OVERVIEW OF THE MARKET- SMARTPHONE INDUSTRY

4.55 BILLION MOBILE PHONES ARE THERE WORLDWIDE

Feature phone Smart phone

2.8 billion 1.75 billion
61.6% 38.4%

Mobile phone users worldwide(2012-2017)

 THE PRODUCT
IPHONE
Line of smartphones marketed and designed by APPLE INC.

Released on June 29, 2007(first generation iPhone) at Macworld 2007

convention.

The most recent iPhone model is the iPhone SE(March 21,2016).

Expensive and high end product

Main strategy : A phone should be absolutely simple, beautiful, and magical

to use.- Apple Inc.

Hardware and software designed to work with each other

 WORLD MARKET AND MARKET SHARE

The statistics depicts that in the first quarter,2013 17.1% of all smartphones
sold worldwide were an iPhone.

Since 2009, Apple has been the top 5 vendor of smartphones.

iPhone holds largest share of the smartphone market in US with 43.6%

market share, whereas Samsung had 27.6%, LG(9.4%), Motorola(4.8%).

iPhones market share has been within the range of 14% to 21% where the
sales increased from 170 million units in 2014 to 240 million iPhones in 2015.

With the decline of RIM and Nokia, Apple and Samsung(the market leaders)
had a major growth.
 INDIAN MARKET AND MARKET SHARE

In India, only 800,000 of the 30.7 million smartphones shipped to India was
accounted by Apple in the second quarter of 2016, Strategy Analytics reported.

Overall smartphone market share increased by 19% from 2015 to 2016.

Apple iOS will need to reduce iPhone pricing to cheaper levels, attract more
operator subsidies and enlarge its retail presence through Apple stores or
online channels if it wants to regrow significantly in the future - Tim Cook
 MARKET PLAYERS(COMPETITION)
COMPETITIVE PLAYERS OF APPLE(SMARTPHONE)

SAMSUN APPLE
SOURCE DATE HUAWEI OPPO VIVO XIAOMI OTHERS
G INC.

GARTNE
Q2 2016 22.3% 12.9% 8.9% 5.4% N/A 4.5% 46.0%
R

IDC Q2 2016 22.4% 11.8% 9.4% 6.6% 4.8% N/A 45.1%

 MARKETING STRATEGY FOR IPHONE
SEGMENTATION, TARGETING AND POSITIONING

SEGMENTATION & TARGETING

DEMOGRAPHIC: AGE(14-55) , STUDENTS AND BUSINESS

PROFESSIONALS ETC.

GEOGRAPHIC: RETAIL STORES LOCATED IN HIGHLY

POPULATED CITIES AROUND THE WORLD GLOBAL PRESENCE,
WITH ONLINE PRESENCE /OFFICIAL PRESENCE IN 88
COUNTRIES.

SOCIOECONOMIC: HIGH INCOME

PSYCHOGRAPHIC: BRAND LOYALS (PERSONALITY),ELITE

(LIFESTYLE), VALUES AND OPINIONS
 IPHONE CONSUMER
CATEGORY

BRAND
BRAND LOYALS
SWITCHERS

OTHER BRAND
NEW ENTRANTS
LOYALS
 MARKETING STRATEGY FOR IPHONE
POSITIONING

High Price

iPhone
Versatile
Samsung
premium
Windows
convenient
Low Quality High Quality

elite Micromax

LAVA

Low Price
 4 PS OF MARKETING
PRODUCT
3D Touch

12 MP camera

4K video

Retina display

PRICE
$650 - $950

expensive mobile phone

Prestige product
 PLACE
strong presence with its first party stores

offer opportunities to customers to test products

retail stores are large, open, well-lit areas with many helpful staff

PROMOTION

widespread launch PR, WWDC event

exclusivity technique & supports user testing at retail stores

Online media marketing

COMPETITORS
SUPPLY CHAIN
 SWOT ANALYSIS
STRENGTHS WEAKNESSES

IMAGE
INNOVATIVE
PRICE
EASE OF USE

QUALITY USER INTERFACE

OPPORTUNITIES THREATS
INCREASED COMPETITION
INCREASING DEMAND
DOWNWARD PRICING
UPGRADABLE PRESSURE

PARTNERSHIP DIFFICULTY IN PENETRATING

ASIAN MARKETS
REFERENCES
1. Global Market Share of apple iphone, URL: http://www.statista.com/statistics/216459/global-mark
2. Why Apple needs India, URL: http://fortune.com/2016/08/05/why-apple-needs-india/
3. www.wikipedia.com
4. www.apple.com/iPhone
5. www.forbes.com
6.www.marketing91.com
7. http://bgr.com/2016/06/02/apples-mobile-market-share-sees-big-drop-in-may-as-android-skyrock