Market Research and Apple’s Objectives
When considering Apple’s organizational and business objectives, the team must always return to its mission and vision statements. “Apple’s mission statement is ‘to bring the best user experience to customers through innovative hardware, software, and services.’ Apple’s vision statement is ‘to make the best products on earth and to leave the world better than we found it'” (Hasan, 2023, para 1).
With such clear foundational statements that drive everything Apple does, the evaluation of my current marketing research and how it supports Apple’s objective is relatively straightforward. In the development of the Apple Smart Mattress, my unwavering focus has been on the tenets upon which the company was founded, specifically the following (Hasan, 2023):
- The Smart Mattress aligns seamlessly with Apple’s mission to bring the best user experience through innovative hardware, software, and services and its vision to make the best products on earth and leave the world better than we found it. This smart mattress is an innovative product that can enhance health and longevity and even save a person’s life. Its design aims to provide the best user experience while safeguarding the necessary customer health data required for the mattress to work optimally.
- While Apple is not the first to develop a smart mattress, it is the company that has taken this item to the next level, where luxury meets necessity. Its mattress is not the least expensive one on the market, but it is definitely the most advanced and a cut above anything else available. Thus, there is justification for the hefty price tag.
- Apple has sought to create a revolutionary product that will seamlessly integrate into its ecosystem of products and provide a connected experience like nothing else. Apple is the only company that can boast of the kind of interconnectivity it continues to provide, and the mattress is the company’s foray into a new industry sector that will pave the way for even more inventive products in the future.
- With the development of its new smart mattress, Apple is making significant strides in smart home technology, thus proving its product leadership in technology and beyond.
Industry Trends and Implications
As a result of my research, I have uncovered a variety of trends in the smart home and smart mattress industries that will ensure that Apple continues to be an industry leader in all technology as it continues to expand into other previously unentered sectors and beyond.
One of the first trends to examine is the increased demand for smart beds and mattresses from the hospitality and healthcare sectors (Grand View Research, n.d.). Apple is familiar to both of these sectors, as can be seen in the various health-related apps they have on their iPhones, iPads, MacBooks, and Smart Watches. In fact, according to Apple’s COO:
Our vision for the future is to continue to create science-based technology that equips people with even more information and acts as an intelligent guardian for their health, so they’re no longer passengers on their own health journey. Instead, we want people to be firmly in the driver’s seat with meaningful, actionable insights. (Apple, 2024, para 3)
The fact that the Apple Smart Mattress is expanding this company tradition in new ways demonstrates how aligned this product is with Apple’s vision and mission, thus ensuring the brand’s relevance for decades to come.
Another vital industry trend is that of tracking sleep for overall health by the regular population, not just healthcare workers or those who can afford the luxury of gold-plated healthcare. “Smart beds with technologically advanced features, including sleep tracking, adjustable features, temperature controls, built-in speakers, and app connectivity, are gaining significant popularity among tech-savvy consumers” (Fortune Business Insights, 2024).
Therefore, this new smart mattress will meet the needs of consumers looking to upgrade their health and longevity by improving their sleep while tracking potential health issues long before doctors diagnose the condition. In fact, emerging terms in the world of tourism and healthcare revolve around ideas known as sleep tourism, sleep initiatives, sleep retreats, and even a sleep immersion experiment (Mateer, 2023). As the years advance, these terms will not be for just the select few; they will appeal to those who genuinely care about living a long, healthy life and are willing to invest resources to prioritize their healthcare.
Legal, Ethical, and Industry Standards
As incredible and cutting-edge as the Apple Smart Mattress is, ethical and legal issues have already begun to arise during its development, and Apple must be prepared to address these issues. Moreover, Apple must strive to keep its industry standards far above those of its competitors in keeping with its mission and vision statements and industry reputation.
Privacy concerns are the topmost concern with these smart mattresses. As the health data is collected and stored remotely, there is the potential that a group or an individual may hack the information and use it for nefarious purposes (JotBeat, 2023, para 6). Apple is already taking steps to keep its users’ data safe and encrypted. Even though Apple has a solid track record in this area that is better than many other companies, and it also assures its users that privacy is a human right and one of its core values, its track record could be better (Bayen, 2023). From the beginning, this product will need to provide ironclad encryption that is easy for the user to understand and implement while demonstrating the highest security available.
As Apple begins to research in the hopes of branching out into the global markets, it is already discovering that health data can be intercepted and used for government surveillance without the user’s consent (JotBeat, 2023, para 7). While this is usually an issue in foreign governments, Apple is developing policies to address this before its launch in the U.S. so everything will be in place for an eventual international launch.
One other ethical (and potentially legal) concern with this smart mattress is the need to understand how the technology is gathered and the danger of relying too much on it for safety and optimal health (The University of Adelaide, 2020, p. 31). While Apple is making claims that the mattress can save a person’s life, it must be cautious so there are no legal issues down the road. Apple’s claims must be backed by solid research and documentation, and it must be stressed that this mattress is only as helpful as the technology embedded within the mattress and the person who is operating it. It has its limitations, no matter how advanced the AI technology professes to be.
Industry standards are already being addressed to ensure that this mattress is a far superior product to its competitors. Apple has a robust strategy that focuses on differentiation, quality, adaptability, aesthetics, and the customer experience (Accelingo, 2024). By implementing all of these into its smart mattress and adding in the interconnectivity element for which it is known, its industry standard will far exceed what is already on the market, thus making it the leader in smart mattresses from the moment this product enters the marketplace.
Market Proposal Limitations
When developing a market proposal for the Apple Smart Mattress, I have encountered two limitations: Apple’s entrance into a new industry sector filled with strong competitors and the expensive price tag. Neither of these is related to any market research gaps; they are challenges that Apple will face and prevail in the way they have always overcome any potential limitations.
The pricing of this smart mattress is not going to be as inexpensive as potential alternatives from competitors. “Apple’s pricing strategy relies on product differentiation, which distinguishes a product or service from competitors” (Business Editor, 2021, para 8). Because Apple is known for quality and has created such a loyal base of customers willing to pay more for that quality, their products typically cost more than those of their competitors. Moreover, all their products synch for a seamless Apple experience, and this new smart mattress will be no different. Therefore, when Apple prices its beds from $8000-$15,000, it will limit those who may be able to afford the product initially, but it is in keeping with Apple’s pricing structure and company objectives. It may be a struggle to find those in the sample population who are willing and/or able to afford this product, but we are confident that once people realize the potential for this smart mattress, they will recognize their need for this product and be willing to pay the price for it.
The other limitation is that Apple is entering a new sector—mattresses. Even though these are powered by AI technology, there is intense competition in a part of the industry that Apple has not officially entered until now.
As Apple branches out into the mattress industry, it will need to convince its customer base that its mattresses are worthy of being considered alongside well-known brands like Sleep Number and Tempur-Pedic. It will need to focus on marketing to its target customers in such a way that they want to continue being a part of what is termed the Apple Ecosystem (Editorial Team, 2022). The focus will be on reminding and/or convincing consumers to go all-in with Apple and purchase their entire line of products, which cooperate to create the wonder and magic for which Apple is known worldwide. While its competitors may attempt to demonstrate that their smart mattresses are better, cheaper, and have more bells and whistles than Apple, it is the Apple Smart Mattress that connects user’s home technology, iPhones, iPads, Smartwatches, and more together to create a user experience that can only be achieved through Apple. This will be illustrated on the website and at Apple stores by skilled Apple salespeople.
As we place our smart mattresses alongside our competitors in mattress stores, it will be a challenge to convince customers that our mattresses are superior. However, we believe we will be able to do so because of Apple’s commitment to its company objectives and to bringing only the best products to the market.
References
Accelingo. (2024, January 19). Apple’s global strategy: simplicity, innovation, and adaptability. Retrieved October 12, 2024, from https://www.accelingo.com/apples-global-strategy/
Apple. (2024, October 9). How Apple is empowering people with their health information. Apple Newsroom. https://www.apple.com/newsroom/2022/07/how-apple-is-empowering-people-with-their-health-information/
Bayen, L. (2023, November 21). A critical look at Apple’s privacy record. Tech Policy Press. Retrieved October 5, 2024, from https://www.techpolicy.press/a-critical-look-at-apples-privacy-record/
Business Editor. (2021, November 17). Slicing the Apple: An analysis of Apple’s pricing strategy. The St Andrews Economist. Retrieved October 4, 2024, from https://thestandrewseconomistdotcom.wordpress.com/2021/11/17/slicing-the-apple-an-analysis-of-apples-pricing-strategy/
Editorial Team. (2022, May 12). Exploring Apple’s retail strategy that fueled its $3 trillion valuation. fabric. Retrieved October 5, 2024, from https://fabric.inc/blog/commerce/apple-retail-strategy
Fortune Business Insights. (2024, August 26). Smart Bed market Size, share & industry analysis, by application (Residential, healthcare, and hospitality), and by distribution channel (Offline, and online), and regional forecast, 2024-2032. Retrieved September 14, 2024, from https://www.fortunebusinessinsights.com/smart-bed-market-106266
Gumbo Medical. (n.d.). How smart hospital bed features improve patient care. Retrieved September 21, 2024, from https://gumbomedical.com/smart-hospital-bed-improve-patient-care/
Hasan, S. A. (2023, October 2). Apple: “Think Different” Product Strategy & Business Model. Retrieved October 12, 2024, from https://www.linkedin.com/pulse/apple-think-different-product-strategy-business-model-al-hasan-pmp/
JotBeat. (2023, January 24). Unlocking the potential of smart beds in healthcare: balancing benefits and privacy concerns. Medium. https://jotbeat.medium.com/smart-beds-in-healthcare-pros-cons-and-privacy-1c0adbc56ecf
Mateer, N. (2023, June 22). How hotels are embracing the “sleep tourism” trend. Hotel Dive. https://www.hoteldive.com/news/hotels-embrace-sleep-tourism/653676/
The University of Adelaide. (2020, August). Social, ethical and economic considerations of smart technologies for ageing well. Methodist Healthcare. Retrieved October 5, 2024, from https://www.sahealth.sa.gov.au/wps/wcm/connect/efe00247-9ea4-4da8-93a4-ec8e68417f90/SmartTech_report_09_2020_FINAL.PDF