Role of Design and Technology as a Major key success Factor for Apple and Samsung in the Development of Competitive advantage
Marketing Strategy is the end of increasing gross revenues and accomplishing a competitory advantage through explicating schemes ( Baker, 2008 ) , which deals with marketing facets such as pricing, distribution, design, engineering and publicity ( Armstrong P. , 2008 ; Kotler, 2009 ) .
As Marketing Strategy is really of import for every organisation, therefore it is discussed for both Samsung and Apple in the undermentioned Section.
Marketing Strategy of Samsung:
The Marketing Strategy of Samsung has evolved over the old ages and it is defined as follows ( Lee, 2005 ; W.Farris, et al. , 2010 ) :
- In order to accomplish trade name leading, it decided to bring forth premium trade name with consistent individuality and strong emotional bonding, where client trueness can be enhanced.
- In order to accomplish merchandise leading, it normally focuses on run intoing latent consumer demands and to add value in the market by being first-to-market launch.
- Finally, in order to accomplish client leading, it hopes to make long term client centric partnership, where coaction with them could assist in making better merchandises.
The STP scheme followed by the organisation is as follows ( Lee, 2005 ; Kotler, 2009 ) :
- It focuses on those sections which are aged 25 to 40, Male skewed, manner witting and educated and possess mid to high income.
- In add-on to that, the placement of its merchandises is largely concentrating on clients wh
o are originative, passionate, accepts and love excellence in life and high involvement in consumer electronic by being an early adoptive parent in order to utilize engineering in mundane lives.
In order to prosecute its selling scheme, it exercises the following Marketing mix program:
Merchandises:First of all, Samsung has a assortment of merchandises such as Tablets, Mobile Phones, Cameras, Televisions, Washing Machine etc. , all of which gives an optimal merchandise portfolio. In add-on, the consumer trusts this trade name due to its product’s public presentation in the last few old ages. Furthermore, the after sale service for these merchandises have been really dependable and fast, as a consequence of it is considered as a position symbol for its clients. Specifically, Samsung’s merchandises such as Samsung S4 and S5 uses a standard design for its hardware and besides a criterion operating system, known by the name of Android ( Bhasin, 2014 ; Armstrong P. , 2008 ) .
Pricing:In add-on to its ability as First-to-launch trade name, Samsung besides uses a market planing monetary value technique to bear down premium monetary values at the beginning in order to acquire advantage of profitable chances before allowing any rival to come in the market such as it charges high monetary values for its Samsng note 3 at its debut phase, nevertheless, when it realized that the competition is acquiring tough, so it decided to take down its monetary values in order to bear down competitory monetary values in the signifier of a acute pricing scheme ( Bhasin, 2014 ) .
Although the planing pricing scheme proved successful for its nomadic phone merchandises due to best public presentation amongView entire sampleJoin StudyHippo to see entire essayView entire sampleJoin StudyHippo to see entire essay
the users, nevertheless ; it’s other merchandises related to place contraptions are non good in comparing to its rival such as LG due to which it resorts to competitory pricing alternatively of prosecuting the distinction scheme in footings of design and engineering ( Bhasin, 2014 ; Kotler, 2009 ; W.Farris, et al. , 2010 ) .
Promotions:When it comes to forcing, Samsung employed multiple signifiers of publicity including those which offers assorted benefits and price reductions to its trade spouse in order to increase the sale of its merchandises. Therefore, the pulling of client is done through an effectual advertisement while the forcing is through gross revenues publicity ( Bhasin, 2014 ) . With its strong selling scheme its advertisement scheme has proven effectual against its rival Apple during 2012 as it spends $ 770 million over the last two old ages ( Dignan, 2014 ) .
Topographic point:In order to widen its merchandise handiness, it uses assorted channels in the market. As portion of this selling scheme, it focuses on three sections of supply concatenation dwelling of Gross saless and Service traders, Modern retail and distributers. The map of gross revenues and service trader is to keep cardinal histories for the company along with accomplishing corporate gross revenues ( Bhasin, 2014 ) .
Marketing Strategy of Apple:
The Marketing Strategy of Apple is really different and alone from the one which is normally adopted by assorted companies. In order to go a top participant in the nomadic Industry, it follows a scheme which is non traditional, which means it has no or less selling budget for any of the promotional activites required for publicizing its merchandises such as Television Ads, newspapers, magazines, SEO and Social Media ( Baker, 2008 ) . In add-on the company acquire its IPhone merchandise promoted by other companies, which non merely agrees to advance it with full support but besides to pay for it every bit good. These Network suppliers are normally involved in advancing the Apple merchandises but they besides face some limitations, in footings of what the ad should look like and what type of content should be published for it, as imposed by the Apple ( McCormack, 2014 ) .
The Segmentation of the Apple merchandises, particularly IPhone and IPad are targeted towards those clients who wanted to experience particular and taking a luxury life is their penchant. Therefore, the psychological idea of the client is captured by the organisation in such a manner that it restricted its IPhone supply in order to do it available to the few clients. That’s why this type of scheme intrigues the media to cognize why the clients are waiting for yearss and hebdomads to acquire the IPhone merchandises by kiping near the IPhone shop, which helps the organisation in acquiring attending from the media ( Promotion ) at no cost at all. Finally, the Strategy of restricting its IPhone merchandise supply is to make two distinguishable type of clients consisting of the one which owns the IPhone in order to experience particular as portion of entirely technique and the others who are deprived of it in a sense that
- Audience Theory
- Brand Management
- Competitor Analysis
- Customer Service
- Discount Store
- Electronic Commerce
- Fixed Cost
- Internet Marketing
- Laundry Detergent
- Market Research
- Market Segmentation
- Marketing Management
- Marketing Mix
- Marketing Plan
- Marketing Research
- Marketing Strategy
- Online Shopping
- Point Of Sale
- Product Differentiation
- Promotion And Marketing Communications
- Research Methods
- Supply And Demand
- Total Cost
- Total Quality Management