Apple's Communication

TABLE OF CONTENTS

• Executive Summary----------------------------------------------------------------------------------------2 • Introduction--------------------------------------------------------------------------------------------------2

1. What is Apple?-----------------------------------------------------------------------------------------------4

2. Apple Inc. External Communication a. Survey Monkey Results Analysis---------------------------------------------------------------------6 b. Phone call and Letters from Apple Analysis---------------------------------------------------------7 c. Advertisement Analysis--------------------------------------------------------------------------------9 d. Apple store staff interview Analysis (External)-----------------------------------------------------9 i. Store Observation (External)----------------------------------------------------------------10

3. Apple Inc. Internal Communication a. Apple store staff interview Analysis (Internal)----------------------------------------------------10 b. Store Observation (Internal)--------------------------------------------------------------------------11

4. Conclusion---------------------------------------------------------------------------------------------------11

5. Appendix-----------------------------------------------------------------------------------------------------12 a. Primary Research A(Surveymonkey.com results summary)-------------------------------------12 b. Primary Research B(Apple store staff interview summary)--------------------------------------17 c. All secondary sources---------------------------------------------------------------------------------17

Executive Summary

We tried to find Apple’s success through their business communication. As you know, Apple is one of the most successful companies all over the world. They offer to iPod, iPhone, iPad, MacBook and so on, and many customers like them. To find their success, we focused on their external and internal communication by doing SurveyMonkey, Apple’s letter analysis and Apple store staff interview. First, we surveyed Apple customers who are using apple products on SurveyMonkey (http://www.surveymonkey.com) to understand that what they think about Apple, what they feel about Apple store staff members etc. We collected 30 customers answer from October 19th to October 23th, 2010. Second, we tried to analyze phone call and letter from Apple. Example phone call and letter are concise and very friendly. You might be able to understand Apple’s culture and communication style. Also, we did Apple’s advertisement analysis, too. Finally, we went to an Apple store in San Francisco to interview with Apple staff members and to observe how they communicate with customers and another staff member. Through our report, you can know that what Apple customers think about Apple and roots of Apple’s communicate.

Introduction

It is universally agreed that one of the world successful companies is Apple. What elements make Apple be world best company? If we ask this question to people, maybe they will say "Because of Apple's marketing strategy"; for example, from iPhone to iPad and MacBook. But in this report we want to focus on not Apple's marketing but Apple's communication ways. First, in terms of internal communication way, we are discovering how Apple communicates with customers who are visiting Apple and wanting to buy Apple products. Second, we try to find their external communication about how Apple staffs communicate with peers or their superior.

Purpose and Scope The purpose of this report is to find out how Apple communicates with not only staffs and staffs but also staffs and customers. Through this project, we can figure it out what kind of communication ways has given them success. In this report, first, we will mention about Apple Inc.; company mission and history. But, basically we will focus on two topics: the way of external communication between Apple staff and customers, the way of internal communication between peer and peer or staff and superior. We will not discuss Apple's marketing strategy. Also, we will not discuss Apple's technical skill related with iPad, MacBook, iPhone and so on. Even though Apple's marketing and technical skill take large possession of Apple’s success in this report, we concentrate on Apple's communication.

Methods First, to understand Apple's internal and external communication way apparently and correctly, we went to an Apple store where is located in San Francisco downtown. Before we go to the Apple store, we made an interview sheet related with Apple's internal communication and then we tried to interview toward Apple staffs who work in Apple store now. And also, to figure out external communication way of Apple staffs, we observed them how they treat customers and we tried to be customer looking around Apple store to talk with Apple staffs pretending to be real customer. Second, we used SurveyMonkey that is online official survey website to understand satisfaction of customers who have had experience using Apple products like iPhone, iPad and so on. Third, we analyzed Apple's letters between customers and employees. Throughout analyzing Apple's letters we understood how Apple can communicate with customers using letters not in person to solve customer’s problem and understand customer’s request. Forth, we showed 2 video flips related with Apple’s communication with customer to help you understand Apple communication.

Limitation Apple is a big company and a successful company. So it is natural for company to want to know Apple's strategies and imitate Apple's way that is from marketing to communication. For these reasons, Apple staffs feel not comfortable when we tried to ask sensitive questions; for example, "Every morning do you have a staff meeting?" "What kinds of customer training did you take?" So, we tried to pretend to be customer and asked question naturally. But, because of these reasons, we are more focusing relationship between customers and staffs than their internal communication.

1. What is Apple?

Apple Inc.(NASDAQ: AAPL; previously Apple Computer, Inc.) is an American multinational corporation that designs and markets consumer electronics, computer software, and personal computers. The company's best-known hardware products include the Macintosh line of computers, the iPod, the iPhone and the iPad. Apple software includes the Mac OS X operating system; the iTunes media browser; the iLife suite of multimedia and creativity software; the iWork suite of productivity software; Aperture, a professional photography package; Final Cut Studio, a suite of professional audio and film-industry software products, Logic Studio, a suite of music production tools and its iOS Mobile Operating System. As of August 2010, the company operates 301 retail stores in ten countries, and an online store where hardware and software products are sold. Established on April 1, 1976 in Cupertino, California, and incorporated January 3, 1977, the company was previously named Apple Computer, Inc., for its first 30 years, but removed the word "Computer" on January 9, 2007, to reflect the company's ongoing expansion into the consumer electronics market in addition to its traditional focus on personal computers. As of September 26, 2009, Apple had 34,300 full time employees and 2,500 temporary full time employees worldwide and had worldwide annual sales of $42.91 billion in its fiscal year ending September 26, 2009. For reasons as various as its philosophy of comprehensive aesthetic design to its distinctive advertising campaigns, Apple has established a unique reputation in the consumer electronics industry. This includes a customer base that is devoted to the company and its brand, particularly in the United States. Fortune magazine named Apple the most admired company in the United States in 2008 and in the world in 2008, 2009, and 2010. The company has also received widespread criticism for its contractors' labor, environmental, and business practices.
Reference: http://en.wikipedia.org/wiki/Apple_Inc

Slogans

Apple's first slogan, "Byte into an Apple", was coined in the late 1970s. From 1997–2002, Apple used the slogan Think Different in advertising campaigns. The slogan had a lasting impact on their image and revived their popularity with the media and customers. Although the slogan has been retired, it is still closely associated with Apple. Apple also has slogans for specific product lines — for example, "iThink, therefore iMac" was used in 1998 to promote the iMac, and "Say hello to iPhone" has been used in iPhone advertisements. "Hello" was also used to introduce the original Macintosh, Newton, iMac ("hello (again)"), and iPod.

Reference; http://en.wikipedia.org/wiki/Apple_Inc

2. Apple Inc. External Communication

a. Survey Monkey Results Analysis

Most people today have at least one Apple product. We can see thousands of MacBook, iPod and iPhone users from around the world easily. Why are they enthusiastic about Apple products? Are Apple products better than other products? or is there any Apple’s own special strategy for customers? If Apple users are satisfied with Apple, how is relationship between Apple staffs and customers? In this part, we would like to know the relationship.

We had been surveyed Apple customers who are using apple products on SurveyMonkey (http://www.surveymonkey.com). Total 30 customers answered the questions from October 19 to October 23, 2010 and we found the results as follows. Apple users in the survey are almost 20’s, which is 80%. They bought Apple products, following iPod on the list, iPhone and MacBook. People got the products through acquaintances whose have Apple products already, advertisement on newspapers, internet etc. Most Apple users, which are 73.1%, bought their products in Apple store. Some people bought it from Apple website, but the amount of people are only a few. We can guess that people feel easy and comfortable to get products it through the offline store, not through the website. The reason could be satisfaction of staffs. People on the survey commented that apple staffs are kind and can answer their questions, and they can get more information about products from staffs. Sometimes the products make people feel annoy, because there could be a problem. In this case, people find the Apple store to fix the products. People who visited the store are satisfied with the customer service. The staff had a perfect service process and they were very exactly about appointment. Through the customer service, Apple can get customers’ credibility. So, 26 out of 30 people are willing to buy new Apple products next time. People are satisfied with useful and fashionable Apple products and staffs who know what customers want.

b. Letters from Apple Analysis

Example (1) Context

On 2005, an Apple’s fanatic Italian costumer named Alessio Ferraro, who also used to maintain a website called “All About Apple.com” decided to gather all of his apples relics and start a museum about his passion. Couple of months later, while researching comments on the internet, Brett M. from the Marketing Department of Apple in Cupertino - California, discovered his plans and decided to call Alessio and send him a letter. Here is the transcription of the phone call and the letter (Figure 1) that he received among with 250 Apple stickers, dozens of new posters, and tree T-shirts.

Hear the phone call, inside CD.

"Hello, I'm Brett M. and I'm calling from Apple Computer in Cupertino, California. We saw the news that you've opened Apple Museum, and we actually send to you a package, just full of Apple material...; we congratulate with you for opening the Apple Museum, I took your information on your website of how to reach you, and I tried to mail to you a package but DHL said to me that there was problem finding address you indicated....

So please could you contact me, you can call my cellular phone at 555-XXX-XXX, in the United States, or you can email me, again my name is Brett M., [e-mail], so we can redirect the package.

So... congratulations for opening museum... bye bye"

Reference: http://www.allaboutapple.com/blog/

Phone Call and Letter Analysis

Both of Bret’s messages are very friendly, and informal as if he was talking to a friend. He begins both of his messages with an intimate “Hello”; he also is very concise and direct, giving the good news and most important information in the beginning of the phone call and the letter. Still about the letter after giving the good news on the first sentence, Bret makes a little joke about the fact that the people of “All about Mac” have more pictures than Apple itself. This once more reflects the casual and outgoing way of Apple.

Finally, both letter and phone call, ends with a thanks and congratulate wishes from the “Marketing Communications and the rest of Apple Computer”, as the (hand written) signature on the letter shows.

c. Advertisement Analysis

See the attached CD.

Analysis

Apple’s advertisements are known to be simple, clear and very easy to understand as its own products. This last campaign, called “Get a Mac” (2006 - 2009), reflects these points in a very funny, but very informative way. Through these advertisements, Apple try to present itself as a modern, young, and very outgoing company, with a informal, cool, speech and image; comparing with its bigger competitor - Microsoft which is presented with a old, tidy, nerd and complex company. The key point for the success of this campaign, among with the comedy, is the Mac and PC personified characters, which in the eyes of the potential consumer builds a more human and friendly image, instead of just talking about the qualities of an object or machine.

d. Apple store staff interview Analysis (External)

We went to an Apple store in San Francisco (One Stockton Street) for interview on Oct 19th. One of staffs; they are called “Specialist”, answered our questions. His name was Gavin Vallandigham and he has worked there for 2 years.

He answered that their mottos for treating customers are “out-going”, “sociable” and “friendly.” Also, they hire employees along these criterias. When we went there, it was busiest time in a day. He told us at that time that even if the situation was so busy or difficult, we don’t forget mottos which are “out-going”, “sociable” and “friendly.”

i. Store Observation (External)

There were a lot of staffs there at that time because it might had been busiest time in a day we mentioned before. All staff’s uniforms were standardized blue colored shirts. Customers can touch and try most Apple products for free. We tried to speak staffs, and they were friendly and kindly Gavin who we interviewed told. Each staff were standing or sitting next to each customer and they did face-to-face communication. Also, staffs tried to explain as much as possible what the product could do. These are usual things, actually. However, simple and minimum might be clear, clever and effective communications for consumers. Furthermore, workshops about different programs and applications are delivered by staff members everyday in the store. According to Apple store in San Francisco website, one to one shopping and these workshops can reserve on the site.

3. Apple Inc. Internal Communication

a. Apple store staff interview Analysis (Internal)

They have staff meeting every morning, but the detail couldn’t hear. We also asked about their training, but these answer couldn’t get because of company secrets. Gavin told us that sometimes their CEO Steve Jobs comes to the store and he just walks in the store without conversation. It might be a kind of communication, but it is interesting. Finally, we asked about how satisfying his job in an Apple store, and he answered “100%.” with confidence and grin.

b. Store Observation (Internal)

When we went there, we could see the good internal communication scene luckily. It was “Good-bye ceremony” for one of staffs left the store the day. All staffs gathered entrance and were waiting for the staff. When tha staff appeared at second-floor, staffs (also, customers) started giving him a big hand and hugged him. We could glimpse into their internal communication. It was so impressed.

4. Conclusion

In the interview, we asked “When you hire a new employee, what is the most important thing?” The staff answered “It is employee’s personality. We want to hire employees who are out-going and sociable.” We think answer to understand the way that Apple communication is that answer above. First, in terms of internal communication, hiring employees who out-going, sociable and friendly helps their communication well between superior and staff members or a staff and a staff. For example, Apple employees are always friendly and they have positive mind even though they are in so busy situation or they are tired. It makes their atmosphere lively and fun. Also, every Apple employees from Steve Jobs to new employees do their best with smile. Second, in Apple’s external communication, when customers meet staff members, they feel comfortable and happy, because, they are friendly and sociable. For this reason, after customers visited an Apple store, they feel satisfying and they want to buy Apple products again. It is not only their design but also their behavior to communicate with customers. Before we started to research about Apple, we thought that Apple’s marketing (ex. simple design, Apple advertisement etc.) is the reason to their success, but, after we finished our survey about Apple business communication, we knew that Apple also tries to do their best to improve their business communication to their success. Out-going, sociable and friendly; these three keywords are main points of Apple business communication.

5. Appendix

a. Primary Research A(Surveymonkey.com results summary)

We had been surveyed Apple customers who are using apple products on Survey Monkey (http://www.surveymonkey.com). Total 30 customers answered the questions from October 19th to October 23th, 2010 and we found the results as follows.

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b. Primary Research B(Apple store staff interview summary) We went to an Apple store where is located in San Francisco for staff interview on Oct 19th. One of staffs who is named Gavin Vallandigham answered our interview. Our interview questions are the following.

(External Communication) • How training are staffs doing? • What is motto for treating customers? • What kinds of person does Apple employ? • If you see a rude customer, how are you going to treat the person? • What are difficult things to work in Apple store?

(Internal Communication) • Do you have staff meeting every morning? If so, what are you talking about and how about the atmosphere? • How about relationship between manager and staffs? • What is the most important thing for communication in Apple? • Are you satisfied with working in Apple store?

c. All secondary sources http://www.allaboutapple.com/blog/ http://en.wikipedia.org/wiki/Apple_Inc
http://www.apple.com/retail/sanfrancisco/