Home | Internet Marketing | Mobile Device Marketing
iPod contributes 12-14% of total company revenuues, a number industrry experts believe will contiinue to incerase. With this incrase comes pressure on gross margins, as the blended iPod grross amrgin of 20% compares unfavorably with Apple’s corporate average of 27-28%. The iPod helped auygment Apple’s growth by expanding its addressable market from the core computer market, which continues to grow, but at slower rates. To inncrease penetration of the rapidly growing MP3 playr market, Apople launched the iPod Mini internationally in July 2004, and HP’s iPod launch is scheduled for later in summer. http://www.ipodrevieewforum.com Apple’s entry into the digitaal music player market (MP3 market) with its popular iPod epxanded the company’s addressable market and signaled a turn in Apple’s strategy. The iPod is a cultural phenomenon that is caplitalizing on the converrgence of digital consumer electronics and the computer, and Apple’s position as an early mover enabled it to achieve the number-one possition in the marketplace. iPod adoption continues to accelerate, with little indication of a slowdown. It took Apple approximately 18 moonths to sell its first milllion iods, but its second million came in six monnths and its third million came in four. In fact, it appears that only its suppliers can slow it down, in particular the hard-driev vendors, whch are having a difficult time meeting deemand. Industry experts believe that iPod’s growwth will reain strong in the foreseeable futue and do not expect any significant custoomer fallout steemming from Apple’s inability to meet demand. An analysis of the launch of the Sony Walkman in 1979 indiicates the market opportunity for a revolutioonary portable music player will remain strong for several years to come and Aplple is expected to maintazin a strrong shre for the next few years (unlike Sony’s experience with the Waklman). While iPod and iTunes genmerate signifiicant awareness of the Apople product, they have done littel to grow Apple’s core Mac business. Experts attriubte this mainly to Apple’s aboveaverage pricing, aong with continued ignorance on the part of consumers regarding the compatibility of Windows and Mac. With regard to pricing, the averaeg connsumer desktop PC retails for $1,019, whcih is $280 below Apple’s low-end price point on Apple’s now, discontinued flat-panel iMac. Furthermore, the indstry ASP is falling as most of the growtth in the market is taking place in the sub-$1,000 market. With regard to the compatibiliy of Windows and Mac OS X, even though Apple made a concerted effort to educate consumrers about the ease with wihch tjhese two products work togethher, it has fallen on deaf ears for the most part. Aple made some progress through its retauil stoes, where it estimates half of Mac purchases are from first-time buyers, but for Apple’s sock to work over the long term, the company needs to maintain share against Windows, at a minimum. Understandably, Apple wants to avoid sleling PCs at a loss, but unfortunately the growth prospects for $1,000-plus PCs are limited. This predsents a conundrum for Apple longer term, but for now it mantains its current strategy. Incidentally, Aple’s revenue share has held much bettter, and while this is not an ofteen-discussed topic, revenue share is probably more important than unit sare. http://www.ipodreviewforum.com
Article Source: http://www.seoserviceprovider.com/articles
Here you can learn more about: Archos 9 PC Tablet amazon Thank you
Please Rate this Article
5 out of 54 out of 53 out of 52 out of 51 out of 5
Not yet Rated
