Question

Create a business proposal for the 'Apple watch'. The proposal should answer these two questions, firstly, who are your target customers? Remember that your resource is limited, and it’s impossible to serve every customer well. Therefore you need to consider who might be your potential customers, and among all the potential customers, and among those, who are the ones you want to invest more in. The second question is how do you differentiate your product or service with those of your competitors?

Answer 1

who are your target customers?

Target customers are those potential customers who are highly likely to buy my apple watch. To find my target customers, we need to segment the market based on Demographics and psychographics.

Under demographic segmentation, we target customers based on gender, age, education level, income, marital status, etc.

For apple watch, My target customers would be Both male and female between the age of 16-40 years. Customers having an income level of $60000 or more.

Under psychographic segmentation, My target customers would be based on factors like lifestyle, interest, attitude, personality, values, etc.

So, for Apple Watch, My target customers would be Customers who have an interest in fitness and health. Customers who like to wear premium technology wearables. Customers who live busy lives and want to track their health.

As apple is a premium brand so its watch is expensive in nature due to premium pricing. so I want to invest in customers who have high-income levels so that they can afford the watch. Customers who are fitness and health freak like Gym trainers, Job doers doing gym or business people who focus on health as well as run business.

how do you differentiate your product or service with those of your competitors?

I would use a differentiation strategy to differentiate my apple watch from my competitors. Porter gave this generic strategy of differentiation in which business focuses on creating and selling a product with a unique feature or attribute not present by competitors.

My apple watch will have a high waterproof and electric shock rating which is not offered by other brands. My apple watch with have high battery back up to last approx 60 days as many of other watches last min 15 days and max 30 days. My apple company will use high-quality strap so that customers feel comfortable, no reaction on hands, and easy to wear.

Being apple brand is also unique in itself as many customers buy apple product because of apple branding and premium pricing as it shows social class and status.So this way, I will be able to make my watch unique from others.