Case 4 Inside Intel Inside
What was the original motivation behind Intel’s decision to launch the Intel Inside branding campaign? What factors have accounted for the success of the campaign? From a consumer perspective, how does the Intel inside logo affect your PC buying decisions?
Intel was a market leader in PC Microprocessor industry. Due to evolving new technology and intensifying competition, sustaining technological lead was of utmost priority in 1990 for Intel. They had threats from growing powers like AIM (Apple, IBM and Motorola) tie ups in 1991. To counter this competition, Intel doubling up their R&D. There were simultaneous development of products of 2 generations going on. The other competitors could not catch up with
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They also communicated to customers that the product life cycle is very small and short lived.
But when they wanted to launch their next product, they wanted to span successive generation of products. They came up with brand tagline “ Intel - The computer Inside”. Then the OEMs asked “if you are computer, what are we?”. Hence they changed their tag line to “Intel Inside”. They wanted to develop a Co-op advertising program like that they noticed in packaged goods industry. Thus “Intel Inside” brand was formed.
They made a 5 tone jingle t represent their brand identity. Thus a new concept of “Ingredient Branding” was in place in Microprocessor industry.
What has been the brand promise in all of Intel’s advertising campaigns throughout the years? Lewnes says that “the core values of the brand have been constant all along.” What are these core values? On the other hand, how has the company’s advertising evolved over time? What do you think of the Blue Man Group advertisements? Why does Lewnes consider this campaign to be “one of the biggest advertising breakthroughs” in the company’s 10-year history? Do you agree with the direction the campaign appears to be taking?
Intel’s promise was always on Quality & Reliability. This has always been constant throughout their promotions. But advertisement was evolving. They wanted to communicate that they were of high quality & highly reliable without using
Ever since technology strived in the late 20th century, companies have been using commercials to spread their innovations throughout the world. Everyday rhetorical appeals and rhetorical fallacies are used in the commercials people watch to draw them into buying products from corporations that are highly respected. People buy these products, not because they need the product, but because the commercial appeals to them and makes them think that this product is better than what they already have. The Intel Corporation uses many rhetorical appeals and rhetorical fallacies in all their commercials, specifically the commercial that stars Michael Phelps called The Pool, to create trust with the viewer. I found the Intel Corporation commercial, The
How and why did Intel’s added value change over time? What would you identify as the crucial events, decisions, or moments in that transformation?
PC computing was the center of computing during the 1990s, but the internet took over the next decade. Cellphones are sold more than PCs, and that is because they can access the Net. Network and communication became more important to people, whether it is in the home, small business or enterprise. Intel response to the changes in the environment by investing a lot of money in four areas, client platforms, server platforms, cellular and wireless, and communication and networking. Despite the fact that Intel took several steps toward making a position for it in the mobile and internet market, the threat of being behind
Meanwhile, IBM, who was Intel’s star customer, decided to produce own proprietary components. This was an inflection point for Intel. It partnered with Compaq and Microsoft, to break the hegemony of IBM. Though Microsoft products did not
To differentiate the brand from competition, labels and packaging would be used. Moreover, all visual communication tools and promotional items featuring the brand logo and
In the 1990s, one of the largest and most successful companies in the world was Intel. For PC business, Intel was a significant and beneficial hardware provider.
2. Being a low involvement good, repetitive advertising is needed to increase high brand exposure. The purpose is to remind consumers of the brand and to maintain high awareness so that they will be included in the evoked set. Reminder advertising that incorporates the jingle and mermaid icon serves to increase positive associations to the canned tuna. IMC in the form of point of sales displays is particularly vital in the last touch point to stimulate sales where it becomes a “moment of truth” right before consumers decide on an
On the 1st of June, 2015, Intel announced that they acquired Altera, another chip maker in the high technology industry who is particularly professional in producing programmable chips, by $16.7 billion as well as about $54 per share for Altera shareholders, which was the largest acquisition that Intel ever made (Nusca, 2015). The price is quite close to which was proposed by Intel, but in fact, just two months before Intel approved the acquisition, Altera rejected the price that Intel proposed. In the last few years, Intel suffered from the declining sales of personal computers, of which has been the main profitability source, and has been dominated by Intel for a long time, as consumers switch their preference from laptops and personal computers to tablets and other mobile devices (Huddleston, 2015). As a result, away from PCs, Intel has to work harder to get
America was not buying into that claim and 90% of computers used are Intel based. (Lai, E. (2007) Vista, Mac Use Both Increase. Retrieved January 9, 2008, from PCWorld Web site http://www.pcworld.com/article/id,140422-page,1/article.html).
Branding is a tool to make the goods of one producer different from another producer (Keller, 2003). Carroll (2008) asserts that branding is a sign of quality, and it is helpful to increase
Obviously, in one perspective the initial primary objective of IBM’s advertising is to RECAPTURED the brand equity to increase its diminishing market share. Plunging from one of the market leader during 70’s and 80’s to almost a market looser in the 90’s, IBM’s rebranding aims at the value proposition in the mind of the consumers. Defeated by the slicker and responsive rivals such as Microsoft, Dell and Oracle, IBM had to push the awake call alert to reposition itself as one of the significant player in the industry. This all been done through the ingenious and new paradigm
* In 1985, Compaq and IBM do a research and development (R&D) and make move Apple into the mainstream by becoming low-cost producer and joint venture with IBM. This’s one of Apple failure moment and Apple Gross margin drop to 34%.
Obviously, in one perspective the initial primary objective of IBM’s advertising is to RECAPTURED the brand equity to increase its diminishing market share. Plunging from one of the market leader during 70’s and 80’s to almost a market looser in the 90’s, IBM’s rebranding aims at the value proposition in the mind of the consumers. Defeated by the slicker and responsive rivals such as Microsoft, Dell and Oracle, IBM had to push the awake call alert to reposition itself as one of the significant player in the industry. This all been done through the ingenious and new paradigm of
True to nearly any commoditized product, pricing and availability became the only two significant differentiators quickly as Intel increased
Intel changed marketing history by achieving to publicize an inner piece of a product that could not be seen from the outside. By placing tags on products, they could display their company logo and the model of the product inside the computer, thus making publicity to an ‘ingredient’ inside the whole. In those initial marketing campaigns Intel well-known themselves from the competition by labelling their products with names instead of only number; this helped them gain reputation surrounded by the customers.