Spotify recently experienced a marketing crisis following the company’s decision to block a $10 million donation for the Canadian truckers protesting against the vaccine mandate. International criticism arose from the opposition of renowned experts like Elon Musk. Canadians and Americans encouraged others to use other platforms and not participate in the GoFundMe campaign.
It was poorly informed when the company tried to stop truck drivers accessing $10,000,000 donations for their protest against vaccine mandate. The company failed to provide the donation because they believed that the truck drivers’ ‘peaceful demonstration had become an occupation.’ The company blocked the funding because it violated its terms of service, and the company indicated that it would give the money to charity. This company did not realize the value of good public relations for boosting its brand. Donald Trump was among those who were attracted to the decision. They encouraged supporters of their leaders to contact GoFundMe in case they felt deceived. Bad public relations can damage brand image and cause organizations to lose market share (Ozretic Dosen et. al., 2019,). The company failed to adopt a diplomatic approach in dealing with the Canadian truckers’ donations.
After listening to critics, the company was able to improve its public image. The company decided to return the donations to donors rather than sending them to charity. When they reexamined their original plan, the company demonstrated transparency and accountability. They decided to return the money to the donors. It shows that it is trying to improve its image in the public eye and increase customer trust. It was threatened by losing its political stances, as far-right legislators accused it of being partisan. The company would have lost some customer segments, and its brand image in the market. The company could have consulted public relations professionals in order to help them with the truck driver donations crisis. This would not have damaged their brand image.
iPod is one of Apple’s brands common in the early 2010s. Solsman & Lowensohn (2013) state that iPod’s business is declining and Apple has stopped mentioning it as a main product in quarter-end earnings. It is ironic that iTunes keeps growing, while iPod’s sales continue to fall. As Apple’s revenues decline, iPod is becoming less valuable. According to Solsman and Lowensohn (2013), Apple’s 2013 sales of iPods were 26.4 million. This is 35% less than the 2012 year. A $4.4 Billion sales turnover is generated by the brand, which represents a 30% decrease in sales from 2012. It is lower than iTunes’s 2018 sales of more than $25billion. However, it continues to grow.
To increase its sales turnover, the company could use digital marketing strategies. Apple actively markets its iPhone and iTunes brands. But, the iPod brand is passively advertised. To attract young customers who are tech-savvy and love music, the company needs to use social media platforms such as Instagram and Facebook. This will allow them to grab a significant market share. Apple needs to adopt a differentiated product strategy in order to offer new services and features to its target market. Some of the new features include the ability to link iPod with other devices and provide FM radio services.