Friday, January 29, 2010

iPod to iPhone

Apple is using iPod Touch to build a loyal relationship with the underage teens now. The main reason is to recruit them into the iPhone market when they grow into gorgeous adults who are fit to hold the style icon, iPhone.




The best analogy is the Macdonald's Happy Meal whereby kids become so infatuated with Mcdonalds that they still continue to buy the main course even after they are 50 years old.

Such a simple analogy but I think it encapsulates what Apple is trying to do completely. I need to take a minute to drink this idea in myself too.

I mean it's so flagrant but many did see this lead at all.



So why did Apple shift their focus from iPhone back to iPod Touch back again?

1 simple reason : iPhone is actually a short term strategy to increase their market share.

The iPod is de facto the main product of Apple. It emanates from a user of theirs who make a reckless suggestion to Steve Jobs and then the iPod came into life holding up to more than 60% of Apple's revenue since then.

The idea that iPod touch users will soon get a iPhone when they grow old is so fanatical. Almost like a core story, a growing up cycle where you study in school when you are young and you go to work when you are old.




That story seems to be applicable to almost everyone but yet it becomes so alive and refreshing when applied to Apple.

Personally, I feel that for the transition, from the usage of the iPod touch to the purchasing of a iPhone, to be smooth and successful, Apple has to promote this idea rigorously and consistently. For example, you have to tell us when should we start to get an iPhone, many kids are afraid of the inability to handle such a complex tool like iPhone. Transitions are always tough even though they are cool.

Apple will have to lend the kids a helping hand, making sure they don't fall and be traumatised. If the transition fails, and the word-of-mouth gets out, more and more kids will be even more skeptical about the transition and they start to stay away from iPhone then on. Chet Holmes' idea of a core story will be super effective in this case.

Therefore, Apple has to add a lot of focus into this transition and not be overly-complacent just because it is an incandescent evolutionary stratey.

Credit -cnnmoney, -scomputing

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