Apple marketing audit and new service product plan

Term Paper 2011 13 Pages

Business economics - Marketing, Corporate Communication, CRM, Market Research, Social Media


Table of Contents


Executive Summary

Marketing Audi
PESTLE Analysis
SWOT Analysis of Apple
Porter’s Competitive Forces Analysis

New Service and Product Suggestion

Communication Plan for Web Based Phones/MacBook
Promotional Mix
Sales promotion
Public Relations
Exchange Offers

Evaluation of the communication plan

Recommendations & Conclusion



Apple Inc. is an American multinational corporation headquartered at Cupertino in California. This place is responsible for designing, developing and sells technological products which include phones, pcs and applications. Its best-known hardware products: Mac PCs, iPods, iPhones, iPads and Apple TVs. Its customer application includes the OS X and iOS operating-system, iTunes, safari web browser, and the iLife and iWork creativity and productivity packages.

Apple was established by Steve Jobs, Steve Wozniak, and Ronald Whyne on Apr 1, 1976 to develop and sell pcs. It was incorporated as Apple computers Inc. on Jan 3, 1977, and was relabelled as Apple Inc. on Jan 9, 2007 to reflect its shifted focus towards technology. (Apple, n.d.)

Apple is the second-largest technology organization by revenue after Samsung Electronic devices, and the third-largest cell phone maker after Samsung and Htc. Fortune magazine named Apple the most popular organization in the United States in 2008, and in the world from 2008 to 2012.On Sept 30, 2013, Apple organization exceeded Coca-Cola to become the most valuable brand in the Omnicom Group's "Best Global Brands" report. The organization has also received the critique for its contractors' labour methods and also for Apple's own environmental and business methods. (Apple, n.d.)

Apple is known for its creative genius and cutting edge work in the field of technology. Apple provides state of the art products which makes it very difficult for its customers to switch over other brands. Highly personalized and smooth functioning products. Since last decade, Apple has launched revolutionary products which have changed the way technology industry functions. Apple has revolutionized smartphone market with iPhone, music players market with different versions of iPods, amazing Mac series and iTunes.

Executive Summary

This report has taken Apple as the company, for which the market audit has to be done. In the marketing audit, the major analysis like the PESTLE analysis, the SWOT Analysis, the STP analysis, the Porters Five Forces Analysis is done.

With the help of these analyses, we get to know the overview of Apple and understand its position with respect to its competitors. It also helps us to understand the reason behind the competitive edge and the reason why Apple enjoys a premium price. With the Porters Model, we were able to determine the forces that act on Apple from different vendors, suppliers, markets, customer, etc. and how does Apple sustain them.

After the marketing Audit, we have suggested a service enhancement of an existing service that is the cloud based mobiles and laptops. This would be a service initially, but later even the hardware related to it needs to be introduced and they would go hand in hand.

The communication plan is also prepared which covers the advertisements done online, on print, on television, etc. Along with advertisement other activities such as public relation management, sales promotion, direct selling and personal selling complete the communication plan.

With the communication plan, we set certain milestones and evaluation is done on the basis of testing the status of the current milestone and its planned duration and then comparing the difference.

Lastly the report is summarized by certain recommendations based on the analysis of the marketing audit conducted.

Marketing Audit

The Marketing audit is done by understanding the marketing activities of the company by means of research on its internal and external environment. The audit also includes studying in detail

PESTLE Analysis

The PESTLE Analysis is the environment understanding analysis which covers the effect of each factor on the organization (Fadaei, 2013)

Political Factors: Apple Inc being a U.S. based company, but many of its parts are imported from different countries including Korea, China, Ireland etc. Hence, the political factors affect Apple drastically. Any changes into any government affect the imports and the exports and directly or indirectly the part procurement of Apple gets affected. Also, government regulations on taxes can also affect a company, for instance recently the UK government imposed a VAT of 20% on electronics and this resulted in the decline of electronic sales and the company was affected.

Economical Factors: Since Apple is a premium product, so the no of pieces of Apple phones or laptops or ipads, etc is directly proportional to the economic situation in the country. If the economy is good, people would buy more and more such types of high class electronics and if economy is bad, people would avoid such types of luxurious products. Hence, as the recession is coming to end (according to the current scenario), people will have their savings left after shopping in for their necessities and thus resulting into purchase of premium products like Apple

Social Factors: The social/cultural factors

Technical Factors: Apple is very developed technically and moves as per the technical trends in the development of latest technology. Apple uses state of the art technology to produce the technical products. They even update their software to match their hardware from time to time

Environmental Factors: Apple ensures that all its waste products are recycled properly and used to whatever extent they can be used. They ensure the wastes those cannot be recycled at all are disposed with precautions and in such a way that the environment is not affected.

Legal Factors:

Legal factors in conjunction with the functions of a company represents factors of government regulation and guidelines that affect or rather control the organization in a country. The most basic aspect of government regulations includes factors of taxes and issuance of company documentation. Lawful actions applied by a government are meant to put constraints on all company activities being carried out in a specific place. As an example, the UK government removed the legal limitations that restricted the organizations from having mergers amongst themselves. Especially intellectual property attracts the most legal influence for Apple. Apple makes sure that they keep all the patents intact and keeps fighting for patents to fight the competition.



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King`s College London




Title: Apple marketing audit and new service product plan