SP Assignment Report | Samsung Galaxy Note Series | Catherine Ann Pan | August 2014

SINGAPORE POLYTECHNIC
SP BUSINESS SCHOOL
MARKETING MANAGEMENT
BA 5124
ASSIGNMENT REPORT
Samsung Galaxy Note Series - Phablet
by
Catherine Ann Pan

A look back on
handheld devices
SP Assignment Report | Samsung Galaxy Note Series | Catherine Ann Pan | August 2014

Mobile Telephone System A
TeliaSonera and Ericson
1956

DynaTAC 8000X
Motorola
March 6, 1983

Late 1980’s to early
1990’s
Motorola MicroTAC
Motorola StarTAC 75

Nokia 2G mobile phones
Late 1990’s to early
2000’s
Nokia 3G mobile phones

iPhone 3G
iPhone smartphone and
Samsung phablet
Late 2010’s to 2014
Emergence of 4G

EO Personal
Communicator
400
EO
1993

HTC
Advantage
X7500
HTC
2007

Earlier phablets
Dell Streak
Dell
2010

Founded: January 13, 1969
By: Lee Byung-chull
Headquarters: Suwon, South Korea
Different divisions:
• Consumer Electronics (CE)
• Information Technology & Mobile Communications
(IM)
• Device Solutions (DS)

Samsung Galaxy Note History

Samsung Galaxy Note
Range:
electronic mobile devices
Classification:
shopping product

Target Markets
• business or enterprise users
• female market
• users who:
o want to consolidate all devices into one
o Creative users
o wants a tablet-like phone and portability
o wants a phone with multi-functionality in one
screen

Core Benefits - Functional
• Portable immersive smartphone + tablet device in
one
• Full screen optimization
• Simple but amazing way to express emotions
• Enhance professionalism
• Enhance multi-tasking and maximize productivity
• Business experience with enterprise solution
• Enables creativity
• Easier way of transferring data
• User-friendly
• Powerful performance at its best

Core Benefits - Psychological
• perceived as the more expensive the product, the
higher its quality.
• perceived each products as highly innovative each
time a new version is being released.

Actual Product – Note 1
• first introduced during IFA
2011 in Berlin
• Launched on October 29,
2011 and reached
Singapore by November
2011
• First released with only 3G
capability then followed
by 4G

Dimensions: 5.3 inches
OS: Android (4.0, 2.3) TouchWiz UI
Weight: 178g
Resolution: 800 x 1280 pixels
Screen: Super AMOLED
Colors: Marble White or Titanium Grey
Camera: 8MP
Camcorder: 1920x1080 (1080p HD) (30fps)
Front-camera: 2MP
System chip: Qualcomm Snapdragon S3
MSM8660
Processor: Dual core, 1500 MHZ
RAM: 1024 MB
Built-in storage: 16GB
Storage expansion: microSD up to 32GB
Multimedia: Music player, speakers,
YouTube player
Network: GSM, UMTS, FDD LTE, Data 3G & 4G
Connectivity: Bluetooth 3.0, Wi-Fi, USB, HDMI
etc

• first introduced on August
29, 2012 during an IFA
event at Berlin, Germany
• Launched in Singapore on
October 17, 2012 and was
available in the market on
October 19, 2012
• Already has 4G capability

OS: Android (4.4.2, 4.3, 4.1.2, 4.1.1) TouchWiz 4.0 UI
Weight: 182g
Colors: Titanium Grey, Marble White, Martian Pink,
Amber Brown and Ruby Wine
Camera: 8MP
Camcorder: 1920x1080 (1080p HD) (30fps)
Front-camera: 1.9MP
System chip: Samsung Exynos 4(4412)
Processor: Quad core, 1600 MHZ, ARM Cortex-A9
RAM: 2048 MB
Storage expansion: microSD, microSDHC,
microSDXC up to 64GB
Multimedia: Music player, radio, speakers,
YouTube player
Network: GSM, UMTS, Data 3G & 4G
Connectivity: Bluetooth 4.0, Wi-Fi, USB, HDMI etc

• first introduced on
September 4, 2013 during
an IFA event at Berlin,
Germany
• Launched and was
available in Singapore
market on September 27,
2013
• Already has 4G capability

OS: Android (4.4, 4.3)
Weight: 168g
Colors: Jet Black, Classic White, Blush Pink, Merlot
Red, Rose Gold White, Rose Gold Black
Camera: 13MP
Camcorder: 1280x720(720p HD) (120fps)
Front-camera: 2MP
System chip: Qualcomm Snapdragon 800
MSM8974
Processor: Quad core, 2300 MHZ, Krait 400
RAM: 2048 MB
Storage expansion: microSD, microSDHC up to
64GB
Multimedia: Music player, speakers, YouTube
player
Network: GSM, UMTS, FDD LTE, Data 3G & 4G
Connectivity: Bluetooth 4.0, Wi-Fi, USB, HDMI etc

Actual Product
The package box contains:
• Mobile phone / phablet
• Standard Battery
• Headset
• Wall charger
• Data Cable
• Warranty receipt
• Manual and safety instructions

Augmented Product
• Guarantee - a week guarantee that users can still
replace faulty product from store
• Warranty – box contains 1 year warranty receipt
• Customer Service - starts from the personal selling to
delivery, can be seminars (wholesalers) and
customer support link (websites)
• Complementary Products - give free gifts
• Accessibility – different branches to support retailers
from all locations(wholesaler)

Suggestions
Actual Product
• screen can register other input aside from its
dedicated stylus like ball pens or pencils like Sony
Xperia Z Ultra
• design the stylus by moving the buttons where the
user can’t accidentally press it
Augmented Product
• Educate users and provide proof for International
warranty

Branding
“Samsung” (Hangul: 삼성; Hanja: 三星) is a Korean
word which is referred to as “Tristar or Three Stars”
where three represents “Powerful” and the “stars”
mean eternity.
“Galaxy” what Samsung had named all of their
Android phones
“Note” inspiration on a primary device for on-the-go
use that consolidates core tasks of multiple devices
and recreate the ease and simplicity of using a pen
and paper.

Does the brand name
possess desirable
qualities of a good brand
name?

1. Suggest something about the product’s benefits
and qualities.
The Note works with the use of stylus pen and the
phone itself as the paper.
2. Should be easy to:
Pronounce – Note is an easy short word to pronounce
Recognize – users can easily recognize a Note
phablet because of its size, design and stylus pen,
Remember – it’s easy to pronounce and recognize so
it’s definitely easy to remember.

3. Should be distinctive.
The meaning of the brand name has a connection
with the product – “Note” can be notes (adj or verb)
or notebook.
2. Should translate well into other languages.
The term Note is very descriptive and translates well
even when translated to other languages.

5. Should be legally protectable.
Under the U.S. law, characters or images that contains
simple geometric shapes or text are free from
copyright restrictions because it does not meet the
threshold of originality for copyright
protection. However, since these fonts are also
scalable they will generally be protected even though
the specific design of the characters is not.
6. Extendable
The name Note has been used in the recent release of
Samsung tablets.

Suggestions
Although it’s good that the brand name is
extendable, they shouldn’t had used it with their
recent tablet lines. It can cause confusion especially if
a user will only see the name but not the image of the
device.
Example: Samsung Galaxy Note (1, 2 and 3) phablets
are different from Samsung Galaxy Note 10.1 (tablet)

Product differentiation from
competitors
Compared Samsung Galaxy Note 3 to:
Sony Xperia T2 Ultra
HTC One Max
LG G Pro 2

• Component supply chain
It manufactures the main hardware
components of its devices.
• Big screens proved to be a major selling point
(when compared to smartphones with smaller
screens)
• Stylus functionality
Samsung Galaxy Note 3 (and older versions)
are already shipped with stylus as well while others
are not. It positions itself as a phablet with pressure-
sensitive S-Pen stylus input and relevant software
applications.
Comparison to other phablets

Stylus comparisons
Samsung Galaxy Note 3
Sony Xperia T2 Ultra
LG G Pro 2
HTC One mAx
Though other phones are not shipped with stylus, users have
the option to buy them separately. Available styluses however
don’t have as much stylus functionality as Samsung Galaxy
Note series.

Comparison to other phablets

Comparison to iPhone

Suggestions
Samsung Galaxy Note 3 so far is the only
phablet with best stylus functionality and I think it has
clearly positioned itself as it is in the market. However,
I think, Samsung should focus more in the
development of relevant applications to maximize use
of the stylus functionality. Some of these applications
are known to some target markets, however, it is not
known in general. I think, they should come up with a
manual to introduce this or come up with an
augmented service to put the importance of this
product position in the market.

Two-level Distribution Channel

Retailers in the Distribution Channel
The retailers involved:
• Provide limited services as some sales assistance are being
offered to customers like inquiry, purchasing and even
delivery.
• Are all specialty stores which carry an electronic product line
but different assortment like brands and electronic product
type (mobiles, camera, laptops).

Retailers - Store-Based
Business Districts
Location: downtown or central business districts, commercial street,
major cities intersection and rely on traffic of downtown
Example: Stalls in bus Interchange
Layout: some are small stores made up of glass shelves where handsets
of different brands are displayed to be easily seen by customers. These
glass shelves are also where the staff entertains their customers.
Ambience: has on open concept feel but customers may have uneasy
feeling of purchasing the product because of these stores’ bad
reputation.
These stores are effective to consumers with limited budget.

Retailers - Store-Based - Shopping Area
Official Dealer Stores
• Location: in the shopping malls and caters to selling electronic
devices
• Layout: The stores have different product lines with sales staff
assigned on each of the sections.
• Ambience: place gives a feeling of professionalism making
customers feel confident that their getting a product with good
quality.
Examples: Courts, Samsung Shops, Planet Telecoms
These are effective in distributing product to consumers
who wants to purchase a good quality handset without signing
up for a postpaid service.

Retailers - Store-Based - Shopping Area
Official Telco Dealer shops
• Location: in the shopping malls that offers network service
plans along with the mobile devices.
• Layout: bigger stores that normally have a customer service
corner in front where people normally queue, handset display
corner, lounges and cashier.
• Ambience: place gives a feeling of professionalism making
customers feel confident that their getting a product with good
quality. At times its packed with people especially on
weekends.
Examples: Singtel, Starhub, M1
It distributes the products effectively on consumers who
want to purchase the handsets along with a network service
plan.

Retailers - Non-Store Sellers
Online Sellers
Location: online shopping websites
Layout: website has useful links to assist the customers on their online shopping
experience
o Search bar and category filter
o User account and profile link
o Customer support
o Product category tabs
o Featured products and feeds
o Online payments
o Reviews
o Legal, Privacy & more
Ambience: Internet savvy users may feel confident about buying products from
here, however, they might feel hesitant because it’s too risky especially with what
to expect from the quality of the product.
Example: eBay, Gumtree, STCLASSIFIEDS
It’s effective in distributing the products to consumers who prefers
ordering handsets from overseas online thinking that it’s cheaper compared to
purchasing the handsets locally instead.

Suggestions
• all channels should put up a website or if they can’t
afford, they can create social network pages to
gather more customers, provide better customer
support and inquiry and even gather feedback to
further improve their service.
• Official Telco shops should create an online
booking system so customers will only arrive in the
shop on the reserved schedule to prevent shops
from getting packed and minimize the long queue
that extends even outside the shop.

Manufacturer

Mark up price on all distribution chains

Product Prices
• Note 1
The highest price you can pay is around SGD300 –
SGD398 for a brand new phone and the lowest you can pay is
around SGD200 for a second hand phone.
• Note 2
The highest price to pay is around SGD800 – SGD850 for a
brand new handset in official dealer stores and lowest is around
SGD300 in stand-alone stores.
• Note 3
The highest price to pay is around SGD860 – SGD900 and
the lowest is around SGD500 - SGD650 in stand-alone sellers and
online sellers

Equipment + Telco lowest pricing

Pricing Strategies

Effectiveness to target market
• Market Skimming and Product-Line are effective in terms of
letting the consumer understand the value of product .
• Product Bundle and Optional-product lets the consumer buy
the augmented product along with the actual product in a
cheaper price compared to if they buy them separately.
• Promotional helps consumers with limited budget an
opportunity to buy the product.
• Psychological helps the consumers perceive that they are
getting the product for a lower price.

Pricing Suggestions
Official dealer stores should also use a product bundle or
an optional product pricing strategy.
Most consumers have confidence in buying handsets
from these stores but the high prices has always been the
consideration especially of consumers who are low budget or
doesn’t want to spend more.
Consumers mostly buy mobile accessories along with the
handset and I believe if they will do this pricing strategy, they can
actually attract more customers and gain more profit as well.

Promotion - Advertising
• Massive advertising spending
• Market gains
• Inspires to be an innovator and not a follower
• Global Recognition

Types of Advertising – Product Oriented
Teasers

Types of
Advertising –
Product Oriented
Informative

Comparative

Types of
Advertising –
Product Oriented
Comparative

Types of
Advertising –
Product Oriented
Persuasive

Image

Effectiveness in advertising
• Teasers can catch customers interest and prepares
the market for a new product
• Informative advertisements which give basic
information about the product.
• Persuasive ad convinces customers that they can
get what their looking for in a handset device from
the product their selling.
• Comparative ads helps consumers compare the
difference by comparing two products in an ad.
• Image advertisements lets consumers relate with
the personality used in advertising the product.

Sales Promotion
• Manufacturers
mostly do product demonstration during
product launch and will also use personal
appearances of well known personalities to generate
traffic for the product launch.

Sales Promotion
• Distributors and Wholesalers
promotional “on sale” pricing, loyalty programs
(discounts or free products) for frequent purchase,
Free Product (additional product for a quantity of
product) and Premiums.

Sales Promotion - Retailers
Store-Based sellers
• Stand-Alone – offers promotional pricing or “on
sale” pricing, trade-in, premiums or “give-away”
like free mobile accessories and Point-of-Purchase
displays.

Store-Based sellers
• Official Dealer Stores - offers promotional pricing or
“on sale” pricing, premiums like free downloadable
apps, joins trade shows and set up online shopping
stores where they can offer electronic coupons as
well.

Store-Based sellers
• Official Telco Dealer shops - offer mobile and
network service plans that consumers can pay
recurrently, rebates upon sign up, free products,
games (scratch off cards), premiums, trade-ins,
trade shows, online website shops and social
networking pages.

Non-Store Sellers
• Online Sellers of local and international items –
offers premium to gain more value to a product.

Effectiveness of Sales Promotion
• Product demonstrations attracts demand of the
product.
• Use of Personal appearances of well known
personalities generate traffic to the product.
• Point-of-purchase display promotions when placed
in high traffic areas increase the possibility that
consumers will be notified that there’s a product
promotion.
• Promotional Pricing, rebates and trade-in targets
consumers who are practical and on-tight budget.
• Free products and premium items are effective
especially if they are an essential accessory to the
product or have great value as well.

Effectiveness of Sales Promotion
• Game promotions like scratch cards excites
customers of the fact that they have the possibility
to win another product from purchasing another
product.
• Contests to win prized products encourage a lot of
customers to join thinking they can win the products
even without paying for it.
• Loyalty programs are very important especially in
maintaining a good business relationship.
• Trade Shows are events where consumers flock to
buy devices on sale. It is where retailers get traffic
for their products.

Personal Selling
• All channels involved in the distribution channel
provides personal selling to their customers except
Online sellers.

Marketing Public Relations
• Media Relations

• General PR

• Publicity

Marketing Public
Relations
• Sponsorships

Marketing Public
Relations
Product
placements

Marketing Public
Relations
Institutional
advertising

• Direct Marketing
o Telephone Marketing (Telemarketing) -
Telco dealer and upgrade of applications
such as Samsung KNOX for enterprise
users.
o In-bound Marketing – sets up online
websites or social networks to attract
qualified prospect to their businesses.

Suggestions
. I think it will be an effective promotion for
small business district shops if they’re able to
set up even just a social network page where
they can attract customers by posting their
sales promotions. These public posts can even
be shared to reach more customers.
Consumers can have easy ways of bargaining
their way on the products by commenting on
the posts or sending a private message.

References
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• “Samsung is hiding”. (2014). In Mail Online. Retrieved Aug 8, 2014, from
http://www.dailymail.co.uk/sciencetech/article-2717034/Samsung-hiding-inside-Oculus-Rift-Teardown-
reveals-Galaxy-Note-3-inside-generation-virtual-reality-headset.html
References

• Peters, Mark. (2012). “David Beckham promotes Galaxy Note”. Retrieved Aug 3, 2014, from
http://www.letsgodigital.org/en/33170/david-beckham/
• Walford, Lynn. (2012). “Samsung Galaxy Note FCUisodes - What's the Deal?”. Retrieved June 24, 2014,
from http://www.wirelessandmobilenews.com/2012/02/samsung-galaxy-note-ics.html
• QUICK TURN TEARDOWN OF THE SAMSUNG GALAXY NOTE 3. (n.d.). In teardown.com. Retrieved Aug 5,
2014, from http://www.techinsights.com/samsung-galaxy-note-3/
• Lim, Jessica. (2013). Errant shops finding ways to mask reputation. Retrieved Aug 9, 2014, from
http://www.straitstimes.com/breaking-news/singapore/story/errant-shops-finding-ways-mask-reputation-
20130828
References

SP Assignment Report | Samsung Galaxy Note Series | Catherine Ann Pan | August 2014

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