Marketing its marketing mix consist of Tablets, mobile

Marketing Mix  2.4.1 Product Decisions Samsung’s products in its marketing mix consist of Tablets, mobile phones, televisions, cameras, refrigerators, air conditioners, washing machines, microwaves and IT products. Samsung has the benefit that it is a trusted company, due to its performance in the last few years. Also, Samsung is known for giving very fast service to its customers for any of its products. Therefore, in Samsung’s marketing mix, the product portfolio is a strong point (Katzmaier 2011, Bhasin 2016).  2.4.2 Pricing Mix Because of Samsung’s presence in so many different product categories, the company follows a variety of pricing strategies. The pricing strategies can be divided to match the product that it is used for. One of these strategies is ‘Skimming Price’. With this strategy, Samsung brings a new product to the market, for example the Samsung Galaxy s7 Edge, Samsung’s flagship smartphone with innovative technology. At first, Samsung uses Skimming prices for the product, wherein it tries to get a high value in the start, before competitors catch up to the product. Once the product is outdated or a competitor has released a similar product, prices immediately drop (Bhasin, 2016). Additionally, Samsung uses competitive pricing for products other than smartphones, for example Televisions, refrigerators and other home appliance products. Because Samsung is not as good as for example LG in home appliances, Samsung needs to beat the competitor with competitive pricing (Bhasin, 2016).  2.4.3 Promotional Mix In terms of promotion, Samsung makes strong use of advertisements. Whether if it is online promotion, banners or via television; the company creates adds in which their product centers the attention and sends a clear message to all potential buyers. Furthermore, Samsung benefits from so called word-of-mouth promotion which means that Samsung customers recommend their purchase to friends and family, therefore raising interest for other people to invest in Samsung devices. Via Internet communication, people all over the world can give feedback in a split second and trigger public relations which also promote the brand. But public relations can also include fairs which Samsung attends in order to introduce products or e.g. certain sponsorships Samsung gets involved in so as to indirectly benefit from promotion.  8. 7 2.4.4 Place Mix Focusing on placement, Samsung is present in various fields such as retail shops which are one of the major places of distribution. Adding to this, there also are web shops from which Samsung’s own is the main one: these platforms allow potential customers to identify which product they are interested in and get an overview of the devices’ capabilities before having the possibility to order it directly from the website. This convenient method turns out to be very effective to increase sales since a recent study undertaken by comScore and UPS has shown that 51% of shoppers nowadays make their purchases online. Samsung also has a call center where purchasing a phone is also possible, this distribution method is though getting less popular as online sales increase (Madeline Farber, 2016).Segmentation  Samsung is targeting the customer market by dividing it into different segments and offering each segment different products based on their common characteristics. The market is divided into Geographic, Demographic, Psychographic and Behavioral segmentation. Companies use segmentation to reduce risk in deciding where, when, how and to whom a product or service will be marketed. Additionally, companies use segmentation to increase marketing efficiency by directing effort specifically towards a designated segment, in a way that matches with the segment’s characteristics (Kotler, 2016). Samsung’s Geographic Segmentation has divided the Asian market into geographical regions such as north, south, east and west, as well as targeting different Asian countries in a different way, by dividing those countries as for example, the Chinese market (Momin Mukit) The company its Demographic Segmentation is focused on males and females, where age does not really matter, but most of its users are people between 13 and 60 years of age. Samsung’s products are offered with different features to different people, based on their income level, which results in Samsung being for everyone. (Samsung Electronics, Ashgar, Mukit). Also, Samsung has divided customers according to their occupations, such as students, businessmen, or regular employees (Momin Mukit. As for Samsung’s Psychographic Segmentation, customers are classified on different levels, based on their lifestyles and personalities, for example an ambitious, sports loving customer (Ashgar, Mukit). Lastly, Samsung’s Behavioral Segmentation targets the consumer based upon what benefits they seek in Samsung Electronics, for example excellent quality and a beautiful design. Additionally, Samsung has knowledge of the user status of its target customer with the goal to better be able to offer its product. Therefore, customers are divided into ex-users, potential users, first time users and regular uses. With this information Samsung can target customers based upon their loyalty (Mukit). Positioning  Samsung’s positioning In 2015 and 2016, Samsung embodies innovative technologies, combined with style, aimed at the young professional, with its edge design, and new premium feel to its flagship phone, the Samsung Galaxy s7 Edge (Sumaiya Mahmud, 2015). With this new positioning of Samsung, the company differentiates itself from its prior Cost leadership structure, where it delivered cheaper and technologically strong products without an emphasis on design. An important factor of Apple’s success over Samsung, was Apple’s design on its iPhone. Now that Samsung puts more emphasis on design, the company can compete with Apple in a more effective way (The week, 2016). For example, the Samsung Galaxy s7 Edge, Samsung’s 2016 flagship smartphone and the Apple iPhone 7, Apple’s flagship 2016 smartphone, being considered the two best phones on the market based on looks and performance. (The week, 2016). Other important factors for Samsung’s positioning are innovative product features, value for money, integral parts of family, healthy living and energy efficiency hence cost saving (Momin Mukit)

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