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Introduction

From its origin as a small export business in Taegu, Korea, Samsung has developed to end up
distinctly one of the world's driving gadget company, spend significant time in computerized
machines and media, semiconductors, memory, and framework incorporation. Today Samsung's
inventive and top quality items and procedures are world perceived. This course of events catches
the real turning points in Samsung's history, indicating how the organization extended its product
offerings and achieve, developed its income and piece of the pie, and has taken after its central
goal of improving life for customers around the globe (Samsung, n.d.).

The benefit of Samsung in terms of its product is that there is a trust on all Samsung products
because of the way Samsung products have performed in the last few years. Problems with the
products has been negligible. And with its Smart phones, Samsung has achieved a status symbol
for its customers. At the same time, Samsung is known for its service and people know that
Samsung gives a very fast service for any of its product. Thus in the marketing mix of Samsung,
the product portfolio is one of the strongest point for Samsung (Bhasin, 2016).

Develop 7 P's Marketing mix elaborate

Marketing mix refers to the set of actions, skills and strategy that a company uses to promote and
sell its brand or product in the market. And the 7Ps of marketing mix of Samsung are;

First, price. Price refers to the value of a product. Price can be set by depending on the cost of
product, segment target, and affordability of market and many more. It can also be set by the supply
and demand of the market. Samsung apply various pricing strategy in the company and they are
pricing competitive and price skimming.

Price competitive is company set a price of a product based on what the competitor is selling in
the market. This strategy is often used by businesses that are selling similar product in the market.
Other than smart phones, Samsung apply the competitive pricing on television, air conditioners
and refrigerators due to there are stronger competitors in the market. With competitive pricing,

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Samsung is able to compete against the stronger competitors in the market. For example, LGs
washing machine is at a price of RM3,499. Samsung sell it at RM3,199 in order to compete against
LG (Citibank, 2014).

On the other hand, price skimming is a company set the highest price that a customer is willing to
pay. Moreover, as the demand is met, company will set a lower price in order to attract more
customer to purchase the product in the market. Samsung smart phones are considered as one of
the best smart phones in the market. Thus Samsung apply the price skimming to set a high value
on the new product and once the product is old or similar product catch up, Samsung drop the price
immediately. For example, Samsung S7 Edge first launched with a price of RM3,199 until there
are similar product such as Huawei P9 launched, Samsung immediately drop the S7 Edge price to
RM2,499 in order to attract more customers.

Second, product. Product can be tangible and intangible. Tangible can be physically see/touch
such as food, drinks, cloth and intangible cannot be see/touch but to feel the service such as salon,
insurance and many more. Samsung have tons of product in their company such as smartphones,
television, home theatre, tablet, washing machine and many more. One of the most top selling
product in Samsung is smartphones. The reason that Samsung smartphones is so good in the
market is because Samsung give customers guarantee product, high end technology, reasonable
price and good service. And few of Samsungs top selling smartphones are;

Samsung Galaxy Note 7. It is a smartphones that support Android 7.1. Samsung Galaxy Note 7
also comes with glass aluminium body which look elegant from the bottom to the top. Moreover,
it has a high technology of fingerprint and water resistance built in features which attract customers
the most. Samsung Galaxy Note 7 also have the sharp and clear 12 megapixel camera that help the
customers to snap all the memories clearly. Lastly, Samsung Galaxy Note 7 comes with various
colours and they are black, gold, silver, pink and white (MILL, 2017).

On the other hand, Samsung Galaxy S7 Edge is also one of the top selling smartphones in the
market. Samsung Galaxy S7 Edge support Android 6.0. It has a high technology of iris scanner,
stylus and dust resistance built in features to attract the customers. USB 4.0 is one of the new
technology that attract the customer too. Which is faster transfer rate between smartphone towards

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other devices. Furthermore, Samsung Galaxy S7 Edge has an impressive battery life which can
last 36 hours of standby mode. Lastly, Samsung Galaxy S7 Edge come with various colours such
as black, gold, blue and white.

Third, place. Place refers to the product or service that is going to be located at. Place act as
important role in the marketing mix. A good and right place will lead a business to success such
as facing the road or located in a right demographic area. Oppositely, a bad and wrong place will
lead a business to face failure and loss. Samsung locate their business through various channels in
the market to sell their product and service and they are online and offline channels.

In online channel, Samsung sell their product on their official website such as www.samsung.com.
Customers are able to make reservation and online booking of their product such as smartphones,
television or other products through the internet. This will help the customer to save time instead
of directly walk into the shop. On the other hand, instead of directly sell the products to the
customer, offline channel refers to the B2B model such as selling the products to retailers and sub
dealer in the market. For example, Samsung sell their product with large volume of quantity
towards the retailer in the market such as SenQ, mobile shop and telecommunication shop (Maxis
and Digi).

Furthermore, distributor also sell Samsung products to e-commerce site such as Amazon, Lelong
and Lazada in order to help Samsung to sell their product to their customer. Which indirectly help
Samsung to sell their products in the market (O'Leary, 2016).

Forth, promotion. Promotion refers to informing the upcoming product and promotion such as
new product or discounts to the market. It can be promote through online such as internet or offline
such as banner, newspaper and many more. Samsung is known as a very attractive and mega

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product in the market. Samsung is also very active in promotion such as launch a new product with
million followers across the globe.

In online, Samsung provide online promotion such as online advertisement. For example, Samsung
advertise its promotions and new product with online banner in every website. Moreover, Samsung
also use video advertisement in Youtube website such as advertise Samsung product before the
actual video is going to play.

On the other hand, in offline, Samsung provide offline promotion such as distributing flyers at the
store in order to promote the upcoming offers and discounts to the customers. Moreover, Samsung
also set up booth with some activities in the mall to attract customer.

Fifth, people. People refers to service. People that serve the customers in the frontline. Which
means staff and employees in a company. A good people in the company will lead a business into
success because they know what are the want and need or problem of customer. Samsung trained
its staff and employee well especially the frontline position. Samsung focus more in its staff and
employees interpersonal skills and customer service towards customers satisfaction such as
problem solving, stress handling, customer complaints and many more.

For example, Samsung provides excellence training for all the new staff and employee such as
stress handling, personal development, schemes, strategies and many more.

Sixth, physical evidence. Physical evidence can be used as a differentiator in service marketing.
It refers to the enhancement of a business quality. Physical evidence plays an important role in
marketing mix because when customers are able to feel and experience the service, future purchase
may occur.

Samsung always enhance its physical evidence with new products such as new smartphones,
television and other electrical devices. Samsung enhance it by adding new technology, colour, and
quality in order to impress the customers in the market. With physical evidence, Samsung is able
to make customer feels reliable and confidence towards its business (King, 2016).

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On the other hand, Samsung also enhance it service with physical evidence such as cosy lighting,
friendly staff, and cool environment in order to make the customers feel comfortable towards the
environment. With this, it will affect customers purchase decision and future purchase may also
occur.

Lastly, process. Process refers to the service that is delivered to the end customer from the steps
of ordering, registering, purchasing and to delivering. Moreover, process also refers to the
efficiency of a company such as problem solving process.

Samsung always provide good and efficient process towards its customer. Samsung also keep their
promise to have efficient process in order to let customer to have trust and reliability towards
Samsung. For example, Samsung provide an efficient process of reclaim warranty goods such as
warrantied smartphones, television and many within two weeks. Furthermore, Samsung also
provide a convenient service such as a process of delivering product to the customer. For example,
Samsung provide convenient process of delivering goods from Samsung to customer house. It can
be through online delivery or physical delivery such as van and car.

Develop the SWOT analysis

SWOT ANALYSIS:

Samsung Electronics Co. Limited is the actually the consumer electronics subsidiary of the
Samsung Group, a conglomerate based in Suwon, South Korea. Outside of Korea, Samsung is best
known as the worlds largest manufacturer of mobile phones and smartphones, including the
highly popular and successful Galaxy.

It is also the worlds largest manufacturer of televisions and LCD panels. Thanks to its
manufacturing and marketing expertise, Samsung is regarded as the worlds second largest
consumer electronics company (Pestle, 2015).

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SWOT Analysis is a useful technique for understanding your Strengths and Weaknesses, and for
identifying both the Opportunities open to you and the Threats you face.

What makes SWOT particularly powerful is that, with a little thought, it can help you uncover
opportunities that you are well-placed to exploit. And by understanding the weaknesses of your
business, you can manage and eliminate threats that would otherwise catch you unawares.

More than this, by looking at yourself and your competitors using the SWOT framework, you can
start to craft a strategy that helps you distinguish yourself from your competitors, so that you can
compete successfully in your market.

STRENGTHS

Samsung is the worlds most successful electronics manufacturer. It is the worlds largest
manufacturer of television sets, liquid crystal display (LCD) panels, mobile phones and
smartphones.
Samsung is the worlds number one marketer of mobile phones with 21.4% of the worlds
largest market share in the second quarter of 2015. Apple is number two with 13.9%
Samsung has impressive research and design capabilities. It was able to create and roll out
Samsung Pay a payment app with similar capabilities to Apple Pay, in less than a year.
Samsung has been able to replicate many of the capabilities of both Apple Inc.s phones
and Google Inc.s Android operating system for mobile devices.
Samsung has strong manufacturing and marketing capabilities.
Samsung has long-standing relationships with retailers in the United States and Europe that
provide a steady sales channel for its products.

WEAKNESSES

Samsung has not been able to match Apple Inc.s marketing capabilities for smartphones.
Its share of the U.S. smartphone market fell by 2.3% between 2014 and 2015. In contrast,
Apples share price grew by 34.9%.
Some Chinese competitors are catching up to Samsung in the smartphone market. Between
2014 and 2015 Huaweis share grew by 48.1%, and Xiaomis share grew by 29.4%.

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Samsung is heavily dependent upon consumer electronics sales in markets with limited
potential for growth, such as the United States and Europe, for much of its revenue.
Samsungs devices use the Google Android open source operating system. Many
consumers seem to view Android as an inferior product to Apples iOS. The public has not
been as accepting of Android as the tech community has.
Some consumers view Apple products as more advanced and dependable than Samsung
products.
Samsungs marketing efforts are not as sophisticated as Apples.

OPPORTUNITIES

Growing market for smartphones, tablets and other mobile devices, especially in
developing regions such as Africa and India where consumers are unfamiliar with PCs.
Sales of tablets finally overtook sales of traditional personal computers in 2015
Increased demand for tablet and smartphone-based solutions such as Samsung Pay
New technologies such as wearable tech
Growing middle class in developing world will increase market for consumer electronics.
Growing online market from sales channels such as Amazon

THREATS:

Apple has emerged as the dominant smartphone and tablet brand in some markets, such as
the United States. Samsung has not been able to overcome Apples reputation for
reliability.
Apples reputation for quality, reliability and sophistication seems to be growing.
The Google Android operating system, which Galaxy devices depend upon, is not as
popular with average people as iOS is.
Declining or stagnating middle-class incomes in North America and the United States
could reduce consumer buying power in those key markets for Samsung.
Chinese manufacturers such as Huawei and Xiaomi could emerge as serious rivals to
Samsung. These companies share of the critical mobile device market is growing while
Samsungs is falling.

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Apple could enter more consumer products areas such as home appliances and cameras
and directly compete with Samsung in those markets.

Distribution channel

Samsung sells their product anywhere they want as long as retailers are willing to take stock.
Therefore, Samsung can sell directly or indirectly to consumers.

Further compared to Apple, Samsung has the ability to quickly expand and saturate the market
with their products anywhere in the world except America as the telco relationship in the USA
require that Samsung create different versions of their phone(s). Apple on the other hand, sells
according to the country tiers where as in tier 2 countries such as Malaysia there are rumors that
Apple is selling refurbished iPhones instead of new ones hence why Samsung is dominant in these
markets.

In addition, Samsung also has an existing distribution network from their existing businesses. This
is of tremendous value because unlike Apple, Samsung does not need much in the way of resources
to bring their phones and tablets to new markets and more importantly unlike Apple. These
distribution channels will also be there for the future dissemination of other Samsung products.
This means that if they want to, its easy for them to market more than just electronics.

The distribution function of marketing is comparable to the place component of the marketing mix
in that both center on getting the goods from the producer to the consumer. A distribution channel
in marketing refers to the path or route through which goods and services travel to get from the
place of production or manufacture to the final users. It has at its center transportation and logistical
considerations (Srivastava, 2016).

There are four types of distribution channels:

Producer-Customer:

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This is the simples and shortest channel in which no middlemen is involved and producers directly
sell their products to the consumers. It is fast and economical, marketing is handled by producers
themselves.

Producer-Retailer-Customer:

This channel of distribution involves only one middlemen called retailer. The producer sells his
product to bug retailers(or retailers who buy goods in large quantities) who the sell it to customers

Producer-Wholesaler-Retailer-Customer:

This is the most common and traditional channel of distribution. Two middlemen (wholesalers and
retailers) are involved. The producer sells his product to wholesalers. Who in turn sell it to retailers
and they sell it to customers.

Producer-Agent-Wholesaler-Retailer-Customer:

This is the longest channel of distribution in which three middlemen are involved. This is used
when the producer wants to be fully relieved of the problem of distribution and thus hands over
his entire output to the selling agents. The agents distribute the product among a number of retailers
who finally sell it to the ultimate consumers.

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PR/CSR

Public Relations (PR) is a strategic communication process that builds mutually beneficial
relationships between organizations and their publics. It involves a variety of programs designed
to maintain or enhance a company's image and the products and services it offers. Successful
implementation of an effective public relations strategy can be a critical component to a marketing
plan.

Many people think of Samsung as one of the underdogs in the hardware market, especially
in comparison to Apple. But, according to the Hardware Top 100 list, Samsung ranks as one of the
largest and most successful hardware companies in the world, coming second only to Hewlett-
Packard. A Korean company of humble beginnings, Samsung spends extensively on marketing
and public relations to boost visibility and drive sales. According to Adage.com, In 2012, it
reported $558.8 million for global PR expenses. According to the Ad Age DataCenter, the
company reported worldwide PR expenses of $476.1 million in 2011. Samsung hires multiple PR
experts to handle its public relations affairs in different countries and across different product lines.
They keep a lot of public relations activities in-house, and outsource PR activities when external
agencies might handle them better. They have worked with several number of PR firms, including
Edelman PR, Fleishman-Hillard, Weber Shandwick & MWW PR Group (Wynne, 2013).

A second notable difference in Samsungs campaigns shows their desire to attract


professionals. For instance, when tablets first hit the market, Apple portrayed the iPad as an
amazingly fun way of playing games and passing time. This approach was also common among
other contenders in the market, like HP and Blackberry. Samsung instead presented a more
business like front by releasing ads urging people to use tablets in business meetings and
classrooms. Appealing to schools, corporate entities, and creative individuals to purchase on a
larger scale to use for projects rather than individual buyers.

Samsung also utilizes social media to the fullest by having a response team to reply with
suggestions and others comments on their products and services. Unlike Apple and Cisco,
Samsung is said to be focusing more on interacting with followers while Apple and Cisco focus
more on creating unique content.

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Corporate social responsibility (CSR) refers to the business practices involving initiatives
that benefit society. A business's CSR can encompass a wide variety of tactics, from giving away
a portion of a company's proceeds to charity, to implementing "greener" business operations.
Samsung has their CSR vision focusing on building a society where people, the society and the
environment coexist in harmony. As part of Samsung CSR efforts, they are committed to
transparency and delivering important information to their shareholders to continuously build
confidence and trust in them.

Samsung Electronics has established a management system to further enhance the eco-
friendly competitiveness of its products. The company first adopted the Life Cycle Assessment
(LCA) method in 1995. Through this, they conduct analysis during the product development
process in order to reduce the environmental impacts resulting throughout the entire life cycle of
products. In conjunction with the LCA, Samsung has developed the Eco-Design Assessment
System in 2004 and further upgraded the system in 2009 to Eco-Design Management System,
introducing the eco-rating system for all developed products. This assigns each newly developed
product an eco-rating (Eco-Product, Good Eco-Product, or Premium Eco-Product) based on strict
evaluation criteria (Wynne, 2013).

As the worlds largest electronics company, Samsung apply the same innovation,
technology and resources that have driven their commercial success to advancing the education
and health of children around the world through their global citizenship program, Samsung Hope
for Children. It is one of the ways that Samsung uses innovation to support the development of
people. Through Samsung Hope for Children, more than 79 subsidiaries and 236,000 employees
worldwide partner with leading non-profit organizations to affect positive change. By supplying
Samsung products, lending their expertise and providing financial support, Samsung are able to
give thousands of children in communities around the world access to education, mentorship,
leadership skills and life-saving medical treatment.

Samsung Solve for Tomorrow is a nationwide contest that encourages students and
teachers to share the wonder of Science, Technology, Engineering, Math (STEM) education. The
contest is designed to raise enthusiasm in these subjects by making them fun and interesting. The
goal is to boost STEM proficiency among U.S. children, ultimately strengthening the nation's
future competitiveness. Samsung are partnering in this effort with several leading education non-

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profits, including the National Environmental Education Foundation and the National PTA, as well
as with leading technology companies such as Adobe and DIRECTV. Using Samsung technology
in exciting new ways, students create videos that address the challenge. Educators recognize their
deep commitment to improving STEM education in the United States, with the contest receiving
more than 1,600 submissions last year.

Value proposition

Value proposition is a business or marketing statement that a company uses to summarize


why a consumer should buy a product or use a service. This statement convinces a potential
consumer that one particular product or service will add more value or better solve a problem than
other similar offerings. Companies use this statement to target customers who will benefit most
from using the company's products, and this helps maintain an economic moat.

Samsungs value proposition comprised of three specific pillars that jump-started the
evaluation of Samsung, which is quality, design and price. Samsung established design centers
around the world, hired the most talented designers, and put considerable money and emphasis
behind their efforts. Samsung has opened 7 global design office in Seoul, Beijing, Delhi, London,
San Francisco and Sao Paulo focusing on 3 value of design, balance of reason and feeling,
simplicity with resonance and meaningful innovation. In term of price, they set aggressive price
points in order to establish a favourable price comparison versus Sony, and enabling it to quickly
build the brand and gain market share.

In terms of quality, Samsung ensures the consistent delivery of excellence based on an


effective quality management system that guarantees their products and services, beyond customer
expectations. Samsung is continuously upgrading the quality management system to achieve the
best quality in all products and services. Samsungs qualification system consists of four
evaluation criteria: reliability, functionality, process and application. These four evaluations of
semiconductor memory products are based on international standards (JEDEC, etc.) and

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requirements from customers. Samsung use the latest facilities and equipment for all their tests
and analysis in order to achieve and maintain the best quality at all times. For customer satisfaction,
Samsung attentively listens to customers' voice and provides various technical and quality support
such as Qualification Support, Quality Improvement, Problem and Requirement Management
(SAMSUNG, 2014).

Demographic and Psychographic analysis

Demographic Segmentation

Demographics is the study of a population based on factors such as age, race and sex, among
others. Governments, corporations and non-government organizations use demographics to learn
more about a population's characteristics for many purposes, including policy development and
economic market research,for example SAMSUNG having demographic strategy to follow up
there customers more closely cause they need to know who are the actual buyers of Samsung
products and what are the factors they will consider before buying products.

There are also key demographic factors that many marketers are very interested in, such as the
tweens and Baby Boomers. The tweens are between the ages of 9 and 12 and have enormous
spending potential due to their parents providing them with a large disposable income.here is the
point where Samsung made tremendous decision by coming up with new Samsung devices which
only for the tweens such as Samsung tab and Samsung ps4 for those of tweens who is extremely
gaming freak .

The Baby Boomers are another demographic group that accounts for half of all spending in the
United States. The group consists of people born between the years of 1946 and 1964. Tech
companies like Samsung or apple, this is their biggest target market to earning revenue as it stated
that more than 40% of the Samsung device users are actually baby boomers . thats why Samsung
came up with promotional events to attract baby boomers. The last defined group is called

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Generation X. This group was born after the Baby Boomers, and many in this segment are not
loyal to brands and are turned off by most media advertising. Most have become parents
themselves, so they have a lot of disposable income to spend on their kids. This is second highest
revenue provider to Samsung by the year 2010,

Demographic Segmentation (Samsung)

Age Segmentation: Samsung target age segmentation is teens, young adults and in early and mid-
30's. Samsung having various kind of products to offer for there all different age of customers.

Income Segmentation: Samsung targets income segmentation as middle class and high class
income. It helps them to set strategic pricing.

Ethnic Segmentation: Since Samsung sells worldwide, they don't have a specific ethic
segmentation.

Family Size-Samsung Products are offered for all family sizes


Gender-Samsung home theater system is equally beneficial for male and female
Income-Samsung Products are offered with varying features to different peoples based
upon their income level i.e. low (upto $ 1500) lower middle ($.1500-3000) middle ($3000-
5000) upper middle ($ 5000-7000) and high (above$ 7000)
Occupation-Samsung has divided the consumer into different categories based upon their
occupation i.e. businessman, self-employed, students and teachers.
Education-Samsung is also keen to know about the education level of its target market i.e.
illiterate, school 5 to 15, under graduate, graduate and postgraduate.

Psychographic Segmentation

This kind of Segmentation is used mainly to target a certain group from within a population.
Psychographic segmentation is one which uses peoples lifestyle, their activities, interests as well
as opinions to define a market segment. It is quite similar to behavioral segmentation. But
psychographic segmentation also takes the psychological aspects of consumer buying behavior

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into accounts. These psychological aspects may be consumers lifestyle, his social standing as well
as his AIO. Do refer more to Activities, interests and opinions. Here are some factors which help
divide a population based on psychographic segmentation for Samsung company.

Lifestyle: Lifestyle There are various segments which have become popular in retail but one of
the most popular segments is the lifestyle segment. Everyone has different technological habits
based on their lifestyle. The customer might be school going, college going, office going or other.
Thus by lifestyle it means, where does the customer stand in his life cycle. Similarly, the lifestyle
of a rural area customer might be different from urban areas. That is how automobiles carry out
promotions. More of Samsung promotions are carried out in rural areas where rugged automobiles
are more in demand and ATL promotions are carried out in urban areas where esteem and buying
power plays a major role. Thus a consumers lifestyle can put them in one separate segment as per
the marketer.

Social class Different consumers fall in different social classes. This depends mainly on their
buying power. The buying power is affected by the background of the customer, his income as
well as his spending habits. The customer will always buy to maintain his social class. Thus
premium brands like Samsung, Apple, Sony or others always target the Sec A segments because
they know that these would be the classes capable of buying their products. These brands have to
keep in mind both Lifestyle as well as social class.

Personality Personality in psychographic segmentation is dependent on both lifestyle as well


as social class. A person will have a rich personality only if he has high buying power as well as
the taste in devices to maintain such a lifestyle. Thus the term Brand personality came into effect.
The reason for that is that different brands target different personalities. A simple example would
be if someone ask about Harley Davidson biker more commonly known as Hogs. They would
be people unshaven, tall, manly who like to live a rough lifestyle. Thats the personality built for
Harley over time. Thus brands target their customers even based on their personality. Same it
comes to Samsung while come up with new devices in market.

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Overall, these factors are intangible in nature and need in depth market research to determine which
lifestyle or social class to target. There are companies which are dedicated to the art of
psychographic segmentation.

Samsung psycho graphic segmentation includes individuals from teens to mid-30's who like new
technology, tech savvy and can afford to buy it.

Benefit Segmentation

When Samsung customers buy their phones the benefit they expect from it is simple appearance,
new and updated features and reasonably priced.

Usage- Rate Segmentation

The smartphones market has a lot of heavy users because of the convenience of it, you can call,
text, send pictures, play games, listen to music and surf the web all from a smartphone. Samsung
as a large percentage of heavy users who buys all of their latest phones and with mobile service
company offering upgrade plans it makes it easier to get the newest phones.There are people who
goes from one smartphone brand like Apple to Samsung because they tired of it or they want to
try another smartphone.

Service Process

Service Strategies offers a wide variety of Process Design Services for eService, Support, Field
Service and Professional Services operations. We have helped industry leading service operations
re-engineer their service processes to improve operational efficiency and drive world class levels
of performance.

Our proven service design process leverages input from key stakeholders within the organization
and real world observation to determine the changes necessary to optimize service processes. In
addition, we will align processes with industry standards and best practices to ensure your success.

Our team of executive level service professionals, each has over twenty years of industry
experience covering Support, eService, Field and Professional Service operations. Our consultants

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are experts at helping your organization manage the rapid change and complexities inherent to
technology service operations. They have spent their careers running service operations and
solving the complex problems that challenge the industry.

Service Strategies can help you enhance your customer feedback programs to enable effective
measurement of satisfaction and loyalty. We leverage our expertise and experience to align your
customer feedback program with industry standards and best practices, thereby ensuring you
collect accurate, actionable data that leads to changes that drive increased satisfaction and loyalty
among your customers. Review existing customer satisfaction feedback processes-such as Design
event and periodic surveys for services, analyze feedback data and determine if results are
statistically valid, create a process to develop action plans customer feedback, recommend
communication processes to share improvements with customers

Create customer satisfaction and loyalty measurement scorecards.

For the customer satisfaction, Samsung attentively listens to customers' voice and performs various
technical and quality support like Qualification Support, Quality Improvement, Problem and
Requirement Management. With the new Quality Concept of Back to Basic in mind, Samsung
would do our best to provide the Highest Quality of Customer Service.

This flow is for notifying customers of the procedures for receiving quality claims, analyzing them,
devising countermeasures, and taking corrective actions by exactly identifying customer
dissatisfaction with the memory products and thus effectively handling claims and preventing the
recurrence of the same problem, thereby securing good product quality and credibility in order to
maximize customer satisfaction (SAMSUNG, 2017).

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Loyalty program

Loyalty program in Samsung established to keep the customer satisfaction and strength the word-
of-mouth recognize among public. Samsung will increase its sales for more units to the market.
This how the customer will bring the customer. The trend of mobile payment solutions supporting
retailer loyalty programs is a big development for the growing platform. With this development,
mobile wallets took another step toward their dream scenario of replacing both cash and plastic
altogether.

With todays customer's yearning for seamless customer experience, it only made sense for these
solutions to allow for yet another function of physical cards to be fully integrated into the digital
space.

However, Samsung wasnt satisfied only supporting these programs. It developed its own
Samsung Rewards. Users of Samsung Pay will receive points for transactions anywhere that
supports the platform, which can then be redeemed for prepaid cards from Visa, Samsung itself,
and other retailers across the country.

In addition to these points, Samsung Rewards users can earn status tiers that will multiply the
points they receive. These tiers are awarded based on a number of Samsung Pay transactions per
month. As users make their way up these tiers, they can eventually earn Platinum status with 30
monthly transactions, which will earn quadruple points.

Beyond rewarding customers for using Samsung Pay, the rewards program serves as a building
block on which the company can add additional products. So it goes like this. The more you use
Samsung Pay in retail locations or online, the more points you acquire which can then be turned
into nice prizes consisting in Samsung products, prepaid credit cards, gift cards and such. Whats
more if the credit card youre using has its own reward system, youll be able to double the points
added to your account with every purchase.

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Reward Based Bonds: Incentives that offer rewards based on frequency of purchase, value of
purchase, or combination of both

Financial bonds

Discounts on purchases, loyalty program rewards (e.g., frequent flyer miles), cash-back
programs

Non-financial rewards

Priority to loyalty program members for waitlists and queues in call centers; higher
baggage allowances, priority upgrading

Intangible rewards

Special recognition and appreciation, tiered loyalty programs

Reward-based loyalty programs are relatively easy to copy and rarely provide a sustained
competitive advantage

Other than that, SMART CLUB EXCLUSIVE BENEFITS in India. An exclusive membership
that entitles members to variety of monetary rewards and superior benefits, ranging from
redemption points to priority customer service, intimation of product launches and invitation to
events. Eligibility for membership are eligible for membership on purchase of any Samsung
product from selected Samsung Brand shops (list available at www.samsungsmartclub.in).
Members will be eligible for a Platinum and Gold membership depending on the value of product
that members will buy (Samsung, 2017).

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Conclusion/ Recommendation

As we did our assignment about the service marketing of Samsung company. Samsung has applied
most of the marketing tools that we learn in our class. From our perspective we will provide
recommendations. These our recommendation which can improve and keep Samsung in the top
companies in the world.

First, SAMSUNG has to keep maintaining its success. Sometimes the success is bad enemy which
make the successful person or company be very confident that it will not fail! We strongly
recommend Samsung to keep maintain its products quality and services by improving the products
and services from time to time. Samsung is highly recommended to test its products before
launching any products to the market; for example, the great failure of Samsung Galaxy Note7
which globally effect negatively on Samsung reputation. The news spread around the world very
fast which make the public not confident to use Samsung products.

Secondly, SAMSUNG need to study the world trends and match it to the company products and
services standards by applying all the changes trends in the world. In this point, the change pressure
must be considered to keep the company in the top, as there is new needs for the customers every
day. By responding to the needs of the customer, the company can stay on the top for longer time.
Otherwise, Samsung will end up like Nokia which never response to the world technology
changes.

Thirdly, Samsung has to protect its private Android operation from competitors. We can see in the
market so many mobiles have copied Samsung mobiles with similar operation system that used
from Samsung. Samsung need to protect its patent, and work with its research and development
department to encrypt special Samsung Android system.

In conclusion, Samsung is good example that using 7 P's marketing mix, SWOT analysis,
distribution channel, public relationship, corporate social responsible, value proposition,
demographic and psychographic analysis, service process, and loyalty program. As we explained
earlier, Samsung matching all its strategy for achieving the best result from marketing strategy.
From the result of what Samsung achieved, it is successful company and it achieved very good
result for using its service marketing as what we learn.

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Srivastava, R. (2016, April). Marketing as Value Creation: 12 Lessons for Global Growth. Retrieved from
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