The Apple Ipod

Many innovative products have been introduced in the past 10 years, but none have had such a profound impact on their respective industry as much as the Apple Ipod. This little gadget has revolutionized the music industry, even more so than other mp3 players that hit the market first. This hand help device that easily fits into users palms and can be hidden away in a pocket has gained such popularity brought music industry. The Apple Ipod was born October 23, 2001 and is a brand of mp3 players designed and marketed by technology giant Apple.

The product was conceived when Apple CEO Steve Jobs saw weakness in what was then the existing digital music players market and decided to make a move. The tech companies general than ordered his engineers to design the iPod line, including software and hardware. The product was developed in less than one year and completed on 23 October 2001. Jobs introduced it as a Apple Mac-compatible product with a 5 GB hard drive that put "1,000 songs in your pocket." The creation of the Ipod was atypical to Apple's normal development process. As a starting point they used software from an existing IBM-branded MP3 player and built and expanded on it. Unbeknown to most, Apple actually subcontracted another company, Pixo, to help construct and create the user interface under the watchful eye of Apples Chief Executive Officer. As generations of Ipods advanced so did the fonts, features and feel of the device. Apple added many upgrades to the look and functionality of the ipod and as it grew so did its popularity and customer base. The Ipod has since achieved cult status and has amassed a giant subculture that blurs the lines of age, race, gender, profession and income level. A pretty remarkable feat considering the product is less than 8 years old and still gaining in popularity. One of the coolest features of the sleek mp3 player is its name, the Ipod was named by freelance copywriter Vinnie Chieco(no relation to Michael....Pacheco) and was contrived from the movie 2001 - A Space Odyssey.

To help promote and sell the portable music player Apple introduced the online music store Itunes. Itunes not only helped Ipod users download music to its device but it enabled PC users with or without an Apple branded mp3 player to have an itunes account and to build and store a library of files. This gave Apple exactly what it was seeking - a windows type monopoly on the industry. As a result, music executives were forced to rethink the way they do business. The traditional way of consumers buying music had officially evolved. The landscape had changed. In order to stop unauthorized file sharing music bigwigs had no choice but to enter into licensing agreements with Apple. Steve Jobs and company now had another revenue stream. The tech company famous for the Macintosh was now selling music as well.

When it comes to advertising, no one promotes quite as well as Apple. With several TV commercials, print ads, and posters on display all in prominent public places, Apple sells more than a mp3 player with the Ipod - they sell a lifestyle. The Ipod ads are very recognizable and even differ from ads for other Apple products. To sell this magic little device Apple uses several retail channels. The biggest being Walmart which makes up 5% of all iPod sales. Ipods are also sold online and of course at the ultra popular Apple stores. The Ipodsubculture is so strong that when ever a new model is released people line up and wait outside in order to be one of the first to have the latest and greatest, sometimes even sleeping outside. All of the advertising and culture branding has worked. Apple has sold 163 million Ipods to date and in January of this year Apple reported the best quarter revenue and earnings in its history - a record revenue of $9.6 billion and record net quarterly profit of $1.58 billion of which 42% came from Ipod sales. Pretty Impressive by any standards.