Apple Market Share Increase for Ipad 4

Apple needs to increase its market share for iPad 4. Product outline Apple Inc. is a well known technology firm that specializes in designing, production and selling of computers, mobile phones and music related devices. The most outstanding feature of Apple Inc. is the brand-perception as well as identification. Apple has built itself to become a cult-brand over the last decade with the strategy to invest and market iTunes, QuickTime and iMaclines working to fortify the brand loyalty hence the cult-brand formation. The short-term goals that Apple Inc.

put in place are geared towards increasing the sales of the iPad which is one of the most recent products of Apple. Apple Inc. is a fairly large corporation with a huge startup capital base and a corporate culture that is inclined towards engineering and innovation. It is known to properly utilize the bureaucracies that exist and also possessing good customer culture that is entrenched into the corporate culture of the organization.

The organization is also known for its lean yet very efficient management team and human resources base, with the top management and decisions making team composed of engineers and a small project team that is also headed by engineers as indicated by Business Insider (2011). Apple is currently seen as a multinational corporation whose main base is in the USA with branches across the world and deals in computer software and consumer electronic goods.

The well known products from Apple are the iPhone, the Mcintosh computers and the iPod, on the other hand its software that give it an edge over competitors are the iTunes and the Mac Operating System. The iPad 4 has significant qualities that easily endear the American customer base like the long battery life, the metallic casing, the highly sensitive touch screen, unique design and the multiplicity of applications that can run in its operating system.

The marketing plan that is intended in this case in point is the targeted marketing across the Asian and African nations whose market has widely been neglected by the iPad marketing team. The market segmentation for iPad 4 in these targeted geographical locations will be unique and aimed at not only retaining the previous market share and traditional consumers in Europe and USA but also to bring in the Asian and African continents in a more diversified approach and uniquely tailored manner than ever done before.

The issue under scrutiny here is the lack of market coverage in Asia and Africa and how iPad 4 can break this imaginary market barrier that has existed for a long time. It is due to this imaginary wall that the other brands like Samsung have dominated the market in the developing and the third world countries. The suggested marketing plan herein is the targeting of research institutions, higher learning institutions, blue-chip companies, NGOs and governmental agencies among others.

This is informed by the fact that many of such organizations have the need for the applications that are offered by the iPad range but they are not duly informed of the possibility of having this product within their institutions, this is the information barrier that must be broken through this marketing plan that will be structured herein.

Apple situational analysis The situational analysis is widely known to be a strategic planning tool that helps in analyzing the political, economic, cultural, environmental, social and technological factors among others that can potentially influence, in the positive or negative the performance of a given brand within a given market in the process of their daily operations. Being that the marketing plan of iPad 4 is targeted at external markets, away from the USA traditional market, it is important to know what these factors are and how they can influence their operations.

The industry analysis Apple, like many other firms that deal in similar products falls under a widely unique industry. One that is highly flexible and seen to be continuously expanding. It is an industry that is characterized by exponential innovation and creativity that always seeks to defy the price increases. Many products within the electronics industry are subjected to upgrades and versions due to these rapid changes that the hardware adjustments can hardly keep up with.

The cut-throat competition within this industry is also occasioned by the dynamism in the demands that the market presents and the urge for the various companies to fill the technological gap presented by the potential customers. The tablets market is more prone to the competitive forces of the market since brands like Samsung and Lenovo keep producing newer versions of their tablets more rapidly.

Competitive analysis This area presents one of the stiffest challenges to Apple as a company since the there are three fronts of competition that it meets in the market; the brand competition, the products competition and generic competition. There are several other brands that compete with Apple\'s iPad 4 specifically in Africa and Asian countries, for instance the Samsung Galaxy, Lenovo IdeaPad, Toshiba Excite and Motorola Xoom among other brands from different companies.

The product competition in this industry is also stiff with Apple having several other companies manufacturing and assembling similar products like Sony, Lenovo, Hewlett Packard, Dell among other companies. The generic competition, which acts to solve the same needs albeit in a different manner include the Cox Cables and Regal theatres among other generic competitors (Jureviscious O., (2016). Technological analysis Due to the dynamic needs of the customers as hitherto stated, the demands and pressure put on the technology-based firms are enormous.

This in effect makes the competition among the players even stiffer with each company striving to fulfill the needs raised by the customers. Many operations and processes within may organizations and manufacturing firms are of late dependent on hand held devices and the accompanying relevant software. This makes the iPad 4 a relevant product, but in the midst of a technological competition from similar products.

Apple is known to be one of the top notch firms in terms of technological advancements, known for its leading edge technology which often endures to be at the best of the functionalities and design. Apple has the long-term ability to initiate and develop their hardware and software apart from face-lifting the notebooks and desktop. The web-based technology is widely used by Apple in creating awareness of their products and services.

Apple has also tapped into the affordable technologies offered by other firms to subsidize its productions and hence retain a wider customer base, such an instance is their partnership with Intel Computers in 2006 which further stabilized Apple due to its stronger and stable research and development department (Hill, T. & R. Westbrook, 2017). Apple has continuously strived to stay at the helm of technological competition.

However, there have been instances of faulty productions detected, for instance the iPod Nano with faulty screens and faulty iPod batteries both of which were effectively handled by Apple Inc. This apt way of handling their challenges and the production of high quality products will significantly help in the marketing plan and eventual marketing of the iPad 4 in the new frontiers. Political analysis Apple is known for a wide range of its products that is sells across the world across several political boundaries.

One of the concerns that the ventures into the different market zones pose is the issue of varying tax regimes experienced in these regions. These different tax rates mean that the company will have to keep adjusting the prices accordingly to align the profit margins with the different taxations. It is also apparent that in some nations, the tax imposed on imported or foreign brands is prohibitive. There are also nations implementing overly strict labor laws and regulations on remuneration.

It will be a challenge to fully internalize the labor laws from various regions and some may lead the company into realizing very small profit margins. Economic Analysis Though Apple was affected by the recession which significantly reduced the demand for their products like any other company, it still has the opportunities to expand its existence across the globe. The company can still format their music store, the iTunes, into the format that can be played through the mobile phones and sell more of this product.

It can also venture into strategic alliances with other companies especially in the regions that it may be looking at for expansion. The Asian and African nations\' economies have been slowly but steadily expanding with the establishment of democracies over the decades hence presenting a viable economic base that can significantly support the expansion of Apple into these regions. Indeed, Asia is noted to be one of the fastest regions in recovery from the global recession and leading in global growth (Kuroda H., 2013).

It has also been noted that Asia and Africa have forged closer ties in the recent past increasing the trade, investment and technical assistance and ties between these two regions as depicted by Harshc E., (2004). The 1.2 billion opportunities presented by the African population (The Economist, 2016) cannot be overlooked any more by Apple, but must be tapped into and the opportunity well utilized.

Cultural/social analysis Apple is predominantly known to be an American brand and breaking into the foreign markets like Asia and Africa is likely to be met by the challenge of difference in culture and social trends. The fashionable items in these new frontiers significantly differ from what is loved in the USA hence will call for the Apple company to first understand the social lifestyle and the cultural values of the people and the institutions before introducing the iPad 4 successfully into these markets.

One good instance to consider is that unlike the Americans, Asians and Africans, though politically may be capitalists, they value communal ownership of property and utility of the same, it is their culture and an apt understanding of the same can help in finding sales points for the iPad 4 brand. Customer environment analysis The current customer base that Apple deals with in the two target regions are individual customers who walk into their stores and buy their personal phones or iPads.

The target has widely been at individual purchases by young people who choose to step into the exquisite technological lifestyle. The company has therefore not stocked all its products in these stores in Asia and Africa, but chose to do selective stocking due to the segmentation of the Asian and African markets. Most of the customers of Apple products in these regions are the few rich young people with the majority being locked out of the reach of this product.

The technology is desirable by many younger generation but the prices are not within their reach. Internal environment analysis The Apple Inc. is widely seen as a financially stable and well performing company with products that have got a religious following. The products are widely known to be of high quality and liked for their exquisite designs and allure of the high class that they create among those who own them. The Apple Inc.

brand is held as the most valuable brand globally standing at $170 billion with more than 110,000 employees (Jureviscious O., 2016). This is a reflection of a company that is on the rise and the acceptability of the products equally on the rise. SLP 2 Apple SWOT analysis Since the introduction of the Apple Smartphone in 2007 Apple Inc. has seen tremendous growth making Apple to be the most successful electronics company in the world.

It is significant therefore to look at what the strengths, weaknesses, threats and opportunities are for this company before venturing into the marketing strategy for its iPad 4 in Africa and Asian regions. Strengths The company first has strong advertising capabilities that boost the brand awareness and consequently the products demands. It is estimated that the advertising budget for Apple towers at $1.8 billion annually. Though there are some competitors like Samsung who have larger budget allocations for the same, Apple uses its advertising allocation in a more efficient manner.

The company is also seen to have more extensive distribution channels within the USA than the competition. Apple is known to have a total of 494 retail stores across the globe, with 270 of these stores being in the US and the rest spread throughout the remaining 16 countries (MacRumors, 2017). These outlets can be used to propagate the iPad 4 market by ensuring they a stocked with the product. The vertical integration in its operations also enables Apple to run four businesses as one.

Apple has a hardware business, a software business and it is also a service-provider and a retailer as well -- all integrated into one entity, and it is worth noting that it controls the entire supply chain hence adding to its efficiency and cost effectiveness (Bajarin B., 2011). The brand awareness and reputation of Apple and the sound financial performance adds to the strengths that help Apple stay at the top of its market competition. Weaknesses Apple is over dependent on iPhone sales to keep the company profitable.

Indeed it is estimated that more that 50% of the revenue generated by Apple are from iPhone sales (Warren T., 2016). Apple is also seen to have weak direct distribution channels in most countries especially in Asia and Africa. The low investment in research and development as compared to the competition has been attributed to the fewer innovations and limited products Apple introduces to the market particularly in the years before 2015 when less than $2billion dollars were dedicated to innovation and research (Rogers A., 2016).

The fact that Apples OS are incompatible with other operating systems of other computers and phones makes those who are used to the other operating systems shy away from the OS X and the iOS (Tile Support, 2016). This compatibility problem goes further to the general hardware like the earphones and Bluetooth linkages.

Opportunities It is expected that Internet of Things (IoT) will grow in the next few years and as a result Apple should take advantage of this and come up with an internet platform that will connect its users through the iPad 4 tablet s one of the mobile computers. The other opportunity that Apple could take advantage of is the increasing need and demand for wearable health related gadgets that help in monitoring and management of health conditions.

This is a market niche that Apple competitors like Philips Health, Intel corporation, google Inc., Omron corporation among others have ventured into. Just as Apple introduced the Apple watch, it needs to take advantage of the need for such devices and develop such products (Global Industry Analysts Inc. 2017). The other opportunity lies in the mobile payment modes which is fast becoming the order of business globally. Apple needs to develop a platform among its users to enable the quick and easy payments done through the various apple products.

Threats There are very viable threats that iPad 4 faces in the current market and the near future. One such threat is the continued technological and innovation pressure that keeps pilling on iPad 4 and other Apple products since competition like Samsung keeps producing tablets that are wired towards performing same functions that iPad 4 would perform. These pressures will significantly eat into the Apple revenues and profits.

If the Apple Company sticks to its high end and overly priced products then it shall see the rise of the competition to displace it from the position it is holding now. A strong US dollar also works to the detriment of Apple taking into account that 65% or more of the Apple revenue is from foreign countries. With strong dollar, it is apparent that the foreign income will dip. There are also possibilities of patent infringements, even without intending, that may lead to lawsuits that are costly.

Yet another threat to Apple is the risk to data breaches that may render Apple users susceptible to data loss of manipulations (Hellman J., 2014). Examples SWOT descriptions Internal strengths Sufficient advertisement budget Apple has annual budget of $1.8 billion set for advertising. Has a more efficient advertising approach Strong brand image and brands presence. Apple has 494 retail stores across the globe, with 270 of these in the US Efficient use of vertical integration Apple runs 4 businesses as one; the hardware, software, service-provider and retailer all in one.

Internal Weaknesses Apple is over dependent on iPhone sales 50% of the sale experienced within Apple are from the iPhone Low investment in research and development. Less that %2 billion were often dedicated to research which was dismal compared to competition. Incompatibility challenges iOS which is used in the iPad 4 is not as compatible with other phones as is with Android, Blackberry, Symbian and Windows. Opportunities Growing market for Internet of Things Develop platform for connecting Apple users across the globe on the iPad 4 device.

The continued need for wearable health devices The research into development of wearable gadgets as is done by Philips Health, Intel corporation, google Inc., Omron corporation Mobile paperless payment need Development of a futuristic mode of payment that would enable people to transact based on Apple supported applications. Threats Technological and innovation pressure Competitors like Samsung keeps developing better phones and software that retail at cheaper prices.

Strong US dollar There is a lowered purchase with a strong dollar which hurts Apple since 65% of its market sales are from countries outside USA. High end/elite pricing and branding The Apple products and the iPad4 target elite buyers yet competitors keep making superbly innovated products at a much subsidized prices. Risk to data breach Apple is always targeted by hackers. Increased security must always be ensured by development of applications that are not impregnable.

SLP 3 Goals and objectives The targeted marketing of the iPad 4 in Asia and Africa is definitely bound to make huge success and will help the company to break into these markets in a much larger and stronger manner. Apple needs to have a prime focus on the institutions where there are various research works required, institutions of higher learning, hospitals, government agencies and NGOs that operate within the developing and underdeveloped nations in these two geographical regions.

Taking into account that Apple already has inroads into Africa and Asia, they will only need to do promotional communications that will sensitize more the potential consumers about the availability of iPad 4, apart from the traditional iPhones that is known in these regions. The marketing department will have to make tailored message that will target these groups specifically rather than the known collective general message that was meant for the entire public concerning the iPhone.

The reason why the iPad 4 marketing would do well with targeted marketing is due to the high prices that may prohibit individual buyers. Targeting the individual buyers will be costly and not yield equitable sales at the end of the exercise. Goal 1: To increase the corporate customer knowledge about the iPad 4 and its functions. Objective 1: Have at least 50% of the identified NGOs and organizations knowledgeable about the iPad 4 and the various applications that can run in it.

Objective 2: ensure, out of the indentified and earmarked organization, 80% of the heads of department and the managers and CEOs are well versed with operating the iPad 4. Goal 2: To persuade the identified organizations and agencies to buy the iPad 4 as part of their daily operations. Objective 1: to have an entry into the identified organizations where iPad 4 can be accepted as the official data collection, handling and transmission tool.

Objective 2: Through a localized agreement with each organization, have the commitment of at least 60% of the identified organizations to be using iPad 4 and enjoy the accompanying services. Marketing strategies The primary market target that the iPad 4 sales will focus on is the organizations and not the individuals. There will be 200 organizations targeted in Africa and another 300 targeted in Asia as a start package for the marketing of the iPad 4.

Being that they are organizations with various people working together towards a given goal, the marketing of this product will be geared towards showing them how the iPad 4 can make easy their sharing of information and data as well as collaboration in their work. The primary target market herein is largely seen to require a light device that can frequently be used in data collection and sharing virtually or in form of presentations without being as cumbersome as the actual laptop.

These are needs that the iPad 4 can effectively do since they can be enabled to share data among the iPads or be use in group presentations and are light and portable. Image positioning The iPad 4 is meant, for these two markets, to reinvent the process of data collection and manipulation as well as sharing, coming out as the ultimate device that can be both practical and light enough to carry out field work in data collection and data presentation without having to switch between two or more electronic devices.

The iPad 4 is envisioned to be the household name among the leading blue-chip companies in terms of usage, an act that will positively influence the smaller organizations to buy into the idea in a much easier way. In the Asian market in specific, Apple has been facing stiff competition from the leading vendors like Huawei, OPPO and vivo.

The OPPO brand is seen to have grown tremendously over the last one year into 2017, for instance, in 2015 it sold 50 million smartphones which made it to ascend to top 10 smartphones brands across the globe. In 2016 it sold 78.4 million units in China alone, this challenged the Huawei sales that stood at 76.6 million. This was towering as compared to Apple sales of 44.9 million in China.

This increase in preference for the OPPO and vivo as opposed to iOS is occasioned by the yearning for regular upgrades due to the increased dependence on phones to carry out most activities. This regular upgrading is not possible on the iOS. The vivo and OPPO has a specific concentration on the younger audience (Graham L., 2017). Value proposition Apple has always had the history of putting quality behind every of their product and ensuring that their technology is one that gives value for money.

The iPad 4 is a product that will ensure it revolutionizes the manner in which the institutions conduct their research and business as well as their daily operations. The institutions will also get higher quality that is sure to transcend the times as compared to the competition. The iPad has numerous applications that makes is flexible and applicable in numerous situations all in one package.

The Samsung tablet is seen to have significantly high market value for providing high configure handsets at fair market prices especially in South Korean region and Bangladesh. Samsung and Apple are seen to be the dominant tablets in the Asian market hence the iPad 4 is likely to have a good market share and acceptance within this particular market (Kharpal A., 2016). On the other hand, the African market demographics are quite different, the tablet industry is dictated by the price sensitivity as opposed to brand loyalty in Asia.

This has been the reason for the iOS lagging behind other brands like Android, Blackberry, Symbian and Windows in Africa. Indeed, Android held 61.4% of the African market by February 2016 (Alpha Investor, 2016), meaning the iPad 4 must have an approach that will be price.