BRAND MANAGEMENT Project On Brand Positioning of

Submitted by ArjunPrakash S (28004) DivyaBala (28076) Hariharan D (28083) Judah Jebadas (28085) Krithika S (28092) Naveen M (28099) Prreethi E (28100) Ramesh V M (28102) ShanmugaSundaram A (28108) Suganprabhu R (28114)

PRODUCT CATEGORIES The product categories of Samsung are as follows Mobile phones Tablets TV/Audio/Video Camera Home Appliances PC/Peripherals Memory cards Market size(units) 86.6 million 4.4 million 39 million 129 million 1.7 million+7 lakh 1.9 million

Product Category Mobile phones Tablets TV/Audio/Video Camera Home Appliances PC/Peripherals Memory cards

Market Share 21% 9.90% 30% 15% 24% 8% 42.40%

ROLE OF SAMSUNG IN EACH PRODUCT CATEGORY Mobile In the mobile phone category, Samsung has made sure to have a lengthy extension of its products starting from basic phones to the most advanced smartphones. In India the brand equity of Samsung is very high. About a decade back what was once dominated by the Nokia and Motorola have now been captured by Samsung. The brand ambassador for the company is Aamir Khan known for his integrity in the Bollywood industry. Amir Khan mainly promoted the hero series of mid-range phones. Later in 2009 Samsung launched its corby series which was believed to take the mobile phone market to a whole new level. Affordable cost multimedia combined with the mobile internet made customers go crazy after the product. The positioning of the corby series was perfectly made by targeting the youth segment of the country, which constituted more than half of the target group in the mobile phone segment. Instant updates on facebook and affordable touch screen phones added further value to the phones. In 2010 Samsung further raised the bar by introducing the galaxy series which took Samsung to higher end segment which was enjoyed only by APPLE. Ads were made targeting the customers of Apple. Most of the ads implicitly instigated customers to move from apple to Samsung. Samsung promised better feature at a lower cost.

Television In 2009, Samsung sold around 31 million flat-panel televisions, enabling to maintain the world's largest market share for a fourth consecutive year. In early 2010, the company had set the year's sales goal at 39 million units (including 10 million LED televisions). In March 2009, Samsung launched the "Finger-Slim" super-slim LED television. In 2009, the product sold around two million units. The company has led the flat-panel television market for the past five years with the 2006 introduction of its "Bordeaux" line, followed by the 2007 Bordeaux model, the 2008 "Crystal Rose" line, and the "Finger-Slim" in 2009. The company retained the leading position by successfully selling more than 1 million 3D televisions as of August 2010. Samsung launched its first full HD 3D LED television March 2010. Samsung had showcased the product at the 2010 International Consumer Electronics Show (CES 2010) held in Las Vegas. Samsung sold more than one million 3D televisions within six months of its launch. This is the figure close to what many market researchers forecast for the year's worldwide 3D television sales (1.23 million units). It also debuted the 3D Home Theater (HT-C6950W) that allows the user to enjoy 3D image and surround sound at the same time. With the launch of 3D Home Theater, Samsung became the first company in the industry to have the full line of 3D offerings, including 3D television, 3D Blu-ray play, 3D content, and 3D glasses. Smart televisions In 2007, Samsung introduced the Internet TV, enabling the viewer to receive information from the Internet while at the same time watching conventional television programming. Samsung later developed "Smart LED TV", (now renamed to "Samsung Smart TV") which additionally supports downloaded apps. In 2008, the company launched the Power Infolink service, followed in 2009 by a whole new Internet@TV. In 2010, it started marketing the 3D television while unveiling the upgraded Internet@TV 2010, which offers free (or for-fee) download of applications from its Samsung Apps store, in addition to existing services such as news, weather, stock market, YouTube videos, and movies. Samsung Apps offers for-fee premium services in a few countries including Korea and the United States. The services will be custom-tailored for each region. Samsung plans to offer family-oriented applications such as health care programs and digital picture frames as well as games. Camera After having successfully captured the mobile phone industry in India, Samsungs next big plan is to become the market leader in the camera segment. The market was valued at Rs 17.5 billion during the fiscal year 2010 and is expected to attain a CAGR of 43% to reach Rs 104.6 billion by 2015. There prevails a cut throat competition between the major players which includes Sony, Nikon, Kodak, Canon and more recently Samsung. The strategies followed in marketing the cameras sound similar to the strategies followed by Samsung in the mobile industry about a decade back. They have entered the industry by releasing 12 new digital cameras at the lower end which starts at Rs. 5000. They have understood the fact that 80% of the sales come from under Rs 10,000 segment. The high feature rich and affordable pricing makes Samsung products desirable. With the brand loyalty created by home appliances and mobile phones, Samsung was able to efficiently leverage on its secondary associations. Samsung took enough measures to understand the brand feelings among

the customers. They efficiently differentiated its brand association between its lower end segment and the higher end segment. The lower end segment cameras were positioned among the middle class and upper middle class families. The emotion in the families was captured in the ads. On the other hand the higher end SLR cameras were positioned among the professionals and youth segment. Laptop/PC Samsungs entry into PC segment began by launching monitors. This was a huge success and even today many people prefer having a Samsung LCD monitor. But their entry into laptop segment was a bit late. Moreover their market share is also less. This clearly shows that Samsung has identified its key strength and decided to concentrate only on those rather than focussing in every segment. Tablet Samsung with the launch of Galaxy Tab series of tablets compete against the much stronger Apples I pad. But Samsungs tablets run on Android platform and the prices are also quite low when compared to its competitors. Samsung would definitely come up with further new innovations in this field as Microsoft has also entered the market with its launch of tablets which would further increase the rivalry. Home Appliances Samsung is also a leading manufacturer of many home appliances. Among them it leads in the microwave segment where there are no stiff competitions. Refrigerators and Washing machines are manufactured by Samsung. RESEARCH METHODOLOGY A questionnaire was created and was circulated to collect the responses. Apart from the questionnaire, the focus group discussions had during class was also used to collect responses to frame the key insight. Sample Size: 30 Male: 21; Female: 9

Age wise details

13%

<25 27% 60% 25-35 >35

DATA COLLECTION

Differentiating factor
cutting edge technology 23% 33% Pushing through the dealers Affordable price 3% 40% Innovative design

Average satisfaction level: 3.7/5 BRAND ASSOCIATIONS

MENTAL MAPPING

POINTS OF PARITY AND POINTS OF DIFFERENTIATION

Samsung electronics produces consumer electronics in five categories , they are TVs and video /audio players , mobile phones, computers , cameras , home appliances . we have discussed the points of parity and points of differentiation of Samsung with its competitors in the following pages

TV/Video/audio players Samsung has become the company with the highest sales of TVs . They were the first to introduce 3D Led tvs .They have always had a head to head competition with sony in the TV segment. In the past few years Samsung has managed to become the leading producers of TV. Their possession of Samsung chip has also enabled them to come up with innovative products like the smart tv in response to sonys internet tv . They have been successful in integrating technology with electronics thus becoming the market leaders . they also have the advantage of manufacturing their TVS in their own factory while sony outsources the manufacturing Points of parity Both sony and Samsung give importance to innovation and picture quality . both had a tough competition introducing slim/ultraslim Tvs

.sony introduced internet TV , while Samsung introduced smart TV . Samsung also introduced 3D LED tv Points of differentiation-samsung has 3 points of differentiation .First one was it tried to create an emotional connect with the Indian families. They wanted to project the TV as a member of family through advertisements that spoke about naming the TV . This campaign was specially developed for Indian audience because TV was considered to be integral part of every Indian middle class family.Another point of differentiation was providing more value for the money they pay . The third point of differentiation was design . their ad campaigns had tag lines like design that performs , dikhayiye acha , dikhiye aur bhi acha Overall positioning:- better quality and design , innovative features value for money , integral part of family

Home appliances:- Samsung has a variety of products under home appliances category . They include air conditioners, microwave oven , refridgerators ,washing machine , vacuum cleaners , etc . In india Samsung has tough competition from another south Korean company LG.

Points of parity:- There are a lot of pops between Samsung and LG . Both concentrated on innovation and brought new technologies. LG bought innovation in the form of side by side door fridge , automatic doors for fridge ,health guard in AC , tallest cooler in fridge .while Samsung imtroduced innovation like s series compressor in AC,Digital inverted compressor that keeps food fresh for 7 days ,uniform cooling , FRUNCH new sound of freshness , bubble generator in washing machine ,biosleep :-ac sets temperature according to body temperature.Both concentrated on healthy lifestyle.LG s tag line itself is lifes good . while Samsung concentrates on keeping food fresh , pure air from ac , protection of soft clothes and other product benefits .

Points of differentiation:-samsung has a brand ambassador for its home appliances segment whereas LG doesnt have a brand ambassador . samsungs brand ambassador is priyanka chopra . having such a popular personality as

a brand ambassador helps in keeping the brand in peoples memory .samsung also develops appliances specifically for Indian market . they have ACS designed specifically for Indian summer .washing machine that protects soft clothes like Indian cotton ,silk etc and also removes toughest of stains .microwave ovens campaign says way to his heart is through his stomach .The most important differentiation is that samsungs appliances are energy efficient and runs on less power hence gives 20% percent savings in electricity bill . This is specifically for india where Indian middle class segment is very much concerned about growing electricity bills .

Overall positioning:- healthy living , innovative product features , energy efficient hence cost saving

Cameras:-Samsung is not a very big player in cameras segment buut still its a popular brand . it has got tough competition from canon and sony. Cameras segment include handy cam , digital cameras . Points of parity:- Product features and innovation like super zoom , 270 degree wide angle shots in sony . better picture quality in canon . dual view and multi view cameras from Samsung Points of differentiation:- There is not many pods in this segment . all the companys are focused only on increasing the product features and innovation and samsung too does the same

Mobile phones:-samsung is one of the highest sellers of smart phones .it has a tough competition with apple . There is a tough competition between apples iphone and samsungs galaxy . In india Samsung has tough competition with nokia . it has also raced ahead of nokia .They used the possession of their own chip to their advantage and bought about lot of innovation Points of parity:- product features and innovation is a major point of parity.Nokia focuses on features like music player. And also on emotional connect with family , which Samsung does it with the guru phone . while apple focuses on innovation which Samsung does it with corby and galaxy phone

Points of differentiation:-samsungs main point of differentiation is more features and better features for the money that you pay . they have the tag line sab kuch behtar hai for Samsung guru .the y have aamir khan as their brand ambassador because his personality and image of a reliable superstar who can perform a variety of roles to perfection matches samsungs personality and positioning. Samsung guru was introduced as a competition to nokias 1100. It positions itself having better features than other lower end phones . they also used innovation as a point of differentiation , they were the first movers in smart phone segment in india by introducing corby and galaxy . Overall positioning:- better and innovative product features , value for money , affordable luxury

Laptops:- Samsung is an emerging player in laptops . Though it has its own chip , it uses intel chip in its laptop to be on par with the competitors . it has competition from dell and hp Points of parity :- The major points of parity is performance and style . Points of difference :- samsung laptops focus more on some basic needs of customer like light weightedness , longer battery life , safety in the form of spill proof keyboard , brighter screen Overall positioning :- samsung laptops have a better version of the consumers basic expectations from a laptop

Overall brand positioning of samsung All samsung products focus a lot on product benefits and features . They want to provide a variety of benefits and features from a single product Most important feature is the integration and use of technology in delivering the necessary value Innovation is also a key criteria . All samsung products focus on value for money . one of their positioning is that of getting more than what you pay for .

 They also position themselves as better providers of the points of parity than their competitors POSITIONING STATEMENT OF SAMSUNG For every person who wants to get the maximum value for the price that they pay . The samsung electronics is an electronics firm that provides electronic goods that satisfy all your explicit and implicit needs more than your expectations . Unlike other electronic firms , our products are innovative , at the same time provides maximum value . on the whole its affordable luxury .

KEY INSIGHT Innovation with value Analysing the brand associations collated, it was observed that most of the consumer insights were touching upon the following dimensions of the brand: innovation, market leadership, design, performance, reliability and affordability. After many deliberations the group arrived at Innovation with Value as the key insight. The value factor adds significance to the innovation by creating solutions for the consumer and sales and revenue for the company. The key insight is validated even when tested with Brand Key elements as it goes hand in hand with the Brand Essence. 1. 2. 3. 4. 5. 6. 7. 8. Competitive Environment Target Consumer Insights Benefits Values and Personality Reasons to believe Discriminator Brand essence

Also when looked from the Brand Dynamics Pyramid perspective, the key insight seats Samsung at the highest pedestal of Bonded Brand Dynamics Pyramid 1. 2. 3. 4. 5. Awareness Relevance Performance Advantage Bonded

From the Brand Pyramid perspective Also the key insight with the use of with value (to consumers) addresses the top of the Brand Pyramid:- Relationships On doing a mental mapping within the group and by placing brand associations from the survey, Samsung comes across as a soft, simple and rational and also sophisticated, exaggerated and contemporary. ANNEXURE SURVEY QUESTIONNAIRE 1. Gender Male, Female 2. Age - <25, 25-35, >35 3. Do u have any of the following manufactured by Samsung Mobile, Tablet, TV, Camera, Home apps, PC, Memory card 4. Are you satisfied with the product Yes, No 5. Please describe the brand Samsung in one word 6. What do you think is the differentiating factor of Samsung compared with its competitors Affordable Price, Innovative design, cutting edge technology, Applications 7. Will you be ready to buy a Samsung product just because of its brand name 8. Do you believe Samsung could become the market leader in majority of their product categories 9. Do you feel purchasing a Samsung product to be worth Yes, No The majority of the respondents were students of PGP 2. Apart from them survey was also done with people outside BIM. Most of them were young professionals in various organizations. The survey was clearly done only with the respondents who had prior exposure to products of Samsung in order to avoid getting any guesses.