Apple’s product mix is mostly confined to consumer electronics and online services. As is the case with Amazon, however, Apple is expanding into other industries.
The current product mix consists of:
- Wearables, Home, and Accessories – such as Apple TV and Apple Watch.
- Digital Content.
- Payment Services, and
- Cloud Services.
Most of these products form part of the Apple ecosystem that supports the company’s competitive advantage and makes each product more attractive to consumers.
In other words, Apple products sync with each other so consumers can easily copy media and other preferences across multiple devices.
The company also designates a minimum advertised price (MAP) to prevent retailers from selling its products below a certain amount.
This protects profits and, to some extent, increases the brand’s prestige and the desirability.
Apple also utilizes price skimming.
Simplicity can also be seen in the way that Apple structures the ads themselves.
They tend to be “to the point” and do not contain irrelevant information while still making an emotional connection with the target audience.
The company also loves to mention its superior user experience, whether that be its immersive product ecosystem or the professional customer service and visual layout of an Apple store.
The company also markets its new products via traditional channels such as television, billboards, and print media.
Apple utilizes multiple avenues to reach customers and make its product more visible on the global stage. These include:
- Apple stores – these stores embody the Apple brand and are placed in strategic locations with high foot traffic. Stores are designed in such a way that consumers can freely interact with demo products and Apple support staff. There are now approximately 518 stores in 25 countries around the world.
- Online stores – for those who prefer to order their products online or do not have access to an Apple store nearby.
- Retailers – countless retail businesses are also authorized to sell Apple products and services. These include many consumer electronics retailers, telecommunications companies, and department stores.
- Authorized enterprise resellers – these entities provide procurement, deployment, app development, and other services that help enterprises incorporate Apple products within their organizations.