Samsung Leading the way in Tech through its Marketing Metric


logoWhat and Why Marketing Metrics is so important to Marketers? It is a significant set of measurement of a specific market, helping the marketers to put their company in the right track, when they are losing the market.


  1. Marketers uses it as a guide to measure their marketing plans.
  2. It helps managers, to know how their business performs and how to improve it.
  3. Helps to report the performance, as marketing needs to be accountable.

Marketing metrics refer to the set of measures that help marketers to quantify, compare, and interpret marketing performance

Various type of Marketing Metrics:

  1. Financial Metrics,
  2. Behaviour Metrics,
  3. Memory Metrics,
  4. Physical Availability Metrics,
  5. Marketing Activity Metrics,
  6. Customer Profile Metrics,

We will look into a case study how Samsung uses these Marketing Metrics to achieve 2nd position in Top 10 Consumer Electronic Companies in the World 2015 issued by MBASkool.


Lee-Byung-chul-Founder-of-Samsung-GroupSamsung was founded by Lee Byung-chul in 1938 as a trading company and in next three decades, it was diverted into many areas which includes insurance, security, textile, retails and in food processing. In 1960s, they entered into the electronic industry and in mid-1970’s shipbuilding and constructions. Samsung has progressively globalized its exercises and gadgets, especially cellular telephones and semiconductors, have turned into its most vital wellspring of salary.

Samsung Marketing Metrics:


Financial Metrics:

When comes too financial we will look into three perspectives as follows

ProfitProfit Contribution: 

After a long struggle the Samsung earning are heading up straight for nearly two years with the help of display panels and semi-conductors. They stated that the profit booted to 39% which was much larger than the anticipated 31% in early April. Semiconductor boosted nearly $3.2 billion and Display panels nearly to $6.5 billion

 Profit = (Sales Revenue – Direct Cost)

Profit Margin:

Which gives the insight of marketing expenses and Discount. In the fourth quarter Samsung had a sharp fall in its profit margin to 21%, because of its semiconductor sales climbed just 3.7%. When looking to Smart-phone business, they suffer a stubborn competitions from the Chinese low-cost brand which results in eroding its market share.

Rate of Investment:

calculating-roi5The general ROI for a company is in some cases utilized as an approach to review how well an organization is overseen. One of the way the Samsung uses to promote their brand Samsung Galaxy S3 is through Facebook. They achieved $129 million in scales by spending $10millon dollars.

There is the ROI formula of Samsung:

Cost of investment = $10,000,000

Gain of investment = $129,000,000

ROI = [($129,000,000  $10,000,000) / $10,000,000] x 100%

ROI = 1190%.

It was very high percentage, which means that the Samsung gained a great profit through the campaign and increased their reputation as well.

Behaviour Metrics

263355According to the Statista, Samsung sold around 100.66 million mobile phone in 1st quarter of 2013 and in the same period they were leading the mobile phone vendor global market, with a share of 23.6 percent. When looking into the purchasing frequency, it is pretty much in good growth especially Samsung S6 series,

The sales of the Galaxy S6 series have already surpassed 10 million,” a high-ranking Samsung official said speaking with the Korea Herald.

Memory Metrics

download In 2015, Samsung was ranked among top 10 in World’s Most Brand Valuations and 7th in Best Global Brand’s 2014. As a brand awareness they decided to be the sponsors of London Olympic, 2012 and Winter Olympics, 2014 in Sochi resulted in global exposure. In addition to that Samsung’s sponsorship to Chelsea Football Club in 2005 is one of the highest among European teams. Customer are interested in buying Samsung because of their good customer service, quality and innovation.

Physical Availability Metrics

Capture1 It is very important, which makes the customer to buy and consumes the product. Knowing this Samsung had a worldwide distribution and delivery points. For Example in Chennai, India alone they have more than 200 official stores. In addition to the bricks and mortar, they also have E-Stores of their own and via through some E-logistics companies like Flipkart, Amazon etc, with a customer service around the clock which makes easier for the customer to consume the products.


Marketing Activity and Customer Profile Metrics

Screen-Shot-2015-07-30-at-7-30-8.20.29-PM  It is important to measure all the activities organisation has done for marketing, which is necessary for every organisation to keep track of their investment. Which helps them to measure their performance in level in the market. With the help of the Customer Profile, marketers can easily understand the different consumers, they geographic location, their mode of purchase. Knowing this Samsung not only manufactures smartphones and TV also produces semiconductors, display panels, LED’s, Network business etc.

Marketing Dashboard

ScalesCustomer Performance Dashboard, measure the company’s growth based on the customers measure. According to the 2014 Annual Report, Samsung had a loss in the scales and operation profit of about 22,487 Million in KRW. Stakeholder’s performance scorecard which tracks the satisfaction of the employees, distributors etc.


What have we learnt?

Through this case study it is clear that the how Samsung from a small export business in Taegu, Korea became a worldwide tech giant by using the knowledge of Marketing metrics. With the help of it, they covered all the geographical markets through their innovation and top quality products. Even though the Marketing Metrics requires keen observation and focus the end result will be a business success.


Blogged by : Mahesh Rajamanickam(214463095)




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Wikipedia. 2016. Samsung – Wikipedia, the free encyclopedia |  Retrieved May 22, 2016 from:


Patently Apple. 2016. Samsung’s Net Profit Plunges 39% in Q1 2015 – Patently Apple | Retrieved May 22, 2016 from


Fortune. 2016. Samsung Electronics’ profits are up thanks to its processor division – Fortune | Retrieved May 22, 2016 from


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Samsung Pushes Galaxy S III With Facebook Logout Ads | ClickZ. 2016. Samsung Pushes Galaxy S III With Facebook Logout Ads | ClickZ. | Retrieved May 23, 2016 from


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