Electronics Industry Entertainment Appliances

PREPARED BY: KEVIN DESAI(09) RINKY GHAI(15) SONAL INTWALA(18) BHAVIK PANCHOLI(37) MONA RATHOD(47)

KEY PLAYERS

INTRODUCTION
o What is primary marketed in entertainment industries? ‡ Goods - Television, music system, mobile phones, computers etc ‡ Events ± sponsorship in cricket matches and award function ‡ Persons ± Aamir Khan for SAMSUNG, SRK for VIDEOCON.

MISSION STATEMENT
o SONY: ‡ "To experience the joy of advancing and applying technology for the benefit of the public." o LG: ‡ The mission of LG is to provide the customers with utmost satisfaction through leadership. The fundamental policy of development is to secure product leadership that the Customers may have the utmost satisfaction.

MISSION STATEMENT
o

‡ ‡ ‡ ‡

SAMSUNG: Samsung aims to become India¶s leading volume retailer in the consumer electronics segment Achieving its aim by focusing on its Core Strategy Work on strengthening its unique Brand Image Gaining Customer Satisfaction

MISSION STATEMENT
o ONIDA: ‡ To benefit society at large through Innovation, Quality, Productivity, Human Development and Growth, and to generate sustained surpluses, always striving for excellence, within the framework of law, and in nothing but the truth in which we base every action.

ANSOFF MATRIX

SWOT ANALYSIS OF SAMSUNG
o STRENGHTS ‡ Clear target: $ 2.4 billion by 2009. ‡ Launching hi-tech and contemporary products with zeal and speed. ‡ Target is not only number driven but also about acquiring and retaining customers. ‡ Created a Unique Brand Image for itself as a high end value driven brand.

SWOT ANALYSIS OF SAMSUNG
o WEAKNESS ‡ Approach market through technology and design leadership: a slow process. ‡ Not targeting the mass market ‡ Not spreading the brand all over India

SWOT ANALYSIS OF SAMSUNG
o OPPORTUNITIES ‡ LG: its slowing down and has not had any product innovation in the recent past. ‡ The Indian Mass Market. ‡ The high end value driven proposition helps increase the Market Share. ‡ Samsung is well known for it product differentiation

SWOT ANALYSIS OF SAMSUNG
o THREATS
‡ Indian Mass Market may be captured by a rival company, LG, Onida, Videocon; etc. ‡ The consumer durable industry is not in the best of health. ‡ Due to increased price of inputs and continuing price erosion there is downtrend in the consumer durables market. ‡ Increased emergence of modern retail chains- a problem as Samsung is investing in building a retail network across the country

FEW THINGS ABOUT LG
o The brand platform:‡ The LG brand is composed of four basic elements ± ‡ Value ‡ Promise ‡ Benefits ‡ Personality

FEW THINGS ABOUT LG
o The Brands core Value that never changes: ‡ Trust ‡ Innovation ‡ People ‡ Passion

FEW THINGS ABOUT LG
o Product localization is a key strategy used by LG: ‡ LG came out with Hindi and regional language menus on its TV. ‡ Introduced the low-priced ³Cineplus´ and ³Sampoorna´ range for the rural markets. ‡ LG was the first brand to introduce gaming in CTVs. In continuation of its association with cricket, LG introduced the cricket game in CTVs.

FUTURE PLANS
‡ LG has a positive perception of India and the Indian consumer. ‡ LG is making a foray into the e-commerce market in India and has partnered with various local websites like fabmall.com, rediff.com, indiatimes.com, and indiaplaza.com. ‡ LG is also planning to invest over US$ 208 million in India over the next three years to expand the business. Mobile software development is also on LG¶s agenda.

PLC OF ONIDA

Samsung¶s socially responsible marketing
‡ In 2004, Samsung won the Golden Peacock Special Commendation for Corporate Social Responsibility. This award was given by the Institute of Directors and the World Council for Corporate Governance. Samsung runs the Digital Hope programme, supporting organizations that promote the use of technology to improve the lives of youth, empower them and help bridge the µdigital divide¶. ‡ Organizations supported by this programme include Development Alternatives and the National Centre for Promotion of Employment of Disabled People (NCPEDP).

SAMSUNGS PRODUCT LINE
o ‡ ‡ ‡ ‡ ‡ ‡ Consumer Electronic Products like : Color Television (CTV¶s) Refrigerators (Frost Free) Air Conditioners GSM Handsets Front Loading Washing Machines LCD TV, Plasma TV

ENVIRONMENTAL ANALYSIS OF SAMSUNG (Where are we now??) ‡ In 2004 and 2005 sales turnover was 4,900 crores and 6,300 crores respectively ‡ Trying to Close on to the Market Leader LG ‡ Making a mark in the High end category Segment ‡ LCD TV, Plasma TV, Frost free Refrigerators and Split AC¶s.

ENVIRONMENTAL ANALYSIS OF SAMSUNG (Where are we now??)

‡ Samsung had a sting of design successes in 2000s. For example, the Syncmaster series of LCD monitors was lauded for its simple design and went on to win several awards. ‡ In 2000s, LCD TVs and Plasma TVs were gaining popularity therefore Samsung¶s design team started work on developing a slim projection TV based on digital light processing (DLP) technology. The result was the highly acclaimed HLP series of DLP TVs.

CORE COMPETENCIES
o L.G ‡ Product leadership, Market leadership, People leadership´ o SONY ‡ Known for creating ³products that stimulate the senses and refresh the spirit´

Marketing Communication Mix
o Advertising
‡ Through TV we have seen different advertisements of SONY products such as Bravia televisions or Sony Wega TV. Sony also advertise its products by those favorable television programs, like sports, series and also it has its own channel called Sony TV channel. o CELEBRITY ENDORSEMENT ‡ LG had Abhishek Bachhan, Samsung Has Aamir Khan, Videocon had Amithabh Bachhan and now Sharukh Khan, and All these players have used celebrity to a good effect to endorse their brands. On the other hand Onida is stuck with its old ³Devil´ which isn¶t helping.

Marketing Communication Mix
o Association with events:
‡ LG was the first brand to enter cricket in a big way, by sponsoring the 1999 World Cup, and followed it up in 2003 as well. ‡ Samsung has very successfully leveraged its association with Cricket and Cinema in the form of µTeam Samsung¶ and µSamsung IIFA Award¶ ‡ Samsung has also helped bring to India for the first time, the Olympic torch relay. ‡ In 2004, Samsung also brought to India what was possibly the biggest cricketing spectacle of this decade, the historic India vs. Pakistan cricket series - µThe Samsung Cup¶.

Marketing Communication Mix
o Sales Promotion
‡ Free samples, discount, rebates, coupons, contents and sweepstakes, premiums, scratch cards, exchange offers, early bird prizes, etc. Sony has promoted its products through different sales promotional strategies. ‡ For example after the release of the Sony BRAVIA television sets, Sony promoted them by early bird prizes by saying that all BRAVIA full HD LCD TVs purchased during July 2008 and registered within two weeks of purchase qualify for a Bonus Playstation 3 as long as the customer claims is one of the first 35,000 received and validated by Sony.

Marketing Communication Mix
o Distribution ‡ Sony being the company which positions itself as a seller of durable and high-end products, it is practicing selective distribution of its products from the selective dealers i.e. SONY World.

COMPETITOR ANALYSIS
o LG ELECTRONICS ‡ LG Electronics rightly understood the consumer motivations to create magnetic products, price them strategically, position them sharply and keep making the magnetism more potent. o SAMSUNG ‡ Initially the strategy of Samsung in India was to create premium image by emphasizing global brand. After facing stiff competition from another Korean major- LG, Samsung also started playing price game.

COMPETITOR ANALYSIS
o ONIDA (MIRC ELECTRONICS) ‡ Its popular devil ad although had engendered a strong emotional pull towards the brand, technologically it represented no advancement. The company plugged the gap by touting its digital technology. Like Videocon, it has also been able to hold its market share.

COMPETITOR ANALYSIS
o VIDEOCON ‡ Videocon has always been a price player and has an image of a low price brand. This entails providing more features at a given price vis-à-vis competitors. It has taken over multinational brands to cater to unserved segments, like Sansui- to flank the flagship brand Videocon in the low to mid priced segment, essentially to fight against brands like BPL, Philips, Onida and taken over Akai.

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