Managing Expectations and Marketing - Samsung

It's interesting that Samsung share values have dropped their market capitalization by 4.2% on Monday, as announced in press releases in the last two days. Of course, the World markets are down and with the problems confronted by Europe at the moment, demand may be down.

However, marketing might also be a major contributor. Why? Well from personal observations, they have not done a good job of managing and meeting expectations on some of their products.

A case in point is the Galaxy Y Pro Duo-Sim. In the Philippines, they have been talking about launching this product since the beginning of January, and it is yet to be released. They appear to have released it in India, but so far that seems to be the only market. In successive months, when asked in their stores as to when this product will be released, it is the evasive "within the next two months." We are now at the end of June, 2012.

Last week Samsung launched the Galaxy S III in the US and earlier in other markets. So now, will people who want a Duo-Sim, wait for this Duo-Sim version with a keyboard or buy the older processor and older features from the Y Pro Duo? This looks like a mess from a marketing and product positioning point of view.

Even a visit to Samsung's Corporate Offices last Friday, and asking to speak with someone about when the Y Pro Duo will be released, access was not granted to see anyone in their offices. Only a person coming through the lobby from Samsung, took my business card. "They will get back in response to your question."

So, three business days have elapsed and still no word. Where is the market positioning? Where is the customer service in addressing questions? 

Maybe we should be assured by J.K. Shin's (President for Samsung's Mobile Business) upbeat announcements, but if you compare these two launches: Samsung vs Apple's iPhone 4S....is there any comparison?

It seems Samsung has some work to do, regardless of whether the Galaxy S III is a success or not, it doesn't speak highly of how this company manages it's high visibility business. Maybe they need some marketing and visioning exercises.

Recent pre-launch reports on the iPhone 5 indicates that the Galaxy S III optimism might be a bit premature as it will be good competitive product.

This isn't going to help the mobile division either:

U.S. Judge Orders Halt to Samsung Sales of Galaxy Tab

What do you think?

Samsung Shares Fall on Lowered Estimates - WSJ