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The Innovation FROM THE Ipod Innovation Project Marketing Essay


This report unveils the creative and impressive aspects of the iPod. It will say where it originates from, what has influenced it, and where any potential dangers or opportunities lay down with all iPod related subject. The development and upgrading of technology will be looked at and how the timing of the discharge of the ipod device may have had a massive influence on its success. The record will also be noting on the key competencies, marketing and strategies of Apple when it comes to any vital matters that may move iPod up to the next level. All aspects that donate to its successful or not successful innovation will be talked about and what an prevent it along the way.


Innovation is the successful execution of creativity and relies on creative and alternate thinking. Without creativeness there cannot be advancement and without execution, creativity cannot become more than simply a thought. In simple words, creativity cannot can be found without imagination. (Appleyard, M. 2009) An technology is when you take action in a fresh way. To start with, an innovation is valuable only to the architect except it is presented to the general public, however niche the market may be. In the event the creation improves a product for the general public, then that mechanism becomes an innovation or an 'progressive product'. An creativity can come in all sizes whether it's colossal or minute. Pristine or simply a little diverse, no matter. An innovation can be very complex or outwardly uncomplicated. Innovations are frequently considered in conditions of technological attainment, however they may be something unphysical such as a design. The type, industry and chic of technology are next to the point.

One of, if the best most successful development of our technology is the Apple IPod. It was launched on the 23rd October 2001 and as of 9th September 2009 more than 220'000'000 IPod's have been sold worldwide. It presently contains the record for the best-selling digital audio player series ever sold. It has managed over 70% of the market for all sorts of players since October 2004. In 'AdWeek' and many other mags and polls and has been known as product of the ten years.

The iPod and its own history

Apple had in place recognized an opening inside the digital music market. That they had acknowledged that there is a drop in sales of digital music players because of the goods currently on the marketplace being inadequate. Apple will have presumed that the then current crop of music players were inadequate thus prompting them into planning the phenomenon this is the iPod. Because of the success of the Songs Walkman, Apple decided they wished to enter the music player market. Which means company extended from the primary product of personal computers and software produce into many areas including personal music/marketing players (iPod). The creator of Apples iTunes was Steve Jobs, an in-house software inventor. Apple released the first iPod into the market on 23rd of Oct 2001. It proved hugely successful due to the software created by Steve Careers which allows users to download music straight from the internet to the device a first at the time of launch. Today, over 40% of the gains Apple makes result from iPod sales. ITunes was completely invented from "scrape" (new technology emerges) by Apple that was a push to create IPods. Apple recognised the change in market sentiment and behaviour, were other players persist in choice explanations (cd, little disk, etc). Apples Ipod device was a platform development created by Sony (The Walkman).

The first iPods were produced with an unambiguous composition and a straightforwardness which proved to get its advantages against their opponents and became their primary competencies. Nowadays, however, the hardware battle is continuing to grow to be much stronger, mostly within the "mini" sector which is growing at a rapid pace. Because the IPod was debuted, not one of the changes we've seen have been radical, we have just seen many refinements, these including:- slicker designs, shade screens, camera's, less form factors, up to date applications, and marginally altered interfaces. The 'simpleness' of the ipod device is another competence. Anybody no subject how technologically advanced they may be would be able to use one.

The ITunes is most likely one of the reasons the IPod has been such popular. It allows customers to acquire music and other content on the internet in a downloadable form which is legal. It had been the first innovative program that was made specifically for just the one very good music player, making the Ipod touch the only compatible player to download onto.

The advertising campaign behind the IPod was another reason why it has been so successful. MP3 player technology had recently been created, however apple needed the next phase with producing huge storage area and a new slick design. They can be constantly looking at and finding ways to boost their product so they are always ahead of competition by redesigning and building themselves as the one MP3 to buy. They charm to a mass audience of most age ranges, thus breaking into all sections of the marketplace. Apple has made sure the Ipod touch is a household name, and because of this it is difficult to find a teen without one. Continual sales numbers confirm iPod's success at market development as all their sales numbers are streets before any rival.

The worldwide success of the IPod would suggest that they have a very effective strategy in place. Apple's COO Tim Cook described Apple's iPod strategy at a Goldman Sachs meeting: 'Sell less, make more. Worldwide iPod product shipments were up 5 percent December-to-December - relatively low progress, thanks to slumping sales of Apple's cheap Shuffle. But iPod earnings still grew 17 percent'. "Shuffle taken the systems down, the iPod Touch pulled the income up. Honestly, it was a lot more important for us to truly have a great start on Touch and also to set up that product. . . than it was on products, " he said. (http://valleywag. gawker. com).

If you were to ask Apple what the reason behind travelling the iPod's success was, the corporation may show off its integration. Undeniably, manufacturing a product with the advantage of company integration habitually makes you lose the first-mover benefit. Apple's integration has seen colossal profit for the ipod device which has happened at a stage whilst digital music has been mystifying and uncomfortable for most listeners and the business is probably going to continuously uphold an improved business lead here than it could in either hardware or software by itself.

SWOT Analysis

Many strengths and weaknesses from inside an company can determine the outcome of whether a product is to be successful or not. Below are a few talents and weaknesses of Apple and the Ipod touch.


Apple can be an extremely strong company. Sales of its iPod very good music player are increasing all around the globe. The positive brand conception in addition has lead to a sales upsurge in other goods such as the Apple Macintosh computer. Thus the ipod device is giving the business access to a more substantial number of areas that are buying into the the areas of Apple's brand. Sales of other products like the 'Notebook' are also growing, and are also assisting to increase Apple's revenue.

An founded brand image is vital. Apple is up there to be one of the very most accepted and triumphant IT brands on the globe, and has an extremely loyal set of thriving duplicate customers that advocate the brand. Such great levels of customer loyalty means that as well as constantly recruiting clients Apple will also retain their current ones i. e. they will use Apple's products and services once again, and Apple will be able to stretch their new or modified products to them, including the iPod.


It has been said that the Apple ipod touch Nano might enclose a flawed display. The company has commented that "a batch of its product has displays that rest under impact, and the business is changing all faulty items. " (http://marketingteacher. com) Along with the condition with the monitors there is also a reported problem with their batteries, whereby Apple shown clients with complimentary battery cases.

The subject matter of music download has been huge lately. Businesses are entering liquidation and rings in the music industry feel something must be achieved as people aren't buying their CD's anymore, instead choosing to download them from the web. Apple is facing pressure from the industry to improve the price of its music downloads. Apple has sold about 22 million iPod digital music players and much more than 500 million melodies though its iTunes music store. It accounts for 82% of all lawfully downloaded music in america. The company is resolute, but if it gives in to the music producers, it can be perceived as a commercial weakness. ( http://marketingteacher. com)

As well as influences from within a business there are also external factors that have an effect on the goings on, these include opportunities and risks. Here are a few.


Apple have chance to broaden their iTunes and very good music player technology into a cellular phone format. Cell phones are now being made with coloring screens, personal stereo speakers and sophisticated camera systems. A new adaptation of Apple's iTunes has been created for mobile phones so the user can handle the tracks they lay through to it. Innovative technology and tactical alliances propose opportunities for Apple to be a much greater force.


One of the perfect problems to technology centered businesses such as Apple is the soaring level of rivalry of their market. If you are a success you are automatically going to catch the attention of competition as others will want to take a slice of your profit and become successful themselves. Therefore Apple must work very strongly on research, development, marketing and advertising to maintain their competitive location and benefit. The acceptance of iPod and Apple Mac are at the mercy of demand, and will be influenced if economies begin to falter and demand falls for his or her products.

Within Apple's market there is a lofty product substitution result. At this current moment ipod device will be the rulers, however it wasn't long since CD's and Vinyl's were. Apple must have the ability to adapt to change. (http://marketingteacher. com)

PEST Analysis

Other exterior factors also have a massive effect about how well a product does.

Political Factors

Apple's are an internationally business therefore many politics factors ill effect them. War, terrorism, geopolitical uncertainties, public medical issues may affect the company's business greatly. Each one of these events are way beyond the company's ability to regulate therefore adaptation is crucial.

Apple has outsourced its applications, items manufacturing, shipping and logistics management to varied intermediary manufactures to lower their overheads. Various manufacturers sit outside of America. The merchandise development in these countries may get interrupted by political proceedings. If this is to occur Apple would be unable to deliver its products promptly to its customer and could potentially lose money. This would harm the image of the business to both consumers and stores.

Economic Factors

By large the global overall economy is bad at this present time. With consumers facing unemployed in the facial skin, they are likely to spend less in purchasing luxuries goods, such as buying a fresh IPod. That is probably to have a damning effect on Apples sales.

The exchange rate between the British isles pound and the American dollars has dropped harshly due to the credit crunch, consequently they may be more expensive than before which would lead to consumers hesitating in buying new IPod's.

Social Factors

Environmental care is becoming more of an issue around the globe with all companies trying to keep an eye on their carbon foot print. A range of policies and laws and regulations including health and security etc, may adversely affect the company's economic status and operating results by entailing a secure discarding or recycling system of Apple's commodities. Specific Apple goods is facing health issues scheduled to a design hitch. Data suggests that the incorrect use of the ipod touch may possibly result in a hearing impediment for its users.

Technology Factors

The market for lightweight music players has many different rivals and is also also subject to swift technological modification. The petite product life, threat of new innovative items and the prolonged augmentation in product presentation, performance and image demand Apple to constantly invest in research and development in order to stay above the other market market leaders. Apple's management of the complete construction steps of the ipod device is a comprehensible gain they may have over their rivals. (http://www. associatedcontent. com)


The iPod has probably been the most successful new product of all time, with its sales levels since it premiered continually rising, and it has now gained market show of just over 60%. This triumph can be licensed to lots of contributing causes reviewed above and summarised below.

Apple had identified an opening in an emergent market plus they have exploited it successfully by inventing a fresh products and notion that is appreciated by consumers. The new innovative notion of the ipod device was swiftly inserted into the market, and all of Apples competitors were not able to match its exceptional design and functionality. New product's have to be: exclusive, advanced and differentiated and the clients need to be able to acknowledge that it's good value for what they are really paying for. Every aspect of this conditions is indeed met by the iPod. Apple have a team constantly trying to find ways in which they are able to make the ipod touch development increase even way more with the ability to lengthen its market control. It is almost sure that the success of the ipod device is likely to persist into the future. 'Companies achieve competitive benefits through serves of development. They approach technology in its broadest sense, including both new solutions and new means of doing things'. Micheal Porter (1990) The Competitive Advantage of Nations, MacMillan, London.

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