Apple Inc. Smartphone Marketing Strategy in Australia

Abstract Australia’s mobile services market continues to experience rapid innovations and development regarding both handset devices and variety of services conveyed to the customers through these mobile devices.Advertising We will write a custom report sample on Apple Inc. Smartphone Marketing Strategy in Australia specifically for you for only $16.05 $11/page Learn More Both mobile handset functionality and mobile network capacity have increased in the recent past not only in Australia but also in other parts of the world. Moreover, there have rapid evolution of other aspects of mobile services including voice services to include the application of internet and web access. These rapid evolutions in the development of mobile handsets together with services have enabled new forms of mobile phone-based communications and services provisions to emerge. In addition, these rapid developments together with increased competition for customers among mobi le operators and services providers have made the mobile phones an attractive proposition for majority of Australians. This case report looks into the complexities of the Australian telecom industry and various pricing strategies that companies have adopted in order to sell their products or services in this highly competitive environment. The Australian mobile phone industry is highly competitive and companies must adopt clear-cut pricing strategies for their products in to remain afloat in the market. Introduction The use of mobile phones in Australia has increased considerably in the last five years. It is approximated that 89% of the Australian adult population have adopted the use of mobile phones by 2011. This number is expected to rise by 3% in the next two years.Advertising Looking for report on business economics? Let's see if we can help you! Get your first paper with 15% OFF Learn More In addition, the replacement of fixed line telephone by households is al so expected to reach 100% by 2015. This statistics indicate that there are huge market opportunities for mobile phones handsets together with their applications. Moreover, the mobile phone support services also have the opportunity to take advantage of the rising market. The increasing mobile phones market and its support services have attracted the various companies both old and new in the communication industry. Major Service Provider companies such as Vodafone, Telstra, Optus, and other have scrambled to claim a portion of the rising market share. The market has not only attracted the services provider companies but also the mobile phone manufacturers such as Apple. Many companies have infiltrated the Australian market each with its unique handset. Many of these mobile phones are internet enabled and being purchased and used by the Australian consumers. The reason is that most of these handsets usability in terms of services have been increased. In 2011, 58% of the mobile devices in the Australian market had 3G. Besides internet services, the current mobile phones sold in Australia are more affordable with additional advantage of merging most of their functionalities. All voice, video, and data services are now put under one control. Bringing these services together has been enabled by internet and web access. In essence, the traditional functionalities are now merged with internet-enabled functionalities. In addition, the development of mobile software such as android has increased the functionality of mobile phone.Advertising We will write a custom report sample on Apple Inc. Smartphone Marketing Strategy in Australia specifically for you for only $16.05 $11/page Learn More Synopsis Australia’s mobile market is a highly complex and competitive. Major companies including Vodafone, Telstra, and Optus dominate this market with similar services and products. Though most of these companies provide data and service, other mo bile phone manufacturing companies have also found their way into this market. In fact, the Australian mobile market is a representation of the current revolution in the telecommunication industry. Most of the mobile products applications are packaged together through the internet and web access. Most of the Australians are now accessing most of the services through their mobile phones. These services range from social net working to e banking. The major problem companies in this market are facing is the pricing strategy. There are many companies offering similar products. These products are also undifferentiated resulting into fierce competition among firms. This analysis use SWOT as a marketing tool to analyze the company internal strengths and weaknesses, opportunities available, and the threats the company is facing from the outside environment (Klompmaker et al., 2010). Pricing strategies are used to provide solutions to the problems firms in this market are facing. Pricing str ategies will also provide formidable recommendations for new firms willing to enter this market. Major problems faced by mobile phone companies in Australian market One of the biggest problems these companies are facing in the Australian mobile market is the pricing strategy. The reason is that there are many companies producing or providing similar products and services thereby increasing the level of competition.Advertising Looking for report on business economics? Let's see if we can help you! Get your first paper with 15% OFF Learn More In such a highly complex operations and competitive environment, pricing for a particular product or services becomes complex. Moreover, the monopolistic behavior of major companies offers an entry barrier for new firms willing to enter the market. These dominating companies pricing strategy technically prevents other companies from setting profit making prices for their products. Besides, the homogeneity of the products and services the companies sell in market further complicates their pricing strategy. The similarity of the products and services in the market lives no room for other forms of differentiation only through pricing. Therefore, the pricing strategy in this market becomes complex as each firm target price offerings that will enable them claim a particular share of the market. Analysis The SWOT analysis This tool evaluates and make out internal and peripheral factors that affect the company operations. The tool has been used to assess the company mobile phones Australia n market current situation, challenges existing, difficulties, and problems that have been experienced. Strengths The company is offering high quality and attractive mobile phones into the Australian market. The quality and value addition have made the products to penetrate and claim the largest market share in highly competitive Australian mobile market. Besides, the company leadership in high technology and electronic industry has boosted the marketability of its mobiles. The company strengths in technology and powerful innovative capacity have boosted the confidence the target market have on its products (Hanlon Luery, 2011). The company mobile phones operating system, the compatibility has exceeded any other competing phones, and this has become one of its greatest marketability strength. In addition, the company Smartphones design is fashionable and stylish which enables the user interface. In addition to technological, quality and design strengths, the company mobile phones i s diversified with different prices that meet all classes of people. Weaknesses The biggest drawback most of the mobile phone companies in the Australian market are facing is the limited market and distribution channels. Another problem is the customer’s privy of other concerns including environment and other brand issues surrounding the company products. This has high probability of perceptive customers not buying from the company mobile products. Opportunities The growing Australian latest mobile phone brands such as Smartphones market is an opportunity for the company. Moreover, the huge population and increasing application of Smartphones by the younger generation offers a potential market. Moreover, the innovative capabilities of the company are another opportunity to introduce new products into the market (Weill Vitale, 2002). Threats The biggest threat the company and its mobile phone products is facing is stiff competition from other firms and similar products. Besid es external competitive threat the company is facing on the particular products, the threat of new entrants are formidable. In addition, high competition may lead to price wars that may result in low prices (Narayandas et al., 2010). Issues relating to the pricing problems External environmental factors affecting prices in the Australian mobile market Customers The industry demand is one of the key parameters affecting pricing decisions of all the companies in the industry. According to the theory of perfect competition, what consumers are capable of paying should be taken into account. This is applicable in a highly competitive environment like in Australia mobile market. In fact, for any company to succeed in this highly competitive environment the knowledge of the demand is essential. Marketing managers must understand the demand curve of their products in order to price their products and services (Narayandas et al. 2010, p.65). In other words, it is conventional for the firms t o distinguish between time horizons or time factor while determining the prices since most of the products and services are highly volatile. The speed with which these services or products are transforming is very high. In essence, the demands for such product are varying across different periods (Narayandas et al. 2010, p.65). Companies in this industry must explicit in time factor while pricing their products. Besides time considerations, the customers purchasing ability or the income of the mobile users are also important in pricing strategy. Companies should segment the market according to income levels. The income market segmentation informs the pricing levels which the company put on its products or services. Since many mobile operators and service providers are operating within perfectly competitive market, prices must be set below the income levels of the customers (Reich Benbasat 1996, p.55). In addition, the prices must reflect the attributes of the competing products. Mo dern customers especially within the telecommunication industry are privy of the various attributes of products being offered in the market. Products characteristics such the design, colorations and weight, quality features and packaging are prominent with mobile phones while brand image and corporate status features prominently with the service providers (Reich Benbasat 1996, p.55). In essence, the complexity of the consumer reactions toward different prices is critical within the Australian mobile phone market. Besides, other factors should also be taken into account particularly that control the pricing decisions. Australian market is exhibited with heterogeneity of prices. The reason is that consumers are well informed about the prices different firms charge on their products. Moreover, consumers differ in their price evaluation because of the different levels of information regarding prevailing price as well as product features (Allen 2011, p.150). This heterogeneity is import ant factor especially in price differentiation. Competitors In this industry, pricing strategy will majorly be based on the prices of the competing products or services. Competition has a big influence on prices most firms charge on their products and services. Competitor’s reactions depend on the structure of the market, the degree of competition, and the availability of the competitive advantages (Sterman, 2000). In Australian mobile market, products are homogenous and undifferentiated therefore firms normally set their own prices. In other words, firms use price differentiation to sell their product or services. In addition, the intensity of competition increases over the product life cycle (Andriani, 2001). As new competitors enter the market, products become more homogeneous. This increases the level of competition. The competition intensity becomes severe at the product maturity and declining stages since the growth on sales can only be achieved at the expense of compet itor’s sales volume (Reich Benbasat 1996, p.55). The implication is that prices will depend or set according to the competitors reactions. In other words, the competitors marketing goal and strategies will influence the prices. In circumstances where the competitors retaliate, the prices will be attenuated thereby provoking price war (Allen 2011, p.150). Under this circumstance, the prices are reduced even below break-even or unprofitable levels. Therefore, competitive behavior analysis is essential prerequisite for effective prices (Allen 2011, p.151). In this industry, particularly within the Australian mobile market, considerable nonconformity from the prices competitors charge are only practical through substantial economic benefits. The economic benefits are associated with low cost and value addition. Cost advantages can only be achieved through low cost distribution than the competitors. Low cost distribution results from the firm’s superior resources and skill s (Narayandas et al. 2010, p.65). Unique products values will result from product features are highly valued by the consumers. These unique characteristics must also differentiate the product from its substitute. The way consumers make out exceptional significance on products makes them become insensitive towards prices. The firm takes advantage of this and charge higher prices without consumers noticing. In the Australian mobile market, firms must take into account the prices other firms charge on a particular product including their credit terms as well as other terms of trade. In addition, the competitor’s financial resources, cost and profit margins as well as the likely response towards the firms pricing strategies and decisions must be taken into account (Weill Vitale, 2002). Moreover, the firm must also look into the barriers to the market entry, the product substitutes from other industries as well as other firms marketing strategies particularly market targets, posi tioning and product differentiation. However, entering and surviving in this market is quite challenging to new firms particularly in price considerations. There are large and well-established firms with monopolistic characteristics. They have substantial discretion over prices. Moreover, the products and services are undifferentiated. In such conditions, there exists fierce competition. Moreover, larger companies with remarkable market share will set prices below the operation levels to prevent new entrants. Alternatives Pricing strategies Firms can apply several pricing strategies. However, the most feasible strategy will depend on several factors including the environmental factors, the firm’s general marketing strategy, and the pricing objective of the company. Moreover, firms that need to survive amid intense competition and technological advancements needs to apply several pricing strategies (Weill Vitale, 2002). Within the industry and the highly competitive market su ch as in Australia, firms such as Telstra that want to survive amid cannibalism of some of its products required pricing strategies such as market-based pricing and the differentiated pricing strategy across various market segments. Market-based pricing strategies This pricing strategy focuses on what the price should be depending on the competitors’ prices on similar products or substitutes and the perceived value of the product to the customers. From the competitors point of view, cost of similar products, the value of the product and market positioning of the firm should be equal or beyond the competing firms. The information regarding the competitors, prices, costs, profit margins and financial resources should influence pricing instead of setting the prices (Weill Vitale, 2002). Firms such as Telstra should focus on value-based approach to pricing because their customers will focus on the benefits rather than costs. Increased benefits will always persuade customers to b uy the products. Therefore, conventional landline to survive from being cannibalized by the modern mobile phone, emphasis must be put on their benefits. In addition, the product advantages must remain to be superior. The only problem with this pricing strategy is how to measure the customers’ perception of the offers against the competitors. In addition, the consumers value perceptions vary considerably even on usability. Various customers will arrive at different cost benefit analysis since they will use similar products on different ways. Therefore, it would be essential for the company to make similar trade-offs between cost and benefits. It is important to note that advantages product have is not equal to its physical and non-physical characteristics. In many choice situations, products are differentiated by the augmented product benefits (Sterman, 2000). Market segmentation pricing strategy In reality, most of the companies lose a lot of profit through single average pri cing approach. To maximize the gains on the prices companies should segment its market in such a way that they gain more from the perceived value on their products. The apparent advantages of the product should have natural prices according to the market segmentation. When this happened, the companies will always maximize their revenues. The aim of differentiated pricing strategy is to set prices according to segmented market niche. In this strategy, companies sell their products based on perceived value rather than on prices. Therefore, companies’ sales and marketing must work closely in order to understand the customer needs to redefine the product or services offerings to meet the needs of the customers. In so doing companies will always maximize on the customers value. This marketing strategy is best for those companies whose products are quickly becoming obsolete. The market strategy helps the companies to redefine and develop their products according to the needs of the market. The solution to the pricing strategies One of the most important marketing decisions affecting the mobile operators in Australia is pricing. Since most of the revenues within the mobile phone market niche is diminishing with the new entrants into the market, pricing is the only marketing mix variable that will help most of these companies generate revenue (Narayandas et al., 2010). In addition, the pricing differentiation in another way through which these competing firms would attract and retain customers in this highly complex and competitive environment. Therefore, pricing is not a simple concept, rather a multidimensional with varied implications for the mobile phone operators and the end-users (Lancaster Massingham, 2011). Pricing is one of the marketing mix strategies that take into account the benefits of the firm and the customer actions. In fact, before these companies consider applying any pricing strategies, complete pricing environment must be put into considera tion (Simon Butscher 2011, p.111). That is, both internal and external factors affecting pricing decisions should be taken into account. The internal factors should begin from the company viewpoint and then from the side of the customer. Regarding the external environment, firms in this industry must thoroughly take into account the influence their competitors have on pricing decisions. Conclusion The increased online service that is made available by the internet availability continues to attract more users of mobile phones in the Australian market. This provides an opportunity for the traditional communication companies as well as other service providers to introduce their products into the market. Most of the mobile carriers are faced with average declining revenues per user. However, with increased use of mobile applications, these mobile operaters can now protect their revenues and increase data consumption. In addition, the mobile applications have also expanded the reach for existing services. With the increased use of mobile phones, many services are now being accessed easily and cheaply. Traditional services providers continue to lose market since consumers can access those services at their own convenience wherever and whenever they are. In essence, increased mobile use and applicability has made life easier than before. References Allen, PM 2011, â€Å"A complex systems approach to learning in adaptive networks,† International Journal of Innovation Management, vol.5 no.2, pp.149-180. Andriani, P 2001, â€Å"Diversity, knowledge and complexity theory: some introductory issues,† International Journal of Innovation Management, vol.5 no.2, pp.257-274. Hanlon, D Luery, D 2011, â€Å"The role of pricing research in assessing the commercial potential of new mobile phone development,† International Journal of Marketing Research, vol.44 no.3, pp. 423-447. Klompmaker, JE, Rodgers, WH Nygren, AE 2010, â€Å"Value not volume,† Mark eting Management, vol.5 no.2, pp. 45-48. Lancaster, G Massingham, L 2011, Marketing management, McGraw-Hill, UK. Narayandas, D, Quelch, J Swartz, G 2010, â€Å"Prepare your company for global pricing,† Sloan Management Review, vol.5 no.3, pp. 61-70. Reich, BH Benbasat, I 1996, â€Å"Measuring the linkage between business and information technology objectives,† MIS Quarterly, MIS Quarterly The Society for Information Management, vol.20 no. 3, p.55. Simon, H Butscher, SA 2011, â€Å"Individualized pricing: boosting profitability with a high art of power pricing,† European Management Journal, vol.19 no.2, pp. 109-114. Sterman, JD 2000, Business dynamics: systems thinking and modeling for a complex world, McGraw-Hill, Boston. Weill, P Vitale, M 2002, â€Å"What IT infrastructure capabilities are needed to implement e-business models?† MIS Quarterly, vol.1 no.1, pp. 17-34. This report on Apple Inc. Smartphone Marketing Strategy in Australia was written and submitted by user Lillian Huffman to help you with your own studies. You are free to use it for research and reference purposes in order to write your own paper; however, you must cite it accordingly. You can donate your paper here.

The Best ACT Score Predictor

The Best ACT Score Predictor SAT / ACT Prep Online Guides and Tips Taking the ACT is stressful- some test you’ve never seen before will affect where you go to college. As a high school student, I felt anxious taking the ACT because I hadn’t done any practice and had no idea whether I’d reach my target score. One way to mitigate nerves surrounding the ACT is to try to predict your ACT score. If you find out your estimate is close to your target score, you’ll feel relieved. If it’s low, at least you’ll know you need to do more preparation before taking the test. What is the best ACT score predictor? What should you do with your estimated ACT score? In this guide, I’ll walk you through the different ways to predict your ACT score and explain the pros and cons of each. I’ll also let you know how to use your estimated score to your advantage. What’s the Best Way to Predict Your ACT Score? The most accurate ACT score predictoris taking a full-length ACT practice test under realistic testing conditions. It's the closest thing tothe real ACT- your using an official ACT practice test from the ACT makers and taking it under similar testing conditions. This process is very time-consuming - it’ll take about four hours - but it’s worth it. Afterward, you have an ACT score from a real ACT test, whichyou can use to checkyourpreparedness to take the actual test, but I'll dive into that later. Where Can You Find a Practice Test? There are five free official ACT practice test PDFs available online, or if you own The Real ACT 3rd Edition, you could use one of those tests. If you’re using one of the free online tests, to give yourself the most realistic testing experience (and to avoid the distractions on the internet), I’d recommend that you print out a copy of the test. Key Tips fora Realistic Testing Experience Your goal is to try to accurately predict your ACT score. To do so, you need to mirror the circumstances of the actual ACT. Clear your desk.You should not have your phone, computer, dictionary or any other outside help.Note: Your phone should be off during the entire practice test.Only put some pencils, an eraser, a pencil sharpener, a calculator and extra batteries on your desk. Keep time on a watch, and stick to the exact timing for each section.Note: the time permitted is printed at the start of the section.Don’t allow yourself extra time; if you allow even an extra minute, you could end up with an inaccurate estimate.Also, you’re only allowed to work on one section during the allotted time. Don’t work on the next section if you finish early, and don’t do work on a previous section. How Do You Score Your Practice Test? Each practice test comes with scoring instructions, which are locatednear the end of the PDFs (typically in the last tenpages). You’ll start by calculating your raw score or the number of questions you answered correctly.Then, you use that raw score and a chart to find your scaled score for each section.You average the foursection scores to find your composite score. Note: This is only a baseline score- you can do dedicated ACT prep and raise your score. Start by creating a study schedule, and if you need a launching off point for your prep, read our free ACT study guides for Reading, Math, English, and Science. Create a schedule for test prep success! What Are Other Less Time Consuming Predictors? Did you take the PreACT* or SAT? If so, you can use that score to predict your ACT score. These test scores make good estimates because they’re taken under the same conditions as an ACT test (in the morning, with other students, etc.).I’ll give an overview of the pros and cons of using these tests as ACT score predictors. *Note:The PreACT is a brand new test that's debuting in the 2016-2017 school year. No one has taken it yet- the firsttest dates will be in Fall 2016. PreACT The PreACT is the next best option to taking an official ACT practice test.The PreACT was created by ACT, Inc., the same company that makes the ACT, to help predict your ACT score.It covers the same content as the ACT.Its difficulty level is similar to the ACT since it uses old ACT questions. The PreACT is graded on the same 1-36 scale.However, it’s much shorter than the actual ACT; it’s only 1 hour and 55 minutes (compared to almost 4 hours for the ACT plus Writing), so it doesnt' require the same level of endurance as the full test. Pros The PreACT was created by the same company as the ACT. It covers the same content as the ACT. The difficulty level is on par with the ACT. It is specificallyintended to predict your ACT score. Cons It’s much shorter than the actual ACT. SAT Score There are easy-to-use conversion tables that will convert your 400-1600 SAT score to a 1-36 score, but this isn’t as reliable as using a PreACT score.While the SAT is similar to the ACT and PreACT, the SAT was made by the College Board, not ACT, Inc. Though there is some matching content on the SAT and ACT, the material is not the same.For instance, while the ACT has a science section, the SAT doesn’t, and while the SAT has a no-calculator math section, the ACT doesn’t. If you use an SAT score to estimate your ACT score, the prediction could be off by up to 4 points.As an example, I got a 1420 on my SAT. Using this score and the conversion table, I found out my ACT score prediction would be 31, but I got a 34, 3 points more than the estimate.Some people do better on the ACT than the SAT (and vice versa). Pros Like the ACT, the SAT is designed to show college preparedness. Like the ACT, the SAT covers Math, Reading, and Writing topics. Cons The SAT was not created by ACT, Inc. The SAT doesn’t cover all of the material on the ACT. Estimates may not be exact (could be off by up to 4 points). Also, comparisons between the two tests are difficult to make since the SAT just underwent major changes. Some students simply performbetter on the ACT than SAT (and vice versa). Now that you know the good predictors let's examine the bad: What Won’t Be Good Predictors? I’d recommend avoiding any estimation method not mentioned above. However, here are some of the more commonly used ACT score predictors that I wouldn’t recommend. Non-Official Practice Tests Online you might find some non-official ACT practice tests (ones not created by ACT, Inc.).These will not give you a reliable ACT score prediction because they’re too dissimilar to the ACT.They don’t cover the same topics and don’t accurately copy the test format. While some students end up with scores close to the non-official prediction, the majority end up with scores 5-10 points higher or lower than the estimate. GPA Some students assume ACT scores correlate to GPA.If you have straight A’s, then you’ll get a 36; if you have a low GPA, then you’ll get a low ACT score.However, that’s not necessarily true. Some test-takers with low GPAs can get high ACT scores while others with high GPAs can end up with low scores.Don’t rely on your GPA to estimate your ACT score. AP/IB Tests Other students think that AP and IB exam score will be good ACT predictors since they cover college level material. However, these tests cover very specific, high-level subject matter such as Biology, Calculus, Economics, and History.These tests surpass the level of content covered by the ACT.Excelling or failing AP and IB exams has no correlation with ACT success. Use your predictor to see if you meet your target score. What Should You Do With Your Prediction? Are you unhappy with your predicted score? If so, you need to create an ACT prep schedule to help raise your score.Here is a rough estimate of how many hours you need to study to achieve certain score improvements: 0-1 ACT Composite Point Improvement: 10 hours 1-2 Point Improvement: 20 hours 2-4 Point Improvement: 40 hours 4-6 Point Improvement: 80 hours 6-9 Point Improvement: 150 hours+ Check out our ACT study guide for the Reading, Math, English, Science, and Writingsections to help you get started with your preparation. Are you happy with your estimated score? If so, you should still do a little ACT prep.Study for at least 10 hours.Take two practice tests with in-depth review. This way you’ll get more comfortable with the ACT test format, and you’ll be able to double check that your practice test scores match the original prediction. The ACT plusWriting has five sections:English,Math,Reading,Science, and Writing- they always appear in that order.Below is a breakdown of the timing and number of questions per section: English - 45 minutes - 75 questions Math - 60 minutes - 60 questions Reading- 35 minutes - 40 questions Science - 35 minutes - 40 questions Writing - 40 minutes - 1 essay Disclaimer: Remember that no estimate is 100% accurate, not even taking an official ACT practice test.Therefore, you should plan to take the real ACT more than once. That way, if you don’t reach your target score the first time, you have another chance. What’s Next? Now that you found your estimated ACT score how does it compare to your target score? Not sure where you’d like to go to college? Read our guide to finding your target school. Need help with your college application? Learn how to write about extracurriculars on your college application; get advice on the Common App essays. Want to improve your ACT score by 4+ points? Download our free guide to the top 5 strategies you need in your prep to improve your ACT score dramatically.