Like Lays — You can’t have just one
I’ve written about Apple a lot over the last few months, but I’m not an Apple zealot. I am, however, extremely intrigued by the company; it’s history, business model, leadership, brand strength and how it constantly out-innovates itself and morphs to maintain its core loyalists/enthusiasts and draw others to its fold.
In 1976, while the “Steve’s” were working elsewhere (Wozniak at HP and Jobs at Atari) they came together with an idea and the company officially incorporated on April Fool’s Day 1976. Microsoft was one year old. By 1980 when Apple went public (in what was, at the time, the largest offering since Ford Motor in 1956), they had 1,000 employees and the entire personal computer market in the US was only 1 million units.
In 84, Apple made a huge splash with their legendary superbowl ad. And while, over the next five years, they made significant inroads in the education and creative/design market, their share of the overall US market, which was 54 million units, was miniscule by comparison to the PC side. By the time Jobs returned in 1997 (he’d left in 85 to form NeXT) Apple was beleaguered and bleeding red ink. He immediately started the iMac project, killed the clone market (which was a highly controversial decision at that time) and released OS 8 with enough neat features to hook millions of Mac users while at the same time abandoning support for the oldest Macs. In 98 they killed the Newton and birthed the iMac and went from beleaguered to industry darling — turning a profit every quarter.
By 2001 Apple continued to innovate in the computer market gaining share and the undying love of enthusiasts. They also started promoting a special October 23 unveiling as “Not Macintosh”. Hardly anyone had a clue that Apple would introduce a device (the iPod) that would propel them to the top spot in a market where they had no experience whatsoever.
What prompted this post was the fascinating story I read tonight, “The Perfect Thing”, in the current Wired magazine, which recounted the creation of the iPod.
The story is a compelling peak into the process of how they brought together the innovative technology, simplistic interface and elegant design of the iPod.
The story provides a glimpse behind the curtain of a company with a passion for constantly reinventing itself, of fearless and visionary leadership, one willing to take substantial risk and one where teamwork seems to play a major role in success.
It’s been 30 years since they were incorporated. They’ve been down, but never out. They’re not youngsters anymore, yet they maintain a contemporary and relevant position that enables them to connect to even the hippest and skeptical of target audiences.
Frankly when it hit me that iPod was only 5 years old this month I was surprised. It seems like they’ve been around much longer and I’m almost embarrassed to say that in a household of 4 people we have 6 iPods. It IS like Lays Chips, in that at my house we’re not satisfied with just one. And my husband mentioned tonight that he really likes the new iPod nano (PRODUCT) RED Special Edition. At least if I buy that one for him for Christmas I can lessen some of my guilt of conspicuous consumption knowing that $10 of its purchase price goes to the Global Fund to fight AIDS in Africa.
This post was written by: Kim Mickelsen