Samsung is reportedly reviewing its PR agency amid concerns over growth
Samsung has been facing daunting challenges in the mobile industry in the last couple of years. The company’s dominance in the smartphone market has been threatened by the aggressive expansion of many Chinese brands. Though Samsung is still the largest smartphone vendor in the world, growth has either stagnated or facing a decline in many parts of the world.
The company has already undertaken many measures to counter the slump in sales, but the results so far are nothing to write home about. According to a report, it appears Samsung Electronics has now decided to review the performance of its mobile division’s PR partner, Edelman. The Korean giant is also apparently inviting other agencies to pitch for the role.
New PR agency for Samsung Mobile?
Samsung Mobile shifted its business from Fleishman-Hillard to Edelman, which also handles the company’s corporate communications, nearly three years ago. The assignment was valued at $2 million at that time. As of now, it is not clear if this review exercise will result in a new PR agency for Samsung’s mobile business.
With the little information available to us currently, it is difficult to ascertain the precise motive behind this agency review. It is possible Samsung is looking to hear pitches from other agencies in search of new ideas to promote its products better in an increasingly competitive landscape. The review exercise could also be an attempt to cut costs either by renegotiating the contract with Edelman or by finding a new partner at a better price.
Many reasons are attributed to Samsung Mobile’s declining fortunes, but the primary culprit, according to many reports, seems to be the burgeoning Chinese brands. While an improved PR strategy might help a bit, it is doubtful it will have any significant impact on the sales of Samsung smartphones globally.