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Samsung Electronics Sales

To drive sustainable revenue growth by connecting innovative Samsung products with customer needs while becoming the world's most trusted technology partner

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To drive sustainable revenue growth by connecting innovative Samsung products with customer needs while becoming the world's most trusted technology partner

Strengths

  • PRODUCT: Diverse portfolio spanning mobile, TV, appliances, semiconductors
  • GLOBAL: Established presence in 74 countries with strong distribution
  • BRAND: Top 5 global technology brand with 98% worldwide recognition
  • ECOSYSTEM: Integrated products create comprehensive customer experience
  • MANUFACTURING: Vertical integration provides supply chain advantage

Weaknesses

  • COMPETITION: Declining smartphone market share vs Apple and Chinese OEMs
  • INNOVATION: Perceived as fast-follower rather than category creator
  • CHANNELS: Inconsistent retail experience across global markets
  • SERVICES: Underdeveloped recurring revenue streams vs competitors
  • SEGMENTATION: Insufficient premium positioning in key categories

Opportunities

  • AI: Leverage extensive device ecosystem for AI-powered experiences
  • PREMIUM: Capitalize on growing high-end consumer electronics demand
  • ENTERPRISE: Expand B2B solutions leveraging device/display expertise
  • IOT: Connect smart appliances, wearables and mobile through SmartThings
  • SUBSCRIPTION: Develop services ecosystem to generate recurring revenue

Threats

  • COMMODITIZATION: Pressure from low-cost manufacturers in key segments
  • CHINA: Geopolitical tensions affecting supply chain and market access
  • RECESSION: Consumer spending contraction in uncertain economy
  • INNOVATION: Apple and Google controlling key platform ecosystems
  • REGULATION: Increasing data privacy and environmental compliance costs

Key Priorities

  • ECOSYSTEM: Accelerate connected device strategy with AI integration
  • PREMIUM: Strengthen premium positioning across product categories
  • SERVICES: Develop recurring revenue streams beyond hardware sales
  • ENTERPRISE: Expand B2B solutions to diversify revenue channels
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To drive sustainable revenue growth by connecting innovative Samsung products with customer needs while becoming the world's most trusted technology partner

CONNECTED FUTURE

Create the most compelling connected device ecosystem

  • INTEGRATION: Launch unified SmartThings experience across 100% of new product lines by Q3
  • ADOPTION: Achieve 35% cross-device connection rate for Galaxy smartphone customers
  • EXPERIENCE: Deliver 5 new AI-powered cross-device scenarios driving 25% increased engagement
  • PLATFORM: Expand SmartThings compatible third-party devices by 2,000 to reach 15,000 total
PREMIUM POSITION

Establish leadership in high-value market segments

  • MIX: Increase premium segment ($800+) to 45% of smartphone revenue through flagship focus
  • MARGINS: Achieve 22% blended gross margin across consumer electronics portfolio
  • EXPERIENCE: Launch premium retail concept in 25 key global locations to showcase ecosystem
  • LOYALTY: Implement tiered loyalty program driving 30% increase in premium customer retention
RECURRING REVENUE

Build sustainable service streams beyond hardware

  • SUBSCRIBERS: Grow Samsung+ subscription service to 35M paid subscribers globally
  • CONTENT: Expand Samsung TV Plus ad-supported channels to 500 driving 40% YoY revenue growth
  • FINANCIAL: Scale Samsung Pay transactions to $75B annual volume with 0.5% take rate
  • ENTERPRISE: Launch subscription-based device management platform for 1,000 B2B customers
ENTERPRISE GROWTH

Accelerate B2B solutions to diversify revenue channels

  • VERTICAL: Develop specialized solutions for healthcare, retail and education sectors
  • PARTNERSHIPS: Establish 15 strategic alliances with enterprise software leaders
  • REVENUE: Grow B2B segment to 25% of total company revenue with 30% YoY growth
  • SOLUTIONS: Create 10 integrated hardware-software-service packages for key industries
METRICS
  • Net Revenue Growth: 12%
  • Operating Margin: 15.5%
  • Premium Mix: 45%
VALUES
  • Customer-Centricity
  • Innovation Excellence
  • Operational Efficiency
  • Integrity & Trust
Samsung Electronics logo
Align the learnings

Samsung Electronics Sales Retrospective

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To drive sustainable revenue growth by connecting innovative Samsung products with customer needs while becoming the world's most trusted technology partner

What Went Well

  • MEMORY: DRAM and NAND recovery with improved ASPs and higher margins
  • MOBILE: Premium smartphone segment outperformed with S23 Ultra success
  • DISPLAY: Increased OLED penetration in automotive and IT segments
  • FOUNDRY: Advanced node revenue grew with key customer commitments

Not So Well

  • APPLIANCES: Household appliance demand softened amid economic headwinds
  • INVENTORY: Excessive inventory levels requiring promotional activities
  • CHINA: Significant revenue decline in Greater China across categories
  • TV: Market share pressure in mid-range segment from Chinese competitors

Learnings

  • PREMIUM: Higher profitability in premium segments justifies focus shift
  • ECOSYSTEM: Connected device purchases drive higher customer retention
  • AI: AI features demonstrating higher engagement and satisfaction metrics
  • B2B: Enterprise segment showing higher growth rates than consumer

Action Items

  • DIVERSIFY: Reduce dependency on memory business through service growth
  • STREAMLINE: Optimize SKU count to improve operational efficiency
  • ACCELERATE: Fast-track AI integration across mobile and home products
  • PARTNERSHIPS: Expand strategic alliances in key growth verticals
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To drive sustainable revenue growth by connecting innovative Samsung products with customer needs while becoming the world's most trusted technology partner

Strengths

  • DATA: Massive user base across mobile, TV and home appliances
  • HARDWARE: Advanced chipsets optimized for on-device AI processing
  • ECOSYSTEM: SmartThings platform enables cross-device AI integration
  • LABS: Dedicated AI research centers in key global tech hubs
  • PARTNERSHIPS: Collaborations with leading AI companies and startups

Weaknesses

  • TALENT: Insufficient AI engineering talent vs tech giants
  • INTEGRATION: Fragmented AI implementation across product lines
  • CLOUD: Limited cloud infrastructure compared to AWS, Azure, Google
  • DATA: Underutilized customer data assets for personalization
  • REVENUE: No clear AI monetization strategy across product lines

Opportunities

  • PERSONALIZATION: AI-driven personalized experiences across devices
  • BIXBY: Transform voice assistant into competitive platform advantage
  • ENTERPRISE: Develop AI solutions for key B2B vertical markets
  • HEALTHCARE: Leverage wearables data for health monitoring services
  • GENERATIVE: Implement on-device generative AI for creative tasks

Threats

  • COMPETITION: Google, Amazon, Apple controlling key AI platforms
  • REGULATION: Increasing global AI governance and privacy constraints
  • EXPECTATIONS: Rapidly evolving customer expectations for AI features
  • INVESTMENT: Massive AI R&D spending required to remain competitive
  • DISRUPTION: AI potentially cannibalizing existing product categories

Key Priorities

  • INTEGRATION: Create unified AI experience across all Samsung devices
  • DIFFERENTIATION: Develop proprietary AI use cases for key categories
  • MONETIZATION: Establish clear AI-driven revenue streams and models
  • TALENT: Accelerate AI capabilities through strategic hiring/acquisition