many analysts had predicted huge losses for Samsung, after the case of the Galaxy Note 7, where the Korean giant had to recall a good part of the models sold. Finally, Samsung is holding up well.
As we have pointed out earlier, the battery issues account for less than 0.1 % of the entire volume sold, but there is no doubt that this global recall cache of the worries of production are more important for Samsung. The Galaxy Note 7, launched at the end of August, had yet been greeted by positive reviews, including ours.
Unfortunately, to accelerate the placing on the market of its product, Samsung has appealed to its entity Samsung SDI, which produced the batteries for 70 % of the copies of the Galaxy Note 7. The rest of the batteries has been produced by the chinese manufacturer ATL, which has already produced the batteries for the Galaxy S7. Previously, Samsung had been working with ATL and LG Chemicals, for the Samsung Galaxy S6 for example.
A high stock market valuation
after the global recall, difficult to estimate the consequences for Samsung. The side of the recovery, Samsung resistant. Samsung brand Galaxy has retained its first place in the list of the top 100 brands in korea.
More importantly, Samsung has managed to resist in the face of Apple, despite the launch of the iPhone 7, Apple’s highly anticipated. Samsung has put the Galaxy S7, in a campaign of pub already in sight, and took the opportunity to lower the price.
An image tarnished
The launch of Samsung was marked by the explosion of the batteries, which had a strong echo in the press, on social networks and in enterprises. Air France and dozens of other companies have communicated extensively on the problems of Samsung. Despite a quick response from Samsung, the recall took more than two weeks to organize.
the tone of The message of September 2, minimized at first much too the reminder. Samsung has hammered that there had been ” a small amount of reported incidents “, and that it had ” identified the apparatus issues and that the company had stopped the sale of these devices “.
This was not until 9 September that the company has taken a tone a little more firm, but only after the US Consumer Product Safety Commission had issued a press release urging users to ” stop using the Samsung Galaxy Note 7 “. In France the communication was longer, the release party around mid-September, during this time, only half of the products had been recalled in the United States.
To read on FrAndroid : Samsung Galaxy Note 7 explosives : the case continues
A broader problem
The biggest problem, however, could be more long term. The crisis will necessarily calm down, and Samsung will continue to produce excellent products. But when consumers will buy a smartphone, the Galaxy Note 7 that explodes will stay in people’s minds.
one of The strengths of Samsung, it is that many people to buy its products by default, as others choose only Apple products, no questions asked. For some, the Galaxy brand is almost a synonym for Android. It is that confidence, which could erode. It is this which could ensure that a customer in a store will decide to go take a look a little more attentive to other smartphones. And maybe this customer will walk away with an Apple, Huawei, Lenovo or a Sony.
In the meantime, the new launch of the Samsung Galaxy Note 7 in Europe is scheduled for the month of October.
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