Samsung Electronics Marketing Strategy - Research Paper Example

?Marketing Strategy INTRODUCTION Samsung Electronics, a subsidiary of Korean multinational company d Samsung Group, which is currently operating as a leading brand in the global consumer electronics industry was found in 1969 (SAMSUNG, “Samsung’s Beginnings”). Emphasising the strategic principle of continuous innovation, Samsung has been launching innovative products on a continuous basis. Recently, it added a Breathalyser as one of its new innovative products. Notably, it is the first breathalyzer that connects with the smartphones via Bluetooth. The intelligent device is equipped with Police-grade Xtend™ Fuel Cell Sensor Technology to trace even the lowest possible amounts of alcohol, as low as 0.001% of Blood Alcohol Content (BAC) and confirms to be a significant use for security systems. The device is smallest, lightest, and thinnest with the ability to share the results via text messages or publicly on a social network with minimum manual interference (SAMSUNG, “BACtrack Mobile Breathalyzer”). MARKETING STRATEGY OF SAMSUNG BREATHALYZER Target Customer/Segments. Market segmentation helps to identify the most potential customer range to be served (Kotler and Keller 177-180). In case of is the newly launched breathalyzer, Samsung has taken into account all the three factors of targeting customer group, which are demographic, psychographic and behavioral. Simultaneously, it should also opt for multi segment targeting, which will ensure focusing on two or more defined market segments. Samsung can target the school authorities, car owners and young generation people who are aware of their safety needs. To be precise, school authorities are today, observed to be always in need to prohibit the intake of alcohol in the school premises and discourage students to do so even in their personal lifestyles. The intelligent device can give the freedom to school owners. Similarly, the car drivers often decipher their need to be aware regarding the amount of alcohol they intake to guarantee safe driving, which can be promoted as a need for the device amid this particular group of customers. Additionally, the health conscious young people can also be encouraged to use this product which can help them know about the alcohol amount they have taken and thus set a limit for them. Correspondingly, as most of the people including the above mentioned three segments, have been increasingly observed to prefer buying things online, Samsung must keep eyes on online users and try to attract them with captivating offers (Kotler and Keller 177-180). Positioning. Positioning is in general, referred as the process of creating brand awareness in the minds of the consumers. This process also involves improving the customers’ perceptions about the product (Kotler and Keller 198-200). Considering the recently on-going brand conflicts affecting Samsung’s brand positioning in the global market to a large extent, as a trusted brand, Samsung should not go for aggressive promotional strategy to promote its breathalyzer (Reuters, “Samsung's aggressive advertising rarely achieves desired effect”). It should rather use the positioning strategies of product attributes, product categories and benefits. Product attributes highlights a specific attribute of the product (Kotler and Keller 223-224). Accordingly, in marketing its breathalyzer, Samsung can highlight its features as different from its substitutes adding value to customer needs, as it is able to be connected with the smartphones and thus, reflect more accurate information. Additionally, positioning strategies based on product categories emphasize comparison of the product with its available competitive brands and helps to differentiate the brand to obtain competitive advantages by luring a larger volume of customers (Kotler and Keller 223-225). Similarly, Samsung use its product categorization to claim the accuracy of the breathalyzer and trace even the lowest possible amount of alcohol present in the blood until the level of 0.001 %. Simultaneously, Samsung can also put emphasis on promoting the product by informing its customers about the device to always ensure that someone is not over-drunk and also in medical purposes apart from basic security reasons, applying the product benefits strategies in its positioning (Karadeniz, 98-100) Product Line Consideration. Product line consideration refers to the group of products made by the single company (Wind and Claycamp 2). To be precise, Samsung’s product line includes TVs, refrigerators, mobiles, smartphones and tablets among other consumer electronics goods. In this regard, the company should emphasize the inter-linkage between its two product line considerations of smartphones and medical as well as safety equipments. Quality features and easy connectivity with the android based smartphones can also be regarded as other considerations that can prove beneficial when marketing Samsung’s breathalyzer. Correspondingly, Samsung has its strong reputation and brand image already existing in the target market, which can also be of considerable importance in marketing its newly launched product. Distribution Strategy. When considering the options that it has to distribute the newly launched breathalyzer, Samsung can use its traditional distribution strategies, which would include wholesalers along with the contemporary strategy of using social network to generate customer demand in the targeted market. Using its established chain of distribution will aid Samsung to develop a pull demand for the product that can prove quite productive to ensure greater demand from the customers. Nevertheless, it should be noted in this context that the choice of intermediaries as well as retailers and wholesalers also play a crucial role in the distribution of any newly launched product efficiently. Accordingly, the company should intend to avoid the retailers and wholesalers who use product assortment and breaking bulk strategies, which shall not be beneficial for a newly launched product. Additionally, Samsung should strengthen the distribution channel in those countries with highest number of alcohol consumption rate, targeting the security, medical as well as other social institutions taking active role in minimizing the growing concern of drinking in the society. Moreover the logistic channel should be improved and distribution strategy should be fast and smooth and capable to deliver the products to the target markets on the right time, wherein the established distribution channel of Samsung can again prove to be beneficial (Zdenko, Josip and Davor “Importance of Distribution Channels - Marketing Channels - For National Economy”). CONCLUSION New products can add extra popularity, greater customer awareness and brand value to the company, subjected to its effective marketing. As discussed above, it is very important that the each and every step of marketing, which involves target segment, positioning, product line consideration and distribution strategy, are regarded as key attributes of a successful marketing plan considered for launching a new product like breathalyzer. Conclusively, it is suggestible that apart from the above mentioned marketing strategies, the company must also ensure complete focus on its ethical trade obligations, to ensure maximum loyalty from its customers in response to its newly introduced breathalyzer. Works Cited Karadeniz, Mustafa. “Product Positioning Strategy in Marketing Management.” Journal of Naval Science and Engineering 5.2 (2009): 98-110. Print. Kotler, Philip and Kevin Lane Keller. Framework for Marketing Management. US: Pearson Education (2007). Print. Reuters. “Samsung's aggressive advertising rarely achieves desired effect”. NDTV Gadgets, 2013. Web. 03 Dec. 2013. “BACtrack Mobile Breathalyzer”. SAMSUNG. 2013. Web. 03 Dec. 2013. “Samsung’s Beginnings”. SAMSUNG. 2013. Web. 03 Dec. 2013. Segetlija, Zdenko, Mesaric Josip and Dujak Davor. “Importance of Distribution Channels - Marketing Channels - For National Economy”. University of J.J.Strossmayer 785-809. Print. Wind, Yoram and Henry J. Claycamp. “Product Planning Line Strategy: A Matrix Approach.” Journal of Marketing 40 (1976): 2-9. Print. Read More