Tuesday, July 21, 2009

Microsoft Launches Comparative Advertising

Microsoft has finally stepped it's game against Apple and recognised that it actually has a competitive advantage, maybe not a so powerful long term one but it's still a competitive advantage. A PC basically costs much less then the equivalent MacBook and given Mac's premium pricing strategy, the advantage it's quite clear....

So what's interesting about this story? Everybody knows it's cheaper to buy a PC compared to buying a Mac, however few know what happened when Microsoft launched it's latest TV campaign. The TV spots launched by Microsoft feature shoppers who are on the lookout for a laptop under $1,000. They consider Apple's Macintosh models but dismiss them because they are too expensive. Upon seeing this advert, Apple's legal team phone Microsoft COO asking him to stop the ads because Apple had actually lowered the prices on some of its laptops. (see advert below)

Microsoft COO, speaking at Microsoft's Worldwide Partner Conference in New Orleans this week, said: "Two weeks ago we got a call from the Apple legal department saying, 'Hey, you need to stop running those ads, we lowered our prices'. He was actually delighted to hear this and said that given this response he will sure keep running the ad as it is having an effect.

Microsoft's latest ads follow its "I'm a PC" ads, launched last year, which were created in response to Apple's 'Mac vs PC' ads, which feature a geeky PC guy unable to keep up with the "hip Mac user". What do you think about this campaign?

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