Apple Iphone Case Study

4075 Words Oct 6th, 2012 17 Pages
Apple iphone case study 1
Apple's iPhone Launch: A Case Study in Effective Marketing
Kyle Mickalowski, Augustana CollegeMark Mickelson, Augustana CollegeJaciel Keltgen, Augustana CollegeABSTRACT
When CEO Steve Jobs announced in January 2007 that Apple would be releasing a revolutionaryiPhone five months hence, consumers waited with bated breath for a phone that would deliver all the features of their iPods as well as a smart phone. Anticipation grew, just as Jobs knew it would, as Juneapproached. The launch would become one of the most heralded technological product splashes Apple,known for its masterful media build-up, had ever planned. How the iPhone was developed, priced, promoted, and distributed is lesson for marketers around the
…show more content…
to make calls or use the phone’s other features. (One caveat: owners maychoose to use the phone as an iPod, in which case they do not need to activate the device through AT&T.)This set-up creates some unique difficulties that Apple and AT&T will have to address. Any potentialcustomer of the iPhone must be prepared to sign a contract with AT&T as their service provider. Peoplewho do not like AT&T’s service or are not in an area where it is provided may be hesitant to purchase aniPhone, which narrows the potential market.The two-year wireless agreement may also be a deterrent for those people who are already lockedinto a wireless contract with a different provider, but at least one study reported that 12 percent of respondents indicated they postponed their wireless phone or MP3 player purchase to wait for the release of the iPhone, evidencing that this obstacle can be overcome (Sharma and Wingfield, 2007). This contractalso means that Apple does not have to deal with network problems and all of the consumer complaints thatoften go with them, but instead focus on a top-notch hardware and software design.AT&T is not the only company that stands to benefit from the production of the iPhone. Thecompanies that supply the parts and assemble the iPhone, many of which are speculated to be Taiwanese,may enjoy financial success as well. By hiring

More about Apple Iphone Case Study