
Introduction:
Both Microsoft and Apple have created platforms for the delivery of high quality entertainment to personal devices, revolutionizing how we perceive movies, music and TV. In this paper we will analyze Microsoft’s Zune and Apple’s iTunes and compare their products, delivery, advertising strategies, and the execution of these strategies. iTunes is a free application, available for both PC and Mac operating systems, which plays digital music and video (Apple 1). It can be used as a digital media player on your desktop or it can sync to a compatible portable device such as Apple TV, iPods, iPhones or Smart phones with iTunes capability. iTunes allows users to browse, organize, and share their music library. In addition, users can play their digital media, radio, subscribe to podcasts, or shop for new media. The iTunes store is an online marketplace for “music, renting or buying movies, TV episodes, and audiobooks” (Apple 2). The iTunes store is also a platform for purchasing applications for the iPhone.
Zune software is an application, available for the Windows OS exclusively, that allows users to manage their music, videos, pictures and podcasts. It boasts seamless compatibility with music purchased through iTunes or Amazon (Zune 1). Also, Zune offers wireless syncing, and sharing between the portable Zune players and for media updates. The player also features The Social, where users can send “friends’ cards, mark favorites, and change their info” (Zune 3). In addition, its marketplace offers music, video including TV shows, and podcasts, games and audiobooks (Zune 2).
Advertising Strategy:
“Microsoft’s target market is a group of people who have high disposable income, like to think differently, enjoy sharing experiences, and like going against the crowd” (Howe). Microsoft is approaching its target market by appealing to consumers based on their personality, self-concept and attitude. Zune’s ads tend to be colorful creative adventures where the user explores different scenes and discovers themselves and others through the player. The ads are examples of how Microsoft is leveraging Zune’s sharing feature to capture its target market.
In addition to Zune’s slogan, “You make it you,” Zune offers multiple areas for personalization, such as customizable designs on the player. Another example is the Zune card, which identifies the user to others in the Social and can be customized by adding a photo, background, etc. These are examples of Microsoft’s attempt to appeal to its target market by relating to their ever-changing self-concept. Creating unique players, with personalized features helps users perceive the player as their own. As a final push to flaunt the uniqueness of the Zune player, it is positioned as the Anti-iPod. Zune uses the tagline, “Welcome to the social,” “which contrasts iPod’s iconic, solitary silhouette” (Garfield).
iTunes, on the other hand, appeals to the young, energetic, music-lover in all of us. Although it may have initially targeted the same market as Zune is currently, with the help of the iPod it has become the standard for portable music and video. The ads for iTunes+ iPod also feature colorful backdrops with silhouetted dancers enjoying their favorite music on their iPods. The use of silhouettes is a tactful solution to the problem of having to define the user demographics. The iconic unknown individuals in the ads can be anyone in the world, even you. Apple’s ads are careful to include individuals with different styles, and perceived personalities. This is expressed through their hairstyles, attire, shoes, and even dancing. Although the diversity is not directly addressed, it sends a subtle message to viewers that the iPod is for everyone.
iTunes is the default media player for the Mac OS. This gives it a pre-existing target market, i.e. Mac users. Their familiarity with the program would make them undoubtedly biased towards iPods. In order to involve non-Mac users with the iTunes experience, Apple resorted to using musical performers such as U2 and Coldplay in their Ads to appeal to larger audiences. The ads spark the interest of fans, by approaching them in the form of their favorite band coupled with stunning graphics and energetic performances. As a result, fans of that given band would be drawn to Apples website to explore what else it has to offer.
Programs:
Like Apple, Microsoft is using several programs to promote the Zune player and software. Print ads for Zune feature colorful illustrations of streaming music that differentiate its sharing capability. iTunes has similar ads including still shots from the TV/video ads. In addition to web banner ads, Youtube features many of both iTunes’ and Zune’s commercials in digital video for viewers to watch on demand. Microsoft also created “TV ads, which run cable networks” (Fried). I think that the on screen presence of Zune is effective as an information campaign; however, it is not successful as a strategy to boost sales or increase market share. iTunes ads are more successful, although similar in appearance. This is because they are backed by solid brand recognition, signature white headphones depicted in ads, celebrity appearances, and exclusive music and video releases to the iTunes platform.
To promote the user experience, Microsoft hired 18 – 22 year olds as “Zune masters” to sport the Zune player on American college campuses, as walking advertisements, and to run events. In exchange, participants were awarded with “free merchandise, including a Zune” (ZuneInfo). The Zune masters program was Microsoft’s attempt to set a trend and start a buzz about the player within its target audience. The Zune masters were essentially giving Microsoft free PR via Zune-sponsored events such as parties to increase visibility of the brand. The one problem with that approach is that iPods have dominated the market for years on end. The growth and maintenance of their leadership position is aided by the production of compatible devices such as speakers, radio tuners, and charging systems. When was the last time you heard of a manufacturer listing Zune compatibility among their speakers’ features? My point exactly.
Other programs include Microsoft’s release of a Zune theme for Windows XP that changes the appearance of the operating system. The theme includes an orange Start button and black taskbar. Another program Microsoft implemented to further involve its users with the brand and experience was creating ZuneArts. This was a website and campaign focused on emerging talented artists and musicians. Lastly, MySpace launched a feature to label music players on user profiles to Zune-themed (Wikipedia).
Although noble, these programs are dwarfed by Apple’s repeated release of newer generations of the iPod. Apple bombarded the market with the constant addition of features that enable the iPod to handle video, a touch screen and now a phone. Apple has enlarged its product portfolio, creating a range of options for the buyer graduated by price and features. In addition, Starbucks coffeeshops have daily iTunes downloads on cards featuring various artists available at the checkout.
Software and Delivery:
There are clearly advantages as well as disadvantages to both Microsoft and Apple’s players and platforms. Although iPods dominate the market they have one main flaw, weak battery power. This feature has been updated and improved significantly over the generations. Zune, on the other hand is only Windows compatible, which rules out Mac users and people who prefer using iTunes for managing their digital media. Had Zune been compatible with iTunes and offered music at a competitive price via its marketplace it might have put itself in a more strategic position than it has.
Zune’s strong suit is that it has sharing capabilities; the catch is that the user can only listen to the shared song for 3 days. iTunes allows sharing via networks where people can listen to each others playlists, regardless of which operating system they are running. iPods do not enable you to give music to anyone. Just as you cannot share music between iPods, you can’t download music off an iPod to your PC or Mac. Another disadvantage to iPods is that when they aren’t charged for a long time or crash they need to be reset. This means they loose all of their music and are essentially formatted. Unless the user backs up their music on a local PC or Mac they will have lost their library.
I do believe that the limiting of Zune’s compatibility to the Windows operating system is affecting the advertising strategy. Had it been iTunes compatible people would have purchased it as an alternative to iPods. It was positioned as the “Anti-iPod” which means it inherited all of the cons of iPods and was robbed of any positive features associated with iPods. Zune doesn’t have anything that iTunes and the iPod can’t offer. On the contrary, with the release of the iPod shuffle, nano, video, touch and iPhone Apple is cover all of the gaps in the market. This is further shoving Zune into the other category.
Zune Advertising Campaign:
In order to boost Zune’s sales and market share a new advertising campaign will be launched. This campaign will feature more advertisements for TV and the web featuring celebrities using Zune players to share their favorite music. This would position the player as an exclusive product. The Social would also feature the same celebrities and allow users to check out their favorite music and playlists. This approach allows users to get the feeling of associating with the famous people that are otherwise out of reach. Lastly Zune Marketplace will get agreements with cable networks for exclusive release of TV shows to the Zune platform.
Zune will also accept Sega and Nintendo’s offers to feature the player in their games. This would create brand recognition and help users associate the brand with the thrilling experience of gaming. In addition Zune will invest heavily in ads for the Transit system. iPods are most useful on the subway, so the Zune band needs to establish itself at just such a place. Ads should focus on the Zune player’s highly customizable design, performance, and features. This gives the user the ability to compare the iPod and its respective flaws to the best of the Zune player.
Popup ads and human billboards aren’t a good investment of advertising dollars. The pop-ups tend to be a hindrance to users and will not reach the entire target audience due to pop-up blocker software. Human billboards will not reach a large enough target audience. Thousands in Times Square may see them but there will be no follow-up. A potential customer may think the idea is amusing but that will not influence them to buy the product. Lastly, Zune will sponsor gaming events as well as film festivals for the young creative. The festival could call for entries to create Zune advertisements by students in the creative arts. Microsoft can create partnerships with educational institutions to promote the assignment of the project to their students. This provides Microsoft with the opportunity to force the students to closely the player and its features, increasing awareness and exposure to the brand.
Works Cited
Apple iTunes. “What is iTunes?” Apple iTunes A player, a store, and more. 25 March 2009. < http://www.apple.com/itunes/whatis/>
Apple iTunes. “Features.” iTunes A to Z. 25 March 2009.
< http://www.apple.com/itunes/features/>
Carl Howe. “The real target market for Zune.” Newsvine.com. 26 March 2009.
<http://blackfriars.newsvine.com/_news/2006/09/16/364561-the-real-target-market-for-zune>
Bob Garfield. “Zune Ads Are Infectious, but Won’t Affect Brand’s Success.” 27 March 2009. <http://adage.com/garfield/post?article_id=113433>
Ina Fried. “Microsoft tries new Zune ad push.” Cnet news. 27 March 2009.
<http://news.cnet.com/8301-13860_3-9809434-56.html>
Wikipedia. ”Zune.” Marketing. 28 March 2009.
<http://en.wikipedia.org/wiki/Zune>
ZuneInfo. “Zune Masters Program.” ZuneInfo. 27 March 2009.
http://zuneinfo.com/microsoft-zune/zune-masters-program/
Zune. “Software.” What is Zune Software? 25 March 2009.
<http://www.zune.net/en-US/software/default.htm>
Zune. “Marketplace.” What is Zune Marketplace? 25 March 2009.
< http://www.zune.net/en-us/software/marketplace/default.htm>
Zune. “The Social.” What is the Social? 25 March 2009.
<http://www.zune.net/en-us/discover/whatisthesocial.htm>



