- The needs that are fulfilled by this product
- The price range targeted by the device
- Target market and its effect on price
- Carriers of the product and their influence on its price and availability
- Promotion strategy used and its effect on price
- Suggestions for improvement and their effect on pricing
- Overview of the environment
- References
The needs that are fulfilled by this product
The iPad tablet is integral to the daily lives of many citizens within the American homeland. This is because the gadget serves to satisfy their technological needs. Users, observers and critics alike agree that the device integrates several important devices that are necessary for daily transactions.
Foremost, data processing and presentation can be carried out successfully using this device. They allow users to create documents, manipulate figures in spreadsheets and create keynote presentations. As a result, students, editors, orators, analysts and other professionals can utilize the device effectively for different purposes (Apple, 2011).
Avid readers, especially lovers of electronically published books will benefit immensely from using the appliance. This is because it is tailored to allow for easy access and reading of eBooks. Several analysts have labeled it as the best device for this function available in the entire market.
Editorial functions can also be conducted on this device. This is evidenced by the availability of an external keyboard that is compatible with the device. It also comes with a stand that holds it during the typing exercise. The availability of a large internal memory maximizes the use of the gadget for this function.
It is notable that the device also caters to entertainment needs of the clients. Several applications that run on the tablet allow users to download audio and videos at will. It also enables users to stream live video from their favorite sites. Lastly, internet services are accessible on this tablet. This implies that users have access to their favorite sites upon subscription with their favorite data service provider. This ensures that different users can satisfy their diverse needs including leisure, research, and many more once they purchase the devise and register for internet services.
The price range targeted by the device
Currently, different versions of the gadget exist in the market, with each of them retailing at a different price. The base model retails at a cost of $400. The other model in the market retails at an average of $600. A look at these prices reveals that the product is intended for all income levels in the society. Every person who draws a salary can access this product due to its affordability (Kane & Raice, 2010).
Target market and its effect on price
The product retails in two models, a base model and an advanced model. Both products have similar features, but the advanced model is slightly superior, since it has several enhancements. The base model has all basic features, including Bluetooth connectivity. It also has an internal storage capacity of 32 GB. The advanced model bears all features found in the basic model, but has an additional storage of 64 GB and WI-FI capabilities. It is notable that both models are compatible with many products intended for Apple’s products.
Considering its functionality, the applications it supports and the established retail price, the product targets a literate people. Middle and upper class earners can acquire the device comfortably, without major hassles. This implies that a majority of the citizenry globally were targets when Apple released its tablet into the market. This implies that the price has to be maintained at reasonable levels, in order to incorporate as many citizens as possible. A keen look at supplementary devices and applications also reveals fair pricing. This serves to ensure that a majority of the clients enjoy full functionality offered by these tablets.
Product distribution and price
Apple contracted private retailers to supplement their distribution capacity. This adds to Apple’s plan of operating departmental stores specializing in their products. This ensures that the products are available to a wide variety of the clients by bringing them near the potential buyers.
Private delivery is also used as a distribution technique. This is slightly expensive as compared to the other options. Costs increase because the client caters for shipment charges, in addition, to the cost of acquiring the devise. In most cases, users of this option make their orders in advance, to enable Apple arrange with shipping companies and pay for all expenses, including delivery and insurance levies.
Carriers of the product and their influence on its price and availability
Students and different professionals often carry the product due to its different functions. This makes it mandatory for the organization to maintain the costs at affordable rates in order to appeal to these masses.
Consequently, the product should be easily available and accessible by all persons. This is because large market base guarantees increased demand for the appliance. The price should also be maintained at available levels. This will ensure affordability hence attract more customers.
Promotion strategy used and its effect on price
Apple is known for its use of imagery and creative slogans during advertisements. This became their favored strategy since clients can easily remember these slogans. Then imagery is often employed to highlight the suitability of their products at the expense of the competitor’s option. The iPad tablet has mostly been advertised using the print media. This includes physical and electronic mechanisms.
Commendably, this strategy has never affected the price of the appliance. Observers note that this method has proven its cost efficiency, thereby eliminating the need for apple to resort to price increment in a bid to recoup some of the funds spent (Marc, 2010).
Suggestions for improvement and their effect on pricing
It is noteworthy that the device integrates many applications; more needs to be done to improve its functionality. Foremost, future editions of the product should incorporate the ability to multitask. Users are limited to one application at a time using the current models, a fact that discourages more people from shifting to this brand.
The devise should also present customers with the ability to synchronize their music virtually. It is notable that some competing firms have incorporated access to virtual music stores from their devices. This ensures that they save crucial disk space, hence store more data on their drives. If Apple introduces this feature to its devices, the competition faced from Android devices will be reduced significantly.
Effecting the above-mentioned changes should bear no implications on the price of the commodity. This is because they require slight alterations on the initial configuration of the gadget, hence lack fiscal implications on the production process. Furthermore, any increase in the price would provide competitors with an advantage over the tablet.
Overview of the environment
Generally, Apple needs to target a computer savvy clientele. They should be persons with a steady income, who can purchase the appliance and its additional applications. This target group is readily available, due to the low employment rate in America and other developed nations. It is notable that developing countries are working overtime to address the menace of unemployment.
The firm should also ensure they furnish their clientele with all the relevant information about the product. This guarantees their safety when using the device by educating them on he risks associated with it. Most importantly, they should focus more on students and other professionals concerned with academia. This is because the sector continues to experience unprecedented growth due to an increase in population.
References
Apple, 2011, There’s more to it. And even less of it.
Kane, Y & Raice, S. (2010). Apple’s New iPad in Production. Wall Street Journal.
Marc. (2010). Two New Apple iPad Models Launching Q4 2010?Intomobile.com.