A marketing mix is a business tool which is used in marketing. This tool is used by marketing professionals. The marketing mix plays an important role when it comes to determining the product’s and the brand’s offering. Marketing mix of Samsung analyses brand & product offerings too. the concept of marketing mix consists of 4Ps which are Product, Price, Place & Promotion. These four elements of the marketing mix should be viewed as one unit and they should support each other. Otherwise, a company’s marketing mix will be confusing. Now we will be discussing the marketing mix of Samsung.
Marketing mix of Samsung:
Product strategy of Samsung
Samsung has a greater benefit when it comes to its products. There is trust in Samsung products as they have performed very well over the last few years. Again Samsung is well known for its services and customers to know that Samsung gives very fast service for any of its product. Thus in the marketing mix, the product portfolio has become one of the strongest points for Samsung. With its smartphones, Samsung has achieved profit improvement & praise from customers all over the world.
Samsung has the following product categories:
I. Tablets
II. Mobile Phones
III. Televisions – LEDs, LCDs. Plasma TV, SMART TV, HDTV etc
IV. Cameras
V. Refrigerators
VI. Air Conditioners
VII. Washing Machine
VIII. IT – Laptops, printers, and accessories
Price Strategy of Samsung
Price is the second concept of the marketing mix strategy. Since Samsung has different product categories, it also has different pricing strategies too. Samsung follows two pricing schemes – Skimming Price & Competitive Price. They use these two schemes very effectively.
Skimming Price
Samsung uses skimming price scheme for those types of products from which it tries to get the highest value in the beginning before other competitors catch up. When after a while if any competitor launches a similar product with identical features, Samsung drops the price of their product instantly. Samsung normally uses this price scheme for its smartphones.
Competitive Price
Besides smartphones, Samsung uses this price scheme for its other products like television, air conditioner, refrigerator etc. Samsung has been failed to cope up with this pricing strategy in the market when it comes to home appliances product category. In terms of brand, Samsung has done a great job. But it could not surpass other companies like LG, Panasonic etc for the home appliances product category.
Place or Distribution Strategy of Samsung
Samsung is active through different channels in the market. Samsung also works on the concept named channel marketing which has three segments. Sales and service dealers, Modern retail & Distributors. Sales and service dealers must handle key accounts for Samsung and to involve in corporate sales. They may open showrooms for Samsung as well. Modern retail includes large retailers who are active in the modern retail chain. Retailers are bound to keep Samsung because of being such a branded company. For Samsung, the most interesting segment is a distribution network. Samsung has a single distributor in several cities to distribute throughout a territory.
Promotion Strategy of Samsung
Promotion is one of the important segments of a marketing mix. Samsung uses multiple forms of promotions. Samsung promotes its products through newspaper and digital media. Samsung believes advertising is the best way to get engaged with its potential customers. Samsung sometimes chooses strong tactics to push the product to the customer through sales promotion.
These are the main marketing mix segments Samsung is following in the business world. Their marketing mix is a great lesson for marketers.
Marketing mix strategies are important channels to reach the customers which every company should follow. Price, product, promotion and place components aim at the target market or consumers who are the final users of the product.
Related:
Reference(s):
1) http://customwritingtips.com/component/k2/item/19612-the-marketing-mix-strategy-for-samsung.html
2) http://www.learnmarketing.net/marketingmix.htm
3) https://ck-mm.weebly.com/blog/marketing-mix-swot-promotion-mix
4) https://prezi.com/tdh1ybuv3y74/samsung-marketing-mix/
5) https://www.slideshare.net/jugnuraja/marketing-mix-26388575
6) http://www.mbaskool.com/marketing-mix/products/16860-samsung.html
7) https://www.marketing91.com/marketing-mix-of-samsung/
Sadnan is one of the top contributors of The Strategy Watch, he has been actively contributing since 2017 as a Content Analyst; He has finished his graduation from North South University with a dual major in Accounting & Finance. As a contributor, he has written for different topics including Leadership Styles and Qualities, Finance, and Economics. He also has a strong interest in SWOT & PESTLE Analysis and Marketing Strategy.