Brand Profile

The paper will give an examination on the brand strategies that Samsung should apply so that they can be the leader in the segment of electronics that comprises of companies such as Nokia, Panasonic, Sony and LG. According to the study, Samsung is an international firm that has its headquarter in Seoul, South Korea (Bhasin, 2018). The following are the affiliated business and subsidiaries of Samsung Group

• Samsung Electronics
• Samsung Heavy Industries
• Samsung Engineering 
• Samsung C&T
• Samsung Life Insurance

Samsung Group began as a trading organization in 1938. Lee Byung-Chul is the founder of the Company. However, the company later grew to other business such as retail, food, textiles, and processing in the 1970s (Bhasin, 2018). Subsequently, the company ventured in the electronics business in the 1990s. The electronic industry, is the segment that enabled Samsung Group to become a multinational organization. 

Samsung Brand Strategy

The current chairman of Samsung group is the one that laid the present foundations of the company in 1993. According to the study, the branding strategy of the firm is the primary reason why it has become an international organization. Initially, consumers believed that Samsung offered cheap products. This perception influenced the growth of the company. However, the forward thinking of the current chairman transformed the global belief regarding Samsung. He emphasized ensuring that the company produces innovative and unique products and technology. Offering exceptional products have paid more dividends to the firm.

The net income and revenue of Samsung Company increased from the year 2003 to 2012. The profit margin stayed at an average of 9.02 (White, 2019). The company believes that the appropriate strategy to become a leader in the electronic segment is to leave the competitors behind, by offering enhanced products to the consumers and cutting-edge technologies before the competitors. White (2019) connotes that the strategy has allowed the firm to make massive investment in R&D. The organization currently have started exploring and bringing digital health markets and technologies as part of its innovation, as a way of differentiating its products from those of its rivals. 

Given that the present customers are not loyal to the brand, Samsung has realized the need. Thus the company aims innovation that creates new wants among the consumers and satisfies these wants, which has enabled the organization to capture the market. 

Brand Elements 

Brand features help in recognizing the brand, which improves brand awareness and supports unique brand relations which helps in distinguishing the brand.

The 5 Brand features include:

1. Brand Name 
2. Logo /Symbol  
3. Character
4. Packaging
5. Slogan 

There is a need to comply with the following criteria when selecting the brand elements. 

• Memorability 

The brand element should have the ability to draw the attention of the potential customer and be easy to recall and identify.

• Meaningfulness 

Brand elements need to have a significant and relevant meaning that relates to it. The aspect should give general details regarding the nature of the product group and specific details regarding the benefits and features of the brand. 

• Transferability 

The selected element should be easy to transfer to a future potential brand extension.

Adaptability 

The brand element should be flexible and adaptable, which will help to update changes in the opinions and values of the customers. 

• Protect ability

The brand element should have a registration with the legal bodies and be under legal protection. 

Samsung Brand Elements

• Brand Name:

The brand name of Samsung complies with the naming criteria. For instance, the name is easy and simple to spell and pronounce. The name is easy and unique, which allows the consumers to be able to distinguish it from other brands (Bhasin, 2018). Additionally, the name Samsung is a Korean word meaning three stars. The name symbolizes something that is powerful and big. Thus, the name is meaningful, since it signifies the aspiration of the firm of growing into a powerful and big organization. 

Logos and Symbols

The logo design of Samsung signifies what the organization believes. The font in the logo shows the flexibility and simplicity and the ellipse holding the name represents an innovative and dynamic picture of the firm. Furthermore, the blue color symbolizes reliability, stability, and corporate social responsibility. Finally, the logo is distinguishable, meaningful, easy to recall and memorable. 

Packaging:

The following are the aims of packaging:

• Identify the brand 
• Convey persuasive and descriptive details
• Support product protection and transportation 

• Assist at-home storage
• Aid product consumption. 

Samsung emphasizes ensuring a friendly environment and green packaging. The company have designed a new form of green packaging using the polypropylene and did not use Styrofoam, tapes or paper. The strategy helps in reducing carbon emissions to the environment. The approach allows the firm to present itself as a brand with integrity. 

Slogan:

Samsung Slogan: “Imagine”

The new slogan of the company reads, “Imagine.” The slogan depicts a forward and free-spirited thinking brand with innovation probabilities that are limitless (Estes, 2013). 

Marketing Program

Product Strategy

Samsung comprises of a massive product portfolio. However its image got developed on the range of its Smartphone which includes Samsung Galaxy series or the Samsung note series. The success of the Smartphones of the company has enabled it to have a stable consumer trust which translates consumer loyalty to all its products (Bhasin, 2018). The Smartphones have allowed the firm to attain a status symbol for its consumers. What is more, Samsung offers class service to consumers. Hence, the product portfolio is one of its strongest point in the marketing mix. 

Pricing Strategy

Below are the pricing strategies that Samsung applies.

• Skimming price: 

Samsung exploits a skimming method, in which at the launch base it comes up with high prices for its products. Given that the company offers a new technology product new in the market, the product receives high demand; this allows the organization to make sales regarding the high prices. However, the organization later reduces the costs after the rivals have introduced a similar product, this will enable it to steal the market from the competitors and sustain its sales. 

• Competitive pricing:

Samsung applies a competitive pricing method for other products available for consumers apart from the smartphones. Such items include televisions and air conditioners. These products face rivalry from organizations such as Sony and LG. The company uses this pricing strategy so that it can gain a competitive advantage. 

• Distribution Channels

Samsung group only uses a single distributor in a specific region to distribute its products to the customers. In many cases, the distributor has a massive investment in the company and work closely with the firm to sell and promote its items. 

• Communication

The company uses different communication channels to depict the personality and position of its brand. Some of the distribution channels include event sponsorship, public relations, mass media marketing, Samsung experience gallery, and product placement. 

• Promotions:

Samsung group involves themselves in various promotional activities which include sponsoring events, offering discounts and supporting worldwide festivals. 

• Sponsorship :

Samsung Company has also sponsored various events such as the winter games and Olympics. The company uses games and technology events to showcase a range of the items it offers by giving sponsorship to the specific events. They include Comdex, IFA and World Cyber Games. Samsung Company has sponsored global sporting events so that it can attain global awareness of its brand. For instance, the firm sponsored the 1990 Beijing Asian Championship and the 1988 Seoul Olympics.

Leveraging Secondary Brand Associations

The primary role of this strategy is to come up with unique, favorable, healthy and positive relationships with other brands to be able to fill the gap in case its brand is deficient. The following are connections between brands that creates an association that develops an idea in which the consumers perceive as secondary in nature.

• Country of Origin

The link to the brand is the country in which it comes from and gives rise to secondary associations. For example, LG and Samsung originate from South Korea (Roll, 2006). Thus, if Samsung becomes successful, then the image of LG is likely to improve. The success of both organizations enhances the image of their country of origin. 

• Channels of distributions

Channels of distribution also affect brand equity since it relates to the image and retail store it depicts. For instance, Chroma is a distributor of Samsung products in India. The image of Chroma transfers the brand image and credibility of Samsung to the consumer minds.

• Other Brands (through co-branding)

Samsung Company recently created an association with organizations based in the USA such as Noble, Barnes, and Google. The company formed a partnership with Noble and Barnes so that it could introduce Samsung Galaxy Tab 4 to the market in America. A cobrand allows Samsung to gain from secondary association with the traditional American brands helps in strengthening its image in the minds of the customers in the USA. 

• Endorser

A company needs to carry out a careful deliberation when selecting an endorser. The selected individual should have an image that matches and depicts the brand. For example, Kelly Chen an actress and pop star in Hong Kong have acted as an endorser for Samsung. The personality of Kelly matches the outlook of the company. 

• Events

Samsung sponsors various events around the world. Giving sponsorship that is relevant to the vision and mission of the organization helps in enhancing brand awareness of all the brands that relate to the specific event. 

Brand Association

The brand association of Samsung and Sony and POD and POP. 

The map shows the network relationships in the minds of the consumers. 

NOTE: The communication lines indicates the strength of the associations. i.e., 1 line is weak, two lines strong and three lines strongest

Brand Association map for Sony:

The most active association of Sony is quality, then a luxury brand, followed by the trustworthiness and social factors and value for money is the weakest association for Sony.

Brand Association map for Samsung:

Quality and value for money are the strongest Samsung associations. 

Points of parity:

Based on the above details both Samsung and Sony emphasizes quality and innovation. 

Points of differentiation:

Sony focuses on quality, luxury and trust building while Samsung emphasizes on offering customers more value for their money.

Possible Outcomes

• Loyalty

 According to the study, Samsung enjoys more consumer loyalty as compared to Apple Company (Matyszczyk, 2015). Samsung scored 35 while Apple scored 28 based on customer loyalty. 

• Vulnerability to competitive marketing actions and crises

The emphasis of Samsung on huge investment in R&D and innovation to create new technology to meet the needs of the customers has helped the firm not too vulnerable to marketing action by its main rivals. For instance, the organization maintains a lower price range as compared to its main competitor Apple (Shaughnessy, 2014). However it gives all elements that customers need before they even realize these needs. 

• Larger Margins

The low manufacturing costs and skimming pricing method helps Samsung to maintain a higher profit margin as compared to Apple. 

• Increased marketing, communication efficiency and effectiveness

According to the study, Samsung integrates its promotion strategy by sponsoring international events such as events. 

• Possible licensing opportunities

The co-branding strategy of Samsung helps in increasing chances for licensing. For instance, in 2004 Samsung and Google revealed a deal of long-term cross-licensing that comprised of the present patents. 

Conclusion

In summary, Samsung has become successful in rebranding itself by creating it a new image that it started in the 1990s. Initially, customers knew the firm for its value for money and cheap products invented by the use of technology. However, by incorporating innovative and unique advertising and branding strategies, Samsung has changed to become an international leader in offering premium products. Additionally, customers view Samsung group products as easy to use, reliable and straightforward.

References

Bhasin Hites, 2018.Marketing mix of Samsung – 4P of Samsung. Retrieved 

from: https://www.marketing91.com/marketing-mix-of-samsung/

Estes Clark Adam, 2013. 6 Tech Company Slogans That Mattered.Retrieved from: 

https://gizmodo.com/6-tech-company-slogans-that-mattered-511304399

MATYSZCZYK CHRIS, 2015. Samsung beats Apple in customer loyalty (Microsoft has little). 

Retrieved from: https://www.cnet.com/news/samsung-beats-apple-in-customer-loyalty-microsoft-has-little-says-survey/

WHITE WALTER, 2019. Samsung Marketing Strategy: The Master Brand. Retrieved 

from: http://inevitablesteps.com/marketing/samsung-marketing-strategy/

Roll Martin,2006. How Asia Builds Strand Brands.Retrieved from:http://www.untag-

smd.ac.id/files/Perpustakaan_Digital_1/BRAND%20NAME%20PRODUCTS%20Asian%20brand%20strategy.pdf

Shaughnessy Haydn, 2014. Why Apple Is Losing Ground To The Samsung 

Brand.Retrieved from: http://www.forbes.com/sites#/sites/haydnshaughnessy/2014/01/11/why-samsung-is-gaining-on-apple-as-best-loved-brand/#50bee4068768720bf2d16876