Here’s how big the iPhone is as a business, according to Bloomberg: If the iPhone were its own company, its revenues would be greater than Procter & Gamble, Coca-Cola, Goldman Sachs, Google and Microsoft.
On its own, the iPhone is the ninth biggest stock in the Dow, and has bigger sales than 474 S&P 500 companies. (Apple sold 9 million new iPhone 5S’s and iPhone 5C’s just last weekend.)
A big part of those giant revenues come from margin, or course. ZDNet notes that up to 74% of the full price $849 iPhone 5S can be margin over the actual $218 cost it takes to build an iPhone.
You can read Bloomberg’s full story here, but here’s one of its charts showing iPhone’s revenues compared to other blue-chip companies:
Over 85% of Facebook’s monthly active users (MAUs) live outside the U.S.
During the TechCrunch Disrupt conference, CEO Mark Zuckerberg said that Facebook now has 1.15 billion MAUs worldwide. Putting that number together with recent comScore data on the number of U.S.-based Facebook users, we can say that approximately one-seventh of Facebook’s users are logging in from the United States.
That’s a far cry from the days when Facebook was a network solely for American students.
Yahoo serves as a useful comparison. One-quarter of Yahoo’s users are located in the U.S. At the same conference, CEO Marissa Mayer said Yahoo now has 800 million MAUs worldwide (an increase of 20% since she took over in July 2012), and that doesn’t include its newly acquired social media platform Tumblr, which had 300 million MAUs in May 2013.
Facebook’s global character makes it a prime platform for multi-national brand advertisers. Large brands, such as Coca-Cola, already enjoy incredibly massive followings on their Facebook pages, and paid media buys are a natural step in order to leverage that audience more effectively. This global growth is happening hand-in-hand with Facebook’s mobile growth, and both are signals that the platform isn’t yet close to its peak
CEO Ron Johnson Boosts TV Advertising, Adds Former Coca-Cola Marketer Sergio Zyman as an Adviser
sales plummeted 25% in 2012, even as its measured media spending jumped 14% to $504 million.
The beleaguered retailer spent more on advertising than it has in any of the last five years and made major changes to its media mix, under the direction of CEO Ron Johnson. TV advertising climbed, particularly network TV spending, while radio and internet display investments dropped. And despiteMr. Johnson’s declaration late last summer that the retailer would invest heavily in newspapers, spending in that category was down slightly.
JC Penney reported that its fourth-quarter net loss widened to $552 million. The retailer posted an annual net loss of $985 million.
Sales in the fourth quarter, which includes the holiday-shopping period, slid 28% to $3.88 billion. For the year, sales fell 25% to $12.98 billion. That marks the lowest annual revenue the retailer has reported since at least 1987.
“It’s the worst performance that I’ve ever encountered in decades of covering retail — there’s nothing really to compare it against,” said Bernie Sosnick, an analyst at Gilford Securities.
PepsiCo’s plan to increase profit margins for its Tropicana orange juice is simple: Just add water. Apparently some consumers are already doing that on their own, in order to get a less-thick or lower-calorie beverage. “They themselves add water before drinking OJ,” a PepsiCo exec tells Bloomberg. “So why not add the water ourselves and charge for it?” Tropicana lost market share to Coca-Cola Co.’s Minute Maid and Simply Orange brands after PepsiCo repackaged its juice three years ago.
Now, instead of continuing to compete in the 100% juice category, PepsiCo will focus on different products with higher profit margins. One such product—Trop50, which contains 42% orange juice and uses a low-calorie stevia-based sweetener—has already been successful. Says the exec, “We have lost perspective here on the primary reason we are in business, which is to make money.” Consumers will always know what they’re getting, thanks to strict FDA juice labeling guidelines.
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AMERICAN HONDA MOTOR
TOYOTA MOTOR SALES U.S.A.
Dr. Augustine Fou is Digital Consigliere to marketing executives, advising them on digital strategy and Unified Marketing(tm). Dr Fou has over 17 years of in-the-trenches, hands-on experience, which enables him to provide objective, in-depth assessments of their current marketing programs and recommendations for improving business impact and ROI using digital insights.
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