(Image from New York Times)

Mark it down on your calendar -  The New York Times recently reported that Microsoft has been eclipsed by Apple as the most valued tech company in the world.  (As a result, many blame Steve Ballmer for Microsoft’s innovation challenges and are calling for the board to step up and replace him.)

Let’s break down how Apple is on top.

Branding: It’s the brand stupid.  They’ve done it with branding – obvious in retrospect.  Step back to early 2000′s and it wasn’t cool to be running anything with an Apple on the outside.  You were kind of a freak.  But when you create something with an elite feel to it – people want to be part of that tribe.  Apple Part II has never been about putting a machine on every desk and in every home – like Gates famously said.  Nope.  The price point of a Mac is expensive for a computer. So is an iPod as an MP3 player.  But people want it to be part of the cool kid crowd.  The most brilliant move in the brand’s reincarnation? Those white ear buds with crappy sound quality…it let everyone know that you had the coin to fork over for an iPod and we’re cool enough to use it.

3 simple characteristics of Apple’s brand success:

1. Simplicity: Ever try to install a new printer on a PC or even try to connect to a foreign wireless network? – It can be a real pain.  For most middle of the road tech folks, they just want to get online or print off their vacation photographs.  Apple gets this.  If you use a program like iMovie, you see how they’ve made it intuitive to do something that can be pretty complicated otherwise.  They strive for simplicity in their product line and while not always achieving this, they fully-leverage it as a competitive advantage.
2. Seamless User Experiences: Apple has built a loyal following of evangelists by building fantastic experiences. Ask someone using a Mac about how they handle their calendar and you can be pinned down with a 30 minute lecture.  Ever had anyone pontificate on how much they love Outlook?  Seamless user experiences such as buying and listening to music have lowered the frustration bar and have people gushing.  From how you run an iPhone vs. a Blackberry to building a custom playlist using Genius in iTunes – there is a bit of surprise magic in all of it.
3. Platform: When you own the platform, you own the market.  I see this more and more across technology fronts in B2C.  Most people gloss over how powerful iTunes is as a platform.  Jobs did the unthinkable and gave away a free download and music organizing program and quickly owned digital music purchases.  Once the user was used to this experience they simply integrated the Apps store and we’re off to the races.  iTunes is the foundation for Apple’s growth as it is the gateway to the exploding mobile market.

The lesson here for a tech marketer?

• Fight for your user.
• Prototype with a ruthless focus on simplicity.
• Look for ways to build a platform.