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Apple Inc’s marketing mix involves a variety of premium-priced products that are
successfully promoted and sold through a variety of distribution channels.
1. Mac
2. iPad
3. iPod
4. iPhone
5. Apple TV
6. Apple Watch
7. Software
These Apple products currently available in the market show the firm’s diversification in this
component of the marketing mix. However, as part of its product development intensive
growth strategy, the company continues to develop new products, such as the Apple
electric vehicle, which is under development through collaboration with firms like Tesla
Motors. This product mix shows that Apple’s marketing mix is extensive in terms of product
variety to address customers’ needs in different areas of their lives.
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Distribution or Place in Apple Inc’s Marketing Mix
Apple’s marketing mix involves a holistic approach to distribution, taking advantage of
different distribution channels. In general, the company uses a selective distribution
strategy, which involves some degree of exclusivity that could limit market reach. Apple
authorizes sellers to ensure control over this component of the marketing mix. The following
places are included in Apple’s distribution strategy:
1. Apple Stores
2. Online Apple Store and App Store
3. Authorized retailers
4. Telecom companies
5. Fulfillment services
Apple Stores are the most visible places that sell the company’s products. The online Apple
Store and App Store are also highly visible. However, these stores are not the only places
in the firm’s marketing mix. For instance, Apple also uses authorized retailers, such as
Walmart, Target and Best Buy. The company also includes telecom companies like AT&T,
Verizon, and Sprint, which sell iPhone units. In addition, Apple uses fulfillment services
from companies like Amazon.com and eBay, through which third parties sell Apple
products online. Thus, Apple’s marketing mix is comprehensive in exploiting different types
of online and non-online distribution channels.
1. Advertising
2. Personal Selling
3. Sales Promotion
4. Public Relations
Apple’s marketing mix includes advertising through the company’s website and Apple
Stores, as well as advertising through other firms, such as technology news sites. The
company also uses personal selling in the form of Apple Store employees who provide
product-specific information in the aim of convincing store visitors to make a purchase. In
addition, the company’s marketing mix involves sales promotion, which usually happens at
the Apple Stores. For example, some Apple Stores offer old models at discounted prices
when bundled with larger and more expensive products. Moreover, the company uses
public relations to optimize its corporate image. For instance, Apple Events, leaks of new
product features, press releases, and exclusive interviews are carefully implemented to
maximize positive publicity. Thus, Apple has mastered the promotion component of its
marketing mix.
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Apple’s Prices and Pricing Strategy
Apple uses a premium pricing strategy. In this component of the marketing mix, the
emphasis is on how prices represent the company and its products, while meeting
consumer expectations. In Apple’s case, the premium pricing strategy involves relatively
high prices. This pricing strategy helps maintain the high-end image of the company and its
products. Another effect of this pricing strategy is that Apple products attract a smaller
market share composed of people from the middle and upper classes. Nonetheless, the
company maintains profitability because premium prices entail higher profit margins. Thus,
Apple’s marketing mix is aligned to the company’s premium product development strategy.
References
Apple Inc. Form 10-K, 2014.
Apple Info.
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