September 2007

Interested analysis on how Apple creates its loyal (some say "cultish") customer base. Some of the techniques are excellent:

• Complete solutions: Apple’s products complement and complete each other. Buy an iPod, and you can download music via iTunes. For the average user, most Mac programs are produced by Apple. This sort of control over the entire user process, from hardware to software, strengthens customer loyalty. Apple users generally don’t have to stray to find products and solutions they want.
• Products that deliver: Apple carefully considers what consumers are looking for, so its products are a result of both extensive research and strong design. This meticulous planning is a large contributor to Apple’s high customer-satisfaction rates. It’s plain and simple: robust and easy-to-use products not only make your customers happy, but also
• New innovations: Although the architecture of Apple products is consistent, its portfolio is not. The company offers consumers a number of different ways to enjoy its products. By giving customers an opportunity to employ Apple in their living rooms, pockets and offices, Apple makes it easy to stay loyal to a brand they already like.

...While others are more questionable.

• Proprietary formats: Apple products are often not compatible for use with other systems, at least where customer transitions are concerned. If a user has a digital music collection comprised entirely of .aac files, it’s not likely he’ll want to start from scratch with a new MP3 player that won’t accept them. Instead, this customer will probably look at replacing his old Mac with a new Apple model when the time comes.
• Outsourcing unpleasantness: With Apple products, the average consumer’s interaction with the company is likely to be low. Unless something goes wrong, you don’t have any reason to speak with an Apple customer service representative. Of course, the iPhone presented an opportunity that could have made Apple much more involved, similar to administering iTunes for the iPod. With a phone, interaction becomes multifaceted. You have to consider billing errors, quality of wireless service, contracts and a number of other factors that often lead to customer frustration. With the iPhone, Apple was wise to stick with building a good product and letting AT&T handle the service.

Via Inside CRM