Worming back into business

Apple Computer has unleashed quite a few surprises lately, like switching to Intel-based Macs and then introducing the Boot Camp software that lets Mac users run the Microsoft Windows operating system. But the surprises don`t stop there. Now Apple has embarked on a campaign aimed at wooing the business market.

What?

Didn`t Apple abandon that tack in the early 1990s when it failed to win any significant number of converts in the business community?

Everyone knows Apple produces computers for the style-conscious home consumer market and does not compete in the business market.

Not so any more. According to South African Apple distributor, Apple IMC, the business market is once again on the Apple agenda. It`s actively engaging business IT decision-makers in an attempt to persuade them Macs are not only for creative graphical artists, but also for all creative thinkers.

Although less likely to respond to Apple`s trademark "cool factor" that has been so successful in the consumer market, Apple believes the business market`s desire for stability and security is key.

While also attempting to shatter the perception that Apple computers are more expensive than competitors` offerings by claiming the total cost of ownership is lower because Macs need less maintenance and last longer, Apple IMC`s pitch concentrates on stability and security.

It seems Apple is hoping to capitalise on a combination of growing security threats and increasing disillusionment in the security of Windows-based systems to win business support.

Against this background, IMC is touting Apple`s long-standing security record, claiming its Unix-based operating system, particularly the current Mac OS X, is unsurpassed in terms of security.

As alluring as this may sound, a quick search on the Internet reveals Apple`s security record is not what it once used to be. In fact, security vendor McAfee recently released a whitepaper on Mac security stating the annual rate of vulnerability discovery on Apple`s Mac OS platform had increased by 228% in the past two years, compared with only 73% for Windows.

Although less likely to respond to Apple`s trademark "cool factor" that has been so successful in the consumer market, Apple believes the business market`s desire for stability and security is key.

Warwick Ashford, portals managing editor, ITWeb

Granted, Apple was coming off a much lower base, but McAfee says the fact remains that the need for 20 vulnerabilities to be corrected in a patch in March 2006 means Apple`s Mac OS platform is just as vulnerable to attacks as Windows.

In light of the report by McAfee and others, it is unlikely any business-savvy person would buy Apple`s security claim at face value. Strictly speaking, the Mac OS is no longer a virus-free alternative to Windows.

What else is Apple offering?

Support is another important component of Apple`s strategy. What could be more tempting than an offer to help install, manage and upgrade technology solutions as well as technical support online or by phone?

According to IMC, local support structures have been enhanced to ensure adequate support for the business market it is attempting to pursue. However, this assertion is untested. Customers would have to commit to sampling Apple before really knowing the veracity of its promises.

A security record that is no longer valid and an untried business support structure hardly seems enough on which to base a campaign to win market share, but that`s all IMC`s pitch to business appeared to boil down to.

There had to be something more.

A little more digging around on the Internet eventually yielded some clues that pointed to a much more plausible explanation than anything IMC had to offer.

After all, it appears Apple is simply getting real about the fact that despite all the hype surrounding the iPod and the related iTunes online music store, the PC market is much bigger than the market for digital music players.

Since Macs accounted for as much as 39% of Apple`s sales last year and some analysts predict Mac sales could grow 25% in 2007, Apple`s ostensibly inexplicable moves suddenly make sense as strategic steps in a pragmatic approach to survival.

The switch to Intel chips opened the way for lower-priced Apple computers with which to take on the competition and the introduction of Boot Camp made Macs more easily accessible to thousands of Windows users for the first time.

Some analysts believe enabling Macs to run Mac OS X and Windows will put Apple in a stronger position than ever to challenge other PC makers. This view is supported by the 10% increase in the Apple stock price that followed the release of Boot Camp.

Apple`s pursuit of the PC market would seem well advised and even well supported by market analysts, and considering the relative size of the business market when compared with the consumer market, it makes perfect sense for Apple to target that sector.

It will be interesting to chart Apple`s progress in the coming months as it completes its transition to Intel-based Macs and rounds out its PC portfolio with offerings tailored to lure various sectors of the consumer and business market, with the emphasis on mobility.

Apple has already demonstrated a remarkable ability as a late entrant to the digital music player market to come from the back and dominate. Will Apple be able to repeat the winning combination of style, ease of use, clever marketing and smart distribution to worm its way back into the business market?

Times have changed since Apple last abandoned hope of succeeding in the business market and this time it may well succeed. It could be argued that success does not necessary lie in stability, security, or even style, but simply in giving the market a bigger choice.

That aside, Apple is probably still banking in some measure on the "cool factor" or at the very least on the basic human desire for exclusivity.

Whatever the truth, it remains to be seen whether the new strategy will bear fruit in general and whether IMC in particular can make its offering the apple of the local business market`s eye.