Branding the iPhone
Apple’s iPhone has been at the center of the stage for the last couple of months. One of the most discussed aspects of the overall strategy around the device is the branding.
Some experts argue that Apple did an outstanding job with the branding factor. A recent article over Forbes, however, challenges that argument.
According to the article, a market research discovered that the majority of users care far more about the price and the actual performance of the mobile phone than about the fact that Apple is manufacturing it.
The question then becomes: “Could it be that great brands are the product of something other than branding?”
The authors suggest that “great brands are the result of compelling products and services. The exception–a few image-driven categories such as beer, liquor or fashion–only proves the rule.”
Do you agree?
Email Subscription
Not a fan of the question: “How important would each of the following be on your decision to purchase an iPhone?”
An interesting addition to Compete’s survey would be to see results of a conjoint analysis to understand the value each feature/element adds, including the Apple brand. Asking a person about each component of a product individually completely misses the fact that bundles of features, and benefits that come from them, are all put in perspective with price, branding, interoperability, etc.
Notably, the NY Times noted a survey saying 64% of cell phone users had brand recognition of the iPhone, and that 14% of that audience were “highly interested in buying an iPhone”. The fact that a new entrant can command brand recognition leadership pre-launch is pretty amazing stuff that has a ton to do with the brand, IMHO.
Cory, interesting.
I had seen the NY Times article as well.
“The fact that a new entrant can command brand recognition leadership pre-launch is pretty amazing”
I agree with this, but I think we will be able to check if this statement is really true (and if the research numbers are as well) once we get some initial sales figures.
Confession - Apple fan. ;)
Having some brand experience at market leaders, aided recognition over 50% is a nice mark to hit with only a small amount of advertising, and happens regularly when consumers think a brand “should” be in a category, but isn’t.
Agreed that proof is always in the execution and I’m not a fan of AT&T’s infrastructure v. Verizon’s from a technical performance standpoint.