Without Macworld, how will Apple create the buzz?
Steve Jobs' annual keynotes at Macworld have come to an end.
(Credit: Declan McCullagh/CNET News)With its decision to end its relationship with the Macworld Expo, Apple is cutting one of its last ties to an era in which it wasn't a technology powerhouse.
The shocking news that January's Macworld would be the last with Apple's participation--and that CEO Steve Jobs will not appear--reveals an Apple that has decided it no longer needs to make an appearance at the event that has come to define the company in recent years. In doing so, it's also preparing for a future when its iconic founder no longer dominates the stage the way he currently does while confirming a shift in its strategic thinking when it comes to reaching customers.
Apple relies on two types of marketing: one, the slick commercials with the cool music that showcase what its products can do, such as the Mac versus PC ads and the famous silhouetted dancing iPod listeners. The second method is the Stevenote: Jobs is a master at the art of presenting new products and rolling out strategies to both the public (Macworld) and the press (WWDC, iPod events).
Macworld was Apple's signature Stevenote, drawing rabid coverage from the tech press and a mention on almost every nightly news show in America the night following one of Jobs' presentations. The various other Apple-produced events during the year, such as the June Worldwide Developers Conference or September iPod event, haven't always generated as much buzz as Macworld, where Apple has trained the media and its customers to await the company's Next Big Thing. That fever pitch reached a peak in January 2007, when Apple confirmed the long-standing rumors that it would enter the mobile phone market with the iPhone.
But industry events like Macworld Expo have been losing their luster inside Apple for some time. This is not a company that spends much time hanging out with its peers in the personal computing and mobile phone industries; Apple is often conspicuously absent at the types of panel discussions and press events that draw other companies on a regular basis.
And quite simply, the nature of technology marketing has changed a great deal as tech has evolved from something reserved for professionals to something that almost everyone uses on a day to day basis.
Apple's newest legion of fans--teenagers and young professionals--are not going to wander around San Francisco's Moscone Center in January soaking up the scene when they can simply wait for the products to appear online or at the nearest Apple Store, or follow the coverage on their favorite blog.
Without Macworld, Apple will need to host more events such as the iPhone SDK event in February to get its message out.
(Credit: Corrine Schulze/CNET)Those customers can be reached through a combination of relentless television and Internet advertising and word-of-mouth campaigns, which Apple doesn't even have to engineer itself thanks to the legions of Mac bloggers and news coverage. But the company can't simply hunker down in Cupertino behind its advertising agencies and friends in the media; there's no substitute in business for the human touch, and Apple will need to make semi-regular public appearances to keep its machine humming.
So what if Apple could produce its own show, something akin to Oracle's gigantic OracleWorld lovefest in San Francisco every autumn? It could still draw the usual Mac faithful that showed up at Macworld every year and tailor much of the experience to the new generation of Apple customers.
Or it could hold a number of smaller events at its flagship retail stores in New York and San Francisco, drawing the same amount of coverage and fans while maintaining tight control of its message.
And that has always been one of Apple's top priorities. The company's tight fist on the outbound flow of information from Apple means that events like Macworld take on the utmost importance; Jobs' keynote is an hour and a half when this industry comes to a complete halt, as hundreds of thousands of people hit refresh on their live blog of choice to find out if the rampant rumor and speculation has come true.
To keep its position as one of the tech industry's most buzz-generating machines, Apple will need to find something to duplicate that experience without attending Macworld. And that of course brings up the elephant that has been in Apple's room all year long: the future of Jobs' association with Apple.
Apple declined to comment specifically on Jobs' health Tuesday, but the company has had to fight off rumors of a recurrence of his cancer ever since June, when he appeared to have lost a lot of weight. The move to have Phil Schiller keynote Macworld doesn't necessarily give any credence to those rumors--although watch the stock market run wild with them tomorrow--but no matter how you slice it, Apple the corporation is going to outlive Jobs the CEO.
The end of Apple's association with Macworld gives the company a chance to introduce new faces and new methods of putting together its most important marketing presentations of the year. Apple has been making room for executives other than Jobs for years on the keynote stage, but the most important topics were always reserved for Jobs alone.
And Macworld was always going to be associated with Jobs' legendary performances; very few current Apple executives could have hoped to duplicate that exact role. But if Apple takes this opportunity to develop its own event, with a broader roster of Apple executives and employees taking the stage to discuss the company's growing line of businesses, it would reduce the reliance on Jobs' appearance to set the tone for the company. That way when it does come time for Jobs to relinquish control of the company, Apple will have set a precedent for someone other than Jobs to deliver the big news at the event.
Apple is developing its own gravitational pull at this point in its history. The company has never been more influential or rich, and it is using that power and money to set its own agenda for the next decade.
It may seem obvious to say this, but Apple's performance in the future will mostly rely on the quality of its products rather than its marketing vehicle of choice. Still, don't discount the role that Apple's singular ability to whip the digerati into a frenzy has played in the company's fortunes over the last five years.
That has to continue in some fashion for Apple to remain a tech powerhouse.
Tom Krazit writes about the ever-expanding world of Internet search, including Google, Yahoo, online advertising, and portals, as well as the evolution of mobile computing. He has written about traditional PC companies, chip manufacturers, and mobile computers, spending the last three years covering Apple. E-mail Tom. 



It happens.
As for the rest of your comment, I wasn't really saying that Apple should do a preholiday event, but that they'll need to find a way to have some sort of event that touches on the individual Mac user, rather than just the media/press contingent. Maybe they can do that by expanding WWDC in June, maybe they can do that with regional events at the stores, maybe they can do something else entirely.
We agree that Apple needs the buzz generated by Macworld. They just don't have to generate it at Macworld Expo, they can find some other way to do it.
I believe Apple hasn't seen MacWorld as a good tool for connecting with average users for quite sometime. I do think they've seen it as an effective tool for interacting with the media, including bloggers, though. Who, in turn, are an effective way for interacting with average users. The pullout may indicate that they no longer see this as critical as they used to but I'm not sure I buy it. The cost to Apple to be in MacWorld may have been in the hundreds of thousands or even a couple million (probably less than they spend on pens and copier paper each year) but the amount of free advertising they generated from it was in the tens of millions. Its a pretty modest investment for a substantial return. However, the big draw for MacWorld always seems to have been the Stevenote. Without the Stevenote there isn't the opportunity to generate the same amount of free advertising which substantially changes the cost/benefit analysis. As far as I can tell, MacWorld makes sense with Steve Jobs and doesn't make sense without him. You can take conclusions from that in any number of directions but I don't believe, for a moment, that online and in store events will ever generate the same level of excitement in the media and blogs. As such, my conclusions tend to be somewhat pessimistic.
Also, my comment about the holidays was mostly regarding the idea that the timing of MacWorld was bad. I don't think that's part of it.
One acronym: WWDC. ;)
MacWorld with Jobs on stage gives the still-powerful mainstream media a traditional event that it can cover. When Steve announces something big on stage and gets a reaction from a live audience, THAT'S news. It's something that CNN and Walt Mossberg and Charlie Rose and BusinessWeek can grok and use to build their own audiences. A Webcast isn't going to cut it. Apple Store events don't cut it.
My guess is that something may truly be wrong with Steve's health. He loves being on stage and rocking everyone's world. I doubt he's giving up the ability to hold the world's attention just because of a "rocky" relationship with IDG. Someone has to prove to me that MacWorld was a hindrance to Apple or provided diminishing PR returns--I very much doubt either possibility. Again, the timing of this announcement suggests that this pullout was not part of a long-term plan--why risk annoying so many customers and companies?
What's more likely is that people have projected so much onto the Keynotes. Then Apple's product cycle didn't conform this time. They would be fools to show of something that wasn't ready to ship within a couple weeks of Macworld Expo. So the announcements won't be earth shattering in January.
If anything, this gives the Apple Engineers their first Christmas as they don't have to work 18-20 hours during the holidays to meet some crazy announcement.
You should really think a little harder before you write things like, "I think the "health" concern is pure conjecture with zero evidence."
There is evidence. Each time Steve takes to the stage he looks winded. He is very thin. He has been sharing the stage in what looks like exhaustion. The first time we saw it, they said he had a flu. There was no excuse the second time. And this time, just 3 weeks away from the expo he declares it not to be useful.
I'm not saying I think Steve is in grave shape. But I will say he has lost his ability to speak on stage for 2 hours at a time. As of late, he has shared the stage with multiple people. His energy is clearly very low.
NOW that is "evidence". Is it conclusive? No. But it is in fact evidence. If I looked as thin and frail as jobs does right now, I'd be in the hospital. I wouldn't be at all surprised if Steve Jobs realized that there is more to life. We tend to rethink our lives when we are suffering. If he steps down in the next two years to be with family and retire at the top of him game, I'd not be shocked one bit. He had a good ride. He needs to rest. He clearly shows "evidence" of extreme fatigue.
There is one aspect of the Expo that's really tweaked me over the years - as a small business owner, I'd really been not at all happy about the event being held after the first of the year. I've liked to take advantage of YE purchases for taxes, but knowing that new stuff was coming out in just two weeks really put a spin on the term "built-in obsolescence" - I'd opt to buy non-Apple goods near the end of the year. The persons putting together the Expo just don't get it, several business owners I associate with would avoid YE purchases of Apple products because the product they want would be superseded in 14-30 days - the Expo's timing cost Apple and their vendors millions...
However, while there are lots of possible reasons, the simple fact that a January keynote likely does impact Christmas sales and as much as we like to lionize Jobs vision, in the end he is a money making machine and the dollar motive and sales have always been foremost in his mind.
It has over 200 stores world wide. People instantly recognize the brand, its iPod, iPhone, its iTunes, its QuickTime its the Apple logo. Its ubiquitous with cool design, its the product I have always wanted but cannot afford. So Apple has created a self sustaining platform that will survive for the next 100 years even if we woke up tomorrow and heard (God forbid) that all the senior executives died from eating the spaghetti from the Apple canteen the day before.
The majority of the more than 100 million people who have bought and owned iPods don't even have a clue who Steve Jobs is. I preach this on Joe Wilcox's blog, Microsoft-Watch, we live in an IT bubble, we hate Microsoft products, because are not the typical computer users, we are more detailed in our usage. Cult Mac users live in an Apple bubble, very obsessive and very knowledgeable about the Company more than they need to know.
Finally, someone who gets it with Apple dumping the MacWorld Expo's. I think a large part of Apple leaving the Expo is that the timing of Apple releasing new products was no longer in sync with Apple's MacWorld Keynote. Apple has been moving closer over the last few years to less trade show oriented releases. This is a good thing for Apple and has nothing to do with Steve Jobs health.
1) Anyone who wants to serve Jobs already knows how to do so.
2) Excellent marketing does not preclude quality product, and vice-versa.
3) There must be an awful lot of dumb, brainwashed people out there for Apple's fortunes to have risen so far, eh?
4) Mac OS X is based on not just Free BSD, but other BSD components, which is why it is so efficient and stable. As for "artsy-fartsy UI", one man's unnecessary eye candy is another man's elegant and effective interface.
5) "Dinky puzzles written by 14 year olds" and "no engineering or scientific applications" - Dude, lay off the hallucinogens. Seriously.
6) The throwaway comment about "racism" is particularly bizarre and totally unsubstantiated.
It sounds like you've got an axe to grind about the stock options backdating scandal, and it has unhinged your analysis of the company's products.
Now it's going to fade. Taking great excitement out of our lives. I'll miss it because met really good people over there and found lots of stuff and good demos from third party personally. There will be no place for mac developer to present their product directly to specialized crowd.
That said, there was a sign in quality decline if this show. With more iPod stuff and its accessories. Other not Mac related things.
Looking forward this move will pave the way to easy difference between Mac and PC users. And maybe put Apple closer to sell Apple branded Windows premium Laptop (Taking place from Sony) if Windows 7/8 dimmish Mac OS X.
After all on computer site hardware make them most money.
And the big buck is coming from iPod/iPhone.
Finally, Apple is not Apple Computer for couple of years.
I'm going to miss WWDC, like miss my university years..
used to visit both of them yearly..
Actually, WWDC became so overcrowded and less useful in the last two years.
So, I switched to offline visiting.
Now MacWorld gone, together with many interesting sessions etc....
And for the Mac / iPhone trolls, I sold my 3G iPhone, and my 1st gen iPhone is sitting in a box waiting to be sold. So don't claim I haven't owned one. I do own one. And I dropped it for a WinMo phone! And yeah, I like it better. It actually works.
Alex
Oh, and by the way, my BP is only 60/100.
I myself, can't speak for others, find those Apple events to be quite the snoozer. That last one really took the cake. Hey look, we made a new case. I am still in awe that anyone found this news worthy at all. Next they will call a press conference to say that they are sticking an nVidia chip in the Mac Mini. I guess for Apple it's news considering how much they charge for that thing. Maybe Toyota should have a press event to show us the new tires they have selected as standard on their 09 models. Wow that's exciting, huh... That's how ridiculous you Mac zealots are with these lame press events. c|net only covers em cause you guys are actually impressed with this stupidity.
Alex
The question at hand here isn't whether Apple events are worth covering or whether they're interesting. That's an entirely different issue. If you're bored by Apple's events, you're probably wasting your time on this page with "you Mac zealots," as you so charmingly put it. The question is one of marketing, not whether something is interesting. The writer of this story has posed the question of how Apple will generate buzz without the use of a traditional trade show. That's the issue. If you'll tone down your Apple hatred for long enough to realize that you're not addressing the actual business issue, you might notice that your response misses the point entirely. You're obviously not going to be interested in an Apple event whether it's at Macworld or somewhere else, so it's irrelevant to this question.
I'm replying to a user comment. Not the story question. Which is exactly what you are doing.
Alex
That may not be their intent, but that is the net result.
You're either not very bright or you're being intentionally obtuse. My comment is directly on the topic of the story. You replied with something that has nothing to do with the story or my comment. If that's too complicated for you to follow, I can't help you.
@Tom Krazit:
I understand what you're saying, but it seems that it's more of a reflex (based on what we've come to expect) rather than an actual need for Apple. I would argue that Macworld might have actually started hurting Apple, because users, investors and stock analysts have come to be disappointed when there didn't happen to be some big deal to announce at Macworld. I still think that Apple can generate buzz just as well as ever without Macworld. (Whether people such as Alex are interested is an entirely different issue, although it does strike me as noteworthy when people with so little professed interest in Apple spend so much time reading such stories and commenting about them.)
a couple months ago I found out what crap Apple is putting out. I could have got the same quality at Dell for half the price!! It's no wonder Apple's desktop sales are down 35%.
Sorry, I could care less about MacWorld, its just a brainwashing session for Mac fans.
As you can see from Perry's comment he can't believe you bought a Mac and do not like it. I keep seeing this in Mac user posts. They can't imagine a world in which someone who actually bought and uses a mac doesn't like it and won't be back to buy another. I too use Macs, and will not be buying them again.
@Perry, don't strain yourself trying to wrap your head around the concept that not everyone is moved by baby music marketing that you are so easily swayed by. Much of the population sees right through it. Too bad you can't.
Alex
However, your right about one thing. You keep seeing posts in Mac stories that people bought a Mac. It was broke out of the box or broke shortly after setting it up and they took it back to the Apple store and then went and bought a Dell. Sure it may have happened, but I really doubt it, it is just more trolling and certainly off topic of the story.
I have used both Windows and Mac and I have two PCs here, but I prefer Mac.. I don't give a rat's ass what computer and OS you or anyone else uses as long as you don't spread lies about my choice of platform.
- by donsms December 17, 2008 5:56 AM PST
- And think about this,just when Leo Laporte was going to give his first keynote address at MacWorld and get to rub elbows with Job`s,he decides to bail out and let his yes men rule the roost.Now how bad does Leo feel again,just as he was about to finally get some attention and some cred,it all blows up.Well,maybe another time and another place Leo.
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- by Vegaman_Dan December 17, 2008 7:48 AM PST
- We won't know until 2009 as Leo has finished up all his podcasts for the year. I'm really curious what MacBreak Weekly and TWiT would have to say about this. Dvorak's thoughts would be especially interesting as a tech industry veteran that knows the value of trade shows and public events.
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- by edgebert December 18, 2008 10:09 AM PST
- @ donsms
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Showing 1 of 2 pages (80 Comments)Damn, an end of the Stevenote era and we didn't even know we were witnessing it at the time! It will be interesting to hear Andy Ihnatko's (http://ihnatko.com) take as well. Although it is indeed unfortunate for Leo & the TWIT Army, what's even more unfortunate are the obvious connotations of such an ill-timed announcement. Does anyone seriously think that a corporation as tactically & strategically proficient as Apple wouldn't have leveraged the final Stevenote, if it were at all within their power to do so?