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BCG Matrix

Before we find BCG Matrix of Apple, we should know the Apples product contribute to total
revenue and Apple products market share compare to their competitors

After compiling all the data above from many resources, we can make the BCG Matrix

1. Star
We categorized Iphone and Ipad in Star category which means they both need further
duct development and there are greater opportunities available in the market for
growth. Iphone contributed 37% while Ipad contributed 23% to total Apples revenue.
Both of this product contributed almost 60% of total apples revenue. Apple enjoys
42,2% market share in Ipad and become a market leader. In Iphones, Apple is not the
market leader but has 17% market share where Samsung has 33% market share. Both
Iphone and Ipad are very critical for Apples success in the long term.
2. Cash Cow
We placed Apple Itunes digital downloading software as a cash cow. Apple clearly
is a market leader in this market segment with 23,6% market share. Growth rate for
Itunes is steady for 29% each quarter in 2012 and declining in 2013 to 28%, which
indicates that it is a stable and mature product and it does not needs further heavy
investments for product development by Apple Inc. Apple Itunes contribute 7% of

Apples total revenue.


We place Ipod in cash cow category because Apple has a major market share but
only contributing 8% of Apples total revenue and year after year the market has
shrinking because has canibalize by Iphone and Ipad, although it still holds as the
market leader for 72% of market share. We think that Apple should pay more
attention on development this product by giving something news like they new

Ipod product ,Ipod Touch. We hope that Ipod touch can give a big contribution to
Apples revenue and can shift back to Star Category.
3. Question Mark
We placed Macs, Ipod, and Apple TV in Question mark category, there is a
possibility to capture further market share if provided with funds for product

development and innovation, otherwise they will fall back in to Dog category.
For Macs, Apple has a comparatively lower market share. Apple enjoys 11,6%
market share and the growth rate is -4,3%. These lower percentages may suggest
that Apple should pay attention on development of its other products and should

divest from computer market completely.


For Apple TV, it has big opportunity to grab bigger market share. In 2013, sales of
Apple TV have grown by 80 % in 2013, reaching around 10 million unit or some
$1 billion worth of set-top boxes sold to end users, which would make the Apple
TV the company's fastest-growing hardware product. As for the market share in IP
streaming devices segment, Apple has 56,1% of market share compared to Roku
(21,5%), TiVo (6,5%), and others for 15,9%, but this is not including the Smart TV
and also Gaming consoles that provide almost the same features as Apple TV, so it
is categorized in the question mark.

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