Top 10 Reasons Behind Apple Success

Top 10 Reasons Behind Apple’s Success

Table of Contents

In today’s world of technology, it can seem like everyone owns Apple products. Yet many people don’t know the story behind the creation of these products or how they became so successful. This list explores the top 10 reasons behind Apple’s success in order to provide you with an insider’s look at what makes this company tick and why it has earned a reputation as one of the most profitable tech companies in history!

10. Embrace your inner cannibal

The iPad has taken sales away from the Mac. What this means is that we are better off destroying our own sales than watching them disappear to another competitor. We’re not going to hold back one of our teams just because they take a customer away from one of our products, and our bid is that we want to please customers and sell them as many Apple products as possible.

9. Invest heavily in the right things while pinching pennies everywhere else

I disagree with your use of the word ‘sparingly.’ We’ve spent billions on manufacturing and in the supply chain. I will mention here that we have invested billions in acquisitions, including intellectual property. Additionally, we have spent billions on retail and the infrastructure of the company. Finally, there are the data centers, which would require an exceptional sum. All of these expenditures can be called judicious and deliberate. For some reason, we tend to spend like there’s no tomorrow. The shareholders must want us to do that. They never wanted us to think we were rich, and we never did. Strange as it may sound, that’s the truth.

8. Pursue innovative distribution models: a.k.a. ‘think different'

The most important aspect is the product. It is the focus. Indeed, in terms of distribution, we are seeing a definite difference in purchasing power. Unlike some people, I don’t believe that prepay is prepay is prepay. We persuaded China Unicom to start accepting post-pay, it isn’t too popular there but they agreed to try it and so far it’s been working really well. This strategy is better for the customer and carrier alike because the customer gets a more affordable phone and the carrier keeps a more reliable customer. Some attribute this model to China’s success.

7. Realize the iPad has triggered the onset of a post-PC world

The 55 million [units sold in 21 months] is something no one could have guessed before it was announced….The reason it is so enormous in my view is that the iPad is built upon everything that came before it. The iTunes Store and the App Store were already available, and iPhone customers were well trained on the system. There was already an understanding of multi touching prior to Apple inventing it; many commonalities to current touchscreen functionality can be traced back to before then. When iPad first shipped, we predicted that tablets would outnumber desktop and laptop computers in the long run and it was just a matter of time before that happened… We were not arguing that desktops and laptops were a thing of the past. I still love Macs and they still have lots of room to grow… there will be a PC industry and tablets will also have a stronger unit volume.

6. Exploit the ‘halo effect'

The iPhone has given Apple an opportunity to introduce our brand to people who never knew we existed before. Take China for example: The Macintosh is growing more than 100% a year in China. That may not be impressive when the company has such a small staff, but 100% growth is impressive, considering the company only has to outpace the growth of the overall market by a factor of 10. The iPhone creates a halo for the Macintosh, just as it has created a halo for the iPad. Not only can you see the synergistic effect of these products in developed markets, but you can also see it in emerging markets, even those in which Apple has not been especially successful.

5. The China factor makes it first among equals in emerging markets

We did not release the iPhone until 2008. The year before, we collected a combined $1.4 billion in revenue from Greater China, several other parts of Asia, India, Latin America, Eastern Europe, the Middle East, and Africa. Revenue last year for those same countries was $22 billion. This is just the tip of the iceberg. As such, our focus is mainly in China. Last year we began to focus more on Brazil and Russia.

4. Dazzle and delight your developer community

Last year, everyone who was a part of the PC industry and everyone in the phone industry decided they had to release a tablet. This is because there were 100 of them available for purchase! So they created something, released it when it was outdated, and our number of apps has been pretty bad too…. Let’s just say that we have a meeting here at this hotel, and we only invite people who are into technology and business. But what if we had a meeting, and we invited people with a variety of interests? Such as iOS or OS. Then, we wouldn’t be able to fit all of them! That’s where the excitement is!

3. Don’t make customers pull their hair out

Just about 20 years ago, Steve declared Apple’s strategy for becoming the hub for someone’s digital life. Out of that, we created iLife. You can easily connect all of your devices using this device and sync all of your photos and music. The screen is also an HD quality touchscreen so you can edit pictures and movies. A Mac computer can become the focal point in order to use iCloud. As society has transitioned to living on multiple devices, customers find it inefficient to have to synchronize an iPad to a Mac, an iPhone to a Mac, and an iPad to a Mac. This is a somewhat time-consuming process, but iCloud can make it much easier to use both Macs and PCs.

2. Repeat after me: 'Great products trump everything else—including price'

So, for our customers, what does it all boil down to? The same thing it’s always boiled down to: world-class products. Cost is not the be-all and end-all. In some cases, you may want to make sacrifices on your prices to achieve your objectives. Some people buy it and when they first bring it home, they are thrilled to pay the purchase price. After they use it for a while, the excitement disappears, but for some unknown reason, the need to make the payments does not disappear. I don’t think people go around talking about how much they paid and liking the memory, but I have seen that there is a lot of commonality in what people around the world want. There are many in each country that want the best, no matter what the cost. Rather than a cheaper version of the best, they want the best.

1. Keep Steve Jobs’ vision burning inside terrific people

Apple is such a unique company, in more ways than one. I doubt anyone could ever try to copy it. I will not stand idly by as this administration continues to undo what my predecessors accomplished. I strongly believe in their mission. Steve taught us over many years that a company should be devoted to providing quality products. We should stick to only a few things we do, instead of a bunch that we do poorly. We should only enter markets where we can make a meaningful contribution to society, not just offer a variety of products. Along with seeking excellence, these are the things that I focus on, as well as being mindful of wanting the people that work at Apple to not just do their best work, but the work of their life.


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