creating a string of successes through timing - the iPhone and the iPad

in this week's news, steve jobs said they started to developed the iPad ahead of the iPhone but they decided to launch the iPhone first and shelved the iPad work in the meantime.

it is hindsight but we think it was a brilliant move.

the iPad competes in the tablet sub segment of the computer market and during that time many tablet brands have failed. apple may very well have failed too if they launched the iPad then.

launching the iPhone ahead of the iPad was a good move as the iPhone was unique in the market it was getting launched into, its success in the market place was easier and more assured. there were no other cellphones during that time that had the features that the iPhone had. uniqueness is one of the key success factors in the launch of any new product.

the iPhone also prepared and in many ways built a lot of anticipation and excitement on the iPad. by the time the iPad launched, consumers have become familiar with the new touch technology that the iPhone had. apple also was already hugely successful with the iTunes and the app store. these were critical partners to the success of the iPhone. with consumers already knowing the success of the iPhone iTunes and the app store, the iPad became a very easu sell to consumers.

the sales numbers on the iPad are impressive - it has sold its 1 million unit much faster than the iPhone did and many analysts are now revising their sales projections on the iPad, more units than previous estimates.

launch timing in this one helped the success of a new product launch.

New Yorker Cover Art, Painted With an iPhone

Some people send text with their iPhones, and some play games. The artist Jorge Colombo created this week’s cover for The New Yorker with his.


Mr. Colombo drew the June 1 cover scene, of a late-night gathering around a 42nd Street hot dog stand, entirely with the iPhone application Brushes. Because of the smears and washes of color required by the inexact medium, it comes off as dreamy, not sharp and technological.

“The best feature of it is that it doesn’t feel like something that was done digitally; quite the opposite,” said Françoise Mouly, the art editor for The New Yorker. “All too often the technology is directed in only one direction, which is to make things more tight, and this, what he did very well, is use this technology for something that is free flowing, and I think that’s what makes it so poetic and magical.”

Mr. Colombo bought his iPhone in February, and the $4.99 Brushes application soon after, and said the portability and accessibility of the medium appealed to him. He began the scene by beginning with the buildings’ structure, then layering on the taxis, neon lights, hot-dog stand and people. (A video of the process is available at newyorker.com beginning on Monday.)

It “made it easy for me to sketch without having to carry all my pens and brushes and notepads with me, and I like the fact that I am drawing with a set of tools that anybody can have easily in their pocket,” he said. There is one other advantage of the phone, too: no one notices he is drawing. Mr. Colombo said he stood on 42nd Street for about an hour with no interruptions.

“It gives him an anonymity in the big city that an artist with the easel wouldn’t have,” Ms. Mouly said.
“Absolutely nobody can tell I am drawing,” Mr. Colombo said. “In fact, once I was doing the drawing at some place, and my wife was around, and they asked her why did I have to work so hard? I seemed to be always on my iPhone sending messages.”

STEPHANIE CLIFFORD

http://www.nytimes.com/2009/05/25/business/media/25yorker.html

life without meaning or steve jobs not on stage at the macworld conference

i both understand and do not understand what the fuzz is about apple's announcement that steve jobs not delivering the keynote address in the coming macworld event.

here's why i understand it. steve jobs in my mind is his generation's most brilliant marketer in the world, bar none. no one man has done what steve jobs has done - he was kicked out the company he has built after he introduced apple computers. he came back to it, but did other things - macbook, ipod, itunes, iphone and back to the mac. all those things have changed not only our digital life but also our real lifestyle. they are not just brilliantly marketed products, they were superior products that not only led the industry the products competed in, it changed it, if it did not create a whole new industry by itself.

that is a very eloquent statement on why many are disappointed that steve jobs will not be at the macworld event. apple is steve jobs and steve jobs is apple. its just not the same if it does not come from the horse's mouth itself. well steve job's mouth.

all those marvelous and life changing products are largely credited to steve jobs.

and that's the part that i don't understand. are we sure that's all of steve job's doing? how sure are we on that? steve jobs must be a superman or some alien working out of cupertino.

when apple announced jobs will not be the keynote speaker, apple stock prices dropped by at least 7%. i don't get that - investors who bought apple stocks are buying into steve jobs and not apple products? that is what they seem to be saying.

it's as if without steve jobs around, all the macs, iphone and ipod will stop working or consumers will stop buying them. it's like telling us what most people bought were not ipods and iphones but a piece of steve jobs. that sounds really sexy and poetic, but come on now!

don't get me wrong. i have long been a fan of steve jobs. on my very first trip to the US many years ago, i had asked my hosts to drive me to their cupertino headquarters and had a picture of myself taken in front of their office. and i have read everything written about steve jobs since then.

but i'm not one who thinks owning an ipod means owning a piece of steve jobs and his absence will remove all meaning on life and apple products. i would love to have steve jobs to live forever and to be at every apple event but the world will not crumble without him.

apple's product, r&d and marketing strategies are so crystal clear that i'll be surprised if they are not written in stone in some sacred mountain. having these strategies and thinking clear and solid ensures apple will thrive as a company for more years to come with or without steve jobs. unless, of course those who will replace jobs don't know how to read and can't think.

macworld will continue to be an event to watch. but it will be for a different reason. this time, it will not be for what jobs will say but it will be for what he will not say and who will say it.

after that event, i'll come back here and talk about what i understand and what i don't understand.

iphone reaches 10M sales, 3 months ahead of schedule. world domination is on track

Apple Profit Rises 26% as IPhone Sales Top Analysts' Estimates
By Connie Guglielmo

Oct. 21 (Bloomberg) -- Apple Inc. posted a 26 percent rise in profit as iPhone sales topped estimates and Chief Executive Officer Steve Jobs reassured investors the computer maker will pull through an economic slump. The shares jumped 15 percent.

``We may get buffeted around by the waves a little bit, but we'll be fine and stronger than ever when the waters calm in the future,'' Jobs told analysts in his first appearance on the earnings conference call in eight years.

Apple sold 6.89 million iPhones in the quarter, reaching Jobs's goal of selling 10 million handsets three months ahead of schedule. Gene Munster, an analyst at Piper Jaffray & Co., had estimated sales of 5 million. The demand for the iPhone, along with record shipments of Macintosh computers, helped investors look past a forecast that missed analysts' estimates.

``I still fully expect the company to gain share even in this turbulent economy,'' said Jim Grossman, an analyst at Thrivent Financial for Lutherans in Appleton, Wisconsin, which owns Apple shares.

Fourth-quarter profit advanced to $1.14 billion, or $1.26 a share, Cupertino, California-based Apple said in a statement. That beat the $1.11 a share estimated by analysts in a Bloomberg survey. Sales rose 27 percent to $7.9 billion in the three months ended Sept. 27.

Apple rose $13.40 to $104.89 in extended trading after closing at $91.49 on the Nasdaq Stock Market. The shares have lost 54 percent this year.

`Hyper Conservative'

Profit this quarter will be $1.06 to $1.35 a share and sales will be as much as $10 billion, Apple said. Analysts had predicted earnings of $1.66 a share and revenue of $10.6 billion, according to a Bloomberg survey.

``They're just being hyper conservative,'' said Piper Jaffray's Munster, who is based in Minneapolis. ``For the most part, they haven't seen the economic slowdown in their core businesses.''

http://www.bloomberg.com/apps/news?pid=20601087&sid=axueHSOtLHpQ&refer=home

iPod phone for $99?! iphone 3G sales - 3 million handsets!

there are two interesting points in this article :

• apple will most likely announce they sold 3 million iphone 3Gs since launch
• this analyst is speculating an "ipod phone" that will sell at $99 is being developed by apple

on both points, even if one is untrue means globe really screwed up on their pricing for the iphone 3G in the philippines.

aside from regularly updating their products in terms of performance, apple has been known for almost always reducing the prices of their products after a few months or years in the market. they are one of the few companies who are able to make their products better and sell them at lower prices.

ah, what a blunder for globe!

------------------

RBC says sub-$100 "iPod phone" market up for Apple's taking

Apple could announce sales of more than 4 million 3G iPhones at its media event next week, according to investment bank RBC Capital Markets, which also suggests the company may be looking into a low cost "iPod phone" to build on its momentum.

Analyst Mike Abramsky made the comments in a research note Wednesday, saying "resilient post-launch" sell-through has paced the company ahead of Wall Street's expectations and on target with his forecast of 5.1 million 3G units in the September quarter and 14 million total iPhone units for the calendar year.

Apple plans to hold a media event next Tuesday to usher in a refreshed line of iPod digital music players and unveil new iTunes services, but may also use the forum to provide an update on iPhone 3G sales, Abramsky said. He added that the Cupertino-based company has also promised by September a new version of iPhone Software (v2.1) with system-wide push notification support and improved GPS tracking, which may also make an appearance.

The analyst also used his report to toss around the prospect of a completely new device that could be brewing at Apple, but one that he does not expect at Tuesday's event. Though unsupported by any hard evidence, Abramsky said he has reason to believe the electronics maker is exploring the possibility of an "entry level, low cost (less than $99 subsidized) prepaid iPod/phone" that would be restricted to music playback and voice calls.Such a device would allow the company to "capture an untapped global opportunity," he said.

Marketing the pre-paid handset through retail outlets worldwide would provide a residual effect that would both "boost iPhone's momentum by 50 to 100 percent" while establishing future iPhone upgrades and enhanced global Mac sales.As is the case for the iPhone 3G, the current quarter is proving to be yet another breakout period for Mac sales.

Abramsky, who previously published the most bullish known estimates for Mac sales at 3.04 million units, said he stands by that forecast, which continues to see support from his firm's proprietary data.He sees refreshed MacBooks and MacBook Pros with "aluminum enclosures, larger multi-touch trackpads, and updated specs" arriving sometime after next week's iPod event. He also expects Apple's global PC market share to rise to 4.2 percent by next year, up from 2.9 percent in 2007.Abramsky maintains an Outperform rating on Apple shares.

source : http://www.appleinsider.com/articles/08/09/03/rbc_says_sub_100_ipod_phone_market_up_for_apples_taking.html





---------------

read WAWAM! posts on globe's iphone launch : http://the-wawam-file.blogspot.com/search/label/globe

read WAWAM! posts on the iphone here :http://the-wawam-file.blogspot.com/search/label/iphone

globe iphone 3G's pricing blunder

you have probably seen the tv ads for globe's iphone 3G, some print ads were also released and we see the posters in globe hubs for the iphone 3G. globe's iphone 3G ads exclusively talk about the excellent features and use of the iphone 3G. these marketing activities makes a lot of sense as globe is the only authorized dealer of the iphone.

clearly, globe is selling the iphone handset.

globe in the case of the iphone 3G has taken the role of handset marketer and seller, not anymore just a mobile service provider. in these iphone 3G ads, globe does not at all talk about their mobile services or plans. it's 100% talk on the iphone 3G as a handset.

and that is where the problem of globe's over-pricing the iphone 3G begins. i would even say that is where globe's marketing blunder in pricing also starts.

first, let's look at the consumer. based on globe's over-pricing of the iphone 3G and now it's advertising, it is obvious globe is targeting the upperclass, AB upper C target market.

these upperclass target market i would say already own a cellphone, i would think a high 99% of them own at least one cellphone and is already a current subscriber of a mobile phone service.

the marketing objective therefor of globe iphone 3G is to get the target market to switch from their old/current cellphone to the iphone 3G.

since globe is asking the target market to switch, or to change their old cellphone to the iphone 3G, consumers will naturally look into the features of the iphone 3G and compare these to their current handsets.

not only will consumers compare the features of the iphone 3G, they will also look into the price of the iphone 3G that globe is selling it for.

they will compare the iphone 3G's price versus the price they bought their current handset for, the present price of an equivalent model now and the top of the line models of nokia, sony ericcsson and samsung. and because these are from the upper class, they probably will go to t he internet and find out that THE IPHONE 3G HANDSET is being sold in the US for $199 or P10,000 while globe is selling exactly the same iphone 3G handset for P16,000 or P38,000.

that clearly says the iphone 3G as priced by globe is over-priced.

the first battleground that globe needs to win on their marketing push for the iphone 3G is handset sales. the question of mobile service subscription plan is a second stage battleground. they first need to win consumers on the handset battleground. if globe does not win their target market on that first battleground, their intended consumers WILL NOT move to the second battleground.

in fact i think this second battleground of mobile service subscription plan is actually not really a battleground. i think there is no war on that level, that globe does not even have to fight for anything at this level. why is that? for the simple reason that these target consumers of globe ALREADY OWN A CELLPHONE AND ALREADY HAS A MOBILE SERVICE SUBSCRIPTION PLAN (pre-paid or post paid).

in other words, these consumers are actually already spending money on a subscription plan. it's no big deal if they move from their current plan to a new one with the iphone 3G. it is the shelling out for a new handset, to buy the iphone 3G that is a new expenditure. and because that is where they will incur a new expense on, that is where the battleground of value or price comes into play. and in that battleground, globe lost because they over-priced it.



---------------
read WAWAM! posts on globe's iphone launch : http://the-wawam-file.blogspot.com/search/label/globe

read WAWAM! posts on the iphone here :http://the-wawam-file.blogspot.com/search/label/iphone

globe iphone 3G - over-pricing or good value?

to answer that question, we need to look into the consumer psyche. that's next in WAWAM! tonight.

---------------
read WAWAM! posts on globe's iphone launch : http://the-wawam-file.blogspot.com/search/label/globe
\
read WAWAM! posts on the iphone here :http://the-wawam-file.blogspot.com/search/label/iphone

globe iphone 3G - over-pricing caused a "not-for-me" brand image

the globe marketing people must be grumbling , the long lines and excitement did not materialize on the launch of the iphone. smart telecom marketing people on the other hand must be happy. the smart telecom people are happy because by pricing the iphone at the current levels, it meant globe decided not to use the iphone as the tool to take market leadership away from smart.

why did globe iphone 3G's sales disappoint? i don't think it's lack advertising or lack of promotion. the iphone 3G has been widely expected in this market. people were already waiting for it.

i think it's the pricing.

globe already gave us a hint that the pricing was the killer for their launch. many weeks ago, globe already announced their prices on the iphone. then weeks after that initial launch and around 3 days before the actual launch, they announced a "price roll-back". it's not actually a roll-back since they have not launched it yet, but that back pedalling on the prices told the iphone's pricing strategy was the biggest weakness in their launch plans. in fact we can say with the roll-back, globe admitted they made a mistake on the pricing of the iphone.

"value" or the perception of "good value" or "sulit" is always an issue among filipino consumers on almost everything. fail at communicating good value or fair value and the brand is dead in the market. it does not matter if this brand is the true superior product in the market place. if a brand is seen as inferior in good value, superior product performance will not matter.

and i think this is what happened to globe's iphone launch in the philippines. globe failed on their pricing strategy. i think globe committed this blunder on pricing for several reasons :

• they forgot that their target market, most likely AB, upper C already own a cellphone. they need to be given very strong reasons for them to buy a 2nd handset. they will already be "wasting" the money they invested on their current cellphone, they need a really smart reason to buy the iphone. pricing the iphone at the current levels made them feel it's not worth the investment.
• globe also forgot that their target market most likely own a computer and has access to the internet and read newspapers and magazines. that means they most likely know the iphone has been launched in other markets ahead of the philippines. and they most likely know the iphone is being sold at $199 in the US. looking at globe's announced iphone handset pricing, all notions and hopes of "good value" disappeared.

the instinct of the globe brand manager who "rolled-back" the iphone's price was right. it was just that the price action was too little.

i'm also wondering - did globe forgot to read the newspapers in the last few months? this country has been punished by inflation, the highest in 17 years, gas prices in certain times were being increased on a weekly basis, there is a rice and food crisis and growth has slowed. given that scenario, good value, if not prices have become increasingly very important to consumers. and in that most important criteria, globe's iphone launch failed.

---------------

read WAWAM! posts on globe's iphone launch : http://the-wawam-file.blogspot.com/search/label/globe

read WAWAM! posts on the iphone here :http://the-wawam-file.blogspot.com/search/label/iphone

globe iphone 3G launch - no long lines, hardly new subscribers

went to the globe business center at the shangrila in pasig. it was mostly empty, except for the banners announcing the availability of the iphone and a small white table on top of which was a white mac but no one seated on the chair and more importantly no customers buying the iphone. unlike in other markets in europe and in the US, lines did not form to buy the iphone. talked to the person at the door, and he confirmed as of that hour, which was around 4pm, nobody has come to buy or even to inquire about the iphone.

it's most likely the pricing. as posted in this blog, it is an over-priced handset given that most people most probably know that in the US, it was sold only at $199 a handset.

which leads us to an important question - with very few people wanting to buy the iphone, why did globe make the people who reserved the iphone before launch wait for them to get their iphones? what's keepin globe from immediately giving the iphones to those who reserved them?

getting the iphone as fast as they can to the hands of subscribers in fact is to the advantage of globe. it has the potential to create buzz. what was the point of making them wait?

it would be interesting how the press and globe play up this launch.

---------------
read WAWAM! posts on globe's iphone launch : http://the-wawam-file.blogspot.com/search/label/globe

read WAWAM! posts on the iphone here :http://the-wawam-file.blogspot.com/search/label/iphone

The Top 13 Serious Questions Serious Buyers Of The Iphone Should Ask Globe

you already know you are paying an obscene amount for the iphone and that you allowed globe to make an obscene amount of profit on the iphone handset sale. you also know the iphone as of this writing and as you are reading this is having a lot of hardware and/or software problems. while apple and in fact steve jobs himself said they will be fixed sometime in september, that might not be of any comfort to you as you will get your iphone tomorrow or in the coming days.

when you go to the globe store or when you call globe customer service to inquire about the iphone or when you get your iphone, make sure you ask the following questions:

1. how extensive is globe's 3G network? are all of globe's cell sites on 3G? exactly where is this available and where are they not available? the iphone connects to 3G networks, it there is none in the area you are in, it will connect to EDGE and that slows down the whole thing and is the reason why the iphone is unable to make a call or calls are dropped often.
2. what is the firmware saved on the iphone that is being handed to you? is it the latest?
3. did globe actually try using the new firmware in the philippines? did it work? there have been reports that the latest firmware did not work for some.
4. if they tell you the latest firmware has not yet been loaded into your iphone - do not leave the globe store and ask them to load it for you right in the store if that is possible. and once loaded, try the iphone to see if it works.
5. 3rd party applications are unable to run on the iphone because of a software bug, ask them if it's wiser for you not to upload any 3rd party application until it is fixed in september.
6. if the iphone turns into a brick for whatever reason, where do you go for fixes? globe? or apple?
7. and how long will they be able to fix it?
8. while they are fixing your iphone, will globe give you a replacement cellphone to use9?9
9. if you give the iphone to globe for fixing, does globe themselves fix it or do they send it to apple? the latter means a much longer servicing time. the apple service center takes anywhere from 1 to 3 weeks to fix anything.
10. how long is the battery life? how many hours will it last after being fully charged if used only as a cellphone? if used as a cellphone and as an ipod?
11. exactly what areas in the philippines is covered by globe's internet service?
12. how fast is this? the iphone comes with a number of internet hours for free. there is a big difference in the amount of data you can view when an internet connection is slow versus one that is fast.
13. there is a version 2 of safari, has this been loaded into your iphone? if not, you have to go to the itunes store and buy it. do you have a credit card that you can use to pay for this software?
    

---------------

read WAWAM! posts on globe's iphone launch : http://the-wawam-file.blogspot.com/search/label/globe

read WAWAM! posts on the iphone here :http://the-wawam-file.blogspot.com/search/label/iphone

part 6 : globe's iphone 3G pricing a good time to launch or just a "good time"?

i both agree and disagree with the analysis on the timing of globe's launch of the iphone. i agree that consumers, even high income ones are now more value conscious than before. we also know that in times of economic worries, the tendency specially among high income consumers is to at least delay purchase of high ticket items.

i agree with the analysis that within that framework, globe's iphone launch is bad timing as of the moment BUT ONLY IF globe launches the iphone at the price they have set it. it is a highly over-priced product specially that philippine consumers, specially the high income ones are aware that the iphone is being sold in the US only at $199 or equivalent P9,032 versus their declared price of P15,100 for plan P1,599 and for pre-paid buyers at P37,599.

in fact this prevailing attitude of looking at value before making high ticket purchases may be the best time to launch the iphone IF glone launches the iphone at the same US price of $199.

at $199 or P9,032.00, all consumers will view the iphone as giving the BEST VALUE given the low price together with superior technology and features, bar non and superior brand image, bar non. given the iphone brand image and verifiable superior features, many will most likely see the iphone as dirt cheap.

and that goes to the point i have raised earlier where we are saying the iphone may be used by globe as their weapon of choice to gain new users and most specially a substantial number of switchers from smart and eventually become market leader in as short as two year's time.

unfortunately, based on the pricing that globe has announced, globe seem to have decided they do not want to use the iphone as their weapon to gain market leadership. smart telecoms must be relieved of globe's decision on its pricing on the iphone.

------------

http://newsinfo.inquirer.net/breakingnews/infotech/view/20080818-155357/Timing-not-so-good-for-iPhone-3G-in-RP-says-analyst




Timing not so good for iPhone 3G in RP, says analyst
By Lawrence CasirayaINQUIRER.net

MANILA, Philippines--Despite the hype surrounding Globe's forthcoming launch of the iPhone 3G, one analyst believes Apple's latest device is coming to the Philippines at a very bad time.


"The iPhone's roll-out in the Philippine market came at a very bad time," said Benedict Ferrer, analyst for XMG Asia Pacific. Globe is scheduled to launch the iPhone 3G on August 22. The operator initially announced earlier this month that it would sell the device for prepaid accounts at P41,899 and P48,899, for the 8-gigabyte and 16-gigabyte models, respectively.


Last Friday, Globe announced price rollbacks and said it would sell iPhone 3G prepaid kits starting at P37,599 (8Gb) and P43,799 (16 GB)." Despite of the price cuts made by Globe, technology consumers are now very cautious on spending for high-end luxury items due to spiraling food and transportation costs," Ferrer said in comments e-mailed to INQUIRER.net.


He believes Globe's revenue growth from iPhone subscriptions will still be limited due to "application cost, value proposition and application usage acceptability among consumers." In terms of preference, he said consumers in general will still prefer prepaid plans primarily because these do not have a "lock-in" contract with Globe.

The iPhone 3G is also available via postpaid subscriptions ranging from P1,599 to P4,999 in monthly fees. "iPhone's brand recognition, market positioning and loyal followers will provide the strategic advantage in capturing high-end techno savvy consumers versus other smart phone brands," Ferrer said.


Globe's prepaid plans come with P1000 in load credits spread over five months, or P200 per month. Also, the first 1,000 phonekit purchases will get an additional P1,000 discount off the purchase price, Globe said in last Friday's announcement.

---------------

read WAWAM! posts on globe's iphone launch : http://the-wawam-file.blogspot.com/search/label/globe

read WAWAM! posts on the iphone here :http://the-wawam-file.blogspot.com/search/label/iphone

what ails the iphone

there are two problems: a) the iphone is unable to connect to 3G networks and b) 3rd party applications won't run.

read articles here :

http://www.theregister.co.uk/2008/08/20/iphone_new_version/
http://blogs.computerworld.com/iphone_firmware_update_woes_continue
http://www.appleinsider.com/articles/08/08/19/steve_jobs_vows_iphone_app_crash_fix_for_september.html

google the problem and many other articles will pop up.

apple released a firmware update yesterday for the connection problem to 3G networks but there are still complaints. the other problem, 3rd party applications not being able to run will be fixed in september.

that means philippine buyers of the iphone from globe might have a dead phone when they get it. customers will need to update the firmware first and hope for the best that it will be able to connect. unless of course globe takes it upon themselves to first update the firmware before they hand over the iphone to their customers.

it would also be wise for philippine customers to ask globe if its wiser not to upload any 3rd party application until september. if customers download them now, they might not run and might cause more problems.

let's see if globe's sales personnel and customer service are up to the task before them.







-----------

read WAWAM! posts on globe's iphone launch : http://the-wawam-file.blogspot.com/search/label/globe

read WAWAM! posts on the iphone here :http://the-wawam-file.blogspot.com/search/label/iphone

The Top 10 Reasons Why I Am Not Buying Globe's Iphone

10. i keep reading nasty problems with the iphone - battery life sucks, it shuts down on it's own, connectivity problems, turns into a brick, unstable software, etc. the iphone 3G is just on it's 1st year, apple products are always at their best on year 3 or year 4.

9. i already have a cellphone and it's doing great.

8. i have a nasty feeling globe will repent and will be forced to eventually reduce their prices. so why buy now?

7. globe's landline and internet services suck big time! many of their internet subscribers want to burn down globe. if they have not improved on this over the years, how much more worse will it become with a new product like the iphone that is very much into the internet?

6. i am not a techie. the iphone is a lot like a twin to the internet and very much into frequent upgrades and synchronization on the net. if something goes wrong, i don't think i can fix it. what if my computer crashes? i lose all the data and all the goodies. it will be a pain to transfer to another computer.

5. what if something goes wrong with the iphone? or i need to replace the battery? i won't have a cell phone for 2, 4 to 6 weeks!? argh!

4. what, deal with globe's customer service? that scares the hell out of me. how much do they know about the itunes and the internet? it's hard enough being able to contact them now, what more with additional iphone users?

3. battery life is one big issue. with all the other goodies in the iphone, i don't think i can stop myself from using it more on things other than as a cellphone like text or voice calls. and those other things WILL discharge the battery. i need a cellphone to send/receive text and voice calls and i want that available to me 24/7. using the other goodies in the iphone puts me at risk of discharging the battery and losing it's primary function of being a cellphone for text and voice calls.

2. i feel very cheated in having to pay the over-pricing of the iphone by globe. can't stand the thought i'm allowing globe to screw me. imagine, i would have the feeling of being screwed for 2 years, the lock up period.




and the number 1 reason why i am not going to buy globe's iphone is:

1. i already own an ipod touch and it's great! i am able to enjoy all the goodies of the iphone without having to deal with any of the current and future bad things about the iphone and most specially globe, read - # 2 to # 10, above. most of the coolest stuff on the iphone are on the ipod touch.





----------
read WAWAM! posts on globe's iphone launch : http://the-wawam-file.blogspot.com/search/label/globe

read WAWAM! posts on the iphone here :http://the-wawam-file.blogspot.com/search/label/iphone

other things to consider before buying globe's iphone

there are other considerations that consumers will need to look into when they buy globe's iphone. aside from it being overpriced, meaning globe is taking an almost obscene profit on handset sales, look into these things:

battery life seem to be a killer for the iphone. reviews have mentioned it's extremely short. to make it work well for you the whole day, you will need a charger in your office and in your car.

an internet connection and a computer is a must. the iphone is very popular for it's regular need to update it's software from the apple website.

you cannot replace the battery yourself, you have to bring your iphone to the apple service center for that. in the philippines, iphone batteries from apple itself are very expensive, something like P3,000 per battery.

waiting time for apple to repair anything is quite long, anywhere from 2 to 4 weeks. that includes replacing batteries.

getting the iphone serviced in the philippines will be very difficult. this is very much unlike the nokias that most people are familiar with. having a nokia serviced with almost every mall having a service center is still a real pain, what more for apple where it's service centers are too few?


read here an iphone owner's story:
http://www.washingtonpost.com/wp-dyn/content/article/2008/08/19/AR2008081900479.html




-----

read WAWAM! posts on globe's iphone launch : http://the-wawam-file.blogspot.com/search/label/globe

read WAWAM! posts on the iphone here :http://the-wawam-file.blogspot.com/search/label/iphone

are there enough consumers who will bite the iphone overprice?

it's interesting that globe even before it actually launched the iphone reduced the prices for the iphone. news and blog reports said they did so as globe got so much flak for the pricing strategy they initially announced for the iphone, thus they rolled back the prices.

it's a very strange move to roll back prices even before you launch a brand. obviously something must have happened since the time they first announced their over priced iphone.

it's good they have reduced the prices, but that's not enough. the iphone are still over priced.

in the philippines, the issue is ALWAYS about cash outlay and value. that's the reason why the philippines has evolved to be the largest market in the world for SMS - because of low cash outlay of 1 peso/txt and that spells good value.

paying that amount for a cell phone that YOU KNOW is being sold at $199.00 only makes its buyers more than just being ignorant but probably enjoys paying much more for things than what they are actually worth.

will globe find enough new subscribers who are willing to bite into their overpriced iphone?






----------
read WAWAM! posts on globe's iphone launch : http://the-wawam-file.blogspot.com/search/label/globe

read WAWAM! posts on the iphone here :http://the-wawam-file.blogspot.com/search/label/iphone

part 5 : globe's iphone launch strategy : double the price, take a pass on the chance to market leadership

here is the bottom line for globe on the iphone launch - it has missed the boat on many things in their marketing launch plan for the iphone.

what a shame and what a waste - globe passing up the chance to take market leadership from smart. globe's very high and out of reach pricing strategy on the iphone shows globe is treating the iphone just like any other other new cellphone model. globe has totally missed the point on the true power of the iphone and what it can do to it's market share.

globe decided to take a marketing strategy of taking short term profits on the sale of the iphone handsets over long term market share growth, user base expansion and market leadership. they preferred profits on cell phone unit sales over increase in number of subscribers.

the true value of the iphone is it is an irresistible magnet to consumers. and if we are going to read the marketing strategies behind the iphone's world domination marketing plan, we will most likely read these statements:

1. superior product features and capabilities, bar none
2. superior brand image, bar none
3. superior pricing, if not highly competitive pricing

globe has grossly missed the point that the whole story behind the iphone is all about the increase in number of subscribers. the whole marketing strategy put behind the iphone is global domination, it is about numbers - the number of iphones sold. number of iphone units solds translates to exactly the same number of subscribers!

this was nurtured for the iphone from day 1. the iphone was launched just a year ago - it had industry leading features and in fact took the whole market into a whole new different playing field. it's price was very stiff but it continued to sell just the same and to wow consumers and the industry.

the net effect of the iphone's year one was --- superior product and superior brand image. while the iphone achieved it's year one cell phone unit sales objective, everyone knew the only barrier to world domination was it's price.

that is what they fixed on year 2 with the launch of the iphone 3G this year. the highly aggressive 50% off $199 pricing was meant to silence all other competitors. here you had industry leading features, industry leading brand image and what did they do? added 3G and dropped the price like hell. in marketing terms, that's a very clear signal that the iphone is on it's way to world dominance. that kind of pricing is meant to close down all competition. it has been successful so far. it has now sold more than 3 million handsets.

we are talking here of only year 2 for the iphone! think of what will come next on it's year 3! the iphone juggernaut has only just began. we all know what apple is capable of, specially on technology, innovation and design. if we are all wowed by the iphone now, we will be blown away on year 3.

think what the ipod has achieved! the scale of success and numbers that the ipod has achieved is what the iphone intends to do. and globe did not see that?

this is the other part that globe has failed to see. we think globe can easily take market leadership away from smart with the iphone in a very short two year's time. it's amazing how globe can choose profits on a few handset sales versus 15 to 20 million new subscribers by next year! the numbers that globe is missing on their current iphone marketing strategy is staggering!

we think the marketing strategy that globe has decided on the iphone is a monumental failure of missed opportunities.

we are talking of monumental missed business opportunity just on their mobile service business. the other huge missed opportunity is on their wifi internet business. pldt dominates this segment of the market. globe has launched their own internet service but it is nowhere near what pldt has done.

the iphone 3G, together with it's wifi capabilities could have trampolined globe into becoming a real threat to pldt on internet services. use of the iphone for internet browsing is of course very different and inferior versus using a laptop or a desktop but they could have used their internet use through the iphone as a consumer base to convert them into subscribers to their telephone based laptop/desktop internet subscribers at home.

it's really hard to understand how globe's plans for the iphone misses many of the facts about the iphone and how it has failed to see the long term view.

read WAWAM! posts on globe's iphone launch : http://the-wawam-file.blogspot.com/search/label/globe

read WAWAM! posts on the iphone here :http://the-wawam-file.blogspot.com/search/label/iphone

part 4 : iphone 3G philippine launch - globe gives up chance to market leadership

WAWAM! is of the opinion that with the 3G iphone, globe has an excellent chance in gaining market leadership over smart in the philippine mobile service market. the iphone has all the right ingredients - a pedigree of success in other markets, a hands down "it" cell phone image, no debating it is the must-have cell phone today.

it's features and capabilities are unmatched by its competitors. more importantly, it has been priced in the US at $199.00. at today's peso - US$ exchange rate of P45.39, that's just P9,032.61. with its features and brand image, that is dirt cheap.

the iphone was launched in the US a year ago at double the price. the price cut apple did when they launched the 3G ("twice as fast, half the price") was meant to achieve market leadership.


and that is exactly where the problem is in globe's planned launch of the iphone - it's pricing. globe has originally announced a very high price on the iphone but just last friday announced a new lower pricing. but the new lower pricing is still way too much compared to the US price and the iphone's implied pricing strategy.

the lowest plan is at P15,100, that is a +67% versus the iphone pricing strategy equivalent peso of P9.032 at the lowest post-paid monthly fee of P1,599 here at globe.

for existing post-paid subscribers, subs of the lowest monthly rate will need to pay P29,000 for the iphone or equivalent US$638.90 or +220% versus the pricing strategy of US$199 in the US.

these pricing structure tell you globe's marketing strategy in their launch of the 3G iphone is not to gain market leadership but to make a huge profit on the iphone sales. it looks like they do not believe the iphone is capable of pushing globe to market leadership.

this is short sighted marketing and i think a fatal mistake. this is a one time chance to gain market leadership for them but they passed it up for short term profit. what a shame and a WAWAM!





read WAWAM! posts on globe's iphone launch : http://the-wawam-file.blogspot.com/search/label/globe

read WAWAM! posts on the iphone here :
http://the-wawam-file.blogspot.com/search/label/iphone


read more about globe's iphone pricing here:
http://blogs.inquirer.net/m-ph/2008/08/18/globe-rolls-back-3g-iphone-prices/
http://www.mukamo.com/globe-sell-iphone-3g-philippines-august-22-price-41899-pesos/

iphone as fulcrum towards market leadership

AT&T's iPhone bet not a big gamble
Analysis: Carrier to pay more up front, but analysts see big payoff

By Jeffry Bartash, MarketWatch
Last update: 3:00 p.m. EDT July 10, 2008

WASHINGTON (MarketWatch) -- By slashing the price of the iPhone to $200, AT&T Inc. hopes to lure millions of new customers to its wireless service, already one of the largest in the nation.
But the cost is steep -- perhaps as high as $2 billion over the next year and a half.
Is it worth it? "Absolutely. You bet," said AT&T spokesman Mark Siegel.

AT&T's enthusiasm for the iPhone, which arguably has revolutionized the nascent market for handheld computers, is easy to explain. The device has given AT&T a leg up on rivals, generated an avalanche of publicity no money could buy and, most important, prodded iPhone owners to spend much more than the average wireless user.

It's hard to find industry analysts who would color this rosy hue a darker shade. While Wall Street is less enthusiastic about the initial cost of the new strategy, the prevailing view is that AT&T will more than recoup the cost of heavy subsidies for new buyers.

"This is going to bring more customers in the door," according to analyst Todd Rethemeier of Sur Terre Research.

The new 3G iPhone from Apple Inc. launches in stores across the globe on Friday. The device runs on faster 3G networks and carriers a lower price point than its predecessor. It also comes stacked with applications designed to appeal to more corporate users, such as the ability to actively synchronize with Microsoft Outlook.

Main Street appeal

When AT&T and Apple launched the first iPhone last summer, the device was priced at $500 to $600. That was quickly reduced in fall 2007 to $399 for the least-expensive model. So far, more than 6 million iPhones have been sold.

Yet since the vast majority of consumers spend $100 or less for phones, AT&T and Apple effectively locked themselves out of most of the market. The sharp price reduction in the second-generation iPhone underpins a strategy to reach a much wider audience.

http://www.marketwatch.com/news/story/telecom-report-att-makes-big/story.aspx?guid=%7BFBAEFD6F-C0E0-421F-8B85-339D1CED2B82%7D&dist=hpts

memo to globe : some research data on iphone buyers

this is not exactly and completely applicable to globe's iphone 3G launch, but here's a bit of data that can spark a few ideas. consumer information like this would be critical to the success of globe's launch of the iphone 3G.

double click image to enlarge or go to link to view and read article.

http://blogs.zdnet.com/BTL/?p=9315

iphone 3G sells 1 million phones on its weekend launch

this is the power of the iphone 3G - selling 1 million phones over a week-end when the original iphone reached that level in 74 days.

globe telecom should gain more confidence for their own launch.


===============

IPhone 3G Rings In One Million Sales

In its first weekend of sales, Apple's 3G iPhone connected with consumers, pushing sales to one million units after just three days on store shelves. Despite software glitches and collapsed servers, analysts declared the launch a success and expect Apple to surpass its goal for ten million sold iPhones by the end of the year.

"IPhone 3G had a stunning opening weekend," said Chief Executive Steve Jobs Monday. "It took 74 days to sell the first 1.0 million original iPhones, so the new iPhone 3G is clearly off to a great start around the world."

Part of the phone's appeal is its price. At $199, the new version is 60.0% cheaper than the original's starting price of $499. It also boasts a faster Internet connection and a global navigation system hookup in addition to the easily organizable touchscreen and sleek design that made the original a must-have for gadget geeks and connectivity cravers. (See " The Real iPhone Arrives.") Apple expects to sell 10.0 million iPhones this year. The phone is currently available across Europe, Australia, Mexico, Japan and in North America and Hong Kong. The phone goes on sale in France on July 17.

Analysts are already projecting that Apple will surpass its own expectations. Mark Abramsky of RBC Capital Markets, expects Apple to ship 14.0 million iPhones by the end of this year and 24.0 million by the end of 2009. Although the 3G's low price makes it more financially appealing than its predecessor, the new version carries heftier service fees and the battery doesn't hold its charge as long.

http://www.forbes.com/equities/2008/07/14/apple-iphone-closer-markets-equity-cx_mp_0714markets36.html


more on this, next in WAWAM!...