The saying, “It takes money to make money” most certainly applies to Samsung. It turns out that the leader of Android spent about $401 million on advertising last year, which is even more than the $333 million that Apple spent on its campaigns. Researchers say that the huge increase in spending is necessary as it’s competing with Apple for the top spot in the smartphone market place.
In 2011, Samsung only spent $78 million on its advertisements, a number that was completely overshadowed by the $253 million spent by Apple. 2012, Samsung realized that it needed to step up its marketing efforts greatly in order to dominate the market place, so it went on a spending frenzy. It went all out with ads on TVs, billboards in major cities, and massive online advertisements. A good amount of its advertising money was also budgeted to create smear campaigns towards Apple.
2013, there is no doubt that Samsung will go even farther in its marketing efforts in order to make its Samsung Galaxy S IV device, as well its other line-up of smartphones, THE smartphones to buy. It purchased a highly coveted, and highly expensive ad slot during the Superbowl this year in order to appeal to the 114 million people watching the game. It’s set to announce the S IV tomorrow at Radio City Music Hall in New York, and you can expect the company to give the device 110% when it comes to marketing. Not that the S IV needs it because it’s already the most highly anticipated phone of the season, if not the year.
The amount of money Samsung and Apple spent on advertisement is enough to embarrass the other phone companies out there. HTC came in 3rd place, spending only a measly $46 million. Blackberry followed behind with only $35 million spent (but what were they really going to advertise?), and Nokia spent a laughable $13 million. HTC’s CEO Peter Chou has stated on numerous occasions that marketing was the reason why its brand did so terrible last year. This year, Chou plans on stepping up HTC’s marketing game, and the company will be going all in on its flagship device, the HTC One.
[via Wall Street Journal]