The Complete and Utter P.R. failure of Apple

Posted:
in AAPL Investors edited January 2014


As we watch the slow motion death of AAPL stock, you have to wonder about the complete and utter failure of Apple's massive P.R. department.  Or is the P.R. department of Apple, in fact, nothing more than a monkey on a tricycle with a pinwheel hat riding in circles?  A couple of high school interns?


For being the purported “most trusted company in America” it's utterly shocking to watch as:


 


1. Apple gets smeared with negative press. Relentlessly.  APPLE’s response - (zilch)


2. Competitors steal, copy and outgun Apple at its own game.  APPLE’s “public” response  -(zilch)


3.  False rumors are spread through high level news organizations.  APPLE’s response - (zilch)


4.  The value of company stock tanks daily - DAILY!... and yet APPLE’s response -  (zilch)


5.  Consumers voice disgust at lack of innovation.  APPLE’s response - (zilch)


6.   Institutional investors abandon the company in droves.  APPLE’s response  - (zilch)


7. Tim Cook opens his mouth and says nothing – NOTHING - but the same stale, robotic lines about great products.


 


The question is, will Apple, circa 2013, be looked back upon as a the largest public relations failure in history? Studied in marketing textbooks as the biggest blunder of modern industry?  Once perched high on the mountain of consumer confidence, will the empire crumble in a matter of months?  One has to wonder.


 


In the meantime some advice for APPLE  - Just do nothing.  It’s working out great.

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Comments

  • Reply 1 of 32
    MarvinMarvin Posts: 14,195moderator
    Say the stock went all the way down to $200, what would be the effect on Apple's day-to-day business? Also, how would the public at large view the company differently as opposed to investors looking for an investment opportunity? Lastly, what would you expect them to do to fix the above problems? They can't and have never commented widely on false rumours - every time someone suggests they are working on a particular product, they can't dismiss it or they'll narrow down what they are working on.
  • Reply 2 of 32
    prizmprizm Posts: 12member


    I think the stock dropping to 200 would significantly affect the day to day business of Apple.  I think a lot of consumer money is wrapped up in 401K's, personal savings, etc.  It affects the people who BUY the stuff that Apple makes.  As the negative spin on the street continues, confidence erodes. People, if not personally affected by the fall of the stock, catch wind of the dying animal that is Apple.  Desperation is never a cologne that attracts. 


     


    But if you think one of the world's largest companies saying nothing about anything is a good strategy... so be it. 


    A career in P.R. sounds easy if the formula is F**k everyone. 

  • Reply 3 of 32
    tallest skiltallest skil Posts: 43,399member


    Originally Posted by Prizm View Post


    1. Apple gets smeared with negative press. Relentlessly.  APPLE’s response - (zilch)


    2. Competitors steal, copy and outgun Apple at its own game.  APPLE’s “public” response  -(zilch)


    3.  False rumors are spread through high level news organizations.  APPLE’s response - (zilch)


    4.  The value of company stock tanks daily -  DAILY!... and yet APPLE’s response -  (zilch)


    5.  Consumers voice disgust at lack of innovation.  APPLE’s response -  (zilch)


    6.   Institutional investors abandon the company in droves.  APPLE’s response  - (zilch)


    7. Tim Cook opens his mouth and says nothing – NOTHING - but the same stale, robotic lines about great products.



     


    1. Sales, revenue, and profit that prove the negative press is written by people who need to be in jail.


    2. Lawsuits, worldwide, across the entire market.


    3. They don't have to respond to this.


    4. Sales, revenue, and profit that make this meaningless.


    5. Invalid. No actual customers are saying this. You're listening to trolls; that's your problem.


    6. Why should they care?


    7. Your point being what? What "should" he say?


     


    How are you so blind that you don't see this?






    The question is, will Apple, circa 2013, be looked back upon as a the largest public relations failure in history? 




     


    Answer: No.

  • Reply 4 of 32
    robmrobm Posts: 1,068member


    Let the stock tank !


    Apple then announces a buy back scheme - and you just watch all the hedge fund heroes climb all over it.


    Apple a dying animal - jeez ! Where did that come from ?

  • Reply 5 of 32
    prizmprizm Posts: 12member


    "Apple a dying animal"


     


    Right or Wrong this is what I mean by much lacking P.R. 


     


    This sentiment it out there.  Trust me.  It is.

  • Reply 6 of 32
    tallest skiltallest skil Posts: 43,399member


    Originally Posted by Prizm View Post

    This sentiment it out there.  Trust me.  It is.


     


    And it's just as big a lie as the crap written about Apple to tank the stock. So what?

  • Reply 7 of 32
    prizmprizm Posts: 12member

    Quote:

    Originally Posted by Tallest Skil View Post


     


    And it's just as big a lie as the crap written about Apple to tank the stock. So what?





    I'm not trying to start a fight.


     


    And  I'm not listening to trolls mind you. For clarity, I will state that I work in a position where I get to see "lots" of a new phones that will be released in the next 6 months. The phone's that I play with on a daily basis are truly innovative and fun. Lots of envelope pushing technology.  These manufacturers, that are obviously not Apple, are really using cutting edge hardware and software in their devices.  No... they don't have the "halo" of Apple products as of yet...but they're trying. Trying lots of things that are pulling up fast in Apple's rear view mirror. 


     


    It's only a matter of time, as the last 6 months of Samsung sales has proven.  Time is ticking.  

     

  • Reply 8 of 32
    tallest skiltallest skil Posts: 43,399member


    Originally Posted by Prizm View Post

    I'm not trying to start a fight.


     


    I'm just trying to understand why you believe any of this.





    For clarity, I will state that I work in a position where I get to see "lots" of a few phones that will be released in the next 6 months.





    Just like every year.






    The phone's that I play with on a daily basis are truly innovative and fun. Lots of envelope pushing technology.  These manufacturers, that are obviously not Apple, are really using cutting edge hardware and software in their devices.  No... they don't have the "halo" of Apple products as of yet...but they're trying. Trying lots of things that are pulling up fast in Apple's rear view mirror.




     


    And yet none of them have the customer satisfaction of Apple, nor are they on track to do so.





    It's only a matter of time, as the last 6 months of Samsung sales has proven.  Time is ticking.  



     


    So what's your argument, again? Apple is doomed?

  • Reply 9 of 32
    prizmprizm Posts: 12member


    My point is the subject line of this thread.

  • Reply 10 of 32
    tallest skiltallest skil Posts: 43,399member


    Originally Posted by Prizm View Post

    My point is the subject line of this thread.


     


    Okay. You're wrong.

  • Reply 11 of 32
    prizmprizm Posts: 12member


    Good talk.

     

  • Reply 12 of 32
    MarvinMarvin Posts: 14,195moderator
    prizm wrote:
    I think the stock dropping to 200 would significantly affect the day to day business of Apple.  I think a lot of consumer money is wrapped up in 401K's, personal savings, etc.  It affects the people who BUY the stuff that Apple makes.

    Not directly though, the vast majority of buyers of Apple products won't even know there is such a thing as AAPL. The value of the stock has to be primarily controlled by the activities of the largest shareholders and they aren't average consumers even though many will respresent consumers:

    http://finance.yahoo.com/q/mh?s=aapl

    As you say, they are gambling with consumer money. This doesn't justify in any way Apple being more responsible for what happens with it. Expecting reckless behaviour to be mended by responsible people working harder is exactly the wrong way to go about it. It'll just encourage the stock manipulation through false rumours and use of automated transactions. If it's always Tim's problem then they can make the rollercoaster run as wild as they want.
    prizm wrote:
    People, if not personally affected by the fall of the stock, catch wind of the dying animal that is Apple.  Desperation is never a cologne that attracts.

    And you think that would stop them buying a nice computer or phone? More accurately, would that stop over 100 million people per year buying a nice computer or phone?
    prizm wrote:
    It's only a matter of time, as the last 6 months of Samsung sales has proven.

    Yeah, the iPhone 5 outsold the Galasy S3 and Note combined last quarter. Samsung really needs to start innovating when they can't even outsell essentially a stretched version of last year's iPhone. It must be worrying for them that all they can sell are cheap, low margin products even with a totally redesigned flagship model.
  • Reply 13 of 32
    prizmprizm Posts: 12member


    Yeah, the iPhone 5 outsold the Galasy S3 and Note combined last quarter. Samsung really needs to start innovating when they can't even outsell essentially a stretched version of last year's iPhone. It must be worrying for them that all they can sell are cheap, low margin products even with a totally redesigned flagship model.


     


     


    I'm not sure Samsung is worrying. They're ripping off Apple left and right.  And doing a darn good job of it.  Their sales are increasing. Apple's 2013 salses forecast seems to be heading in the opposite direction.

  • Reply 14 of 32
    tallest skiltallest skil Posts: 43,399member


    Originally Posted by Prizm View Post

    Apple's 2013 salses forecast seems to be heading in the opposite direction.


     


    What evidence do you have for this?

  • Reply 15 of 32
    robmrobm Posts: 1,068member

    Quote:

    Originally Posted by Prizm View Post


     


     


     Apple's 2013 salses forecast seems to be heading in the opposite direction.



    Pure unadulterated FUD !

  • Reply 16 of 32
    MarvinMarvin Posts: 14,195moderator
    prizm wrote:
    I'm not sure Samsung is worrying. They're ripping off Apple left and right.  And doing a darn good job of it.  Their sales are increasing. Apple's 2013 salses forecast seems to be heading in the opposite direction.

    They're even copying the event strategy:

    http://www.t3.com/news/samsung-galaxy-s4-will-surprise-and-delight-on-march-14-says-leading-analyst

    "They didn’t announce the Galaxy S4 at CES – the so-called Super Bowl of Technology. They said “no” to MWC and said “we’re going to have our own event.”"

    And some of their phone strategy by stretching the last model:

    1000

    Oh no, lack of innovation! Their early release schedule suggests they are a bit desperate too. $200b market cap, has Samsung peaked? Time to start ditching the stock. I guess when you copy an innovator who stops innovating, your innovation supply runs out too.

    As you can see though from the list of major investors in Apple, it's the same culprits you see time and time again involved in all financial turmoil. It only takes a few of them to trigger a major change. They have deliberately placed themselves in a position that everyone from government to the consumer is entirely dependent on their actions so they become untouchable. Everybody runs around pointing the finger at the only people actually behaving responsibly and doing better than they ever have to sort the mess out. The first step is to start pointing the fingers in the right direction.

    Tim Cook's answer to a certain class of investors about his performance should simply be (NSFW):



    "I'm the guy who does his job, you must be the other guy"

    but he could start here (NSFW):



    There are long term investors who are being screwed over and it's bad that this happens but it's the nature of the game they play. Apple has over 0.5 billion customers, which considering there are only 7 billion people in the world and half are in poverty, and they only sell a handful of premium products, is pretty impressive. I'd say they have a long way to fall before they are in any kind of trouble and it's not really trouble if they stop growing. Nobody takes a stepladder up Mount Everest. When you reach the top, that's as far as you need to go. Tim said he doesn't see a limit to where they can go but there is a human limit in everything and there is a tighter limit in a premium market, usually exponentially because of the wealth distribution.

    Maybe the current market cap is more appropriate for Apple and it will stabilise but right now, people will get scared by the drop, dump the stock to save further losses and drive the price really low and then it will be undervalued and people will buy in again and it'll settle somewhere after a year or more. All Apple can do is keep selling their products and there's no evidence they are having problems there.
  • Reply 17 of 32
    prizmprizm Posts: 12member


    Another day of flushing billions of dollars down the toilet.


     


    Great job Apple.  Great job.

     

  • Reply 18 of 32
    tallest skiltallest skil Posts: 43,399member


    Originally Posted by Prizm View Post

    Another day of flushing billions of dollars down the toilet.


     


    Great job Apple.  Great job.



     



     


    Finally I get to use this again.

  • Reply 19 of 32
    prizmprizm Posts: 12member


    Look...I know you're a moderator and all, but you really come off as standoffish and kind of rude.


     


    Isn't your job to moderate, not berate people?

  • Reply 20 of 32
    tallest skiltallest skil Posts: 43,399member


    Originally Posted by Prizm View Post

    Look...I know you're a moderator and all, but you really come off as standoffish and kind of rude.


     


    Isn't your job to moderate, not berate people?



     


    We get a lot of "doom and gloomers" here. There's no real reason to let that go unchallenged. You've provided no disproven evidence for your position and aren't answering about half of the questions here. 



    So forgive me if I'm a little snarky with someone who wants to just say "Apple is doomed" while standing in front of their HUGE PILE OF MONEY and INVENTORY THAT TURNS OVER EVERY SINGLE WEEK.

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