Research firm claims 70% of Galaxy Note 7 owners will remain loyal to Samsung
posted by Cosmin V. / Oct 27, 2016, 5:29 AM
It appears that Samsung is fighting a fierce battle against customers who purchased the Galaxy Note 7 and have yet to return it following the second recall announcement.
Although the South Korean company kicked off numerous incentives in many countries, consumers who had to go through excessive bureaucracies to exchange their Galaxy Note 7 during the first recall are now afraid they will have to relive the same nightmare once again.
Unfortunately for these very loyal customers, Samsung has already found ways to prevent any Galaxy Note 7 from remaining in the hands of consumers by pushing a software update that will limit the battery charge to 60%.
After all the issues with the Galaxy Note 7, one would think that many customers who have bought the phone will give up Samsung as their favorite smartphone brand. Obviously, many have already decided to go for other flagships like Apple's iPhone 7, LG's V20 or even Google's Pixel XL.
However, a big chunk of Galaxy Note 7 owners will continue to remain loyal to Samsung. Research firm BayStreet says that the vast majority of those who purchased the Galaxy Note 7 will stay with Samsung and choose to replace the phablet with the Galaxy S7 or S7 edge.
According to BayStreet, only 15% of those who decided not to go with another Samsung smartphone will choose an iOS device, while the rest (15%) will remain with Android.
More importantly, those who remain loyal to Samsung even after the Galaxy Note 7 fiasco will continue to use the company's smartphones because of their quality and not necessarily because of the incentives they are offered when returning their Note 7 units.
This story is part of:The explosive Galaxy Note 7 saga (140 updates)
9 November Canadian couple abroad had to destroy their Note 7 phones to get home, files class action lawsuit against SamsungAlright, the Galaxy Note 7 fiasco is almost over. Samsung has recalled all of the units and issued a software update that limits active phones batteries to a 60% charge to incite people that haven't returned theirs yet to do so. On top of that, the company is posting apology after apology — a string, which culminated in a full-page remorseful letter to its customers, posted in some magazines yesterday.
8 November Samsung Canada will exchange Galaxy Note 7s, bought from a third-partyEver since the official recall of the Galaxy Note 7 was put into motion, there has been a particular group of buyers that wondered what will happen with their devices now. That is the portion of the users that bought the phablet off eBay, Swappa or similar unauthorized sites and resellers...
3 November Samsung promises to work hard towards regaining consumer trustThe Galaxy Note 7 saga is almost behind us (or at least we hope it is), but the aftermath of it is still very serious for Samsung. Not only did the tech giant lose enough money to make any CEO cringe, but it also felt serious repercussions on its brand image...
3 November Samsung promises to get rid of its Galaxy Note 7 stockpiles with minimal damage to the environmentSamsung says that it's reviewing ways of limiting the environmental impact caused by the Galaxy Note 7 discontinuation...
1 November Chinese customers outraged after Samsung execs kneeled to apologize for the Galaxy Note 7 fiascoIn return, Samsung held an event in a Chinese city where many of the local distributors were invited. Furthermore, in order to thank these retailers for their continuing support of the brand, all Samsung execs present at the event, as well as all other members of the staff kneeled on the stage in front of the audience...
- Display 5.7" 1440 x 2560 pixels
- Camera 12 MP / 5 MP front
- Processor Qualcomm Snapdragon 820, Quad-core, 2150 MHz
- Storage 64 GB + microSDXC
- Battery 3500 mAh
Posts: 42; Member since: Sep 22, 2016
So should we jump of a cliff , whether they remain loyal or not?
posted on Oct 27, 2016, 5:34 AM 3
Posts: 1408; Member since: Oct 24, 2016
Samsung haven't such loyal fans as Apple. Don't let be fooled. Simply out there is not Note replacement. No such device. Samsung owns the hardware(S Pen) and software patents, and ppl have nowhere to go. They would change not only the brand, but even the OS if some OEM offers them the Note functionality. The beauty of Note7 is also a factor, but not the main one.
posted on Oct 27, 2016, 5:48 PM 1
You say that as if brand loyalty is a bad thing. Samsung's numbers have been climbing in that regard, and that is exactly what they would want. You don't want to have to fight to keep existing customers every time you drop a new product.
posted on Oct 27, 2016, 11:35 PM 0
Posts: 240; Member since: May 04, 2016
I don't own Samsung phones since 2011 I think. Well, one mistake is still acceptable since Samsung devices had no problems back then. Getting Loyal consumers are what every companies aspire to have, it means that indeed they are delivering what is expected from the majority consumer or their devices is what their customers looking for. Kuddos to samsung
posted on Oct 27, 2016, 5:46 AM 15
Posts: 30966; Member since: Feb 05, 2011
That's cool, but that defecting 30% is gonna hurt like hell. Samsung needs to find the cause of this before releasing the 8, or they might lose even more. People wanna know, and not finding the cause, or even worse, knowing the cause and not telling us, is gonna hurt even more. The Galaxy brand is badly tarnished, and a lot is riding on Samsung handling of this issue. Chop chop Samsung
posted on Oct 27, 2016, 5:52 AM 8
Posts: 3231; Member since: Oct 03, 2015
I can hear Samsung groaning from a distance LOL. Pretty sure they're gonna step up their game on the next one.
posted on Oct 27, 2016, 5:56 AM 0
Posts: 5868; Member since: May 06, 2016
"The Galaxy brand is badly tarnished..." That begs to differ, as the percentage of those sticking with Samsung doesn't say that. Samsung lost 3% of it's market share in Q3 year-over-year, and that isn't a huge loss to warrant the "badly tarnished" phrase on it's Galaxy brand, no?
posted on Oct 27, 2016, 6:09 AM 12
Posts: 2340; Member since: Feb 14, 2011
The problem is that we don't know how many of the 70% staying and 30% leaving were sort-of fans of Samsung already. The reason I say this is because the majority of people who buy a device either as a pre-order or on launch day are more than likely already fans of the brand or the Note series (again note being majority which could be like 51%). I mean you don't normally see a lot of people who haven't owned an iPhone before lining up on launch day to get one (yes there are some that do, but again NOT a majority). So, if this 30% represents those who may have bought a Note before and are leaving the brand, then yes it does spell bad news. However, it's always possible for brands to have a comeback and I expect the next Note to bring a radical change in order to get customers back.
posted on Oct 27, 2016, 6:49 AM 1
Posts: 5868; Member since: May 06, 2016
Regarding your first paragraph, yep that's the problem, and since the number of already-fans of Samsung is unknown in the 70% sticking with Samsung and in the 30% ditch the Note7, I have to look at another metric, which is Samsung's market share. According to what has been reported by PA, Samsung's year-over-year market share dropped from 23% to 20% in Q3, due to the Note7 issue. A decline of 3% still isn't huge enough to warrant the "badly tarnish" phrase on it's Galaxy brand, no? As a badly tarnished brand implies something worse than a 3% loss: a major loss or meltdown. Don't get me wrong, the Galaxy brand is indeed affected - to a some extent, but no where near "badly" tarnished - no.
posted on Oct 27, 2016, 7:15 AM 4
Well, that depends. It takes time for the true extent of the fallout of an issue to become apparent. What their numbers are in Q4 will be more telling than what they've gotten now. 'If they're still holding around the 20%, if galaxy S7 sales start to pick up, and if their profits have not cratered like they have this past quarter then maybe they will be okay. If those trends worsen though, then it doesn't bode well for Samsung.November, December & January is when these companies will sell massive amounts of phones. That is part of the reason Apple holds their events later on in the year, to be closer to shopping season. And really, there is an even bigger question looming overhead. Even if a lot of those existing note 7 customers haven't gone to Apple, we don't know how many potential sales Samsung has lost. With all the extra scrutiny the galaxy S8 will be under, even one freak accident with a phone bursting into flames will pretty much screw their sales. And although this year they were pretty much unchallenged with the galaxy S7, who knows with the landscape will look like next year.
posted on Oct 27, 2016, 11:42 PM 0
Posts: 1168; Member since: Aug 23, 2012
30% of the number of note 7 phones sold isn't a massive amount
posted on Oct 27, 2016, 8:30 AM 0
Posts: 1408; Member since: Oct 24, 2016
@4. darkkjedii You first must think about the facts: 1, Neither Samsung, nor any US lab found anything wrong with Note7 yet. Many weeks doing even harder tests than any product on the US market. They couldn't understand why so much reports of Note7 on fire. How Samsung could hide something? 2, After the ban the 'fire' reports suddenly stopped. But still over million ppl use Note7( or scammers couldn't buy Note7 anymore to do the trick???) 3, After the Note7 ban, and reports and polls showing that most of the ppl instead to go for iPhone7 or Pixel(both US brands) go for GS7 or GS7Edge. And suddenly after more than 6 months with no problems, start to explode too.lol 4, US, China and Taiwan are countries with phone brands that they care about much. But they couldn't make phone like Note. Because Samsung owns the technology. Note line is not good for them. And most of the reports came from there.
posted on Oct 27, 2016, 5:14 PM 1
It was never that large of an issue to begin with in terms of sheer phones affected. It may be difficult to detect in lab testing if it is a defect that only affected a small number of devices. It may or may not be an issue with the design itself. If that is the case, it will take them quite a while to pinpoint exactly how that defect happened, and where along the line it became an issue. In other words, your argument is based on the false premise that because they can't replicate something in the lab that means it doesn't exist. Logical fallacy. Nor can we assume that just because some of the people that file a claim turned out to be liars, it means that everyone else is making it up too. That is definitely not a wise course of logic to follow. And lastly, every phone company has their products occasionally go up in flames. It happens. That doesn't mean they're always reported. Those incidents for Samsung had a lens focused on them so any and all fires received publicity that they may not have otherwise. The fact that those reports were getting more scrutiny now doesn't mean anything nefarious.
posted on Oct 27, 2016, 11:49 PM 0
Posts: 2305; Member since: Sep 11, 2014
And they call Apple lovers iSheep!!!! There is no need to invent a name for Samsung lovers. Stupid is the best one.
posted on Oct 27, 2016, 6:10 AM 1
Posts: 5029; Member since: Mar 30, 2015
IPhone explode they acuse not original charging cable and charger ( i keep on using cheap cable on all my android with cheap charger *got one in each room* and not one of my various phone ever heat up or explode. Samsung explode all media go on a rampage even if Samsung do the right thing by recalling them. As much as i dont like Samsung i feel there a bit of double standard there.. IPhone should not explode even using any third party charger because others phone dont explode using third party charger and cable. Cheap battery tend to explode when using not original made for thats battery charger. as NoToFanboys said stop being a hypocrite.
posted on Oct 27, 2016, 11:00 AM 5
There's a massive difference between a small handful of phones bursting into flames over a long period of time, and nearly 100 or so bursting in the flames in a manner of a few weeks. One of those is a freak accident, the other is a design or manufacturing flaw. LG, Apple, HTC, or any other company that is sold massive numbers of phones has occasionally had that happen. But none of that is anything like what just happened to Samsung.
posted on Oct 27, 2016, 11:55 PM 0
I'd stay with Samsung personally. Have been using their products in my daily life for the last 10 years. One issue wouldn't change my opinion
posted on Oct 27, 2016, 6:30 AM 11
Posts: 663; Member since: Aug 20, 2011
I dunno bout that carrying Samsung phone nowadays are like embarrassing. I can feel the discrimination. The stare I got when I was waiting for the recall then there's the second recall
posted on Oct 27, 2016, 8:11 AM 1
Send a warning to post author
Send a warning to Selected user.
The user has 0 warnings currently.
Next warning will result in ban!
Ban user and delete all posts
Message to PhoneArena moderator (optional):