Samsung to expand offline presence in US

Samsung engraved on a wall

Samsung is the largest smartphone brand in the world. It has been the leader for a long time and no other company even came close to challenge the South Korean electronics giant. In recent years, the Chinese technology giant Huawei is posing as a challenger to Samsung in terms of smartphone sales. Samsung took over Apple as the second largest smartphone seller in the world in 2018 and looks forward to overtake Samsung in later 2019 or 2020.

Apple’s largest market in the US. It has created a whole ecosystem, which compels the users to stay in the system at all cost. It has built everything different starting from the software to the hardware and in the past has been criticized by numerous users and consumer rights protection bodies for their unfair practices. Samsung has been in a constant fight with the American behemoth almost since its first entry into the smartphone market.

Samsung was also the largest smartphone brand in the second largest smartphone market in the world – India. However, in the year 2017, Samsung lost this tile to the newer Chinese brand Xiaomi. Now it controls over 23% of the Indian market and is a close second to Xiaomi. Xiaomi won the battle against Samsung due to the new strategy of adapting to the online demand.

Xiaomi understood the fact that setting up brick and mortar stores and doing mark physical marketing requires huge funds. This could be cut down by following an online-only policy and digital marketing. Samsung, on the other hand, had a huge presence in the market in terms of physical stores and marketing reach. It spent millions of dollars on advertisements but still lost to Xiaomi’s affordable smartphones.

The US is the largest market for Samsung electronics. It sells the highest number of gadgets and appliances in the country. They are planning to compete with Apple there. Samsung’s philosophy has always been – touch and feel. It always focuses on the physical stores as that lets people see the device, touch it, feel it and build a trust factor. This is the reason it continued with its offline policy in India. Now it plans to do the same in the US as well.

Apple is known for its megastores all over the world. Since the US is their home country; they have even bigger luxury stores in the country. Apple has even planned to open stores with an average area of more than 5000 sq. ft. in India as well for boosting sales. Seeing this, Samsung now plans to open Apple-like stores in the US. This plan is to compete with Apple in its home country.

Apple founder Steve Jobs was considered one of the best marketing personnel in the world as he sold Apple like hot cakes. He proved to the world that his brand is the best. Samsung needs to do something similar in order to create a disruption in the market. It will also launch its highly awaited Galaxy S10 series soon. It is also claimed that the stores will have everything from the bag of Samsung electronics such as TVs, VR Glasses and so on. Along with the launch of Galaxy S10, if the stores are opened, it will be a win-win situation for the brand.

-Soumya De

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