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The Psychology behind the iPhone

This critical review explores how the iPhone, despite being overpriced and limited in functions, has become incredibly successful and has a devoted fan base. The article discusses the psychological factors that contribute to its success, such as exclusivity, marketing tactics, and cultural significance.

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The Psychology behind the iPhone

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  1. The Psychology behind the iPhone How does an over-priced product with limited functions become so successful, and have a devoted fan-base?A critical review Prof. Craig Jackson Head of Psychology Division BCU craig.jackson@bcu.ac.uk

  2. Technological Development – Ages of Man • Stone • Iron • Copper • Bronze • Steel • Steam • Gas • Electricity • Silicon • Analogue • Digital • Communication • Post Digital • Nano

  3. Everyone’s a Critic

  4. Technological Development Speed of product innovation Almost unstoppable Unsustainable Reflect pace of modern life? Determines pace of modern life? Future Shock

  5. Context of Technological Development Do Gadgets make us “frantic” ? The sexiest words are . . . . uPGraDe coNneCteD

  6. Context of Technological Development Steve Jobs announced Jan 2007 that Apple would sell a product called iPhone in the year Born on . . . iPhone June 9th 2007 iPhone 3G July 11th 2008 iPhone 3GS June 19th2009 iPhone 4 June 20th 2010

  7. Newton’s Failings Replaced disastrous Apple Newton Stylus based Handwriting recognition dodgy Learn “new” alphabet

  8. Latecomer Slow to enter market Policy of wait and see . . .

  9. iPhone Reviews Luke warm Mixed at best Good but could do better Still popular with Early Adopters

  10. UK Gadget Sales in 2008 24,000,000 new phones bought 6,000,000 digital cameras 13,000,000 PCs 8,000,000 flat screen TVs 7,000,000 MP3 Players Consumer electronic sales up 3% on 2007

  11. The First 2.5 Years in the Life of the iPhone

  12. The First 2.5 Years in the Life of the iPhone

  13. iPhone Worldwide Sales Units sold worldwide (Millions)

  14. iPhone MindMap

  15. 1. Functionality Camera 2MegPixel (3G) No video, zoom or flash (3G) iPod Limited song library Email Difficulty with integrated systems Direct Manipulation Browser Pinch, Wipe, Zoom No Flash Copy & Paste No Java Searching Spotlight search Mixed bag improved satisfying could be better

  16. Reasons for using an iPhone

  17. Three Clicks from Anywhere The real success story of iPod functioning . . . . . . Absent from the iPhone

  18. Buds The other real success story of iPod functioning . . . Technically poor Aesthetically great . . . Present with the iPhone

  19. 2. Aesthetic Layout Cluttered Limited No personalisation Look n Feel “iPhone black” Fixed Font Curved Solid Heavy Package White wires Consistent with iPod family Good consistent simple interface makes digital feel analogues

  20. Packaging Box Simple Clean Honest Culturally neutral Good consistent simple promises content

  21. 3. Campaign Global Consistent Creative “Apple White” Logo Young Rides on the back of successful Apple work Investing in a stable successful company Buying into Apple Faultless sophisticated anti-marketing antithesis of Microsoft

  22. Content of iPhone Adverts

  23. Steve and Bill’s Excellent Adventures . . .

  24. Riding on the back of successful Apple campaigns

  25. UK iPhone Advert Banned! ASA banned UK iPhone advert Misleading speed of web connections “You never know which part of the internet you'll need ... which is why all the parts of the internet are on the iPhone"

  26. 4. Exclusivity Single network only Combined with trusted provider Loyalty Stability Cunning exclusive for 2 years end exclusivity reduced price of new models

  27. 5. Applications Content is the future On-demand External developers Excellent individuality tailor made regeneration

  28. Marketing Apps Ads for Apps more than iPhone itself

  29. How People use their iPhone

  30. Locations where People use their iPhone

  31. Demographic of iPhone Users

  32. Cultural Significance

  33. Cultural Significance “Podification” Hooverization – “podcast” is generic term for “download” Hamburger status Gadget Porn “Stuff “

  34. Variety of Apps

  35. Variety of Apps

  36. Mockery Personification of success Cultural significance achieved Flattery of iconic status Still untarnished roasting envy McDonaldization

  37. Overdone & Overused Cool versus Functionality paradox 2 markets – iPhone & Blackberry - will converge Dilution of user-base Product loses identity Users look elsewhere

  38. iPhone Product Future

  39. iPhone Product Future Unquestionable loyalty (for now) Network exclusivity deal ends in late 2009 Creative imagination of users 200 plus patents in iPhone tech Pervasive monitoring Embedded use Touchscreen tablet Mac coming soon

  40. 10 Psychological Rules for Marketing an Apple 1. CEO must own the marketing function: no delegation 2. Marketing department must start small and flat and stay small and flat 3. Face-to-face with customers: direct interaction. 4. Use market research cautiously: prefer grassroots techniques 5. Hire only passionate missionaries 6. Love and respect customers as individuals, not as numbers 7. Create a community of consumers unified by certain brands 8. Rethink the marketing mix: e.g. short, targeted ad campaigns 9. Celebrate common sense and compete via different marketing ideas 10. Be true to the brand: brand integrity & quality

  41. Conclusions A product launched to luke-warm reviews A product lacking in many key features Despite this . . . the future still looks bright But can only go one way from here. . . industry expert dissatisfaction Still has wow factor The right sort of users Cool perception of uses Healthy apps development Neat marketing Not Microsoft Analogue feel Avoided ethical hiccups – manufacturing & exploding batteries Graduated product roll out

  42. Conclusions 1. The iPhone is pretty 2. It's touchy-feely 3. It will make other phones better 4. It's not a phone, it's a platform 5. It is but the ghost of iPhones yet to come

  43. Weakest Links? - - iTunes & Battery Life Poor interface. Poor Design. Syncing. Slow. Corporate

  44. Further Reading Apple Insider. 2007. Apple’s iPhone the No. 4 U.S. handset during third quarter. October 19. http://www.appleinsider.com (accessed February 9, 2008). Burrows, P. 2008. Feb. 12. Inside the iPhone Gray Market. BusineesWeek. Carew, S. 2008. Apple says has sold 4 million iPhones. Reuters. Eisenmann, T., Parker, G., Van Alstyne, M. 2006. Strategies for two-sided markets. Harvard Business Review; 92-101. Grossman, L. 2007. I take the iPhone Home. Time. Olson, P., Laurent, L. 2007. iPhones Land in London. Forbes.com. (accessed November 9, 2008). Wingfield N., Guth RA. 2005. Why Shortages of Hot Gifts Endure as a Christmas Ritual. The Wall Street Journal. December 2, B1.

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