Brand Positioning &

Comparative Analysis of
LG Products vis - à - vis the
Market Competitors

Presented By:
Nikhil Kumar Dhakha
081092
FMG XVII
 Company Profile

 Established in 1997, LG Electronics

India Pvt. Ltd., is a wholly owned
subsidiary of LG Electronics, South
Korea.
 Impressive portfolio - Consumer
Electronics, Home Appliances, GSM
mobile phones and IT products.
 Manufacturing facility at Greater Noida.
 LG has been able to craft out in ten
years, a premium brand positioning in
the Indian market and is today the
most preferred brand in the segment.
 Project Objective
 To determine the positioning of LG
Products in the consumers’ mind


 To determine the factors affecting

purchase decision.


 To carry out the comparative analysis

to find out the closest competitors


 Providing LG with valuable insights

from the market helping it in further
strategy formulation.


Scope of Research
Methodology
Data Analysis

Segment: Mobile Phones

Brand Awareness & Market
Share
 Market Leader: Nokia

 LG has a pie of 6%

 Close competitor of

Samsung & Apple

Mobile Phones

Segment: Mobile Phones

Brand Awareness & Market
Share
 Market Leader: Nokia

 Ad Recall of 97%

 High Popularity

Mobile Phones

Segment: Mobile Phones

Brand Awareness & Market
Share
 Second Leader: Sony
Ericsson

 Has a share of 17%

 Over 88% Ad Recall

Mobile Phones
 Popular in specific user
segments

Segment: Mobile Phones

Brand Awareness & Market
Share
Emerging Player

Has a share of 6%

Close competitor of LG

& Apple
Mobile Phones

Segment: Mobile Phones

Brand Awareness & Market
Share
 Emerging Player

 Has a share of 6%

 Close competitor of

Samsung & Apple

Mobile Phones

Segment: Mobile Phones

Attributes affecting Purchase
Decision

Segment: Mobile Phones

Brands Evaluation Chart

Segment: Mobile Phones

Brands Evaluation Chart
Image Profile Analysis
 Nokia- Closest to
the Ideal
Product


 Sony Ericsson gets

the Second
preference


 Samsung & LG get

similar user
perception

Segment: Mobile Phones

 Wilks' Lambda

SPSS Output
Test of Wilks' Lambda Sig.
Function(s)

1 through 2 .226 .000

2 .616 .000

Structure Matrix
Standardized Canonical Discriminant Function Coefficients
Function
1 2
Function Sound Quality .340* .282
1 2 Camera Quality .224* .182
Business Utility .017 .581*
Looks 1.524 -.750
Connectivity Options .070 .548*
ASS -2.543 -1.457
User Interface .078 .515*
User Interface .045 .017
Battery Life -.039 .514*
Battery Life -1.350 1.236 ASS -.006 .324*
Camera Quality -.529 -1.681 Looks .239 .254*
Sound Quality 1.976 1.613 Pooled within-groups correlations between discriminating variables
and standardized canonical discriminant functions
Business Utility 1.207 1.131 Variables ordered by absolute size of correlation within function.

Connectivity Options -.103 .388

Segment: Mobile Phones

SPSS Output

Segment: Mobile Phones

SPSS Output
Classification Resultsa

Brand Predicted Group Membership Total

1 2 3

Original Count 1 48 2 0 50

2 14 36 0 50

3 12 2 36 50

% 1 96.0 4.0 .0 100.0

2 28.0 72.0 .0 100.0

3 24.0 4.0 72.0 100.0

a. 80.0% of original grouped cases correctly classified.

Segment: Mobile Phones

Perceptual Map
 Conclusions- Mobile Phones

 Nokia is the market leader, followed by

Sony Ericsson


 LG is an emerging player


 Direct competition with Samsung, owing

to similar user perception

Data Analysis

Segment: Refrigerators
 Brand Awareness & Market
Share
 Market Leader- LG


 Godrej- Second most

popular brand


 Samsung & Whirlpool

lag behind

Refrigerators

Segment: Refrigerators
Image Profile Analysis
 LG- Closest to the
Ideal Product


 Whirlpool gets the

Second
preference


 Unstructured
positioning
pattern for
other players

Segment: Refrigerators
Perceptual Map
 Conclusions- Refrigerators

 LG is the dominant player in the

market

 Other Players have a segmented

market share

 Unstructured Positioning of all

Data Analysis

Segment: Air Conditioners

Brand Awareness & Market
Share
 Market Leader- LG


 Voltas- Second most

popular brand


 Samsung commands the

third position

Air Conditioners

Segment: Air Conditioners

Image Profile Analysis
 LG- Closest to the
Ideal Product


 Unstructured
positioning
pattern for
other players


Segment: Air Conditioners

Perceptual Map

Segment: Air Conditioners

 Conclusions- Air Conditioners

 LG is the dominant player in the market



 Closer user perception shared with

Voltas
 LG rated low on Technological aspects
like Noise Levels


 Hitachi was positioned high for

producing low Noise Levels.


Data Analysis

Segment: LCD Televisions

Brand Awareness & Market
Share
 Market Leader- Sony


 LG and Samsung close

competitors


 Philips has a small

market share

LCD TV

Segment: LCD Televisions

Image Profile Analysis
 Sony- Closest to
the Ideal
Product


 LG and Samsung
have very
similar user
perceptions
 Videocon has a
declining market
share
 Segment: LCD Televisions
Perceptual Map

Segment: Air Conditioners

 Conclusions- LCD Television

 Sony is the Market Leader in LCD

TV segment.

 Samsung – LG, very similar user
perception, directly competing
with each other. 



 Recommendation

 Similar User perception needed to be carried on,
in the Refrigerator & AC Segments.

 LG needs to upgrade itself on technologies like
Noise Level reduction, Power Consumption in
the AC segment.

 Innovations to be brought into the products in
the Mobile Phone market, improving attributes
like Battery Life, Camera Quality etc.

  LG needs to bring in better strategies &
technology to overtake the closest competitor
Samsung in the LCD TV market.
 Limitations

 Sample Population- Delhi/NCR, covering

narrow segment of total users


 The sample size of 50 unable to cover

the representative opinions of all
users


 Only four competing brands in every

product category chosen


 Attributes chosen to study the

perception not exhaustive
 Future Scope

 Discriminant analysis for more than 3

brands in each category can be
performed

 Attributes can be increased in each
product category

 Non attributes based analysis can also
be included  compared with
discriminant analysis. 
 References
 Sengupta S , Strategies for competitive advantage , Tata
McGraw-Hill Publishing Company Limited, New Delhi ,
2003


 Boyd, Harper W., Marketing Research : Text and Cases ,

McGraw-Hill Education,2005
 

 Nargundkar R, Marketing Research: Text and Cases , Tata

McGraw-Hill Publishing Company Limited, New Delhi,
2005
 

 http://wikipedia.org
 

 http:/gsmarena.com
 

 http://my3q.com

Thank You