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Does Apple Really Care About iPhone Addiction?

6/15/2018

8 Comments

 
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by David Hagenbuch, founder of Mindful Marketing & author of Honorable Influence

Like breathing, our smartphone use has become almost an involuntary action.  Whenever we find a spare 60 seconds, we pull them out, sometimes without a specific reason.  It’s no wonder research suggests that smartphones are addictive.  What’s surprising is who wants to help us resist the urge:  Apple. 
 
That’s right, the global technology leader and iconic iPhone maker wants to lessen smartphone use.  Such a notion sounds as believable as Dunkin limiting donut sales or Papa John’s restricting pizza purchases, but Apple actually has a strategy for curbing customer consumption.
 
At its recent Worldwide Developers Conference (WWDC) in San Jose, Apple’s Craig Federighi described the plans, which are part of the company’s Digital Health Initiative: “a series of tools to help users monitor how much time they spend on their devices and inside of certain applications.” 
 
More specifically, the new software features will allow users to do things such as:
  • Monitor and set limits on their screen time
  • Manage notifications more effectively in order to avoid distracting pings from texts, etc.
  • Set better parameters for Do Not Disturb, e.g., during meals or bedtime

All of this sounds nice, but let’s be real:  Companies want consumers to use their products more, not less.  Can you imagine a business meeting in which the CEO says, “We need to see a 15% decrease in sales next quarter”?  Such self-limiting action almost never happens; however, it can occur, and there are plausible reasons for Apple to consider it.
 
First, it’s helpful to recognize Apple’s unique position of influence.  With a market cap that’s approaching an unimaginable $1 trillion, Apple is the world’s most valuable company.  It’s global share of smartphones is second only to Samsung, and in the fourth quarter of 2017, Apple’s sales surpassed those of its close rival.  In the United States, Apple is the leading smartphone OEM (Original Equipment Manufacturer).
 
For these reasons, Apple generates considerable public interest (big understatement), which comes with a higher degree of scrutiny than most companies ever experience.  Almost anything Apple does, or doesn’t do, is newsworthy and plays out in the media spotlight.
 
Second, technology is, for many of us, a mixed blessing.  We love the things it does for us, but we’re worried about everything from artificial intelligence taking our jobs to smart speakers co-opting our kids.  We’re also concerned how digital devices, despite their benefits, may be adversely affecting our daily lives.

That’s the context in which Apple operates.  In sum, the company is ‘the’ culture-tech leader in a world that’s still trying to figure out what’s appropriate use of smartphones and similar devices.  By self-regulating, Apple seems to be stepping up and saying that it will be ‘the adult in the room.’
 
So, maybe Apple’s Digital Health Initiative is socially responsible and perhaps it will generate goodwill, but won’t the program also threaten the firm’s financial health?  Probably not.  Though rare, there are legitimate reasons why a company might try to decrease use of its own products:
 
  • To avoid legal issues:  A classic example is a bar refusing to serve a patron who has already had one too many drinks.  The pub could see a lawsuit if one of its customers drives drunk and injures another person.
 
  • To lessen crowding:  No one wants to be packed like sardines into an airplane, train, etc.  So, transportation companies often raise prices during peak travel times in order to decrease demand.  Some highways have even implemented a similar approach of “dynamic tolls” in order to reduce rush-hour traffic.
 
  • To increase customer satisfaction:  The law of diminishing marginal utility says that people gain less enjoyment per unit from each additional unit they consume and at some point, the cost of consumption starts to outweigh its benefits.  No organization should push its customers beyond that point.  Short-run sales may be nice, but customer regret will hurt the company in the long run.
 
This third reason is likely the one that Apple’s Digital Health Initiative has most squarely in mind.  If consumers use their iPhones in excess, they could jeopardize their jobs, their education, their relationships, and more.  At any of those points, their attitude toward Apple could change for the worse, which might lead them to drop their smartphones entirely, as some people have done, including a surprising set of A-list celebrities.
 
For these reasons, we can place some trust in Apple’s self-regulation initiative.  Laws aimed at curbing smartphone use are very unlikely to come.  Furthermore, the company deserves kudos for getting the jump on any significant social pressure to reform.  In this case, less Apple is more “Mindful Marketing.”


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8 Comments
iPhone case link
8/3/2018 03:22:13 pm

This is such a great resource that you are providing and you give it away for free. I love seeing blog that understand the value. Im glad to have found this post as its such an interesting one! I am always on the lookout for quality posts and articles so i suppose im lucky to have found this! I hope you will be adding more in the future...

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Ellen Hill
9/25/2018 10:03:17 pm

As I began reading this blog post I was confused as to why a company like Apple would want to start a Digital Health Initiative, especially if it wants to continue selling its products. In reading further, many interesting and thoughtful points are presented that prove Apple’s new initiative to be both positive and ethical in several ways. As mentioned in the post, Apple is a popular company that receives a good amount of media attention. If any company can start a trend that encourages people to limit their amount of technology use it would be Apple. With the amount of customers Apple has globally as well as the number of people that follow Apple in the news, it makes sense that Apple would lead a successful Digital Health Initiative. At the same time, what Apple is attempting to do could also lead to an increase in product sales and overall company success. Many current Apple customers may use Apple’s initiative as a reason to continue to use and buy their products. Other non-Apple users may be persuaded to switch to Apple products in wanting to own goods from companies that align with that consumer’s own personal beliefs and values. Through their Digital Health Initiative Apple is also proving itself to be an ethical company. As Apple encourages its consumers to consider their overall health in relation to technology, it demonstrates the company’s strong customer relationship management. In placing consumer health over its financial concerns, Apple is telling people that it cares more about their well-being than about money. Thinking further, Apple’s Digital Health Initiative could also be a way in which the company is responding to recent research concerning the negative aspects of technology use. In this case, Apple could be using its new idea of less technology to counteract the threats to its company that this sort of research can bring. Overall I would have to agree with the decision to place this news about Apple in the Mindful Marketing category of the Mindful Matrix. Apple is upholding societal values by promoting consumer wellness and encouraging societal betterment and is creating stockholder value by informing the public about its values and persuading consumers to think differently about technology.

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Kaylee Leib
9/26/2018 04:33:47 pm

This topic is about Apple telling their customers to limit screen use. They intend to increase satisfaction when customers use the product and eventually gain more sales in the long run. I believe Apple is using the reverse-psychology method and I can see how they think it is going to work. I agree that a company typically would not purposefully tell their customers to stop using their product, however, I do not think people will end up wanting more Apple products after deliberately trying to limit their use. Once it becomes someone's goal to rely less on their phone, they are determined to reach it. Once it becomes a habit of only using their iPhone when needed, they are going to care less about the newest updates and latest models. Apple’s most recent technology is almost as smart as a parent, if not smarter. If adults limit their screen time and focus on work and other priorities, they can enforce the rule on their children. In the end, people may be more satisfied during the timeframe they are allowed to use their phone, but I believe Apple will decrease their sales by telling their customers to limit the use of their products.

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Zhuang Lin Mok
9/27/2018 11:29:10 am

Apple is really a leader in the tech industry. I think the creation of the Digital Health Initiative as part of their corporate social responsibility is important as the advent of smartphones and connectivity is relatively new, and the effects of our use is still being researched on. The features that are added to limit Iphone use will be welcomed by all especially parents. As tech related health issues- whether they be physical or emotional- are being made aware to the public, it is a win-win situation for Apple to work towards responsible use of technology. The benefits technology has brought us are abundant, but misuse will lead to public skepticism and/or fear of it. Promoting responsible use will lead to the company’s longevity and help users be mindful about their health and habits.

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Wendy Walker
11/4/2018 07:55:19 pm

It's counter-intuitive that Apple would be leading the cause to encourage iPhone users to decrease their screen time. I have been disheartened with the latest IOS upgrade that provides me with a weekly summary of how much time I've spent on my various Apple devices and it has resulted in my spending less time from week to week as I realize that while some of the time I spend on-line is necessary and productive, much time is not necessary and a complete waste of time. It surprises me that Apple sees the social harms that come with iPhone addiction and the results of our constantly distracted behavior and is concerned by it. Most of their marketing is about needing newer, better, faster, more convenient features and this idea of promoting using the iPhone less, is a form of reverse psychology.

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Stephannie Linares
11/5/2018 06:18:57 pm

We live in an era in which people are so dependent on their smartphones, especially we see it happening on millennials and generation Z. When a first starting reading the blog, I was intrigued by the logic behind the creation of the Digital Health Initiative, how can a company whose sales come from selling mainly phones, is now trying to limit screen time? I was hoping to read about the gritty-nitty strategies behind Apple's initiative, but surprisingly there was none. I think this is an effort of Apple's social responsibility to show that the company cares not just about hitting their sale numbers but care about their consumers holistically. With the rise of technology and the misleading use of it, Apple is aware of the harm this is causing to our society. I don't think this is a form a reverse psychology, I’d argue it is more of a public relations strategy, it is more focus on building trust with their publics. This is an attempt for Apple to teach their consumers about the appropriate use of technology, to use it in a way that benefits the consumer. Furthermore, it gives Apple great publicity that brings more credibility to the company and it's also promoting customers' loyalty

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abbey
11/9/2018 03:34:38 pm

I had never heard of Apple’s Digital Health Initiative before I read this article. At first, it seems that this kind of initiative by apple is counterintuitive for the goals of the company, namely: selling more product. However, throughout the article I realized that this was not only an socially responsible program for Apple to implement, but that they can also use it to promote their company. With the rise of technology, there are a lot of conversations revolving around ethics and the role that technology should play in our lives. The article pointed out that getting ahead of this conversation and acknowledging the negative effects of digital devices and the importance of regulating technology consumption can be beneficial for Apple. I agree that by Apple doing this, it will generate goodwill and respect from the public, who then in turn might become loyal customers of Apple. I also thought it was interesting how this article brought up some benefits for the company that I had not thought about, such as increasing customer satisfaction. In the short run, promoting an initiative like this might have negative financial effects, but I think that this program with help Apple retain customers in the long run.

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2/1/2020 07:45:59 am

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