ITUNES CASE STUDY

By:

Remi Eid ID: @26541

Walaa Yassien ID: @29172

Introduction:

Apple first introduced iTunes store in April 2003 first started out with 200 thousand songs, which

gradually increased

STP:

iTunes is for everyone all around the globe takes note of the cultural differences through

different demographics, psychographics as well as geographic segmentations

Apple success lies in its glocalization of its content Parents Students/Intellectuals as target audiences:

iStore:

iTunes Ping People can purchase music, movies, TV shows,

podcasts, as well as other Apple products such as: Gift cards, iPad 1 and 2, iPhone, apple accessories and so much more

People can also chose to rent music, movies, TV shows and podcasts instead of buying them

iTunes Business Model:

Software engineering Hardware manufacturing Retail

iTunes Application:

Basic Application: iTunes itself is a free application from Apple to MAC or PC users

iTunes basic applications revolve around music, movies, TV shows, Podcast, iTunes U and Audiobooks

Over 70% of these applications are related to games while the other applications are related to the internet and social networks

Two types of applications: free and paid

iTunes Innovation:

iTunes when it was first introduced in 2003 was an innovation itself

However, iTunes 10 is considered to be a creative version of iTunes rather than an innovative version

iTunes e-store:

iTunes e-store stands up as huge revolution in the music industry

The e-store personal usage rights and the one-click direct download to iTunes made it easy where basic factors towards this success

“With music from all five major music companies and over 200 independent music labels, the iTunes Music Store is growing every day and will offer more than 400,000 songs.”

iTunes Promotions:

“iTunes has revolutionized the way we buy music,” said Dawn Hudson, president of Pepsi-Cola North America

In 2004, Pepsi featured Apple in the most historic promotion made by Apple in San Francisco

Apple has announced in 2003 that it will legally give away 100 million free songs from its iTunes music stores

Another success was when iTunes announced a random sign up for open mice companions for its top 10 leading songs in its online store and the winner would get free downloads from the online store

iTunes Gift Cards:

The main deal here is Gift Cards from iTunes online shop

iTunes Website – Face of the Company- :

When you open the webpage; it feels more like a real store rather than a website

The webpage comes with 35 different languages featuring Apple’s multiple stores which are: Educational, Business and Governmental

Moreover, Apple’s e-store defines what should the consumers know about each product and facilitate the flow of information and ordering procedures

THE END Any Questions?