Samsung Galaxy S6: A Balanced Positioning Strategy

The assignment content discusses the positioning strategy of Samsung Galaxy S6, which is a balance between cost leadership and product differentiation. The primary target market includes middle-class consumers who are willing to buy innovative features. The product is positioned in the first quadrant due to its average pricing and branding. To enhance the product position, the company should engage in more promotional activities, use celebrity faces for promotion, and provide after-sales services and customer support. The marketing mix components include product, price, distribution, communication, and implementation plan. The price strategy aims to cover a large audience and achieve high profit levels.

Running head: Marketing plan
Marketing plan
SAMSUNG GALAXY S6
Student name
Course work

Marketing plan 1
Table of Contents
Executive summary.....................................................................................................................................3
Introduction.................................................................................................................................................4
Current situation.........................................................................................................................................4
SWOT Analysis.........................................................................................................................................4
SWOT factors...........................................................................................................................................6
Target market segmentation.......................................................................................................................6
Segmentation approach..........................................................................................................................6
Three Target market segments................................................................................................................7
Selected Target market segment.............................................................................................................8
Marketing objective.....................................................................................................................................8
Product positioning.....................................................................................................................................9
Recommendation of positioning strategy................................................................................................9
Intended positioning strategy................................................................................................................10
Defending Positioning strategy..............................................................................................................10
Marketing mix...........................................................................................................................................11
Product..................................................................................................................................................11
Price.......................................................................................................................................................11
Distribution............................................................................................................................................12
Communication.....................................................................................................................................12
Implementation plan.................................................................................................................................12
Implementation schedule......................................................................................................................12
Implementation tactics..........................................................................................................................12
Contingency plan...................................................................................................................................12
Research plan........................................................................................................................................12
Financial projection and implications........................................................................................................12
Projected income statement.................................................................................................................12
Projected break-even analysis...............................................................................................................12
Financial implications............................................................................................................................12
Overall recommendations.........................................................................................................................12

Marketing plan 2
Recommendations.................................................................................................................................12
Support by SWOT analysis.....................................................................................................................12
Support by marketing concepts, terms and information.......................................................................12
References.................................................................................................................................................13

Marketing plan 3
Executive summary

Marketing plan 4
Introduction
In this present paper we will describe the marketing plan of Samsung galaxy S6. The study includes
SWOT analysis, target market segmentation, marketing objectives, product positioning, marketing mix,
implementation plan, financial projections and implications, and overall recommendations.
The company is planning to launch this product in August, 2016. The company is aiming for 1 percent of
the US smart phone market through unit sales volume of 1 million. This smartphone will help people to
get a product that is feature rich, reliable and is cost-effective.
Following are the features of Samsung galaxy S6:
 5.1 Quad HD super AMOLED display (2560X1440), 577 PPI
 Fast camera with F1.9 bright aperture.
 Long lasting battery with wireless charging.
 64 bit architecture
 Powerful security solutions: KNOX and fingerprint scanner
 Seamless content sharing with Samsung smart TV via Bluetooth low energy
 New smart manager application
 The processor is CPU speed 2.1 GHz, 1.5 GHz with Octa-core type of CPU.
 The size is 12.92 cm with 16M color depth.
Current situation
SWOT Analysis
The swot analysis is used to analyze the strength, weakness, threats and opportunities of a
company. It is used to analyze the internal and external factors of a company. The external
factors are threats and opportunity.
1. Strength
I. Innovative product
The Samsung has introduced an innovative product which helps to compete in the
external environment by its innovative features and technologies. The internal
environment is impacted by changing in its operational and production activities.
The innovative product is strength of the company which impacts on the
marketing mix segments (Rapp et al., 2014). The product mix is impacted by
adding a new product for the consumers. The pricing mix is impacted by
increasing
II. Android OS
The Android OS is widely acceptable so it is strength of a product. It is
customizable, side-loading apps, multitasking, flash support, easy to get approval
for delivers. These features help to attract large number of consumers. The

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internal environment is impacted by generating high revenue which helps in
increasing the productivity of the company. The features help in competing with
major players in external environment. The promotional activities should consider
the benefits of android feature to increase the sales. The pricing strategy should
consider the widely accepted price. The android feature helps in building strong
product portfolio which helps to string the product mix of Samsung.
2. Weakness
a. Inconsistency in Physical device
The product is a physical device so it is inconsistent from mid-range to high-end
phones. It is bulky so it may be too big for some users. The product mix includes
the vast product portfolio which is impacted by the features of physical device by
affecting the status symbol of Samsung. The physical device also impacts on the
price mix by lowering the price of product. The physical device impacts on the
place mix by considering the safest distribution channels for the delivery of
products. The promotional activities like advertisement should consider the
feature of physical device to change the mindset of consumers towards product
reliability.
b. Limited market share
The company is having limited market share in ever growing segment. Samsung
is mainly focusing on mass market instead of niche market which requires more
focus on developing the product. The limited market share impacts on the pricing
mix by forces the company to choose competitive pricing for the survival in the
market.
3. Opportunity
a. Excellent services
The consumers in cell phone industry can be attracted from providing excellent
services which help to maintain the brand image and it directly impacts on
increasing the demand (Bull et al., 2016). It impacts on product mix by increasing
the demand of the product.
b. Address to large market
The company is having wide range of product which can address large market. It
impacts on product mix by targeting large audience.
4. Threat
a. Challenge of low pricing
The company is adopting a low price manufacturing which affects to the quality
of a product. The quality is a major aspect which impacts on the brand image. It
impacts on pricing mix strategy and the company will adopt low pricing strategy.
b. Aggressive competitors
There are many competitors in cell phone industry and they are competing with
new technologies and innovations. So the survival in a market is a major threat for

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the market. It impacts on promotion mix and the company needs to do more
promotional activities for the survival in a competitive world.
SWOT factors
Following are the five important SWOT factors:
1. Innovative product
The innovative product is strength of the company because it is very necessary for the
survival of the company in a competitive mobile phone industry. It is very important factor
from the marketing prospective because the company needs to new technologies and
innovations.
2. Excellent service
The company needs to provide excellent service to create a brand name in the market which
is very necessary for the survival in the competitive world. It helps in promoting products
and services which directly impacts on sales volume.
3. Aggressive competitors
It is a very important factor because the company needs to compete with existing major
players. The product and services served by competitors needs to be taken into account
before making strategies. It helps in building promotional activities which promote the
products and services.
4. Limited market share
It is also an important factor which needs to be considered because market share is very
necessary for promoting the products and services. The company must consider on the
growth of market share which helps in building the image.
5. Address to large market
The company is having wide range of products which helps to access large market and it is
very necessary for marketing of products and services which directly impacts on the sales
volume.
Target market segmentation
Segmentation approach
The consumer characteristic segmentation approach is used to segment the market on the basis of
demographic characteristics. The characters include age-group, sex, income, family-size,
occupation, level of education and others (Wedel et al., 2012). The consumer characteristic
approach is appropriate for the marketing prospective because of the following reasons:
 Consumer characteristic approach helps to segment the market on the basis of
demographic and geographic characteristics which helps to build the marketing strategy
according to the age group, income, occupation and others (Valencia et al., 2016).

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 The approach helps to build strategy by clearing the vision of target audience according
to the product.
 The Consumer product is Samsung galaxy S6, the organization is Samsung and the
marketplace is both online and offline which helps to promote the product widely.
 The marketing is done by identifying the target audience and the strategy is decided
according to the type of audience. The consumer characteristic approach helps to identify
all the requirements of marketing.
Thus the consumer characteristic approach is appropriate from the marketing prospective.
Three Target market segments
Following are the three target market segments:
a. Middle class
The summary profile of middle class include the price range acceptable by the them, how
they select the particular product, what are the features required by them, market place
adopted by a middle class, what are the expectations, taste and preferences and others. The
price range is lower than elite class, they want more features with in a price range, their
expectations are also high and they purchase to touch the level of elite class. It is one of
the targeted markets for selling Samsung Galaxy S6 because the consumers under middle
class cannot afford luxurious product but they can purchase superior product to come
under elite class.
b. Elite class
The elite class consumers can easily afford the product according to their level of income.
The elite class is focusing on the status and class so they easily purchase by considering
the features of products. The summary profile include rich people who can easily afford
the price range, the market place is mainly offline, the product purchased on the basis of
features and its look. It is the second target market because the consumers can afford its
price range.
c. Young generation
The young generation is the third target market because the Youngers are focusing of
show off and purchasing expenses products. They are attracted by its brand image and
superior features. The market place is mainly online. The price range is not considered for
targeting the young generation but its features and image helps to attract large number of
consumers. The Samsung S6 is having high brand image and the product is having
advanced technology features which attracts the young generation. The summary profile
includes the age class of 18-30 who are willing to purchase by its looks and advance
features.

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Selected Target market segment
The middle class is chosen over the others because the elite consumers is not having an issue of
price range so they can also purchase a high class product and the young generation also shift its
demand to the other products. The middle class is focusing on purchasing the expensive products
so they can reach at the elite class and they cannot afford higher than this price range so they are
the primary target audience. The marketing of middle class audience is done through
advertisement, promotional activities such as discount, coupons and others (Abeza et al., 2014).
The company can make marketing on the basis of social class and income. The income level of
middle class is also average so the pricing of Samsung galaxy S6 is also comes under the income
level of middle class. The middle class is the primary target audience because it is suitable from
every aspect which includes pricing, features and others. The middle class is of more state of
mind than a data segment so they can easily attract from marketing activities. The economic
standard of middle class is $35,000 to $100,000. The marketing strategy includes creation of
brand image which is very necessary because the middle-class consumer focuses on the brand
image. The marketing through celebrities also helps to create increase the sales by promoting the
product.
Marketing objective
The marketing objective of the company should include the goals and objective of the company.
The objective should be fir within the organization and it should be efficient and effective. The
marketing objective of a company is based on SMART strategy which is specific, measurable,
achievable, realistic, and time bound (Kotler et al., 2015).. Following are the three marketing
objectives of Samsung galaxy S6:
1. Increase the sales
The primary objective of marketing is to increase the sales volume which helps in
expending the business across the globe. To increase the sales volume is the main
objective because every company is surviving for earning. The marketing objective is to
increase the sales by 5% from end of the year. The objective is realistic and it can be
achievable. It is based on the SMART strategy because to increase the sales is a specific
term, time bound in within a year, it can be measured in number and it is realistic kin
nature.
2. Increase market share
The second marketing objective is to increase the market share because the Samsung is
having limited market share. The objective is to increase the market share by 25% within
a year. The objective is based on SMART strategy as it is realistic, achievable,
measurable, and time bound is one year. It directly impacts on the brand image of a
company which helps in achieving another objective of sale increment by 5%.

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3. Enhance consumer relationships
The consumers are the king in business so to enhance the consumers relationship is very
important objective of marketing. The consumer’s satisfaction helps to create goodwill of
the company which directly enhances the sales volume. The consumers relationship can
be maintain by taking consumers feedback, after sales services, warranty and guarantee
of products (Chen et al., 2013). The relationship builds trust between the consumers and
brand which helps to maintain a long term relationship. The brand image and goodwill
helps the company to gain long term sustainable profit.
Product positioning
The product positioning is very necessary for creating the image in the eyes of consumers. It is
very important for creating the brand image which helps to attract the large number of
consumers. Following are the recommendations of positioning the product:
Recommendation of positioning strategy
The cost leadership and product differentiation positioning strategies are recommended because
the Samsung has to consider the cost and pricing to attract the primary target audience which is
middle-class consumers. The balance of bot the strategies helps to achieve the goals and
objective so the company. The cost leadership provide average product with low cost of product.
The economies of scale help in saving the cost of production which directly increases the profit
margin of the company (Kim et al., 2013). The product differentiation strategy helps in creating a
unique product to the broader possible market. The strategy is also focuses on continues
innovation which helps to survive in the competitive market.

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Intended positioning strategy
The intended positioning strategy is plotted on the basis of two parameters namely brand and
pricing. The Samsung galaxy S6 is positioning in the first quadrant because the pricing and
branding is average.
Defending Positioning strategy
The positioning strategy is a balance of cost leadership and product differentiation. This strategy
is appropriate according to the primary targeted market. The target market includes middle-class
consumers who are willing to buy with the innovative features. The Samsung galaxy S6 is
positioned in the middle of first quadrant because of its price and average branding for the target
audience. The cost leadership strategy is used to produce average product at low cost which
helps to get the advantage of economies of scale. The product differentiation helps to
differentiate the product in the competitive market of Canada by innovative features in the
mobile phone. The balance of both the strategies helps to create brand image in the eyes of
consumer’s which helps in positioning of Samsung galaxy S6. The company needs to do more
promotional activities which helps to support the product positioning. The company should also
use the celebrities face for promoting the product which helps in maintaining the product
position. The product position can be enhanced by providing after sales service, customer
support and other services. The strategy supports both the consumers and organization because
the cost leadership helps in producing at low cost and product differentiation helps in innovating
product continuously which helps the organization to compete in the competitive market (De
Mooij et al., 2013).

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Marketing mix
Following are the four components of marketing mix:
Product
The objective of a product is to fulfill the needs and demands of consumers. The product
concepts state that the consumers will purchase the product that is having some quality, features,
distinct from other products. The concept consists of three layers, namely, Augmented, expected
and core. The augmented include credit, delivery, after sales service, warranty and intangible
associations. The expected layer includes merchandising, availability of stock, turnover, staff
training, promotional support and others (Huang et al., 2014). The core layer includes the
essential benefits of products. The augmented layer of Samsung galaxy S6 should cover all the
aspects such as on time delivery, warranty and guarantee of 1 year, after sales service, credit
facilities which allow the consumers to feel delighted. The expected layer of Samsung galaxy S6
should fulfill the requirements such as stock availability, merchandising, staff straining about the
knowledge of Samsung galaxy S6. The core layer of Samsung galaxy S6 should fulfill the
essential requirements so that the consumer feels satisfied which helps in building the brand
image of the company. The service strategy focuses on helping IT department to improve and
developed for the long period of time. The branding strategy of Samsung include the logo,
promises make and fulfill by the company, color, slogan and other creative elements which helps
to convey the brand. The tagline used for Samsung galaxy S6 is “Executively crafted,
captivatingly brilliant” which conveys the message that the technology used in the product is
advanced and brilliant. The packaging and labeling of Samsung galaxy S6 is according to the
taste and preference of consumers in Canada. It should be representing in such a manner that it
will attract the attention of consumers.
Price
The objective of pricing policy is to cover the mass audience and high level of profit. The pricing
policy of the company is made by considering the price policy used by other competitors so that
the pricing will be done accordingly. The pricing tactics is used to attract the large number of
consumers by showing that the product is less expensive which helps to establish the image of a
product as a luxury item. The tactics used for pricing the Samsung galaxy S6 include charm
pricing, bumps, anchoring and considerations.

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Distribution
Communication
Implementation plan
Implementation schedule
Implementation tactics
Contingency plan
Research plan
Financial projection and implications
Projected income statement
Projected break-even analysis
Financial implications
Overall recommendations
Recommendations
Support by SWOT analysis
Support by marketing concepts, terms and information

Marketing plan 13
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