Why other handset providers can’t catch Apple
Posted by modsuperstar on November 10th, 2009Ever since the iPhone was released, along with the iPod before it, it seems companies have constantly released devices that have been labeled as Apple “killers”. Devices that aim to finally knock Apple off their pedestal as market leader. To date there has yet to be an “iPhone killer”, yet that doesn’t stop the media from ramping up the hype for the next upcoming device.
I was recently at a monthly meetup of designers and developers in Waterloo and a representative from RIM was there presenting on the merits of the Blackberry as a development platform. At one point during his presentation he mentioned how Apple was very good at articulating what they are good at, yet Blackberry does a crappy job of this very thing. To me this isn’t something that is exclusively the realm of Blackberry. Pretty much every smartphone manufacturer has the same problem when competing with Apple.
After seeing this new Verizon commercial yesterday, this served as a perfect example of what handset manufacturers are doing wrong. It’s a quaint and clever concept that I’m sure Verizon paid a boatload to get the rights to using the Rudolph The Red Nosed Reindeer characters. But after watching that video, what handset got the most facetime in that commercial? While it wasn’t the actual iPhone in the commercial, the viewer saw Verizon’s iPhone stand-in on screen for 20 seconds of a 30 second spot. The Verizon handsets only show up between 23 seconds and 28 seconds of the video. So 66% of the commercial featured the iPhone, and 10% was spent talking about the products they sell, then the other 24% spent talking about Verizon and their network.
Message: The iPhone is useless because AT&T has a crappy network. Verizon has an awesome network. Buy this Windows phone, or buy this Google Android phone.
Contrast that ad with an Apple ad selling the iPhone. Nothing but the phone and its function are shown for the first 23 seconds. 1 second devoted to app store logos, 2 seconds for iPhone logo, 2 seconds for carrier logo and 2 seconds for Apple logo. So 76.6% of the commercial was devoted to showing the product and 23.3% was used for the of branding various partners. Apple didn’t once mention verbally the network or the carrier.
Message: Look at all the cool stuff you can do with your iPhone
Can you see the disconnect here? A new device like the HTC Droid hits the market within the last 2 weeks. It’s supposed to be a real contender to the iPhone throne. Yet the handset is relegated to 2.5 seconds of face time in this Verizon commercial. Do we know anything that the device is capable of? About the only info you get is what smartphone OS the phone is running and the price. Apparently the only reason to get one of these 2 phones Verizon is offering is because their network is better.
Apple’s device has been on the market for over 2 years now, yet Apple focuses on the positive. They show you what cool things the iPhone empowers you to do. They maximize the amount of time you see the product on screen and keep the message simple and on point. The carrier is an afterthought.
This is where Apple has diverged from all other handset providers. They control how the iPhone is sold and marketed. They don’t allow it to be lumped in with a bunch of other similar looking phones in the carriers marketing. Essentially they are selling a phone, they don’t care about the network or the carrier, they allow their product to sell itself instead.
When talking to the RIM rep I commented to him about Apple’s carrier relationship and marketing contrasted with how Blackberry and the rest of the smartphone makers. He mentioned that BB spends a lot of time managing and working their partnerships with carriers, helping them implement things like carrier branded app stores. While I’m sure they do great business together, Apple has done it differently. They only need the carrier for their network and retails sales channels. Apple handles pretty much everything else. The carrier is an afterthought.
You would figure that Apple’s way of doing business would have carriers running the opposite way, yet as seen in Canada recently, nothing could be further from the truth. Bell and Telus, after losing large chunks of marketshare to Rogers and their exclusive iPhone arrangement, spent billions of dollars to build an HSPA+ network in part to accommodate the iPhone. Now that Rogers exclusivity agreement with Apple is over rivals Bell and Telus will also be offering the iPhone as well. This after Bell spent the summer mocking the iPhone in their Palm Pre ads. It will be curious to see how Bell and Telus will market the iPhone, given Apple controls the advertising and they won’t be able to play the my networks better then your network card against Rogers.
Handset manufacturers will never create this “iPhone killer” if their device is always playing second fiddle to the carrier. By allowing the carrier to handle promotion of their devices they are shooting themselves in the foot with every new handset they release. While Apple’s iPhone stays in the spotlight, the latest RIM, Motorola, Palm or Samsung device just becomes part of the crowd because carriers don’t market one smartphone any differently then they do the others in their lineup.

Recent Comments