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Samsung Galaxy Tab: Campaign Time Period November 1, 2010-November 30, 2011 Tab Into The Galaxy Team
Samsung Galaxy Tab: Campaign Time Period November 1, 2010-November 30, 2011 Tab Into The Galaxy Team
December 3, 2010
Table of Contents Samsungs Galaxy Tab
communication
with
our
consumers.
We
focus
on
specific
A. IMC Plan
The following IMC Plan for the Samsung Galaxy Tab has been
prepared with the mindset of presenting an effective advertising
campaign for this brand new product. Throughout the
deliberation of this campaign, the advertising agency worked
diligently in making this tablet stand out from its leading
competitor, the iPad. After studying various targets, the
advertising agency realized that the most sufficient and
attractive target demographic for this product is the one
presented below. Our main objective was to present this product
as its own entity and not a replica of its competitor. As a result,
our main point is that the Galaxy Tab may have not been the
first, but it definitely perfected tablet technology. Overall, we
came up with a series of promotional strategies and delivery of
message mediums that would work best for this product. This
IMC Plan is expected to be successful in that the information
presented throughout this brief suggests an effective campaign.
C. Campaign Objectives
D. Campaign Theme/Slogan
F. Budget Breakdown
Percentage
Budget
Allocation:
12%
($29,400,000)
Direct Marketing:
1. Electronic Mail Percentage Budget Allocation: 9%
($22,050,000)
2. Catalog Percentage Budget Allocation: 4% ($9,800,000)
Personal Selling:
1. Percentage Budget Allocation: 7% ($17,150,000)
H. Evaluation Program
A. Industry Background
o
o
Size/Growth
o
o
o
o
Current Trend
Technologically driven individuals that rely heavily
on hand held devices as well as portable net books
to receive constant updates and allow them to
constantly communicate with the rest of society.
Developments Affecting the Promotion Program
Constant growing competition within the electronic
industry that aims to advance their products to suit
the needs of technology savvy consumers.
Newly developed products with similar but
perfected qualities are being offered to the market
at a rapid rate.
Brief Sketch
o
Mission
o
o
Resources
o
Organizational Structure
o
o
o
Sales History
o
o
Product Line
o
Target Market
o Current promotional strategy targets anyone
on-the-go
Market Shares
o
o
Positioning
o
o
Who
Strengths
o 7 multi-touch interface running on 1024x600 resolution
being backed by Google Android 2.2 and Flash preinstalled with a Qik video chat and a 1.3 MPwebcam and a
5 MP rear-facing camera
o There is a slot for MicroSD card reader
o 7 smaller than the iPad
o Can place the Galaxy in your pocket
o Only weighs 1 pound
o Battery life of 8 hours
o Wi-Fi 802.11 b/g/n/
o Equipped with Bluetooth
o HDMI out and Social Hub with exclusively pre-installed
1,000 Premium movies and TV episodes
o Galaxy will be working with all five major U.S. wireless
operators (AT&T, T-Mobile, Spring, Verizon, US Cellular)
(Engadget News)
Weaknesses
o Doesnt have as great a name recognition as Apple
o Doesnt have a loyal customer base like Apple
Some consumers wont like the fact that it is not too large
and would have preferred a larger, more computer looking
object
o Galaxy has 7 hours of video playtime, while the iPad has
10
Opportunities
o Samsung can surprise the market with a very wellequipped Tab and gain more name recognition and also
gain a more loyal customer base
o Samsung can be purchased by consumers who thought
the iPad was too overpriced
Threats
o Samsung doesnt produce an extremely well-equipped
smart-phone and gets poor reviews
o Samsung is striving on producing an extremely wellequipped smart-phone because it doesnt have a name
that is as reputable as Apples name is, and if it doesnt
produce this well-equipped phone, a major situation for
Samsung will arise
o Dell, Acer, Motorola and LG Electronics have each stated
that they have plans to make Android-based tablets
Key Benefits
o Consumers can enjoy high internet speed
o Consumers can also enjoy a smaller and hopefully as
adequate smart-phone as the iPad
What the Galaxy Has That the iPad Doesnt
o Galaxy has 2ce the RAM and the iPad
o Galaxy offers an expandable microSD storage slot, Apple
only offers internal storage space
o The Galaxy Tab has 2 cameras, a 3.2-megapixel camera
that faces outward and a front-facing 1.3-megapixel
camera, which can be used for video chatting; the iPad
doesnt have any.
o Galaxy will be working with all four major U.S. wireless
operators, Apple only works with AT&T
Competitors
o The main competitor of the Galaxy will be the iPad
o Apple has a larger client base, which is the primary
problem
o
c. Sony Dash
d. RIM Blackberry PlayBook
e. Toshiba Folio 100
f. Android Tablets
*Note that there are a series of direct competitors and the following
were chosen because of their similar design and features to that of the
Samsungs Galaxy Tab. Also note that some of these tablets have not
been released and therefore research may be limited or projected.
B. Indirect Competitors
a. Apple iPhone, iTouch
b. HTC Evo
c. RIM Blackberry Torch 9800
d. Motorola Droid X
e. Dell Dell Streak
*Note that there are a series of indirect competitors and the following
were chosen based on the similar features they posses as well as the
similar design of the Samsungs Galaxy Tab. Although PCs do serve as
competitors as well as netbooks, the following mobile devices share
closer and much more similar characteristics to that of the Galaxy Tab.
a. Apple iPad:
1. Market Shares, Sales, & Growth:
Market Share has not been determined for the iPad
as of yet, however, it has been reported that
Apples market share is 10.6% in personal
computers. According to the IDC report, Apple now
ranks as the third largest vendor of personal
computers in the U.S. market. Research firm IDC
also stated that Apples iPad not only ate into PC
netbook sales, it also helped Apple sell more Macs,
which combined to push Apple into the highest
ranking weve covered since 1998.
Sales & Growth: According to J.P. Morgan, Apples
fourth quarter revenue estimate determines strong
sales momentum for the iPad and iPhone, J.P.
Morgan raised its revenue estimates for Apple's
fourth fiscal quarter of 2010 from $18.13B to
$18.71B. For the iPad, J.P. Morgan estimated $3,223
Million in sales for the fourth quarter selling 4,742
units in comparison to the 4,415 expected. For the
fiscal year 2010, J.P. Morgan estimated that Apple
would sell $5,389M in iPads and 8,012 units.
On June 22nd. 2010, Apple reported selling three
million iPads in 80 days after its introduction in the
U.S.
2. Target Market
E-Readers
Netbook Users
Frequent Travelers
For Business
Researchers
Mobile Users
Cocooning home theatre consumers
3. Marketing Objectives and Strategies (Current & NonCurrent):
Change portable computing
Fill the gab between Mac PC and iPhone/iTouch
product lines
Revolutionize the e-reader market by offering
features like the iBook Store as well as current
features that exist on the iPhone and iTouch
4. Positioning:
A first in its kind in evolving the mobile PC market,
Apples iPad has successfully incorporated mutlimedia and multi-touch functionality, e-books, web,
e-mail, photos, video, games, and music into a
sleek and lightweight design. I dont have to
change myself to fit the product, the product fits
me Vice President of Design for Apple John Ive.
The iPad brings technology into your hand, you are
literally holding applications in your hand as if it
were a book or a magazine, ultimately changing the
experience of surfing the web, checking e-mail,
watching movies, etc.
5. Current Advertising, Sales Promotion, PR, and Direct
Marketing Programs:
iPad in Business A new way to work. iPad
features incredible applications like Mail, Calendar,
Notes and Safari in a beautiful, thin and light
design, so you stay productive anywhere. With
easy,
secure
integration
into
business
environments and a robust platform for app
development, iPad is ready to start working when
you are. iPad is the best way to collaborate with
colleagues, deliver and display presentations, and
access, create and share business information. The
Multi-Touch screen on iPad is incredibly precise and
responsive, which allows your users to work using
just their fingers, with little need for training or
support. And with up to ten hours of battery life,
iPad is always ready to work whenever your users
are. iPad integrates with Microsoft Exchange, Lotus
Domino
and
standards-based
messaging
environments, to provide your users push email,
calendar and contacts, right out of the box. And
iPad supports the most common corporate VPN and
2.
3.
4.
5.
6.
A. Segmentation Analysis
o Primary Target Market
Individuals ranging from the ages of 23 to 44
Young
professionals,
already
established
professionals and family formers with children
Technology Adoption Segmentation System
Journeymen
Technology is an important part of my life
These group of individuals are fiscally fit
o Caution with spending, but optimistic
Wizards
Technology is life
This group consists of confident spenders
o Spend more, take risks, optimism (Segments
of Technology Consumers)
The geographic location of our main target audience will
consist of those residing in more urban settings (NYC,
Chicago, LA, etc)
o
B.
Targeting
o
C.
Positioning
o Emphasize important features of the product:
The camera
Ability to have videoconferences
Send and receive photos via email
Use of Skype
Create videos on your own
Flash for camera
that the Galaxy Tab will do well. Also, Samsung is currently producing
some of the best mobile hardware on the planet. With all of these
things going for Samsung already, we can count on customer loyalty
towards our new products.
E. Purchase Intentions
We have to take into account consumer purchase intentions to help
them make the right decision. These intentions can either positively or
negatively affect them when deciding to buy the Galaxy Tab. Some
things we have taken into consideration are the price, the size, and the
memory space. We have to also take into consideration why the
consumer is buying a tablet; for school, home, or work purposes.
F. Budget
We want to create a budget that will most effectively reach the target
market. The budget is going to be based on other major competitors.
Our only real competition is the iPad so we will base our budgetary
needs on close figures. Samsung Electronics delivered $121.3 trillion in
sales in 2009. We also had $5.5 trillion in net profit. Of these funds we
are going to use a mere $245 million for our advertising needs. This
number is compared to Apples entire advertising expense of $501
million.
G. Budget Method
We are going to use the Meet-the-Competition Method. This method
is used in highly competitive markets. This is not a highly competitive
market but the competition between us and Apple is fierce. One big
goal is to prevent the loss of market share. Apple spent a total of $501
million for advertising all of their products, which range from the
iPhone, iTouch, iPod, iMac, and the iPad.
Primary - Ages 23 to 44
1. Males and Females 23 to 34: Young professionals in their
appraised career fields that strive to attain the latest in
technology to assist them in being the best and most
efficient. This target has shown to have the most disposable
income and therefore it is the most sought after target in any
market. (27% of this target purchased an iPad)
2. Males and Females 35 to 44: Already established
professionals that seek to be up to date with the latest in
technology so that they too can compete with the younger
generations. Already established family formers that have
Secondary - Ages 13 to 17
1. The reason as to why we have chosen to target those
between the ages of 13 to 17 is because although they do
not have any purchasing power, these targets are able to
motivate their parents into purchasing the tablet. Being that
the following target is considered to be Generation Y, a
generation highly influenced by technology, the Galaxy Tab
serves as the perfect piece of technology in the palm of their
hands.
B. Objectives
C. Key Benefits
D. Support
The data suggests that the primary target market identified (ages 18 to
55) is not only interested in technology, but they want the latest
technological innovation. We can only assume that this is the correct
target to go after since it was this specific target that made up the largest
The Galaxy Tab is a small (7 inches), sleek, and portable device that
offers technological advances that have not been seen in other
products of its kind, [like fast internet, a card slot, large Media Hub
that includes an Android Marketplace as well as Google Apps, and a
3 megapixel flash camera].
The Galaxy Tab is a user-friendly technological device meant for
everyone to use
The Galaxy Tab may have not been the first, but it definitely
perfected tablet technology. Its truly out of this galaxy.
F. Reassurance
Reassurance for these claims and promises will be offered via:
G. Tone
We want to establish that although we werent the first to present a tablet
that would bring technology at the hands of consumers, we were able to
present a product that would revolutionize tablet technology and in other
words be out of this galaxy. Unlike our competitors, we perfected the
concept of bringing technology to the palms of our consumers with not
only adding the same features as that of our competitors but including
additional and perfected features, like our high-speed internet
conveniently carried by four of the top U.S. carriers, our front and rear
facing 3 megapixel flash camera, and more.
H. Source of Communication
Our message will be communicated via:
2.
3.
4.
5.
6.
Sales Promotion:
The overall objective of sales promotions portion of the IMC Mix is to
lead consumers in our target market to reach that conative stage in
the purchasing process. We want our consumers to make the actual
purchase without doubts, and having passed the awareness,
knowledge, liking, perception, and conviction stage, there should be no
doubt that this is the right product for them. With sales promotions, we
will make it clear that by purchasing our brand and product, there are
more benefits that they can obtain by being consumers to us.
Public Relations:
The overall objective of the Public Relations portion of the IMC Mix is to
generate increased awareness and knowledge of the Galaxy Tab
product. The target market will be exposed to the product in
environments that they already find suitable to their lifestyle, and will
see the product as an easy transition into their lifestyles.
Internet/Interactive:
The overall function of the Internet potion of the IMC Mix is to expose
the product to consumers in a manner that can be most comfortable
for them. Since the Internets target is increasing day by day, it is the
best environment and source of communication to market a message
across the globe with a standardized meaning. Even beneficial for
cocooners, the Internet is an extremely powerful source of
communication that can distribute information and ideas globally and
rapidly, which are two essential attributes of a successful marketing
plan.
Direct Marketing:
The overall objective of the Direct Marketing portion of the IMC Mix is
to provide a more personal communication technique with consumers,
which allows them to become firm believers that our product and
brand is most beneficial for them. The benefits, promotions and
incentives must be made clear on a more personal level, so they feel a
closer connection to the product.
Personal Selling:
Through personal selling, consumers can have a one-on-one
purchasing experience with a very knowledgeable sales associate that
has the ability to sell and convince consumers that this is the right
product for them. All the positive attributes will be explained to the
consumer and any unanswered questions will be resolved on the spot,
resulting in pleasant customer service and satisfactory feedback from
the consumer.
Percentage Budget Allocation: 7% ($17,150,000)
http://www.electronista.com/articles/10/09/28/kindle.owners.actually.w
ealthier.better.educated/
1. Reach/Frequency
We have chosen many different media components to get our
campaign out on the Galaxy Tab. Our main audience would have to be
23-44 age range (mainly peaking in 23-34). Our audience is aimed
more to males with a 65 to 35 ratio to women. 50% of our target
market will be reached during the prime time mainstream and regular
channel commercials. We plan to have these commercials run all
throughout the year with a frequency of 8 up until a year after its
release. There after we will decrease its frequency to 4. Our radio ads
will be run at a frequency of 6 during morning and afternoon rush hour
when working people are driving to and from work. At other times a
frequency of 1 will suffice because we dont expect out target market
to be listening in the day. We will reach about 35% of our target market
with radio ads alone. Our newspaper and magazine ads will run at a
frequency of 1.75 because bypassing ads are easier than listening or
watching them. We will be able to reach about 9% of our target market
with newspaper and magazine ads. The website frequency will be at
1.5 because internet users do not usually pay great attention to ads.
We will only reach about 4% of our target market on websites as ads.
2. Message Weights
The message we put out there about the Galaxy Tab can either make
or break our campaign. All media outlets are weighed but not as
heavily as television and then radio. Television ads will appeal to our
exact target market, mostly men ages 35-44. The radio ads are
weighed heavily as well but not as much as television. When people
watch television, they are usually focused on what they are looking at.
With radio, you focus on what you need to hear, like weather reports,
more than what is not as important. With both television and radio ads
it is very hard to get away from them because they come smack dab in
the middle of your favorite programming or your traffic and weather
reports. With newspapers, magazines, and websites it is much easier
to just skip the page and move on.
5. Scheduling Pattern
It would be the best idea for us to run ads of the Galaxy Tab all year
round. The Galaxy Tab hadnt been released as yet so we want our ads
to be rampant at this time until the time it is released. We will continue
to run our ads as often as possible up until a year or so after the
release into the market. After a year we should be able to tell how well
or how bad it has done and from there we can decide how much less to
run the ads. We should not run it any more than we originally did
before the unveiling. It would eventually lessen according to the sales
and market analysis. We will also have our Galaxy Tab in major
electronics stores such as Best Buy and PC Richard & Son set up to be
used as a trial, to show consumers exactly what their getting before it
is released into the market.
We feel that the best way to ensure the effectiveness of our campaign
is through qualitative consumer surveys. Since this is a new product
our main goal is to attract new customers, create a loyal customer
base, and motivate switchers to want and purchase our Galaxy Tab
instead of other competitors. We will distribute three different surveys
in three different mediums; each identifying the success behind our
advertisement message, the recall and recognition of our
Random samples of the target market will be surveyed. Those who are
surveyed will respond to questions that will help marketers draw an
inference as to which target they belong to. Questions that will
pinpoint specific demographics (age, sex, race, income) as well as
geographic (rural, suburban, metropolitan, urbanized).
Surveys will test the effectiveness of advertisement message, recall
and recognition of advertisements, and attitude towards overall
product, whether the Galaxy Tab was purchased or not.
Responses from the surveys will test whether the campaign was
successful in presenting the Galaxy Tab, attracting customers, creating
a loyal customer base, motivating switchers, and establishing
Samsung as a leading brand due to the satisfaction with the Galaxy
Tab.
D. Where will the tests occur? How will the testing take place?
What specific methods and techniques will be used?
provided. The person fills out the survey, mails it to the carrier, and in
a couple of weeks the person receives his/her rebate card. Once
receiving the rebate card, the customer can only use his/her $50.00
rebate card in a Verizon Store, to purchase any accessories within the
Verizon Store, or pay their Verizon bill. ** Technically although we are
offering a rebate, the money never leaves the carrier)
Anytime a consumer has shared interest in the Galaxy Tab, whether its
by visiting the actual Galaxy Tab website, Media Hub, or one of the
Social Networks of the Galaxy Tab. If the consumer has spent more
than 5 minutes on one of the online mediums, the consumer will be
greeted by a pop-up survey that will ask the consumer to fill out the
quick 3 min. survey before continuing browsing through the website.
This will test the effectiveness of recall and recognition of our
advertisements, as well as attitude towards the overall product.
The last and final survey will be conducted in-store and through the
online mediums. This final survey will test the overall effectiveness of
our campaign 8 months already into the 1-year campaign and 6
months after the 1-year campaign has ended.
The following survey has been designed to test your total satisfaction with our Galaxy Tab
product. Please check all that apply. We appreciate your honesty.
Fall
08
The following is a list of product and service items. How satisfied are you
with each item?
Very
Unsatisfi
ed
Unsatisfi
ed
Neutr
al
Satisfi
ed
Very
Satisfi
ed
Overall Quality
Value
Purchase Experience
Installation/ first use experience
Usage Experience
After purchase service (warranty, repair,
customer service)
4. Overall, how satisfied are you with the Samsung Galaxy Tab?
__
__
__
__
__
Very Unsatisfied
Unsatisfied
Somewhat Satisfied
Very Satisfied
Extremely Satisfied
5. Compared to other tablets that are available, would you say that the
Samsung Galaxy Tab is:
__
__
__
__
__
__
Much better
Somewhat better
About the same
Somewhat worse
Much worse
Dont know or never used
6. How likely are you to recommend the Samsung Galaxy Tab to others?
__ Definitely will recommend
__ Probably will recommend
Not
Applica
ble
__
__
__
__
Not sure
Probably will not recommend
Definitely will not recommend
Never used
7. Based on your experience with the Samsung Galaxy Tab, how likely are
you to buying the Samsung Galaxy Tab again?
__ Very Unlikely
__ Unlikely
__ Somewhat Unlikely
__Very Likely
__ Extremely Likely
9. What would you like to tell Samsung about your satisfaction with the
Samsung Galaxy Tab that was not already asked in this survey?
2. Other than trying to get you to buy the Galaxy Tab, what is the main
message of this ad?
3. What did you like most about this ad? Please be specific.
4. What did you like lease about this ad? Please be specific.
5. If you were describing this ad to a friend, would you say this ad is,
(please check all that apply):
__ Active
__ Attention-getting
__ Boring
__ Cheerful
__ Creative
__Emotional
__Energetic
__ Genuine/sincere
__ Honest
__ Humorous
__ Informative
__ Memorable
__ Offensive
__ Pleasant
__ Satisfying
__ Strong
__ Unique
__ Warm-Hearted
Just
like
me
A lot
like
me
Somew
hat like
me
Not
much
like me
Not at all
like me
Please check the one box that best indicates how descriptive the statement is of you.
Just
like
me
A lot
like
me
Somew
hat like
me
Not
much
like me
Not at all
like me
Please check the one box that best indicates how descriptive the statement is of you.
Just
like
me
A lot
like
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Somew
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Not
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Not at all
like me
2010. <http://www.emailresponsibly.com/2010/10/01/foursegments-of-technology-consumers/>.
11.Harrell, Ashley. "IHelp for Autism - Page 1 - News - San Francisco
- SF Weekly." San Francisco News, Events, Restaurants, Music.
SF Weekly, 11 Aug. 2010. Web. 28 Nov. 2010.
<http://www.sfweekly.com/2010-08-11/news/ihelp-for-autism/>.
12.Herr Ph.D, Norman. "Television." California State University,
Northridge. Web. 02
i. Dec. 2010.
<http://www.csun.edu/science/health/docs/tv&health.html
>.
13."HTC Android Tablet." Android Tablet | Android Tablet PC
Information. Android Tablet, 2010. Web. 28 Nov. 2010.
<http://www.android-tablet.org/>.
14.IRS Figures. "100 Wealthiest Cities (according to Zip Code) in the
United States." The
i. Poorest and Wealthiest Cities in the United States. Web.
02 Dec. 2010.
<http://wealth.mongabay.com/tables/100_income_zip_cod
es-20000.html>.
ii. Lee, Yoon-Woo. "Samsung Electronics