Samsung Case Study

Download as docx, pdf, or txt
Download as docx, pdf, or txt
You are on page 1of 4

SAMSUNG CASE STUDY

Retail Environment Average size of retail area available is < 250 sqft. Multiple brands vying for shelf, display & storage space. Acute visual clutter of POSM e.g. posters, danglers, buntings of various brands. Retail trade ignorant and unexposed to the principles, concepts & trends of merchandising. Competitive Environment Dominant retail presence aimed at promoting P4 and pre-empting AMD. Innovative POS display schemes: Mystery Shopper etc. Use of imported, high quality POSM. Logitech providing standard display racks. Microtek , Iomega, Canon, Seagate, Epson, etc. add to the retail clutter Retail Initiative Retail channel partner priorities. Initiated retail research to study and understand Consumer footfalls & behavior at the retail. Sales patterns and brand priorities. Impact of POS merchandising. Retailscape conducted the retail research by visiting 80 outlets across 6 cities. Key Retail Learnings Dedicated Retail outlets are a costly and unviable proposition because : Consumers need choice of brands to make purchase decisions. Consumers willing to buy assembled PCs, as long as essential components were of reputed brands. Retailer backlash against dedicated stores. Retailers willing to learn and be trained in modern retail merchandising and retailing concepts from experts. Top Retailers eager to participate with Samsung multi brand initiative, if presence is customized to their needs. Flagship Stores with dedicated Samsung Shop-in-Shops to set benchmarks for the computer retail industry. Samsung senior management initiative to break the clutter and redefine brand visibility at retail. Re-allocation of budgets in favor of permanent, customized, innovative & high impact merchandising. Retail communications to focus on consumer benefits, product features & lifestyle imagery. Shift of focus from reactive to proactive merchandising : Samsung to set benchmarks for itself rather than focus on countering competition. Seek first mover advantage through innovation. Samsung Retail Initiative: Shop in Shop Concept

SIS Concept aimed at addressing all key retail issues and critical priorities. Align retail partners and seek their buy-in and financial commitment for participation. SIS Design Strategy : Futuristic, Modern, Classy: use of brushed steel & glass. Functional, Sturdy, Modular, Ease of installation . Branding Elements to focus on products & lifestyle. Identify & customize additional branding opportunities in key retail to have dominant presence. Brand Shop-in-shops as Samsung Digital Arena. Samsung Digital Arena: Outlet Identification Outlet Selection Criteria: Visited 80 outlets across 6 cities. Outlet Selection Criteria based on : Availability of prime retail space. Location of outlet in the IT cluster market: high dealer & customer walk-ins . Location of outlet as a stand alone retail point with high customer walk-ins. Shop-in-shop concept & designs were shown to selected retail partners and formally ratified through Samsung Retail Agreements. Samsung Digital Arena: Location:Shop -in-shops Location of Shop-in-shop within the outlet: Selected prime location within retail outlet, depending on shop layout & space availability. L shaped formation in large outlets. Location of shop-in-shop early & prominent in traffic flow. Most visible & prominent location in the outlet. Shop in-shop location to factor in space requirements for display and demonstration of a live BUPC set. TFT, Laser printer, OMD, HDD, Mouse, Keyboard to be on display, along with brochures & promotional offers. Samsung: Shop-in-shop Designs

Before

After

Outlet: Compucity - Pune

Samsung Shop-in-shop: Nemi Computer - Pune Decision-Making Space & Reinforcement Space A well segregated and dedicated space for Samsung products helps create a visually appealing experience for the customer. All Samsung products being available in one location helps create a one stop shop for customers. Availability of product brochures and visual information about the brand encourages customer to buy the product. Opportunity area branding helps to reinforce the brand in the eyes of the customer. Using retail space effectively helps maximize brand visibility and increases trust in the brand. Permanent Branding

Before

After

Samsung: Merchandising Identified & analyzed 2,000 outlets in 32 cities. Weekly visits at the retail outlets for POS installation, refurbishment & maintain focus. Installation of merchandising materials, customized to the retail space available and outlet requirements. Dealer Record Cards (DRCs) maintained to monitor the merchandising process at the retail and MIS reports.

You might also like