Apple Segmentation, Targeting, and Positioning

Introduction

The segmentation, targeting, and positioning strategies employed by Apple form the company's entire marketing initiative. The company understands the value of these strategies. Segmentation involves the subdivision of the population of the market based on their relative characteristic. Targeting is the process of identifying the specific market segment that offers the best opportunities for profit for the business. Positioning refers to serving the needs of that market segment.

Apple products are renowned all over the world. Their common characteristics include quality, superior design, trademark apple logo, and superior performance. The prices are also premium.

Let us learn how Apple has used its marketing strategies to become highly successful.

Market Segmentation of Apple

Customers have different needs and want. Therefore, market segmentation identifies the most attractive market and caters to its needs. Segmentation is important as it enables a company to reach out to its customer base.

Apple's marketing segmentation has been based largely on the behavioral and psychographic and behavioral elements. According to demographics, Apple focuses on the age, jobs, and lifestyles of its target population Apple then makes products based on these elements. For instance, there is an Apple PC that has more games. This one has been made to suit kids. On the other hand, there are the Apple PCs with the latest software and features. This one has been made by Apple to suit the professionals.

In terms of geographic variables, Apple has set up outlets in different areas of the world. There were more than 500 Apple retail outlets across 25 countries around the world. This ensures that Apple has a physical presence in many areas of the world. Besides this, Apple has set up online retail stores. Through these online retail stores, people directly purchase Apple products and services. Through this online and physical representation, Apple has expanded its market reach and brought in more loyal customers. The customer-based has expanded, making the company.

Apple focuses on targeting the market segment made of high-income people. These are the affluent people who are willing to pay more to get Apple's products. In return, they get to use the high-end Apple products that have advanced designs, capabilities, and multifunctional features.

Based on the behaviors of the market segment, Apple has built products and services to suit these needs. Apple acknowledges the responses given by reviewers and loyal customers. It updates this information and aligns its products with suiting them.

Targeting of Apple

The targeting strategies used by Apple are quite exemplary. The company has chosen the market segment that is most attractive to it. The entire process involved choosing the best segment that was identified during the segmentation process. This is the segment that Apple has focused on selling to.

Over time, Apple Company has marketed itself as a company offering premium products and services. The additional capabilities of these products command a high price in the market. This high price means that Apple targets affluent and middle-income customers. Apple has analyzed this market segment and done market research on their characters. Apple notes that the segment values performance, quality, and designs. This is why Apple designs its products and services as high quality and superior designs.

The targeting strategy has helped in promoting the company's brand to the market segment. This is why most affluent people love to purchase Apple products. The feeling is that the Apple products are made for their needs. Highly proactive targeting enables a company to be very successful. Apple keeps its market segment appeased by continuously updating its features and technical designs. This effective targeting has made Apple a premium brand offering expensive products to high-end customers.

Positioning of Apple

Through positioning itself, Apple has been able to align its services and premium products with the preferences and needs of a given market segment. The multinational company has tailored its products and marketing approach to solving the needs of those in that market segment. Generally, this means that Apple products appeal to that segment to a maximum extent.

This type of positioning used by Apple under Steve Jobs was primarily the mono-segment type. This is where Apple only focused on appealing to one market segment. However, this type of positioning changed when Tim Cook took over. Tim Cook applies the multi-segment type of positioning. In this, Apple has produced a wide variety of products and services to suit different needs. There are now high-end Apple models and lower-end older Apple models that the company still produces to cater to other market segments.

Apple has positioned itself as a company that offers exceptional experiences. This technique is meant to form an emotional connection with customers, given that the technology industry is very competitive. Competitors have to form an emotional connection. It increases customer loyalty and keeps them appeased.

Table

Apple segmentation, targeting and positioning is illustrated in table below.

Type of segmentation			Positioning
Geographic	Devices: iPhone, iPad, iPod and Mac	Services: Mac App Store, Apple Pay, iCloud, iTunes, and iTunes Stores	Excellent user experience, Brand image and identity, Emotional branding through innovative and creative imagination, and superior designs
Region	US and International	US and International
Density	Urban	Urban
Demographics	18-45	18-30
	Females and Males	Males and Females
	Bachelor, newly married couple, Full Nest 1 and 11	Bachelor, newly married couple, Full Nest 1 and 11
Income	High-end earners	High-end earners
Occupation	Professionals, manages and executives	Professionals, managers and executives
Behavioral
Degree of loyalty	Hardcore loyalist Switchers	Hardcore loyalists Switchers
Benefits people want	Self-expression, Speed of service Advanced features and tools, sense of achievement and belonging	Speed of service and efficiency
Personality	Determined and ambitious	Determined and ambitious
Psychographic
Lifestyle	Explorer, succeeded, resigned, aspirer	Aspirer, Explorer, Succeeded
Social class	Middle and upper classes	Middle and upper classes

Apple Segmentation, Targeting, and Positioning Mind Map

The entire marketing strategy of Apple is divided into market Segmentation, Targeting, and Positioning. The market segmentation aspect involves dividing the market into segments of customer needs. Every customer has their needs and preferences. Targeting involves identifying the most attractive segments and focusing on selling to this segment. In terms of targeting, Apple continuously introduces innovative products and features and unique technologies all the time. This targets the affluent people who love quality and efficiency and can afford expensive products. Apple positions itself as a premium brand offering premium products to high-income earners. This entire road map is the entire marketing strategy used by Apple. It has made the company to be a highly successful multinational company.

Key Takeaways

The analysis of the marketing, targeting and positioning of Apple shows some useful marketing strategies. These strategies have been highly effective. This shows that the ideas and principles can also be applied in a startup and give a high level of success. If you are a startup, dive into the report above and select the marketing elements that apply to your marketing situation.

This Apple Corporation's STP report shows all of Apple's segmentation, targeting and positioning, and Apple's marketing strategy. In this report, you can see how Apple applies its marketing strategy frameworks. Moreover, the report contains analyses of the marketing strategy used by Apple leaders such as Steve Jobs and Tom Cook. The report also comprises discussions of Apple's business strategy, organizational structure, initiatives, and organizational culture.

I would suggest that you download the full unedited report below.

Download more about the report

It is highly recommended that you seek the help of the software known as PDF Agile. The software is quite useful when designing your content or information in a PDF format. PDF Agile is a completely user-friendly and affordable option for all your PDF needs.