galaxy final
TRANSCRIPT
D
Submitted to:
Muhammad Intisar Alam
Course Instructor,
BRAC University
Submitted by:
Section 2, MKT421
SPRING 2012
Date of Submission:3rd April, 2012
Name Student ID
Marketing Strategies of Samsung Galaxy Handset
3rd April, 2012
Muhammad Intisar Alam
Course Instructor,
BRAC University
66, Mohakhali
Subject: Submission of term paper for completion of course.
Dear Sir,
This is to inform you that we have completed the term paper on Consumer Behavior. This
term paper focuses on the association between consumer behavior and marketing strategy
of Samsung Galaxy handsets. The term paper, titled “Marketing Strategy of Samsung
Galaxy Handests” has been prepared for the completion of the course, consumer
Behavior (MKT421).
In the making of this term paper, we have followed all your specific instructions
involving report writing so as to present our views and in the easiest manner. However,
we will be glad to clarify any discrepancy that may arise.
Thank you.
Sincerely yours,
Name Std. ID Signature
Md. Saleh-Ibne-Rashid 09104117 ……………
Priyanka Das Katha 09104033 ……………
Rafi Uddin Sharik 09104040 ................
Md. TanvirAhasan 09104092 ……………
1. Introduction
This report would depict the overall Consumer Behavior implications of Samsung Galaxy
Phones. Samsung is the company with a 21% market shares in the Global Market for
mobile phones. The study would clarify about the Company background, marketing mix,
external & internal influences of the consumers and other supporting activities related to
the consumer behavior. This report also includes the present situation of Samsung Galaxy
handsets in Bangladeshi Market.
This section presents the background of the report titled “Marketing Strategy of Samsung
Galaxy Handsets” and outlines the objectives, scope, methodology, and limitations of the
report
2. Objective of the study
2.1 Primary objective
The primary objective of the report is to gain a clear understanding and practical
knowledge of the effect of consumer behavior on the purchase of Samsung Galaxy
Handsets in the market.
2.2 Secondary Objective
Consumers get influenced by a number of factors while making a purchase decision. The
secondary objective of this report includes both external and internal factors that are
observed in the buying behavior of the consumers. It also includes critical thinking in the
area of research and findings of the analysis of consumer behavior.
3. Methodology:
For the information used in the report we used both primary data and secondary data.
Primary Data:
We used the information we found from the people we interviewed in the organization
and the information we got from the company for conducting this report.
As primary data we collected information by visiting Samsung mobile Exclusive store
which is located in Bashundhara City shopping mall in level-1 and Transcom Electronics
Limited which helped us to gain knowledge about the products and other information
regarding Samsung Galaxy handsets.
Secondary Data:
As secondary data in the report we used the information we found from different web
sites.
4. Company background:
Samsung is a Korean word which means tristar or three stars. Here three includes big,
numerous and powerful and star represents eternity. The Samsung was founded in 1938
by Lee Byung-chul in Ingyo-dong (the then Su-dong). At that time the company was
known as Samsung Sanghoe having 40 employees. At that time this small trading
company dealt with groceries produced in and around the city and produced its own
noodles. In 1947 the headoffice was transferred to Seol. During the Korean War, Lee
Byung-chul was forced to leave his company and started a new sugar refinery company
in Busan.
In 1948, Lee Byung-chul invested together with Cho Hong-jai and built a new company
named Samsung Mulsan Gongsa which means Samsung Trading Corporation. Samsung
had huge diversification in many areas like insurance, securities, retailing, ship building
etc. In 1969 Samsung Electronics was introduced in Suwon, South Korea. In 1970,
Samsung introduced another subsidiary Samsung-NEC jointly with NEC Inc. to
manufacture electric home appliances and audio-visual devices. The number of black and
white televisions manufactured by this company since 1981 was over 10 million. In 1988
the company got merged with Samsung Semiconductor and Communications. This
decision was taken on the basis of fast growing domestic demand for electronic goods.
In 1987 when Lee Byung-chul died, Kun-Hee Lee became the chairperson of Samsung.
From 1990, Samsung started expanding globally and built factories in US, Britain,
Germany, Thailand, Mexico, Spain and China. In 1997 all Korean companies shrunk and
so did Samsung. They sold many of their businesses and cut some employees down to get
rid of debts. But they managed to keep electronics industry with them and continued to
grow.
In 1993, Samsung introduced the lightest mobile phone of its era, the SCH-800 which
was available on CDMA network. On 27th April 2009, Samsung launched the first
Samsung Galaxy smart phone named as Samsung i7500.
Electra International Limited first brought the Samsung products in Bangladesh. From the
middle of 2011 Transcom Electronics, to be more specific, Transcom Mobile got the
permission to bring Samsung handsets in Bangladesh.
5. Analysis
5.1 Marketing Mix
Marketing Mix refers to the process of designing and integrating various elements of
marketing to ensure the achievement of the enterprise objective. This process became
famous in 1964 when Neil H. Borden published his article “The Concept of the
Marketing Mix”.
5.1.1 product/service
As mentioned before, Samsung has named its smart phones ‘Galaxy’. There are a huge
number of handsets that Samsung offers and in global market there are more then 135
Galaxy handsets available now. Some of these are
Samsung Galaxy i7500
Samsung Galaxy Ace
Samsung Galaxy Beam
Samsung Galaxy Fit
Samsung Galaxy Gio
Samsung Galaxy Mini
Samsung Galaxy Nexus
Samsung Galaxy Prevail
Samsung Galaxy R
Samsung Galaxy S
Samsung Galaxy S Plus
Samsung Galaxy S II
Samsung Galaxy W
Samsung Exhibit 4G
Samsung Stratosphere
Samsung Galaxy Y
Samsung Galaxy Pro
Samsung Galaxy Z
Samsung Galaxy Note
Among the tablet phones they have
Samsung Galaxy Tab
Samsung Galaxy Tab 7.7
Samsung Galaxy Tab 8.9
Samsung Galaxy Tab 10.1
Though Samsung offers a number of Galaxy handsets all over the world, only a few
models are exclusively marketed by Transcom in Bangladesh. Those are listed below
Samsung Galaxy Ace
Samsung Galaxy Pro
Samsung Galaxy pop
Samsung Galaxy y (young)
Samsung Galaxy Tab (10.1)
Samsung Galaxy Tab
Samsung Galaxy S 2
Samsung Galaxy S
5.1.2 Price
Price is very important component of marketing mix. The price of the product needs to be
fixed in such a way so that the consumers think that the price of the product is perfect.
There are two ways of setting price. One is penetration and the other is skimming. It often
happens that lower prices of the same quality products result in more sales than higher
prices. It is known as penetration of pricing. On the other hand, price sometimes serves as
a signal of quality. For example, a product priced less than its competitor then it is
perceived as having low quality.
Some of the handsets of Samsung Galaxy series are expensive and some are less
expensive. This is because the main competitor of Samsung Galaxy series is iPhone
series from Apple and HTC and the price of these handsets are costly. To compete with
them, it was necessary to set high price or else people might thing it is of low quality.
Here we can say that they are following penetration of pricing rule.
Another noticeable thing is that Samsung Galaxy y is for young people. They normally
do not use too expensive handsets. For this handset their competitors are Nokia and
others brands. Samsung set the price of this handset BDT 13490 so that the young people
of our country can afford this handset.
5.1.3 Place
Established in 1885, Transcom is now one of the largest companies in Bangladesh. It has
recently become the distribution partner for the world famous brand Samsung Mobile.
Transcom Mobile Limited (TML) is the Transom’s latest venture into the Mobile
Handset business and the company is exclusively distributing Mobile phones to all over
the country. It started its' operation on 22nd June, 2010. At the beginning it operated
nearly half of the country. At present TML operates nationwide as a single distributor
with trade marketing operation of Samsung Mobile.
There are many stores in Bangladesh selling Samsung Galaxy Handsets but among them
the Transcom Electronics has three exclusive stores, two of them are located in the
Gulshan area and another is in Bashundhara City Shopping Complex. In these places, the
interested consumers can experience the phones by using them instantly.
5.1.4 Promotion
Being one of the Leaders in the Global Market, Samsung spends a lot of money globally
for its Promotion. We could not gather the specific allocations for the country but here is
a glimpse below that how much effort Samsung puts in these sectors globally
.
Advertising:
1. Television – Percentage Budget Allocation: 19% ($46,550,000)
2. Out-of-Home – Percentage Budget Allocation: 3% ($7,350,000)
3. Magazines – Percentage Budget Allocation: 6% ($14,700,000)
4. Newspapers – Percentage Budget Allocation: 6% ($14,700,000)
5. Radio – Percentage Budget Allocation: 7% ($17,150,000)
Sales Promotion:
1. Rebates – Percentage Budget Allocation: 5% ($12, 250,000)
2. Contests/Sweepstakes – Percentage Budget Allocation: 4% ($9,800,000)
3. Discounts/Offers – Percentage Budget Allocation: 9% ($22,050,000)
Internet/Interactive:
1. Website- Percentage Budget Allocation: 12% ($29,400,000)
Direct Marketing:
1.
1.
Personal Selling:
1. Percentage Budget Allocation: 7% ($17,150,000)
Promotion, Publicity and Public Relation
Being one of the Leaders in the Global Market, SAMSUNG spends a lot of money globally for its Promotion, Publicity and Promotion. Samsung is also enjoying upper grade market share in mobile market in Bangladesh and believes that it will grow up to a better position very fast.
The different Samsung Galaxy Handsets are being advertised in various popular & important Television Channels, Magazines’, Newspapers’, Radios’ etc. They do have a different team which analyzes to ensure the best return on every single unit of money spent. We can say that it pushes the very popular galaxy phones through every possible
media. Besides all these they also use billboards, Posters in different locations where there is a mass potential consumer.
For promotional purposes, they do have different experience booths around the Dhaka city for the consumers to have the feeling of the handsets and whether it created, changes or matches the desired expectations which would lead them to purchase decision. The main experience booths are located in Bashundhara City Complex. The other two are located around Gulshan. Their recent addition to the Samsung Galaxy series is the “Galaxy Note”. They do have a different booth for this particular tablet phone. They are trying to promote two particular handsets now. Those are, “Samsung Galaxy Y” and the “Samsung Galaxy Note”. The “Samsung Galaxy Y” is a android based phone for the new generation and the “Samsung Galaxy Note” is the handset which is even challenging the recent iphone 4s of apple globally and also in the smartphone market of Bangladesh because of its Promotion and special product specification.
For the promotion and publicity purpose they do organize different musical programs in different locations of the country and also in the television channel. They also offer “Scratch Cards” with the phones sometimes where the consumers are given a coupon upon purchase and get surprise gifts instantly or are being given a coupon and wins exciting prices in a lucky draw.
They also have a Smart team which interacts with the people roaming inside different showroom and tries to identify and offer the closest possible match among the variety of galaxy handsets to the customer.
Packaging
Samsung Galaxy Handsets’ packaging is always very important and the consumers of these galaxy handsets always wants that the packaging would highlight the premium nature of the product and do both the product and brand justice it demands.
Samsung Galaxy Handsets’ created packages reflect the excitement, combining the other-worldly nature of the Samsung Galaxy Brand. The consumer is ensured that, they would feel excited and delighted while holding and opening the phones’ boxes. And the feeling is positively different.
Target Market
Primary Target – Males and Females Ages 23 to 44
1. Young Professionals 2. Already Established Professionals
3. Family Formers with Children Secondary Target – Boys and Girls Ages 13 to 17
1. “Generation Y” – A generation highly influenced by technology, that is able to motivate parents into purchasing
Since August 2011, all the smartphones of the Galaxy series are categorized in the following way:
Letter Meaning Class
S Super Smart High-End Devices
R Royal High-End Devices
W Wonder High-Cost Devices for the middle class, Standard Price but High end
M Magical Cheap Devices
Y Young Meant for Young Users
5.2. External Influence on Consumer
Consumers are frequently influenced by the external forces, as they live in a society.
Those external factors are culture, group influence, family influence and role influence.
Usually marketers focus on those external issues and according to those factors they
adopt marketing strategies.
5.2.1 Cultural Factor
Culture is the complex whole that includes knowledge, belief, art, law, morals, customs
and any other capabilities and habits acquired by humans as members of society. Culture
influences a lot in the consumption decision of a consumer.
5.2.1.1 Cultural Values Relevant to Consumer Behavior
Other Oriented Value:
Collective:
In our country, we prefer to do any task collectively. So, if any particular group of people
uses any kind of product of Samsung and that group gets satisfied with that product, then
eventually other people will also be motivated to use that product. Samsung tries to
provide their service based on that so that they can capture this group.
Youth or Age:
The main target markets of Samsung Galaxy are the youth’s. The young generations are
looking for more features for in the mobile phone. So Samsung galaxy brings phone with
new features. They also target the executives and provide different products for them
which carries different feature’s according to their need.
Environment Oriented Values:
Performance or Status:
In our country, our culture’s reward system is based on both performance and status. If
anyone does something really good, then our society appreciates that person. Again, if the
status of any person is very high, that person also earns respect from others. Depending
on that Samsung Galaxy has introduced its new phone.
Change:
The people of Bangladesh are now looking for the change and now they are becoming
more conscious about technology. To keep up to date with the new technology now they
are using variety of products. Samsung has identified the changing norm of people and
now they are offering products like Samsung galaxy.
Self oriented values
Leisure:
The people of Bangladesh are more relaxed than the other western country. They love to
hangover with family or friends. On those particular occasion people can use the different
features of their phone like good camera of the phone.
Brand
People of our country now becoming more Brand conscious about a particular thing or
product. People can buy the product of Samsung because they have a very strong feeling
about that product.
5.2.2 Group Influence
A group is defined as two or more individuals who share a set of norms, values or beliefs
and have certain implicitly or explicitly defined relationships to one another such that
their behaviors are interdependent. Group influence plays a very important role in the
consumption of a product.
5.2.2.1 Types of Groups
Type of Contact
Group characterized by frequent interpersonal contacts are called primary groups. In the
consumption decision process, this group plays the most important role. However, Group
characterized by limited interpersonal contact is referred as secondary groups. Whenever,
Samsung organizes programs or sponsors any program they try to target the young
generation who will later influence other of their groups.
Attraction
The nature of human being is to get along with the aspiration reference group. By using
the Samsung’s Galaxy with different new look and features they try to stay acquainted
with the group they are in.
5.2.2.2 The Nature of Reference Group Influence
Informational Influence
Primary group and secondary group can provide information and it will influence others.
When a member of a particular group will provide information about the product of
Samsung Galaxy, then other members will get motivated to purchase their products.
Identical Influence
Due to identical influence, a member of a particular group will feel the need to behave
like other members of the group. For example, when a member of a group will identify
that his/her other friends are using new products of Samsung like Galaxy-S then he/ she
will feel the need to use the same type of product of Samsung.
5.2.2.3 Degree of Reference Group Influence
Visible Usage
When the product of Samsung galaxy is visible to a particular group, then the group
influence will be the strongest.
Low Individual Purchase Confidence
The reference group can help a particular member to boost his/her purchase confidence.
For example, a group member will gain confidence when he/she will learn positive words
regarding a particular brand like Samsung Galaxy they will become positive about
purchasing this product.
5.2.2.4 Advertising Strategy
To attract a large group of people, Samsung advertises through posters, banners,
magazines etc. The opinion leaders are used in promoting those products. Moreover, in
different occasions, as these opinion leader get free sample of products, so they convey
positive words regarding those products and they also motivate others to buy those
products .
5.2.3. Family influence
The socialization process starts from the family. So, family influence is a very important
factor in the consumption process.
5.2.3.1 The Nature of the Family Purchase Role
In most of the time, we ask our family and then seek their opinion about a particular
product. The members of the family can play several roles in the consumption process
like-
Initiator
In this case, any member of the family can initiate the problem that they need to purchase
a cell phone. But based on the need of the individual person and the demand of that
person they decide that which one they will go for.
Information Gatherer
The young people actually collect the information about the features and use of the
mobile handset of any brand also the person himself can do it by taking information from
other user of the product.
Influencer
In our country the young members or the members who keeps knowledge about the
product of the particular brand like Samsung can influence to make the final choice. Here
specially friends and colleagues who are using the product influences most.
Decision Maker
In this stage, the individual who is going to use the product will make a decision.
Purchaser
The person who is going to use the product has not always had to the purchaser. The user
of the mobile phone may purchase the product or any one on behalf of him may purchase
the product.
User
User is the ultimate person for whom the product has been purchased. In this stage the
user uses the product.
5.2.4. Role influence
Role influence is usually done by role models. Role models are regarded as a potential
group of people who are able to leave an impact on the other people’s consumption
decision process. Role models can range from direct models such as parents, friends,
relatives to sensational role models such as celebrities.
Parents as Role Model
Parents act as primary source to convey belief and to reinforce behavior of their child. In
addition, parents play the important role in formatting and structuring an individual’s
attitude and behavior. Parents can influence one’s behavior directly or indirectly in
numerous ways by providing rules, perspectives and principals through interaction or
communications. The parents of a family, who are very loyal to a particular brand cell
phone can influence the children.
Friends as Role Model
Friends can also act like role model to consumers. For example, consumers can easily be
motivated to purchase a particular model of set by getting influenced by the friends.
Celebrities as Role Model
Celebrities are individuals who achieve a certain degree of fame from a society.
Celebrities can be actors, sports persons or politicians. Their fame and success allow
them to inspire and influence others to buy a product. It has been seen that, young people
and adults are more likely to be influenced by celebrities. That’s why Samsung has Amir
Khan as the celebrity role model and he is the brand ambassador of Samsung mobile
phone.
5.3 Internal Influence
5.3.1. Learning
Learning is described by the processes by which memory and behavior are changed as a
result of conscious and non-conscious information processing. Learning is essential to the
consumption process. In fact, consumer behavior is largely learned behavior. So,
Samsung also puts a large effort to help consumers to learn about their galaxy mobiles.
5.3.1.1 Learning under Conditions of High And Low Involvement
Involvement is the function of interaction between the individuals and the stimulus. To
make consumers learned about the galaxy mobiles, Samsung attempts various techniques.
High Involvement
A high-involvement learning situation is one, on which the consumers are motivated to
process or learn the material. To ensure high involvement of the consumers, Samsung
always uses media & advertisements to provide information about their product, galaxy.
Moreover, consumers also get highly involved in the process of learning, through their
attractive advertisement on their respective websites. It is seen that their website is quite
different because consumers can have the feel of using galaxy mobiles as well as see all
the options it contains.
Low Involvement
A low-involvement learning situation is one on which the consumer has little or no
motivation to process or learn the material. Sometimes, people may not pay attention to
the advertisement of galaxy mobiles and then they get engaged in the low involvement
learning. At that time the marketers of Samsung come up with new idea, like – road
rallies, or setting up booth in front of well-known shopping malls. It helps to increase the
level of the involvement of the consumers.
Incidental Exposure
When a consumer is unintentionally exposed to the advertisements, then it is known as
incidental exposure. Although that consumer does not have any intension to learn, still
he/she will be exposed to those advertisements and later on he/she will be able to
remember where and when they have seen such type of advertisements. For example, a
reader may read a magazine which contains an advertisement of galaxy tab. Although the
consumer has no intention to see it, he did.
5.3.1.1.1 Conditioning
Conditioning refers to the learning which is based on association of a stimulus
(information) and response (behavior of feeling). There are two types of conditioning and
they are classical conditioning and operant conditioning.
Classical Conditioning
The process of using an established relationship between a stimulus and response to bring
about the learning of the same response to a different stimulus is called classical
conditioning.
Classical conditioning can be described by the following figure.
UCS UCR
(Popular Celebrity) (Positive Emotion)
CS CR
(Handset) (Positive Emotion)
Fig: Consumer Learning through Classical Conditioning
UCS Unconditioned Stimulus
CS Conditioned Stimulus
UCR Unconditioned Response
CR Conditioned Response
From this figure, we can understand that, the satisfaction of Popular Celebrity
(Unconditioned Stimulus) can create a positive emotion (Unconditioned Response) in
many individuals. In Bangladesh, there is no brand ambassador for Samsung Galaxy. But
it has popular celebrity brand ambassadors in different country and one particular Global
brand ambassador. The Global Brand Ambassador for Samsung Galaxy is David
Beckham, an English Footballer who is well known in all over the world as well as in
Bangladesh. However, If this unconditioned stimulus is consistently paired with a
particular type of galaxy handset (Conditioned Stimulus), the brand itself may come to
elicit the same positive emotion (Conditioned Response).
Operant Conditioning
Operant conditioning differs from classical conditioning primarily in the role and timing
of reinforcement. Operant conditioning can be described by the following figure.
Stimulus Desired Response Reinforcement
(Handset) (Consumption) (Pleasant Experience)
Increases Probability
of response to stimulus
Fig: Consumer Learning by Operant Conditioning
From this figure, we can easily understand that, a particular type of galaxy mobile can
create stimuli in the mind of a consumer and this will lead him/her to buy that particular
handset. After the consumption, when he/she will use the handset and get appreciation
from others, then he/she will be reinforced to use that handset again or can refer to his/her
friends to use that handset. Therefore, this pleasant experience will increase his/her
probability of response to stimulus. Thus, a person learns through operant conditioning.
5.3.1.1.2 Cognitive Learning
Cognitive Learning encompasses all mental activities of humans as they work to solve
problems or cope with situations.
Iconic Role Learning
Learning the association between two or more concepts or more concepts in the absence
of conditioning is known as iconic role learning. There is neither an unconditioned
stimulus nor a direct reward involved in the iconic role learning. A consumer of a galaxy
handset user can go through iconic role learning by the mode of advertisement of
Samsung.
Vicarious Role Learning
Consumers can observe the outcome of other’s behaviors and then they can adjust those
behaviors with their own. Moreover, consumers also can use their imaginary power to
anticipate the outcome of various courses of action. This is known as vicarious learning.
The advertisements of the galaxy mobiles of Samsung may encourage consumers to
imagine the feeling and also may help them to feel and understand the experience of
using the product. Such type of understanding of the products not only enhances learning
about the products but also influences how the products should be evaluated after an
actual trial.
Reasoning
The most complex form of cognitive learning is reasoning. As the price of the galaxy
mobiles of Samsung are comparatively high, so people will use reasoning before
purchasing the product and here the consumer remains highly involved in the learning
process.
5.3.1.2 General Characteristics of Learning
5.3.1.2.1 Strength of Learning
Importance
When the importance of the product is high, then the learning also becomes high
regarding that product. For example galaxy S, galaxy SII, galaxy X are very much
popular to the younger generation; so regarding those products their learning is very high.
Message Involvement
The message involvement is also very important in the learning process. If the message
of a particular model of galaxy handset reaches to the mind of the consumers
successfully, the learning process will automatically be high.
Mood
If the consumer remains in a good mood, the learning will be high and vice versa.
Reinforcement
Reinforcement also increases our likelihood of learning. Samsung galaxy has different
type & versions handsets which can easily create positive reinforcement in the mind of
the consumers.
Repetition
Repetition increases the likelihood of learning. So, the marketer of Prestige Bengal
repeats their advertisement to increase the learning of the consumers.
Imagery
If the brand image of the product is high, then the learning of consumers will also be
high. So, Samsung always promote galaxies to create an image in the mind of the
consumers.
5.3.1.2.2 Stimulus Generalization
Stimulus generalization occurs when a response to one stimulus is elicited by a similar
but distinct stimulus. For example, when a consumer learns that the existing handsets of
Samsung are good, features are best then they will automatically learn that the new
product of Samsung. Even though, who are using galaxy can also switch to new galaxy
mobiles by stimulus generalization.
5.3.1.2.3 Stimulus Discrimination
Stimulus discrimination refers to the process of learning to respond differently to similar
but distinct stimuli. The galaxy handsets of Samsung may provide the same features or
advantages like i-phone or other handsets; however, the marketers of Samsung galaxy
can differentiate their product through product positioning or packaging or adding
features or changing the color of the products.
5.3.1.2.4 Response Environment
Consumers generally learn more information when they can readily retrieve information.
The promotional activity of the Samsung galaxy helps people to archive information and
then it affects the buying decision process.
5.3.2 Memory
Memory is the total accumulation of prior learning experiences. For the success of any
organization, Products learning must have to be entered into the memory of a consumer
in a favorable manner. Besides, those memories also must have to be recalled when
required. There are two kinds of memory. One is short term memory and another one is
long term memory.
5.3.2.1 Short Term Memory
Short time memory has a limited capacity to store information and sensation. Marketers
of Samsung galaxy does not put much effort in this stage rather than they put more
emphasize in the following step, which is called long term memory.
5.3.2.2 Long Term Memory
Long term memory is viewed as an unlimited, permanent storage. It can store numerous
types of information such as concepts, decision rules, processes, affective (emotional)
states and so forth. The long term can be two types, one is semantic and another one is
episodic memory.
5.3.2.2.1 Semantic Memory
Semantic memory is the basic knowledge and feeling an individual has about a concept.
It represents the person’s understanding of an object or event at its simplest level. In most
of the time, the marketers of Samsung galaxy try to generate semantic memory with their
advertisements.
5.3.2.2.2 Episodic Memory
Episodic memory is the memory of a sequence of events in which a person participated.
To generate such type of memory, the marketers of Samsung galaxy usually creates a
sequential advertisement which generates more interest in the mind of the consumers.
5.3.3. Product Positioning
Product positioning is a decision by a marketer to try to achieve a defined brand image
relative to competition within a market segment. The marketers of Samsung galaxy
always try to place their products effectively and efficiently in the consumers mind rather
than other competitors.
Product positioning has a major impact on the long term success of the brand. That’s why
Samsung galaxy puts a lot of importance in product positioning. Through billboards,
banners, posters, road rallies, shopping mall campaign, and other promotional activities
they are trying to create product position in the mind of the consumers.
5.3.3.1 Product Repositioning
Product repositioning refers to a deliberate decision to significantly alter the way the
market views a product. The marketers of Samsung galaxy go through the step of product
repositioning to differentiate their products from others. They frequently upgrade their
products and then they organize the launching ceremony of their new products. This type
of programs gives huge publicity to them, because many renowned people join those
functions. Moreover, product repositioning also helps them to create a superior image of
their products rather than other competitors of the market.
Motivation
Motivation is defined as the process that initiates, guides and maintains goal-oriented
behaviors. Motivation is what causes someone to act. That is why it is very important for
any business organization to understand what types of consumers they are targeting and
at the same time they should keep in mind that what motivates the consumers most.
There are a number of factors which affects the purchase motives. These factors can be
divided into two groups. One is Rational Buying Motives and another is Emotional
Buying Motives. Rational motives are conscious, factual, and logical reasons for a
purchase. Samsung Galaxy handsets are durable, easy to use, easy to repair (as they have
own customer care centers throughout the country), available at almost everywhere,
people are curious about these handsets as it makes them unique in our society and these
all works as Rational Buying Motives. On the other hand Emotional motives are feelings
experienced by a customer through association with a product. For example, having a
Galaxy handset makes it owner proud, prestigious, recognized and unique.
Though consumers are not always aware of what motivates them to buy, Samsung tried
to find out by using which factor, they can motivate people to use their products. To do
this, it is very important to know
1. What motivates the consumers
2. How to make strategies based on those motives
3. How to reduce conflicts between motives
We all know about the Hierarchy of Needs introduced by Abraham Maslow. This theory
says that human being is motivated by unsatisfied needs. These needs can be classified
into five classes and lower level needs should be satisfied before addressing the higher
level needs. These levels are Physiological, Safety, Belongingness, Esteem and Self-
actualization. In Esteem level people need recognition, attention, social status, self-
respect etc. Using Samsung Galaxy handsets satisfies these needs as these handsets are
known as smart phones. The design, features of these phones are attractive and easy to
use and that is why most of the customers use this to become recognized.
Personality
Personality is an individual’s characteristic response tendencies across similar situations.
Often it happens that a product have an effect on the personality and vice versa.
Marketers should be aware of the personality of their target market.
To attract most of the target market, marketers often use brand personality. Brand
personality is a set of human characteristics that become associated with a brand, the
person who represents the brand. According to Samsung personnel, they do not use any
brand personality too represent their handsets of Galaxy series. Because they believe that
their products are so much special and unique that they do not need any famous person to
speak for it. That is why we can see advertisements of Samsung handsets featuring
famous India actor Amir Khan while Galaxy handsets are advertised with general and
common people.
Emotion
Emotion is difficult to define, and even more difficult to predict. However, they are
important to marketers because consumers tend to react to marketing messages and make
purchases based on feelings and emotions. Emotion can be used to create product
benefits.
We are in the 21centure so every people want to connect with world so that they need a
smart phone and Galaxy handset offer low cost smart phone.
It is very important to have emotional contents in advertisements to enhance the attention
of customers. As Samsung Galaxy handsets do not have much promotional activities in
Bangladesh but these handsets are strongly related to the people of this country. As
mentioned before that Galaxy handsets are much more stylish than other smart phones
and make the user unique from other, Samsung had to understand the emotion of the
target market. This is why the advertisements of these handsets are made in such a way
which would directly or indirectly touch the emotion of the common people.
Marketers design and position products to both arouse and reduce emotion. For example,
people who are very stylish or love to be unique would easily go and buy Samsung
Galaxy handsets. People who are not that much rich but are willing to have android
handsets Samsung increased their emotions towards their products by offering Galaxy
handsets in only BDT 13490.