Comparison of various parameters between 3 mobile industries- Samsung, Motorola and HTC P.S: For education purpose only.

1. PRESETATION ON
MARKETING STRATEGIES
PRESENTED TO:
PROFESSOR VISHAL CHAVAN

2. GROUP PARTICIPANTS
SNEHA J CHOUHAN (ROLL NO. 21)
DR. D Y PATIL UNIVERSITY,
SCHOOL OF BUSINESS MANAGEMENT,
NAVI MUMBAI.

3. CONTENTS
1. Introduction to marketing strategies
2. Scenario the mobile sector industries in India
3. Brief Introduction (Samsung, Motorola and HTC)
4. Comparison on the basis of parameters like:
• Vision, Mission.
• Marketing mix
• Value Chain Analysis
• PLC (Product Life Cycle)
• New product development
3. Conclusion

4. 1. Introduction to
Marketing strategies

5. • Marketing strategy is the goal of increasing sales and
achieving a sustainable competitive advantage.
• Marketing strategy includes all basic and long-term activities
in the field of marketing that deal with the analysis of the
strategic initial situation of a company and the formulation,
evaluation and selection of market-oriented strategies and
therefore contribute to the goals of the company and its
marketing objectives
• A marketing strategy is a process or model to allow a
company or organization to focus limited resources on the
best opportunities to increase sales and thereby achieve a
sustainable competitive advantage.

6. • A strategy is a long-term plan to achieve certain
objectives. A marketing strategy is therefore a marketing
plan designed to achieve marketing objectives.
• For example, marketing objective may relate to
becoming the market leader by delighting customers.
The strategic plan therefore is the detailed planning
involving marketing research, and then developing a
marketing mix to delight customers.
• Every organisation needs to have clear marketing
objectives, and the major route to achieving
organisational goals will depend on strategy. It is
important, therefore, to be clear about the difference
between strategy and tactics.

7. 2. THE SCENARIO OF MOBILE
SECTOR INDUSTRY IN INDIA

8. 2. THE SCENARIO OF MOBILE
SECTOR INDUSTRY IN INDIA

9. o As here in graph we can see how mobile industry take
stride in 2005 and continued in 2007 as well while
landlines scoring almost same in users from 2005-2007.
o In 2008-09 the overall telecom equipments revenue in
India stood at 136,833 crore during the fiscal, as against
115,382 crore a year before.
o The mobile handset market is expected to show steady
growth through 2014 when end user sales surpass 206
million units.

10. Reasons for choosing Mobile Industry
• Mobile industry in India is the fastest growing industry with lot
of opportunity to grab ahead.
• Factors responsible for the growth of the industry:
 Growing income of the middle-class families,
 Popularity of mobile based services like online ticket booking
 Low rate mobile connection plans
 Technological advancement
India is the fastest growing telecommunications industry in the
world, it is currently holding a market of 706.69 Million (Dec
2014) mobile phone users and is projected that India will have
1.159 billion mobile subscribers by 2015.

11. Major Players in Mobile Industry
• Some of the major players are
– Nokia
– Samsung
– LG
– HTC

12. Present Scenario of Indian Mobile
Industry
• India constitutes approximately 10 percent of world wile
sale of mobile devices. “Market is supported by global
and local players as well.”
• “Growing influence of local handset players in the low-
end segment has forced high-end companies to sell
phones at a discounted rate.”
• Sales of mobile has shown an aggregate increase of
about 50 %.
• Despite very high competition Mobile industry is growing
at a very high pace.

13. 3. Background about the
mobile sector industries
(Samsung, Motorola and HTC)

14. INTRODUCTION TO SAMSUNG COMPANY
• Samsung is a South Korean multinational conglomerate
company headquartered in Samsung Town, Seoul.
• It comprises numerous subsidiaries and affiliated
businesses, most of them united under the Samsung brand,
and is the largest South Korean chaebol (business
conglomerate).
• Samsung was founded by Lee Byung-chul in 1938 as a
trading company.

15. INTRODUCTION TO MOTOROLA COMPANY
• Enterprise Mobility Solutions: Headquarters located
in Schaumburg, Illinois communications.
• After having lost $4.3 billion from 2007 to 2009, the
company was divided into two independent public
companies, Motorola Mobility and Motorola
Solutions on January 4, 2011.

16. INTRODUCTION TO HTC COMPANY
Industry: Communications
Equipment
Founded: 1997
Country: Taiwan
Chairwoman: Cher Wang
Employees: 17,413
Revenue: $9.77 B
77th most powerful brand in
Forbes list.

17. 4. Comparison on the basis of
parameters like:
Vision, Mission.

18. COMPARISON ON PARAMETERS BASED ON:
SAMSUNG MOTOROLA HTC
VISION “Inspire the World,
Create the Future."
"Our history is rich. Our
future is dynamic. We
are Motorola and the
spirit of invention is
what drives us."
“Our vision is to
address your
communications and
software
automation
requirements with
intuitive Internet
platforms and
professional
branding initiatives.”

19. SAMSUNG MOTOROLA HTC
MISSION Everything we do at
Samsung is guided by
our mission: to be the
best “digital-e-
Company”.
We are a global
communications leader
powered by a passion to
invent and an unceasing
commitment to advance
the way the world
connects. Our
communication
solutions allow people,
businesses and
governments to be more
connected and more
mobile.“
We are a global IT
solutions provider
adding value to our
clients and people
through emerging
technologies. We are
dedicated to the
success of our
clients, employees,
business partners,
suppliers,
community, and
stakeholders.

20. 5.Marketing Mix

21. 1. PRODUCT
SAMSUNG MOTOROLA HTC
1)Tablets
2) Mobile phones – Smart phones,
normal phones,
3) Televisions – LEDs, LCDs. Plasma
TV, SMART TV, HDTV etc
4) Cameras and Camcorders
5) Refrigerators
6) Air conditioners
7) Washing machine
8) Microwave ovens
9) IT – Laptops, printers and
accessories.
The product portfolio is one of the
strongest point for Samsung.
In creating products, Motorola
concentrates on:
attractive design
excellent call-quality
ease of use
value-added features including
music player, games, camera, and
video features
high quality, reliable products.
MOBILES
TABLETS
CAMERA

22. 2. PRICE
SAMSUNG MOTOROLA HTC
-Skimming price
-Competitive pricing
Prices charged by Motorola
are linked to the product life
cycle.
As a product matures and
sales increase, it is possible to
reduce costs.
They offer products from
lower range to higher range

23. 3. PLACE
SAMSUNG MOTOROLA HTC
It works on the channel
marketing concept wherein
there are three segments.
Sales and service dealers,
Modern retail and
Distributors. showrooms.
The Modern retail segment
includes large retailers like
Croma, Hypercity, Vijay sales,
Vivek’s and any others who
are present in the modern
electronic retail chain.
Samsung being such a
branded product, the retailers
are bound to keep Samsung as
an alternative for their
customers.
Internet ON SITES LIKE FLIPKART,
AMAZON, IN STORES , ETC

24. 4. PROMOTION
SAMSUNG MOTOROLA HTC
on one hand, Samsung uses
various marketing vehicles
across the year covering
festive season as well as non
festive time.
On the other hand, it gives
many offers and discounts to
its trade partners to motivate
them to sell Samsung above
competition. With such a
strategy, Samsung’s brand is
on the rise so that both, the
pull as well as push strategy is
working simultaneously in
Samsung.
An important avenue for
communication is advertising.
Advertising is referred to as
'above the line' promotion.
Other types of promotion such
as special offers and discounts
are referred to as being 'below
the line'.
Advertising
Catalogs
Newspapers
TV

25. 6. Value Chain Analysis

26. WHAT IS A VALUE CHAIN ANALYSIS?

27. What is Value Chain Analysis?
• The Value Chain Model was given by Michael Porter.
• Value chain analysis is one of the most widely used strategic
tools that measure the perceived value of the customer.
• Organizations identify strategic advantages and
disadvantages with the help of value chain analysis. Value
chain refers to all the value-creating functions required for
creating and delivering the goods and services to the target
customers.
• It helps to analyse specific activities through which firms
can create value and competitive advantage.

28. SAMSUNG
• The Analysis Value Chain Framework analysis has its shortcomings in
not being able to represent value-adding activities that Samsung might
be performing outside of the value chain.
• A lot of the value created by Samsung, even strictly in the mobile
market, comes from things like branding and human resources which
are not accounted for in such an analysis. I
• t’s because of this that we have selected separate analytics techniques
throughout the report to understand Samsung and its operations from
various perspectives.
• Determining inbound and outbound logistics and the changes that
would result in them from the acquisition of AuthenTec and
Synchronica and the new activities added was the most difficult and
perhaps vague sections of the Value Chain Analysis because that’s not
information readily available to the public.
• Determining how things would change outside of the obvious
expectations related to data coming in and out of the new branches and
what the new employees have to offer is a difficult task with the limited
information available.

29. MOTOROLA
• What activities a business undertakes is linked to achieving its
competitive advantage, and Motorola seemed to be best
prepared to implement a global strategy, because of the
superior competitive advantages of its foreign operations
compared with Samsung Electronics, and HTC.
• Paradoxically, Motorola's rivals showed a greater disposition
to use resources from outside of the United States (Business
week 2008). Thus, Motorola need to largely focus on building
a strategy that would allow the company to recover its
competitive position in its own home market, which was
essential for survival.

30. HTC
• The value chain is that an organization creates value by
performing a series of activities and it represents how
each competitive advantage created via an organization
adds value to the service or product for each customer. In
the HTC Company, R&D, Production, Marketing & Sales,
Customers Service and Human Resource are adding the
value to their company. (Hill & Jones, 2008)

31. 7.PLC (Product Life Cycle)

32. What is Product Life Cycle?

33. A. INTRODUCTION STAGE:
SAMSUNG MOTOROLA HTC
In 1938, Samsung began as a
small business trading
produce and consumer goods.
Almost 70 years later,
Samsung has transformed
itself into a global
powerhouse whose superior
products and services now
range from semiconductors
and LNG ships to fine
chemicals and financial
services, just to name a few.
Motorola introduced the
original RAZR with an effective
marketing campaign touting
the RAZR as a must-have
product. By 2006, the phone
had sold more than 50 million
units
The HTC Dream was the first
cell phone to feature the
Android software operating
system. Other devices include
the Desire, Explorer, Rhyme,
and Sensation. HTC's phones
are marketed by wireless
communications carriers
including T-Mobile USA.

34. B. GROWTH STAGE:
SAMSUNG MOTOROLA HTC
Samsung Galaxy has below
sets which are currently on
this stage: Samsung Galaxy
S5: Price is INR 52000. Thus
very low market share in
countries like India. Popularity
is only 2.6 % (Source:
gsmarena.come). This has all
new feature including Android
Verrsion (Android Kitkat). It
has sold below 1 lac sets in
India (Souce: EconomicTimes)
RAZR phones experience
relatively short life cycles, and
the growth stage for these
devices typically lasts for only
a couple of years. During this
stage, Motorola lowers the
price of the phone, reducing
the profit margin per unit but
increasing overall profit for the
company. During the growth
stage, the market for a RAZR
continues to expand and
demand for the product
continues to increase.
an expanded role covering
operations, quality, sales
operations and services

35. C. MATURITY STAGE:
SAMSUNG MOTOROLA HTC
Product is established and aim
for the manufacturer to
maintain a market share
which they have already built.
Thus product is highly
standarised. Price of the
product plays an importand
role. Samsung Galaxy has few
sets in this stage, such as:
Samsung Galaxy Core:
Released on 6th May, 2013.
With price INR 11000, it is at
mature stage.
During the RAZR model's
maturity stage, the model
experiences increased
competition from other
products that adapt many of
the phone’s popular features.
Sales also start to drop during
this stage and Motorola will
typically continue to lower the
price point of the phone.
HTC, the first maker of phones
using software from Microsoft
Corp. and Google Inc., has
seen its share of the global
smartphone market share fall
to less than 4.2 percent from
10.3 percent in the third
quarter of 2011, according to
market researcher IDC. During
that period, Samsung and
Apple shipments more than
doubled, helping trigger a 40
percent drop in HTC’s stock
last year after a 42 percent
decline in 2011, according to
data compiled by Bloomberg.

36. D. DECLINE STAGE:
SAMSUNG MOTOROLA HTC
Market for this product starts
to decline. Even low price
does not play any role
because of old and very
common features. This
happens after maket becomes
saturated. New products with
better quality are present in
the market. Galaxy has below
set in this stage:
During decline, the RAZR is no
longer regarded as the hot
phone on the market. Other
companies continue to
introduce better products that
have more features and use
improved technologies.
Decreasing sales eventually
cause Motorola to discontinue
a given RAZR model. Motorola
discontinued the original RAZR
in 2007.
HTC last year said it “dropped
the ball” on products, pointing
to weaknesses in design and
engineering. The unveiling of
models One X, S and V in
February 2012 was supposed
to herald a reversal of fortune,
yet a lag of as many as six
months before shipment, and
complaints about connection
problems and overheating,
saw sales miss analyst
estimates.

37. 9. New
Product Development

38. What do you mean by New Product
Development?

39. NEW PRODUCT DEVELOPMENT BETWEEN:
SAMSUNG MOTOROLA HTC
INTRODUCING
SMARTWATCHES
Google’s acquisition of
Motorola shifts the balance of
power in the handset-patent
conflict between Google and
its operating system
competitors,” said Ross Rubin,
executive director of industry
analysis for NPD. “Android’s
momentum has made for a
large pie that is attractive to
Motorola’s Android rivals,
even if they must compete
with their operating system
developer.”
NPD Display Search: HTC
tablet could be coming this
year, powered by Windows

40. 13. CONCLUSION

41. CONCLUSION
• In terms of market share Samsung contributes to a higher
segment, while HTC is second and Motorola is 3rd.
• Samsung, a Korean company is in huge demand by the
customers due to its strategies of coming up with new
products every now and then.
• HTC a Taiwanese company is also performing fairly. It’s
known for its tablets and mobile phones.
• Motorola is in a revival stage where it has collaborated
with Google to come up with new product to acquire
market.