Pricing strategy

SEGMENTATION, TARGETING AND POSITIONING OF APPLE   

 

Apple valued at over $2 trillion in 2021, it is also the most valuable technology company in the world. (Curry, D) as well as being the most valuable technology company they are also the most popular company, below is my analysis of how apple has effectively used STP to effectively market its historical products.  

Segmentation  

Market segmentation is a marketing term that refers to aggregating prospective buyers into groups or segments with common needs and who respond similarly to a marketing action (Tarver, E), in order to be able to understand your customers better modern incorporations may look to segment the market by using demographic segmentation, psychographic segmentation, behavioural segmentation and geographical segmentation. Apple mainly uses demographic segmentation to find their target market and has been doing this since its original establishment in 1976.

Targeting

 

Apple focuses on customers who are looking for innovative, high-quality goods that are simple to use and seamlessly fit into their lifestyles. They aim to attract customers who are prepared to spend more for the Apple name and the status that comes with it. They also target businesspeople and artists who use cutting-edge technology for their jobs or creative endeavours. we can see in image 1 a detailed view of Apple's target audience and how apple understands that all of these categories hold value to the organisational goals even if each field is more or less important than the other, specifically because their target audience for earnings is high so that means it wouldn't be a good idea to target people in their early 20s or even their teens.

Particulars	Apple Target Audience
Areas	Urban
Gender	All
Age	20-45
Life phase	Bachelors to Married both
Earnings	High
Jobs	Working professionals, managers & executive level workers

(Image 1, Simplilearn, 2022)

Positioning

In the technology industry, Apple is positioned as a premium brand. Their items, like iPhones, iPads, and Mac computers, are renowned for their svelte designs, excellent performance, and cutting-edge features. Their focus on user experience and design also make them stand out from rival companies. Although Apple's prices are typically higher than those of competing brands, this is a result of their premium positioning. Apple's strong market position is also a result of its strong brand reputation and devoted customer base. Seen below in image 2 about the comparison of apple and its competitors we can see that apple has led the lead in revenue for 12 out of the 14 qualifying years, and this has helped its positioning in the technology industry. 

(Image 2, Statista, 2022)

Reference list. 

Tarver, E. (2022). Market Segmentation: Definition, Example, Types, Benefits. [online] Investopedia. Available at:        https://www.investopedia.com/terms/m/marketsegmentation.asp [Accessed 23 Jan 2023].

Curry, D. (2022). Apple statistics (2021). [online] Business of Apps. Available at: https://www.businessofapps.com/data/apple-statistics/ [Accessed 23 Jan. 2023]. 

Simplilearn (2022). A Case Study on Apple Marketing Strategy | Simplilearn. [online] Simplilearn.com. Available at: https://www.simplilearn.com/tutorials/marketing-case-studies-tutorial/apple-marketing-strategy#:~:text=Apple%20Target%20Audience [Accessed 25 Jan. 2023]. 

Statista (2018). Google revenue comparison Apple Microsoft 2018 | Statista. [online] Statista. Available at: https://www.statista.com/statistics/234529/comparison-of-apple-and-google-revenues/ [Accessed 25 Jan. 2023].