Launching New Products

by Business Case Studies on Wednesday 18th April, 2007

In the news … Launching New Products

Apple's new iPhone was revealed in January at the annual Macworld Expo as their first attempt at entering the mobile phone market. The unique selling point of the protocol unveiled in January was that it has no conventional buttons but instead uses a large touch-screen (BBC, 9th January 2007).

However in what the Times newspaper refers to as 'a rare admission of fallibility', Apple has this month delayed the launch of its new operating system (referred to as the Leopard), because they have decided to divert available resources to this new iPhone (The Times, April 13th 2007). The Times article quotes David Bailey, the Goldman Sachs analyst:

“Although the push out of Leopard is not ideal, we view iPhone as the driver of the next leg to the Apple growth story.”

Apple's need to divert greater resources towards the launch of the iPhone illustrates the importance of achieving a successful launch of a new product. The Times 100 series presents a case study on Cadbury that explains the detailed planning required in the launch of a new product. It describes the launch strategy of any new product as 'critical'. Apple might be directing extra resources at their entry to the mobile market, but only time will tell as to whether it will be as successful as some of their other iconic products.

Sources:

Apple's 'magical' iPhone unveiled – BBC News 9 January 2007

Apple delays Leopard to ensure iPhone is on time – TIMES ONLINE 13 April 2007

Potential Study Questions:

What is meant by unique selling point?

Product launch is only one stage of the product life cycle – describe the other stages.

Assess the similarities and differences of the iPhone product launch and that of Cadbury's products.

Previous post:

Next post: