New Marketing Strategy:

1. New Marketing Strategy: Samsung GALAXY Gear Team #7 Kim SeongJae

2. Why Failure? New Strategy Samsung’s strategy Customer’s response Failure Analysis SWOT Analysis New Strategy Expected prospect

3. Why Failure?

4. Call Smart Relay Memographer Find my device Media Controller

5. Samsung’s Strategy

6. Customer’s Response Marketing Cost World Sales 800,000 50,000 5,000,000,000,000 Agency, Retailer Failure! Failure Failure Failure

8. Failure Analysis Why Failure? Immature Wearable Device Market High Price (396,000 won) Only Samsung Smart Phone Bad Design & Heavy weight Battery Life (only 24 hour) Just accessary for Smart Phone Remember, This is Watch! Just focus, This is new, convenient, innovate smart device Forgot Basic Marketing Strategy Concept Item Catch Customer’s Response. Create Innovate Image (Market Starter)

9. New Strategy

10. Strength Weakness Brand Image (Smart Watch = Samsung) (From Best Follower To First Mover) Convenient Hands Free Device No worry to loss (always wear) Technology (Smart Device, Tizen OS) Money Manpower High Price Only Samsung Smart Phone Bad Design, Heavy Weight Battery Life Incomplete Tizen OS Excessively Tech-oriented SWOT Analysis Opportunity Threat Market Share (World 54%) Wearable Device’s Potential (55,000,000) Smart Phone Saturation (Price down) Customer Needs For Function Tablet PC’s success Immature Wearable Device Market Customer’s recognition (Toy, Accessary) Loyalty for Classic Watch Innovate Venture Competitors (Pebble) W.D Health Care Area First Mover (Nike) High Expectation for Apple’s I-Watch Classic Watch Brand Growth (33%) 1970s SEIKO, CITIZEN (Electronic Watch) High-end Watch Centralization Sony’s Fall, Small-Medium Competitors

11. Strength Weakness Brand Image (Smart Watch = Samsung) (From Best Follower To First Mover) Convenient Hands Free Device No worry to loss (always wear) Technology (Smart Device, Tizen OS) Money Manpower High Price Only Samsung Smart Phone Bad Design, Heavy Weight Battery Life Incomplete Tizen OS Excessively Tech-oriented SWOT Analysis Opportunity Threat Market Share (World 54%) Wearable Device’s Potential (55,000,000) Smart Phone Saturation (Price down) Customer Needs For Function Tablet PC’s success Immature Wearable Device Market Customer’s recognition (Toy, Accessary) Loyalty for Classic Watch Innovate Venture Competitors (Pebble) W.D Health Care Area First Mover (Nike) High Expectation for Apple’s I-Watch Classic Watch Brand Growth (33%) 1970s SEIKO, CITIZEN (Electronic Watch) High-end Watch Centralization Sony’s Fall, Small-Medium Competitors

12. Customer Needs IDC Survey(2013) I - Commerce Payment(34%) Remote Control(33%) ID Card(30%) Key(28%) Portability Passbook + Touch ID + I-beacon Cost, User Knowledge, Security Not Yet

14. STP Strategy Useless Function Camera Health Call …. Segmentation Targeting Reduce Price! Positioning Improve Battery Life Mobile Payment Office Worker Smart Office

15. Mobile Payment NFC Based Hands Free Near Field Communication Convenient Fast (0.1sec) No Lose of Energy Cheaper Cost Security Contents (Museum, Theater) Most Convenient than other device (hands!) Short Moving Line No Worry to Loss Definitely Convenient!

16. Smart Office Smart Office ID Card, Key Reduce Cost Autonomy in Work BYOD (Bring Your Own Device) Group Application ID Card(30%) Key(28%) No worry to Loss No need Battery Security Not only Office Everywhere Information Fatigue Notifying Important Information (Vibration) Reduce Fatigue Enhance Productivity Tizen OS – Compatibility IoT, IoE

17. Expected Prospect Recent Trend Google Wallet (City Bank, Master Card) Paypal, Square AT&T, Verizon Wireless, T Mobile USA - ISIS Sony – FeLiCa Transportation Card, Membership Card

18. Expected Prospect Prospect Smart Watch = Watch Hands Free Always with You Develop Specific Area Mobile Payment Smart Office Samsung Galaxy Series Quick Starter Market Leader

19. Thank you For Your Attention.