Wednesday, November 27, 2013

Samsung to outspend Iceland's GDP on advertising & marketing

South Korean company keeps up aggressive marketing campaign to make brand 'aspirational' in spend that dwarfs rival Apple's

The outlay buys the South Korean technology giant publicity in TV and cinema ads, on billboards, and at sports and arts events from the Sydney Opera House to New York's Radio City Music Hall. Google spent less on buying Motorola's handset business.

And Samsung, which has a market value of $227bn, has made no secret of keeping up its aggressive marketing and promotion splurge as it seeks to make its brand as aspirational as Apple's. But the money it's spending doesn't always bring the desired result.

Last month, a Samsung-sponsored short-film contest finale at the Sydney Opera House received poor reviews for blatant product placement in a series of 'behind the scenes' videos. In Britain, viewers panned a product placement deal with ITV's popular X-Factor talent show. "Is this a singing competition or an extended Samsung advert?" asked Twitter user Ryan Browne.

Earlier this year, Samsung's New York launch of its latest top-of-the-range Galaxy smartphone came under fire for being sexist, portraying giggling women chatting about jewelery and nail polish while the men discussed the new phone, and the company's new fridge and washing machine launch in South Africa drew similar complaints as it featured female dancers in swimsuits.