SAMSUNG GALAXYTHE MEDIA PLAN

01 SITUATION ANALYSISBrand OverviewProduct OverviewSWOT AnalysisTarget MarketCompetitor Analysis

02 MARKETING STRATEGYMarketing ObjectivesMedia ObjectivesGeographySeasonalityOverall Target Coverage

03 MEDIA MIX Media StrategiesMedia Vehicle Selection

04 FINANCIALMedia BudgetAdvertising Flowchart

CONTENTS

SITUATION ANALYSIS01

Samsung is a multinational corporation specializing telecommunication and digital convergence technologies. Founded by the family of the current CEO in a small city of Korea named Taegu, Samsung operates as an export company with 206 offices and facilities in 68 countries. Samsung has been a worldwide Olympic partner since 1997 and has been named one of World’s 50 Most Admired Companies by Fortune magazine. The corporation has also been ranked 19th in BusinessWeek/

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Interbrand’s 100 Best Global Brands in 2013. Following their management philosophy “We will devote our human resources and technology to create superior products and services, thereby contributing to a better global society,” Samsung Electronics has become the field’s most leading company that has kept its dominant position in the TV, DRAM, LCD monitor, and NAND Flash segments.

Android, the Google Inc. smartphone operating system produced by Samsung Electronics, has been a hot topic lately, with some arguing that it may become an unilateral smartphone superpower and others arguing that it has already peaked in the US market. The Samsung Galaxy S, the most popular product among Android devices, has released 46 different models since June 2009, with TechRadar naming its most recent model, Galaxy S3, the No. 1 Best Smartphone in the world in 2012. A lot of this conversation seems to assume that Android’s (and by extension, Google’s) gain is Apple’s (Samsung’s top competitor)

loss and vice-versa. According to Arbitron, the average household income of iPhone owners is $105K, while the average for Android is $89K. This is likely a result of Android’s more affordable prices, however Samsung worries that lower numbers have been creating a misconception among their markets that they affect the quality of the product. Samsung needs to make more of a marketing effort to create better awareness of the innovative design and sustainability that Android devices provide and to whom they can advertise to in order to effectively deliver this message.

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STRENGTHS WEAKNESSES OPPORTUNITIES THREATS

- Wide range of products in portfolio, including phones,

tablets, TV/audio/video/camera, home appliances,

PC’s and laptop accessories.

- Well diversified and differentiated product line

to meet the customer’s changing needs.

- Brand value through multiple sponsorships.

- Holds significant global market share that continues

to grow.

- Untraditional Human Resource practices based on

meritocracy, not seniority.

- Financially strong; attractive pay, bonuses and

incentives.

- Samsung’s brand value increased by 80% in three

years.

- Samsung does not charge high prices for its products,

therefore people often affiliate low price with low

quality.

- Many products are not user friendly, therefore consumers

often hesitate to switch to Samsung products even if the price and quality is

exceptional.

- Does not focus on a specific niche; it offers its

products to the mass market only.

- Does not create its own software, therefore it often relies on other sources to complete the products.

- Faces immense competition from new companies and online

companies.

- Lacking revenue in apps.

- Creating own softwares for their hardware devices to

reduce outsourcing.

- Making an effort to launch creative and innovative

products first, rather than after its competitors.

- Offering additional services to retain existing customers

and attract new ones.

- Opening more stores to serve and attract more

customers.

- Launching sub brands to the company, with new and

improved strategies.

- Creating more user-friendly software.

- Identifying, monitoring and engaging with tech influencers

via social media to promote the innovation of the brand that is lost in the midst of its

competitors.

- 73% of Galaxy users are low-to-middle income males

- Similar leading smartphone manufacturers, such as Apple, who generally linked product

lines, which means if one product line fails due to its own reasons other product lines will

also suffer.

- Product diversification takes a lot of effort and attention.

- Samsung has set up production plants in low cost areas, which are subject to ample political

and economic instability. These instabilities can have an impact

overall company it the crisis gets unmanageable.

- Facing threats from many other low cost companies.

Various companies have realized the importance of

advertising, therefore Samsung will be subject to a lot more

competition.

- Many government legislations are now active against the

innovative technology due to health and mental concerns.

T A R G E T M A R K E T

PRIMARYYoung professionalsBusiness travelers

Software Developers Tech-gadget enthusiasts

SECONDARY Health & Fitness Gurus

Online ShoppersMoms on-the-go

Owners of Samsung devices are likely to pos-ses many personas, including some of those most sought-after by advertisers (e.g., Business Travel-ers and Moms). Since persona memberships are based on over-indexing for time spent in particular types of apps, this suggests that Samsung device owners are generally more enthusiastic app users than owners of other brands of Android smart-phones and tablets. According to Nielson ratings, 73% of Android users are also male with a low-middle income status. Furthermore, Samsung’s primary target markets for this media plan will be young business professionals and travelers ages 24-35, applica-tion developers and tech gadget enthusiasts, and low-income students who have the heaviest inter-net usage ratings. Samsung’s secondary target market are health and fitness gurus, online shoppers, social media influencers, journalists, tech bloggers, and smart-phone users 35+.

02MARKETING STRATEGY

MARKETING O B J E C T I V E S

The overall objective for this media plan is to convince consumers that the Samsung Galaxy is not only the most trendy and affordable smartphone amongst all its competitors, but despite its low price it provides the high quality that their target market would normally pay top price for. The marketing strategies within this media plan also intend to establish a clear message to each of Samsun’s individual target markets, such as developing a stronger social media presence for the younger primary target markets that will ultimately achieve more brand awareness and thus, create more of a valuable experience for current users as well as attracting new customers. The most important objective throughout this media plan is to maintain Samsung’s already established and increasing market shares by frequently exposing their target markets to advertisements and interactive campaigns throughout various mediums.

MEDIA O B J E C T I V E S

In order to increase Samsung’s market share, increase sales, brand awareness and brand loyalty, we will utilize the principles of marketing: product, price, place and pro-motion. To successfully achieve these media objectives, we will focus advertising af-forts on television, magazines and the internet. Samsung will allocate money from the TV advertisements and on media evaluation and research. We will advertise at optimal times and places to better reach our target audiences with the help of various market research data.

Our target audience of young professionals and men ages 18-35 and second target audience for fitness junkies and women ages 30-55 respond the best to television, magazines and internet advertisements, as each persona is constantly on the go but still needs consistent connection at all times. Samsung’s media and creative strategies will really help target these specific audiences and influence them not only to consider Samsung the leading and innovative brand it is,but become advocates for Samsung which will then help increase the brand awareness and interactivity with the business and the consumer.

Our campaigns will launch just before Samsung releases its three newest products. We will push heavily throughout July and the campaign will then continue lightly up until the holiday push around November 2014, ending in January 2015. Cell phone shopping does not have a designated strong purchase period, however sales definitely face higher competition around the holidays.

GEOGRAPHYWe will advertise nationally with a heavy up plan in the major metropolatin areas of New York, Chicago, Los Angeles, Dallas, Houston, San Antonio and San Francisco. These are trendy areas with heavy internet usage. According to Simmons, a large portion of our target lives in these areas. We need to be right in with out compeitiors, giving out target all the information they need so they can choose Samsung.

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MAY JULY NOV JAN

HEAVY HEAVYLIGHT

O V E R A L L T A R G E T C O V E R A G E

The goal is to reach at least 60% of Samsung’s primary target audience of young, male professionals from the ages 25-34 throughout the country throughout the course of two years. Samsung is still in the maturity stage of the product lifestyle, so it is best to set an advertising goal to reach within its current and prospective brand users in order to measure effectively and make adjustments if needed.

Frequency is the most important thing, however. During the first four weeks of the initial year, we want Samsung’s audiences to be exposed to at least 12 of our advertisememts for syndication, prime time and network televison. For our magazine advertisements, we want Samsung’s target audience to be exposed to at least two advertisements within the first two weeks. Lastly, we want online users to be exposed to at least three or four online ads.

Through the proposed reach and frequency goals, Samsung will have a better avenue to increase its brand interactivity to foster new relationships and remain loyal to those previously.

M E D I A M I X

03

S O C I A L M E D I AOne of Samsung’s major flaws in their online presence is their lack of

ability to keep their social media accounts updated and interactive with new ideas. Configuring social media costs in this media plan is crucial in

order for Samsung to boost their brand recognition wherever people are- whether that means interactive marketing campaigns, posting photos and videos, creating polls or giveaways. Consistent, positive affiliation

with the brand to its target market will also help Samsung collect valuable research information through audience reactions, particiption, etc. at little

to no cost.

A portion of the internet budget will also go toward video advertisements on YouTube. Samsung will use this video advertising space on YouTube to create short, 15-30 second tutorials on various

features of your phone that will help the brand stand out amongst its competitors. Ads will take place during the Q1 to create buzz and start

targeting than young demographic before the new release.

TYPE AMOUNT % OF VEHICLE BUDGET TOTAL

YOUTUBE Video Ad $1,159,445 27.73% $1,159,445

FACEBOOK Banner $579,723 13.87% $579,723

= $ 1 , 7 3 9 , 1 6 8 . 0 0

M A G A Z I N E S

INDEX TOTAL CIRCULATION FREQUENCY 3PG COLOR RATE TOTAL

GQ 152 938,359 MONTHLY $515,427 x 3 = 1,546,281

FORBES 149 931,558 18x PERYEAR $443,600 x 2 = 887,200

RUNNER’S WORLD 149 673,001 MONTHLY $318,855 x 3 = 956,565

= $3,390,046.00

Since magazine indexes were so high, and after seeing the direct relationship between specialty magazines and Samsung’s primary and

secondary target markets, we wanted to use print magazines as one of our mediums. According to MRI+, men are also morelikely to read sports

magazines such as ESPN than to talk about the college or national league games.

Magazines allow you the leisure to target very specific markets, which is ultimately what Samsung needs to do in order to establish themselves

further in the competitive smartphone market. Also, with travel magazines in airports, airplanes, etc., the ads are more likely to get a lot more

exposure to different people around the world. Magazine ads will generally take place during Q2 after the new release of products.

T E L E V I S I O N

GRP CPP FREQUENCY TOTALDAYTIME 25 $7,000 12 weeks $2,100,000

PRIMETIME 25 $25,300 4 weeks $2,530,000

= $ 4 , 6 3 0 , 0 0 0 . 0 0

The majority of Samsung’s target markets, when they have the time, enjoy watching either sports or the news. ESPN challens and other sports netwoeks have a high index for Samsung users, which gives Samsung the advantage to advertise during football and basletball season to create an impact where most social gatherings are occuring.

Television advertising will only take place throughout Q3 and Q4 during the football and holiday season due to budget limitations and seasonality. These three day parts will be covered to reach all of Samsung’s interests during the winter season. Daytime frequency is increased for advertsing to appear during national and college sports.

B U D G E TR E C A P

TOTALSOCIAL MEDIA (Q1) $1,739,168

MAGAZINE (Q2) $3,390,046

TELEVISION (Q3 & Q4) $4,630,000

TOTAL BUDGET: $9,759,214

SOURCESMRI Plus Data Reports

SRDS Media Publications

Nielson’s Television Ratings

http://www.flurry.com/bid/100089/Samsung-The-True-Ruler-of-the-Android-Kingdom#.U2ovWq1dV94