Introduction --

The Apple which is the name for loyalty it was launched as a unique product in the market.

Not since the introduction of the original Apple Macintosh has a product introduction been met

with so much anticipation. The Apple iPhone is an elegantly designed information communicator

forged from steel and silicon that runs pioneering software under Apple’s OS X in a Unix

Kernel. The iPhone combines smart phone capabilities with a simple to use graphical interface

projected on a large ‘multi-touch’ display. Apple has managed to create a Macintosh computer

with mobile phone capabilities, bundled within an Internet enabled PDA and an iPod body.

They launched Internet connected multimedia smart phone. With the new features as ever

before.

The features are: The other features like

1. Multi touches display screen. 1. Multimedia

2. GPS. 2. E-Mail

3. High speed Connectivity 3G. 3. Internet Connectivity

4. Clarity. 4. Camera

5. Uniqueness.

APPLE was launched their Iphone in India on Aug 22 2008 in some selective metro cities only.

Tie up with the Vodafone and Airtel, to penetrate into the market.

Because of huge price variation it is facing the problem to fix in the market.

Market segmentation :

It is the identification of portions of the market that are different from one another. Segmentation

allows the firm to better satisfy the needs of its potential customers.

Demographic segmentation –

In demographic segmentation, we divide the market into groups on the basis of variables such as

age, gender, etc; these demographic variables are so popular with marketers so that they are often

associated with the consumer’s needs and wants. And they are easily measurable.

Here are the demographic variables have been used to segment markets.

Age -- The companies target audience is the youth and the professionals who want be online

24*7.

AGE

<15 years 0%

15 - 20 years 5%

21 - 30 years 55%

31 - 40 years 45%

> 40 years 5%

<15 years

15 - 20 years

21 - 30 years

31 - 40 years

> 40 years

0%10%20%30%40%50%60%

AGE

AGE

Gender -- they targeted both genders(according to survey 70% of “I phone” users are male).

Gender

Male 70%

Female 30%

Male Female0%

20%

40%

60%

80%

Gender

Gender

Income -- they targeted the upper middle and high level peoples.

Income

Low 0%

lower medium 5%

Medium 15%

upper medium 35%

High 45%

Low

lower medium

medium

upper medium

high

0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 50%

Income

Income

Occupation -- self employed (superior level peoples), supervisory levels, officers junior

executives, middle and senior executives these peoples can afford an iphone.

Education – non graduate, graduate, post graduate(general or professionals) can understand the

iphone setup and easily use it.

They have tie up with the Vodafone and Airtel, to penetrate into the Indian market.

Geographic segmentation

In Geographic segmentation calls for the different geographical units such as states, regions,

cities and the south Asia is a one of the major geographic segmentation variables relevant for

marketers.

Here markets are mainly divided into the rural and urban areas.

The Geographical variables have been used to segment markets.

Area -- urban

City – class-A cities only i.e. metro politician cities

Region -- 4 regions

South india : Bengaluru, Chennai,

North india: Delhi

West india: Mumbai

East india: calcatta.

Socioeconomic classification

The people belongs to the high job profile with efficient communication knowledge can use it

The purchase potential of this product is limited up to the A1, A2 and B1, B2.

Refer to the page number for socio economic graph.

Psychographic segmentation --

It is the science using psychology to better understand the consumers, and what extra we can do

for them. In Psychographic segmentation, buyers are divided into lifestyle, personality or values.

Lifestyle – Business class, style, outdoor oriented.

Those who want to spend money on brand not on the quality.

Personality: Gregarious, Ambitious, Authoritian, Open to experience new things.

For the people who likes the new products.

Occasions – special, regular.

Benefits – Quality, speed.

It has better speed than any other cell in its range.

User status: potential user, regular user.

Usage rate – medium

This product is for who don’t use their cell heavily.

Loyalty status: strong, absolute.

Some of the customers as stick to one brand, who expects lot from that brand.

Readiness stage: Informed, Interested, Desirous, Intending to buy

Attitude toward product: enthusiastic, positive, indifferent, hostile. It’s purely depending on

individual perception regarding that particular brand.

Strengths Weaknesses

Opportunities Threats

Style/Brand Sensors

User freindlyFirst mover

High price / high end

Limited distribution channels

Missing featuresUnsafe for

corporate use?

Port existing apps

Migrate people to Apple

New social device

Distribute iTunes content

Similar devices

Highly developed market

Life cycle stage -- It is in the introductory state and the apple company is not getting so much

market as it is excepted, because of the market bull nokia and it is not have any of the factory

outlet from where consumer can buy iphone directly and because of their price variation

customer are hesitating to buy iphone.

SWOT ANALYSIS

The main problem of which is reducing the growth of iphone is 3G network which not yet

established in India. And their going to upgrade their old model that is

Iphone: This was without 3G technology. But they do not launched in india

Iphone 3G is launched in the Indian market because of huge competition and varying price it

will get better position in market.

To overcome all these criteria Apple decided to launch a new model Iphone 3GS in that they

tried to add advanced features that attract customers in large amount.

Apple iphone is good and a unique experience but with many drawbacks, such as:

1) Messages cannot be forwarded and are grouped according to sender

2) Bluetooth is only for Headphone and there is no way of connectivity other than a cable

connectivity with PC or other Phones

3) Calls cannot be picked directly till u slide the key. Not even on Headphone. This means if u

are driving, its difficult to pick up a call

4) U cannot set any other ringtones, other than itunes set by apple. nor u can download ringtones

from Apple site, if ur phone is unlocked, as this becomes illegal

5) U cannot upgrade ur phone through Apple website (if it is a unlocked/unbilled phone) as apple

may lock it again if u connect to there website

6) Settings wizard is very confusing

7) Difficult to get accessories in India

8) Very Expensive phone with huge price difference (US price Approx. INR 18000/- while it is

sold at INR 35000/- in India ) and very less resale value

9) Time to get licensed unlock phone. Apple plans to lauch the same on 24th March 2008 in

India

CONCLUSION:

The APPLE IPHONE has failed to establish its market in india. Customer in India pays $200.00

more than US customer over the period of 2 years. Plus Indian customer will lack 3G, unlimited

data plan and more localized application. These can attributed to lack of data usage and low

volume of customers. Cost may come down in India if more people use data plans this again

takes couple of years.

Apple may be a great product; I don't deny that by any means. But Apple IPhone has two things

going against it at this moment in India particularly.

1. It has some notable features missing in itself which makes me least interested to buy it with a

price which can bring me the best of mobile phones from other manufacturers.

2. India isn't even ready to put some of Apple iPhone's advanced features into effect such as 3G,

GPS navigation and etc discussed above and that is not Apple's mistake by any means.

So, taking all these into account, and once-so-excited soul about Apple iPhone heaves a sigh and

signs off.