iphone 5C, What went wrong?

All through the way back from 90's, the brand name Apple has successfully positioned themselves in one thing, i.e, "INNOVATION". Steve Jobs and Wozniac did their best to brand it in such a way that, whenever a new product from apple is about to be announced, the expectation of the consumers were too high and apple products especially iphones often went beyond these expectations since the inception of the first iphone in 2007. That is why Apple succeeded in creating a personalized, self owned Niche market for them and that niche was called as "Die hard Apple fans".

Now, when the present conditions are heated by the Android revolution, Microsoft Spearheading, Google - Motorola takeover, Microsoft - Nokia Takeover and challenge from Samsung; Apple was obviously expected to do something different from their usual modus operandi. But, the change they decided to make is doubted to not have the great "Apple" quality. iphone 5S and 5C is not reviewed as the right successors for the great predecessors of them. It is because of the single reason that they are lacking innovation. All through the history, Apple was trying to indulge in a kind of emotional branding ( Emotional Branding is a term used within marketing communications that refers to building brands that appeals directly to consumers emotional state, needs and aspirations). People used to love iphones and they were emotionally attached to that. The need for an Apple product was usually placed in the Esteem needs under Maslow's Hierarchy of needs (Refer Maslow's Hierarchy of needs). The expensive iphones were usually meant for above middle class and the niche which I have already mentioned about. Holding an iphone was considered as a status symbol, but the latest addition to the family iphone 5C was expected to be a middle mans phone with plastic bodies and colored back cases similar to Samsung and Lumia's. That is why, questions were raised such as "Can cheap Apple be real Apple?". A shift in the positioning of the brand is always a hard decision, but in Apple's case it was inevitable. They had no other option as the biggest Smartphone markets except USA started hugging Samsung Phones more than ever (Yes, I am talking about China and India). But, when a new product, that too different from the convectional positioning of the brand is about to be released, there are two things that has to be considered with prime consideration. i) Most suitable Pricing ii) Proper Market Research. All went wrong here for Apple and iphone 5C. The last letter "C" in the latest apple product was expected to be pointing at the word "CHEAP" before its announcement on September 10,2013. Since it was made with cheaper products and cheap labor from china, it was supposed to be cheaper than it actually is. It was explicit that Apple was targeting the Chinese Smartphone market (The biggest in the world) with their new products, but iphone 5C was wrongly priced for a market in which $300-$400 is considered as a middle range smartphone. iphone 5C which was marketed in such a way to position it as a cheaper middle range Apple, disappointed everyone when it was priced in an overwhelming $549. The pricing in almost all the regions is disappointing such as 599 euros in majority parts of Europe and 469 Pounds in UK. The wrong pricing has actually hit the Brand as iphone 5C contributes only a meager portion towards the combined sales of 5S and 5C, that is 9million units after the first weekend of release. The disappointment created by iphone 5C is a perfect example to underline the importance and relevance of "PRICE" in the 4 P's of Marketing. It is also heard that many of the features of the new Apple products are not really useful and as innovative as expected. This is due to the fault of market research. Even though Apple came first in the latest survey of "Interbrand" as the Brand with most Brand Value, Wrong pricing policy adopted for iphone 5C will always remain as a black mark for Apple and its CEO Tim Cook who has a Himalayan responsibility to match his legendary predecessor Steve Jobs.