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Samsung seeks alternative US Apple approach

01 Jul 13

With dwindling sales across America, Samsung's struggle to gain traction in the US tablet market has led to a change of approach from the South Korean company.

Despite enjoying the lion's share of both the smartphone and tablet market across the world, Apple's biggest rival has yet to crack America with consumer tablets.

Aiming to achieve 33 million global tablet sales this year, a rise of US$15 million from 2012, Samsung's inability to topple Apple has led to calls of concern from the company's senior management.

Speaking to the Korea Times, one Samsung source admitted the company is seeking an alternative approach in the US market.

“Samsung’s tablet share in the U.S. is hovering around 13 percent, well below Apple’s 50 percent.

"Our technicians and management are now trying to come up with a different approach."

Forbes is speculating that the different approach is based partly around higher quality Windows tablets, which the company will stand alongside its own Galaxy and Note brands.

After securing a deal with Microsoft, Telefonica told CNET: “An associate partner such as Microsoft is chosen as a result of its operator-focused business approach.

"The Microsoft business culture is based on a model of value creation through its partners’ associates, which fits in perfectly with our culture and also with our way of doing business.”

Good content

Samsung however acknowledges that Windows tablets are not exactly flying off the shelves, and with an apparent lack of "good content" on Android devices in the US, the company is struggling to keep up with Apple.

"The problem it perceives is a lack of good content that will let Samsung compete with Apple in the US," Forbes reports.

"In South East Asian markets, it has opted for a game-centric platform with its smartphones, having launched a games social networking hub that draws people into the Samsung world.

"While Android gives it content, the revenues go to Google GOOG +0.32% but, as yet, Samsung has no convincing platform strategy in the west to replace Android.

"In the meantime Google is shaping up as a hardware vendor."

While sourcing "good content" in the US is a problem for Samsung, most believe the electronics giant needs a new game plan and a "deeper brand" to make Apple sit up and take notice. Question is, which product it is?

Why has Samsung so far failed to crack the US tablet market? Is it simply American loyalty to Apple? Tell us your thoughts below

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