Microsoft's Anti-Mac Ads Are Starting To Work
businessinsider.com
businessinsider.com
The entire campaign has struck me as strange. "Hey, we know you want a cool, desirable Mac, but you can't afford one -- so settle for us, we're cheap!"
Microsoft: Which second-best do you want to settle for today?
But I agree completely, that message does not upset Apple at all.
The point is that for the same price as an iMac I can get a pretty damn awesome gaming/compiling machine with 4 cores 8 gigs of ram, 260gig hdd, a nice video card, a giant monitor, and be able to upgrade it. Why would I want a mac?
But in the end, Mac OS is a superior OS compared to Windows XP. Congradulations Apple, you are finally able to compete with a 8 year old operating system. Thumbs up. Vista is actually pretty good, granted that some software is not compatible, but other than that it can work on the high-end PCs. People tend to compare vista's performance on a low-end pc with a high-end mac + mac os. Guess which one will run faster.
I have a recent Macbook pro sitting in front of me. Granted, you could match it feature-for-feature and probably save a bit of money (not as much as you think, though), but, there's one feature you wouldn't get with any alternative: build quality.
This lovely piece of kit is far and away the best laptop I've ever owned, from a hardware point of view. Not only is it sleek and elegant, but it feels really good and solid (thanks to the single-piece shell). The trackpad is second to none. The keyboard is brilliant. The suspend/resume is flawless. Everything is basically perfect about it (ok, except for the glossy screen).
You can't get that by cobbling together hardware like most other laptop manufacturers seem to. And for a piece of kit that I sit in front of for about 14 hours a day, it's nice to have something that's so finished. No dell or HP or Acer or whatever ever did that for me.
So, no, you can't get the same hardware for cheaper. Because the way the hardware is put together is part of the hardware.
I am typing this on a recent $2,200 Macbook Pro equipped with a econo-Sony-style el-cheapo keyboard and 6-bit low-contrast (and, therefore, glossy) TN display capable of only 256K native colors, the same junk Dell puts in their $599 laptops. My wife's white macbook is falling apart, literally - little pieces of plastic just chipping off its shell, I think it was by far the worst laptop we ever owned. My previous MBP used to overheat when pushed to full CPU/GPU speed (just like any other MBP).
As far as hardware is concerned, Macs aren't "premium" - they're quite cheaply built yet beautifully styled objects overpriced beyond funny.
Go for Thinkpads and HP EliteBooks, the latest Dell Precisions/Latitudes are pretty well built too. HP, for instance, is the only laptop manufacturer in the world who still offers 24-bit LCDs as an option, i.e. you can actually use their laptops to look a a photo without connecting an external display. All these machines require Linux, of course, to be HN-approved :-)
I think the ads go further than that. They make Macs look elitist - in every ad the person representing someone real that the viewer could relate to to says something like "I'm not cool enough to have a Mac". Once they manage to get that message across to the majority of people that these Macs are elitist and PCs are more down-to-earth it might well become a self-fulfilling prophecy.
If Microsoft looks like a good value, the idea of a free OS or a browser-based OS can’t penetrate the consciousness of the mass market.
With or without my Linux computers? :-)
(Sorry for wasting reading time with a joke.)
they make Microsoft look cheap and Apple look
premium ... this is not a message Apple is going to be upset by.
Wrong. Apple should be upset and is upset because the market for "premium" computers is a lot smaller than the market for non-premium computers. With this ad, Microsoft is making that premium market even smaller for Apple.Us geeks can laugh about the ads all day. But for Microsoft, it's a hit.
If WalMart did an ad campaign to steal potential Gucci customers, Gucci should be very worried.
Not to say the comment is "Wrong." It seems like a decent hypothesis that Apple's marketing strategy is to broaden its customer base, and that Microsoft's ads are hindering that strategy. I do think, though, that part of the reason behind the incivility of online discussions is the tendency of members to express opinions in the form of terse, unqualified statements of fact.
How successful would such a campaign be? I'd say not very at all. If I were Gucci, and Walmart were doing a campaign, I wouldn't be worried in the least.
Some people buy based on price, others buy based mainly on quality. Neither will be particularly interested in the other.
How successful would such a campaign be?
A better question is: how successful would the campaign have to be in order to get Gucci worried? I'd say not a lot because Gucci has a very small market vs. Walmart. If Walmart can get even a small slice, that amounts to relatively large $ revenue loss given Gucci's pricing. Neither will be particularly interested in the other.
That is what a good campaign does: flips customers from one category to another. Wal-Mart is already an anti-brand among the market segment that would buy Gucci.
Kinda like Microsoft is an anti-brand to Apple fanboys. But both Apple and Gucci's customer base have a slice of customers that are on the edge and not necessarily fanboys.A campaign like Microsoft's is often targeted at a very specific segment of the customers who are convertible(ie. not the Apple fanboys).
I only know this from my marketing analysis class where we studied similar case studies.
These are two fundamentally different markets here. Computers (even Macs) are cheap enough that they aren't as stratified as fashion. A Mac might cost twice as much as a PC (though it really doesn't), but clothing can vary by entire orders of magnitude in price. If Gucci loses customers it will be to a rival premium brand or a midscale brand, not bottom-of-the-barrel Wal-Mart.
The auto industry is similarly stratified, and I understand it a little better than fashion, so let's discuss that. The strata (pre-GM/Chrysler meltdown) were about like this:
*
*
Aston Martin Maybach
Bentley Rolls-Royce
--------------------------
BMW Mercedes-Benz Lexus
--------------------------
Audi
--------------------------
Cadillac, Acura
-------------------------- | ------------------
Lincoln | VW, Honda, Toyota
-------------------------- | occupy all three
Mercury, Buick, Chrysler, | strata
upscale Ford/Chevrolet |
(Eddie Bauer Explorer, |
Corvette) |
-------------------------- |
Ford, Chevrolet |
*
*
These strata are probably wrong but they're illustrative. I think Audi might be moving closer to the top tier, and I wasn't sure where Rolls Royce belonged but I made a decent guess.
No one says "I'm going to stop driving my Maybach and get a Ford Focus" unless they go bankrupt from buying too many luxury cars. Audi or even Acura could pick off Lexus/BMW/Mercedes drivers though. And someone who stretched too far and got an Audi might get a VW next time. But you're not going to have the lowest tier directly challenge the highest tier. In the PC market, Apple and Microsoft are already adjacent tiers, because there's no room in the market for any tiers above or below them. But the PC market is a lot flatter than other markets.
I do agree though. It follows that once you realize how fantastic most Apple products are, it's likely Microsoft will look like utter garbage in comparison. Just like once you've driven a Ferrari, driving a Ford Focus will probably be a pretty rubbish experience.
Maybe I don't shop enough at Wal-mart's, but I've not experienced that. They do sell some low-cost/low-quality items, but they also have name-brand items, but typically cheaper than, say, Safeway or Walgreen's.
I actually went to Wal-Mart yesterday. There are things they do right (logistics) but in general, I don't buy a product at Wal-Mart unless I'm absolutely certain it's completely identical to a product I can get somewhere else, and that I know is durable.
Know. Your. Audience.
Where are these commercial being run? America. Now, I bet they'd crash and burn in Western Europe and I'm virtually certain they'd crash in Japan, but in America, they work.
Also, it should be pointed out that it is not just that they are cheap, but that they "do everything I want" (which is all the Apple could do) and that they are much cheaper, not just a little cheaper. "Does everything I want" for $2000, or "Does everything I want" for $900 is not a bad sales pitch.
(Incidentally, I'm not trying to be anti-American, nor do I think this is anti-American per se. Being cheap is neither good nor bad; it has advantages, it has disadvantages. Being able to be sold something "premium" just because it's "premium" isn't necessarily a good place to be, either. It is simply that American culture will take cheap over almost any other attribute.)
The issue as I see it, is more about being practical and not just falling for trends or overpriced quality. It's like buying expensive branded clothes or non-branded ones. Is someone who doesn't buy Nike, Versace, Gucci, whatever brands being cheap or simply being consequent with their real needs?
Based on what?
Just a note: the emachine I bought 2 years ago for 200$ is still running great.
Isn't that well within the bound of random chance? 1.8% is not a tremendous difference, particularly considering the general economic slowdown.
I see other numbers are about some polling/brand perception thing, but sales are probably a more concrete measurement.
So without knowing how NPD Group is counting, this 1.8% number is not very useful. If it's global, it makes Apple look pretty good. If it's US shipments, it's harder to say.
[1]: http://74.125.45.132/search?q=cache:tw4QpCy8JFoJ:tech.yahoo....
Link to the Luxury / Necessity study: http://pewsocialtrends.org/pubs/733/luxury-necessity-recessi...
In my world Microsoft has nothing to do with computers: I don't use their stuff. And my Thinkpads+Linux don't present "value proposition" - they're far superior to Macs in every way that matters to me: build quality, their military styling, Linux superiority over OSX, their full size "spill-through" keyboards, 5-button precise touchpads with pointing sticks, huge batteries, etc.
Second, their index says the index for Apple has fallen from 70 to 12.4? That's way too big of a shift for such a poorly executed ad campaign. As far as sales goes, haven't they noticed we're in the middle of a recession? Apple has been doing pretty darned well considering the skyrocketing unemployment rate and lack of consumer spending.
It can be a lot less effective then annoying commercials too.
The "ooh new Apple ads" could be in part because the ads have two excellent comedian/actors who help do the writing, and because most people find the current stance that Microsoft takes against Apple to be somewhat comical. Personally, I enjoy seeing John Hodgeman every chance I get, even if it is in an ad. He's a funny guy.
As a basis for product awareness, there is nothing wrong with this. For example, I was drawn to Nikon DSLRs over their competition when I learned saw the Danny Choo Nikon ad (I read a lot of what Danny Choo produces and I like his writing). Once I started researching on my own I found the camera I wanted and bought it (D90, btw). All the ad did was provide a signpost, should I feel ashamed or manipulated? I definitely did research and agonized over the exact camera and model to get, so I don't feel like I was tricked into a bad, shameful purchase. Nor do I feel particularly manipulated by choosing this brand over any other, there were specific features (mentioned in the ads) that I decided I wanted to prioritize.
There are two variables that need to be controlled for here:
1. Apple hasn't made any major product announcements this year. Apple is a company that lives and dies by its carefully controlled press releases and a sense of "newness" and "cutting edgeness".
2. There's no indication that the MS ads in question actually caused this shift. If they're talking to canny consumers, this switch could be around the perception of netbook sales alone. Those are skyrocketing, and a perfectly usable and incredibly portable machine for under $400 (after tax) is a great value.
Still, take this with a grain of salt. People love to provide reports that Apple is suddenly failing or did not deliver on sales promises, with all kinds of conjured "data" to back it up. In the end, Apple has consistently delivered or exceeded on their projections and they've held up their sales significantly better than everyone else in the market during the economic downturn.