Apple's iPhone Launch | 2 Most Important Business Case Studies and Analysis

As soon as Steve Jobs announced the iPhone's release in January 2007, consumers waited anxiously for a product that would deliver features of their Smartphones and iPods.

The Apple's iPhone Launch would come as one of the most heralded, with most people seeking to purchase the most anticipated technological product. Years later and various case studies have been carried out to critically assess the popularity, sales, and branding strategies associated with the iPhone.

Apple iPhone Case Studies and Analysis

Apple's iPhone Launch | 2 Most Important Business Case Studies and Analysis

These assessments provide valuable information that is essential for the middle-end consumer. Here are the most important ones.

iPhone Case Study # 1: Augustana University

The iPhone is a combination of a smartphone and Apple's iPod music player. During the time of the announcement, this is the main feature that set the product ahead of the competition in the mobile phone market.

Apple combined its strong reputation with the previous success of its iPod product to rise to the top of the cell-phone market. Taking this step enabled the company to ward off threats from other companies, who were then introducing devices with more potent playback abilities than the iPod.

These features, however, came with a price. The initial 4GB model was to cost $499 and the 8 GB model was sold at $599. This cost was unattainable for the low-end consumer. Despite this, Apple had targeted to sell 10 million pieces of the iPhone by the end of 2008, an estimation that most people thought was attainable.

Apple has been working hard since then to differentiate itself from its competitors using the iPhone. Since its inception, the company has continuously improved on the iPhone to ensure that it remains a consumer's favorite.

When it comes to promotional outlay, studies indicate that Apple has garnered over $400 million in publicizing the iPhone alone. This includes coverage done by business publications like the Wall Street Journal, as well as online forums. Most advertising focuses on the unique features of the iPhone, such as its software compatibility.

The excitement about the iPhone and its release was not only restricted to the US Online stores from around the world came up with amazing countdowns. Apple has also taken the initiative to market and distribute the product in various other continents by working with various mobile phone companies.

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iPhone Case Study # 2: IBS Centre for Management Research

Queues for buying Apple products is commonplace. As soon as the iPhone was launched, numerous customers lined up at Apple stores for hours to purchase it. In September 2007, Apple's chief executive announced a steep reduction in the price of the iPhone. This was only ten weeks after the launch of the product. The change was not received positively by those who had bought the phone at the premium price.

Although Apple succeeded in justifying the price cut, stating that it wanted to make the product more affordable, some analysts thought that introducing such a steep reduction just a few weeks after the launch was nothing but a PR strategy for the company.

All these happening did not affect the product's position as one of the best premium products. The company was able to introduce new models as it slowly increased the prices over each model, depending on its new features. Most consumers did not mind the rising prices and were willing to spend more to get the latest models.

With these models, Apple also created an ecosystem in the form of iOS, iPhone-compatible applications, and services such as Apple Pay that ensured its consumers benefited immensely from their product. This also included products like the Apple Watch and iPad, which ensured an increased dependence on the iPhone by the users.

The iPhone's constrained supply strategy facilitated more appeal of the product. By the end of the first quarter in 2018, iPhone X ranked as the largest-selling smartphone brand worldwide, despite its steep price.

Conclusion:

A critical analysis of each model of the iPhone has been performed by several institutions, emphasizing the marketing, sales, and pricing strategies adopted by Apple.

These have identified the ideal target market as middle as well as high-end consumers. Product strategy assessments have also indicated that the iPhone contains all the necessary features required in a modern android phone. The company's promotional tools ensure that the target consumer gets information about new releases through most of the primary channels, including the television and local dailies.

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