated to be 85% in 2017 (Business Wire, 2013).


Adapted from venturesource.com
Product Review/Buyer Analysis
The iPhone market targets young people and professionals because they are the one more likely to spend on technological innovations because they are tech savvy. The added features in the smart phone integrate many characteristics in one and hence the product is expected to do well with these groups especially in the urban areas. Newer versions of iPhones and especially iPhone 5 have changes, with iPhone 5 having a new notification system. Equally, the company introduced the iMessage service which allows sending of digital information and pictures via Wi-Fi. Users of the gadget will be able to multi task by switching between applications simply with a swipe which shows a multitasking menu.
IPhones like other smart phones are stylish touch screen gadgets that are user friendly with numerous applications that suit these demographic groups. The main reason behind the purchase of the devices is the brand name, with the reputation of the Apple Company at all time high, and products of the company having a good reputation globally. Thus, students and corporate workers view the product as a status symbol or at other times as a fashion statement. In essence, these groups are not willing to spend on branded products. Peers, friends and family members are more likely to influence the choice in the purchase of iPhones as opposed to the dealers of the device.
There is a shift in the use of devices that have many features in one and the iPhone integrates camera, phone, internet and storage of data. The company seeks to acquire more customers through focusing on to brand awareness, and customer loyalty has been vital in facilitating the success of new products. Thus, customers look forward to improvement on smart phones from previous versions. Appealing to new customers in the target markets will also ensure that more people can identify with the brand even as other new entrants enter the market. Potential and existing customers have some form of knowledge based on brand recognition and iPhone 6 would create media attention that arouses interest from young people and professionals.
Promotional Program Situation Analysis
SWOT analysis
Swot (strengths, weaknesses, opportunities and threats) highlight on the internal and external aspects that influence the advertisement plan of iPhone and Apple Inc as a whole
Strengths:
User friendly
Like earlier versions the touch screen feature of the gadget is easy to use and navigate. The touch screen also shows clearer images.
Innovative
The gadget has an all new design, being lighter and faster to operate
Brand recognition
Apple products have a good reputation globally and the iPhone brand is well known as one of the products that keep on improving through innovative features.
Many features in one
The iPhone has numerous features in one including camera which makes the product versatile.
Availability of iPhone
With a vast distribution network through online stores, retail stores and the company’s own website, customers can easily access these devices. In particular, Apple stores are found in many places across America. Similarly, through retail stores other customers can also purchase the product as some retail stores are found, close to people’s residence.
Versatility
Regular updates of the iPhone are a common feature among various editions of the smartphone, and software updates can be purchased from Apple stores.
Weakness:
Price
The device is meant for the high end market that is not sensitive to price changes; there is a need to incorporate other target markets, through pricing strategies.
Lack of broader use in the corporate world
Even though, iPhone is vital in the corporate world, the gadget has many features and may be disruptive in the workplace when employees spend too much time communicating or using apps in the iPhone.
User privacy
Smarphones including the iPhone breach the privacy of users through the apps which may send information to manufactures of the product and advertisers. Thus, it is necessary to sensitize the target audience that there will be minimal intrusion of privacy.
Opportunities:
Increased demand
There is more demand for iPhone, especially from the emerging markets in Asia and Latin America. China is an untapped market where the middle class is growing with innovative technologies a must have product among the young population.
Business partnerships
The company will continue to partner with other players in the mobile and computer technology network to offer iPhone through the distribution channels of these companies. This is projected to lower the marketing costs
Threats:
Competition
There are other entrants into the smart phone business offering similar products. The pricing strategy of the competitors is likely to bring a lot of competition as there are still no clear laws on patents with regards to the creation of apps.
Difficulty in expansion
The Asian market has numerous opportunities available, but the market also has similar products mainly made in South Korea, China and Japan which may saturate the market, making it difficult for further iPhone market penetration.
Market saturation
The smartphone market is at the maturity stage of life cycle which impacts directly on the level of sales from the company. Thus, the market is likely to witness increased competition with from numerous products which offer similar services.
Economic risks
The economic situation of a country may pose risks especially with the emergence of the financial crisis which affected various economies leading to a slowdown in the economy, and fall in the consumption levels among many consumers.
Competitive Review
Apple iPhone has a sizeable market share in the smartphone industry, but there is stiff competition from other manufacturers with customer loyalty giving the company a competitive edge over her rivals. One of the distinguishing features of iPhone is the use of iOS operating system while other device uses different operating systems including android. Since the launch of the product in 2007, the iPhone has gained positive reviews over time because of technological innovation. The ease in use of the phone with enhanced graphics and support of many apps makes the device popular, but increased competition may erode the market share of the company. In 2012, Apple’s iPhone grew to 25.1 % of the market share worldwide from 2011 and sale of handsets was 136.8 million (Apple insider, 2013).


Samsung is now the leading smart phone company with Apple being second and numerous brands of Samsung compete with the iPhone (Grobart, 2013). In particular, the Samsung galaxy S II & III is the most competitive device of Samsung. Some, people prefer the Android OS, while others are price sensitive and shy away from buying iPhone, which is more expensive. In addition, Samsung has stylish designs which appeal to iPhone’s target markets, while the vast distribution strategy of the company gives the company an advantage in providing the Samsung galaxy to other markets. Even though, both of the gadgets have cameras the Samsung galaxy has the ability to take HD videos.
Nokia seems to be reinventing itself in the cell phone market after collaboration with Windows. Unlike earlier versions of Nokia, the phone maker is now keen to enlarge its market share of the smartphone market with the making of Nokia Lumia. Some consumers prefer Microsoft Windows like in their PCs, but this does not necessarily mean that consumers will switch automatically to Nokia phones. However, the Nokia brand presents competition because of integration with windows which is user friendly and Nokia also produces quality hardware that can compete with Apple iPhone. With a reputable history in software production, use of windows may influence the smartphone market because of the popularity of the OS.
The Motorola Droid 3 smartphone is another new entrant in the market that competes with iPhone. The device mainly operates on Android like Samsung smartphones at a cheaper price with customers signing contracts with the phone maker in order to enhance customer relations. This smartphone is popular with young people who prefer games and those who play a lot of video content; this is because the device supports adobe flash which is necessary in most internet games and videos. The signing of an agreement with Verizon will also offer competition even as iPhone continues to use the services of the same provider, but the lower price of the product may make it more popular for price conscious young people who prefer stylish phones. Marketing strategies
Through the iPhone brand Apple Inc intends to increase the market share of the smartphone industry, through linking the product with the Apple brand name. Equally, there will be an emphasis on the quality and innovation of the product in comparison to other smartphones in the market. Furthermore, the advertising plan will monitor the awareness of the product and make changes to the plan depending on the responses from the consumers.
The marketing strategy of iPhone is simple and straight forward based on Apple’s iconic status. Essentially, this focuses on the production of innovative editions of the product and facilitates convenient use of the product and compatibility with Apple products in the market. The first launch of iPhone was revolutionary, with the gadget gaining a sight edge over other rivals. However, technological evolution occurs quickly, and TV commercials before the actual release of the iPhone help to renews interest in the products. At the same time, delayed launch of the product creates anticipation in the smartphone market with speculat...