Samsung: “We’ll kill the iPod too!”
Yet again, another company plans to kill the iPod:
“What’s the difference between how they have gone to market and how we have gone to market? It’s real simple. They spent $165 million last year to advertise Apple MP3 products. We spent $1 million,” Weedfald said. “We are going to break the code. In 2006, we are going to over-invest in advertising and marketing around these really hot, new digital video and digital audio products, and we will spend tens of millions of dollars.”
Overinvest in advertising and marketing? The best part of the iPod is the buzz?
Oh wait, it gets better. How does Samsung plan to do what everyone else has tried in the past 5 years and succeed?
In North America, Samsung will launch more than 180 new products or upgrades to existing products, according to Weedfald. For over a year, it has released a new cell phone in North America every two weeks, he said.
“The moniker we want to be known for is as a jaunty, flinty, spirited technology leader,” he said. “The way you have to do that is continue to come out with technology breakthroughs.”
Many of the company’s music players will sport dual functionality. The Helix and Nexus MP3 players, unfurled at CES, come with an integrated XM satellite radio receiver. The devices took about four and half months to concoct from conception to final product, Weedfald said.
Other products will combine a portable TV with a music player.
Samsung will also try to jumpstart the portable video market this year. Some portable video devices will be primarily video players, while others will be phones or MP3 players first.
So they’re going to throw a barrage of products, repeatedly, with a bunch of semi-complete features (that’s been the history of these “multi-function” devices, and I see no reason to think that Samsung will pursue a different path, especially considering their jack-of-all-trades phones) that won’t entice people.
Great strategy, guys!
If Samsung thinks they can beat Apple in their market by producing multifunction devices that are outdated two weeks after people buy them and running the company into bankruptcy while advertising the hell out of them, one thing’s for sure. We won’t see a whole lot of Samsung MP3 players on people’s hips come this spring.
I believe I addressed something like this in my last post about some other iPod killer:
Companies are throwing so much crap out there and updating them so fast that it turns people off. Players from iRiver, Samsung, Toshiba, and Creative are exchanged out of store showcases so fast people don’t even want them. In fact, give yourself a little test. Walk into Best Buy (I hate it but it’s to make a point) and look at the variations other manufacturers are offering.
Wait a month.
Go back into Best Buy and look at what they’re offering.
If they have no confidence in their offerings, why should consumers?
I think Samsung just went a long way toward proving exactly what I was saying.
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