Samsung- Building a
Global Brand
Content
Part 1
Overview of Samsung
Part 2
Marketing Strategies
Part 3
Results and suggestions
Overview
Marketing
strategies
Results
Introduction
Company Overview
Achievement
Issues
Company Overview
The biggest brand of Samsung
Chaebol
Started out in 1970
Marketing strategy: Cost-driven
Achievements
The number one position of the
global chip market
Pioneering the development of flatscreen displays, Plasma TVs,…
Issues
Internal:
- Sales and profits fell
- Image downed
External:
- Competition
- Slackening demand and excess
capacity in the global market
- Asian financial crisis in 1997
- Emerging of new Digital Age
Survive & develop or not
What did they do???
Marketing strategies
Technical Innovation and R&D
New Product Development and Design
Brand’s Image Building
Analog - Digital
Why did it change?
Higher expectation of each electronics tools at
the global market
Required better performance to fulfill the
advancing technology
Base on the market needs.
Force the company to fulfill the capacity of each
technology.
Leads for a new innovation
Analog  Digital
Analog
Digital
 Old design
 Slow complicated
 Hard time
 Heavy
 Pattern led
 modern design
 cooler
 fast access
 hard working
 light and simplified
How can it be done?
•Develop through research on the targeted market.
•Increase Research Funding
•Hire more specialists for innovations
Building The Brand Image
The progress of Brand Image:
 1996 Samsung’s branded products were softening.
 2000-2005 became the most valuable consumer electronics brand.
Objective for building the Brand Image:
 Building an image of the Samsung
(stylish, high-quality brand commanding the premium price)
Establish a unique competitive position
using
technical innovation and design to appeal to younger and relatively
upscale customer segments
Building The Brand Image activities
Marketing Programs that were used:





Effective marketing
Build customer awareness
Re-organize the firm’s distribution channels
Advertising campaigns
Promotional tools - such as sponsorships,
advertising, etc.
Results – Samsung’s brand value
16
14
12
10
Global value of Samsung's
brand
8
6
4
2
0
2000
2001
2002
2003
2004
2005
Results
60000
50000
40000
Sales
Operating profit
Assets
Liabilities
30000
20000
10000
0
2000
2001
2002
2003
2004
2005
Results
In period of 2000-2005, Samsung’s global
value doubled
=> Overtook Sony
Samsung’s sales grew more than 57
trillion won (about $56 billion) in Dec,2005.
 Half came from outside Asia
 Operating income hit a record 8 trillion won
($8 billion)
Suggestions
Success starts from an effective strategy,
marketing plan, and implementation.
 For CEO: decide technologies, goods and
services,….
 Chief financial officer: market the merits of the
company
 Executive director of nonprofit community
agency: pursue the necessary resources
 All of managers: market the ideas
Samsung marketing programs (BBC and
asianweeks):
 Direct sale
 Premium: Samsung magazine, catalog,
exhibition
 PR
 Advertisement:
• 5M: mission, money, message, media, measurement
• Content of ads - AIDA:
–
–
–
–
Get ATTENTION
Hold INTEREST
Create DESIRE
Lead to ACTION
Sources
Marketing management handout
Samsung annual reports from 1998 to
2007
BBC and Asianweeks
www.samsung.com/us
www.wikipedia.com
Samsung commercial video www.youtube.com