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Case Analysis Assignment


April 4, 2010 iPad Launch
Alyssa Chard
Comms 235
Professor Wilson

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Alyssa Chard
Case Analysis Assignment
Professor Wilson
Description:
On April 3 of 2010, Apple launched a tool projected to change the world forever: the
iPad. A device that Steve Jobs, CEO of Apple, describes as magical was embraced by
consumers even before it hit the shelves of U.S. stores and was met with similar success when
the product went global weeks later.
Some analysts suggested that iPad sales would fall short of Apple projections. They
argued that potential iPad consumers would feel no obligation to buy an iPad because it seemed
to be nothing more than a large iPhone. Phil Schiller, Vice President of worldwide product
marketing for Apple explained that the success of the iPad rested on the consumers perception of
the product. Consumers could either complain, Oh its just a big iPhone ... boo! or Hey, its
like a big iPhone ... cool (Fry, 2010, p. 2)! Ultimately, it was the job of Apples public relations
to ensure the second opinion among key publics.
Apple has taken the technology world by storm with a history of successful product
launches. The development of the Mac computer persuaded millions of consumers to transition
away from the PC. The iPod transformed the music industry while the iPhone reshaped the way
people communicate. Many analysts predicted the iPad would meet similar success.
Apple sold over 300,000 iPads to U.S. consumers by midnight of April 3, two million
iPads in less than 60 days and three million iPads in 80 days (Apple, 2010). In fact, the demand
for the iPad was so great that Apple sold out of its initial product supply during pre-order
sales(Elder-DeWitt, 2010, p. 1).

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Apple defined the tablet as cool and fun. While other technology companies focused
on the productivity of their tablets, Apple emphasized the interactive experience iPad users
enjoy. Essentially, the iPad was promoted as a simple device with limitless capabilities. On April
2, 2010 hundreds of people camped in front of Mac stores across the country, eager to get their
hands on Apples latest product (West, 2010, para. 1). This level of excitement around a new
product is what sets Apple apart from other brands.
Analysis:
Goal: To position the iPad as the universally cool product that everyone wants and to create
market share for the iPad.
Objectives:
1.

Generate awareness among key publics of the useful functions of the iPad.

2.

Convince key publics that the iPad is something they need to have.

3.

Educate the public on the unique benefits of the iPad.

4.

Build curiosity and excitement around the product launch of the iPad.

5.

Generate major sales at initial product launch of the iPad.

6.

Maintain a high number of product sales of the iPad after initial launch.

Key Publics:
1. Apple Developers
Motivating this public to action is critical to the success of the iPad because while Apple
provides the iPad, it is the app developers who provide the apps consumers want to use.
2. Early Adopters
This public includes 25-40 year-old men and women. This group includes college graduates who
are laptop users and are constantly on the go. For this public the iPad will not replace their

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laptops but will provide them with convenient internet access when they are on the move.
Consumers in this age group are usually in the peak of their careers and are forward-thinking.
They are willing to take risks and they are excited to try new products- especially when
technology is involved. This group is willing to spend extra money to get their hands on a new
product like the iPad first.
3. Business Leaders
This public represents many of the opinion leaders that will make the iPad a success. Apple
wanted the iPad to become an everyday tool for employees in business offices.
4. Young to Middle-aged Mothers
This public includes mothers between the ages of 25-45 with annual household incomes of
$200,000 or more and who are college graduates. This public appreciates the iPad because it is
user-friendly and allows them to access email, ebooks and iphoto while they are on the move
between work, volunteer work, family responsibilities and other activities.

While Apple didnt target retired persons, research shows that men and women over the
age of 65 have been high consumers of the iPad (Alpeyev and Eki, 2010, para. 1). Larger than an
iPhone, this public appreciates the large screen size of the iPad and its user-friendly format.
People in this age group are usually retired and value convenience and easy accessibility- both
features the iPad provides.
Apple did not specifically target children and teenagers, a market that some critics
believe would have been lucrative. The apps available on the iPad feature games and books.
Apple could have achieved greater success had they marketed the iPad as a gaming device for
children and teenagers as well as a business tool and home luxury.

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Messages, Strategies and Tactics:


1. Apple Developers
Message: Emphasize the opportunities available to apple developers. Highlight the interactive
experience the iPad will provide for users and market the iPad as user-friendly for all ages. The
potential for apple developers to succeed is astounding despite the economic recession.
Strategy: To convince apple developers to create innovative apps for the iPad through
commercials and personal contact.
Tactics: Apple posted an eight-minute iPad tutorial on the Mac homepage. It also offered in-store
sampling of the iPad and held technology conferences such as the iOSDevCamp 2010
specifically for app developers (Zachary, 2010). On launch day the tallest man and woman in the
world stood outside the doors on Regent Street in London to promote a new Guinness Book of
World Records app (GWR Press, 2010, para. 1). This staged event also reinforced the unique
apps the iPad can support. Apple also imbedded a one billion app countdown on their homepage
and emphasized the compatibility between iPhone and iPad apps, evidence of the large consumer
base for apple developers.
2. Early Adopters
Message: The iPad is the cool new tool that everyone wants to use. The iPad was marketed as a
tablet that is more convenient, more powerful and more fun than ever before.
Strategy 1: To convince early adopters to pre-order the iPad through positive press coverage of
the iPad and Apple brand name.
Tactics: Apple limited the number of iPads available on launch day to increase consumer
demand in pre-order sales, announced key milestones in iPad sales via press releases on the
company website and also invited a reporter from TIME Magazine to test the iPad before the

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launch. In response, TIME Magazine wrote a feature story on the iPad before product launch,
increasing curiosity and excitement about the iPad.
Apples campaign strategy is unique because many early adopters are already loyal Apple
users and are willing to buy anything with the Apple brand name. Apple could have been more
successful in its campaign by specifically featuring some of the new apps available on the iPad
before they released the product to increase excitement about the product.

Strategy 2: To excite early adopters so they will add to hype of the iPad release through product
announcements and iPad advertisements.
Tactics: Apple fostered a cultural secrecy around their new product. Rumors flew as reporters
found slips of paper citing possible names for Apples new product and suggested possible
meeting locations for Apples product launch (Oliver, 2010, para. 2). Many of these were
probably planted by Apple itself. When it announced the launch of the iPad, it was the deepest
secret of the technology world coming to light. As a result, the iPad announcement generated a
lot of press coverage and curiosity among early adopters. Apple marketed the iPad as a brand
new technology with a chic new look. Dozens of iPad commercials hit YouTube and defined the
iPad as magical. Commercials promised a fun, interactive experience for users that was fresh,
simple and amazing.
Although Apple fostered an environment of secrecy surrounding the launch of the iPad,
Apple could have improved its relationship with the public. Some reporters became frustrated
with Apples public relations department because their emails went unanswered, therefore they
were unable to verify facts about the iPad.
3. Business Leaders

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Message: The iPad will transform the way that businesses operate. Apple marketed the iPad as a
tool with more capabilities, a device more portable and a technology more exciting than ever
before in an effort to promote the iPad as a business tool that every employee will use.
Strategy: To convince business leaders they must make iPads accessible to their employees by
choosing a strategic product launch date and through press coverage in business publications.
Tactics: Apple launched the iPad as the recession began to ebb in the United States. Businesses
were prepared to invest in new technologies, and the iPad was ready for businesses. Apple
featured an eight minute iPad tutorial on their website and invited a reporter from TIME
Magazine to test the iPad before the launch and a write a feature story about his experience.
Some critics complained they didnt understand why they needed to purchase the iPad.
Apple could have educated business leaders on the need for iPads in business offices more
effectively through product placement in ads visually showing how the iPad should function in a
business office.
4. Young to Middle-aged Mothers
Message: The iPad is a chic new luxury that is not only portable and convenient but also userfriendly, simple and fun to use. The iPad will help mothers multi-task and accomplish things
more efficiently.
Strategy: To convince young to middle-aged mothers to purchase an iPad through opinion
leaders and iPad commercials.
Tactics: The Apple YouTube channel featured 30-second video clips focused on the easy
accessibility to iPhoto, email and ebooks. The ebooks featured were often picture books,
something that would appeal to a mother. The iPad tagline in one commercial read, The iPad
isnt just one thing. Its thousands of things.

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Young to middle-aged mothers saw the Apple commercials on YouTube because many of
them are also bloggers, anxious to write reviews on new products. Apple did a good job in
targeting not only business leaders but mothers because their commercials focused on home
luxury features of the iPad. Apple also should have featured specific apps for mothers. By doing
so, mothers would have been more anxious to purchase the product.

Bibliography:
1.

Fry, S. (2010). The iPad Launch: Can Steve Jobs Do It Again? [Electronic version].
TIME Magazine, April 1 edition.

2.

Apple Press Release Library, Apple. (2010, June 22). Apple sells three million iPads in
80 days [press release]. Retrieved from http://www.apple.com/pr/library/

3.

Apple Press Release Library, Apple. (2010, April 5). apple sells over 300,000 iPads first
day [press release]. Retrieved from http://www.apple.com/pr/library/

4.

Apple Press Release Library, Apple. (2010, May 31). Apple sells two million iPads in
less than 60 days [press release]. Retrieved from http://www.apple.com/pr/library/

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5.

Elder-DeWitt, P. (2010). How many iPads will Apple sell? Fortune 500, 1. Retrieved
February 19, 2010, from http://tech.fortune.cnn.com/

6.

West, G. (2010). Lines form for iPads Saturday morning launch. NBC New York, 1.
Retrieved February 24, 2010, from http://www.nbcnewyork.com/

7.

GWR Press (2010). iPad launch: new world record set and tallest married couple join the
queue. Guinness Book of World Records blog, 1. Retrieved February 24, 2010 from
http://community.guinnessworldrecords.com/

8.

Oliver, D. (2010). Tight iPad supply has Apple turning down volume orders for
businesses. AppleInsider. Retrieved February 21, 2010 from http://appleinsider.com/

9.

Zachary, R. (2010, July 20th). Announcing iOSDevCamp 2010. iOSDevCamp.

10.

Elmer-DeWitt, Philip (2010). iPad week two: 240,000 pre-orders. CNNMoney, 1.

Retrieved from http://money.cnn.com


11.

Kiefaber, D. (2010). iPad adds fun to list of apple attributes [Electronic version].

Brandweek, 1. Retrieved February 19, 2011, from Business Source Premier database.
12.

Alpeyev, P and Eki, Y. (2010). iPad leads Apple to a new market: the elderly [Electronic

version]. Bloomberg Businessweek, 1. Retrieved February 19, 2011, from Business Source
Premier database.
13.

Sherman, E. (2010). Apple limits iPad quantities to boost consumer demand and sells

25,000 an hour. CBS Interactive Business Network. Retrieved February 19, 2011 from
http://www.bnet.com/blog/technology-business/
14.

Gopnik, B. (2010). The dirty secret of Apples design. Newsweek, Vol. 157, Issue 6.

Retrieved February 19, 2010, from Business Source Premier database.

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15.

OShea, D. (2010). The new paper. Entrepreneur Media Inc. Retrieved February 21,

2010, from Business Source Premier database.


16.

Apple. (2010) 30 second iPad feature commercials. Apple YouTube Channel. Retrieved

February 21, 2010 from http://www.youtube.com/user/Apple/

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