Samsung Group is a consumer-electronic manufacturing South Korean multinational conglomerate. Lee Byung Chul founded the company in 1938 as a trading organization, and the company shifted its focus to consumer electronics in 1990. Today, we’ll discuss the marketing strategy of Samsung 4Ps and 7Ps; it will discuss the product mix of Samsung; pricing strategy, place, promotion, people, process, and physical evidence.
The marketing mix of Samsung would discuss the Samsung 4Ps and 7Ps; and key elements involved in the mix like product mix, price strategy, place, promotion, people, process, and physical evidence of Samsung.
Marketing Mix of Samsung 4Ps & 7Ps
Some of the main elements involved in the marketing mix of Samsung 4Ps and 7Ps are as follows;
Product Mix of Samsung 4Ps
Some of the main elements involved in the product mix of Samsung 4Ps are as follows;
I-Diversified Portfolio
Samsung allocates a significant amount of capital resources to research and development to develop tech innovative products for its customers. The consumer electronics company has established a well-diversified portfolio and manufactures products in various categories. Portfolio diversification helps the company to target a wide range of people.
II-Memory Cards
Samsung has earned a reputation for offering compact storage devices like; USB flash drives, memory cards, portable SSDs, and high-quality SSDs.
III-IT & Computer
Samsung is also widely renowned for manufacturing and offering IT and computer-related products like; computer peripherals, monitors, multifunctional devices, printers, and laptops.
IV-TV & LCD/LEDs
The other consumer electronic products Samsung offers are audio and video solutions, Samsung TVs, and various other types of TV accessories. Along with TV, the company offers products in the category of digital cameras.
V-Home Appliances
Samsung offers a wide range of home appliances in the consumer electronic field like; vacuum cleaners, air conditioners, cooking appliances, washing machines, refrigerators, bulbs, and other products.
VI-Smartphones & Mobile Devices
Samsung is the top manufacturer in the consumer electronics category of smartphones and mobile devices. The company offers a vast range of smartphones in Samsung Note Series, Galaxy Series, S-Series, and also mobile accessories, wearables, and tablets.
Price Strategy of Samsung
Samsung follows two types of pricing strategies and they’re as follows;
I-Competitive Pricing
Samsung implements a competitive pricing strategy for the products and goods in which the company hasn’t achieved the market leadership position. The company has earned the reputation of trustworthy and reliable products in the Home Appliances category. In order to avoid attacks from competitive brands, the company follows a competitive pricing strategy. The other reason for competitive strategy is that Samsung is not the pioneer and first move in these categories and the company needs to defend its market position.
II-Price Skimming
Samsung also implements the price skimming strategy. When the company introduces a new model of smartphone that offers superior features than others, then the company charges higher prices. However, when the competitive brand offers similar types of features, then the company decreases its prices to prevent market share.
Place Strategy of Samsung
I-Retail Distribution
The distribution strategy of Samsung comprises selling products and goods directly to the service distributors and retailers. The service dealers have the obligation to make corporate sales through this approach. Retailers would sell the tech-oriented products of Samsung to the customers. The company has established a worldwide distribution network. The company distributes its products through one Distribution Company and distributes the products to other locations.
Promotion Strategy of Samsung
I-Marketing & Advertising
The object of Samsung’s advertising and marketing campaign is to connect with customers and promote its products and brand. The company employs various types of media channels like digital media, social media, TV, and other channels. However, the brand also hires celebrities as brand ambassadors for the promotion of its products and brand; because they have a mass following base and the company wants to take advantage of it.
II-Promotional Techniques
Samsung has earned a worldwide reputation for offering excellent customer experience and high-quality products. The company launches promotional campaigns like sponsoring events, heavy discounts, and other campaigns.
We have just discussed Samsung 4Ps elements of the marketing mix; the remaining elements are part of the Samsung 7Ps marketing mix analysis.
People Strategy of Samsung 7Ps
Samsung has a vast database of employees comprising of roundabout 270,000 employees. The consumer electronics brand invests a significant amount of capital resources for the development of employees by offering them training; incentives, and other rewards to boost their morale and confidence level.
Process of Samsung
The corporate portfolio of Samsung comprises of roundabout 80 types of business. The business portfolio of the company comprises various types of operations like medical services, shipbuilding, financial services, consumer electronics, production, and manufacturing. However, the focus of the company is to engage in the best practices for the development of its products.
Physical Evidence of Samsung
The worldwide network of Samsung smartphones, brand logo, color, and visual identity are the physical evidence of Samsung. Retailers and distributors give preference to Samsung products and allocate a special shelf for them; it amplifies the company’s market share and market value.
Conclusion: 7Ps & 4Ps Samsung Marketing Mix Analysis
After an in-depth study of the marketing mix of Samsung 4Ps and 7Ps; we have realized that Samsung is the world’s leading consumer electronics manufacturing brand. If you are learning about the Samsung 4Ps and 7Ps marketing mix analysis; then you should keep in mind the abovementioned elements like product, price, place, promotion, people, process, and physical evidence.
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