Samsung Branding Strategy

Today, the success of a company depends not only on the quality of the product but how effectively and efficiently the brand value is conveyed to the consumers at the other end. With this regard, Samsung has taken giant strides in its progress, be it financial or operational.

The article below shows how effective the strategies adopted by the company were.

Strategies Adopted by Samsung

To enhance the brand value of Samsung, the following points were kept in mind :

  • Establishing identity of the brand.
  • Cost involved in Brand repositioning.
  • Reaction from competitors.
  • Strategies adopted in pricing.
  • Research and development.

With regard to cost effectiveness, it was taken care of that the policies adopted by Samsung were not “cost prohibitive”.
It was also observed that corporate strengths leverage have resulted in satisfactory dividends and that it leads to “focused efforts”.
Maintaining a good channel relationship causes the sales result to be quite strong. The incremental sales also yields strong return.
To place Samsung as a “tech leader” in the corporate world.

Outcome of Brand Building Strategies Adopted by Samsung

During the 1990s, Samsung adopted many measures to make its presence felt globally. Some of them are as illustrated below :

Sponsored Seoul Olympics :

One such prominent instance was when the company sponsored the Seoul Olympics of 1998. Samsung had signed an agreement with International Olympic Association for the same. The masterminds of the company anticipated that by sponsoring events and by embracing various marketing techniques and investments, the brand value of Samsung could be enhanced. By doing so, the brand value of Samsung escalated by 200%, attaining $8.3 billion in the year 2002 from $3.1 billion in the year 1999.

Valued by Interbrand Inc. :

The various measures adopted by Samsung did not go in waste as the company was listed among the topmost 100 brands, the brand value being judged by Interbrand Inc. Amongst the non Japanese brands, Samsung was the only one from Asia.
Adding another feather to the cap was when the company occupied the 34th position in the top 100 companies(brands) of the world. This list was again prepared by Interbrand Inc. This showed in the profits earned by the company when the Samsung brand registered 1.7 billion as the net profit during the year 2002 to 2003 as compared to 425 million during the year 2001.

The table below shows the improvement in the various parameters due to effective marketing strategies and investments to promote the Samsung brand:

Net Sales
Net Income
Shareholder Equity(SH)
88.8 124.3 98.7 4.5 35.5
110.3 156.1 116.8 8.9 45.8


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