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SAMSUNG

PRODUCTS,MARKETING
MIX,MARKET
SEGMENTATION,TARGETING
AND POSITIONING
BY
BASHEER KJ
S6 MBA (PT)

INTRODUCTION
The Samsung Group is a South Korean based
conglomerate company that includes a number of
subsidiaries.
Samsungs primary focus is in the electronics, heavy
industry, construction, and defense industries.
Other major subsidiaries of Samsung include insurance,
advertising, and entertainment industry businesses.
Samsung is one of the largest businesses in Korea,
producing nearly one fifth of the countrys total exports.
Samsung was formed in 1938 by Lee Byung-chull as a
trading company based in Su-dong.

HISTORY

The history of Samsung and mobile phones stretches back


to over 10 years. In 1993 Samsung developed the 'lightest'
mobile phone of its era.
The SCH-800 and it was available on CDMA networks.
Then they developed smart phones and a phone combined
mp3 player towards the end of the 20th century.
To this date Samsung are dedicated to the 3G industry.
Making video, camera phones at a speed to keep up with
consumer demand.
Samsung has made steady growth in the mobile industry
with the introduction of android devices.

SAMSUNG ELECTRONICS
Established in January, 1969
1970s: Bet the future on electronics
laid the groundwork for electronics in Korea
helped the domestic economy grow
paved the way for exports

1980s: A more comprehensive electronics


company
established plants in Portugal and US
established Semiconductor and Communication
corporation
began memory chip business

Early 90s: Integration and Globalization


Mid-Late 90s: Implementing new management
strategies
New: Digital Vision

Samsung Electronics Co., Ltd. is the chief


subsidiary of South Korea's giant Samsung Group
and the largest electronics producer in Asia.

SAMSUNG PRODUCTS

CONSUMER PRODUCTS
Mobile phones
Televisions
MP3 & Audio/video
Cameras & camcorders
Professional displays
Printers and multifunction
Home appliances

Contiued..

BUSINESS PRODUCTS
IT Business products
Professional display
Hospitality solutions
Semi conductor
Lcd panels
Tele communoications
Set top boxes
Storage
Fibre optics

MARKETING MIX OF SAMSUNG


ELECTRONICS

PRODUCT
PRICE
PHYSICAL DISTRIBUTION/PLACE
PROMOTION

PRODUCT
Samsung has a vast product portfolio and its presence is in different product
categories.
Productsin the marketing mix of Samsung
1) Tablets
2) Mobile phones Smart phones, normal phones,
3) Televisions LEDs, LCDs. Plasma TV, SMART TV, HDTV etc
4) Cameras and Camcorders
5) Refrigerators
6) Air conditioners
7) Washing machine
8) Microwave ovens
9) IT Laptops, printers and accessories
The benefit of Samsung in terms of its product is that there is a trust on all
Samsung products because of the way Samsung products have performed in
the last few years.
Problems with the products has been negligible. And with its Smart phones,
Samsung has achieved a status symbol for its customers. At the same time,
Samsung is known for its service and people know that Samsung gives a very
fast service for any of its product. Thus in themarketing mix of
Samsung,the product portfolio is one of the strongest point for Samsung.

PRICE
Price in the marketing mix of Samsung: Samsung
marketing strategy involves two pricing strategies and
lets see for what goals are they used.
Skimming price Smartphones of Samsung are leading
the market withApples IPhone. As Apple, Samsung also
uses skimming price to gain the upper hand over their
competitors. For instance, Galaxy S6 and S6 Edge are the
brands new products of Samsung carrying the slogan
Next is Now and claiming that they are themost
beautiful smartphones ever created. Without a doubt, S6
Edge (64 GB) that costs1 180$ will brilliantly/smoothly
sell around the globe. But, what will happen when other
competitors will launch a smartphone with identical
features? Simple, Samsung will lower the price and easily
steal customers from the competitor.

Competitive pricing For products other than smart


phones, Samsung uses competitive pricing. Televisions,
air conditioners, refrigerators and other products have
competition in the form of Panasonic orLG.
Thus in various categories, Samsung keeps competitive
pricing so
as to beat the competitor. Samsung as a brand hardly
uses penetrative pricing because it doesnt enter late in
the market. In fact, it is present in most consumer
durable segments in the market.

PLACE
Samsung uses channel marketing in its industry. And from this strategy,
only service dealers are taken into account for corporate sales.
Retailers who present the technology chain are bound to include Samsung
in their list, because of the firm being a world-famous brand and
Samsung can also serve as an alternative for the consumers.
The distribution is a compelling part of the Samsung marketing strategy.
In certain cities, Samsung has a contract with a single distribution
company that distributes the product throughout the city.
For instance, Mumbai is a great example of a city, where Samsung
distributes its product through a single company.
These reasons may vary, but some of them might be like less
concentration required for monitoring distribution channels or paying
less to distribution companies because while placing a large order,
discounts are always present.

PROMOTION
Samsung marketing strategy uses diverse forms of promotion.
As Samsung is convinced that advertising is one of the best
forms of promotion to engage potential consumers.
Besides advertising, Samsung approaches different
promotional tactics to make customers buy the product.
For instance, quite often, Samsung introduces discounts,
sponsors events, engages with national and worldwide
festivals, etc.
Hence, the Samsung marketing strategy simultaneously helps
the organization progress in different aspects.

ADVERTISING MODES & METHODS


Samples - Samsung Mobiles invited prospective customers to
try the product for free. It took out dummy models of the
phones, as well as mobile shops had a trial phone which a
customer could feel in his hand. London 2012 Olympic Games
Samsung mobile launched a scheme, where a new customer or
an existing customer can connect their mobile with Optus
mobile plan and stand a chance to win the passes. Samsung
50$ cash back offer-Samsung Introduced an offer where one
can send a postcard and win Samsung galaxy note, even it had
some participate stores where one was entitled to get a 50 $
cash back card on purchase of galaxy note.
Accessories Samsung galaxy tab gave away freebies like
Bluetooth headset, leather case diary, 2GB SD card to its
customers.
The corporation is expected to spend $20 billion on advertising
and marketing in 2015, with publicity appearing in TV and
cinema ads, on billboards, and at sports and arts events.

Samsung Advertising
Method
Samsung using direct and indirect method.
Direct method, for example, Samsung advertise
their product through television, internet, and
other else.
Indirect method, for example, Samsung let
customer try their new product and let customer
know that their new product is good to use.
Advertising TV advertisement of Samsung
Print advertisement of Samsung
Point of sale advertising

Different advertisements have been used


at different point of times highlighting the
features. There is an inbuilt program in
the Samsung Galaxy mobiles that shows
the image of a cat and the cat repeats
whatever one says. This humorous feature
is also depicted in an advertisement.
Samsung tied up with popular footballer
DAVID BECHKAM for the promotion of the
Samsung galaxy note and Samsung Galaxy.

SEGMENTATION OF MOBILE
DEVICES

Geographical Segmentation.
Demographic Segmentation.
Behavioral Segmentation.
Psychological clause.
Socio-economic.

GEOGRAPHIC
SEGMENTATION

Demographic Segmentation

Socio Economic Clause

Psychological
Segmentation

BEHAVIOURAL
SEGMENTATION
Good Brand Image from other electronic products.
Value for Money Products.
Many Service centers across India

TARGETING
After segmenting the market based on the different groups and
classes, the targets need to be chosen. Samsung mobiles have
the following target customers:
trendy young people.
Professionals.
Large businesses.
The common cellular phone users.
Organizations such as: services to public safety, the
government, and both utility and manufacturing enterprises.
Institutional sales for colleges.
Target is not only number driven but also about acquiring and
retaining customers.

POSITIONING
Positioning is about the customer perception about the brand as being
different from the other brands on specific dimension including product
attributes.
The strategies adopted by Samsung to position itself in the Mobile Phone
market are as follows:
It focuses more on the real margin which comes from mid-to-high-end
segments
Samsung Concept Store
Market making & category creation in small towns
Wider Care Network.
Access to Samsung care line
Pioneering in the 3G segment of mobile phones.
Branded itself as a synonym for quality.
Created a Unique Brand Image for itself as a high end value driven brand

SUCCESS OF THE PHONE GALAXY


S3
Samsung has seen a great deal of success with its galaxy series of
devices
The Galaxy S3 overtook the iPhone 4S as the world's bestselling
smartphone according to the latest research from Strategy Analytics
Sales of the Samsung Galaxy SIII have been strong, hitting 20
millions in 100days, and then 30 millions in less than six months,
According to market research firm strategy analytics, Samsung sold
18 million Galaxy SIII handsets during the third quarter, compared
to only 16.2 million for Apples Iphone 4s,ousting Apple from the
top spot.
The galaxy SIII also saw a broad release, available on
verizon,AT&T,Sprint,T-mobile and U.S.cellular. This made it
available to as broad an audience as possible. Availability matters,
whereas Apple tends to pick and choose carriers.

The Galaxy SIII is also a great device for the bring-your-own-device


(BYOD) crowd.the handset has a number of enterprise-friendly
features, including Authen Tecs QuickSec VPN client technology
that allows users to access corporate networks when out and about.

REFERENCE

http://stpsamsungmobiles.blogspot.in
http://www.samsung.com
Marketing 91.com
gadgets.ndtv.com Mobiles All Brands
http://www.gsmarena.com/samsung-phones-9.php

THANK YOU

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