Jon Hoffmeyer’s Model

Group Members

Saloni Mehra (677)Urvashi Athavale (627)

Qais Husein (630)Sheikh Rehmatullah (720)

Brand Chosen - Samsung

Reasons for choosing the brand –

• Boom in variety of choices for cell phones

• Highly opinionated amongst youth

• Samsung vs Apple iPhone rivalry

• High involvement purchase = In-depth understanding of purchase behaviour

Playing Nielsen – Primary Research Details

• Sample Universe – SIMC (UG)

• Sample Size – 110

• Age Group – 18 – 22 yrs

• Technique of Survey - Questionnaires (Hard Copy form)

Questionnaire

Questionnaire

Questionnaire

To be noted…

This scale was reversed while computing and calculating the final data results. 10 was given for ‘Least Attracted’ and 0 for

‘Most Attracted’

Market Share from Research

30%

20%17%

6%

11%

8%

5%4%

Market Share of Cellphones amongst 110 respondents, SIMC UG, Age Group 18-22

SamsungBlackberryApple IphoneNokiaSonyHTCMicromaxLG

Jon Hoffmeyer’s Model

Virgins0

5

10

15

20

25

30

35

7

12

86

0

3032

16

Jon Hoffmeyer's Model for Samsung

Tota

l num

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f cus

tom

ers

33 Regulars

CommittedRegulars of Samsung

UncommittedRegulars of Samsung

UncommittedRegulars of Rivals

CommittedRegulars of Rivals+30 0 -30

21

Brand-wise Committed and Uncommitted Regulars

Samsung Blackberry Apple Sony HTC Nokia Micromax LG0

2

4

6

8

10

12

14

16

18

20

14

16

12 2

3 3 3

19

6

18

10

7

4

21

Uncomitted RegularsComitted Regulars

What Respondents Recommend for Samsung

• Committed Loyal Users of Samsung recommend – Improvements in design, lesser price, longer battery life

• Non-committed Users recommend – Improvement in Multimedia, more frequent software updates and lesser pricing for newly launched product

Our Recommendations based on Insights

• Though Blackberry has higher share after Samsung, the bigger threat for Samsung is Apple iPhone

• Most current users of BB are highly potential switchers. Even BBM as ‘differentiator’ to be non-existent.

• Samsung should design strategies to get these switchers into their brand camp before Apple iPhone poaches them away.

Our Recommendations based on Insights

• Longer battery life is a hot demand. Samsung should invest in R&D to improve this feature lest another brand makes this their ‘differentiator’.

• Samsung should emphasise on ‘user-friendly’ experience with Android; to be targeted especially towards women who value this feature more.

Chinks in the Armour of Rivals

• Suggestions made by users of rival brand can be used by Samsung to design their strategies to combat competition

Apple• Introduce Bluetooth and Expandable Memory• Fix time consuming After-sale services • Reduce price range• Durability of body

Chinks in the Armour of Rivals

Blackberry• Improve customer service• Make it more user friendly• Improve software applications• Better camera quality• Improve software• “Don’t buy them and stop manufacturing Blackberry”• “Shut down the company”

Samsung tackling Rivals; Influencing Degree of Commitment

vs Apple

• Already enjoys Bluetooth file sharing facility• Higher number of authorised dealers = easier and

faster post-sales services• Lower priced; introduces range of relatively lower

priced smartphone against flagship products• High investment in R&D for designing phones with

sleeker physique

Samsung tackling Rivals; Influencing Degree of Commitment

vs Blackberry

• Open-source application coding = better and more innovative apps

• Continuous improvement in quality of camera• Better touch experience• Early introduction of Whatsapp (vs BBM?)• Certainly not shutting down soon

Samsung heading left; eventually right direction

Hence, Samsung is trying to build more Committed Regulars for its cell phone brand by –

• Increasing satisfaction level by constantly innovating and offering new unique features in every new model at lower price than rival Apple

• Increasing importance of choosing the brand by being best performer for Android software

• Decreasing attraction towards rival brand by introducing new models consistently = attraction achieved towards a new model of the same brand instead of rival brand.

Thank You