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The future of Apple was in jeopardy after the death of Steve Jobs in 2011. The appointment of Tim Cook was seen as not a good omen for the company as he was hardly seen as a visionary like Jobs. But under Cook’s leadership, the company made it through a difficult period and actually prospered a lot. Take a look at the stats since Tim Cook has taken over the reins from Steve Jobs.
- Apple became the world’s first trillion-dollar company in November 2018, making it the most valuable corporation in the world.
- Its stock has nearly tripled and cash reserves more than quadrupled since 2010, to a record $267.2 billion—although it’s spending nearly $220 billion in stock buybacks and dividends.
- The company has made $84.3 billion in revenue in Q1 of 2019. In comparison, the figure for Facebook is $55.8 billion for the year 2018.
- Apple has sold 1.2 billion phones as of 2018. That’s over $1 trillion in revenue alone from iPhone excluding iPad and watches, among others.
- The best part, Apple sell its iPhones on a 30-40 percent profit margin with virtually all other manufacturers sell their products for razor-thin margins.
So, everything going smooth for Apple?
While Tim Cook was really optimistic in July when Apple announced the 3rd quarter’s results that ended on June 29, 2019, things aren’t totally in favor of the company.
Just 3 days after the launch of iPhone 11 along with other devices, Goldman Sachs cut its outlook for Apple by 26%. It is based on the way the company is going to offer free services of Apple TV+ for 1 year to customers who will buy any Apple TV, iPhone, iPad, iPod, and Mac.
Tough to give away freebies to customers, huh?
Even though the launch of the iPhone 11 Series along with Apple watches and iPod Touch, the company still has something up its sleeves like Macs and iPads which it will launch in October. So, what is it that we can really say that can attract customers and not just Apple’s loyal customers? Colorful iPhones are on offer this year, six to be precise.
Let’s discuss them briefly and if they can be a game-changer of sorts for the Cupertino-based technology giant. And are they going to be enough to protect Apple from the fierce competition in the form of Samsung and other Chinese brands?
Related Read: Meaning of Colors in Corporate Branding
iPhone 11 Series: Vivid Colors to Attract Potential Customers?
The six colors that are on offer this year by Apple are light lavender, yellow, teal, midnight green, warm gold, and two hues of gray. Not all of the colors are available for every phone launched that is iPhone 11, iPhone Pro and iPhone Pro Max. So, what colors can do to attract a person who has never used an iPhone before? To get the attention of millennials and Generation Z, vibrant and funky colors can do the trick.
Many people around the world treat smartphones and other gadgets as an accessory rather than a piece of technology. Apple has learned this from studying Huawei’s sales cycle in China where people keep their phones for a year and then trade them in. Now Apply is trying to do the same with vibrant colors as they think that it can make iPhones a fashion statement too along with a status symbol.
Brand Loyalty of iPhone
Top brass at Apple knows that the brand loyalty of Apple’s customers is very much intact. The growing sales figures and profit is a testament to this fact. Apple has a great focus on customer experience, and each customer touchpoint like the website and app store is taken care by the company. But for attracting new customer base, it has fostered a community of product evangelists who work for Apple.
They evangelists work in places like “The Plaza” an open area with 24/7 access and free Wi-Fi, seating and weekly concerts. “The Forum” is another area which is surrounded by a 6K video wall that attracts a young audience in hordes. Through focusing on these aspects, Apple is making certain that it can attract new customers who will use the above-mentioned two places regularly.
Related Read: Build a Strong Corporate Brand with these Amazing Hacks
Competition is Getting Tougher
Apple got the huge first-mover’s advantage by introducing a touchscreen smartphone at mass level, although at a premium price and people loved it. Majority of those loyal customers from 2007 are still with Apple with the XR variant launched in 2018 is the bestselling smartphone of the first 6 months this year with 26.9 million units sold, according to IHS Market. But Samsung leads the way with a 21.3% market share in Q2 of 2019 and Apple is not number 2 but on 3 now behind Huawei with just 10% market share.
The above stats clearly show that the times are changing, and competition is getting stiff. Not just vibrant and funky colors can save the market dominance of Apple as it is now facing a massive task of coming up with new technology and design. Competing with Chinese companies like Xiaomi and Oppo who are offering amazing specs for a competitive price, it can hurt Apple big time in the coming few years.
If you got a notion from the above discussion about some stats that Apple is going to crumble within a year or two, its not the case. Brand Apple won’t give in this easy as millions of loyal customers in the US and around the world still believe in it, love the products and make long queues to buy it.
In a nutshell, Apple is doing everything in its power to come up with a plan to sustain its brand image and continue selling products that consumers like and adore. With changing times, Apple is looking to follow the trends rather than maintain its signature moves. The use of multiple and vibrant colors, in the new iPhone 11 Series, is a move that indicates that it is looking to amp up the game.
If you can add something valuable to this blog or want to give your feedback, you are more than welcome. For any query in mind too, please use the comments section below.