Ch. 8 - Segmenting and Targeting Markets

Traditionally, companies competing in the market are into geographic and demographic segmentation. Samsung segmentation strategy emphasizes on psychographic segmentation which is based on the personality, motives, and lifestyles of the targets. While the competitors are focused on geographic's and demographics, Samsung focuses on other areas of segmentation in order to have more direct interaction with  its customers.

All products made by Samsung are created based on the lifestyles of the target market. Samsung has a well-developed concentrated targeting strategy which selects one segment of a market to display their marketing efforts to. Samsung can perform heavy research and understand the best way to reach their targets.

Ch.11 - Developing and Managing Products

According to the Samsung.com, Samsung is inspired by nature. The company regards beauty, efficiency, technology and convenience as very important in order to design their products.Samsung thinks innovative and reasonable design. No matter how good function the electronic devices have, the convenient use of users is the most important. Samsung design their products emotionally based on the products of users.  

          Samsung also pursue design that includes their spirit. It which means that Samsung design their product by their own image so that their products can be recognized at far distance.

more than 40,000 of their employees engage in research and development in order to discover the next generation of powerhouse products. Samsung plans to spend about 9.3 billion a year on research and development, compared to Apple's 2 billion. Spending this much money, Samsung has a much greater chance of being the forerunner in innovation

Samsung controls 100,542 patents worldwide; 4,551 registered in the U.S. 

Ch.12 - Services and Nonprofit Organization Marketing

                 In 2012, Samsung  launched a program of organizational reform that

addresses the changing global IT landscape. As a top priority of the organizational reform,

Samsung management structures in each business area. Samsung’s new organizational structure reflects the company’s refocused emphasis

on three key business sectors: Consumer Electronics (CE), IT & Mobile Communications (IM),

and Device Solutions (DS). These reforms will help Samsung improve upon its history of operational

excellence, allowing for increased growth opportunities and continued industry-leading innovation

              Also, Samsung  believes that its efficacy and success relies on its ability to create new business,

products, and technology. As a result, the company places a heavy emphasis on future investments

and patents. Samsung also believes in the power of constructive failures, recognizing

that challenges often for strategic problem solving and innovation within the

global marketplace. The company regards every challenge regardless of size as an opportunity

for knowledge building and growth. Through constant problem solving and creative technological

innovations, Samsung  is committed to creating a more sustainable future for the entire

global community.

 

 

    









 

 

Ch. 10 - Product Concepts

Samsung  products can be considered as shopping products, because it is more expensive than convenience product and there are fewer stores. Samsung products are usually more expensive than other electronic products. Even though Samsung sells expensive products, people can afford to have the products. Samsung offers a good warranty for their customers and produces products in a high quality. Samsung regards the satisfaction of customers as the most important factor in order to be success in their business. The company spends a lot of money to invest for designing products and making super high quality products.

As a growing company, Samsung focuses highly on products and concept creation . They have three teams within the company that focus on this specifically .They are broken into divisions called Product Management, Product Planning, and Concept Creation . The Product Management division focuses on creating products with quality and delivering them on time . The Product Planning division focuses on products within their earliest phases while Concept Creation creates products for the future.

As an electronics company, Samsung creates mostly shopping products. A shopping product is a product in which a consumer will spend time gathering information about price, quality, before making a decision to buy. Samsung also creates convenience products, which are consumed on a regular basis, and purchased frequently.

 

 

Ch.17 - Selling and Sales Management

         One of the promotional events is called "Samsung Sense Academic Festival" which is lasted for more than 10 years. The company sells electronic products such as desktop, laptop, MP3 and electronic dictionary as well which are well designed for students. The reason why Samsung  Corporation is holding such a promotional event for students is that students are main customers of their products themselves and the company can hold life-long loyal customers by offering them the point of entry which makes customers very loyal. For example of offering point of entry, a sanitary pad company offer free sanitary pads for female who have first experience of their menstruation and some diaper companies offer free diaper for a certain period to those who birth first baby. In this case, the customers who experienced the offer cannot easily change their products. Students usually change their phone or computer usually in every 2-3 years thus owning loyal customers is very important.

 

    Samsung also holds graduation and admission events for students to have various opportunities such as providing students free cyber lecture, fancy diary or additional batteries when they buy a new cell phone or laptop and the company also giving scholarships or travel gift cards by casting lots. These events reduce customers' burden a lot. For example, I also experienced such reducing burden when I recently bought a new Galaxy S5 and got many free attributes such as free charger cord, usb, and memory chips and it made me a loyal customer of Samsung. 

       Also traditional personal selling is a method that is use to persuade a buyer to purchase a product or service and Samsung uses this method to sell their Galaxy products because they come out with  new Galaxy products every year, so they are consistently persuading customers to buy their latest product.

Ch.16 - Advertising, Public Relations and Sales Promotion

Samsung uses product advertising to help increase their sales. Samsung promote their products  by television commercials, advertising on the trains, billboards, online, and ads in the movie theaters.

 Samsung developed a way to make their product a little bit better and interactive than their competitors, one of these upgrades include them teaming up with a global health service company called Cigna to put out a new application called S Health.The purpose of this is to focus on delivering health-related tips and articles to people with Galaxy phones  and connecting them with caregivers, doctors and hospitals to improve health and wellness worldwide.They release the application on the Galaxy Note 3 as  being apart of the smart phone market. For sales promotions Samsung and the mobile communications company may organize a limited time plan for consumers where they can pay a really low price or sometimes even nothing for the phone up front but they have to pay a certain amount that is added to their bill, which is a smart way to get rid of merchandise quickly.

Ch. 14 - Marketing Channels and Retailing

Samsung Store: 130 Prince St New York, NY 10012

The Samsung store is located in SoHo, one of New York City’s most busiest neighborhoods, the Galaxy Studio is a multi-level interactive experience featuring Samsung’s latest portfolio of mobile devices, including the new Galaxy S5 – 2014 Edition and Galaxy Note.Samsung did an excellent job making this place a fun hang out spot.Inside is great. There is a 3d printing station to make your little design trinkets for your keys, a camera gift maker that is just awesome. They have a tote making station and best of all a food area for small foods that is all free, also they have a kid zone. Kid friendly is a big yes yes for many people. This allows interaction with the products Samsung wants to promote in a fun way. Swung by on a night where they were making customized hand held mirrors and from what I understand, programming changes happen on a regular basis which include other customizable projects like t-shirts, tote bags, etc. This motivates people to come back and to earn visitor "points" on a personalized card you receive when you first arrive to the store. Some of the technology was a bit difficult to grasp for those not familiar with Samsung products but was cool to check out nonetheless. The employees will tell you what the space is about. It's essentially a studio devoted to educating consumers with one-on-one demos for Samsung's products. You can design personalized swag items, free of charge, and rent out Samsung phones. Free espresso and pastries, plenty of time to experience the entire Samsung Galaxy and Gear line. Friendly and knowledgeable staff too.