Chap. 16: Advertising, Public Relations, and Sales Promotion

Brien S.

With heavy competition from major competitors like Apple and Microsoft, Samsung has to find a more aggressive, strategical approach in marketing it's products to its consumers. So far it has seemed to have done so by making itself synonymous with Android.  Specifically when it comes to Galaxy phones, Samsung has spent a ridiculous amount of money on advertising and sales promotion. In Q4 of 2012, Samsung had already spent close to 1 billion in advertising alone. One point of advertising and marketing is to create information that will peak customer curiosity and leave them with something to talk about and remember. A prime example is the 2012 Galaxy S3 commercial of two men transferring data by touching their phones (all while doing so in front of an iPhone 5 purchasing line). This created a buzz for public consumers who are attracted to "something cool" as well as first time smartphone buyers.

 The company can breath a lot easier when it comes to sales promotions as well. It's biggest rival, Apple, does not offer sales or discounts on their products; much to consumers' chagrin, they are almost always forced to buy their devices at full price, void of any discounts. Samsung on the other hand, uses various price cuts and promotions during the various seasons to sell a device that is already cheaper than their competition. This combined with the amount of money they put into selling the Galaxy places them as the forerunner of the competition. The following is a chart from the last four years, showing how predominantly aggressive Samsung has been in sales and advertising compared to other companies:

To further market the Galaxy, Samsung has created new ads that are shown on the internet and television of celebrities, such as basketball star Lebron James, using the Galaxy Gear along side the Note 3. He is depicted performing every day activities; from spending time with his children and playing golf with friends, to practicing and training. Their "Always On" campaign is Samsung's attempt to get the consumer to believe that their mobile products are convenient to use, versatile, and cool, and also to reinforce their slogan that their gadgets are "The Next Big Thing."