INTRODUCTION TO LG

LG Electronics India Pvt Ltd,a subsidiary of LG Electronics, SOUTH KOREA. It was established in january1997.

Started second GREENFEILD manufacturing unit in Pune,Maharashtra in 2004.

LG Indian operations started manufacturing LCD TV, GSM Phones, Color Televisions, Air Conditioners, Refrigerators, Microwave Ovens and Color Monitors.

Able to craft out in 10 years, a premium brand positioning in Indian market and today the most preferred brand in the Indian market.

VISION OF LG

PRODUCTS OF LGBusiness

areasProducts

Consumer Electronics

LCD TV , Plasma Display , Display Panel, Color Television, Home Theatre System, Music system, DVD Recorder/Player, MP3 & MP4 Player

Home Appliances Room Air Conditioner, Commercial Air Conditioner , Refrigerator, Washing Machine, Dishwasher, Microwave, Vacuum Cleaner

Computer Products

Laptop, Personal Computer, LCD monitor, CRT monitor, Optical Storage Devices

Mobile Phone Premium trend setter phone , Camera Phone , Music Phone , Color Screen GSM Handset

LG Slogan

" LIFE'S GOOD"

REPRESENTS LG's determination to provide delightfully smart products that will make your life good.

– Expresses the brand's values, promises, benefits and personality. It is an ultimate expression for what the brand stands for and what we strive to deliver continuously.

– LG's delightfully smart products will make your life good.

Market SegmentationLG has segmented the market on the basis of the

following :

1.Demographic

- Income

- Occupation

2.Geographic

- Tier 1 class

- Tier 2 class

3.Psychrographic

- Life style

- Personality

4.Behavioural

- Value

- Benefit sought

Targeting

LG has targeted the market on the basis of the product that they are offering to the customer.

They are targeting

- Upper class segment

- Upper end

They are targeting to those consumer who are more concern of the life style product.

The product is more of upper middle class and premium segment.

Target audience are those consumers who want quality product as the best.

Targeting

They have LCD and Plasma television and the TV DIOS refrigerator for the premium segment.

They are also targeting those consumer who are concern of safety and health issues.

LG is now going to shift over to middle class segment and want to mass market their product.

SWOT Analysis

Strength

- Market leader in home appliances segment

- Manufacturing unit in tax incentives areas.

- Wide range of product categories to tap the consumer of middle class, upper middle class

and high class.

- LG having the widest distribution network in the industry (47 branches,175 area offices and

over 10,000 trade partners).

- Shifting to the rural market.

Weakness

- Consumer compare LG products only with Samsung and not with any other brand.

SWOT ANALYSIS

Opportunity

- Shifting to rural market

- Control over the white goods market, as we know the highest market share in home

appliance market.

Threat

-The closet competitor of LG ,Samsung is also from South Korea and consumers LG

product with Samsung products

- Price war with its closest competitors, Samsung

- Competitors from Indian brands and from new entrants

Competitors Of LG

Competitive Analysis

• Market Share

Competitive Analysis

The market share and data shows that Samsung is the main competitors of LG electronics in India.

The target audience of both companies are same.

Product category are more or less same.

Close fight between the two companies.

Price war with its closest competitors, Samsung

Television Market share

4 P’s

LG LCD TV Samsung LCD TV

LG 26 LC7R LCD TV - 28200/- Samsung LA22A450C1 LCD TV – 24,000/-

LG 32LC7R LCD TV - 39,500/- Samsung LA32A330J1 LCD TV – 41,500/-

LG 32LG60UR Scarlet LCD TV - 51,500/- Samsung LA32A450C1 LCD TV – 46,500/-

LG 37LC7R LCD TV - 59,400/- Samsung LA32A550P1 LCD TV – 52,500/-

LG 42LC7R LCD TV - 68,000/- Samsung LA37A450C1 LCD TV – 62,400/-

LG 42LB9R LCD TV - 74,500/- Samsung LA32A650A1 LCD TV – 67,500/-

LG XCanvas Time Machine 42LC2RR LCD TV - 88,500/- Samsung LA37A550P1 LCD TV – 72,800/-

LG 42LG60FR Scarlet LCD TV - 92,000/- Samsung LA40A330J1 LCD TV – 75,400/-

LG 47LB9R LCD TV - 1,27,000/- Samsung LA40A450C1 LCD TV – 83,400/-

LG 47LG60FR Scarlet LCD TV - 1,48,000/- Samsung LA40A550P1 LCD TV – 99,000/-

  Samsung LA40A610 LCD TV – 117,400/-

  Samsung LA40A650A1 LCD TV – 148,000/-

  Samsung LA46A550P1 LCD TV – 1,27,500/-

  Samsung LA46A610 LCD TV – 1,48,500/-

  Samsung LA46A650A1 LCD TV – 1,98,500/-

  Samsung LA52A650A1 LCD TV – 2,99,000/-

LG Plasma TV Samsung Plasma TV

LG PC-5 Plasma TV 32PC5RA  - 34,000/- Samsung PS42A410C1 Plasma TV - 64,000/-

LG PG-21 Plasma TV 59PG21UR - 59,000/- Samsung PS42A450P1 Plasma TV - 68,000/-

LG PG-61 Plasma TV 42PG61UR - 64,000/- Samsung PS42C91H Plasma TV - 80,000/-

LG PG-21 Plasma TV 50PG21UR - 1,24,000/- Samsung PS42Q91H Plasma TV  - 90,000/-

LG PG-61 Plasma TV 50PG61UR - 1,34,000/- Samsung PS50A450P1 Plasma TV  - 1,30,000/-

LG PG-21 Plasma TV 60PY3RF - 4,60,000/- Samsung PS50A550S1 Plasma TV  - 1,40,000/-

  Samsung PS50Q91H Plasma TV - 1,70,000/-

  Samsung PS-63P71FH Plasma TV  - 4,45,000/-

LG Ultra slim TV Price List Samsung Ultra slim TV Price List

LG 29 inch Ultraslim Flat Screen TV Samsung 29 inch Ultraslimfit Flat Screen TV

29FU8VGE - 18,000/- CS29A730 - 19,000/-

29FU6RG - 18,000/- CS29Z40 - 15,000/-

29FU3AG -  17,000/- CS29Z50 -  16,000/-

29FD7AGE - 16,000 CS29Z57 - 17,000

29FU8RGE - 16,000/-  

LG 21 inch Ultra slim  TV Samsung 21 inch Ultra slim  TV

21FU8VGE - 10,500/- CS21A530 - 8,500/-

21FU6RG - 10,500/- CS21A551 - 8,500/-

21FU3AG - 10,300/- CS21A552 - 8,200/-

21FU8RGE - 9,000/- CS21A730 - 9,500/-

21FS4RGE - 8,200/- CS21Z43 - 9,000/-

21FD7BGE - 8,300/- CS21Z45 - 9,500/-

  CS21Z50 - 9,300/-

  CS21Z51 - 11,000/-

  CS21Z57 - 10,500/-

LG Flatron TV Price List Samsung Flat TV Price List

LG 29 inch Flatron TV Samsung 29 inch Flat TV

29FD5WGE - 18,500/- CS29A330 - 16,500/-

29FG3VGE - 17,200/- CS29K44 - 15,000/-

29FG2RVE -  15,000/- CS29M50 -  15,000/-

29FD5RGE - 15,000 CS29T40  - 19,000

29FG3RGE - 14,000/-  

LG 21 inch Flatron TV prices Samsung 21 inch Flat TV

21FD5WGE - 11,500/- CS21A330 - 9,500/-

21FC8VGE - 10,500/- CS21K45 - 7,500/-

21FA2VGE - 10,000/- CS21M40 - 8,000/-

21FD5RGE - 9,000/- CS21S8 - 10,000/-

21FE4RGE - 8,300/- CS21T13 - 12,300/-

21FG3RGE - 8,500/- CZ21K30 - 8,000/-

21FD2RGE - 8,000/- CZ21K44 - 8,000/-

21FD2RG - 8,200/- CZ21K50 - 8,400/-

21FE3BG - 8,100/- CZ21N30 - 7,400/-

21FA2AG - 8,000/-  

21FC2AB - 7,300/-  

21FJ6AB - 7,100/-  

Competitor Samsung Initially the strategy of Samsung in India

was to create premium image by emphasizing global brand.

After facing stiff competition from LG, Samsung also started playing price game.

In 2004 it reverted back to its premium positioning, although it resulted in some loss of market share.

In line with the Global Digital Initiative of the Parent Company, Samsung India is seeking to acquire digital leadership in India by introducing its digital ready televisions like the 40" LCD Projection TV, 43“ Projection TV and the Plano series of Flat Colour televisions.

LG v/s Samsung

Communication strategy of LG.

- Tag line “Life’s Good”.

- Brand ambassador “Abhishek Bachan”.

- LG positioned itself as an Indian brand. They are hitting the emotional attributes of Indian consumer

- The warmth and affection that a brand showers upon its target audience will be reciprocated.

LG v/s Samsung

For Television market they are using child, because child play the role of influencer in purchase of TV sets.

LG home appliances communication message is totally based on health message like “Golden eye technology” and “Intello”.

They want to position the brand as being young, vibrant and premium. So they picked Abhishek as he portrays Indian values.

Samsung v/s LG

Communication strategy of Samsung.

- Samsung the second market in home appliances in India.

- Brand communication message ”DigitAll Inspiration”.

- They positioned themselves as a brand which offers freshness and technology strong.

- Samsung in India signed seven cricket celebrities to cash the image and popularity of

cricket.

Samsung vs LG

In order to create brand awareness, they came up with Team Samsung India.

They want to tap their target audience by offering them fresh product.