• Ade Noni Rinayanti

Product 09211950093006
• Maya Sari

and Market 09211950083001

• David Suhartono

Developme
09211950093010
• Romi Yehezkiel
09211950093001
nt • Reezha Alvha Guntara
09211950083004
Product vs Market

• Product : An object or system made available for

consumer use; it is anything that can be offered
to a market to satisfy the desire or need of a
customer. A product can be a service or an item.
It can be physical or in virtual or cyber form.

• Market : Refers to the group of costumers or

organization that is interested in a product, has
the resources to purchase it, and is permitted by
law and regulation to acquire it.
Product and Market
Development

Product development is a strategy in Market development is a growth

which businesses develop new strategy that identifies and develops
products or product categories. new market segments.
 Product Development Market Development
Orientation Product Market
Goal Develop and launch a new Reach a new target market
product or service for products and services

Significant Cost Research and Market development have

Development is the most to incur a significant cost in
Product vs significant cost in product the form of market
Market development. research.
Development
Risk Risk is high in industries High risk is involved if the
where there are number of company is entering a
competitors that offer market where there are
similar products. many established
companies.

Source:
https://medium.com/@aanandanm/market-research-vs-product-developm
ent-5967240de0e0
Product Life-
Cycle
 Product
Life-Cycle
Character
istics
The Importance of
Product
Development
All successful product development actions
provide the following:
• New value for customers
• Improved society
• Continued existence of the company

Source:
https://connect.informs.org/blogs/james-
mellor/2019/09/03/the-importan
New product
development
process
Product
development failure
• Once the product launched, it will be
difficult to maintain and relaunched
the existing product
• The bottom line of product
development process will cost bigger
amount of investment

1
0
 Failures in product development can be sourced internally
and externally. Internal sources occur at the product
planning and manufacturing stages. Competitor can be
one of the factors that caused product development
failure.
Product
Development Failures in product development by companies can be
Failure controlled through quality costs.

Failures in product development at Samsung can be noted

in the case of the burnt of Samsung S7 that caused by
manufacturing process errors.
 Product/
Market
Expansion
Grid

Source: https://www.carevoyance.com/blog/market-development-what-it-is-why-its-important
 New market segments really boil down
to the following three options:
New Market
for Existing • Same Target Customer, New Geography
Product • New Target Customer, Same Geography
• New Target Customer, New Geography

Source: https://www.carevoyance.com/blog/market-development-what-it-is-why-its-important
 Market Development Strategy in Ansoff Product-Market
Expansion Grid is done through developing new
markets without developing new products. In the scope
of marketing management includes Segmentation-
Targeting-Positioning activities
 examples:
Market • PT Samsung Electronics Indonesia inaugurated the
Development opening of the Samsung Experience Store (SES) outlet
Method on Jalan Jenggolo, Sidoarjo, Wednesday (05/22/2019)
• PT Tiphone Mobile Indonesia TBK together with PT
Samsung Electronics Indonesia opened the Galaxy Mall
3 Samsung Experience Store (SES) outlet on Tuesday
(07/23/2019). This Samsung outlet is Samsung's 11th
store, while for Tiphone it is the 54th store.
https://surabaya.tribunnews.com/2019/07/23/sasar-anak-muda-surabaya-samsung-buka-sams
ung-experience-store-ses-di-galaxy-mall
 Market Penetration Strategy in Ansoff Product-Market
Expansion Grid is carried out without developing new
markets and without developing new products. In the
scope of marketing management includes Marketing
Mix activities namely 4P and 3P (Product-Price-Place-
Promotion + People-Process-Physical Evidence)
Market Examples:
Penetration • Promoting by giving massive discounts.
https://
inet.detik.com/consumer/d-4768410/banjir-diskon-hp-samsung-oppo-vivo-xiaom
i-di-indocomtech-2019
• Launched a promotion in the form of a trade-in program
(exchanging certain old Samsung type products for more
up-to-date products).
https://marketeers.com/samsung-meluncurkan-promosi-untuk-produknya/
 Opportunities Threats
1. The digital age continues to develop in an 1. A highly uncertain business environment
increasingly modern era and an increasingly competitive market
2. Samsung has programs that strengthen the 2. Consumers have many choices for other
mind and encourage the creativity of the brands.
younger generation 3. The occurrence of a financial crisis
3. The level of prestige in people who always caused a decline in people's purchasing
want to have the latest and most power
sophisticated electronic products. 4. The emergence of new products that are
4. Public demand for products that are more innovative than other companies
stylish, best practice, simple, and respond
quickly to market changes.
5. The influence of the globalization era that
drives the marketing of electronic goods is
unlimited.
SWOT
Strength
1. Samsung has a brand-image that is already
ST Strategies implemented based on ST Strategies implemented based on Analysis
PT.
familiar with consumers organization strengh to get maximal from organization strengh to overcome
2. Samsung always increases innovations in the opportunity threat

Samsung
development of its products
3. The technology he created follows the
changing times.
4. Samsung entered into partnerships with
America and leading companies.

Weakness WO Strategis is used based on an WT Strategies is used based on

1. Unflexible corporate culture
2. Employee over pressure to get the company opportunity to minimalizying weakness defensive activity by minimalyzing
goals weaknes and also overcome threats.
3. Short range segment and product
differentiation
4. Higher product price than competitors
5. Product design not good enough
A BRIEF HISTORY OF
SAMSUNG
From 1938 - 2016

1
7
 • 1938: Mr. Lee Byung-Chull started out Samsung in Korea, a small trade groceries
export company (i.e. fishes, vegetables and fruits)
• 1953: Mr. Lee started a sugar refinery in Busan, Korea. Followed by textile,
banking and insurance enterprises
Samsung’s • 1969: Samsung started to emerge in electronic industries (i.e. TVs, microwave,
Timeline (1) ovens, and consumer products)
• 1970s: Samsung launches several enterprises in ship building, petrochemicals
and aircraft engines
• 1980: Samsung exported electronics under its own name 
• 1983: Samsung started to make 8-bit PC (SPC-1000)
 • 1988: Samsung’s first mobile phone SH100 was developed and
released in Korea
• 1990-2000: Samsung built chips for phones and computer, car,
flat screen TV, phones watch
Samsung’s • 2008: Samsung led the U.S. cellphones market
Timeline (2) • 2011: Samsung sold its hard-drive business to Seagate
• 2012: Samsung started their digital advertiser business
• 2014: Samsung announced GEAR-VR, a virtual reality device
• 2016: Samsung introduced smart watch called Gear Fit 2
 SAMSUNG’S
PHONES
TRANSFORMATI Example of product and

ON market development

20
 Cellphones
Transformation
 Samsung’s
Product
Development
Failure
 Samsung’s Market
Samsung seeks to grow with its existing products in every
Penetration
market the company operates. In growing markets, Samsung
launches its market penetration strategy to increase its existing
market share.
• The company can adopt aggressive marketing and
promotions,
• Offer competitive pricing etc. to eat into its competitors
market share.
For instance, Samsung drops the prices of its smartphones a
few months before the launch of its next model. In fact, an 
Idealo report analyzed the Samsung phone prices in the UK.
And here's exactly what it looks like.
Samsung’s Goals:
• to acquires new customers,
• increase its market share,
• and at the same time clear its old stock prior to the launch
of its latest product line.
However, the market penetration strategy has its limitations as
once a market approaches a point of saturation, the growth
halts and Samsung will require to alter its growth strategies
and opt for other growth strategies within the Ansoff Matrix of
Samsung to continue its growth.
 1. Telkomsel has a strategic partnership with PT. Samsung Electronic Indonesia
to accelerate the completion of smartphones in Indonesia (2012) - https
://www.tribunnews.com/bisnis/2012/11/06/telkomsel-samsung-percepat-penet
rasi-pasar-smartphone
2. SK Planet and Samsung Electronics Southeast Asia & Oceania E-Commerce
Business Partnership Memorandum of Understanding (MoU) in Southeast
Asia for Samsung brand approval and provide more easy access for Samsung
Samsung’s brands in Southeast Asia through the 11street platforms in Malaysia, 11street
Market Thailand, and Elevenia in Indonesia (2017) -
Penetration https://ekonomi.bisnis.com/read/20170309/105/635201/samsung-gandeng-sk
-planet-untuk-perkuat-penetrasi-pasar-asean
3. Samsung is innovating to develop a smart home of the future by
implementing Internet of Things (IoT) technology. This innovation was
carried out in a spacious and luxurious house in Seoul, South Korea (2019) -
https://
www.gatra.com/detail/news/413366/internasional/samsung-penetrasi-pasar-t
eknologi-rumah-pintar
 Samsung’s Market
Development
• Samsung started as a small business based out in Su-
dong, South Korea and today is a global brand present
in over 180 countries. This can be attributed to
the market development strategy from the Samsung
Ansoff Matrix.
• For instance, look at the timeline of Samsung’s market
development and international expansion.
• The market development strategy involves Samsung
targeting its existing products and services into newer
market segments or geographical regions.
• Samsung has used and still uses a combination of
different approaches to enter new markets, which
include direct export, licensing, joint-venture, mergers
and acquisitions and direct foreign investment.
• The market development strategy has allowed Samsung
to have a global presence and once Samsung develops
brand recognition and brand loyalty within a market, it
is easier for Samsung to introduce its subsequent
products and services under its brand.
 Mobile Vendor Market Share in Indonesia • Mar 2010 – Feb 2020

Mobile Vendor
Market Share
in Indonesia

https://gs.statcounter.com/vendor-market-share/mobile/indonesia/#monthly-201003-202002
 Global Smartphone
Market Leader

Samsung's ascendance as the market leader

in mobile phones (2012) was mainly
powered by sales of its Galaxy range of
smartphones, especially its flagship Galaxy
S3 and Note 2 Models
Most Popular
Mobile Phone https://www.youtube.com/watch?v=IdDEVIfbGEA&t=71s
Brand
1993 - 2019