Praveen Kumar Reddy.k

BY PRAVEEN KUMAR REDDY.K

INTRODUCTION • In 1938, Lee Byung-Chull founded Samsung, a small trading company • Samsung is the world's largest conglomerate with an annual revenue of US$173.4 billion in 2008 • Samsung Group accounts for more than 20% of South Korea's total exports. • Samsung Telecommunications is one of five business units within Samsung Electronics, belonging to the Samsung Group, and consists of the Mobile Communications Division, Telecommunication Systems Division, Computer Division, MP3 Business Team, Mobile Solution Centre and Telecommunication R&D Centre.

Cont… • Samsung Electronics developed its first CDMA mobile phone in March 1996, to coincide with the launch of CDMA service. The first digital handset, the SCH-100, was extra light and slim. • By the end of 1997, one year after the CDMA service was first launched; Samsung had achieved a 57% market share in the CDMA cellular market. • Market share of Samsung mobile globally is 30%, in India it is 15%. • second largest Mobile manufacturer in the world.

MARKETING MIX

PRODUCT

PRICE • Pricing is one of the most important elements of the marketing mix, as it is the only mix, which generates a turnover for the organization. • Penetration pricing E.g. Samsung E117, , Samsung Guru E1390 etc.., • Psychological pricing: B300 SAMSUNG MOBILE – Rs.2999, D840 SAMSUNG MOBILE- Rs.11,499 • Premium pricing: E.g. Samsung I900 • Product Line Pricing: E.g. E250 SAMSUNG MOBILE • E250 SAMSUNG MOBILE RELOADED

PLACE • Distributed among 74000 retail outlets in India. • A third channel that is tie-ups with local co-operatives to push handset sales in the rural market. • Has recently tied-up with Indian Farmers Fertilizer Cooperative Limited (IFFCO) for rural telephony, which will take Samsung handsets and services to the countryside. • Nearly 230 Distributors throughout the country. • The company will tap large format retail stores like Croma, Reliance Retail, and Samsung Mobile Privilege Partner Network (SMPP)

PROMOTION •

Promotion involves disseminating information about a product, product line, brand, or company.

• 1. 2. 3. 4.

The different promotional strategies followed by Samsung mobile are: Advertising. Trade Fairs and Exhibitions. Promotional offers. Sponsorship. Samsung will officially sponsor the Olympic Games and the Olympic Movement for the next eight years

STP SEGMENTATION: The different market segments in the mobile industry are 1. Low Class 2. Middle Class 3. High class 4. Youth Segment 5. Business Class

TARGETING: • Samsung Mobile has targeted all the segments of customers. • For Low class Segment E1160, E1310, E1107 etc.., priced below Rs.2000. • For middle class segment B2100, S3500,S3310,C 5212 etc.., Rs.3000-Rs10000. • For Higher class segment Samsung S8300, M7500, Omnia etc.., • For youth segment guru series covering all segments of low, middle and high class. • For Business class S8300 Ultra touch, Omnia B7320, etc..,

POSITIONING: • Re-positioning involves changing the identity of a product, relative to the identity of competing products, • De-positioning involves attempting to change the identity of competing products • According to a survey made for best global brands, Samsung stood at 19th place whose brand value stood at 17,518 $millions.

Strengths • • • • •

Strong global presence, Diversified product line, Technology, Design, Innovation

Weaknesses • Customer perception of weak product attributes like Durability, • Camera / Video quality, User friendliness, • Voice clarity, Value for money, • Incompatibility with different software platforms • Poor after sales service.

Opportunities • Increasing mobile market, • High % of Younger population, • Strong customer demand for innovative products & value-added features, • Low Landline penetration.

Threats • Increasing competition , • Decreasing product margins.

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