CHAPTER I

INTRODUCTION

Customer perception plays a vital role in a company’s ability to attract new customers
and to retain existing customers. The good news is that companies have the ability to
control many of the factors that build an individual’s perception of the company/brand.
The formal definition of customer perception is, “A marketing concept that
encompasses a customer’s impression, awareness and/or consciousness about a
company or its offerings.” To put it simply, customer perception is what the
customers and potential customers think of your organization. This perception directly
impacts the attraction of new customers and the capacity to maintain good
relationships with current customers. in today’s digital age, virtually everything is a
Google search away. This makes your goods and services easier to find, but the
tradeoff is that your competition is easier to find as well. That means it’s easier for
unhappy or unsatisfied customers to leave. Consumers want good quality, but they
also want to know they are getting good value. That value isn’t just judged by the
product or service they are purchasing, but by the availability and usability of the
customer service that supports it. Customer perception is typically affected by
advertising, reviews, public relations, social media, personal experiences and other
channels.
The Samsung Group is a multinational conglomerate corporation headquartered in
Samsung Town, Seoul, South Korea. In 1938, Lee Byung-Chull founded Samsung, a
small trading company. Now it is composed of numerous international affiliated
businesses, most of them united under the Samsung brand including Samsung
Electronics, one to the world's largest electronics company. To date, Samsung
continues to maintain its status as the world's 5th best technology provider. Its highly
qualified workforce is still striving for excellence in their respective fields making the
whole company a huge success in the making. The secret to the company's continuous
success is in the constant improvement ofits management structure and the application
of its philosophies: "We will devote our human resources and technology to create
superior products and services,thereby contributing to a better global society.”
The marketing of Samsung includes all the marketing mix. i.e. product, price, place
and promotions. It has reached unbelievable heights with its smart phones, which

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helped the brand to become a symbol of quality and reliability for its consumers.
Besides the product, it is famous for its customer service (Samsung has one of the
fastest product services). Though, product variation is the most powerful aspect of the
marketing mix of Samsung. The role of a consumer’s attitude towards a brand can be
known by the perceivedattributes of a brand. Public perception towards a brand comes
from the multiplicity of aspects and also changes, depending on the public. The recent
debacle of Samsung with its smart phones is the perfect situation which describes
consumer’s perception swiftly changing from one of the favored smart phones to a
least one.

Samsung mobiles have the strong market share among all the brand of smart phones
in Nepal. Samsung mobile covers around 50% of market shares in the Nepal's phone
market (Dhungana,2016). Samsung mobile company is the global market leader as
well as in Nepal among the smart phone companies. Nepal is one of the developing
countries with the low economy but the consumption of mobile phones is growing in a
huge rate. So, there is plenty of opportunity for mobile companies to sell their brands
of phones and enhance business. The topic on customer perception was interesting
and understandable. Samsung phones were selected as the product of the study since it
is hugely popular and is the market leader throughout the world, which would be
interesting. The research was decided to conduct in the local market for Samsung
mobile customers because it was easy to reach thetarget audiences.

Customers have expectations and criteria when they judge whether the marketing
strategy of brand is satisfactory or not. At the same time, due to high competition in
market, the perception of customers and potential customer are also divided according
to the products or smart phones that they want to achieve. The proper identification of
customer satisfaction and selection of corrective marketing strategy helps to retain
customers and to increase brand awareness, profitability and effectiveness of
Samsung smart phones.
Among the different problems regarding marketing strategy, following will be the
majorconcern of this study:

 What are the marketing strategies of Samsung Smartphone’s?

 Why Samsung is preferred in market?

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  Are customers aware of recent SAMSUNG advertisement? And does that
advertisement stimulate them to purchase the product?

 What is the level of satisfaction of customers with Samsung's marketing

strategy?

 Do customers feel that marketing strategies of Samsung are effective to

influencethe customers to buy the smart phone?

Purpose of the Study

Samsung is one of the world’s most innovative companies. It has a reputation for
promoting technological advancement and new working practices. It has about 50% of
mobile vendor market share in Nepal and has introduced three range of Samsung
mobile, on the basis of geographical, demographic and income level of customer. The
major purposes of my studyare:

 To explore the marketing strategy of Samsung.

 To study about the awareness level of customer about Samsung Smartphone.

 To assess the customers loyalty amongst Samsung user.

Significance of the Study

The main purpose of the study is to analyze and evaluate the perception of people
towards the marketing strategy of Samsung. This study is significant in the following
grounds:

 It is useful in creating most favorable brand by knowing the customers

perception and marketers can trace out important reasons for brand preference
and can focus according to choice, perception and preference of customers.
 Deeper understanding of customer’s perception can help managers to design
marketing strategy that will concentrate on customers.

 It is a valuable reference for scholars and researchers to conduct further similar

research.

Limitation of the Study

 The research has following limitations:

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  The information given by respondent might be biased and is not totally
reliable.
 The result of this research may not be generalized because the sample is
restrictedto 100 respondents

 The data collected and presented may not be suitable after some time as
perceptionand preference of people keep on changing.

 Limited period of time for the research

Literature Review

According to ( Rahman, 2014) customer’s perception towards products attributes

greatly influence future buying decision which means that customer perception plays
an important role in brand loyalty. Advertisements, loyalty schemes and public
relations too influence customer perception towards brand loyalty (Watson and Hill,
2015). Businesses in today’s dynamic environment have to deal with increasing
competition, changing customer demands and product differentiation (Tsai, 2011). In
this present competitive business environment, what a customer purchases is driven by
the perception of the product in their mind. Companies are trying to understand
customers’ demands, feelings and perception to gain a competitive edge in the market
place. Businesses cannot survive in this environment only on the basis of improved
product quality, but also need to look at various other factorssuch as customer retention
in order to build long term success. Companies all around the world are having
increasing concerns for creating loyalty as this will ultimately lead them to have a
greater market share. Marketers have started emphasizing on strategies to retain loyal
customer rather than attracting new ones (Aaker, 1992).
The so-called marketing mix is one combinational marketing strategy tool used by
one company to deliver marketing purposes and control variables in a target market
(Kolter, 2000). There are four types of variables (4P) in marketing mix: (1) Product:
supply of a competitive product combination for new products continuously
developed to satisfy consumers’ requirements and excellent product capabilities
referred to as a robust and essential support of marketing operation. (2) Price: a
profitable price made by one enterprise to match segmentation, targeting and
positioning, correspond to another marketing mix, create enough attraction and
competition, and make an enterprise’s marketing strategy or purpose substantially

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fulfilled with loss of internal / external factors evaluated. Price cognitions and price
affect mediate the effect of price increase on consumer behavior (Klaus, 2009). (3)
Place: a system designed by an enterprise which considers its location and other
essential factors affecting marketing mix, analyze customers’ requirements, constructs
purposes, and evaluates and ensures major programs for one essential place. (4)
Promotion: extra short-term, occasional and attractive incentives supplied to specific
consumers by promoters for expectably specific responses (for example, free trial or
purchase) taken by consumers. However, the concept that the firms can determine the
four Ps as the elements of marketing strategy is obsolete (Clemons, 2008). Consumer
perception over the price determines what the consumer is willing to buy. Highly
successful high-margin consumer products are largely on the basis of word-of-mouth
and “word-of-mouse” promotions (Riedl, 2002). The attractive market segments
should be focused. And factors influencing the marketing strategies should include
variables in consumers’perception to attain profitability (Chiliya, 2009).

1.5.1 Conceptual Framework:

A conceptual framework can be defined as a theoretical structure of assumptions,

principles, and rules that holds together the ideas comprising a broad concept. The
framework is supposed to help the readers make logical sense of the relationships of
the variables/ factors/ themes that have been deemed relevant to the research problem.
It presents the relationship between dependent and independent variables that helps to
develop hypothesis. The figure shows the theoretical framework of the study. The
dependent variable of this study is the customer’s perception and the independent
variables of the study are price of product, monthly family income, product features,
location for product availability and promotional tactics.

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 Independent Variable Dependent Variable

 Price

 Income

 Product
Customer’s
 Place perception
 Promotion

1.6 Research Methods

This section discusses about research design, study population, sampling method, and
sample size, sources of the data, data collection instrument and data analysis tools.
Each of them has been explained as follows:

1.6.1 Research Design

A research design is the planned specification of methods and procedures for acquiring
the information needed to structure to solve the problems. The research design used in
this study is descriptive. Descriptive research is used to describe characteristics of a
population or phenomenon being studied. It does not answer questions about
how/when/why the characteristics occurred. Rather it addresses the "what" question
(what are the characteristics of certain district population or situation being studied).
The characteristics used to describe the situation or population is usually some kind of
categorical scheme also known as descriptive categories. This research work includes
survey and fact finding enquiries to fulfill different objectives. Structured
questionnaire is used to gather the information through primary sources.

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1.6.2 Sources of Data

The study is conducted on primary data and there is less use of secondary data.
Dependingon the nature of data and information following sources have been utilized.

 Primary Sources: Primary data are collected through structured

questionnairemethod. Questionnaire is distributed to respondents to collect the
data from them.
 Secondary sources Secondary data consists of information collected from
sourceslike magazines, newspapers, websites, books, brochures of Samsung
etc.

1.6.3 Population and Sample

The population for this study is comprised of the customers using Samsung product.
Out of these, 100 Samsung customers are interviewed with the help of questionnaires.

1.6.4 Data Collection Instrument

This research is based on primary data which was collected with the help of structured
questionnaire. It contains a rigid set of questions and the respondents were asked to
answerthe question. Data were collected using a survey Questionnaire containing:

 Closed end questions

 Likert scale questions
 Respondents’ personal information.

1.6.5 Data Analysis Tools

This includes the tools used for analysis of the data collected. After the data are
properly collected and presented, data analysis will be conducted. Simple statistical
tool is used which are as:

 Tables
 Bar-diagram
 Pie-chart

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 CHAPTER II

DATA PRESENTATION AND ANALYSIS

This chapter presents the data, facts, figures and their interpretation. This project work
is based both primary and secondary data. The data collected from primary sources
and secondary sources are presented and analyzed below.
Samsung has reached unbelievable heights with its smart phones, which helped the
brand to become a symbol of quality and reliability for its consumers. Besides the
product, Samsung is famous for its customer service (Samsung has one of the fastest
product services). Though, product variation is the most powerful aspect of the
marketing mix of Samsung.

2.1 Marketing Strategies used by Samsung

Samsung Marketing Mix Pricing Strategy – Samsung marketing strategy involves
two pricing strategies and they are:

 Skimming Price –. Price skimming is a pricing strategy in which a marketer

sets a relatively high initial price for a product or service at first, and then
lowers the price over time. It is a temporal version of price
discrimination/yield management.

 When other competitor launches a Smartphone with identical features, Samsung

lowersthe price and easily steal customers from the competitors.

 Competitive Pricing – Competitive pricing is setting the price of a product or

service based on what the competitor is charging. It is one of favorite part of
Samsung marketing strategy. So, for Samsung to withstand this fierce
competition, it’s vital to use competitive pricing. Also, Samsung never is a late
comer in production and non- innovative, but they are mostly the first ones to
introduce a change.

 Placing in Samsung Marketing Strategy – Samsung uses channel marketing

in its industry. And from this strategy, only service dealers are taken into
account for corporate sales. Retailers who present the technology chain are
bound to include Samsung in their list, because of the firm being a world-
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 famous brand and Samsung can also serve as an alternative for the
consumers. The distribution is a compelling part of the Samsung marketing
strategy. In certain cities, Samsung has a contract with a single distribution
company that distributes the product throughout the city. For instance,
Mumbai is a great example of a city, where Samsung distributes its product
through a single company.

 Promotion in the 4Ps of Samsung – Samsung marketing strategy uses

diverse forms of promotion. Samsung is convinced that advertising is one of
the best forms of promotion to engage potential consumers. Besides
advertising, Samsung approaches different promotional tactics to make
customers buy the product. For instance, quite often, Samsung introduces
discounts, sponsors events, engages with national and worldwide festivals, etc.
Hence, the Samsung marketing strategy simultaneously helps the organization
progress in different aspects.

 Sponsorship – Samsung is one of the largest companies in the world. Today,

they have more than 15,000 employees worldwide. Samsung is mostly famous
for its product quality, but besides the gadgets, Samsung is known for being a
sponsor giant. Current sponsorship of Samsung is World Cyber Games
(WCG), Sydney Opera House, Australian Olympic Team, NSWIS Awards,
Oceania Foundation, etc.

 Advertising - Samsung doesn’t concentrate on commercials it always promote

its most important products. Print and media advertising is one of the core
elements of the marketing mix extensively utilized by Samsung smart phones.
Samsung print advertising in popular newspapers, magazines and journals
have previously included direct attacks on its major competitors.

Therefore, Samsung marketing strategy is a perfect example for marketers to progress

and grow. No matter how hard one try, it’s crucial to create a powerful marketing
strategy for business to grow and evolve.

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2.2 SWOT Analysis of Marketing Strategies of Samsung

SWOT analysis is a way to monitor company's internal and external environment, the
overall evaluation of the strength, weaknesses, opportunities and threats, (Kotler and
Keller 2009, 101) When a company consider its strengths, and build its strategy and
utilizing them this will create a competitive advantage for them. Weaknesses and threats
are the factors that can affect the company in a negative way. By being aware of these,
Samsung can develop a strategy that will offset its weaknesses and protect them from
threats. Opportunities are used for thecompany to develop and grow in the market.

Table 2.1 SWOT Analysis of Marketing Strategy of Samsung

Strength
 Strong market position
 Expanded business portfolio
 Innovation in design
 Low production cost
 Strong top line growth
Weakness
 Patent infringement
 Too low profit margin
 Less distinction with other android
smartphones
 Lacks its own software and OS

Opportunity Threats
 Wide range of smart phones  Competition
 Main manufacturers ofapplication  Availability of substitute
processor  Rapid technology change
 Growing mobile advertisingindustry  Price wars
 Great portfolio patent

2.3 Respondents' Profile

As the characteristics of respondents play significant role in expressing and giving the
responses about the problem, a set of personal characteristics namely, age, gender,
occupation, and family income of the 100 respondents have been examined. This
section presents the findings about the respondent’s profile in terms of their age,
gender, and. Thedata are shown in frequencies, percentage and bar diagram.

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2.3.1 Gender

Table 2.2 shows the gender of the respondents taken under the study. Among 100
respondents, 56 are male and 44 are female.

Gender Frequency Percentage (%)

Male 56 56
Female 44 44

Total 100 100

Table 2. 2 Gender of Respondent’s Table

(Note: Questionnaire Survey, 2023)

The statistics in the Table 2.2 presents 44% of the respondents are female and 56% of
themare male. It shows higher majority of male respondents than female respondents.

The Table 2.2 can be presented with the help of Figure 2.1

Gender of Respondents

Male
44 Female
56

Figure 2.1 Gender of Respondents

2.3.2 Age

Table 2.3 shows the age group of respondents taken under the study. For conducting
this study, the respondents have been classified into four groups of age: 15-20, 20-30,
30-40 and above 40.

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Table 2. 3 Age of Respondents

Age Frequency Percentage (%)

15-20 25 25
20-30 61 61
30-40 9 9
Above 40 5 5
Total 100 100
(Note: Questionnaire Survey, 2023)

Table 2.2 indicates that sixty-one percent of respondents belong to the age group of
20-30 years which is followed by twenty-five percent in the age group 15-20 years of
age. There are nine respondents whose age is between 30-40 years old. Five percent of
the respondents belong to the age group above 40 years. So, the majority of
respondents fall in the age group 20-25.
The age distribution of respondents has also been shown in Figure
2.2.
Respondents By Age
above 40 5

30-40 9
Age

Series 1
20-30 61

15-20 25

0 10 20 30 40 50 60 70

Figure 2.2 Age of Respondents

2.3.3 Monthly Family Income (in Rs)

Table 2.4 shows the monthly family income of respondents taken under the study. For
conducting this study, the incomes have been classified into four groups of income
level: below25000, 25000-50000 and above 50000.

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 Monthly Family Income Frequency Percentage (%)
Below 25000 19 19
25000-50000 30 30
50000-100000 32 32
Above 100000 19 19
Total 100 100
Table 2.4 Monthly Family Income Level of Respondents

(Note: Questionnaire Survey, 2023)

Table 2.3 indicates that thirty-two percent of respondents have family income of
50000- 100000 which is followed by thirty percent in the group 25000-50000 family
income. The people of the income group of below 25000 and above 100000 are all
equal with nineteen percent. So, the majority of respondents fall in the age group 20-

19 19

Below 25000
25000-50000

50000-100000

Above 100000
32 30

25.

Figure 2.3 Monthly Family Income of Respondents

2.4 Data Presentation and Analysis

This section presents the presentation and analysis of data after administering the
questionnaire to respondents. Percentage and bar-graph are used for the purpose of
proper presentation and analysis of the data. This section contains awareness of
advertisement, medium of information and reasons of preferring Samsung etc. which is
discussed as under:

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2.4.1 Awareness of Advertisement

SAMSUNG has adopted different advertising strategies so that the consumer can
aware the new products that the company launch. This study is conduct to analyze
awareness level of Samsung customer and the stimulation to buy the products.
Awareness of Samsung
Response of Customer Stimulation to buy
Advertisement
Yes 86% 75%
No 14% 25%
Table 2. 5 Awareness of Samsung Advertisement

(Note: Questionnaire Survey, 2023)

14%

75%
YES
NO
100%
86% YES,IT STIMULATES
NO,IT DOESNOT
25%

Figure 2.4 Awareness of Samsung Advertisement

The above pie-chart represent that, among total customer surveyed 86% of customer
are aware of SAMSUNG current and prevailing advertisement through media like
television, radio, newspaper, conversation with familiar individuals and they believe
advertising is one of the best marketing strategy. Whereas counterpart to it, 14% are
unaware of any type of SAMSUNG current advertisement and they believe marketing
strategy of Samsung is not strong.
On further analysis, it is found that among 86% of ad-aware customer, 75% are
stimulated to purchase a product, whereas 25% of ad-aware customers aren’t
stimulated to continue further buying process.
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2.4.2 Samsung Products Used by Respondents

Samsung Group provides variety of electronic appliances such as: Smartphones,

Tablets, televisions and other home appliances which are used by customers on their
daily activitieswhich are as tabulated and presented below:
Table 2.6 Samsung Products Used by Respondents

Samsung Products Frequency (%)

Smart phones 79
Products used

Tablets 10

Television 5

Home appliances 4

Both smart phones and television 2

Source: Questionnaire Survey, 2023

Table 2.6 indicates that seventy-nine percent of the respondents use Samsung smart
phones, followed by ten percent of respondents using Samsung Tablets. Five percent
and four percent of respondents use television and other home appliances, whereas
two percent owns both smart phone and television.

Samsung products used by respondents

TV and smartphone 2
smartphone
Home appliances 4
Series 1
television 5

Tablets 10

smart phones 79

0 20 40 60 80 100

Figure 2.5 Samsung Products Used by Respondent

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2.4.3 Nepalese Customer Knowing about the Samsung Smartphone

Samsung brand has provided various alternatives for its customer to flow the
information about the brands and added that from different sources the customers are
getting information about the smart phones.
Table 2.7 Medium of Information

Medium Respondents number

Advertisement 73
Family information 9
Friends recommendation 14
Dealers 4
Total 100

Note: Questionnaire Survey, 2023

80 73 Medium of informatiion
70

60

50

40
percentage

30
Series 1

20 14
9
10
4
0

family information advertisement Friend’s Dealers

recommendation

Figure 2.6 Medium of Information

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This above bar graph represents that maximum Nepalese customer came to know
about their Samsung product thorough the advertisement and sales promotion
campaign run by organization and least through the dealer’s recommendation .Among
the total 100 customer answering the questionnaire, 73 customer response
‘advertisement and sales promotion’ as their knowing medium,9 responses ‘family
information’, 14 responses as result of friends recommendation, whereas only 4
response because of dealer’s recommendation or sales force effort.

2.4.4 Preference of Samsung Products in Nepalese market

Samsung brand is preferred because of its various features. Samsung offers smart
phones ranging from budget category to some serious high-end products. And
obviously, people have plenty to choose from according to their wish and need which
is the main win point for Samsung. The following conclusion is drawn from the
observation of the Samsung customers.

Table 2.8 Customers Preference for Samsung Products

Reasons for Preferences Percentage of Preferences

More power saver 2%
Low maintenance cost 6%
Popularity 60%
Low price 20%
Design 12%
(Note: Questionnaire Survey, 2023)

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 Reasons for Preferences
2
12 6
More power saver Low
maintenance cost
20
Popularity

Low price
60

Figure 2.7 Reasons for Preferences

These data shows that Nepalese customer prefer Samsung most because of its
popularity in Nepalese market with 60% coverage. Secondly, the comparative low
price of Samsung has attracted 20% of Nepalese customer. It has attracted 12% of
customer because of well design or its better looks. Because of low maintenance cost
and more power saver, it has attracted 6% and 2% of customer respectively.

2.4.5 Measurement of Customers Perception towards Marketing Strategy of

Samsung

Table 2.9 presents the 5-point Likert scale statistics to analyses customers’ perception
towards marketing strategy of Samsung based on six factors namely low price, design,
wide range of products, low maintenance cost, popularity and warrantee and
guarantee, services. The respondents were requested to assign 1 to strongly disagree,
2 to disagree, 3to neutral, 4 to agree, and 5 to strongly agree.
Respondents have shown perception towards marketing strategy of Samsung products by
choosing one of the five scales for each statement based on their perception towards each
of the above mentioned factors.

Table 2.9 Measurement of Customers Perception towards Marketing Strategy of Samsung

Total Strongly Strongly

Statements Disagree Neutral Agree
Respondents Disagree Agree
Samsung product
100 6 9 23 23 39
are of low price
Samsung provides
100 2 14 12 56 16
attractive designs

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 Samsung provides
wide range of 100 0 5 37 33 25
products
Samsung has low
100 2 30 26 30 12
maintenance cost
Samsung products
100 5 14 28 25 28
are safe to use
Samsung provides
attractive warrantee
100 5 19 18 33 25
and
guarantee services

(Note: Questionnaire Survey, 2023)

A. Opinion of Respondents Regarding Price of Samsung Products

The first and foremost statement addressed in the Likert scale is related to price or
affordability of products .Figure 2.8 presents the first statement in a diagrammatic
form and points out that majority of the customers strongly agree with the statement.

Samsung has low price

Strongly disagree 6

Disagree 9
Opinion

neutral 23
Series 1

agree 23

strongly agree 39

0 5 10 15 20 25 30 35 40 45

Figure 2.8 Opinions of Respondents Regarding Price of Samsung Products

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The Figure 2.8 shows the opinion of respondents regarding low price of Samsung
products. Out of 100 respondents, 39 percent reported they strongly agree to the
statement. Twenty- three percent agreed as well as were neutral to the statement
whereas nine percent respondents reported that they disagree to the statement. Six
percent reported they stronglydisagree to the statement.

This study studies customers perception and students participated in this study have
not engaged in any kind of employment. Still they find Samsung products cheap.
These shows the products are fairly priced. Also, the recent price increase of the
products has not decreased the level of satisfaction of customers towards Samsung
products based on priceor affordability.
B. Opinion of Respondents Regarding Designs of Samsung Products

The second statement of the Likert Scale is “Samsung provides attractive designs”.
The statement measures the customer perception towards design of Samsung
products.
samsung provides attractive designs

strongly disagree 2

disagree 14
Opinion

neutral 12
Series 1

agree 56

Strongly agree 39

0 10 20 30 40 50 60

Figure 2.9 Opinions of Respondents Regarding Designs of Samsung Products

Figure 2.9 shows that more than half of the respondents (56 percent) agree to the
statement and 39 percent of respondents strongly agree to the statement. Twelve
percent respondents reported that they are neutral with the statement. Out of the 100
respondents,14 percent respondents disagree with the statement and only two percent
strongly disagreewith the statement.
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Since majority of the respondents are satisfied with the design of the product, this can
be concluded as the quality of the Samsung product is good.
C. Opinion of Respondents Regarding Wide Range of Products Provided by
Samsung

Samsung provides wide range of products

Strongly disagree 0

disagree 5
Opinion

neutral 37
Series 1

agree 33

strongly agree 25

0 5 10 15 20 25 30 35 40

Figure 2.10 Opinion of Respondents Regarding Wide Range of Products of Samsung

According to Figure 2.10, out of the 100 respondents, thirty-seven percent are neutral
to the statement. Thirty-three percent reported that they agree with the statement.
Twenty- five percent strongly agree with the statement. Five percent disagree to the
statement whereas percentage of respondents strongly disagreeing with the statement
is 0.

Majority of the customers are neutral to the ranges of products provided by Samsung.
Also there are customers who believe that Samsung is providing different products.
So, perception regarding wide range of product is good.
D. Opinion of Respondents Regarding Maintenance Cost of Samsung Products

Figure 2.11 deals with the fourth statement to measure customer perception towards
maintenance cost of Samsung products. The statement states “Samsung has low
maintenance cost”. Figure 2.11 depicts that majority of the students both agree and
disagreeto the above statement.

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 Samsung has low maintenance cost

Srrongly disagree 2

disagree 30

neutral 26
Series 1

agree 30

Strongly agree 12

0 5 10 15 20 25 30 35

Figure 2.11 Opinions of Respondents Regarding Maintenance Cost of Samsung

According to the Figure 2.11 out of 100 respondents, majority of the respondents both
agree as well as disagree to the statement, followed by 26 percent of respondents
neutral to the statement. 12 percent of the total respondents strongly agree and only
two percent oftotal respondents strongly disagree to the statement.

Since majority of the customers both agree and disagree Samsung has low
maintenance cost, it shows that the maintenance cost of Samsung is average.

E. Opinion of Respondents Regarding Safety of Samsung Products

The fifth statement addresses the safety of Samsung product which is “Samsung
products are safe to use”. Figure 2.12 incorporates this fifth statement and points out
that majority of the customers both strongly agree as well as are neutral with the
statement.

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 Samsung products are safe to use

Strongly disagree 5

disagree 14
Opinion

neutral 28
Series 1

agree 25

Strongly agree 28

0 5 10 15 20 25 30

Figure 2.12 Opinions of Respondents Regarding Safety of Samsung Product

Figure 2.12 indicates that out of the 100 respondents, 28 percent reported that they
both strongly agree as well as are neutral with the statement and it is followed by 25
percent of the respondents who agree to the statement. Fourteen percent of the
respondents disagree to the statement whereas remaining four percent strongly
disagree with the statement.

This finding shows that majority of the students are satisfied with the safety
requirements of product, whereas majority of the customers are also neutral regarding
safety. So, the perception of customer towards product safety is good.

F. Opinion of Respondents Regarding Warrantee and Guarantee Services of

Samsung

The final statement of the Likert Scale concerns itself with the warrantee and
guarantee service of Samsung. Figure 2.13 shows the perception of customers towards
services and presents that majority of the students are satisfied with its quantity.

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 Samsung provides guarantee and warantee

strongly disagree 5

disagree 19

neutral 18
Series 1

agree 33

strongly agree 25

0 10 20 30 40

Figure 2.13 Opinions of respondents about warrantee guarantee Services of Samsung

Figure 2.13 suggests that out of 100 respondents, 33 percent agree to the statement
“Samsung provides attractive warrantee and guarantee services” whereas 25 percent of
the respondents strongly agree with the statement. Nineteen percent reported they
disagree to the statement and 18 percent of respondents reported they are neutral to
the statement. Remaining five percent of the total respondents reported that they
strongly disagree to thestatement.

This finding shows that majority of the respondents are satisfied with the warrantee
and guarantee services of Samsung. It is able to provide attractive services and is able
to havepositive impression on customers.
2.4.6 Probability of Customers Switching the Brand

Different multinational companies are entering into the Nepalese market providing the
same quality and features as Samsung so, there is a chance of switching the brand.
There are different innovative marketing strategies of other brands like before and
after sale services, guarantee warranty etc. which are compelling people to switch
brands and this study shows the loyalty level of the customer.

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Table 2.10 Customers Switching the Brand

Percentage of switching the brand Customers response

0-25% 47
25-50% 21

50-75% 21
75-100% 11
(Note: Questionnaire Survey, 2023)

11

0-25%
21
47 25-50%

50-75%

75-100%

21

Figure 2.14 Customers Switching the Brand

[Note: Switching the brand means tendency to accept the alternative brand.]

Interpretation: Since majority of the Samsung customers lies between the graphs of 0-
25% high loyalty of customer is seen and there are fewer tendencies to switch the
brand.

2.4.7 Alternative Brands of Customers after Samsung

Nowadays, Samsung is not only a king of electronic market in Nepal different

alternativesbrand is available in the market with same features and competitive price.

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Table 2.11 Alternative Brands of Customers after Samsung

Alternative Mobile brands Response of Customer

Apple 53
Oneplus 19
Xiaomi 12
Huawei 7
Oppo 5
Vivo 4
Source: Questionnaire Survey, 2023

Alternative mobile brands

60
53
50
percentage

40
19
Series 1
12
10 7 5 4
0
Apple Oneplus XiaoMi Huawei Oppo Vivo
Mobile brands

Figure 2.15 Customers Alternative Brand after Samsung

The above bar graph represents that the survey among 100 customers 53 customer
will prefer Apple for alternative brand, 19 customers will prefer Oneplus brand, 12
customers will prefer XiaoMi, 7 customers will prefer Huawei, 5 will prefer Oppo and
4 will prefer the Vivo brand as alternative brand for Samsung.

We can conclude from this graph that Apple is the main competitor of Samsung
because it is also providing the wide range of quality mobile phones with latest
updated features. Similarly, it has its own operating system which increases
competitiveness.

26
2.4.8 Satisfaction of Customers towards Marketing Strategies of Samsung

Samsung is improving to till date to satisfy their customer with different marketing
strategies. This research shows that Samsung is successful to satisfy its customers by
introducing new marketing strategies over time. The following result is provided in
the form of table and pie-chart.

Table 2.12 Customers Satisfied with Marketing Strategies of Samsung

Satisfaction of customers Number of customers

Yes 76
No 24
(Note: Questionnaire Survey, 2023)

24

Yes
No
76

Figure 2.16 Customers Satisfied with Marketing Strategies of Samsung

Majority of the customer are satisfied with marketing strategies of Samsung

Shown in above pie chart.

2.5 Findings and Discussion

Samsung is established to contribute to a better global society by devoting the

outstanding talent, continuous innovation and advanced technology to creating
superior products and services. It is focused in building its brand and becoming a
creative leader in the market. Its main goal is to sustain in the market by launching new
smart phones and maintain stable profitability. Besides it, following results are found
from the survey:

 The various marketing strategies used by Samsung are advertising,

27
 sponsorship,price strategy and promotion in 4ps.
 Customers believe that the marketing strategies used by Samsung for
promotingtheir smart phones is very effective.
 Most of the Samsung users and between the ages of 25-30. It means adults are
more attracted toward Samsung products.
 The advertisement and sales promotion campaign used by Samsung is found to
besuccessful according to the perception of customers.
 86% customers are aware about the new Samsung products launched in the
market through advertisement and 75% are stimulated to buy those products
because of advertisement.
 73% of customers are getting information from advertisements i.e. 73 out of
100.

 60% of customers use Samsung smart phone because it is popular i.e. due to its
effective marketing strategy
 76% customers are satisfied with the marketing strategies used by Samsung.

 The word Samsung triggers the image of economical in Nepalese customer.

 It is found that customer loyalty rate is high and there is less chance that the
customers will switch the brand.
 It is found that Apple can be chosen as alternative for Samsung mobile phones.

 There is neck to neck competition among different brands in the market

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 CHAPTER III

CONCLUSION AND ACTION IMPLICATIONS

This chapter presents the conclusions drawn from the findings shown in data
presentation and analysis chapter. This chapter also recommends some action
implications regarding Samsung which can aid in increment of level of satisfaction and
brand loyalty of customerstowards the products.

3.1 Conclusion
The main objective behind undertaking this research study is to know the perception
of customer towards marketing strategy of Samsung and to investigate the divided
loyalty of customer because of entrance of new competitors. In order to get into aim
study went surveying customer of different age group, different occupation, different
income etc. of Bhairahawa. In this study we concluded that Samsung has been able to
build good image in the mind of its users but it alone is not the king of market because
of entrance of much other electronic company that has potential to provide same
satisfaction as Samsung Brand is providing till date. It is able of attract to youth
customers for the usage of smart phones and hence has prospectus to attract other age
groups too in Bhairahawa.
It has change perception of customer on using cell phone and has given new
experience. The popularity of Samsung is fully based on word-of-mouth and
advertisement and sales promotion campaign it has conducted. The Dealers of the
Samsung smart phones has not been too active medium to convey information of its
product in Bhairahawa. Customers purchase Samsung mostly due to its popularity.
The popularity could be maintain only if Samsung maintain its long term marketing
strategies and ensure customer satisfaction. The guarantee and warrantee services of
Samsung seems to be satisfactory.
Thus, it has to be more focused in after sales services. Apple is coming ahead with its
marketing and product differentiation strategies. This study highlighted that Nepalese
market is still a virgin market for SAMSUNG products. At the end it can be
concluded that Samsung has good market coverage and it can be maintained if loyalty
of customer isn’t divided.

29
3.2 Action Implications
According to the above finding and conclusion the following implications have been
put forward to eliminate its weakness and can be essential have enhanced its market
coverage. Customers should be made aware about different smart phones which are to
be launched in near future. Also SAMSUNG needs to modify their advertising
strategies in order to educate the target audience about the product. Hence
SAMSUNG will be able to win a major between the competitors. Some action
implications for SAMSUNG are given below:

 Samsung should introduce and implement marketing strategies like before and
after sale services, festive discounts etc.
 Samsung should sponsor programs which will help in building good image in
thesociety.
 The advertisement of Samsung should be more pleasing and persuading that
thecustomer who watch the ad will be immediately stimulated to purchase it.
 Along with marketing strategies, sales promotion campaigns like free coupons,
launching new schemes like different gifts, surprises should be exercised.
 It should segment the market and design phones according to needs of
customersto cover larger market share.
 It should focus more on software and services which will help to make loyal
customers.
 It should effort on producing products with larger battery back-up and more
power saver.

30
 REFERENCES

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Clemons, E. K. (2008). How Information Changes Consumer Behavior and How

Consumer Behavior Determines Corporate Strategy. Journal of Management
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Kotler, P. (1991). Marketing Management: Analysis, Planning, Implementation, and

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Peine, K., Heitmann, M., & Herman, A. (2009). Getting a Feel for Price Affect: A
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Responses to Price Information. New York: Psychol Mark.

Rahaman. (2014). An Interactive Influence of Country of Origin on Buying Intention

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Reidl, J., Konstan, J., & E, V. (2002). Word of Mouse: The Marketing Power of
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Tsai, S. (2011). Fostering International Brand Loyalty through Committed and

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 ANNEXES

Annex-A Questionnaire

I am Sunil Chai from Bhairahawa Multiple Campus studying BBA at 7th semester
and I am conducting a small research on the topic “Customers perception towards
marketing strategies of Samsung” as a partial fulfillment of my BBA degree. The
information provided will be kept confidential and will be used solely for academic
research. So, I humbly request you to fill in this form with utmost good faith. Thank
you for your valuabletime and support.

Name:

Address:

Gender:

Please tick on the answer that best describes you.

1) Please mention your age group

15-20[ ] 20-30[ ] 30-40[ ] Above 40[ ]

2) Please mention your Family Income group (per annum in `000` )

Below 20[ ] 20-50[ ] 50-100[ ] Above 100[ ]

3) Gender
Male [ ] Female [ ]

4) Occupation
Student [ ] Business men [ ] retired [ ] others [….]
5) Are you aware of latest Samsung ad? [Does ad stimulate you to buy product?
Yes [ ] No [ ]

6) What type of Samsung product do you use in your daily life?

 Smart phones [ ] Tablets [ ] Television [ ] others [….]

7) How did you get to know about Samsung that you are having at present?

Advertisement [ ] Family information [ ]

Friends recommendation [ ] Dealers [ ]

8) You prefer Samsung because of

More power saver [ ] Popularity [ ]

Low maintenance cost [ ] Low price [ ]

9) Please assess each of the following statements from scales of 1 to 5.

1: Strongly Disagree 2: Disagree 3: Neutral

4: Agree 5: Strongly Agree

Statements 1 2 3 4 5
Samsung product are of low price
Samsung provides attractive designs
Samsung provides wide range of
Products.
Samsung has low maintenance cost
Samsung products are safe to use
Samsung provides attractive warrantee
and guarantee services
10) In future what is the probability that you will switch the brand?

0-25% [ ] 25-50 % [ ] 50-75 % [ ] 75-100 % [ ]

11) Expect Samsung your other prefer mobile brand?

 Apple
 Huawei
 Vivo
 Oneplus
 Colours
 Others
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 12) Are you satisfied with marketing strategies used by Samsung?

Yes [ ] No [ ]

13) What type of Samsung product do you use in your daily life?
Smart phones [ ] Tablets [ ] Television [ ] others [….]

14) How did you get to know about Samsung that you are having at present?
Advertisement [ ] Family information [ ]
Friends recommendation [ ] Dealers [ ]

15) You prefer Samsung because of

More power saver [ ] Popularity [ ]

Low maintenance cost [ ] Low price [ ]

16) Please assess each of the following statements from scales of 1 to 5.

1: Strongly Disagree 2: Disagree 3: Neutral

4: Agree 5: Strongly Agree

Statements 1 2 3 4 5
Samsung product are of low price
Samsung provides attractive designs
Samsung provides wide range of
Products.
Samsung has low maintenance cost
Samsung products are safe to use
Samsung provides attractive warrantee
and guarantee services

17) In future what is the probability that you will switch the brand?

35
 0-25% [ ] 25-50 % [ ] 50-75 % [ ] 75-100 % [ ]

18) Expect Samsung your other prefer mobile brand?

 Apple
 Huawei
 Vivo
 Oneplus
 Colours
 Others

19) Are you satisfied with marketing strategies used by Samsung?

Yes [ ] No [ ]

35