Market Segmentation And Digital Marketing Strategies Of Apple Inc

Types of Market Segmentation Used by Apple

Market segmentation is a crucial aspect in organizations since it allows companies to drive unified and complete solutions that are in agreement with customer outreach, strategies for supporting and selling to the customers (Dolnicar, Grün, & Leisch, 2018). Different customers have various needs, and therefore, this calls for understanding their specific needs. Apple understands this very well since it has embraced innovation in both product development and also in market segmentation. Apple is aware of the need for market segmentation, and therefore, the company operates in different market segments. The company aligns its strategy by studying the current market and then targets specific consumer needs.

Apple Inc applies two major types of market segmentation. To begin with, we have demographic segmentation. Apple develops its products based on occupation, lifestyle, and age of consumers (Cardoso, 2017). Apple targets teenagers, college students, young children, adults and also business people. For example, teenagers are considered one of the most effective target group since they majorly use iPads, laptops, iPhones for several reasons including; socializing with friends on social media, listening to music and playing games. Young people also prefer high-end qualities such as high graphics resolution, high storage capacity, and stylish designs. In addition, business people are also intrigued by Apple products since the products have a business quality. 

Apple devices are effective in getting work done efficiently and therefore; students also use the products to organize their work effectively. Apple also targets the old people with products such as digital watches to aid in monitoring pulse rate hence being able to make healthy decisions. Consequently, on the demographic segmentation, Apple employs the product design and quality positioning strategy in order to ensure more market penetration. Apple has managed to come up with innovative technology and improved designs over the years, and this has allowed them to have a strong command in the market (Anshul, 2018). Therefore, customers have remained loyal to Apple products due to the level of satisfaction they get.

Secondly, we have psychographic segmentation. Apple uses a branding strategy that is more focused on emotions. Besides, Apple’s brand personality based more on imagination, innovation, passion, lifestyle, dreams, and power-to-the-people through technology (Nagamia, 2015). The brand is also focused on connecting simplicity and style since the brand is featured as a high-end brand and targets the middle and upper social class. Apple uses this strategy to ensure it remains competitive and on the top of the market in terms of meeting the demands and needs of customers that desire class and are of a higher lifestyle. Consequently, Apple uses the brand identity position strategy in order to complement its psychographic segmentation strategy. Apple’s brand values, tagline, and type of imagery are elements Apple uses to form a specific position in the minds of customers (Anshul, 2018). This makes Apple stand out as the best and classy brand globally. 

Digital Marketing Strategies and Techniques Used by Apple

Apple Inc is not a conventional user of traditional marketing since the company relies on product placement strategies as well as positive reviews to market its products. However, Apple incorporates various digital marketing tools and techniques from time to time. To begin with, Apple employs social media marketing to promote its products. For example, in promoting iPhone 5s, Apple used interactive videos to market the phone through social media (Stone, & Woodcock, 2014). The response received was great, and reviews from different social media influencers made the digital marketing strategy to remain a success. Since social media is highly flooded with people, Apple uses it to its advantage.

Secondly, Apple is an avid user of content marketing since its products are of high quality. Apple doesn’t view PC’s as a competition since it focusses on a wide range its entire products. Besides, Apple’s website clearly outlines the elegance of Apple’s products. The content is easily understandable and more appealing to the audiences. Since Apple has created a customer experience, over the years, the company enjoys free marketing from their loyal customers (Stone, & Woodcock, 2014). Apple’s content marketing exposes the “Apple’s experience” since customers understand what they see is what they actually get. The aim of content marketing in Apple is to create and stimulate an interest in its products and services among customers hence being able to drive profitable customer action.

Lastly, we have influencer marketing. Apple has begun partnering with great YouTube influencers so as to spread the word on their products. Apple’s rationale for working with the influencers has been making sure the brand is an acquirable brand by everyone who needs it. Apple is also dependent on influencers who understand how to pitch products for their partnerships since Apple is ensured more people are reached with the right information. Apple has begun using this type of marketing since its much interactive and users can be reached directly hence ensuring the brand grows exponentially.

By employing the various digital marketing strategies and techniques, Apple experiences both strengths and weaknesses. Beginning with the strengths, we have the easy and effective reach to targeted customers. Digital marketing tools are designed to target a wide range of audiences or customers (Ryan, 2016). It attracts customers who are looking for particular products, services or brands rather than broadcasting adverts to audiences not interested. Secondly, we have cost-effectiveness. Other conventional marketing strategies are too expensive, and for Apple, digital marketing strategies have proved more cost-effective. 

Strengths and Weaknesses of Apple’s Digital Marketing Strategies

However, since Apple does not employ other conventional marketing forms, it saves on cost by employing digital marketing strategies. Besides, the digital strategies seem to promise more market penetration hence being an advantage to Apple. Lastly, we have the effective building of relationships. In Apple, digital marketing strategies promote valuable interaction between the advisor and end customer (Rasul, 2018). For example, through social media marketing, Apple has been able to interact with targeted customers in real time hence getting feedback on its products (Peñaloza, 2018). Therefore, a higher level of trust is built which later generates customer loyalty that benefits both clientele and business.

On the other hand, the weaknesses of the digital marketing strategies employed by Apple include; One, negative reputation from digital marketing. Digital marketing tools are prone to receiving negative feedback. Therefore, in case Apple has a defect in its products, any erroneous/ adverse claims can ruin the online viability of Apple products for a long time. Secondly, internet marketing campaigns are easily copied. Since Apple is a huge company and its style of marketing is unique, its digital marketing strategies can be copied at any time hence bringing about legal ramifications.

In addition, trademarks or logos can be used to defraud customers of other fake brands that are not genuine Apple products. This can lead to loss of valuable customers as well as ruining of online reputation. Lastly, we have high competition. Internet marketing is under great challenge due to competition from different brands (Williams, & Williams, 2017). For example, Apple’s rivals including Samsung, Huawei, Dell technologies and Lenovo group still make use of creative digital marketing strategies that seem to appeal to consumers too. Therefore, Apple’s marketing strategies may become ineffective to lack of optimum visibility.

I believe Apple can employ a better strategy in order to improve on their marketing strategy. Therefore, Apple can embrace the following recommendations. To begin with, Apple should continue tweaking its digital marketing strategies as well as constantly measuring the results of each digital advert. This will ensure Apple is ahead of its game when it comes to dominating the digital marketing space. In addition, Apple will understand when to make adjustments and when not to hence ensuring it captures the customer’s attention and interest to buy (Peñaloza, 2018). Secondly, since Apple is more focused on content marketing, the company should ensure that the content also relates to different sets of people including older people. By adopting such strategies, Apple will remain relevant and consistent hence making it worth for those whose consume the content. Besides, for the content marketing to work effectively, Apple will have to consider different factors including marketing automation, mobile content and native advertising. 

Recommendations for Improving Apple’s Digital Marketing Strategies

Thirdly, Apple should consider unique promotion strategies that allow massive publicity for the company. The company should engage the audience by conducting various interactive contests hence being able to entice fans on social media to interact with the brand. Fourthly, Apple needs to integrate new options and technologies due to changing consumer trends. Since new companies are coming up with new and attractive products, Apple may face a lot of competition in terms of marketing its products. Apple has enjoyed free marketing from consumers due to its viability. However, it will need to incorporate new technologies to ensure the competitiveness of its digital marketing strategies. New technologies will boost the effectiveness of the digital marketing programs (Khorev, 2018). This will promote credibility, transparency, and value. Lastly, Apple should have contingency plans to combat unexpected events in terms of failure in digital marketing.

Conclusion

Apple has dominated the tech industry with its products majorly because of factors such as product development, digital marketing strategies and reviews from consumers. However, due to the changing market needs, Apple will have to revamp its digital marketing strategies due to competition from other upcoming brands. Digital marketing is the way to go due to the advancement in technology and therefore, Apple will have to be more competitive in how they carry out their marketing and develop their products.   

References

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