Following months of controlled leaks and miss-direction, the Apple brand finally launched – neither the iSlate, nor the iTablet but iPad - and so opened a veritable flood of divided opinions from tweeters, facebookers, podcasters, bloggers and die-hard Apple fans.
(According to Nielsen, immediately following the launch Twitter published 10,000 tweets about the iPad every five minutes).
The iPad (not to be confused with the iPod) has been launched with the post downturn consumer in mind.
In an attempt to reach markets which to date other tablet brands failed to capture, the iPad (with a reported ten-hour battery life between charges) can be synchronised with iPhones.
It offers an all-in-one platform which, as widely predicted, combines old world technology of books and print with new world technology of touch sensitive multi-media.
Holding the internet in your hands
“What once occupied half your living room can now be dropped in a bag. It’s pulling together a variety of needs (in) a universal entertainment device,”
explained NPD analyst Ned May to the Reuters news agency.
Refuting that the iPad is a netbook type device, Apple’s CEO, Steve Jobs described the ‘big brother’ of iPod which has already been adopted by over 75 million people, as a “third category” device between smartphones and laptops.
Aggressively aimed at a price-sensitive market, in the US, prices for the 9.7 inch multi-touch, device will start from $499 for a 16 GB of storage model, leading to $699 for a 64GB WIFI version and $829 for a model which adds 3G. (International prices will be confirmed by June 2010. The full range will be available globally in 90 days).
News of the pricing strategy sent shares in Apple rocketing as high as $210.58 (up 5.5 percent from their session low).
Meanwhile long-time brand adversary to Apple – Microsoft reported a 60% jump in profit, mostly due to the launch of its software branded Windows 7.
Microsoft’s net profit came in at $6.66bn (£4.13bn) for the three months to 31 December 2009, up from the $4.18bn it made in the same period a year earlier.
Up the Amazon without a paddle – just a finger’s touch.
As a contender to Amazon brand’s Kindle e-reader, as well as Barnes & Noble’s Nook reader and Sony’s family of e-readers, the iPad’s screen technology appears to have won admiration from just about every camp.
Adding iBooks to iTunes sends a direct challenge to the hitherto invincible Amazon. (Rumours are already rife that Amazon CEO, Jeff Bezos will respond with a suitably enhanced version of his Kindle reader, which, at entry level, currently retails from $259).
Turning a new leaf for publishers
The iPad platform offers the hard-pressed book-publishing sector a much welcomed additional channel to win back lapsed readers.
Thanks to enabling books to incorporate video, the iPad also helps reach new customers and enliven academic textbooks.
(Between its platforms – the App Store, iTunes and now iBookstore Apple is open to business to over 125 million credit card customers who have registered for instant ‘click’ buying).
Major brands which have signed up to the iBookstore platform include Pearson, Simon and Schuster, Harper Collins, Macmillan and Hachette Book Group.
Equally traditional newspaper moguls such as the New York Times are rumoured to be anticipating charging advertisers premium advertising rates for advertisements placed on iPad versions of their publications.
(Both National Geographic and Time were showcased as demonstration sites at the iPad’s inauguration).
Slick outside – dramatic inside
In addition to accommodating modified software sub-brands such as stand-alone versions of Keynote and Pages (presentation and word processing packages) the iPad features Apples own 1GHz A4 chip.
By escaping complete dependency on third party traditional microchip makers such as Intel, the brand has tightened its grip on controlling every aspect of the Apple delivery experience; from silicon processors to shop front assistance.
To augment its content and support, Apple is inviting developers to create products such as games for the device. (Recently one Apple customer downloaded the three billionth ‘app’ from Apple’s App Store).
Frown – you’re not on camera
Disappointments for avid Apple brand fans include the iPad’s lack of a camera, rumoured lack of support for Flash, as well non- announcement of 4G mobile phone support.
From a branding strategy perspective, excluding a camera and 4G was not a complete surprise.
The tactic offers the brand the opportunity to bring out new models around Christmas or 2011, which may include a camera as well as 4G.
It also allows Apple to give its other ‘IP’ brand – the iPhone- a Spring or Summer sales boost.
At that time Apple is expected to release a 4G iPhone, which is likely to incorporate a 5mp camera.
(Sources suggest that Vodafone in the UK is finalising processes to handle the increased bandwidth requirements in time for the launch).
Parting of the waves
The launch of the iPad could not have come at a more apt time. This week, around the world many religious communities will be reading a highly appropriate chapter from the Old Testament.
It tells the ongoing story of Moses leading his flock on a journey in which they eventually witness the giving of the ‘tablets’ which redefine the rules of humankind itself.
In the chapter (called in Hebrew “Beshalach”) Moses leads his people through the ‘reed’ sea, channelling divine powers to split the oceans in two.
And so whilst Apple has split opinions, it has also cleared a direct path -perhaps not to receiving the expected Tablet, but iPad – which has the promise to launch thousands of apps and countless new ways to listen, read and experience the good book as well as accompanying mp3 track and iTunes movie.
Jonathan Gabay
www.brandforensics.co.uk
Thursday, January 28th, 2010 at 8:02 amand is filed under Apple brand, Brand expert, iPad brand, microsoft brand. You can follow any responses to this entry through the RSS 2.0 feed.
June 13th, 2010 at 7:47 pm
I really enjoyed this blog post. Informative, intresting and over all well written. Will Digg or Facebook the artlce for you if you like. Thanks and look forward to more of your entries, Ellie x