Where are BEATS hiding?
About 5-6 years ago Beats headphones were almost seen everywhere. I saw people wearing these set of headphone while jogging, driving, etc. Also not to forget about the adverts that we used to see of celebrities like Justin Biber, David Guetta who showed off their own set of custom headphones!
Beats was founded by an American rapper called Dr. Dre along with Jimmy Iovine. Beats were neither the best headphones to buy and didn't have good value for money but they just targeted the market by providing celebrities custom headphone and ask them to showcase them over adverts.
At that time Apple released their AirPods which came with a set of earphones that sounded very low. So, this company made their products sound more premium. Thereby people started buying these headphones. Beats gained almost 70% of the headphone market! Beats also started their music streaming platform
So, how can this massive company go wrong?
In 2014 Beats was bought by Apple. This was one of the biggest acquisitions of the decade!
Why did Apple consider buying Beats?
The answer is, at that time Apple knew that in the future people would definitely buy wireless headphones and Apple wanted people to buy their headphones, not Beats' headphones. Thus, they bought it for a massive 3 billion dollars! Apple basically wanted to use Beats for powering their products and they did. They used Beats engineers and technology to make their products sound so good. Apple currently is the biggest seller of earphones.
Apple does sell Beats products as a sub-product. Beats still sell their sports earphones and a set of fashion-focused headphones... So Beats is partially alive. Apple also copied 'Beats Music' and made 'Apple Music'.
In a nutshell, Apple's acquisition is the main cause why beats went down, it is very hard for Beats to regain their position and other brands like Sony, Bose, etc., are providing more premium quality audio devices that the consumers require.
Good analysis of brand acquisition. Perfect example of Apple brand strategy.
ReplyDeleteYes companies work alike these days.
Delete๐
Nice ๐ content looking forward for more๐๐
ReplyDeleteSure...
DeleteRecently I was thinking of BEATS...
ReplyDeleteThanks for the info.
Nice๐
๐ thanks
DeleteInteresting stuff to read. good job and Keep it up!
ReplyDeleteThanks ๐
DeleteWas thinking about beats
ReplyDeleteHere's the answer๐๐
๐๐
DeleteGreat,you analysed how companies work๐๐๐
ReplyDeleteThanks
DeleteKeep reading๐