Samsung vs. Apple

Everybody talks about Apple. Nobody talks about Samsung. … To play Apple’s game as a direct competitor, which is what Samsung has been doing, is really, really hard.” That’s what former Apple CEO John Scully told CNET earlier this year. But despite those fighting words, the two brands are locked in a battle; while Apple holds the lead on U.S. market share by a margin of 41.7 percent to 28.6 percent, Samsung owns a similar lead in the global market. And of late, both have been launching an advertising blitz.

Not too far ago, Samsung wasn’t as popular as now. They struggled to keep up with the smartphone market, but now Samsung has progressed so much that they are the main competitor of the Apple Inc.

      Marketing strategies of Samsung

  • Consumers were never attached with certain technology products; they always strive to have the best. Such situation has obliged technology manufacturers to rapidly create new gadgets that would satisfy the needs of customers, and for several years, Samsung has never failed in this component.
  • Samsung has sparked in terms of innovation and instead of satisfying the needs of the society, they have literally started to create the need for people.
  • To build trust on every product they manufacture.
  • To become a symbol of quality and reliability for its consumers.  
  • Build Most Preferred and Loved Brand
  • Strengthen Partnerships by In-Depth Understanding of Customers & Channels
  • Introduce “First-to-Market ” Products Reflecting Consumers Products Reflecting Consumers’ Unmet needs
  • Besides the product, Samsung is famous for its customer service (Samsung has one of the fastest product services).

Marketing Mix of Samsung

Product:

1)Tablets
2)Mobile phones – Smart phones, normal phones,
3) Televisions – LEDs, LCDs. Plasma TV, SMART TV, HDTV etc.
4) Cameras and Camcorders
5) Refrigerators
6) Air conditioners
7) Washing machine
8) Microwave ovens
9) IT – Laptops, printers and accessories

Price:

Samsung marketing strategy involves two pricing strategies.

  1. Skimming Price – They create new products which will sell smoothly around the globe, but when other competitors launch a smartphone with identical features, Samsung will lower the price and easily steal customers from the competitor.
  2. Competitive Pricing Samsung is an authentic brand, but it can’t possibly surpass a few leading brands in the market. So, for Samsung to withstand this fierce competition, it’s vital to use competitive pricing.

Place:

  • The firm is a world-famous brand, and has got many branches mostly located everywhere.
  • Samsung uses channel marketing in its industry. And from this strategy, only service dealers are taken into account for corporate sales.
  • The distribution network is the most interesting in the case of Samsung. In several cities, Samsung has a single distributor through whom they distribute throughout a territory.

Promotion:

  • Samsung is convinced that advertising is one of the best forms of promotion to engage potential consumers.
  • Samsung introduces discounts, sponsors events, engages with national and worldwide festivals, etc.
  • Sponsorship- Samsung is known for being a sponsor giant.
  • Advertising– Samsung doesn’t concentrate on commercials, but they always promote their most important products, showing the awesomeness of the new product that they introduced. Furthermore, it’s important to note that Samsung gave non-famous people a chance to participate in this breath-taking commercial, making the company and the advertisement even more successful and at the same time, increasing the public image of the organization.

Marketing strategies of Apple

  • Apple has made its products a necessity for anyone who wants to be relevant in today’s culture, dominating (and leading) the conversation about digital connectivity.
  • Establishing the competitive advantage of Apple through product strategy-Product strategy is based on the concept of simplicity and premium user experience. Today, product strategy is at the core of the marketing strategy of Apple. Furthermore, it has become the competitive advantage of the company.
  •  They are user friendly and highly intuitive compared with their competitors. They are also unassuming because of their simple and uniform built and design. Of course, despite this simplicity, these products provide a premium user experience through innovative features and design considerations.
  • Apple products create a halo effect. Because each product complements another product, consumers would usually choose to stick with the Apple brand rather than buying different products from different manufacturers and create a hodgepodge of varying product and consumer experience. 
  • The development and promotion of complimentary products and services are undeniably part of the marketing strategy of Apple. With iconic and relevant products coupled with industry tenure and established branding, the company now enjoys legions of loyal consumers that comparable to fandoms of popular celebrity.
  • Part of the reason that Apple has so many diehard fan boys is because the brand is a powerful story of simplicity, all the way down to retail. It is a story powerful enough to brainwash.

Marketing Mix of Apple

Product:

  1. Mac
  2. iPad
  3. iPod
  4. iPhone
  5. Apple TV
  6. Apple Watch
  7. Software

       Price:

  • Apple uses a premium pricing strategy.  In Apple’s case, the premium pricing strategy involves relatively high prices.
  • This pricing strategy helps maintain the high-end image of the company and its products.
  • Another effect of this pricing strategy is that Apple products attract a smaller market share composed of people from the middle and upper classes.
  • Nonetheless, the company maintains profitability because premium prices entail higher profit margins. Thus, Apple’s marketing mix is aligned to the company’s premium product development strategy.

Place:

  • They have branches located everywhere.
  • The company uses a selective distribution strategy, which involves some degree of exclusivity that could limit market reach. 
  • The following places are included in Apple’s distribution strategy:
  • Apple Stores
  • Online Apple Store and App Store
  • Authorized retailers
  • Telecom companies
  • Fulfilment services
  • Apple also uses authorized retailers. The company also includes telecom companies which sell iPhone units. In addition, Apple uses fulfilment services from companies, through which third parties sell Apple products online. Thus, Apple’s marketing mix is comprehensive in exploiting different types of online and non-online distribution channels.

Promotion:

  1. Advertising
  2. Personal Selling
  3. Sales Promotion
  4. Public Relations
  • Apple’s marketing mix includes advertising through the company’s website and Apple Stores, as well as advertising through other firms, such as technology news sites.
  • The company also uses personal selling in the form of Apple Store employees who provide product-specific information in the aim of convincing store visitors to make a purchase.
  •  In addition, the company’s marketing mix involves sales promotion, which usually happens at the Apple Stores.
  •  Moreover, the company uses public relations to optimize its corporate image.

Comparison of Marketing Strategies of Samsung and Apple:

  • Apple takes a peculiar approach. It doesn’t have Twitter or Facebook accounts, run a blog, or produce a web series. Meanwhile, Samsung manages a number of social accounts, runs celebrity-partnered campaigns, and teams up with major apps to reach new audiences.
  • Innovation- The most innovative campaigns are about the consumer, not the product itself. Apple and Samsung have both accomplished this. However, Apple’s products are so ubiquitous the company doesn’t even have to do any content marketing. Apple creates the devices that help others create content marketing.
  • When it comes to marketing, Samsung is all about entertainment, while apple is about emotional marketing.
  • Social Savvy- You can find Apple on YouTube, but that’s about the extent of the company’s official presence on major social platforms. Samsung, meanwhile, handles several YouTube, Twitter and Facebook pages for Samsung Mobile, Samsung TV, Samsung USA, and more.
  • Consistency- Both Apple and Samsung have had their issues with content marketing consistency. Social media platforms are constants; brands are supposed to be active and consistent on their accounts at all times. And, ultimately, that’s where Samsung’s downfall lies. There is only one Apple, and its product videos and commercials are solid and consistent enough to be known—and parodied—worldwide.
  • Impact- Apple appeals not just to fans of its product, but also to fellow creators. Inspiring creators and giving them the tools to keep doing what they love. That’s the gift that keeps on giving, and the most profound impact a technology company can have, while Samsung appeals to limited crowd.
  • Apple sells products by eliciting an emotional reaction to simplicity. Samsung, on the other hand, sells products by popularizing best of breed technology.
  • Samsung Capitalizes on Cheap Technology (And Bashing Apple) – Samsung, even with all the success it’s had, continues to blatantly attack Apple in its marketing. Only recently has Samsung moved away from blatant Apple bashing to a more emotional form of marketing, but even that ad seems to try to beat Apple at its own game.

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