Apple Company’s Marketing Strategy

Product and Price

Apple is a renowned organization, which is involved in the development of technological devices and offering services related to information technology. Apple offers a range of devices, which include mobile phones, computers, tablets, music gadgets, software products, and services to their customers. The company has invested heavily in technology research programs to enhance its competencies and capabilities in providing different products. Apple majors in the development of computer hardware devices, as well as software products (Katie, 2013).

Apple targets consumers from the middle and upper-income class because its products are expensive, but they guarantee quality. The company develops high-quality products that fetch very high prices in the markets; hence, they are only affordable to this niche market. The company also targets consumers with good taste in technology. The company always strives to attract the attention of consumers who observe the new trends in technology. Apple has also set out to target the youth through its music-related products and services (Katie, 2013).

The pricing strategy used by Apple depends on the quality of the product in question. The company offers high-quality devices, and it tries to place an affordable price of the product. The company has a unique pricing structure. Apple offers a very small number of its products to the market, and it ensures the prices are adjusted to target the high-end society. This structure means that the company aims at making high profits instead of harnessing a large market share (Nair, 2014). The company does not focus on increasing the number of loyal customers it possesses.


Apple has a strategic product distribution plan that entails the development of partnerships with other companies. The company has formed partnerships with giant retailers like Wal-Mart and AT&T in its quest to ensure its products are accessible to the consumers. Apple also has numerous retail stores that distribute its products to the customers. The company has also developed online distribution channels where customers from any part of the world can purchase their products (Katie, 2013).

Apple’s distribution mix involves three main channels. The first channel is its internal distribution channel, which involves its stores. Apple stores are available in every large city in the United States. The company has also ventured into the European market through the U.K. The company avails its products in its stores where clients can purchase them at retail. The second channel is developed through its retailing partners like Wal-Mart. The third distribution channel is an online platform, which is quite popular among the youth (Katie, 2013).

Apple concentrates on retail distribution because it offers higher profits to the company, but it also has wholesale distributors. Wholesale distributors are in charge of availing the products in other nations across the world where the company is yet to establish business entities. Its wholesale prices are slightly lower than the retail prices (Tabini, 2013). Apple ensures that it fetches high profits from both the retail and wholesale business processes. Its strategy focuses on ensuring the new products attract high demands to ensure the customers have limited bargaining power when the product is released.


Apple has developed a very strong brand in the global market. The high competitiveness of the company lies in its branding strategy. The company started out as a computer manufacturer, but it has expanded its products and services. The expansion process has also seen the evolution of its Apple brand, with the introduction of the iPhone, iPad, iPod, and MacBook mini-brands. The quality associated with the brands creates high demand for the products, and this forms the core of its marketing strategy. The company markets the quality and experience associated with its brand (Apple’s Branding Strategy, 2014).

Apple has an outstanding public relations strategy that works well for its marketing plan. The company ensures that it provides its clients with hints about its next big product. It engages the public in suggesting improvements for its previous products before conducting research to develop the required product. Just before the release of a new product, the company develops extreme excitement with the public, creating a halo effect that catalyzes high demand for a new product. The company never apologizes for its product’s weaknesses, but it always strives to deliver high-quality products (Katie, 2013).

Apple operates under some values that dictate close focus on what its customers need. Steve Jobs, the late CEO of the company, established an organizational culture that compels employees to focus on the technological needs of the people. This task includes the needs that the customers are aware of and those that they are yet to comprehend. The customer care desk at Apple is always ready to listen to customers, and the company has developed an interactive website. The website facilitates discussion forums for the support team and the clients (Moorman, 2012).

Competitive comparison

Apple faces stiff competition from three main companies. The first competitor is Samsung. Samsung has achieved tremendous growth in the smart-phone industry over the past several years, and it is a long-term threat to the performance of the iPhone. The competition between the two companies is oriented on the quality of their smart-phones and their respective prices. Apple is currently leading in the battle for quality, but Samsung is the leading producer of the affordable smart-phones (Katie, 2013).

Samsung has products suitable for the entire society, regardless of the income classes. The second competitor is Google. Google competes directly with Apple in the production of devices and the delivery of services to the society. Google is a particularly close rival to the iOS platform developed by Apple Inc. Microsoft is another close competitor in the hardware and software development business projects at Apple. Microsoft competes with Apple in the development of computers, phones, and other devices.

Apple Inc., Samsung’s, Google, and Microsoft have a similar marketing mix strategy. The four companies have developed business strategies that involve the production of goods and services for their customers, and they use similar tactics to market the products. Their marketing mix strategies are strengthened by their respective product portfolios and the prices placed on the products. The market mix strategies assumed by the companies involve the creation of awareness of their prices and the places where the products are available. They also promote their respective brands (Katie, 2013).


The Apple brand is the main strength of the company. The brand has evolved over the years, and it is associated with quality. Apple also has a committed workforce, which has built its core competencies and capabilities. The high price placed on its products is its main weakness. There are many consumers who cannot afford the products offered by the company, and they would raise the company’s profit margins if it provided affordable gadgets. The marketing strategy is effective for the attainment of the company’s goals, but it should shift its focus on harnessing larger market shares in the global market.


Apple’s Branding Strategy. (2014). Web.

Katie, J. (2013). Critical marketing audit: The Case of Apple Inc. Munich: GRIN Verlag.

Moorman, C. (2012). Why Apple is a Great Marketer. Web.

Nair, S. (2014). Apple’s premium pricing strategy and product differentiation. Web.

Tabini, M. (2013). How Apple sets its prices. Web.