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Industry : Advertising/PR/MR/Events Functional Area : Branding
Activity:  13 comments  290 views  last activity : 07 20 2010 07:41:49 +0000
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Conventional wisdom says that Apple’s success is the result of superlative marketingWrong, wrong, wrong!

Apple’s marketing has always been mediocre (at best), and at worst has been a complete disaster, dragging back products that otherwise might have been far more successful.

To illustrate this point, I’ve collected a list of Apple’s top 10 dumb marketing mistakes. 


Mistake #10: Overpricing the Macintosh


Apple marketing apparently believed that the added value of the Apple brand, and the superior usability of the product justified a higher price. But the truth is that as Windows became the de-facto standard, the Macintosh environment became a liability that would have required a LOWER price in order to compel people to continue to buy.

 

Mistake #9: Ignoring Computer Games

Apple never attracted game developers to the Macintosh, never launched a game machine, and has only sporadically promoted the iPod and iPhone as handheld gaming platforms.

Since the main strength of the IBM-compatible PC was in business applications, the home and consumer market was available for an alternative platform.  However, Apple’s appeal to the consumer market was vastly weakened by the fact that the Macintosh seldom had the latest and greatest games, which are THE killer applications for a home-based computer platform.

Mistake #8: The Missing Sustainability Report

    

You’d think that a company with Al Gore on its board, and with a reputation for having “green” products, would realize that reinforcing that image is a good idea.  However, Apple’s perceived secrecy around its environmental track record has raised the ire of environmentalists, attracting negative attention to Apple in an area that should be one of the company’s strengths.

Mistake #7: Allowing Macintosh Cloning

     The strategy was an obvious attempt to imitate the “success” of IBM’s strategy of an “open” PC platform.  However, Apple failed to notice that IBM was struggling in the PC market (and would eventually sell it off), and that, in any case, an “open platform” strategy — which worked (sort of) in a geometrically growing market — didn’t make any sense in a mature market where the platform battle was already lost.In addition, the fact that Apple royally screwed its erstwhile partners didn’t win the company any friends in the marketplace, and drove even more potential partners into the Microsoft camp.

Mistake #6: Continued Support of Apple TV


The product is a widely seen as an industry joke.  People don’t want to consume television in this way and there are numerous other platforms that do a much better job at both the delivery and the purchasing of the content.

 

Mistake #4: Treating Journalists Like Cockroaches

Apple is widely known among business journalists and industry analysts as an insanely difficult company to work with.  Their PR people seldom answer press inquiries and their executives treat journalists as unwanted pests.You end up with articles like What’s the bug up Apple’s @$$? and When did Apple become uncool?

And when you’re really stupid and have a business reporter arrested for reporting about your future product, you get TV coverage like the Jon Stewart video I’ve posted below.

 

Mistake #3: Pretending They’re the Underdog

    Apple’s market valuation and yearly revenue is currently about the same as Microsoft.  Eventually, even Apple fanboys will figure out that Apple is a corporate behemoth whose corporate headquarters resembles the movie set for an updated remake of 1984, replete with security cameras, secret codes, and all the accoutrement of a police state.


Mistake #2: Censoring the iPhone

Porn is one of the big drivers of traffic on the Internet.  If Apple is going to displace the current PC-based Internet environment, it will need to capture some of that traffic. 

Furthermore, the PC world of porn is having trouble monetizing content in a world where peer-to-peer sharing has become common, a problem that wouldn’t exist in the Apple environment.  Apple marketing is therefore throwing away a multi-billion dollar revenue stream.

 

Last but not the least.....


Mistake #1: The AT&T Exclusivity Agreement


Apple granted AT&T exclusive rights to the iPhone until 2012.The iPhone has been successful, sure, but think how much more successful it would be if it were supported by every carrier (or even more than just one carrier?  The delay in getting the iPhone on other carriers has created a marketing opening for other platforms, like Android, which otherwise wouldn’t never have had even the ghost of a chance.

 

So, whats your view on this...

 

 Top Comment : Badri N Srinivasan   | 07 20 2010 11:11:21 +0000
Thanks for sharing the information, Saurabh... Good Article. However, the surprising fact is that Apple is considered to be a big behemoth in the league of Microsoft and it recently overtook Microsoft as the richest technological company (even though this keeps changing frequently). Given this fact, when compared with other tech companies, what could be the single most important factor for Apple to sustain for so long despite all these mistakes..... Finally, given this state of affairs with Apple, it is not difficult to conjecture the state of affairs of a lot of other technological companies. It is a moot point how Apple will be managing for the future given the dependence on a single person - Steve Jobs....
 
13 comments on "Top 10 Dumb Mistakes even committed by marketing God like Apple "
  Commented by  aditya, general management, ma foi randstad    | 07 23 2010 17:38:21 +0000
everyone can and does mistakes. Apple is run by humans an not Gods! they have done mistakes, but possibly lesser than others or correct them faster. they might have done the innovation part much better than others. passion of steve jobs and team has been possibly intoxicating for his key people. thus, their productivity and innovation has been very high :)
  Commented by  NATTERAJA R. ARIKRISHNAN, Area Sales Manager, HPL INDIA LTD, CHENNAI    | 07 22 2010 12:40:17 +0000
Thanks for the information Mr.Saurabh Awasthi.
  Commented by  Ajay Stalin Ziz, Dy. Registrar,, University of Jammu    | 07 22 2010 10:58:41 +0000
apple 's competitors i believe ....are ambushing the ball game of apple board room !!
  Commented by  Kaushik Kumar Borah, Regional Sales Executive, Hughes Communications India Ltd    | 07 22 2010 08:47:10 +0000
Still Apple is considered one of a high valued brand and it has proved its prowess with the burgeoning sales of Iphone 4
  Commented by  manoj tandon, Vice President, Reliance Industries    | 07 22 2010 03:32:28 +0000
Brilliant... demonstrates importance of marketing strategies..
  Commented by  Ravi Chandra, Test Manager, Barclays Technology Centre India    | 07 21 2010 15:04:46 +0000
Saurabh...It's nice article and many of us or not even aware of these facts.
  Commented by  ravi vyas, sales and marketing, IFB Industries Ltd    | 07 21 2010 11:45:41 +0000
Nice one Saurabh. I only wonder if apple is doing it intensily or this is really mismanagement on their part. If the later is true, imagine where can they go if these are taken care of...Anyway it was plesure reading it..Thanks...
  Commented by  Hemant Shah, Freelancer, Freelancer    | 07 21 2010 06:54:56 +0000
Very interesting and informative article...
  Commented by  Santosh Kumar Mohanty, Civil Engineer-Municipal, Sambalpur University    | 07 20 2010 15:46:37 +0000
Thanks for beautiful information.
  Commented by  sandeep sheregar, Financial Planning, wealth management & Investment planning,    | 07 20 2010 13:25:13 +0000
Superb article. This will be a fantastic learning for marketing guys to make strategy for their companies. Kudos to you Saurabh.
  Commented by  Badri N Srinivasan, Head - Quality, Valtech India Systems Pvt. Ltd.    | 07 20 2010 11:11:21 +0000
Rating : +1 
Thanks for sharing the information, Saurabh...
Good Article. However, the surprising fact is that Apple is considered to be a big behemoth in the league of Microsoft and it recently overtook Microsoft as the richest technological company (even though this keeps changing frequently). Given this fact, when compared with other tech companies, what could be the single most important factor for Apple to sustain for so long despite all these mistakes.....
Finally, given this state of affairs with Apple, it is not difficult to conjecture the state of affairs of a lot of other technological companies. 
It is a moot point how Apple will be managing for the future given the dependence on a single person - Steve Jobs....
  Commented by  Wolfgang Shih, Chairman/President/VP, Columbus McKinnon (Hangzhou)    | 07 20 2010 10:49:32 +0000
It is quite analytical and most of it is probably true. Good posting!
  Commented by  Anita Sawant, M & A Advisor, SBI Caps    | 07 20 2010 09:17:30 +0000
Saurabh Good one...& really informative
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