Based on the sum and analysis via the various components of brand valuation, we have determined (albeit conservatively), that the brand of Samsung in the Malaysian market to be RM1.06 billion. This is arrived by using Interbrand’s brand valuation model to arrived on an informed point of view, where we have adopted a particular methodological lens at a specific point in time.

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We are aware that there is no one approach that is agreed upon by everyone in determining brand equity and that Interbrand’s method may use oversimplified assumptions, which may not take into account the legacy of a half a centenarian old incumbent vs a young agile tech enterprise that serves the same market.

Such oversimplified assumptions also includes the following:

• Constant Discount Rate – this would be affected if there would be incidences of recession(s) or new upstarts

• Constancy of Target segments – even within a Target Segment, you will find varying technological capacities vs conservatism. 

• Constancy of the Brand Index – even within a Target Segment, there would be various sub-segment that is not consistent with a constant Brand Index.

• Fixed annual growth across 5 years – this would be affected if the issues as set out in item 1 occurs.

• Accounts for 5 years of earnings only – a Brand technically would be able to live forever – and this Interbrand valuation method will not account for anything beyond 5 years of earnings.

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Additionally, the Interbrand valuation model does not consider a Brand with multiple product offerings vs only 1 or a limited scope of device offering where we need to set other assumptions with regards to Role of Brand and Brand Strength. With the sustained internationalization of the Korean wave (which includes K-Pop and media and entertainment content) in addition to Samsung multiple product offering, we are unable to encapsulate these multiple factors that provide for synergies with Samsung brand of mobile devices. We have derived the estimations from various secondary resources (see our references), and qualitative and quantitative methods that we have conducted in the past few days.

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It is of no doubt that Samsung slightly trails behind Apple in terms of brand awareness in Malaysia, however it takes the biggest market share in the mobile device market space in the federation. To enable Samsung to retain its dominant position in the market, we will devise strategies to sustain Samsung’s perceived price as equalized with its perceived quality, make it trendy and relevant again amongst all its customer segments, and maintain its brand resonance. By doing so, we are confident that these measures will help cement Samsung’s brand value in the smart phone industry as the consistent and indisputable market leader.