Price and quality interactions
- In this way, price creates perception of quality.
- High price attract an image of quality
- This will allow Apple Ipod to increase its market share
Promotion
By promoting the Apple Ipod this will satisfy the needs of the customers and business. Consumers will gain better understanding of the product and how it can satisfy their needs, but on the other hand will help Apple Ipod increase their profits and market shares.
Advertising - Apple Ipod will spotlight on a successful advertising campaign comprising of magazine and television advertisements focusing on
- The target market (teenagers and young adults)
- How often they want the target market to be exposed to the advertisement
- When they want to reach their target market
- Most cost efficient methods to fulfil the above
By doing this Apple Ipod will add value to their product by altering consumer perceptions
Below-the-line promotions Apple Ipod will use a direct method to induce customers to purchase their product by offering any Ipod per customer for half the value price with every purchase of a new Apple Ipod. This will allow the business to directly measure the success of the campaign by observing the sales rate of the promotional tool.
Place
Distribution channels Apple Ipod will use indirect distribution where an intermediary organisation will be involved in the process. The intermediaries will provide functions such as:
- Fragmenting bulk supplies of inventory
- Give financial services to retailers
- Increase ease of customer purchase
This will assist Apple Ipod as they can concentrate on other areas of the business
Product
The Apple Ipod is very simple in design, with only the screen and navigation circle that separate it from simply a piece of plastic and metal. (And in later models not even the screen distinguishes as otherwise.) The product is very successful due to what is stated above and throughout this essay but also because:
-The simple design allows people not necessarily in the target audience to operate it.
-It’s very aesthetically pleasing, which will attract customers.
-Very powerful in it’s storage capacity when it comes to expensive models.
-Ergonomically designed (fits in your hand nicely and you can reach all the buttons)
-Small and compact to fit in your pocket.