Samsung last battery disaster on the Galaxy Note 7 costed millions of dollars. Samsung has been discrete on how many phones need to be changed, but they had sold 2.5 million units so far. Specialists calculate the cost of lost sales and recall on 5 billion dollars.
Not all phones have bad batteries, but reputation damage is done. They stopped production; the stocks dropped, and for some, it might seem they are going down in a free fall. However, recalls are something that happens and companies recover. For example, Apple (the major competitor for Samsung and the one who is taking the most Samsung’s clients) had to recall all wall plug adapters outside the USA sold between 2003 and 2015. They posed a risk of electric shock. Of course, a wall adapter is not like a cell phone.
Other famous recalls come from Nokia, Toyota, Pfizer, Dell, and VW. All of them survived and so will Samsung. Accidents and mistakes do happen, particularly with short times for development and testing. They already have a strategy for damage control and to keep on with the phone business. How long will recovery take? Only time will tell. Here are some plans and actions.
9. The strategy: A Quick Recall
A quick recall process is the best strategy for Samsung. Time is critical, and the sooner, the better to get passed the burning telephones. Competitors and sensationalist tabloids have widely exploded the security risk coming from the burning battery.
8. Customer’s Choice
Customers have a choice to change their Galaxy Note 7 for other Samsung product during this recall. It is part of Samsung’s strategy to get end users’ problem solved immediately, since the production of the original Galaxy Note 7 stopped.
7. Samsung’s Product Development Strategy: Enterprise
Research and development are some of the most important activities for a technological company like Samsung. They are continuously investing in new products. An important part of the strategy is to go for enterprise-related products. This is a market where Smartphones displaced Blackberries and despite it has been solved with products not specifically designed for enterprises; there is a space to fill in with new products.
6. Going Smart
Not just smartphones are there to go smart. The Samsung Smart Remote is there to connect all your Home Samsung devices easier.
5. New Trends for Portraits from Samsung
As part of the Family Hub line, Samsung has a full HD touchscreen (21.5 inches) to be used as a portrait. It is also an interactive board. You can go techy and leave notes on your screen instead of just a note on your fridge. You can share calendars, artwork, and photos through a direct upload or share with your mobile or tablet. An interesting feature is some added functionality with an App to order food online from the screen. For sure Samsung will release other updates with added functionality. It will almost be like a Smartphone on your fridge.
For the home market, Samsung is placing a high bet on the Quantum technology for displays. For TV they have released a Quantum TV (up to 88 inches) which features a billion colors. It is the biggest high-quality TV you will find. The 10-year warranty policy in Europe backs up the excellent quality of this product. Until now the smallest Quantum TV is of 43”, but they will sure take this technology to smaller devices like Samsung cell phones in the future.
3. Home Appliances
In Europe, Samsung has grown strong (and continues to do so) with home appliances. Some new lines are the Chef Collection, the Contemporary Line, the AddWash products and the Family Hub for freezers. They have some added functionality with integrations for mobiles.
2. Smart Watch
The Samsung Gear S3 goes with the trend of smart watches connected to your smartphone. It is water resistant, and has some interesting features, like a built-in GPS and the possibility to make online payments. The design is classic, and it will not look like the regular smart watch. If you are fonder of traditional watches, this is your match. The smart watch continues to be strong since it is the perfect fusion between traditional watches and technology.
1. The Galaxy S8
For mobile phones, this is THE strategy. There is no official name yet, but there are rumors on the release of a Galaxy S8, Galaxy S8 Edge, and Galaxy S8 Plus. Maybe they will only release two versions, to get a standard and premium option. Either way, it might have a curved screen. Samsung has placed a bet on virtual assistants, with the release of the Viv AI, which was recently bought by Samsung. The camera resolution is a promissing 4K, and for now, it is expected to be out around february. It might delay until March with all the struglings going on with the previous version, but other rumors are talking about launching it sooner to make up the loses. The Galaxy S8 is the most anticipated launch with much speculation around. You cannot do it wrong twice, so Samsung’s engineers should be extra-careful this time. With Apple’s recent launch of a water resistant mobile phone, we wonder if the Galaxy S8 will go with that trend too. Meanwhile, the news and especulation on the Galaxy S8 are already there filling tabloids.
Looking for a new gadget? How about a Drone? You know you want one!