Wednesday 18 April 2012

Why Apple Is So Successful


As many of you know, I have been covering Apple for 30 years. Over the course of that time, I have often been stumped by the incredible loyalty of Mac, iPod, iPhone, and now iPad users all over the world. In some cases, that loyalty is backed by an almost religious fervor. Mac worshippers aggressively defend Apple and its new legion of fans, especially those now with iPads, are almost evangelistic in the way they talk about the device, show it off to their friends, and attempt to convert them. (Interestingly, in the early days, Apple appointed actual Mac evangelists to woo developers and convince them to write compatible software products.)
This level of loyalty can be traced back to before Apple even released the Mac. The company's fervent followers, circa the Apple II, embraced Jobs and Wozniak's creed that computers should be affordable to all, not just the computer professionals in business and higher education. When the Mac vowed to make the computer more user-friendly, new disciples pledged allegiance to Apple.
But is the reason more people are buying Apple's products simply because Apple creates clean and dependable products? Partly, yes. But I've had a nagging feeling inside that this only explains half of the reason. Last year, I came across a Ted Talk by Simon Sinek titled"How Great Leaders Inspire Action" that helped me get a better handle on this question.
I highly recommend you spend 18 minutes and watch it, as it explains not only why Apple is successful but why major leaders like the Wright Brothers and Martin Luther King, Jr., were so effective as well. Sinek also wrote a great book on this subject called Start With Why.
While I don't want to steal Sinek's thunder, I want to share some of his key points that helped me understand Apple's success in more succinct terms.
Sinek explains what he calls the "Golden Circle." Imagine three concentric circles: the innermost labeled "Why," the middle labeled "How," and the outermost labeled "What." He says that all members of an organization know what they do, and some know how they do it, but most don't know why they do it.
He argues that most companies lead with messages about what they sell, but that the great leaders and companies communicate why they do what they do. This part really struck me, as it applies to Apple. Sinek says that Apple's why message is that "Everything we do, we believe in challenging the status quo. We believe in thinking differently." Apple challenges the status quo is by making beautifully-designed, reliable products. So Apple can then say, "We just happen to make great computers. Want to buy one?"
He maintains people don't buy what you do but why you do it. Almost from the beginning, with Jobs and Wozniak, Apple told you why it developed the Apple II—to create a more affordable computer. When Jobs introduced the Mac, he said he believed that computers were too boxy, unexciting, and difficult to use. If you watch the famous 1984 Apple Super Bowl ad you'll quickly realize Apple believed it was breaking the mundane tyranny of the boring PC and creating the next computer for the Everyman. It had new graphical user interface, mouse drawing software, and was fun to use. He invited customers to follow him away from the stodgy old PC and into the new world of computing.
Jobs started attracting new converts. Sure, most business stayed with the PC, but those who believed in Jobs' vision followed him. He often uses the term "I believe" in his speeches at product launches as he preaches things like, "I believe people want products that are easy to use, and always work." Every chance he gets, he shares his vision—the why that drives him and Apple forward.
Watch Apple's iPad ads closely. Unlike HP's TouchPad ads that glorify stars, Apple's simply show you what you can do with its products.
But Jobs is a realist. You never hear him say things like, "the iPhone will rule the world," or "the iPad will take over." Sure, he is often moved to hyperbole, but for the most part, he states his vision and goals. For example, at the iPhone launch in 2007, he told us he would be happy if Apple got ten percent of, what at the time was, the emerging smartphone market.
Sinek also says that people will follow leaders or buy products they believe in. That's why Google's Android also has a strong following, although its crowd is driven by more tech-savvy users who want more control of their user experience. Apple knows that the vast majority is not necessarily interested in tweaking products for more personal customizations. The iPad ads convince you that it is elegant, easy to use, and will meet your needs as is.
If Sinek's theory holds, then people are not only buying Apple products because they are great, but because they are also buying into Apple's vision of why. They believe in the same vision and want the benefits that this vision gives them. At first, these people were called Mac heads and then Mac cultists. But as millions of mainstream consumers begin to appreciate Apple's vision, Apple users move well beyond cult status and into the bigger market at large.
I suspect Apple will continue to gain even more converts who also believe, like Steve Jobs, that tech products should make their digital lives richer. They relate to what the products do for them and are willing to follow Apple since they have adopted its vision for themselves.
I highly encourage you to watch Sinek's Ted Talk. It is quite enlightening.

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