Samsung Triples Global Marketing Budget to $14 Billion for 2013
Published on: 28th Nov 2013
Note -- this news article is more than a year old.
Samsung is expected to spend around USD14 billion on advertising and marketing this year as the company's products continue to outsell rivals that sometimes get better product reviews but cant compete in marketing efforts.
The huge ad budget is three times larger than it spent in 2012.
However, despite the massive outlay, there is increasing doubt as to whether the company is spending the money as efficiently as it could.
"They are failing to efficiently bridge the gap between the aspiration and how consumers actually respond to the campaign. It's got to be more aligned." Oh Jung-suk, associate professor at the business school of Seoul National University told the Reuters news agency.
Samsung's marketing budget comes in at around 5.4% of its total revenues, as compared to another high profile ad buyer. Apple, which spent just 0.6% of its revenues.
In a statement to Reuters, Samsung said it will "continue to leverage our brand power to maintain growth momentum, while focusing on optimizing the efficiency of our marketing activities,"
On the web: Reuters