Samsung’s ad budget exploded past Apple and the rest of the field in 2012
We have been hearing much about Samsung’s advertising efforts in recent months including its efforts crafting the now well-known ad campaign mocking iPhone line sitters, to some of the companies recent marketing tactics used to target iPhone users. Last night The Wall Street Journal published a new piece outlining Samsung’s increasingly aggressive advertising thanks to new data from research firm Kantar Media. According to the report, Samsung passed Apple in 2012 for ad spending by around $68M in the US:
Outspent by rival Apple Inc. more than three to one in advertising for mobile phones in the U.S. in 2011, Samsung responded with a marketing blitz on TV, billboards, the Internet and print media that moved the Korean company into the pole position last year… In 2012, Samsung spent $401 million advertising its phones in the U.S. to Apple’s $333 million, according to ad research and consulting firm Kantar Media.
Apple spent more than three times Samsung on marketing its mobile devices in 2011. If a slew of recent media reports is any indication, including one from Apple’s own former ad man Ken Segall, many seem to think Apple is losing its advertising momentum to Samsung.
The Wall Street Journal added that executives at carriers said Samsung “also spends more on “below the line” marketing than any device maker. Those funds help pay for in-store advertising, promotions and training for carrier sales representatives that help close the sale.”
To put the spending in perspective for the global smartphone market, Tech/telco analyst Benedict Evans noted the figures above account for around 10% of Samsung global ad budget compared to 1/3 of Apple’s, which also somewhat reflects sales proportions.