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MRP Table of Contents1.0 Executive Summary................................................................................................................32.0 Introduction.............................................................................................................................5
2.1 Samsung – 1938 to the Present...................................................................................62.2 The Product.................................................................................................................6
3.0 Statement of the Problem........................................................................................................8
3.1 Marketing Research Problems....................................................................................9
4.0 Research Objectives..............................................................................................................104.1 Objective A...............................................................................................................11
4.1.1 Hypothesis A.............................................................................................114.2 Objective B...............................................................................................................11
4.2.1 Hypothesis B..............................................................................................114.3 Objective C...............................................................................................................11
4.3.1 Hypothesis C..............................................................................................114.4 Focus Group Research Objective..............................................................................11
4.4.1 FGR Objective A.......................................................................................11
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4.4.2 FGR Objective B..........................................................................................125.0 Recommended Methodology................................................................................................13
5.1 Research Design – Focus Groups.............................................................................145.2 Research Design – Mall Intercept Interviews & Online Surveys.............................145.3 Data Collection Method............................................................................................165.4 Sample Plan..............................................................................................................215.5 Analytical Plan..........................................................................................................22
6.0 Deliverables..........................................................................................................................256.1 Data Processing.........................................................................................................266.2 Validation & Editing.................................................................................................266.3 Coding & Machine Cleaning of Data.......................................................................266.4 Tabulation & Statistical Analysis.............................................................................276.5 Test and Variables.....................................................................................................29
7.0 Conclusion............................................................................................................................308.0 REFERENCES.....................................................................................................................329.0 APPENDICES......................................................................................................................36
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4
1.0 Executi
ve Summa
ry
The Company: Samsung Electronics Co., Ltd. was founded by Lee Byung-Chul in 1938 in
Taegu, Korea. In Korean, Samsung means three stars and is pronounced as sahm-sohng.
Samsung is ranked as a top 10 global brand and is recognized as an industry leader in
technology. Samsung operates three core business divisions: Consumer electronics (CE),
Information technology & mobile communications (IM) and Device solutions (DS).
Headquarters are based in Korea and they operate 158 subsidiaries globally, which includes 9
regional headquarters for the CE & IM divisions and 5 regional headquarters for DS (Samsung,
2014). Total revenue at the end of the 4th quarter was recorded as 206.2 billion KRW (189.3
million USD) (Samsung Electronics, 2014).
Campaign Issue: Samsung Electronics has encountered a minor setback in forecasted sales
expectations for their latest release of smartphones. The series that was released on April 10,
2015 in the South Korean market is the Samsung Galaxy S6 and S6 Edge. Analysts predicted
prediction that the company would sell 50 to 70 million units globally. However, after 10 days of
sales, the company only sold a total of 200,000 units. (Yonhap, 2015)
Campaign Plan: This plan explores the why behind low sales and gauges consumer perception
of the brand. A look at the main competitor, Apple iPhone 6 will help assess possibilities of
similarities in physical phone design and function. To combat any preconceived sales measures
in the U.S., research results will support both markets of South Korea and North America.
Samsung has taken strides through the research and analytics in ensuring consumers that they
have the best product on the market, which will in turn increase sales in South Korea as well as
garner new interest upon release in the North American market. The overall plan assists in
educating consumers on the S6 series of smartphones as well as creating engaging platforms for
present and future conversations on overall Samsung products. Data is collected from various
segmented target groups to gain understanding in future changes to make along with
understanding what is acceptable currently.
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6
2.0 Introdu
ction
2.1 Samsung – 1938 to the Present
Samsung Electronics Co., Ltd. was founded by Lee Byung-Chul in 1938 in
Taegu, Korea. In Korean, Samsung means three stars and is pronounced as sahm-sohng.
Samsung Corporation started as a trade export business and did not become what it is known as
today until the late 60s. The first black and white television was produced in 1970 but was not
produced for domestic sales until 1972. During the 70s, Samsung produced black & white
televisions, washing machines and refrigerators. In the late 70s, color televisions were produced
and exported. (Samsung Corp, 2015)
Samsung is ranked as a top 10 global brand and is recognized as an industry leader in
technology. Samsung operates three core business divisions: Consumer electronics (CE),
Information technology & mobile communications (IM) and Device solutions (DS).
Headquarters are based in Korea and they operate 158 subsidiaries globally which includes 9
regional headquarters for the CE & IM divisions and 5 regional headquarters for DS (Samsung,
2014).
Total revenue at the end of the 4th quarter was recorded as 206.2 billion KRW (189.3 million
USD) (Samsung Electronics, 2014).
2.2 The Product
On April 10. 2015 Samsung Electronics released the latest series of smartphones to the South
Korean market. The model name is the Samsung Galaxy S6 and Samsung Galaxy S6 Edge with
listed retail price of $599 and $699 (USD value) respectively. The S6 series phones features a
few new functionalities and physical attributes. What’s new is the 5.1 inch screen size, wireless
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charging capabilities and now the phones are installed with the Samsung Pay application.
Features that have been taken away include micro SD memory slot, removable batteries, dust-
proof and water-proof feature. The phones are made of glass and metal with three metal colors of
gold platinum, white pearl and black sapphire. The current operating system is Android 5.0,
Lollipop. Current battery talk time is 26 hours, music playtime is 58 hours, video playtime s 13
hours and depending on internet connectivity, you are able to surf the web up to 13 hours.
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3.0 Statement of the Problem
Samsung Electronics recorded low sales after ten days upon release of the Galaxy S6 and S6
Edge smartphones. The release date was on April 10, 2015 in the South Korean market. The total
number of units moved including pre-orders by retailers was only 200,000. Analysts forecasted a
selling of 50 to 70 million units by the end of calendar year 2015. In addition, it was stated that
Samsung would run out of stock before the total number of units could be sold. After release of
initial sales numbers various news reports reported on Samsung’s weak sales.
Samsung is considered the best phone per many reviews of loyal Samsung Galaxy users. In
terms of sales, 200,000 units is low compared to when the Galaxy S5 was released in 2014 and
recorded 10 million units sold in 25 days. “Each Samsung Galaxy device has sold better than its
predecessor. Before the Galaxy S4, the Samsung Galaxy S3 shipped 10 million units in 50 days,
while it took the Samsung Galaxy S2 five months and the original Samsung Galaxy S seven
months to move that much inventory (Agomuoh, 2014).” See Appendix A.
3.1 Marketing Research Problems
1. How is the Galaxy S6 & S6 Edge viewed in comparison to their predecessor the Galaxy S5?
2. What criteria are consumers using in evaluating between the Galaxy S6 series and Apple
iPhone 6?
3. What criteria of smartphone functionality is necessary for continued customer retention and
loyalty?
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4.0 Researc
h Objectiv
es
4.1 Objective A
Determine the pros and cons of the Galaxy S6 & S6 Edge over their predecessor Galaxy S5.
4.1.1 Hypothesis A
Consumers are not purchasing the Galaxy S6 or S6 Edge because the Galaxy S5 is a better
phone.
4.2 Objective B
Determine if consumers are comparing the physical appearance of Galaxy S6 & S6 Edge to that
of Apple iPhone 6.
4.2.1 Hypothesis B
Consumers are not purchasing the Galaxy S6 or S6 Edge because they are purchasing the Apple
iPhone 6.
4.3 Objective C
Determine consumer behaviors and perception of the Samsung brand.
4.3.1 Hypothesis C
Consumers who lead a busy lifestyle stay connected to the world around them via their
smartphones, therefore consumers only buy new mobile devices when their old phone becomes
obsolete.
4.4 Focus Group Research Objectives
4.4.1 FGR Objective A
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Gauge consumer perception of Galaxy S6 & S6 Edge after physically viewing and touching the
phone. Hypothesis: After viewing the S6 & S6 Edge, consumers will purchase the phone.
4.4.2 FGR Objective B
Determine features for new phones. Hypothesis: Consumers will purchase S7 series of phones
upon release.
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5.0 Recomm
ended Methodo
logy
5.1 Research Design – Focus Groups
In order to assess the problem of low phone sales of the Galaxy S series phones, focus groups are
needed in both South Korea and North America. In qualitative research, we are focusing on
reasons behind decisions made. In the presence of focus groups, we will be able to determine
through various aspects, how customers feel about the Galaxy S6 series phones versus that of
iPhone 6. The benefit of being able to conduct two focus groups in different regional markets
will help give us an understanding and broader range of different individual(s) feelings and
perceptions. Additional benefits include being able to interact with participants as well as asking
follow-up questions needed and/or questions that probe deeper into ones’ thoughts and being
able to watch physical responses like facial expressions and/or other types of body language
exhibited. (Temkin, n.d.) Depending on the region of the United States that a focus group is
conducted, being able to utilize online and/or video chat type focus groups where both groups
converse together, would be difficult because of the 13-16 hour time difference between the two
countries. It is advised to hold an on-site focus group of between 6-8 individuals in each country.
5.2 Research Design – Mall Intercept Interviews & Online Surveys
Intercept interviews are one-on-one interviews you conduct with respondents in a high traffic
area like a mall or other areas of high consumer interest. This type of surveying is a fast and
inexpensive way for Samsung representatives to be able to gauge community interest in the S
Series phones. The mall intercept interviews take place in Seoul, S. Korea. Exactly five mall
locations are used for a total of 5,000 respondents (1,000 at each mall location.) It is imperative
to gain permission from the mall owner to stop consumers for research purposes as soliciting
may not be allowed in certain areas. The mall intercept interviews are to coincide with the online
survey interviews. During mall intercept, participants will be given a pre-interview along with a
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6-digit code for online entry and verification. The participant email address, age, gender and
name will be taken as a pre-requisite for participation. The Samsung/surveyor representative
will then enter information about the participant in a database system.
With online surveys, Samsung is able to reach a broader range of respondents. In order for
participants to be able to access the survey, they will again need a 6-digit code that will either be
sent to them via direct email invitation or via pre-interviews conducted at the mall. The survey
itself is designed with demographic questions for segmentation of participants and various open-
ended and close-ended questions. Probing questions are added for further clarification of answers
given in scenarios. Scaled responses are included for aspects of phone functionality along with
Likert scales that determine standards of customer service and/or potential of making a purchase
in the future. See Appendix B for finalized version of survey.
Interviewer instructions assist the interviewer in what to look for and what they needed to say to
potential participants. See Appendix C, Interviewer Instructions.
Pre-Test
Pre-test of the survey was sent to 10 individuals. Three responded. Two evaluated the survey and
changes were made accordingly to their suggestions and one individual completed the survey.
The individual that completed the survey was most interesting in answers given as they are an
Apple iPhone owner but had some positive things to say about the Samsung Galaxy S6 & S6
Edge new line of smartphones. The results of the pre-test and suggestions made have helped to
change questions in regarding videos shown and change the question asking brand of phone to
model of phone. Questions that asked about phone functions and features were changed to scale
questions. Questions asked for the Samsung video are repeated for the Apple video.
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5.3 Data Collection Method
For focus groups, data will be collected by gathering participants in the following manner: in
both countries, one of the following criteria must be met:
Participant should be a past Galaxy S series user or participant should be a past iPhone 6 user (as close to equal mix as possible)
Maximum 1-2 participants in each of the following age groups:
o 18-25
o 26-32
o 33-40
o 41-48
o Above 48 years of age
College students or interns who hold part or full-time positions at major businesses
Business professionals who rely on smartphones for various business communications and travels
Laborers who rely on smartphones for business communications with customers, contractors and those affiliated with their line of work
For the online surveys, Samsung will have a list of all Samsung Galaxy owners that have
registered their product online and/or made their previous smartphone purchase directly from
Samsung’s e-commerce site, which is the sampling frame. Online surveys fall under non-
probability sampling but for probability sampling, simple random sampling will be used from an
automated list.
Discussion Topics for Focus Group
Structuring the topics for the focus groups assists with the conversational flow the moderator
wishes to take with group. Participants of the focus groups will be instructed to give their honest
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and straightforward opinions for various questions and activities during the 2-hour session. After
final summarization is discussed and finalized, participants will be thanked for their time and
given a $125 gift in additional to the verbal thanks.
Physical appearance of S6, S6 Edge and iPhone 6
1. What is the first word that comes to mind upon seeing only the backs of both the
Samsung Galaxy S6 and the iPhone 6? This first question will open the discussion after
participants have had the opportunity to view the phones as they lay on a table or other
flat surface in front of them. The groups will be separated by three in order to avoid
overcrowding, as there will be 5 sets of phones available for viewing and handling. The
initial impression is considered most crucial because of past controversy of copycat
design. The administrator will be able to view participant reactions as well as take note of
initial one word response. The moderator can take a quick tabulation of responses on a
bulletin board or white board and formulate a 10-minute interactive group activity. For
example, 5 participants may state that there is no difference in physical appearance.
Summed in one word would be “same.” Another word may be “mirrored.” The
moderator would then write each word in their own space and/or area of the room and ask
those who gave the response to stand by that word. The next step would involve each
participant making a line branch from the word and writing one sentence as to why they
thought of the particular words used for the first impression.
2. After the participants return to their seats, they will then be given a one-page
questionnaire of no more than 4 questions. The questions will focus on physical attributes
like lack of micro sd memory slot, picture quality of phone, screen size and non-
removable battery. Some people will have questions on the iPhone and others will have
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questions on either Galaxy S6 phone. Participants are given 10 minutes and will then be
asked to turn in the questionnaire. Moderator will re-distribute completed questionnaires
in hopes that no one ends up with their own and then will be asked to take another 10
minutes to complete the questionnaire in front of the with a second sentence of response.
After the time limit, the sheets will be collected and random sheets will be selected to
read the model phone, questions related to model phone and the answers given. Further
discussions will revolve around this exercise to gauge consumer feelings and indicate
what they think Samsung should change as far as design.
3. The last portion of the discussion will involve participants using various application
features of the Galaxy S6 series. From this brief usage, participants will be asked to give
their views on speed for Wi-Fi connections, standard apps offered, operating system and
what apps should be standard. For example, those in the S. Korean region may state that
KakaoTalk and Naver should be standardized apps on their phones. KakaoTalk is a free
instant messaging, chat and phone call application, which is especially important for
those individuals who cannot afford a mobile plan for text messaging, calls and data. This
portion of the session will be crucial as the information obtained can assist with future
smartphone development and functionality. Most aspects of smartphone usage will be
viewed during this time. The moderator walks around and observes usage by participants
and mini-conversations held between individuals as them make various comparisons.
4. A 15-minute summarization will be given by the moderator as he/she gathers information
accordingly and asks the participants if there is any information that they feel was missed
and/or want to add.
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Focus Group Facilities
Two focus groups will be involved for the desired research necessary for Samsung’s problem
with low sales. Therefore, because of region for the 2 groups recruited, a facility has to be
located within the same region as corporate locations by country.
North American Division
(Photo credit-S.A., n.d.)
Samsung America Headquarters are located in San Jose, California. Therefore, a location in a
central California city like San Francisco or Los Angeles should be ideal in locating willing
participants and proper focus group facility.
Chosen Facility:
FieldWork is the focus group facility chosen. The main reason is that they are able to collaborate
your research with that of non-affiliated facilities in other countries. “To streamline the fielding
process, Fieldwork offers Fieldwork Network, a team dedicated to managing multi-market
studies from start to finish both in our Fieldwork offices and in non-affiliated facilities.
Fieldwork Network has established alliances with respected facilities in Europe and the Pacific
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Rim as well as all over the U.S. (FieldWorks, n.d.).” This piece of information proves to be
beneficial for Samsung where they do not have to worry about data collaboration as FieldWork
makes accommodations to carry out that portion of your research.
Address:
201 Third Street, Suite 1000, San Francisco, California 94103
P. 415.268.8686 - F. 415.357.1046
South Korean Division
(Photo credit-Samsung, n.d.)
Samsung Korean Headquarters are located in Suwon-Shi, South Korea, a vicinity of Seoul, South
Korea. A focus group facility located in Seoul would prove to be the best option.
Chosen Facility:
SIS International Research “is a full service custom global market research firm offering market
research and market intelligence services. Our coverage is global with offices and on-the-ground
intelligence networks located throughout the world (SIS, n.d.).” This particular facility was
chosen based on facilities currently running, size of facility and services offered. One of the
standout services offered is access to worldwide business journals through the SIS website and
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the fact that they have various facilities worldwide. This makes me feel confident in their
services to assist with research studies as needed.
Address:
26 Euljiro 5-gil, 27th Floor,
West Center 1, Jung-gu,
Seoul, Korea
5.4 Sample Plan
A comparison will be made to differentiate product perception between early adopters (Samsung
Galaxy S6 or S6 Edge owners) and followers (Samsung Galaxy owners, previous versions).
Early adopters “are people who start using a product, service, or technology as soon as it
becomes available (Cahoots, 2013).” Followers, laggards, late adopters are those who must first
wait to see if all the bugs have been worked out or are skeptical of making a purchase too soon.
In addition, they may fall under the category of individuals that do not have the financial
resources to purchase a new product. This particular variable will help determine forecasting of
sales. Questions are asked within the online survey to give an indication of which product
features are more appealing and which are least appealing to consumers. Results are measured
from nominal data using cross tabulation with a Chi Square test for homogeneity. The exact
variables to be measured are Samsung Galaxy S6 or S6 Edge owners versus owners of previous
version of Samsung Galaxy. That is first in tabulating early adopters to late adopters from the
nominal indicator given for each type. Next is assessing from the survey, exact feature that
received the most votes or choices made as the best feature versus the feature that was selected
the least. The null hypothesis and alternative hypothesis are as follows:
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H0: Samsung owners like the new feature of wireless charging the best on the Galaxy S6.
Ha: Samsung owner find the 5.1 inch screen of the Galaxy S6 as the best feature.
With this plan and analysis, we are able to determine what appeals to late adopters in relation to
product features to encourage their purchase.
5.5 Analytical Plan
Social media can provide various information resources to for research. Analytical tools made
specifically for social media platforms assists with gathering data for further analysis of posts
made by consumers. Here a couple that we will use and the social platform they work with.
LikeAlyzer by Meltwater is a tool that coincides with Facebook usage. This analytical tool
“helps measure and analyze the potential and effectiveness of Facebook Pages. It allows
monitoring, comparing and exploring all the possibilities of your Facebook Page by evaluating
activity to ensure your success on the most popular social network in the world – Facebook
(L.A., 2015).” The first search term used on this page was Samsung Galaxy S6. Upon trial and
error, you cannot simply type what you are looking for in the first search window. There are sub-
topics under the search window as follows: recent, popular, toplist and about. The about sub-
topic is only relevant for learning more about the LikeAlyzer. The remaining sub-topics gives
you various aspects of analysis of likes from your Facebook page. Once conducting a search
through these sub-topics, you are able to garner more information such as likerank, number of
likes on your page, check-ins and PTAT (People talking about this). Using various search terms
like Samsung or Galaxy S6 as opposed to the two used concurrently will pull information on
various pages either created by the Samsung Company regionally and/or by users who post
reviews on pages they created. After various searches conducted, my findings showed how many
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likes of Samsung pages created by users and/or the company was listed that fell into a certain
percentage of likes. Not all pages affiliated with Samsung like Samsung USA and/or Samsung
Korea was located within the search results. From those results found I was able to visit those
actual Facebook pages to see what type of content was contained on each page as well as posts
made by followers of the page available.
Using this tool and following through with visitation to Facebook pages assists with gaining
insight into consumer thoughts of products that are released.
Twitter is a social networking site that provides real-time conversations as they occur. An
individual or business can participate in conversations that are tweets as long as the character
total per tweet is less than 140 for the message given. Via Twitter, you can search various topics
that may show by a hashtag and/or by key words that may show within any individual
tweet/message. In order to make any type of post, you must be a registered user. If you are
unregistered, the only capability you have is reading posts. In addition to being able to make
posts as a registered user, you can favorite posts by other users, including your own, retweet
posts made and follow other users or businesses registered with Twitter in order to receive
updated information. This site was used to locate any and all tweets/messages made about the
Samsung Galaxy S6. I was able to locate all tweets made about the Galaxy S6 and Samsung in
general. After leaving the page open for just a short moment, approximately 15 minutes, exactly
80 new tweets had been made in conversation of the Galaxy S6 and Galaxy S6 Edge. Compared
to Facebook this tool is good for gauging consumer insight of what they like or don’t like about
the S series phones.
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Social Mention is another tool that is used to research and analyze social media responses and
amount of responses made. The difference between this tool and the previous tools mentioned is
that when performing a search for content specific to your analyzation needs, this tool provides
results from a universal standpoint. “Social Mention is a social media search and analysis
platform that aggregates user generated content from across the universe into a single stream of
information (S.M., 2015).” In using this tool, a search was conducted on the iPhone 6 and the
Galaxy S6 to see how often either entity was mentioned and sentiment ratio. This tool provides
Samsung with information on reach percentage, strength of brand from mentions and identifies
the number of unique authors from posts made. There is so much information that one can use to
analyze brand recognition and which specific products from the branded line that receives the
most mentions and/or posts created. Out of the 100+ social media sites, ones that I have found to
have the most posts made from search conducted is Photobucket and Twitter. A unique
identifier within this tool is the average amount of time between each posting made universally.
Average time for Samsung depending on which key words used for the search was 44 seconds.
With this tool, we can analyze which platforms are used the most by consumers in order to know
where and when to be interactive with consumers. This tool provides a direct way of
immediately seeing posts made in real-time, seeing who is making posts, how often posts are
made, average length of time between all posts and what amount of the posts are positive, neutral
or negative in content.
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6.0 Delivera
bles
6.1 Data Processing
From the survey created for Samsung Electronics, data from survey participants will be turned
into data to serve the purpose of indicating brand recognition and future product upgrades or
downgrades.
6.2 Validation and Editing
Validation ensures that the interviewer, who was conducting pre-interviews for the online
survey, followed all necessary steps. We are ensuring that respondents received pre-instructions
along with 6-digit codes for participation in the survey.
Editing ensures that no two participants was given the same 6-digit code by the interviewer. This
also checks for survey duplication by the same participant. Email validation is tested to verify
whether or not emails are closely similar along with not being registered to the same home
address on file. This portion of processing only applies to manual code sharing by interviewer as
well as manual email address entered by interviewer(s). Avoiding the possibility of respondent
duplication is necessary for concise data to be analyzed.
6.3 Coding & Machine Cleaning of Data
Coding is a process that deals with coding open-ended questions for later tabulation. “Even after
the editing process, the available data is not in any specific order. To make it more sensible and
usable for further use, it needs to be aligned into a particular system. The method of coding
ensures just that and arranges data in a comprehendible format. The process is also known as
netting or bucketing (maneetpuri, 2008).” For paper processes, machine cleaning of data ensures
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that no errors have occurred upon entry of data electronically. It is making sure that all codes
entered are valid and cross-checking for inconsistencies.
6.4 Tabulation & Statistical Analysis
Data is tabulated along with performing either descriptive analysis, inferential analysis,
differences analysis, associative analysis, cross tabulations, predictive analysis, multivariate
analysis, multiple regression, discriminant analysis or factor analysis.
Descriptive statistics are used for the close-ended questions of the survey. For example, the very
first question for the online survey is identifying the gender of the individual taking the survey.
The choices are male and female. These choices are measured through a nominal scale where
male is assigned 1 and female is assigned 2. We are measuring the number of female to male
respondents by taking a percentage of the objects in each category. This scale also applies to the
age and occupation chosen by each respondent. A sample scale would look like the following:
Occupation: Student, Age Category: 15-21, 15% males, 85% females. This measurement would
be verbally translated to…of the respondents that are students ages 15-21, 85% of them are
female and 15% of them are males.
Of the demographic questions, we will be able to see the percentage of respondents categorized
by occupation, age group and gender for responses made. The variables of concentration for this
analysis relies on the age group and percent gender of each age group. The entire survey is
focusing on brand perception and education of brand therefore, knowing how each age group and
gender makes their decisions for making electronic product purchases is essential to this
research. Statistical analysis is used to categorize the participants answers into smaller groups for
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analysis of the answers given by each group. For a final analysis, we will be able to determine
the mean or median age group and occupation from the numbers given in the results.
With inferential statistics, we are looking to predict if our sample data is large enough to
represent a greater population and making comparisons. We will use inferential statistics to test
the difference in survey answers given between two groups. The groups in question will be
students ages 15-21 versus white collar workers ages 22-34. Another subset is blue collar worker
versus white collar workers of the same age group. A subset within the previous grouping is
male workers versus female workers. There are several subset samplings within all the
categorization of groups that can be compared to each other. Our primary focus is millennials
and their perception of the brand. A t-test is conducted between each set of comparable groups to
determine if the mean between the two groups are statistically different. Utilizing a t-value
formula our findings from the formula alert us if the difference between the groups was not what
is considered a chance finding. Our risk level should be at .05 and if our value is less than this
level, we can rule out that the variance between the two groups is statistically significant. To be
able to find the significance test results we are utilizing a statistical computer program that can
show us the results much faster than if we had to perform the test manually as again our survey
was administered via electronic means.
Associative statistics will test the demographic variables of age and occupation to understand
what type of individual is an early adopter of electronic devices. Our null hypothesis state that
white collar workers between the ages of 35-42 are early adopters of mobile devices. One
question to ask is “do older white collar workers buy electronic products more quickly?” Is there
a moderately positive correlation between income and occupation? Does a higher income bracket
in specific occupations allow for more purchases of newer products as they are released? Does a
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lower income bracket in specific occupations mean less likelihood of purchasing new products
upon release? We will see what the relationship is between making a purchase versus not making
a purchase in these situations.
6.5 Tests and Variables
Within the survey, we have respondents rating specific features of the new Samsung Galaxy S6
& S6 Edge phones. One test of note that will use the ratings question from the survey is factor
analysis. Factor analysis is explained as data simplification. “The objective is to summarize the
information contained in a large number of metric measures with a smaller number of summary
measures, called factors (McDaniel, 2010).” The variables used for this analysis stem from
whether or not the respondent is male or female and the average rating given for the features of
wireless charging, 5.1 inch screen and Samsung Pay. This analysis will show us which new
feature should be continued with the next series of smartphones. It will also give an indication as
to which gender or if both have the same preference noted by the average taken for both groups.
Another aspect of variables to be used for this analysis involves the current Galaxy S6 & S6
Edge owners. We will take the occupation as the first variable and correlate against ratings given
for customer service. We will be able to determine whether or not consumers of specific
occupations are more loyal to Samsung despite any product flaws because of superior customer
service. For this same group along with the previous group we will use occupation to feature
ratings. We will see if there is any variance between the average ratings of features within the
two groups and try to determine via occupation, which feature is considered the most important
among the two groups.
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7.0 Conclus
ion
Samsung Electronics suffered a minor setback after the first 10 days upon release of their
flagship smartphones, Galaxy S6 and S6 Edge. They only moved a total of 200,000 units during
that time period and to make matters worse, this was in their home territory, the South Korean
market. Samsung has a history of being able to move 10,000,000 units in as little as 25 days as
what occurred with the Samsung Galaxy S5.
This plan addressed the manner in which consumer data would be collected and analyzed to
determine why less than expected sales occurred. Even though all age groups are surveyed
and/or participated in focus groups in both South Korea and North America, the primary target
focus overall is the millennials. Millennials have proven to be a tech savvy group, therefore
sparking the need to understand what they are looking for in functionality of their mobile
devices. Three objectives along with corresponding hypothesis will prove what the current
perception is of consumers through a randomized survey and focus group sampling. One major
hypothesis of note is the following: Consumers are not purchasing the Galaxy S6 or S6 Edge
because the Galaxy S5 is a better phone. To disprove this hypothesis Chi Squares and t-tests are
performed to gain a statistical analysis and differentiate our segmented findings accordingly. Our
survey briefly addressed the main competitor Apple with their release of the iPhone 6 and
compared consumer perception between the two products.
Finally the deliverables of the plan described the various statistical analytics and what is
expected to be revealed from those findings. Test variables are declared and an indication of
analytical software was proven to be the correct route to take in supportive analysis research
conducted.
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It is expected that Samsung will have a clearer indication of the catalyst behind slow sales and
can progress accordingly to reach their year-end goal of moving 50-70 million units.
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34
8.0 REFERENCES
REFERENCES
Agomuoh, F. (2014, May 10). Samsung Galaxy S5 hits 10 million sales mark: smartphone beats
Galaxy S4 initial sales record by two days. Retrieved from
http://www.ibtimes.com/samsung-galaxy-s5-hits-10-million-sales-mark-smartphone-
beats-galaxy-s4-initial-sales-1582476
Apple. (2014, September 9). Apple - Introducing iPhone 6 and iPhone 6 Plus. [Video post].
YouTube. Retrieved from https://www.youtube.com/watch?v=FglqN1jd1tM
FieldWork. (n.d.). Global field management. Retrieved from http://www.fieldwork.com/global-
field-management
LikeAlyzer. (2015). Analyze and monitor your Facebook pages. Retrieved from
http://likealyzer.com/
Maneetpuri. (2008, August). 5 Steps to data processing. [blog post]. WebProWorld. Retrieved
from http://www.webproworld.com/webmaster-forum/threads/76231-5-Steps-To-Data-
Processing
McDaniel, Jr., C & Gates, R. (2010). Marketing research essentials (8th edition, page 376,
Chapter 14). New York: Wiley & Sons. ISBN: 978-1-118-24932-1.
Milian M. (2014, May 12). How Samsung’s 10 million Galaxy S5 sales stack up against the
iPhone. [photo credit]. Bloomberg Business. Retrieved from
http://www.bloomberg.com/news/articles/2014-05-12/how-samsung-s-10-million-galaxy-
s5-sales-stack-up-against-the-iphone
35
Samsung. (2014, September 30). Samsung Electronics Co., Ltd. Interim business report for the
quarter ended September 30, 2014. Retrieved from
http://www.samsung.com/us/aboutsamsung/investor_relations/financial_information/
downloads/2014/2014_business_quarter03.pdf
Samsung America Headquarters. (n.d.). Photo credit of American Headquarters. Retrieved from
http://www.nbbj.com/work/samsung-america-headquarters/
Samsung Corporation. (n.d.). Photo credit of Korean Headquarters. Retrieved from
http://www.samsung.com/us/aboutsamsung/samsung_electronics/management/
Samsung Corp. (2015.). Samsung’s History. Retrieved from
http://www.samsung.com/us/aboutsamsung/corporateprofile/history05.html
Samsung Electronics Co., Ltd. (2014, December 31). Year 2014 Audited Financial Statement.
Retrieved from
http://www.samsung.com/us/aboutsamsung/investor_relations/financial_information/
downloads/2014/2014_con_quarter04_all.pdf
Samsung Mobile. (2015, March 1). Samsung Galaxy S6 and S6 Edge - Official Introduction.
[Video post]. YouTube. Retrieved from https://www.youtube.com/watch?
v=CnYtWWDor2s
SIS International Research. (n.d.) About us. Retrieved from
http://www.sismarketresearchasia.com/about-us/
Social Mention. (2015). About Social Mention. Retrieved from http://socialmention.com/about/
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Temkin, J. (n.d.). How focus groups work. Retrieved from
http://money.howstuffworks.com/business-communications/how-focus-groups-work.htm
Virginia University Online. (2015). IMC 611, Lesson 8, Data processing & statistical analysis.
Retrieved from
https://ecampus.wvu.edu/webapps/blackboard/execute/displayLearningUnit?
course_id=_33585_1&content_id=_1772488_1&framesetWrapped=true
Yonhap. (2015, April 22). Galaxy S6 smartphones suffer weaker than expected sales in S. Korea.
Retrieved from
http://english.yonhapnews.co.kr/business/2015/04/22/85/0503000000AEN201504220045
00320F.html
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38
9.0 APPENDICES
APPENDIX A
Graphical view of how many days it took Samsung to sell each respective Galaxy S model smartphones.
(photo credit, BB, 2014)
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APPENDIX B
Finalized Administered Online Survey with Instructions.
Survey Instructions to Participants
Welcome to our Survey Corner sponsored by Samsung Electronics. We appreciate your time and
know that your opinion(s) is very important to us. Upon completion of your survey, you will
receive a $50 Amazon gift certificate that will be emailed to you within 48 hours.
Please give your honest opinion as there is no right or wrong answer. Please do you not use your
back or forward browser buttons.
You received a 6-digit code either via special email invitation or via pre-interview sign-up at
with one of our representatives. This code is not transferable and can only be used by the
participant whose email address we have on file.
Please enter your 6-digit code:
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Survey
Demographic questions:
1. Gender
Male (남자)Female (여자)
2. Age (나이)
15-2122-3435-4242-51Over 51
3. Occupation
Student (학생) Homemaker (주부)White Collar (화이트 칼라)Blue Collar (파란 칼라)Prefer not to AnswerOther, please specify ___________________
4. Income Level (Yearly)
Less than 20,000,000 KRW
20,000,000 – 30,000,000 KRW
30,000,000 – 40,000,000 KRW
40,000,000 – 50,000,000 KRW
Over 50,000,000 KRW
5. Where do you access the internet? (Multiple selections are allowed.)
Home
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SchoolWorkLibraryOther, please specify ___________________
6. Do you own a smartphone or other mobile device?
YesNo
7. What is the model? (System will screen for Galaxy owners versus non-owners in answers chosen. Non-owners will continue in order, while owners will be transferred to question 21.)Samsung Galaxy S6
Samsung Galaxy S6 Edge
Apple iPhone 6
Apple iPhone 6 Plus
LG G4
Other, Please specify _______________________
*If anything other than the new Galaxy S series phones are chosen, system will direct survey participants to this section.*
8. How often do you use your mobile device per day?
Less than 1 hour
1-2 hours
3-4 hours
More than 4 hours
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You will now be shown the video introducing the Samsung Galaxy S6 and S6 Edge smartphones. Please wait for the video to fully load before proceeding to the next question.
9.
(Video credit,
Samsung, 2015)
What is the first word that comes to mind after viewing this presentation?
10. Why?
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11. You will now view the introduction for the Apple iPhone 6 and iPhone 6 Plus. Again please wait for the video to fully load before proceeding to the next question.
(Video credit,
Apple, 2014)
What is the first word that comes to mind after viewing this presentation?
12. Why?
13. After viewing this video, do you feel that the physical appearance of the Galaxy phones are a copy of the iPhones? Why or why not?
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14. Rate the following new features of the Samsung Galaxy S6 & S6 Edge? Rate from 1 to 5 where 1 = Poor, 2 = Below Average, 3 = Average, 4 = Above Average & 5 = ExcellentApple iPhone
Wireless charging (30 minutes to charge the phone to get 12 hours of battery life)
1 2 3 4 5
5.1 inch Screen Size
1 2 3 4 5
Samsung Pay
1 2 3 4 5
15. Of the features listed above, which feature do you like the most?
Wireless charging (30 minutes to charge the phone to get 12 hours of battery life)
5.1 inch screen
Samsung Pay
Other, please specify ________________
16. Which of the following features that have been removed from the Galaxy S6 series phones should be brought back with the S7 series?
Micro sd memory slot
Removable batteries
Dust-proof
Water-proof
Other, please specify _________________
17. Why?
18. The phones are priced at $599 (Galaxy S6) and $699 (Galaxy S6 Edge). Is this price?
Above Average
Average
Below Average
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19. How likely are you to purchase one of the Galaxy S6 series phones in the next 6 months? (Interval measurement scale)
Definitely will purchase
Probably will purchase
Undecided
Probably will not purchase
Definitely will not purchase
20. If you have not made a decision to purchase and/or stated you will not purchase, what can Samsung do to convince you otherwise? In other words, what do you need to see and/or be provided with in features to make the switch to Samsung? (The system will now re-direct the participant to final wrap-up questions that all participants will answer. Question # 31)
*If one of the new Galaxy S series phones is chosen in the initial screening questions, survey the system will direct survey participants to this section.*
21. How often do you use your mobile device per day?
Less than 1 hour
1-2 hours
3-4 hours
More than 4 hours
22. What is your current level of satisfaction with your new Samsung phone?
Highly Satisfied
Satisfied
Neutral
Disappointed
Highly Disappointed
23. Have you experienced any problems with your new phone?
Yes
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No
24. If yes, please describe the problems experienced below. (System will know which
question to direct participant to via selected answer from above. If no is selected, then the
system will skip this question and move on.)
25. How would you rate the level of customer service you received? Rate from 1 to 5 where
1 = Very Poor Service and 5 = Excellent Service
1 2 3 4 5
26. How would you rate the expertise/knowledge of the customer service representative in
handling your problem? Rate from 1 to 5 where 1=Less than knowledgeable and
5=Extremely knowledgeable
1 2 3 4 5
27. Would you like a representative to contact you for further discussions on problems
experienced? (If yes is selected by participant, the system will flag the participant as one
that will will need follow-up questioning to resolve any issues.)
28. Rate the following new features of the Samsung Galaxy S6 & S6 Edge? Rate from 1 to 5 where 1 = Poor, 2 = Below Average, 3 = Average, 4 = Above Average & 5 = Excellent
Wireless charging (30 minutes to charge the phone to get 12 hours of battery life)
1 2 3 4 5
5.1 inch Screen Size
1 2 3 4 5
Samsung Pay
1 2 3 4 5
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29. Of the features listed above, which feature do you like the most?
Wireless charging (30 minutes to charge the phone to get 12 hours of battery life)
5.1 inch screen
Samsung Pay
Other, please specify ________________
30. Which of the following features that have been removed from the Galaxy S6 series phones should be brought back with the S7 series? (More than 1 answer allowed.)
Micro sd memory slot
Removable batteries
Dust-proof
Water-proof
Other, please specify _________________
31. Why?
*This portion is for all survey respondents.*
32. Now we have some final questions to conclude our study. Which social network do you currently hold membership? (Check all that apply)
FacebookInstagramLinkedInTwitterPinterestKakaoTalkOther, please specify ______________________________________
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33. How many members are currently in your household?
1
2
3
4
More than 4
34. How long did it take to complete this survey?
20 minutes
25 minutes
30 minutes
More than 30 minutes
35. If invited to this type of survey again in the future, how willing would you be to accept and complete another survey?
Definitely will complete
Probably will complete
Undecided
Probably will not complete
Definitely will not complete
This concludes your participation in today’s survey on Samsung Electronics introduction of the Galaxy S6 and S6 Edge phones. We thank you for your time today and as promised, you will receive, via email a $50 Amazon e-gift card as a token of our appreciation. For those who requested additional communications, your email will be passed to a Samsung representative who will follow-up with you within 24 hours of receiving said information and/or the next business day depending on when survey is taken and submitted.
THANK YOU! 감사합니다!
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APPENDIX C
Interviewer Instructions
Samsung Electronics has introduced their new flagship series of smartphones, the Galaxy S6 and
Galaxy S6 Edge in April 2015. You are tasked with signing up individuals to take a survey
online. The link to the survey is as follows: www.survey.com/Samsung/S6/S6edge/kr. Instruct
participants that upon full completion of the survey, they will be eligible for an e-gift certificate
of $50 that will be emailed to them within 48 hours. Further information will be given in the
instructions supplied to the participants online. Upon signing up the individuals for survey
participation, remember to supply them with the special 6 digit code that is randomly generated
from entry submission on your tablet and/or smartphone device or laptop. This is to prevent users
from making multiple submissions just to receive gift certificates. We will already have their
email address in the system and by entering the code that is mapped to their email, it again
eliminates duplicity.
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