Apple, branded in the Middle Kingdom

17.07.2012

"A study has highlighted the loyalty of iPad and iPhone users, who are so unlikely to switch from Apple's iOS to another platform that Goldman Sachs analyst Bill Shope believes they are worth almost US$295 billion cumulatively, which is more than half of Apple's current market cap. Apple Insider reports that Shope conducted a consumer survey of more than 1,000 Apple device owners, and...the average single iOS customer is worth US$1,053 to Apple."

It's gratifying to know I'm worth over a grand to the brain-trust in Cupertino. Makes up for all the noise I've taken from Windows-users over the years...well, no it doesn't. It's beside the point. I use Macs for the same reason I always have: they work better for me. If I were a programmer, I'd use a Linux box. Elegant design is always nice, but the tools that work are the ones to use.

But back in '97, the executive was visiting Hong Kong to help determine Apple's China strategy. Still a work in progress, but now it's about brand-equity.

Although few would have believed it back when "MacHeads" were deemed flakes and weirdos by computer-users in navy-blue suits with yellow "power-ties," Apple is now among the world's premier brands. And in China, this brand is a double-edged sword.

On one hand, you have a handful of genuine Apple Stores in China, all along the Beijing/Shanghai axis, and extending down to the HKSAR. Limiting the number of retail-outlets creates the impression of exclusivity essential to luxury brands. Some people will line up just to enter a store if they think they'll have an exclusive experience rather than a retail transaction.