Brand Extension Marketing Plan

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Brand Extension Marketing Plan

1.0 Executive Summary

Apple Inc. is engaged in the production and designing of computers, iPhone and other electronic devices including music players, peripherals, etc. therefore it is going to launch a new brand of normal cell phones apart which is quite different from iPhones. Although there are several rivals in the cell phone industry but Apple can find an edge due to its extraordinary management capabilities and core competencies in the market of electronic goods. The new launched cell phone will be named as “Apple Com”. The name represents Apple as the company and “Com” as the communication device. In other words the consumers can communicate now through the cheaper device (as compared to iPhone) more easily. The new brand will be sold initially through the website than the dealers will be appointed for the large scale selling after the introductory stage. Initially the “Apple Com” will be launched in the United States.

2.0 Situation Analysis

Apple is entering the cell phone market for the first time but it is highly expected that the new launched cell phones will attract the maximum number of customers due to the goodwill of Apple in the market. Moreover, the marketing will play a vital role in the success of the product right from its introductory phase.

Market Summary

“Apple Com” will primarily target teenagers and youngsters but gradually it will serve all the classes of the customers like middle age and elders. As far as the classes are concerned “Apple Com” will target middle, upper-middle and upper class customers. In other words, all classes and all age groups will be targeted gradually. The different models of the phones will be launched in order to cater the needs of all age groups and all classes.

2.1.1 Market Demographics

The following factors would be considered by the “Apple Com” for its profile:


As far as the geographic segmentation is concerned “Apple Com” will not limit itself to some specific geographical boundaries. As discussed earlier, our new brand will be launched globally (Everett et. al, 2002).


As far as the gender is concerned “Apple Com” will target both the genders equally.

As far as the age groups are concerned initially youngster of 14 - 25 years because they accounts for most frequent users of cell phones. However, the specific models will be designed for different age classes according to their requirements after the research (Ahonen et. al., 2004).

Psychographic Factors

Stylish models will be designed for the people who want to represent themselves as fashionable and up-to-date.

Simple and decent models will be designed for the people who want to represent themselves as sober.

2.1.2 Market Needs

Quality Phones: The customers require a phone that provides high battery timing and durability.

Customer Centered Designs: “Apple Com” will focus on outside-in concept and designs will be based upon the needs of the customers.

2.1.3 Market Trends

The cell phone market has experienced a growing trend since its launch (Levinson and Paul, 2004). It is expected that this trend will tend to grow which is reflected by ...
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