Effective marketing is one of the crucial elements of organizational success (Anselmo, 2010). Companies need to ensure that they develop and market products that meet the needs of their consumers. Samsung appears to understand this. This company is involved in the production of a wide range of products. The products include such electronics as smartphones and home appliance such as refrigerators. For years, the company has dominated the industry in which it operates. The marketing strategy and the quality of its products are just some of the factors that have fuelled the firm’s growth. In this essay, a summary of the factors that influence my decision to buy the firm’s products and an examination of its competitors is offered.
Factors influencing decisions
Quality is one of the factors that shape the purchasing decisions that consumers make (Khan, 2007). When a product is of high quality, it is likely to draw demand. On the other hand, products of poor quality suffer low demand. The high quality of Samsung’s products is one of my reasons for purchasing them. I have developed a particular affinity for the company’s smartphones and home appliances. I find that they perform the function for which they were created and they last for longer than the products made by the firm’s competitors. Huawei is one of the companies that compete with Samsung in the technology industry. While I understand that Huawei’s products are not necessarily of poor quality, I feel that Samsung commits more resources and great care in the making of its products.
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Customer service is yet another factor that shapes consumer decisions (Khan, 2007). When a customer feels that they are being treated well, they are likely to remain loyal to a company. This is true for me. I have continued to buy Samsung’s products partly as a result of the warmth and proper reception that I always receive. I find the company’s staff to be friendly and helpful. The manner in which I am treated allows me to understand that the company truly values its customers. There are other companies that I could turn to for the same products that Samsung sells. Acer is among these. My reason for preferring Samsung over Acer lies in the poor quality of customer service that Acer offers. My experiences with Acer staff have not been pleasant. I have found the firm’s employees to be rude and very unfriendly.
Market segmentation
It is important for a company to focus its efforts on particular markets. When determining which market to target, there are a number of factors that companies should consider. The income level of the market is among this (“Chapter 8”, 2009). This is one of the factors that Samsung appears to consider during market segmentation. The evidence for this can be found in the different price points for the company’s products. The example of mobile phones can be considered. The company makes budget as well as high-end phones. The budget phones are clearly targeted at low-income segments while the higher-end ones are designed for the wealthier segment of the market. Geography is another factor that companies consider as they decide on the markets to focus on (“Chapter 8”, 2009). It appears that Samsung wishes to establish operations across the entire globe. The company has a presence in all major regions such as the Americas, Europe, Africa and Asia.
Age and lifestyle of consumers are other factors that determine the segmentation strategies that a company adopts (“Chapter 8”, 2009). There are companies that target the younger population while others focus their efforts on the older demographic. It appears that Samsung targets the young population. The company packs such products as smartphones with features that mostly appeal to the younger generation. This is not to say that the firm’s smartphones are not desired by older people. It merely means that since they are more tech-savvy, younger people appear to be the firm’s primary targets. It also appears that Samsung targets individuals whose lifestyles revolve around modern technology. The company equips such products as smartphones and refrigerators with smart features that would mostly appeal to those whose lifestyles are shaped by modern technology. The following are some of the key market segments that Samsung appears to target:
The young
The wealthy
In conclusion, it is fairly easy to understand why Samsung continues to rule the technology industry. The company makes quality products and offers its customers quality service. Its competitors appear unable to match the quality of its services and the warmth of its employees. The wisdom that the company displays in the choice of its markets is another factor that has driven its success. Since these strategies appear effective, the company should not abandon them.
References
Anselmo, D. (2010). Marketing Demystified. New York City: McGraw Hill Professional.
Chapter 8. Market Segmentation, Targeting and Position. (2009). Retrieved 13 th March 2017
From http://www.contemporarymarketing2.nelson.com/faculty/CH08_Segmentation.pdf
Khan, M. (2007). Consumer Behavior . New Delhi: New Age International.
