Optimizing the Channel Distribution for Samsung Galaxy S

The assignment content discusses Samsung's marketing strategy for its Galaxy S smartphone. The company has an innovative product with Android OS and is improving its services to access a large market. However, it faces inconsistencies in physical devices and limited market share, as well as threats from low pricing and aggressive competitors. To optimize costs, the company allocates 5% of total sales on promotional activities, focusing on building product position and conveying benefits to consumers. A SWOT analysis highlights strengths, weaknesses, opportunities, and threats that will guide the marketing strategy. The goal is to increase profit margin by optimizing risk and cost factors.

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.........................................................................................................................................5
SWOT Analysis.........................................................................................................................................5
SWOT factors...........................................................................................................................................7
Target market segmentation.......................................................................................................................9
Segmentation approach..........................................................................................................................9
Three Target market segments................................................................................................................9
Selected Target market segment...........................................................................................................11
Marketing objective...................................................................................................................................11
Product positioning...................................................................................................................................13
Recommendation of positioning strategy..............................................................................................13
Intended positioning strategy................................................................................................................14
Defending Positioning strategy..............................................................................................................14
Marketing mix...........................................................................................................................................15
Product..................................................................................................................................................15
Price.......................................................................................................................................................16
Distribution............................................................................................................................................17
Communication.....................................................................................................................................18
Implementation plan.................................................................................................................................19
Implementation schedule......................................................................................................................19
Measure and evaluation........................................................................................................................21
Implementation tactics..........................................................................................................................21
Contingency plan...................................................................................................................................22
Research plan........................................................................................................................................22
Financial projection and implications........................................................................................................22
Projected income statement.................................................................................................................22
Projected break-even analysis...............................................................................................................23

MARKETING PLAN 2
Financial implications............................................................................................................................23
Overall recommendations.........................................................................................................................23
Recommendations.................................................................................................................................23
Support by SWOT analysis.....................................................................................................................24
Support by marketing concepts, terms and information.......................................................................25
References.................................................................................................................................................27
Appendix...................................................................................................................................................30

MARKETING PLAN 3
Executive summary
Samsung has proven to the business world that they are having the most prestigious technologies
in the cell phone industry. The target market segmentation consist of three classes, the middle-
class, Elite class and the young generation. The primary target audience is the middle-class
because the price range, product features and the technologies are suitable. Since they cannot
afford to purchase expensive cellphone that the elite group could purchase. The product
positioning strategies recommended are cost leadership and product differentiation strategy
which helps to attract the consumers through building the brand image in the eyes of consumers.
The recommended strategies are based on the consumer characteristic approach in which it helps
to build the product in a customize manner. The rationale of marketing mix includes product
mix, price mix, distribution and communication (Solomon, pg.20). The product should fulfill the
demands of consumers by core, actual and segmentation factors of the product concept. Samsung
should use various promotional activities such as sponsorship, advertisement, social networks,
etc. The creative strategy includes the use of social media which helps to increase the sales
volume. The overall recommendations include cost leadership strategy and product
differentiation. Cost leadership strategy helps to provide the benefit of economies of scale. The
product differentiation helps to produce unique product and it also emphasize on continues
innovation which helps to survive in the competitive market. The marketing plan execution helps
to promote the product through appropriate medium to the target audience which helps to
increase the sales volume of Samsung.

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 Canada 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 (Samsung.com):
 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.

MARKETING PLAN 5
Current situation
SWOT Analysis
The SWOT analysis is used to analyze the strength, weakness, opportunities and threats of a
company. It is used to analyze the internal and external factors of a company. Marketers start
with an examination of the facts or observations made in a situational analysis and try to identify
the implications of each of these considerations” (Solomon, pg. 58). SWOT analysis is used for a
closer look at Samsung.
1. Strength
I. Innovative product
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 the strength of the company that has a great impact on
the marketing mix segments (Rapp et al., 2014). The product mix is impacted by
adding a new product for the consumers. For example: Samsung S5 has non
removable battery of 2800mAh, with other innovative features which acts as a
competitive advantage for the product.
II. Android OS
The Android OS is widely acceptable so it is the strength of the product. It is
customizable, side-loading apps, able to multitask and flash support. These
features help to attract large number of consumers. The internal environment is
impacted by generating high revenue which helps in increasing the productivity of

MARKETING PLAN 6
the company. These features help Samsung to compete with major players in the
external environment such as Apple. The promotional activities should consider
the features that the android provides in order to increase the sales of the product.
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. For example: Samsung galaxy S in having Android OS which is
widely acceptable because of its features such as multi-tasking, flash support and
others.
2. Weakness
a. Inconsistency in Physical device
There is an inconsistency in physical device from mid-range to high-end phones.
The size is also large so it may be 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 feature of the device also
has an impact on the price mix by lowering the price of the product. The Samsung
phones are fragile therefore selection of distribution channel should be safest. The
promotional activities like advertisement should consider the physical features of
the device to change the mindset of consumers towards product reliability. For
example:
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

MARKETING PLAN 7
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. For example: Samsung
3. Opportunity
a. Improvement in 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. For example: Samsung after sales services for S5 has
tremendously increased the sales volume by 1% of total android market.
b. Access 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. For example: Sony has wide
variety of products which enable to access the large market and it directly impacts
on the sales volume.
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 influences the brand image. It
impacts on pricing mix strategy and the company will adopt low pricing strategy.
For example: Sony is providing similar product with low price which forces the
Samsung to reduce the price.
b. Aggressive competitors

MARKETING PLAN 8
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
the market. It impacts on promotion mix and the company needs to do more
promotional activities for the survival in a competitive world. For example:
Apple, Sony, HTC is present in the market with advanced technologies which
provide a major competition to Samsung for the survival in the market.
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

MARKETING PLAN 9
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).
 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.

MARKETING PLAN 10
 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 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. For example: Samsung S5 has targeted middle-class audience and the
company has successfully done by fulfilling the consumer’s expectations.
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

MARKETING PLAN 11
price range. For example: Samsung galaxy Note 5 has targeted Elite-class and the
company has successful done.
c. Young generation
The young generation is the third target market because the Youngers are focusing on
purchasing and flaunting 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. For example: Samsung Yuva is targeting young generation and the company has
successfully done.
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 more emotional

MARKETING PLAN 12
than rational consumers 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 fit within the organization and it should be efficient and effective. The
marketing objective of the 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 it in
expanding the business across the globe. The main objective is to increase the sales
volume 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 in
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

MARKETING PLAN 13
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%.
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 both 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

MARKETING PLAN 14
unique product to the broader possible market. The strategy also focuses on continued innovation
which helps the company to survive in the competitive market.
For example: Product positioning of Samsung galaxy S5 has adopted product differentiation
strategy by providing unique features to the product which helps to create a perceived user value
and it directly increases the sales volume.
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

MARKETING PLAN 15
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 (Omar et al., 2013). 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 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 as the cost leadership
helps in producing at low cost and product differentiation helps in innovating product
continuously. It helps the organization to compete in the competitive market (De Mooij et al.,
2013).
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

MARKETING PLAN 16
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 training 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 represented in such a manner that it
will attract the attention of consumers. For example: The Samsung has adequately used the
product mix for Samsung galaxy S5 by appropriate branding, packaging and labeling.
Price
The objective of the 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. The charm tactics lower the price very little

MARKETING PLAN 17
but it enhances the sale of the product. The bump tactics is applied for putting the product in
different category with the change in ending digits (Aghdam et al., 2015). The anchoring tactics
is used to lower the price while setting the benchmark which covers the large market and
afforded by large number of people. The consideration is used to compare the product from the
consumer’s expectations, coverage of operating cost, competitors pricing and others. The
Samsung has to use charm pricing tactic to attract large number of consumers. The terms and
conditions include that the price should cover the expenses of cost of production, operational
cost and other expenditures. The pricing strategy of Samsung galaxy S6 should be set to
maximize the profitability by covering all the expenditures. The prices must be set by
considering opponent’s actions in order to have competitive advantage. For example: Samsung
has used premium pricing strategy for Samsung galaxy K zoom.
Distribution
The objective of distribution is to provide strong channel of distribution across the Canada. The
channel strategy includes the movement of product from vendors to the consumers and it is a
very important aspect for successful business. The channel strategy includes three integrations
namely, Channel selection, distribution intensity and channel integration. The channel selection
of Samsung galaxy S6 includes market factors, producer factors, product factors and competitive
factors. The distribution strategy include intensive, selective and exclusive. The channel
integration includes conventional marketing channel and franchising channel. The distribution
channel should be online and offline because our primary target market is middle class (Bahadir
et al., 2015). The offline strategy of distribution channel includes development of online sales
business plan, design of the online sales organization and processes, definition of website
features and functions, and launch of new e-shop. The offline strategy include channel

MARKETING PLAN 18
introduction in which the channel used by the Samsung, the channel optimization include the
route, the channel mitigation include the channel used the particular class of consumers, the
channel rationalization include the selection of channel to meet the business goals and channel
integration include the integration of channel in the business. The clear and forwarding agents
passed the products to the distribution, retailers, digital plazas, multi-brand retailors and dealers
who directly passed it to the consumers. The client relationship management of the Samsung
should be strong in such a manner that the clients will remain for the longer period of time. The
CRM helps to increase on the sales of the company. The distribution channel should also
consider the cost optimization so that the company can incurred expenditures with the strong
distribution channel (Danaher et al., 2015). The inventory management should also be
considered for the regular flow of products and services. The company should also consider the
risk factors incurred in distribution channel to reduce the risk. The bidding system, incentives,
zero credit and offers helps to increase the push the sales volume of Samsung. For example:
Samsung has used distributors, digital plazas, retailers and other channels for the effective
distribution channel of Samsung galaxy S5.

MARKETING PLAN 19
Communication
The communication channel of the company considers the promotional activities which help to
convey the product to the end users. The multiple promotional activities are used by the
competitors to attract the large number of consumers. The objective of promotional mix is to
convey the product through creating awareness about the product and its benefits to the end users
which directly helps to increase the sales. The communication helps in positioning the product in
the eyes of consumers through building the brand image and it is also helps to create interest
which stimulates the demand. The communication mix include the methods to promote the
product such as advertising, personal selling, discount and promotions, public relations, direct
marketing and event sponsorship. The advertising is the most important and often used method
of communication mix which helps to promote the product by conveying the message to the
target consumers. The Samsung has to allot specific amount to the advertising activities because
it helps to push the major sales in cell phone industry. The personal selling which is the element
of direct selling helps to promote the product through direct communication with the end users.
The discounts and promotions activities help to promote the product by offering coupons, rebates
and percent-off deals to the consumers. The Samsung should adopt various methods of
promotional mix to promote the product to the end users. The creative strategies include social
media marketing which promote the product by setting the product image in the eyes of
consumers (Berthon et al., 2012). The social media marketing attracts large number of
consumers by creating a district image of the product. The creative strategies include
promotional programme, sponsorship, join on weekly hash tags, different post to deal with the
sites and others. The company should adopt push strategy to attract the consumers through
various promotional activities. The budget allocation tactics include spending of 5% of sales

MARKETING PLAN 20
revenue on promotional activities of Samsung galaxy S6. For example: Samsung has used
sponsorship for the promotion of Samsung galaxy S5.
Implementation plan
Implementation schedule
The business implementation schedule includes the business activities performed by each and
every employee and the utilization of resources by the organization. The Samsung should adopt
the extensive customization to match the needs of consumers. The marketing efforts should be
organized around consumer group various consumers group: manufacturing group, non-
manufacturing group, consumer product licensing group, industrial association group. Each of
the group is responsible for the promotion of Samsung galaxy S6 and each group will be headed
by the sales manager then he will report to the managing director. Each group is also responsible
for the marketing of Samsung galaxy S6 within the consumer segment and each group has the
decision making authority. The authority segmentation represents centralized management
hierarchy. The frontline salesperson is empowered to take the decision which satisfies the
consumer needs. These changes help to enable the Samsung to be more creative and flexible to
meet the consumers need and expectations. Following are the steps of implementation of
activities:
1. Create the position of four sales manager and marketing director. The marketing director
will act as a project leader of a new business analysis team and it consist of nine
employees on the various positions within the company.

MARKETING PLAN 21
2. Assign the work to the three members of analysis team. The work include research of the
offerings and clients of Samsung galaxy S6, analysis of current billing cycle and billing
practices, and designing of customer survey project and marketing director is responsible.
3. Finalize of consumer satisfaction survey for current clients and marketing director is
responsible.
4. Implement the consumer satisfaction survey with the random sample of current clients.
5. Analyze the consumer satisfaction report and build the report and evaluate the Samsung
galaxy S6 offerings.
6. Reestablish the objective of business analysis team for the next year and managing
director is responsible.
Measure and evaluation
The financial expenditures are compared with the planned goals of Samsung. Following are the
performance standards and financial controls recommendations:
 The total budget of the research on Samsung galaxy S6, billing analysis, and client survey
should be equal to the 60 percent of the annual promotional budget of the financial year.
 The breakdown of the budget includes 20 percent on the allocation to billing cycle, 30
percent allocation to the consumer survey and the development of market information
system and 50 percent to the new business development and implementation of Samsung
galaxy S6.

MARKETING PLAN 22
 All departments have to prepare the report of financial expenditures which includes direct
expenses, salaries, and others. The report will be send to the marketing director of
Samsung.
 The marketing director is responsible for the budget of project and the report will be send
to the president of Samsung on the weekly basis and the redirection will be done by
marketing director.
 The performance of Samsung galaxy S6 offerings should be evaluated on quarterly basis
which helps to determine the profitability. The product development expenses are
distributed yearly and it will compare with gross income generated during the same
period.
Implementation tactics
The Samsung should monitor the procedure which helps to reduce the threats and weakness.
Following are the steps to monitor the procedures:
1. A project management concept should be used for the implementation of marketing plan
through building the needs of human resource, time requirements and financial
expenditures.
2. The report of perpetual comparison of actual and planned activities should be prepared by
the marketing director and it should be send to the president of Samsung.
3. Each project is responsible for improving the performance according to the planned
performance.

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Contingency plan
The contingency plan for Samsung galaxy S6 includes the movement of phone application from
Android to the windows. It means if the company fails in the succession of Samsung galaxy S6
then the company will move from android OS to windows applications ions.
Research plan
The research plan of the Samsung includes the information of target market which helps in
taking the decisions. The information includes the market survey of consumer’s level of
satisfaction of target market, consumer expectations, price and technology offered by other
competitors (Reddy et al., 2015) . The other information includes size of market, social trends,
growth, and demographics.
Financial projection and implications
Projected income statement
The income statement is used to determine the profit and loss in an accounting year.
Please refer Appendix 2 for projected marketing income statement of two years.
Projected break-even analysis
The break even analysis is used to determine the level of sales require to cover the total fixed
costs. It helps in determining the level of production requires targeting the desired sales.
Please refer Appendix 3 for projected break even analysis

MARKETING PLAN 24
Financial implications
1. The income statement is used to analyze the income and expenses over the particular
period of time and it helps to determine the profit and loss of the company. It reflects the
snapshot of company’s financial position which helps in decision making (Delgado et al.,
2012).
2. The break even analysis is used to determine the number of unit sold to cover the cost of
production. It helps to determine the goals and objective to maximize the profitability of
the company (Alhabeeb et al., 2012).
Overall recommendations
Recommendations
The marketing plan of the company should be implemented because it is based on the SWOT
analysis which reflects the strength, weakness, opportunity and threat of Samsung. The consumer
characteristic approach is used analyzes the target market segment and on the basis of analysis
middle class target market segment is recommended as the primary target market. The middle
class is recommended the consumer prefers advance feature with this price range and they cannot
afford above than that so they will buy Samsung galaxy S6. The other target market includes
elite class who can easily afford any price range and the third target market is young generation
who can purchase for show off and interested in using advance technologies. The marketing
objectives include increment in sales, Increase in market share and consumer relationship
enhancement. The balance of cost leadership and product differentiation is recommended
because the cost leadership helps to provide economies of scale and product differentiation helps

MARKETING PLAN 25
to provide unique product to its consumers. It also focuses on continues innovation which helps
to survive in a competitive market. According to the integrated strategy the Samsung galaxy lies
in the middle of first quadrant because the brand image and pricing is average. The objective of
product is to fulfill the need and demands of consumers. The Samsung should cover all the three
elements of product concept and the packaging and labeling should be done according to the
taste and preference of Canadians. The pricing strategy should consider the price offered by
other competitors. The pricing tactics include charm pricing, bumps, anchoring and
consideration. The strategy should be set to maximize the profitability of Samsung. The
distribution strategy include both online and offline mode. The objective is to supply the product
to the maximum number of locations by maintaining the inventory management and risk which
helps to continues flow of Samsung galaxy S6.
Support by SWOT analysis
The strength of the company includes innovative product and android OS. The company has
introduced innovative features in Samsung galaxy S6 which helps to distinct the product. The
android OS is widely acceptable which helps to attract large number of consumers. The
weakness includes Inconsistency in product device and limited market share. The company is
having limited market share which neglects the focus on niche marketing (Salah et al., 2015).
The marketing objective of increase in market share is recommended by considering the
weakness of limited market share so that the company can overcome from its weakness. The
opportunity includes improvement in services and access to large market. The improvement in
services is recommended for product positioning which helps to explore the opportunity. The
threat includes challenge of low pricing and aggressive competition. The cost leadership is

MARKETING PLAN 26
recommended to combat the challenge of low pricing and product differentiation is
recommended for producing unique product which helps to combat the aggressive competition.
Support by marketing concepts, terms and information
The marketing concepts include product development, optimum pricing, effective distribution
channel and various promotional activities. The product mix includes the objective to fulfill the
need and demand of consumers. The product concept include three layers namely, core, actual
and augmented. The core includes essential benefits of Samsung galaxy S6. The actual includes
requirements of stock availability, staff training, merchandising and others. The augmented
includes time delivery, warranty, guarantee, after sales service and credit facilities. The
packaging and labeling should be done in a according to the taste and preference of Canadians.
The pricing strategy should be set by considering the profit maximization of the shareholders.
The pricing terms and condition include setting of price by considering the cost of production,
operational expenses and other expenditures of the company. The distribution channel strategy
includes three integrations which should be considered at the time of strategy formulation. The
channel distribution should be strong and must consider the risk and cost optimization. The cost
leadership is recommended by considering the cost optimization factor of channel distribution.
The communication include promotional mix which helps the consumer in building the product
position and it conveys the benefits of product to the consumers which help to attract large
number of consumers. The budget allocation is 5% of total sales on promotional activities which
is recommended by considering the low cost factor which helps to increase the profit margin of
Samsung.

MARKETING PLAN 27
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Appendix
Appendix: 1
Strength
3. Innovative product
4. Android OS
Opportunity
1. Improvement in services
2. Access to large market
Weakness
1. Inconsistency in physical device
2. Limited market share
Threat
1. Challenge of low pricing
2. Aggressive competitors
Appendix: 2
Particular 2015 2016
Sales 4,500,000 6,000,000
Cost of goods sold 1,628,100 1,625,822
Operating Expenses:
Salaries 150,000 120,000
Rent 25,000 25,000
Advertisement 1,500,000 1,500,000
Total operating expenses 1,675,000 1,645,000
Other income 15,000 15,000

MARKETING PLAN 31
Interest paid 3,500 4,500
Total non-operating income 18,500 19,500
Income tax 345,000 256,000
Appendix: 3
Expected Sales is 9,000 product in 2015 and 12,000 in 2016.
Break-even analysis¿ 13,200,000
500−166.6
= 39,639.63 products in two years to reach at break even.