Samsung target market is high and medium level communities. 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 concept to position the brand may be based on the functions provided by the product, the experience it offers or the symbols it conveys. The strategies adopted by Samsung to position itself in the Mobile Phone market are s 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 36 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.
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Product, Price, Promotion, Place 1. Product: Samsung has divided its product into five category, they are as follows: ; Mobile Phone: Tablet smart phone, Smart phone, dual Simi phone, touch phone, qwerty message phone, multimedia phone, CDMA phone, essential phone, memory awards, Samsung mobile and TV APS, Tablet, Laptop, Chrome devices, media players ; TV/Audience: Television, Blue-ray, DVD player, Home theatre ; Cameras/ Cam corded: Smart cameras, cameras, camcorders ; Home appliance : Refrigerator, Air conditioner, washing machines, microwave oven, smart oven, dish washer.
Samsung offers wide variety of product mix in the AD market, offering LED, LCD and plasma AD TV’s. It starts to provide customers with innovative and cutting edge products and rapidly become a huge player in electronics field competing to be with another magnet Sony. The newly launched Samsung Galaxy Star has been tremendous increase and is performing well for the South Korean company by boosting sales. The smart phone is priced at RSI. 4999. 2. Price: Pricing also seems to play a vital role in the success of the Samsung Company.
Samsung focuses on the cost cutting measures to keep its price low which helps to combat the discount schemes of the local companies. Samsung drastically reduces its cost in the year 2002 which enables the company to keep its price low for certain products and extract higher margin from premium products. This helped Samsung to post a turnover of RSI. Ban a growth from yearn. Since Samsung is into various electronic products ranging from mobile phones to house hold appliances; it doesn’t apply a specific product strategy or fit into a premium product category like Apple.
In Mobile and TV segment it employs completion based pricing, I. E. The pricing model depends on the prices of competitor’s products. 3. Place: Samsung products are distributed to all major electronic goods retailers. Apart from small and large scale retailers, Samsung has its own outlets ‘Samsung Plaza’ which showcases all the models available with the company. It has technically competent tiffs to provide all information to the customer. Its sales and marketing offices are location in 16 areas.
Institutional sales such as airport, hotels, banks, theatres are taken care by the VIM (vertical market business) department. One of the major reason for Samsung success in Indian market its effective distribution system and after sales service. The competitors penetrate in the rural and semi urban mass markets. But Samsung insists that it’s a high end technology based company or player. That’s why urban area still the focus market for the company and 30% of its revenue comes from the rural and semi urban market.
Later on Samsung changed its policy a bit of Just remaining a high end technology driven company or brand it started changing its image in selling its products on the concept of of money” keeping in mind the price sensitivity of Indian customers and sell its products to the middle level income group population or families in India. Samsung beat Monika to take no. 1 position in the Indian mobile phone market. Monika was down by a rank to be placed at number two in the Voice & Data survey with a 27. Per cent market share following a significant 18 per cent drop in revenue, the report showed. In the 2 months ended March 2013, Ionians revenue from Indian operations was placed at RSI 9,780 core compared to RSI 11,925 core in the last financial year, it added. “The rise of smaller local players like MicroVAX, Carbon, Lava and Zen was a clear indication that consumers wanted cheaper feature phones. The next phase of mobile penetration in India, now at the bottom of the pyramid, will be driven by these companies,” says Abraham Madam, Group Editor, Voice & Data.
Homegrown handset company MicroVAX captured the number three position among V&DIOO Top mobile handset brands for FYI’13 and enjoyed a market share of 8. 7 per cent and earned revenue of RSI 3,138 core. Closing in was Carbon Mobiles, the company among the Indian handset players that grew most consistently. 4. Promotion: When Samsung entered in India it recognized that no one knows Samsung Company. So in order to establish itself in the market ‘Samsung’ launched corporate advertisements highlighting its technology superior goods.
Samsung has been actively involved in sponsoring for various sorts activities and it has been associated with Olympic Games and Asian games for many years. In India Emir and Prank Copra has been assigned as the brand ambassadors for Samsung. It actively remotes its products through social media campaigns. Brand ambassador: Emir Khan Promotional offers like free entry in the show 10 aka Dump Opening Samsung fanciful for the better customer relationships Free online software update, tutorials and customer service.
Established many Samsung stores to create awareness about the brand of ‘Samsung’ Offering advanced technology products and positioning itself on the technology platform will not help a company sell its products if it fails to communicate properly to the potential customers. To raise brand awareness and create strong, favorable and unique brand associations, Samsung adopted various promotion strategies like celebrity endorsements, corporate advertisement, highlighting its technology superior goods and many promotional activities.
Along with advertisements Samsung also focuses on increase in sales through promotional schemes. In October 2001, it introduce its products with the ad of “ephod eke decked” this increase the sales to 2. Ban. This offer instantly boosted the sales of the Samsung Company. Marketing strategy: Samsung has to improve its after sales service in order to retain customer and create brand loyalty. The current policy adopted by Samsung is spending aggressively on advertising and marketing & less on retaining customers that is after sales service.