date /
Thursday 13 December 2007

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Apple’s much hyped iPhone

More than 1.4 million iPhones have been delivered to customers across North America since it was released earlier this year. Telephone operators across the world have had to fight each other so they can be the sole network to operate the iPhone in their territories (it looks as though Telstra has won the battle in Australia).

The mobile phone market is very competitive. There are many products for consumers to choose from, ranging from cheap (you can just about call and SMS someone) to the latest next-generation phones (which are able to receive television transmissions). There are products in the market which beat the iPhone in most areas, with the exception of its simplicity, creative design and ease of use. For example, the Nokia N95 is available with a 5- mega pixel camera, whereas the iPhone has a 2 – mega pixel camera. The iPhone also uses a slower data download connection than some competitors.

So why is it that this product is so popular and sought - after? Two words: “Marketing” and “Design”.The iPod is instantly recognisable as a fashion accessory because of the “funky” design and the bright, modern adverts that were used to promote the original product. The iPhone uses the same principle. In my opinion, if Apple changed the buttons and layout of a standard toaster and added an “ị” at the front so it became iToaster, it would sell in millions. The letter ị now coveys the idea of style and quality.

According to mobile market researcher M:Metrics, around 10% of regular mobile phone users try to access the Internet from their phones, however 90% of iPhone users use this service. Basically this shows that users are vain and more likely to use these extra features so they can show off their latest gadget at any time and to anyone who is willing to watch. But when they have paid that much, can you blame them? This is also a bonus for the service providers, who will get extra revenue from the data being sent to and from the mobile via the Internet.

By no means is the iPhone a guaranteed success in Australia. It maybe that consumers perceive it to be too much of a “me-too” product, or (more significantly) they are tied to a 12/ 18 month contract, meaning they cannot change their phone or contract. There is also the view that people do not want to pay a premium to have a “gizmo”. However, these disadvantages would have been similar markets where the iPhone is now a hit success.

The thing to remember here is that when you are compiling you marketing strategy, whatever you do– Make it stand out and make it something people are going to look or hear and say, “WOW, I must have this now”.

discussion

  • date /
    Saturday 16 February 2008

    author /
    David Murphey

    When is the iPhone actually comming to Australia? Might as well buy one from amazon.com and unlock it because Apple is taking their sweet time.

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