Buzz... Where have we seen this before? Let's look at the Iphone. The buzz surrounding the Iphone was immense. This product was advertised for weeks prior to its actual release date. And remember, you could only purchase the Iphone at one retailer, AT&T. The exciting part of the buzz is the product was something that has never been seen before for public use. A phone that you can watch TV on, make calls on and it has no buttons. It was a truly touch screen product.

The positive side of the marketing behind this product was the fact that it created a stir among techies. People lined up for days outside of AT&T stores to purchase the product. The hype that was created during this marketing campaign forced Apple and AT&T to restrict the number of Iphones that could be purchased to two per customer, making the product more in demand.

This Iphone is a perfect example of supply and demand.

The phone was in limited supply and the price was over $400.00. Less than 60 days after the first phone was sold, the buzz wore off and the price dropped under $300.00.

The downside...The consumer who paid over $400 for the phone felt violated. Solution, Apple and AT&T issued vouchers to the owners of the high priced Iphones so that the higher priced clients felt vindicated and the lower priced clients felt victorious as getting the same product without having to wait in line for days and paying a lower price.

The upside...Techies are always looking for the next big thing. The buzz created through the Iphone is a lesson well-learned. Tease the public, make the product exclusive to one vendor (AT&T in this case) and watch the phenomenon occur.

The Iphone is an excellent of "buzz" marketing.

Reference - CNN Money 2007 - http://money.cnn.com/2007/06/29/technology/iphone/index.htm

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