ANALYSIS OF MARKETING STRATEGY OF SAMSUNG GALAXY s IN VIETNAM MARKET

IMAGE CATALOG Image 1.1: Logo of Samsung Group Image 1.2: Samsung Electronics Vietnam Factory Thai Nguyen Image 1.3: Profits of samsung factories in Vietnam Image 1.4: Revenue of sams

Ministry of Finance University of Finance Marketing –

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Essay on groupANALYSIS OF MARKETING

STRATEGY OF SAMSUNG GALAXY S

Ho Chi Minh City, 2021

Section for teachers to write comments

IMAGE CATALOG

Image 1.1: Logo of Samsung Group

Image 1.2: Samsung Electronics Vietnam Factory Thai Nguyen

Image 1.3: Profits of samsung factories in Vietnam

Image 1.4: Revenue of samsung factories in Vietnam

Image 2.1: Viet Hung Bao Bi Ltd one of Samsung's first and most well-known providers of carton packaging and paper pallets

Image 2.2: Cellphone Store

Image 2.1: the number of users of the top 15 countries

Image 3.1: The percentage between men and women who expect Samsung or

Iphone

Image: 3.2: Versions of Galaxy S21+ 5G

Image 4.1: Diagram of Samsung phone distribution

Image 4.2: Currently, Samsung has up to 7 experience stores

Image 4.3: Sponsor sporting events

Image 4.4: Sponsor the 360mobi Championship Season 2 2019 –

Image 4.5:On November 24, Mr Choi Joo Ho, General Director of Samsung

Vietnam, presented scholarships to students

TABLE OF CONTENTS

1 OVERVIEW OF THE SAMSUNG GROUP 1

1.1 The formation and development process 1

1.2 Products of Samsung Group 5

1.3 Interview of Samsung Galaxy S 5

2 MARKETING ENVIRONMENT 7

2.1 Microenvironment 7

2.2 Macroenvironment 9

3 S – T – P STRATEGY 13

3.1 Segmentation 13

3.2 Targeting 15

3.3 Positioning 16

4 MARKETING MIX STRATEGY 18

4.1 Product Strategy 18

4.2 Pricing strategy 20

4.3 Place strategy 21

4.4 Promotion strategy 23

5 RECOMMENDATION 28

5.1 Recommendation 1 28

5.2 Recommendation 2 28

5.3 Recommendation 3 28

REFERENCES 29

APPENDIX a MEMBER CONTRIBUTION i CHECK FOR PLAGIARISM j

1 OVERVIEW OF THE SAMSUNG GROUP

1.1 The formation and development process

Overview of Samsung Group Samsung Group is one of the largest trading groups in Korea, started as a small export business in Taegu in 1938, founded by Lee Byung-chul, and has grown rapidly Samsung Group is a diversified business group in Korea, including Samsung Electronics and Samsung Insurance Currently, Samsung is one of the world's leading suppliers in many fields such as TV screens, mobile phones, electronic components and many other high-tech industrial

products Today's products and processes Samsung's cutting-edge, top-quality process is recognized worldwide The company has been and will be expanding its product seriess and markets, increasing its profitability and market share, and

pursuing its mission of helping to build better lives for customers around the world

In the business fields, Samsung Group has been focusing on the electronics

industry Therefore, when it comes to Samsung, one cannot fail to mention

Samsung electronics company Samsung Electronics, Samsung electronics company, founded in 1969, is the largest division of Samsung Group, and is one of the leading companies largest electronics company in the world

Image 1.1: Logo of Samsung Group

❖ Other well-known Samsung subsidiaries:

- Samsung Electronics (largest electronics - high-tech company in the world by revenue, and 4th largest in the world by market value in 2012)

- Samsung Heavy Industries (2nd largest shipbuilding company in the world, second only to Hyundai Heavy Industry)

- Samsung Engineering and Samsung C&T (construction firms ranked 12th and 36th in the world, respectively)

❖ Other significant subsidiaries:

- Samsung Life Insurance (the world's 14th largest insurance business)

- Samsung Everland (managing Everland Resort, Korea's oldest theme park)

- Samsung Techwin (company engaged in space exploration, production of surveillance, protection, and military equipment, etc.)

- Cheil Worldwide (in terms of revenue, it was the 15th largest advertising firm

in the world in 2012)

In 2019, Samsung had the highest global brand value in Asia and was rated fourth in the globe In July 2020, Samsung surpassed major competitors such as Apple, Google, Sony, LG, Panasonic, Philips, and others to maintain its position atop the list of 1,000 most loved brands in Asia for the ninth consecutive year, as determined by leading market research firms Campaign - Asia-Pacific and Nielsen Media Research According to Interbrand, in October 2020, Samsung will have surpassed automobile manufacturer Toyota (Japan) to become the most costly brand

in Asia, ranking fifth internationally behind Google, Microsoft, Amazon, and Apple (USA) In November 2020, Samsung maintained its market share of 33.7 percent, surpassing Apple's (30.2 percent) to claim the No 1 position, dominating the

Smartphone market in the United States after ranking second for the previous three years (2017, 2018, 2019) Also in 2020, Brand Finance, the UK's independent brand valuation and strategic consulting firm, announced the results of its national brand report, in which Samsung's brand value was valued at approximately 95 percent billion US dollars - ranked first in Asia, fifth in the world, ranked above many big names such as Facebook, Volkswagen, Walmart, Toyota, Huawei, and only after four US technology companies (Amazon, Google, Apple and Microsoft) By 2021, the aforesaid number will have risen to 102.6 billion USD, yet Samsung will still be ranked fifth in the world

Samsung has had a significant impact on the growth of the Korean economy, politics, media, culture, and social life, and is the driving force, the major 'nucleus' behind the success of the 'Miracle of the Han River.' Contributing one-fifth of the country's entire export turnover, the group's earnings also accounted for 17% of the Korean economy's overall GDP of $ 1.1 trillion in 2013

April 2009: The Samsung Electronics Vietnam (SEV) project, located in Yen Phong industrial park in Bac Ninh, was given an investment certificate and

launched into operation with a capital investment of 2.5 billion USD

2010: Launched the first 3D TV range in Vietnam, as well as the Galaxy

smartphones that run on the Android operating system

Image 1.2: Samsung Electronics Vietnam Factory Thai Nguyen

At 2014, the Samsung Vietnam Electronics Thai Nguyen (SEVT) project was granted an investment license and began operations in the Yen Binh industrial park

in Thai Nguyen, with a total investment capital of $5 billion USD

2016: The SEHC (Samsung CE Complex) project of Samsung Vietnam, with a total investment of $2 billion USD, opened its doors at Saigon Hi-tech Park

2017 saw the formal opening of the Samsung Group Solution Experience Center (EBC) and the Research and Development Center (Samsung Ho Chi Minh Research & Development Center SHRD) in Vietnam –

It is estimated that more than 300,000 Vietnamese people worked in

Samsung's factories until the beginning of 2018 At the same time, Samsung

Electronics Vietnam (SEV) is now not only an FDI enterprise with the largest

production scale, the most rigorous and talented recruitment process, and is

regularly ranked in the top "best places to work," but also the largest foreign direct investment

Image 1.3: Profits of samsung factories in Vietnam

Image 1.4: Revenue of samsung factories in Vietnam

1.2 Products of Samsung Group

Samsung is a multi-industry corporation, the most prominent of which is in the field of electronics, a subsidiary of this group is Samsung Electronics - the largest high-tech in the world by revenue Samsung uses its own brand, Samsung,

uniformly for all of the company's products The choice of the company name - the brand name to label the product represents a smart way of Samsung using the

company's reputation to affirm the quality of the product This shows the

confidence of the business in ensuring the quality of the product and at the same time gaining the trust of customers when they dare to assert themselves in the

market Electronic products manufactured by Samsung are clearly labeled so that customers can really know the origin, origin and trust in this brand as well as

distinguish them from counterfeit and fake products that are rampant in the market school To name its products, Samsung chooses to name new products as a mixed name: Company name + Product name For example :

• Samsung Galaxy series: Galaxy Z, Galaxy S, Galaxy Note, Galaxy A, Galaxy USA

• Tablet series (Tablet): Samsung Galaxy Tab S, Samsung Galaxy Tab A

• Smart watches: Galaxy Watch, Galaxy Watch Active, Galaxy Fit

• TV series: Samsung Smart TV, Samsung LCD TV, Samsung Plasma

1.3 Interview of Samsung Galaxy S

Samsung Galaxy S-series with a mission to always lead the trend,

Samsung Galaxy S was first introduced on March 23, 2010, marking Samsung's first turning point into the smartphone business Galaxy S is Samsung's high-end smartphone series with luxurious design, classy curved screen, powerful configuration, terrible camera with the aim of directly competing with Apple's iPhone series The "S" in the word

Galaxy S stands for Super Smart Currently, the Galaxy S series is still Samsung's most successful product series, making a name for Samsung

in the smartphone field

The Samsung Galaxy S series is a series of high-end Android mobile devices produced by Samsung Electronics Together with the Samsung Galaxy Note, the lineup serves as Samsung's flagship smartphone model Samsung later expanded the Galaxy S series to tablet computers with the announcement of the Galaxy Tab S in June 2014 and released the next month As of January 2021, the latest smartphones in the Galaxy S series are the Samsung Galaxy S21 series, which were first released in January

2021 The Samsung Galaxy Tab series is the related tablet series, which includes the tablet Samsung Galaxy Tab S7 released in August

2020.Samsung Galaxy S Series:

- Samsung Galaxy S (June 2010)

- Samsung Galaxy S II (February 201)

- Samsung Galaxy S III (May 2012)

- Samsung Galaxy S4 (March 2013)

- Samsung Galaxy S5 (February 2014)

- Samsung Galaxy S6 | S6 egde | S6 egde+ | S6 active (March 2015)

- Samsung Galaxy S7 | S7 egde | S7 active (February 2016)

- Samsung Galaxy S8 | S8+ | S8 active | S Light Luxury (March 29, 2017)

- Samsung Galaxy S9 | S9+ (February 25, 2018)

- Samsung Galaxy S10e | S10 Lite | S10 | S10+ | S10 5G (February 21, 2019)

- Samsung Galaxy S20 FE | S20 | S20+ | S20 Ultra (LTE | 5G) (February 11, 2020)

- Samsung Galaxy S21 Series 5G (January 11, 2021)

2 MARKETING ENVIRONMENT 2.1 Microenvironment

• Suppliers

Samsung is one of the world's leading technological companies, thus their phones are designed from the start to be international As a result, Samsung places a premium on the quality of its suppliers' components Advantest Corp and Canon Inc are two of Samsung's primary suppliers Samsung also collaborates with

Vietnamese suppliers and establishes long-term partnerships with them By the end

of 2019, 42 Vietnamese companies have become Samsung's first-tier suppliers, a growth of tenfold in only five years after just four units in 2014 Samsung plans to raise the total number of devices to 50 by the end of the year Not to mention the hundreds of tier-2 suppliers who contribute to the world's largest electronic

manufacturing chain Viet Hung Bao Bi Ltd, based in the province of Hung Yen, is one of Samsung's first and most well-known providers of carton packaging and paper pallets

Image 2.1: Viet Hung Bao Bi Ltd one of Samsung's first and most well-known

providers of carton packaging and paper pallets

• Marketing Intermediaries

Marketing intermediates assist Samsung in promoting, selling, and

delivering its products to final consumers or buyers Retailers are the primary way through which Samsung's new goods reach consumers in Vietnam, in addition to hosting showrooms to market new goods “Thế giới di động” or “CellphoneS” are major retailers in Vietnam that are distributing most of Samsung's phone seriess Besides, Samsung has also opened “experience stores” in recent years, contributing

to expanding the retail scale for this brand

Image 2.2: Cellphone Store

• Customer

Samsung's clients in Vietnam are quite diverse because the company owns a wide range of products in several areas The Samsung A series will be used by students and low-income individuals while the S or Note series is for those with a lot of money

• Competitors

Samsung is the most popular phone in Vietnam Samsung offers a wide range

of pricing due to its various phone seriess, allowing it to reach wider customers Samsung, on the other hand, generates a large portion of its earnings from selling low-cost phones such as the A and M seriess Samsung's Galaxy S series is always

up against competition from other phone brands, making sales of the Galaxy S less impressive than sales of their low-cost phone seriess

In December 2020, iPhone's market shares in Hanoi jumped to 13.7 percent, approaching the sales of Vietnam's third-largest company In November and

October of last year, Apple's sales were only 8.6 percent and 5.2 percent,

respectively This is a remarkable statistic, indicating that Vietnamese users are eagerly anticipating the release of new iPhone models Apple Inc (iPhone 12 series officially debut in Vietnam from November 27, 2020) Remember that Apple only sells high-end product seriess (priced over 10 million VND) but accounted for over 13% of sales, whereas top brands like Vsmart, Oppo, and Samsung primarily

accounted for sales thanks to low-cost seriess As a result, it's clear that Apple is Samsung's most difficult competitor to beat if it wants to lead the high-end phone market

The Xiaomi Mi Mix series is a potential opponent to the Samsung Galaxy S series Because Xiaomi has yet to release this phone series in Vietnam The Xiaomi

mi mix series's items are mostly distributed through small retailers in Vietnam If Xiaomi's Mi Mix series is released in Vietnam, it will be a competitor to Samsung's Galaxy S series

Samsung's Galaxy Note series is a surprising rival to the Galaxy S series With the differences in design and the Note series' ownership of the "S pen," Samsung has created an internal competition

2.2 Macroenvironment

• Economic

GDP per capita increased 2.7 times between 2002 and 2018, reaching over USD 2,700 in 2019, with over 45 million people fleeing poverty The poverty rate fell dramatically from more than 70% to less than 6% ($3.2 per day at purchasing power parity) Ethnic minorities make up the majority of the remaining poor in Vietnam, accounting for 86 percent

Vietnam's economy was severely impacted by the COVID-19 infection due of its deep economic integration, but it also demonstrated remarkable resilience In

2020, GDP growth is expected to be 2.9 percent Although Vietnam is one of the

few countries in the globe to have positive economic growth, the epidemic has had long-term effects on households, with roughly 45 percent of those surveyed

reporting lower income

Without the epidemic's impact, Vietnam's economy would not suffer the same negative consequences, and it could grow even faster During the latest outbreak, Samsung likewise had a lot of problems The virus initially impacted the supply chain, but this was rapidly remedied Second, the COVID-19 pandemic has lowered phone demand

• Politic

The phone not only serves as a means of communication, but it also reflects the owner's wealth and status Any regulations pertaining to cell phone users are given proper consideration The government has always made it easier for phone companies to compete successfully and equitably in the marketplace Because the success of these firms generates cash for the state budget, creates jobs for a large number of people, and promotes economic growth The open political environment

is assisting corporations such as Samsung in expanding their production capacity

• Ecology

Vietnamese culture is incredibly diversified, with distinct consumer behaviors

in each region Samsung has realized this, therefore whenever they produce a new Galaxy S, they always release two versions: S and S plus (in recent years, there has also been a high-end version of the Galaxy S series called S Ultra) to cater to a wide spectrum of customers with varying incomes and needs Furthermore, each phone comes in a wide range of colors for customers to pick from (usually there will be 3 color versions) Vietnam's labor resources are also plentiful, making it easy for Samsung to grow its manufacturing capacity

••••• Technology

Samsung is the world's largest mobile phone manufacturer, therefore it's

critical to keep up with technological advancements Take, for example, Nokia's

demise as a result of failing to stay up with global trends Since the Samsung

Galaxy S8 was released, there has been essentially little change in the outward design of the Samsung Galaxy S series; the only difference between these phones is

an upgrade in configuration and camera You can't blame Samsung in this scenario because their Galaxy S phone is intrinsically too great and developing the phone's software and internal hardware through each generation each year has been a

problem

Samsung releases Android updates for its phones on a regular basis, as well as researching and developing new ways to boost the processing performance of its Galaxy S series phones

Developing mobile devices that can use 5G networks is also one of Samsung's top priorities

••••• Demography

Vietnam's population is estimated to reach 97,757,118 people on December

31, 2020, an increase of 876,475 people over the previous year's figure of

96,903,947

Because Vietnam is a developing country, the people here are in a state of integration with the world, mobile phones can be said to be an extremely important and popular object for Vietnamese people

Image 2.3 the number of users of the top 15 countries :

According to Adsota's Vietnam Digital Advertising Market report, the

Vietnamese market currently has up to 43.7 million people using smartphone

devices out of a total population of 97.4 million people, reaching a rate of 44.9% These figures also help Vietnam to enter the top 15 markets with the highest

number of smartphone users in the world, alongside many other developed

countries such as the UK, Japan, Germany or the same representative in Southeast Asia is Indonesia

As a result, Vietnamese people have a high need for mobile phones Right now, Samsung's job is to perfect their product as much as possible in order to gain market share as rapidly as possible

3 S – T – P STRATEGY 3.1 Segmentation

Market segmentation is a marketing technique that involves segmenting a target market into smaller, more defined segments, enabling a business to conduct strong market research into customers By participating in market segmentation,

researchers can reveal consumer experience insights, product development

innovation approaches, suggestions for boosting customer loyalty, and more

To enable the company to have a more detailed view of the market and select the target market correctly and efficiently, Samsung has segmented the market based on customer income

❖ Demographic segmentation: Segmenting the market by income

depending on the income of each individual, they will choose for themselves a smartphone with a price that is suitable for their conditions

• High-end phone segment (Flagship): Over 15 million VND

High-end phones (Flagship) are the flagship product of that manufacturer, when equipped with the most modern features on the current technology market, in

addition, the configuration or price is also quite high compared to other models other products These are all phones with good performance, sharp cameras and a lot of extremely outstanding features and extremely good configuration High-end smartphones (Flagship) are suitable for users who want to own and enjoy the

experience products with the latest technology, best cameras, best designs and best features

However, products in this segment often have a very high price in common, so most are aimed at successful business people

• Near-premium phone segment: prices range from 10 to 15 million VND

Devices in this segment will cost from 10-15 million VND and will focus on certain features such as camera, entertainment, or have strong configuration, or have a nice

brand and design The phones in this segment are often the flagship of the previous year, carrying the most advanced technological features

• Mid-range phone segment priced from 5 million to 10 million VND

This is considered the most popular segment in the Vietnamese market and usually costs from 6 to 10 million, completely satisfying the user's experience The majority

in this segment, their customers are students students, who have worked with

relatively stable income

• Low-cost phone segment

Smartphones in this segment usually cost less than 6 million VND Products in this segment usually do not have anything new and special technology but can fully meet the basic needs of users such as making calls, texting, surfing the web and watching movies

Market Segmentation by Gender: Gender influences Samsung's purchasing

decisions in a 2018 study, which respondents will choose from among the 4 phone seriess in the same high-end segment of Iphone and Samsung we get the table

below The vast majority of men choose Samsung while women prefer Iphone

Image 3.1: The percentage between men and women who expect

Samsung or Iphone

❖ Psychographic segmentation: Samsung products from almost all

segments have luxurious and sophisticated designs The colors are often chosen for its phones in addition to colors such as copper gold, white, black Samsung also constantly offers colors that match the personalities of different customers

Each color represents a personality within each individual customer Samsung has designed different colors to represent each person's inner personality Take for

example the Samsung Galaxy S21 series

purple, this is the latest color and only available on Samsung Galaxy S True to the name 'passion purple', I was really captivated by the unique, novel color scheme that brings elegance and sophistication certain nobility

Phantom Gold: With Phantom Gold color on Samsung, this color highlights the elegance and nobility for both men and women, especially business people when exuding their own style and temperament

White: people immediately think of simplicity, purity, sophistication and lightness dark gray: Powerful, luxurious and elegant are his words to describe the color

shade This is the most basic color and can often be found on any phone

3.2 Versions of Galaxy S21+ 5G

❖ Geographic Segmentation: Dividing your customer personas or

groups basis the geographical areas they reside in (Rural and Urban) and then deciding on which segment area you want to target Samsung targets both the rural as well as urban population

3.2 Targeting

Targeting is a set of buyers sharing common needs or characteristics that the

company decides to serve

After carefully researching market segments, Samsung has chosen for their

Samsung Galaxy S product series the target market is the high-end phone segment Target customers of Samsung Galaxy S are successful businessmen with stable income Characteristics of this customer group, the segment has a high ability to pay:

- This is the segment that needs to use a variety of products and services

- Help business people bring higher profits …

This is a very competitive segment Currently, the high-end phone product series in Vietnam, is the close competition of Iphone and high-end product series of

Samsung

The group of customers who are not dominated by price, what they need in a phone

is not only the most advanced features from the camera to the configuration but also the internal value of a phone The sophistication, elegance and beautiful design are also a decisive factor Customers in this target market will have higher requirements for services and products

However, with current installment payment policies, Samsung Galaxy S also targets

a group of personalities who like to express themselves but whose income is not enough to pay for a single payment The characteristics of this group are mainly young people aged 20-35, starting to want to build an image for themselves, they always want to update the latest trends, want to express themselves in a certain aspect personalities This is also a potential segment of Samsung Gaxaly S

3.3 Positioning

In marketing, positioning is a method used by marketers to build an image or

identity in the consumer's mind for a particular product, brand or organization

In the minds of today's customers, Samsung as a premium, world-class brand with quality, prestige and design, secondly, was initially perceived and accepted on par with Sony and more recently as a brand name leading consumer electronics brand

in the world After Sony's decseries and Samsung's strong entry into the premium

smartphone category, Apple is now Samsung's biggest competitor in the

smartphone, tablet, and device categories Smart wearable has a high growth rate But few people know, Once known to be the low-quality service provider, Samsung

is now one of the leading smartphone makers in the world It took Samsung a lot of effort and millions of dollars to reposition themselves and reach a level that they are today

To achieve those successes, Samsung cannot deny its efforts in brand positioning Samsung is considered as a company that changes its self-image, always aiming for sophistication and refinement in each of its products Samsung's branding

philosophy is built on five main pillars: innovation, cutting-edge technology, class designs, recruiting the world's best talents, and internal branding Samsung positioned itself as a smartphone maker that creates the best quality products and it came up with new ideas to be more customer-focused and more creative to establish

world-a strong brworld-and imworld-age strong Sworld-amsung does not hworld-ave world-any compworld-any-wide slogworld-ans or slogans; they prefer to use unique referral seriess for each product They tend to promote and position their mobile phones or notes or tabs at all 3 different levels of positioning

The Samsung Galaxy S series is a product of the Flagship segment, possessing the most modern features today, with the delicate design of this product series, all the details are meticulously made to help this product record high scores for your target customers and potential customers