How much Apple has spent in the iPhone and iPad marketing?
I always had this feeling that Apple does not spend a lot in marketing but turns out that it have spent over $1.1 billion marketing iPhone and iPad in the last 4 years. While Samsung is much more active here in Europe it appears that Apple does crazy things in US to market its products. I have seen only few Apple TV ads but Samsung is present during each and every single ad break.
Apple has amazing support from blogger and online media and it makes amazing products that receives word of mouth traction. In combination with TV ads it does wonders so Apple is able to sell its products with the highest profit margin in the market.
Information about Apple marketing was revealed by Phil Schiller, Apples VC of Marketing during the Samsung vs Apple trail which still continues. In fiscal 2008, Apple spent almost $100 million on iPhone ads in the US alone (the only country where it was available at that point). Marketing expenditures rose to $149.6 million in 2009 and reached total of$173.3 million for the year 2010. On the iPad, the company (Apple) spent $149 million for all of the fiscal 2010 which means that Apple was trying very hard to push iPad sales higher.
In comparison Samsung spent $263 million on measured media in 2011 and around $270 million in 2010. Samsung has much more products in their portfolio so it is only logical that they have spent more than Apple in marketing. Recently Samsung claimed that it will spend record amount to push the Galaxy S3 sales and so far Samsung is doing well with over 10 million flagship Android smartphones shipped worldwide.
Knowing how much Apple and Samsung spends in marketing we can clearly see that products are not selling themselves and companies are trying hard to push them. Apple has one of the best marketing strategies in the industry and it helped to sell 17 million iPads and 26 million iPhones in the last quarter alone.
If are thinking about selling revolutionary products, don’t forget that even Apple can’t sell their products without investing over $1 billion in marketing.