LG G5: The Ultimate Smartphone With Great Features - Essay.

Marketing Strategy for LG G5

Question:

Describe the marketing strategy of LG G5 mobile. 
 

In the world of the smart phone, there is a new member to the catchers named LG G5. This member is coming from the technology country KOREA. With the current brand identity and strategy of technology, LG tries to implement customer-oriented and interactive marketing strategy for the Korean market and the places where this phone will reach. Having a good set of features, this phone is very friendly to all the smartphone users out there.

LG group is a global brand by customers. So the brand name is enough to build the trust. Brand= believe. So when a company has already a brand name, the belief is there. The primary target should be the youth because this y generation can be a huge market (Dietl, Pauli, & Velden, 2002).

Apart from the youth, a cell phone is necessary to every human being now these days. We all know the benefits of a cell phone. So when we are getting a cell phone having a number of good qualities why we’ll not use!

Preferences and the buying habits of cell phone are needed for today. A cell phone can be’ a friend of bad time’. Tracking facilities, emailing, calling, listening music, gaming etc all kinds of things we can do from a cell phone. 

The first and furious marketing plan which every phone company wants to follow are that every single person will use their phone. So the LG G5's marketing plan and an objective are to reach to the every person around the globe.  

• Decreasing tendency of customers’ preference on LG over other brands.
• Initial strategy caused prejudiced perception from customers that cell phones with lower prices do not have the latest technology with best features.
• Also, the off-season trends of purchases and the decreasing trends of purchasing habit by customers negatively affect sales of G5 as the premium line with higher prices (Weinstein, 2014).
• years of years  interval of changing cell phones in a Korean market
• Korean Smartphone users usually change mobile phones in the 2-year interval. They change cell phones due to the issues in the monthly plan or some technical issues.
• The 2-year interval seems to be lengthened in some users of smartphones because of the increasing tiredness or technology innovation.
• Clients use cell phones from other emerging brands
• Market share of new Chinese smartphone manufacturers like Huawei, Renovo is increasing (Weinstein, 2014).
• Smartphone market already at the mature stage. Functions of smartphone are not too different (Upward leveling)
• - Customers are interested not only cellphones but also camera, MP3 functions
• Customers are interested in new technology like Virtual Reality, Payment etc.
• Customers use various cell phones, with a range from a premium line-up to the standard line-ups
• Smartphone market already has reached the mature stage.
• LG also have various line-ups from standard line-ups to the premium line. 
• Customers tend to use the same brand when changing cell phones in a 2-year interval
• Especially, Apple and Samsung users have high loyalty for their brand.

• The law to restrict phone subsidies makes customers buy cell phones at higher payment than before the law was enacted (Makholm, 2008).
• Sales’ volume of LG premium line-up mobile phone such as G5 might be decreased

The Economic regulations are following:-

• Economic downturns in the Korean market affected by the global trends.
• Decreases in consumer purchases in cellphones (Srdjevic, Bajcetic, & Srdjevic, 2012).
• Economic issues and legal disputes in design, licenses, and patent issues.

The Socio-cultural regulations are following:-

• Trends of using smartphones all over the places in Korea.
• Smartphones as a means of communications among people.
• Increasing use of electric gadgets (speaker, camera, VR, etc.)

The Technology regulations are following:-

• The shift towards a more sophisticated society based on information technology.
• Technology innovation is consistently introduced to the market by different companies including LG, Samsung, Apple, and new competitors like Huawei and Miami.
• More applications are developing
• Influences of software platforms with increasing market share (IOS, Android) (Srdjevic, Bajcetic, & Srdjevic, 2012).

The Competitor regulations are following:-

• Major competitors make more margins in sales than LG.
• LG make margins in the 3^rd place after Samsung and Apple.
• 2015-2016 premium line-ups from major competitors (Apple and Samsung).  

When people are looking for a good smartphone few features should be there which attracts them toward the phone. LG G5 is created with the best features with the best technology team (Oh & Kim, 2015). The features of this phone are following.

NETWORK: - LTE/WCDMA/GSM/HSPA

BODY: - 149.4*73.9*7.7mm

WEIGHT: - 159g

DISPLAY: - TOUCHSCREEN, 16m COLORS

SIZE: - 5.3 inches

RESOLUTION: - 1440*2560pixels

BATTERY: - STAND BY UP TO 400H (83G)

TALK TIME UP TO 20H (3G)

OS:- Android OS,v6.0.1(marshmallow)

INTERNAL: - 32GB, 4GB RAM

Apart from these above features the phone has the facilities of  WLAN, GEOTAGGING, Bluetooth, Radio, USB, Sensors Like Fingerprint, Accelerometer, Gyro, Proximity, Contrast Ratio Of 1855:1(Nominal) & 2.905(Sunlight) and the other basic features are also there.

One of the great features which are attractive at the same time that the phone is coming in 4 new beautiful colors. So it's being attractive to all the youth (Oh & Kim, 2015) 

LG phones often play it safe but this particular model G5 has some interesting swapping parts which making the phone is more interesting. Sim free having a high-technology the phone is available in $529 and in three colors. The phone is the High expectations for technology innovation from customers (Thompson & Coe, 1997). A phone with such as these great facilities and in a low price is just unbelievable. From the retro phones to the high-cost IPHONE which also has a fewer facilities the LG phone is much more promising. The customers of this phone are Potential customers' and their loyalty for major competitors (Apple, Samsung).This is one of the existing influences of major competitors (Apple, Samsung) and similar products 

Features of LG G5 Smartphone

• It's a phone of "All-in-one G5"Play with G5"Feels like 000 (camera, VR, camcorder, speaker, etc.) but it is G5"Different from Apple and Samsung, all electric appliances in G5"
• A publicize medium with the comparative advantages of G5.
• Potential customers who buy cameras, speakers, camcorders, VR etc. separately may be targeted. A phone with all facilities (Connelly, Ketchen, & Hult, 2013).
• Kidult customers may also be targeted in collaboration with Lego
• Using modules, customer loyalty for G5 and LG will be improved
• Potential possibility of customers being tired with same cell phones may be prevented using modules with different features.
• The main objective is to establish G5 experience zone in the IT Seminar and offline shopping malls to increase accessibility of potential customers to experience new features of G5 by 10% of the target customers (Claesson & Hilletofth, 2011).
• The best medium of all medium is the paid medium. LG G5’s Advertise in different marketing channels (TV, radio, application, etc.) in the primetime with famous people for 10 times/day, for 6 months for different demographic analysis
• Support G5 for their daily life and constantly make G5 exposed to the people
• It’s a Provocation of 555 G5 by a nationwide event (emphasize 5)
• Collaboration with Lego to introduce G5 in the online and offline event
• Creating posters for “MWC 2016 Award” and distribute all over the possible places.

The phone is competitive with the other phones of these versions. The phone has developed some advantages of Comparative advantage over other products from major competitors like Battery mobility, modules, camera and it’s awarded in MWC2016.

Higher tiredness over existing products in a 2-year interval of changing cell phones.

Potential for lower tiredness by introducing module-based products (Park, 2012).

The Variable sources of profits using accessories are

Using modules, more accessories may be introduced to the market with increased number of sources of products (ex. Apple accessories).

More accessories using modules generate more revenue.

Collaboration with companies in the related sector is to 

Collaboration with companies in the related sector of a speaker, B&O produce expanded marketing strategy for different products including the camera, speakers, etc.

More collaboration opportunities also are created with cooperation with white goods and IOT

The Developing a strategic focus are for this phone are

For modules, collaborate with toy companies such as Lego ("Innovation strategies for the downturn", 2009).

Same marketing strategy may be conducted with a well-known toy company such as Lego (modules will also be publicized along the way) 

Consumer promotion elements

Whether selling a product it's necessary to get promoted in the huge world of the market. It can be a pen or it can be a beauty product or a phone a proper promotion is needed for every product. For the promotions of the product, the companies have to make proper campaigns, investments. They have to look at the integrated marketing communication strategy or IMC strategy, IMC objectives and budget ("Effects of Integrated Marketing Communication Channels on Brand Equity at Samsung Phone Kenya", 2016). 

When the company is promoting the product for consumers they have to look the following elements.

When the company is promoting for the consumers they have to show the features of LG G5. Today the youth is addicted to the smartphones. They just can't think a single hour without the smartphones. So the ad strategy should be to show about the OS, telling the good features of the OS ("Effects of Integrated Marketing Communication Channels on Brand Equity at Samsung Phone Kenya", 2016). How fast it will help while operating, the smoothness, battery backup, browsing the internet, storage etc. one of the great activity which this generation is following is the SELFIE! Doing pout with the face is a new trend and for this particular reason the phone should show the front and back camera's features, pixels etc. doing this ad by a renowned celebrity is just the icing on the cake!

The public relation strategy is how much the phone will keep the good relations with the public. The activities of the phone have to be shown to the general audience. Apart from the youth the others feature needed to be shown for every people. The PRO has to talk to the press on the launching day! They have to talk about the features again and again. If they are promoting their phone with the contract of any celebrity it is good if the person comes.

The personal selling strategy is to show the brand new colors of the phone. The way           the phone strategized from the core market.  How the LG G5 will help to boost the company's market share in other ways.  The owner of the company can build a status supporting the other features in his words.

LG G5 launch day sales are three times greater than the previous models. The main feature which can be attracting everyone is the low price with good specifications. A specification is a must and it's a continuing topic to grab the attentions. The specifications are needed to be shown for which not only the youth every person can buy the phone. 

In the trade promotions, the advertising strategy is the flash sale on the online shopping websites. Today in this fast and furious world no one has the time to see every ad which comes on TV or newspaper. The radio ad is effective to grab the attention of these trade markets (A. Mancheri, 2011). In the age of social media, the people can see it via the social networking sites and they just can know about the features very quickly. So online marketing is imp for this particular section.

The PR strategy is again to care about the product on the social network. Business news channel can also help in this matter to about promoting a 30 sec ad. PRO can active online and solve if there any quarries regarding the product.

The personal selling strategy should be how the company makes the profit. The company's only wish is obviously to make maximum profit. So they will plan about it.

The trade sell promotion strategy is obviously the flash sale which online medium provides. They can give an ad in print media showing the elements (A. Mancheri, 2011). They can make billboards for the product. A press conference can also be done for this market strategy. The one and only wish to sell the phone among the highest audience and make the profit from it! 

References

Mancheri, N. (2011). Trade and Trade Restrictions: The Debate over Chinese Rare Earth Elements.Foreign Trade Review,46(3), 29-47. 

Claesson, F. & Hilletofth, P. (2011). In-transit distribution as a strategy in a global distribution system.

Connelly, B., Ketchen, D., & Hult, G. (2013). Global Supply Chain Management: Toward a Theoretically Driven Research Agenda.

Dietl, H., Pauli, M., & Velden, R. (2002). Economic analysis of the SME target market for xDSL products. Paderborn: Univ., Inst. 

Effects of Integrated Marketing Communication Channels on Brand Equity at Samsung Phone Kenya. 

Innovation strategies for the downturn. (2009). Strategic Direction, 25(9), 36-39.

Oh, S. & Kim, B. (2015). Change Management Strategy through the English Common Language Project of a Global Company - The Case of Digital Appliance Company in LG Electronics -. Korea Business Review, 19(3), 1. 

Park, J. (2012). Consideration of the Expandability of a Digital Media Frame -Focusing on Media Facade Image. KOREA SCIENCE & ART FORUM, 11, 49. 

Srdjevic, Z., Bajcetic, R., & Srdjevic, B. (2012). 

Thompson, K. & Coe, B. (1997). Gaining sustainable competitive advantage through strategic pricing: selecting a perceived value price.