2015 Samsung Electronics TV Marketing Strategy Analysis: Samsung is a genius of global marketing as expected

Yi Choong-hoon /Chief Analyst / UBI Research / ubiyi@ubiresearch.co.kr

The product cited to pay close attention at this CES2015 was QD-BLU LCD TV. Exhibiting QD-BLU LCD TV at IFA 2014, the Chinese set makers already made it clear that it will be a new product to lead the Chinese market in 2015. The Chinese companies released 4K TV in the market for 2013 and it took about 60% of the world TV market in 2014.

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Source: CES2015 Pre-press Conference

Mr. Koenig, the Industry Analysis Director of CEA, forecasted at CES 2015 pre-press event that the 57% of the market which is 13 million units will be in China by 2015.

Based on the domestic markets, the Chinese set companies are moving fast to secure the names implying the term QD and prepare PR and marketing strategies in order to lead the QD-BLU LCD TV market.

Succeeded in distinguishing itself from other competing companies, let alone the best TV quality in the world, Samsung Electronics took first place in the TV market share and developed the name LED TV to more strongly appeal its difference with LCD TV to potential customers. Though it is not a TV operating with LED but only the CCFL for backlight was replaced with LED, it is analyzed that this naming strategy enabled securing its competitiveness for achieving differentiation.

The Chinese set companies developed numerous TV names with the term QD imitating the successful examples of Samsung Electronics.

However, Samsung Electronics outmaneuvered the Chinese set companies again with another surprising marketing strategy. It adorned the CES 2015 press conference with the unexpected name of SUHD TV. It is because the name LED TV had a market monopolizing effect for Samsung used it exclusively for more than a year but the name QD shared with other competing companies of lesser-known brands will lower Samsung’s value as an absolute TV brand.

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It seemed Samsung Electronics is emphasizing the notion of curved TV as a marketing factor to distinguish itself from other rival companies. The QD technology is a means to compete with OLED TV in terms of picture quality and it is analyzed that the curved TV is a key marketing strategy which already has secured the brand awareness as the world’s best design product in the curved TV market.

 

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