Mukul Kalra - 2010155Piyush Tyagi - 2010156 Pranay Karthik - 2010160 Prateek Mehra - 2010164Rohit Garg - 2010186

Introduction

The Samsung Group was founded in 1938 by Lee Byung-chul (1910-1987).

The meaning of the Korean word Samsung is "Tri-Star" or "three stars".

Samsung India commenced its operations in India in December 1995 enjoys a sales turnover of over US$ 1Bn in just a decade of operations in the country.

Vision

“Our aim is to gain technological leadership in the

Indian marketplace even as our goal is to earn the

love and respect of more and more of our Indian

consumers.”

Mr. J S ShinPresident & CEOSamsung South West Asia Head Quarters

Segmentation

• Segmenting is the process of dividing the market into segment based on customer characteristics & needs.

•Geographic segmentation

•Demographic segmentation •Psychographic segmentation

Targeting

Targeting is the process of focusing on a particular

market with a particular product .

• LOCAL MARKET

– TIER 1 CITIES– TIER 2 CITIES

Positioning : “Digital technology leader”

Appoints AAMIR KHAN As Its Brand Ambassador For Mobile Phones.

Appoints Olympic Gold Medalist ABHINAV BINDRA As Brand Ambassador for its consumer Electronics Business.

Product Strategy

Mobile Phone

Second largest player after Nokia (In India).

Products line comprising over 50 models.

TV / Audio / Video

Known for their innovation and technology.

First to bring the concept of LED technology in televisions.

Camera / Camcorder

Fine technology and optical innovations such as auto focus and “optical zoom” capabilities.

Though high on technology are at affordable range.

Home Appliances

Leading home appliances manufacturer.

Vision in terms of product innovations like silver nanotechnology, twin cooling etc.

PC / Peripherals / Printers

Not a leader in this segment.

But inclination of high end technology shows into these products also.

Market Share

Colour Television forms 30% share of the sales volume.

Refrigerators & Air Conditioners together form 30% share of sales volume.

Refrigirators & AC's TV's Others

Price Strategy

Pricing strategies followed by Samsung

Competition-based pricing

Based on distinctiveness and value proposition

Premium pricing

Introduction of innovative technology.

Contd….

Pricing strategies followed by Samsung

Focus on cost-cutting measures

Not offer any discount and exchange offers.

Fixed market operating pricing(MoP)

Newer been a price warrior.

Price Range

Samsung LGMobile Phones:-

GSM – 3,649-21,399 4,800-28,000

 TV, video & audio• TV:-• Projection TV• LCD Projection TV - 69,000- 109,000 89,990-99,990 • Flat Panel• Plasma 265,000- 9,0,000 2,95,000-

7,50,000• LCD TV- 59,990- 265,000 75,000-

1,69,900  Flat TV• 29 inches- 19,990- 31,990 20,290-37,990• 21 inches- 8,990- 17,690 9,190-11,990 Conventional TV• 21 inches- 13490 7,990-8,990• 20 inches- 7690- 8990 7,890-8,890

Price Range Continued… DVD Player:- 3,990 – 5,000 3,990-

4,990

  Audio:-• VCD System - 9,900- 26,990

8,500-26,990 • DVD System - 16,200- 25,990

13,990-29,990   Home Theater: - 12,990- 68,000 15,990-

19,990   Information technology products:- • Note PC - 69,990- 159,990 79,500-

1,70,000  CD Rom & DVD Rom Drive• CD Rom Drives- 750 1,600• DVD Rom Drives- 1,600- 1,900 3,300  CD & DVD Read & Write Solution• CD Writers- 1,600 4,250• Combo Drives- 3,000-5,000 6,500• DVD Writers- 4,600 7,800

Price range Continued… Monitors CRT Monitors• 17” magic Bright Range- 8,000

13,750• 15” Entry Level Range- 5,450

5,750 LCD Monitors - 15,000-

34,000 19,500-46,800  Home appliances Microwave Oven • Solo - 4,990-6,990

5,490-7,990• Grill - 5,990-

10,590 6,990-13,990• Convection - 12,990-

15,590 12,990-18,990 Refrigerator:-• Direct Cool - Frost Free 7,500- 10,200

9,950-11,400• Side by side system- 68,000-

1,20,000 69,000-1,25,000 Air Conditioner:-• Insta Chill Window - 14,990- 23,990

15,490-20,990• Insta Chill Split - 24,790- 41,990

26,750-42,500

Place Strategy

24

Customer marketing channels

• Channel 1

• Channel 2

• Channel 3

• Channel 4

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Channel Design Decisions

Analyzing consumer service needs.

Analyzing consumer service needs.

Setting the channel objectivesand constraints

Setting the channel objectivesand constraints

Identifying major alternatives.

Identifying major alternatives.

Evaluating the major alternatives.

Evaluating the major alternatives.

Designingdistributionchannel.

Designingdistributionchannel.

Place Strategy of Samsung

• Three types:

Available everywhere

Selective

Exclusive

PLACE STRATEGY

• 24 state level distribution offices

• Direct Dealer interface

• Regional dispatch centers(RDC)

Distribution System

• One level channel

• Two level channel

• Shop-in-shop

• Exclusive Showrooms

• Sales and Service network all-over the India.

Distribution Network

• Factory

• Regional distributing center

• Branch warehouse

• Direct dealer

• Modern retail/

• Exclusive

• stores &

• Samsung digital

• plazas

•

• Distributor

• Sub - Dealer

• Consumer/Customer

Original equipment manufacturer/vendor or supplier

Promotion Strategy

Print Media Advertising

In 2009, Samsung India was the second most user of Print Media After LG Electronics in consumer durables.

Television Advertising

Internet Advertising

Other Advertising

• Official Sponsor:

1) Vancouver 2010 Paralympics Winter Games. 2) Samsung Cup. 3) Chelsea Football Club. 4) Sydney Roosters. 5) NASCAR Nextel Cup 6) French People’s Baseball Team 7) Texas Motor Speedway.

Other Advertising

• Brand Ambassadors: 1) Aamir Khan -> Samsung Mobile. 2) Priyanka Chopra -> Samsung Consumer Durables 3) Abhinav Bindra -> Samsung Consumer Electronics

Sales Promotion

• Diwali Offer to the Customers.

Sales Promotion

Point of Sale

• Point of Purchase promotion.• Use of Electronic billboards, danglers etc.

Rural Promotion• Challenges: Electricity Shortage. Acute Water Shortage. Poor Transportation availability. Consumer Finance Options. Literacy rate. Culture and traditions. Rural reach. Too many languages and dialects.

Rural Promotional Strategies: Haat or weekly markets Melas (25,000 melas; 7.6lakhs visits annually)� Wall paintings� Customer contacts (home-to-home)� Van campaigns� Event management�

 

Rural Promotion

•LG down fall during the year.•Explosive increasing demand•Indian mass market• Regional market activation due to the decentralization •World cup/ Asian game•Utilization of local R&D centers

•#1 Service (Customer satisfaction 97%)•Premium brand image positioning•High-end technology •Cultural identity•Innovative and fashionable design•Various kind of products•Solid domestic market

•Godrej comes with full product line.• Investing in core technologies.• Strong requirement for transforming of technologies•Emerging native companies

•High price•Insufficient distribution channel•The core technologies’ high dependency on foreign country (High royalty)•Weak cost competitive power•Lack of patent possession

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SWOT Analysis

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