Korean Conquest:

How LG and Samsung won over the Indian Market

Presented by:
M. Arsalan Sheikh (#7989)
Ahsan Bham (#8106)
Sobia Khan(#6316)
 Market Positions
• Market Leader • Market Followers
– Samsung – Haier
• Market Challenger – Onida
– LG – Panasonic
– Videocon – Godrej
– Sony – Electrolux
– Whirlpool – Thompson
– Phillips – Akai
 Value Disciplines
Achieving leadership positions in market.
• Samsung
– Customer Intimacy (Technological)
• LG
– Product Leadership (Innovators)
• Videocon
– Operational Excellence (Price minimisers)
 Competitive strategies
SURVIVAL STRATEGY
Area of Competition
Staying alive
Winning and retaining Customers
Customer Value Low cost/benefit ratio
Marketing Strategy Mass marketing
Customer Satisfaction Customer service
New attributes
Product Innovation
Line extension
Building Your Sustainable Competitive Advantage
Strategic Growth Focus Building resources
Innovation Linear
Technological Innovation Incremental
Process Innovation Functional improvements
Business Innovation Perfecting traditional
business model
LEADERSHIP STRATEGY
Targeting market leadership
Creating higher customer value
Differentiation and positioning
Customer intimacy
New product categories
New brands – Speed
Building distinctive capabilities
Systematic
Radical
Enterprise-wide BPM
Creating new adaptable business
models
Promotion:
Print Ad
Print Ad:
Overview
• Print advertising of 'Consumer Durables'
increased by 9% during 2009 compared to 2008
• 'Television Sets' was the most advertised
category of 'Consumer Durables' sector in Print
during 2009
• 'LG Electronics India Ltd' rules in advertising of
'Consumer Durables' in Print during 2009
• More than 45% of 'Consumer Durables' ads were
for Sales Promotion ad campaigns in Print during
2009
Print Ad:
Overview
• Top 10 new brands of ‘Consumer Durables’
sector advertised in Print consisted of 2
brands each of ’Videocon Industries Ltd’,
‘Eveready Industries India Ltd’ and ‘Samsung
India Electronics Ltd’ during 2009.
• ‘Multiple Promotion’ accounts for 35% of total
Sales Promotional ad campaign used for
‘Consumer Durables’ in Print followed by ‘Add
on Promotion’ and ‘Exchange Promotion’ with
19% and 15% share respectively during 2009.
Print Ad:
Consumer Durables Contribution
Print Ad:
Market Share
Promotion:
TV Ad
TV Ad:
Overview
• 14% growth in 'Consumer Durables’ advertising on TV
during 2009 compared to 2008.
• 'Samsung LED TV’ gathered maximum TV ad volumes
among all the new 'Consumer Durables’ advertised on
TV during 2009.
• ‘Samsung LED TV’, ‘LG Refrigerator’ and ‘Whirlpool Ro
Water Purifier’ were the top 3 new brands of ‘Consumer
Durables’ sector advertised on TV during 2009.
• Top 10 new Consumer Durable brands advertised on TV
comprised of 2 brands each of 'Television sets', 'Washing
Machines' and 'Air Conditioners' categories during 2009.
TV Ad:
Consumer Durables Distribution
Promotion:
Rural Areas (Tier III)
o Challenges:
o Electricity Shortage – Sporadic Power Supply
o Acute Water Shortage.
o Poor Transportation availability.
o Consumer Finance Options.
o Other obstacles:
o Literacy rate
o Culture and traditions
o Rural reach
o Too many languages and dialects
 Rural Promotional Strategies
• Haat or weekly markets
• Melas (25,000 melas; 7.6lakhs visits annually)
• Wall paintings
• Customer contacts ‘touch point’ (home-to-home)
• Van campaigns
• Event management
• Others