Samsung Electronics

Presented by:Ankur PandeyNikhil Khowal

Vivek Katariya

Samsung Electronics is a South Korean multinational electronics and information technology company headquartered in Samsung Town, Seoul. It is the flagship subsidiary of the Samsung Group. With assembly plants and sales networks in 61 countries across the world, it has approximately 1,60,000 employees.

In 2009, the company took the position of the world’s biggest IT maker by surpassing the previous leader Hewlett-Packard.

Its sales revenue in the areas of LCD and LED displays and memory chips is number one in the world.

About Samsung…

In 2005, Samsung surpassed Japanese rival Sony for the first time to become 20th world's largest and most popular consumer brand as measured by Interbrand.

In 2006, Business Week rated Samsung as 20th on its list of global brands, 2nd in the electronics industry. Business Week also ranked Samsung as 20th in innovation.

In 2007, Samsung Electronics' handset division overtook American rival Motorola, making it the world's second-largest mobile phone maker.

In 2009, Samsung overtook Siemens of Germany and Hewlett-Packard of the USA with a revenue of $117.4 billion to take the No.1 spot as the world's largest technology company.

Samsung took the 33rd place in the “World’s Most Valuable Brands 2010” list made public by the Forbes magazine.

In terms of global market share, Samsung is No. 1 in flat-panel TVs and memory chips; it is No. 2 in mobile handsets; it is one of the top suppliers in other home appliances.

In the Indian context, in flat-panel TV Segment it has the market share of 30% following the Market leader Sony 38%.

Current Status

Product Global Market Share

Competitors

CompetitorsMarket Share

LCD Panels 26.0% LG Display 25.9%

LCD Monitor 18.0% Dell 12.8%

Television sets(LCD, PDP, CRT, LED)

17.2% LG Electronics

14.8%

Global Market Share

2011 India Flat Panel TV Brand Rankings by Unit Share

2011Rank

Brand 2009Share

2010Share

Y/YGrowth

1 Sony 22.9% 22.1% 96%

2 Samsung 29.3% 21.3% 48%

3 LGE 23.1% 21.0% 85%

4 Videocon 7.6% 13.7% 267%

5 Panasonic 8.2% 8.5% 112%

6 Other 9.0% 13.3% 201%

Total 103%

High Brand Equity. Large Market Share. Global Exposure. Established Brand. Quality Products. Technologically advanced. Large Satisfied customers.

Strength

lacks in product differentiation. Quality products are costly ! Some products are not user friendly. The demand for LCD panels is expected to

decline in the future.

Weakness

Large exploitable Indian Market. Excellent Dept. for R&D. Product variations. Large demographic consumers. flat-panel TVs are in the Growth Stage.

Opportunities

Competitors like Sony, Videocon, Onida and Panasonic growing rapidly.

Slow diffusion rate for 3D TV. Technological Innovations becoming

Obsolete soon. Online stores & Retail Chains like Bigbazaar

are giving better deals as they incur less cost in distribution channel.

Threats

Marketing Mix Plan

Offers the most diverse product mix in the 3D market, offering LED, LCD and Plasma 3D TVs. Samsung’s cash cow product in the 3D market however, is the LED 9000 series.

Because Samsung produces such a diverse product mix, they can meet all the needs of the 3D TV consumers with the products they offer, at a very competitive level.

Product

Introduction of “Bordeaux” line (2006), followed by the 2007 Bordeaux model.

Introduced the Internet TV and Samsung Smart TV in 2007.

“Crystal Rose” line-2008. Finger-Slim” LED - March 2009. Full HD 3D LED TV-March 2010.

Product Innovations

Samsung-flat TV

Samsung - 63 1080p Flat-Panel Plasma BlackRed 5899 8960207

The price of the 9000 series is $5,999. However, Samsung’s diverse product mix of 3D TVs ranges from $1,200-$7,000.

Price

Samsung has launched various advertising campaigns.

Samsung is the India’s official ‘Olympic partner’ for the 2012 London Olympics.

Celebrities endorsements. Display the product and allow the

consumers at the events to experience Samsung 3D.

Promotion

Launching a Ultra slim TV at an Event

Samsung is the India’s official ‘Olympic partner’ for the 2012 London Olympic and recently launched ‘Olympic Ratna Program’. This will result enhance brand awareness and increase the sales.

New Promotion Strategies

In Indian market, the products are available in the electronic stores and exclusive Samsung showrooms.

The products are also sold online, where customers can find deals for free shipping and set up.

Place

Celebrity Endorsements

Samsung had emphasized innovation in its management strategy & invested aggressively in research and development. The company currently has 24 R&D centers around the world.

It Overhauls its design in every two years. For the first year, it scrutinizes all the design trends of the world, followed by product strategies. It then maps out new design plans during the second year.

USP

If the products are available at comparitively lower cost.

Efficient distribution system. Ensuring Quality delivered. Wether its really

‘Hard to Imagine’ Easy availability for rural markets. Large scale Advertising. Events, Trade shows, Press Releases and

Press Conferences. Sponsoring Cricket Matches.

The Market Share Will Increase