Apple's silence helped the iPhone hype

Sitting in a coffee house last weekend, sipping hot java and surfing free Wi-Fi, I noticed another patron showing off a shiny new iPhone.

He wasn't displaying it to anyone in particular, mind you. Rather, he was showing it off to anyone who happened to look up and notice him holding it in front of his face. He pretended to be admiring it, but in reality he was hoping everyone else in the joint would be admiring him.

Chances are he was one of the hundreds of thousands who bought an iPhone during its first weekend on sale. He may even have stood in line at an Apple or AT&T store on June 29. Either way, he sought to be among the first to own what I've been calling in my blog "The Object of Your Desire."

He's what's known as an early adopter, but I prefer to think of this type of technology enthusiast as an early possessor. I suspect he didn't really need a new cell phone, but felt he had to have the latest, coolest and most expensive new gadget available.

In terms of technology marketing, the launch of Apple's iPhone was a remarkable event. The consumer and media frenzy it generated ranks with the introductions of Microsoft's Windows 95 and Sony's PlayStation 3. But unlike those products, which were preceded by months of advertising and marketing pronouncements by their respective companies, the iPhone's momentum was driven largely by a lack of official information until just before it went on sale.

Apple's approach to building the iPhone's hype was nothing short of brilliant. Marketers will be studying what Apple did for years to come, but the fact is that this situation was relatively unique to Apple. What it did was capitalize on an environment it has carefully nurtured for years, one that few competitors can match, though they're certainly trying.

Robert Scoble, who brought blogging to Microsoft and made it one of the most transparent of technology companies, wrote in his blog (www.scobleizer.com) on June 28 that the success of the iPhone marketing campaign under Apple, and its CEO Steve Jobs, has Microsoft rethinking its approach. Although Scoble no longer works for Microsoft, he still talks to people there. He writes:

"I'm hearing from my friends on the Windows team that Steven Sinofsky and his team (Steven runs the Windows team) has made it clear he doesn't want anyone talking about the next version of Windows. Hey, Steven is learning from Steve.

"Steve Jobs is MANUFACTURING great PR by keeping everyone's mouth shut. Heck, I've met some people I KNEW had an iPhone and they were so scared of retribution or consequences that they wouldn't answer a single question."

Even Scoble fell under its spell. Ever the early possessor, he was first in line at the Apple store in Cupertino, Calif., Apple's hometown, camping out overnight — despite the store having more than enough iPhones in stock, and people could buy one without a wait.

By not talking about the iPhone, Apple leveraged a law of social physics — news, like nature, abhors a vacuum. In the absence of real information, those who care about a product will grasp at any rumor that comes their way. Apple may publicly disavow the rumor Web sites that scramble for scraps about the company's plans, but secretly their marketing department must be delighted. It would cost a lot to buy that kind of Web advertising.

Tough act to follow

I doubt Microsoft or any company can duplicate Apple's iPhone success anytime soon. While maintaining a sense of mystery is important to a new product, it was not the only thing in play here.

For example, Apple's army of zealous fanboys began beating the drum for the iPhone long before it was even an announced product. In talking to their friends in person and the world via the Web, they heralded the iPhone even before they knew whether it was worth heralding. Hey, they said, if it's from Apple, it's gotta be great, right? (This line of thinking conveniently forgets the Newton and other flops.)

Few companies have this kind of devoted customer base, though more of them could if they created stylish, easy-to-use, reliable products backed up with killer customer service. Strangely, too many other companies find this hard to do.

In addition, Apple has developed a second-tier base of user-fans who love their iPods. These are the same customers who are beginning to think hard about trading in their Windows PCs for Macs (see www.chron.com/macstampede ).

The importance of design

Finally, Apple is one of the few companies that understand the importance of tasteful style in design. It will leave out an obvious feature that might actually be useful — for example, a memory-card reader is not included on its notebook computers — if it might detract from the way a product looks. The iPhone, with its rounded edges, eye-popping graphics and an exterior almost unmarred by physical buttons, is a compelling object d'art.

Thus, owning an iPhone takes on far more meaning than simply being able to make phone calls or surf the Web easily. It confers upon those who have one a certain status they feel elevates them above the rabble. Our friend's behavior in the coffee shop, fueled by a masterfully orchestrated orgy of user-generated hype, was primal. He had the magic stone, and it was important to him that everyone know.

dwight.silverman@chron.com

http://blogs.chron.com/techblog