Apple won Marketer of the Year only once in the past ten years, but it was also a contender for the top honor nearly every year this decade, according to AdAge. The marketing publication cites many reasons for its victory, among them the launch of iAd, and the continued success of its brick-and-mortar stores.

Maybe the most significant piece of marketing savvy shown by Apple during the past year was its management of the “Antennagate“ scandal that threatened to tarnish its highly polished quality control reputation. Jobs and Co. avoided disastrous and long-lasting effects by offering free cases to affected customers, while at the same time, not actually admitting that there was anything really wrong with the device through clever double-speak.

The Advertising Legacy

If you want to talk about the last decade as a whole, though, you have to look back to its earlier marketing moves that have become so iconic. Remember the iPod silhouette ads? They debuted in Oct. 2003, and became iconic enough to inspire countless spoofs. The ads also featured songs, often by relatively unknown artists. Being picked as the track for an iPod commercial could make your career. Apple’s marketing could incidentally make a musician successful.

And if it’s entertaining ad campaigns you’re after, it’s hard to do better than Apple’s “Get a Mac” ads, known by the “I’m a Mac, and I’m a PC” tagline used in each. Though Apple dropped this campaign last year, it began in 2006, and more than 70 ads appeared in the series. Justin Long and John Hodgman, who played Mac and PC respectively, became more widely recognized for these roles than for their parts in film and television shows. Timed as they were to take advantage of the disaster that was Windows Vista, they probably did more for the Mac’s growth than anything had before.

Last, but not least, is Apple’s ”There’s an app for that,” the company’s recently certified trademark, which became synonymous with Apple’s App Store, and by extension, with the iPhone. It’s also possibly the most parodied and reused tagline in history, at least measured in terms of blog and newspaper article headlines, and derivative marketing campaigns.

The Brand

Say what you will about Apple; it’s done amazing things to secure its brand identity. The phenomenon of the fanboy is a well-documented one, and has even prompted attention from filmmakers. The loyalty Apple users feel for their preferred electronics vendor is unmatched by any other group.

Why does Apple attract such adamant defenders? I’d argue that it’s their continued commitment to quality. Apple won’t release a product that it thinks feels or seems cheap, no matter what the revenue benefits would be. The company’s never even tried something like starting an offshoot budget brand, as HP has with its Compaq acquisition. And say what you will about the iPhone 4′s antenna problems, but it’s still far and away the best phone I’ve ever owned.

That commitment to quality is closely tied to Apple’s customer service. Both on the phone and in person at the Apple Store, the resources the company has dedicated to making all of its representative-customer interactions as pleasant as possible has really paid off. Of course, there are exceptions, and people will no doubt cite many examples of poor service from Apple reps. But on the whole, AppleCare provides far less reason to complain than do many similar services offered by its competitors.

Jobs Himself

As we saw yesterday, a large part of Apple’s marketing success can be attributed to its charismatic leader, Steve Jobs. He seems to be unable to censor himself in direct interactions, something reflected in the famous Steve Jobs personal email replies that may or may not actually come from Apple’s PR department. Whether or not they do is besides the point.

Steve Jobs is part celebrity and part CEO. Even while maintaining an air of mystery and insisting on absolute secrecy regarding future product releases, he seems also to be available to customers and without a filter on his personal feelings. It’s an odd combination that’s obviously a winner with consumers, and it garners Apple a lot of press (see the thousands of articles about yesterday’s quarterly conference call circulating the web if you needed any more proof).

Can it Carry On?

So that’s how Apple achieved its place of prominence as Marketer of the Decade. But can it continue to reign? That’ll depend on its ability to maintain a high level of success with its advertising, brand and yes, even its CEO.

The advertising has already taken a turn for the worse, in my opinion. Apple seems unwilling to go out on a ledge and poke at rivals (plus it’s becoming the big fish anyway, and it looks bad to knock the competition from on high) or even to celebrate what makes it different by using indie acts for background music. The sentimentality of the FaceTime ads seems to be missing the edge that got Apple to where it is now. Maybe Apple’s customer base, as it ages, will appreciate the new direction, but I’m afraid it could lead to even more vanilla offerings.

Where Apple is safest is its brand image. Products continue to come out that provide a very high level of user experience, with relatively few frustrations. The iPad is a great recent example, as is the iPhone 4 if you leave aside for a second any antenna issues.

As for continuing to have an enigmatic and charismatic corporate leader who also provides a great public face for the company, that’s completely up in the air. Steve Jobs is obviously one of a kind, but it’s possible the corporate culture he’s fostered at Apple will produce a worthy successor from within the ranks.

What do you think is the main reason for Apple’s marketing success? Any or all of the above, or something not listed here?

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True, I’ve written before about some of the missteps that Apple has taken, but even with its faults, the company never stops and keeps striving to make a difference in the minds of its customers. So what makes an Apple Store so great? It’s all about the experience.

Certainly, one can argue that the reason why people will wait in lines that are hours long for a new telephone is because the telephone must be pretty frackin’ cool. Some of you may have done this before, waiting outside of a Best Buy or Walmart for a chance to get a Nintendo Wii or Playstation 3 when they first launched. But if you did, I bet your experience was nothing like it was at the Apple Store.

First, the stores have Wi-Fi. That one may seem a little cheesy, but when you’re camped outside at 3AM, it’s nice that a company that, despite all its talk of being energy-efficient and going green, still decided to leave its wireless routers active at night so you can watch Hulu while waiting in line.

Second, the stores take care of those who are waiting in line. During both the iPad and iPhone 4 launches, the two stores I visited had partnered with a local Starbucks and California Pizza Kitchen to provide food and drinks to those who had been waiting — at no expense to customers. How many places do you know of that do that?

Third, the experience with the employees is, despite the occasional misstep, phenomenal. Employees are not on commission so there’s no pressure for them to sell you everything and the kitchen sink. They’re in the business of building a relationship. They’ll shake your hand, call you by your name and really take personal pride in being able to help you with the right solution every time. Not only that, but it’s not just about selling you on the products. Apple is one of few companies who really wants you to return to the store and learn more about how to use their products, even if you’re not buying anything else. It’s all about the experience -– with the products, with the people and with the stores.

If you’ve ever had a chance to visit the Ritz Carlton, this type of service will be familiar to you as it originally started with its gold standards. The Ritz Carlton credo is the guiding philosophy of Apple’s own credo.

“The Ritz-Carlton Hotel is a place where the genuine care and comfort of our guests is our highest mission. We pledge to provide the finest personal service and facilities for our guests who will always enjoy a warm, relaxed, yet refined ambience. The Ritz-Carlton experience enlivens the senses, instills well-being, and fulfills even the unexpressed wishes and needs of our guests.”

Even its motto, “We are Ladies and Gentlemen serving Ladies and Gentlemen” speaks volumes to how Apple treats its own customers. Have you ever walked into an Apple Store and not been treated like royalty? (As an aside, I strongly suggest you do not walk into a store and demand to be treated like royalty.)

Apple calls its service “surprise and delight.” It aims to surprise its customers by seeking opportunities to deliver on its customers wishes and needs and then delight them by going above and beyond, if you give them the opportunity.

Again, look at the recent iPhone 4 launch. After waiting in line, I was then taken into the store where I had a chance to play with the iPhone while I waited for the next Specialist who could help me with my purchase. When I’d finished purchasing my phone, it was switched over on AT&T’s network (rendering my old phone inoperable) and another Mac Specialist was there ready to help me plug it into a Mac and finish the activation process.

If you give them a chance, and don’t exploit it, every team member at Apple will not stop until they’ve given you the best experience they can. Unfortunately, however, as the busy consumers we are, we like this attention and tend to expect or even demand it sometimes. There are times when a Genius Bar appointment may not be available until the next day or that hot new iPhone just isn’t in stock. Getting frustrated at this point is understandable, but take a few moments to understand how the team at Apple really wants to help you and be sure to treat them with that same level of respect. Even though the stores are busy, politely asking, “How can we find a way to help me get my Mac working as soon as possible?” is just enough to, if they haven’t offered already, allow them to look at Genius Bar appointments at neighboring stores and go ahead and schedule the appointment for you. Or, if the store traffic permits, check in your Mac for repair and diagnosis at a later time so you don’t have to wait for the appointment.

The moral of my story is this. The Apple Store is a great experience and that’s a big reason why people love to buy Apple products. For many, it does start with their first iPod or iPhone and later they return for their first Mac. So don’t forget the little things that make the experience so great (the attention, the people) and appreciate them because Apple’s formula for success is something you just won’t find at Best Buy or AT&T or really any other retail store for that matter.

There you have it. Yet another reason why many of us Apple users are called “fan boys.” Have you had your own surprise and delight experience at Apple? Tell us about it in the comments.

If you’re not familiar with Tap Tap Revenge (you must not own an iPhone, or read our site very carefully), then you probably don’t know that it’s essentially a clone of games like Dance Dance Revolution and Rock Band, redesigned specifically for the iPhone’s unique interface. It’s fun, and incredibly addictive, which probably has something to do with its impressive degree of success.

Tap Tap Revenge has reportedly been installed more than 20 million times (although that isn’t necessarily unique installs) and people have played more than 600 million rounds. Rough estimates put the total install base of the game at one-third of all iPhones currently operating. Considering the iPhone’s success, that represents a hefty payday indeed.

The source of revenue stemming from the Tap Tap Revenge series is varied. Most of the apps themselves cost at least 99 cents, though Tap Tap Revenge 2.6 is free, and artist-specific special editions cost more. But the real money is made from ads in the games, and from a cut of the in-app purchases available in the latest version, which allow iPhone users to buy and download playable, often themed tracks from their favorite artists.

Obviously, Tapulous is the exception, not the rule. The vast majority of iPhone-only devs don’t make anywhere near that kind of scratch, but if nothing else, this simple rhythm game proves the money’s out there to be made.

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Do you have what it takes to create the next great iPhone app? Or have it featured on iPhone commercials and installed on the all iTouches at the Apple store? Maybe have a big ol’ icon flashing so fast at the next WWDC that you have to include a seizure warning? There’s an app for that!

It’s called your checkbook.

The folks at AdWhirl recently calculated (PDF) what it costs to get your app into Apple’s Top 100 rankings: $1,875 a day. They determined this by looking at so-called untargeted marketing, click-through rates on ads, and actual app sales. Since AdWhirl sells targeted ads, I wondered if their findings were accurate or merely a sales pitch of their own. Does popularity have a simple price tag?

Fortunately, I know someone from the original Grocery iQ team. Grocery iQ was able to win the triple crown of apps: a Top 100 ranking, Apple Pick of the Week, and being featured under “What’s Hot.” What was its secret to success? When Apple released its Top Apps of 2008, Grocery iQ was in the top 50. I think that makes the Grocery iQ team qualified to talk about App Store success.

Jason Boehle, co-founder of Free State Labs (developer of Grocery iQ) and now a software engineer at Coupons, Inc, was able to give me some insights on AdWhirl’s findings. In the interest of open disclosure, I helped test the Grocery iQ app at the beginning, which earned me some face time with Jason.

Jason’s first response to the $1,875 per day price tag: “Yup, that’s about right!” The Grocery iQ team dabbled with paid ad networks and calculated that to make the top 100, they’d have to spend close to that amount for at least two weeks. “Small indie developers simply don’t have that kind of money,” Jason said.

Jason also agreed with AdWhirl’s assertion that free or “lite” apps do lead to, rather than cannibalize away, sales of paid apps. Since the App Store doesn’t have any way to try apps before you buy, free versions seem to be a good way to get buzz about your paid app. Free versions sometimes have ads, so AdWhirl’s report may be biased towards this view. Finding the right mix of features and ads while maintaining quality is tricky.

How did Grocery iQ get to be the pick of the week? “We did our best to build a great product and it got noticed,” according to Jason. During this time, Grocery iQ was ranked as high as eighth in the App Store and generated thousands of sales a day. The Grocery IQ team was told that the group at Apple that determined the picks meets weekly. Each member of the Apple team comes in with ideas of what he or she likes, and they vote. Grocery iQ didn’t know anyone or use a special formula. Paying for ads might get your app noticed by Apple, but it won’t get it named as pick of the week.

Though Jason couldn’t comment specifically, the Coupons.com purchase obviously helps Grocery iQ reach a target market of grocery purchasers, and is consistent with AdWhirl’s findings that one way to reduce the $1,875 price tag is by finding a target audience for your product. Shopping and coupons are a natural fit, and we should expect to see more web properties using the App Store to promote their products, and vice versa.

What if you don’t have the cash for advertising, or you can’t find a target market? Jason thinks it’s become much harder to get your app noticed due to all the competition. He said that small developers “need to find features that differentiate them from the competition and then develop apps people really want.” Then you have to go viral with your marketing efforts, which unfortunately is often quite difficult.

So, all you need is $1,875 a day. Either that, or develop a great app. Grocery IQ used the latter, while it appears some other apps have the pockets deep enough to do the former. A little luck probably doesn’t hurt, either.

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Your head might be spinning from the torrent of Apple happenings at WWDC this week, but fear not, I’ve got the cure: fresh picks from the App Store.

It’s been an exciting week for TheAppleBlog, with our correspondents posting live from WWDC in San Jose; we’ve been covering the event from all angles. Before we look at this week’s apps, let’s take a moment to summarize the latest Apple news.

We kicked off the week in style with Apple’s official keynote at WWDC. Behind the scenes we had Henry Balanon and David Koff with live reportage from the event. Streamed live to our WWDC coverage page, we hosted over 74,000 readers. If you missed it first time round, replay it here.

In an entirely unexpected turn of events, the 13″ MacBook has now gone professional. Indeed, the new 13″ MacBook Pro includes an SD card slot, up to 8GB of RAM, and a backlit keyboard as standard. Early adaptors of the 15″ Unibody MacBook Pro can join me in irking 13″ MacBook Pro owners by collectively running our greasy fingers down their glossy 13″ screens.

And, as if that wasn’t enough for us early adopters, the 15″ MacBook Pro has also been updated. In a nutshell, the update means more storage and improved battery life. Plus, the pretty much redundant ExpressCard slot has been replaced with a more useful SD card slot. Readers looking for an overview of the updated MacBook Pro line should head on over to Tom Reestman’s article.

Apple has also announced that Snow Leopard, the latest upgrade to their desktop OS, will be released this September. It’s fully 64-bit, features Exchange support, and is basically pretty wonderful, but the best thing about it isn’t the feature set, it’s the price: Current Leopard users will be able to upgrade for just $29. In the meantime, those looking for a quick software update hit should download the official release of Safari 4.

Then there’s the big news, the product announcement that I’ve been waiting months for: the iPhone 3G S. It’s exactly the same form factor except there’s more RAM, greater storage and — this is a big deal for me — a better camera. The iPhone 3G isn’t going anywhere yet, though; it’ll still be available, at least for a limited time, at the new price point of $99.

Just like the MacBook Pro family, it’s not only the iPhone hardware that has been updated, it’s the software, too. Apple is officially releasing iPhone OS 3.0 on June 17. There are tons of new features, more than I can mention here. Rest assured, though, that crowd-pleasers such as cut/copy/paste, MMS and shake to undo have been included in the update.

To celebrate the launch of the iPhone 3G S and OS 3.0, the folks at Polar Bear Farm have given us two promo codes for their latest app. The app is called Face Match; for a chance to win, simply leave a comment telling me why you’d like to use this face recognition tool for the iPhone.

Moving on to the picks, this week I’ve been looking at Photo Zen, Tumblr Gear, Swiss Maker and Spinal Tap.

PhotoZen (Free)
Until I bag myself a new iPhone 3G S, containing upgraded camera and integrated video-editing, my iPhone photography lineup consists of Quadcamera and Flickit. The idea is that since the camera on the iPhone 3G isn’t so hot, I want to take quick, fun shots and upload them efficiently, without having to sync and manage via iPhoto. PhotoZen captures this quick and fun photo-sharing ethos, allowing you to post your own images to a social bonsai tree, receiving images from strangers in return. Sweet, simple and free.

Tumblr Gear (Free)
I’m particularly interested in Tumblr Gear because it’s an alternative to Tumblr’s official iPhone app. That’s not to say I have a problem with the official app, quite the contrary; it’s great for posting new content whilst on the move. Rather than for creating new posts, Tumblr Gear was devised for browsing your dashboard and seeing what your friends have been posting. It’s optimized for the iPhone and efficient to use. For the avid user, this could be an essential app.

Swiss Maker (Free)
In reaction to the Swiss design style — stark typographic imagery featuring Helvetica — the Boston-based marketing agency Dirk+Weiss started a site: anyonecanswiss.com. Their clever site, now available as an iPhone app, lets you design a Swiss-style poster in seconds — just enter a few words and it does the tough job of changing the font to Helvetica and printing the text on a black background. Creative folk will appreciate the app for sure, those who don’t get the joke should download the app regardless — show it to your friends, they’ll think you’re erudite, topical and witty.

Spinal Tap (Free)
Around the release of their 1982 album, “Smell the Glove,” their music was described by one journalist as such, “This pretentious ponderous collection of religious rock psalms is enough to prompt the question, ‘What day did the Lord create Spinal Tap, and couldn’t he have rested on that day too?’” It doesn’t matter what the critics said though because Spinal Tap is back and they’re ready to rock. Alongside finally releasing “Saucy Jack,” the band has put out its very own iPhone app. The app is a hub of Tap-related information, there are new tracks to listen to, a Fan Wall for chatting with other listeners, brand-new videos, and even tweets. It’s good to have Spinal Tap back, both fans and those unfamiliar with the band should download the app immediately.

That’s all the picks for this week. I’ll be back in seven days with more news from the week and picks from the App Store.

In the meantime, what apps have you been using this week?

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Apple made quite the fuss about the App Store download total reaching the 1 billion milestone, complete with a contest and what was probably a fairly expensive advertising campaign. It seemed appropriate at the time, but I’m now wondering if promoting the landmark achievement didn’t cost more than it was actually worth.

Jeremy Liew, the managing director of Lightspeed Venture Partners, reported in a blog post that, according to his estimates, Apple couldn’t have made more than between $20 million and $45 million on all those apps. That’s not a whole heck of a lot, when you consider that maintenance and advertising could carry a hefty expense.

Liew talked to developers and others in the industry to arrive at a rough estimate of what the ratio of paid to non-paid apps in the App Store was, and came up with between 1:15 and 1:40. He then used O’Reilly’s recent survey about the mean price for apps, which is $2.65 (which he points out is probably much higher than the weighted average mean), and then multiplies that by 25 million to 50 million paid apps, what you get when you apply the ratio estimates Liew arrived at in the beginning.

Total revenue for all paid apps would then fall between $70 million and $160 million. Apple, according to its revenue-sharing model, then gets 30 percent of that, leaving it with between $20 million and $45 million. Liew also notes that if you do the same calculations with a weighted average app price of around $1.50, which is probably closer to the truth, the number drops to only $12 million to $27 million. $12 million probably doesn’t even cover the App Store’s advertising budget to date, let alone operational costs.

There are a lot of speculative numbers there, but even given the generous range of revenue possibility, that would mean the App Store is far from being a cash cow for Apple. It would, at best, be a minor direct contributor to its bottom line, and at worst actually an income drain that costs more to run than it takes in. Of course, even if it is operating at a small loss, that’s to be expected for a venture in its first year, so Apple wouldn’t really be acting out of the norm there. Sony sold its PS3 consoles at a loss initially, counting on the software revenue to cover the difference.

Apple seems to be doing just the opposite. If Liew is correct, it’s using the App Store as an incentive to get buyers to pay up for iPhone and iPod touch hardware, which is where the real money is made. That’s great news for us Apple consumers, because as long as the store keeps bringing in hardware buyers, Apple will make sure developers get lots of new hardware feature updates to play with to entice those buyers.

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The two developers behind Tapbots are doing very well, apparently. Mark Jardine and Paul Haddad together make up Tapbots, the studio that’s responsible for two very successful apps, Weightbot and Convertbot, both of which I own and love, coincidentally. It’s not so much the function that draws me to Tapbots apps (though they work flawlessly), but the beautiful, unique, robot-themed design.

Jardine and Haddad have, until now, been working on their Tapbots projects on evenings, weekends and basically whenever they have a spare moment. They still both had day jobs to go to, and it would’ve been foolish to throw away a steady income for something as novel as App Store development. We estimate revenue for their apps Weightbot, and the even more popular Convertbot, at between $500,000 and $600,000 to date. Even once you remove Apple’s 30 percent, that still adds up to between $350,000 and $420,000 on $0 initial investment. Not a bad haul for only a 6-month period.

In a post on their blog yesterday, Haddad revealed that in light of their success, both developers are now giving themselves over full-time to iPhone development. The good news is that this means they can devote more time to creating the precious little diamonds in the rough that have made them so successful to date. Not sure if they’re taking suggestions, but I’d really love to see a Calcbot to replace the iPhone’s ho-hum built-in one (yes, I would pay at least a dollar for a purely superficial upgrade).

No word on what the forthcoming apps will be, but they plan on releasing four a year, and will be starting on a new one in May. Meanwhile, 1.3 updates for both Convertbot and Weightbot are almost ready to be submitted to Apple.

While Trism is a terrific example of what a great, innovative idea from an independent developer can achieve on the iPhone platform, the Tapbots story is a little different. It shows that you don’t have to come up with something completely original to be successful. The apps Tapbots creates are performing very basic functions, and ones that other applications often already offer. The difference is Tapbots takes the time to really polish the design and performance of their product, and the quality that results appeals to consumers. It just goes to show that despite the sometimes depressing quality of App Store chart toppers, the good guys do sometimes still win.

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Last time around, Apple had yet another record-breaking quarter ($10.1 billion revenue, $1.78 in earnings per share), exceeding the estimates of Wall Street and observers, and beating their performance in the same period the previous year by a fair margin. They downplayed their expectations for the second quarter on that call, which is something they always tend to do, but Wall Street expects them to perform well, with $1.13 in earnings per share and $8.2 billion in revenue.

We should see at this conference call what effect Apple’s recent desktop update has had on sales figures, and also get a better idea of the toll the recession is taking on the company, which has appeared to be rather resistant to its effects. You can bet that investors will also be watching closely because of Steve Jobs’ continued absence, which is beginning to look like less and less a factor in the company’s success, since the stock (AAPL) is performing well. Some analysts are even going so far as to claim that Apple is better off without him at the helm. Be sure to check back for a follow-up on April 22 from us here at TheAppleBlog for all the details.

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