Mobile Phone Ultra II Edition U700
Presented by
Me to Shine, Mine to Share
Thirada WaivitlikitSiriorn SutheerawongPawaleePiyavidyakarnLalinda Chaisavetkanon
AGENDA
• What’s happening?• Who’s our competitors?• What about our brand?• How do we see U700?• Who would like to buy
U700?
AGENDA
• How would we like them to see U700?
• What should we do?• How can we do?• Is it possible?• What about in the long
run?
What’s happening?
Market Analysis
• Intense competition
– Various products and target groups
– Continuous product improvements
• Multimedia Technologies
• Market leader exists
• Total sales in Unit of mobile phone industry
Year Sales (millions)
2006 7
2005 6
2004 5.8
2003 6.1
Market Analysis
Market Trend
• Price cuts
• Basic multimedia functions – camera, music
• Knowledge seeking before purchase
• More mobile phones launched
Who’s our competitors?
Market Share 2006
65%8%
7%4% 2% 6%
8%
Nokia Motorola Samsung
i-Mobile Sony Ericsson LG
Others
Nokia
• Market Leader – 65% market share– Easy to use– Variety of products for different
target groups– Reasonable prices– Localized marketing strategies
Nokia
Brand of mind
Motorola20%
Others1%Nokia
55%
Samsung22%
Sony Ericsson
2%
Nokia
Best in Technology
Samsung16%
Sony Ericsson
25%
Nokia59%
Nokia
• Worthiness of money
Nokia48%
Samsung18%
i-Mobile34%
Nokia
• 2007 Strategic plan
– Target young generation and music lovers
– Suburban area
– Convergence technology
• Comparable model: Nokia 6500
Motorola
• 8% market share• Brand image - Artist/Sweet Scientist • 2007 Strategic plan
– Fashion phone – “Own Design”– Motobus
• Comparable model: Motorola RAZR2 V8
i-Mobile
• Thai company from Smart Corporation
• High growth rate (43% domestic, 800% worldwide)
• Unique and various multimedia functions
• 7% market share
• Service center nationwide
Sony Ericsson
• 4% market share
• Use its sub-brand reputation – Sony Walkman, Sony Cybershot
• Hard to use
• 2007 Strategic plan
– Prices cut
• Comparable model: Sony Ericsson W880i
LG
• 2% market share
• 2007 Strategic plan
– Road shows
– point-of-sale- purchase promotion
– launch 30 models - emphasize on the multimedia functions
• Comparable model: LG KE 970 Shine
What about our brand?
Samsung Status
• Second place in mobile phone industry
• Best in design
LG5%
Nokia27%
Samsung68%
Samsung Status
• 2006 Strategy– Premium target
• 2007 Strategy– Middle and lower segments
high potential growth
– Launch 50 models – 40% target middle and lower segments
Samsung Positioning
Channel Analysis
• Exclusive distributor Sam Corporation
• Sam Corporation retailers and modern trade
• Samsung chain stores and operators
Channel Analysis
• Most popular channels chain stores and retailers
Brand Shop7%
Others3%
Chain Store58%
Retailer32%
How do
we see
our product?
SWOT Analysis
• Strengths
– World-class brand
– Brand in mind for best design
– Recognition for its good imaging and sound
SWOT Analysis
• Weaknesses
– Fingerprints are left
– No radio function
– Few Samsung shop
SWOT Analysis
• Opportunities
– More stable political stability spending confidence
– Mobile phone as the fifth living element
– Samsung as the best brand in design
– More fashionable lifestyle
SWOT Analysis
• Threats
– High Competition
– Lots of mobile phones launched prices cut many features at lower prices
– Conflict with Sam Corporation negative image
– Existence of market leader
Who would like to buy
U700?
Targeting
• Age: 18-27 years old
• Middle to upper classes
• Trendy & multimedia lifestyles
• Hobbies: movies, shopping, reading magazines
• Information seeking before purchase
• Factors determined purchase Design and functions
How would
we like
them to
see U700?
Positioning
What should
we do?
Objective
Create Product
Awareness
Creative Strategy
“ Imagine Perfect Integration of Lifestyles ”
• Fashionista-Lifestyle
– Mirror cover
– Net stocking shape speaker
“ Imagine Perfect Integration of Lifestyles ”
Creative Strategy
• Music Lover-Lifestyle– The scroll navigator – ICEpower®
Technology by Bang&Olufsen
“ Imagine Perfect Integration of Lifestyles ”
Creative Strategy
• Artistic-Lifestyle– Auto-focus of
build-in camera – Front camera
• Business-Lifestyle
- HSDPA 3.6
-full internet browsing
How can
we do it?
Marketing Strategy
Integrated Marketing Communication
• Samsung U700 Atelier
• Cinema Advertising
• Samsung U700 Mirror Advertising
• Samsung U700 Information Vendor
• Advertisement in Magazines
• Free Bookmark in Magazines
Samsung U700 Atelier• Provides customer services• Location – Siam Paragon (in front of
Samsung shop)
Samsung U700 Atelier
PLAY
Cinema Advertising
• Most popular free time activity
Exercise2%
Shopping24%
Internet12%
Magazine19%
Others2% Movies
41%
Cinema Advertising
• 14 Paragon Cineplex’s theaters
Paragon Cineplex
71%
Major21%
SF Cinema
8%
Cinema Advertising
Mirror Advertising
• Usage of cinema restrooms
Use98%
Do not use2%
Mirror Advertising
Mirror Advertising
U700 Information Vendor
• Information seeking before purchase
• Uncomfortable with sales representatives
U700 Information Vendor
• 10 vendors
• Locations – Siam Paragon, Central World, Emporium
Siam Paragon
54%Siam
Square18%
Central World21%
Emporium7%
U700 Information Vendor
PLAY
Advertisement in Magazine
• Reading magazines is the 3rd popular hobby
Music9%
Exercise2%
Internet11%
Magazine17%
Others2%
Shopping22%
Movies37%
Advertisement in Magazine
• Women magazine Cleo
Preaw19%
Ther-Kub-Chun12%
Others3%
Cleo43%
Cosmopolitan
23%
Advertisement in Magazine
• Men magazine FHM
Maxim12%
FHM36%Car
19%
Others33%
Bookmark in Magazine
• Attach together with Cleo and FHM magazine
• Can be use elsewhere
• Self-advertised
• Sample bookmark
Bookmark in Magazine
Front
Back
Gantt Chart (Timeline)
IMC Nov ‘07
Dec ’07
Jan ‘08
Samsung U700 Atelier
Cinema Advertising
U700 Mirror Advertisement
U700 Information Vendor
Advertisement in Magazines
Free Bookmark in Magazines
Is it possible?
Budgeting
1. Samsung U700 Atelier
2. Cinema Advertising
Studio’s Construction 1,000,000
Space Rental Fee (3 months) 6,500,000
Total 7,500,000
Production of Advertisement 1,000,000
Show Period (3 months) 1,500,000
Total 2,500,000
Budgeting
3. Samsung U700 Mirror Advertisement
4. Samsung U700 Information Vendor
Printing Costs (x20) 10,000
Rental Fee (3 months) 180,000
Total 190,000
Vending Machine (x10) 1,500,000
Space Rental Fees (3 months) 30,000
Total 1,530,000
Budgeting
5. Samsung U700 Advertisement in magazines
6. Samsung U700 Bookmark in magazines
Publishing Fees (3 months) 220,000
Total 220,000
Printing Cost 25,000
Publishing Fees (1 Period) 20,000
Total 45,000
Budgeting
TOTAL BUDGET
11,985,000 BAHT
What about
in the
long run?
Additional Suggestions
• To create strong brand image
• To increase customers’ confidence
• Influenced by conflict with Sam Corporation
Additional Suggestions
1. Education Center by Samsung• For children• Educational and entertainment area –
music, movie, computer, future zone• Resting area for parents• Build relationships • Familiar with Samsung Grow up
Use Samsung’s products
Additional Suggestions
2. Samsung Top Agent Awards• Annual top sales ranking• Two levels:
• 3 Chain stores and modern trade• 10 Small retailers
• Free trip to foreign country• Improve image and relationships with
distributors• Stimulate sales
Q & A
THANK YOU