From the humble background of a trading company established in the late ‘30s to an electronic chip manufacturer and supplier in the early ‘60s, Samsung has come a long way towards being the leader in technological innovation. Today, it has raced ahead in the competition leaving behind formidable opponents such as Apple, Sony and Nokia to become the world’s largest information technology company in 2012 – a well-deserved award for the company.
Samsung started its electronics division business as a supplier of electronic chips to the large scale electronics goods manufacturers such as Sony. It was known for its better than average quality products in the late ‘80s-‘90s. Their recent achievements in the mobile phone industry are a fruit of their long-standing aim of becoming the finest technology provider in the world. To achieve that in the presence of companies like Apple, Sony, LG, Blackberry and Nokia is what makes Samsung’s growth special.
While there is no doubt that Samsung has a strong focus centric R&D team, the company also takes pride in its marketing. Over time, the company focused on taking the Samsung brand equity several notches higher than what it was earlier. Focusing primarily on building brand awareness, Samsung has managed to create a very stable and loyal customer base in almost all the prime geographical locations across the world. Today, Samsung caters to a vast cadre of people ranging from value sensitive customers to the most advanced technology savvy professionals.
Samsung’s brand building strategy has been a marketing marvel. While the company’s focus has always been to project itself as a leader in innovation, its wide range of customized products passed a strong message about their presence in price segment too. While Samsung’s engineering excellence helped them compete with both Nokia and Motorola in the price segment and Apple in the value segment, their solid base in marketing projected them as a leader in innovation. Samsung’s strong B2B and B2C marketing strategy coupled with its near perfect execution of promotional campaigns through internet and print media has been instrumental in building their brand image.
Over the years, with a strong connect with customers, Samsung has learnt how to win over customers and it seems likely that the company all set to dominate the future as well.
_____________________________________________________________________________________ Shubhra Ghosh is a PGP2 student at IIMA and a member of Niche. He did his B.E. in Computer Science from M S Ramaiah Institute of Technology (MSRIT) (2011 batch)