Diversification strategy of Samsung: Samsung is a well-known brand today. It is well known for its genuine attempts at innovation, high class of products, and popularity. Samsung has concentrated mostly on three core factors driving it to its success today. It has invested heavily in two main things. Despite being well-known worldwide, it still spends heavily on its marketing. It is important to note that although Samsung has taken a hit on sales figures and revenue stream, its marketing budget was reported to be the biggest in history in the fiscal year 2013.
It was an astounding $14 billion and constituted 5.4% of the company’s total revenue, while Apple and Microsoft’s marketing budgets in 2013 stood at $1 billion and $2.5 billion, respectively. This shows the level of importance Samsung gives to establishing brand awareness among its consumers.
It is obvious that, even if the consequences are severe, Samsung never neglects its marketing department. For any organization to grow, it must create awareness among the consumers of its services and all of its products through any available means. Samsung has created a genuine image through the same means.
Diversification strategy of Samsung
There are many innovative methods and means of introducing innovation in the marketing of your product and your organization’s brand name.
It is necessary to understand the main media that people are using at what stage of the generation. It would not be wise to advertise much through radio, as there is no visual in this medium of marketing.
Most people now use the radio when they are using transportation. Radio is an old technology now, so investing in it much would not be viable advice. Nowadays, people mostly use the internet to interconnect with each other. Social media is mostly used to communicate with each other and worldwide.
According to the CMO Council, the Global marketing trend through media is rising at the rate of 5.1 percent, and at the moment, it amounts to $1.6 trillion worldwide.
So it is visible why Samsung concentrates mostly on developing a strong marketing innovation management area in its organization, as it is why today Samsung has beaten its competitors in the sales area.
Through marketing and brand awareness to its customers and that too with better and more efficient marketing strategies and innovation. Secondly, Samsung has concentrated on another core factor.
