Yes, Microsoft is being trounced. But no, the Apple "marketing machine" not the cause, only a symptom. The real problem is that Apple has a deeper understanding of customers than Microsoft does, and are more efficient at turning that understanding into great products.

Microsoft's first issue that they still think a product’s worth is the sum of it’s discrete features, while Apple sees a product’s worth as the ability to solve a customer’s problem soup-to-nuts. Microsoft will include a feature even if it doesn’t really work (you know, MSFT gets it right on v3), but Apple will only include technologies that work well together out of the box. Think of iPod+iTunes vs. MSFT’s WinCE + “Plays for sure” program.

The second issue is that anyone can deliver the functionality these days (think Linux). Customers want more, they’ve gone up to the next level on Maslow’s fundamental needs:

• Level 1 = functionality must work
• Level 2 = it works and makes me feel good
• Level 3 = works, I feel good and it is beautiful

Which level are your products in? And what about your competitors? Are you going to be an Apple or a Microsoft?

Or better known as the "AARRR!" method for running a startup (Acquisition, Activation, Retention, Referral, Revenue). It turns out that this methodology is just as useful for established businesses as startups.

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Marketing is all about building a deep understanding of your customers and using it to inform your product strategy, go-to-market strategy and advertising mix. A couple months ago, adCenter released a nearly-free tool that gives you access to much of the data Microsoft has stored internally about your web site, your customers and what they are looking for online. In this article I'll show you how to use this to further your own marketing efforts.