Blog

Samsung's stores missing a page from Apple's playbook

September 10, 2012 by Chris Petersen — Owner, IMS

My grueling travel schedule does not permit me to get out and see retail stores in Seoul. But since South Korea is the home of Samsung, I thought it would be appropriate to share observations on Samsung's new flagship "Experience Store" that just opened in Australia. In these days of billion dollar lawsuits, one must tread lightly when saying that Samsung "imitated" Apple ... but who aren't these days? However, "The Experience Store" by Samsung appears to be missing a few pages from the experience playbook on how to engage consumers to create a "sticky" experience.

There is no question that Samsung has become a powerhouse in consumer electronics. Samsung TVs are now world class and rival Sony's. The Samsung Galaxy brand has become popular worldwide for smartphones and tablets. And, the sleek, light Samsung ultra-books have led the way in the new age notebook computers.

Like many others manufacturers, Samsung has no doubt become frustrated with Apple's success. They are also frustrated by many retailers' inability to provide a quality consumer experience with their best touch products. While the headlines are filled with news of lawsuits and counter suits between Samsung and Apple, the real war is on the front line to win today's demanding consumers. To that end, Samsung has been opening its own stores, including their most recent Experience Store in Sydney.

The day I visited was a preopening, only for dignitaries. Apparently the Retail University Professor's name was not on the bouncer's list. So, I was only able to peer through the glass windows from the street. And, there's lots of glass! The store front is all glass just like Apple, which has its flagship store just a stone's throw away. It was a highly entertaining and enlightening experience watching the fish bowl from the outside in.

According to a review by PCWorld, Samsung's focus is on creating an experience around touch and connectivity.

Samsung's Vice President of Telecommunications in Australia, Tyler McGee said the Experience Store was developed primarily for Australians to explore and interact with Samsung devices.

"The key word is experience," said McGee. "What we've done in this store is focus on how you can actually interact between our devices. So what we have here are obviously smartphones, we have our tablet range, but we also have our smart TV and smart cameras, along with our IT devices. It's all about how those devices work together, so consumers can come in here and experience that and learn how to use those devices together," he explained.

To call Samsung's Experience Store "Apple-like" is not fair, or accurate

Imitation is clearly flattery, and a sign of someone's success. In the case of imitating product design, the California courts have mostly ruled in Apple's favor. So, it is interesting to be in Korea this week and hear that the courts here are more evenly split on who copied who in terms of patents.

In terms of the Samsung Experience store in Sydney, it is clearly an open, clean design with neat tables. The Samsung tables are more "space age" and futuristic than Apple's icon maple tables. But clearly, the store format is an open design with a minimum of product and clutter. Not unlike the Microsoft stores and other retailers trying to emulate an environment to engage consumers. In this case, the Samsung store appears to be better than Apple at wirelessly connecting the "Three Screens": TV, mobile and computer.

The Samsung Experience Store with sleek tables looks more futuristic than an Apple store.

Samsung is missing pages from the consumer experience playbook

The thing that Apple stores have done is to raise the bar on what consumers expect in terms of interactive experience. They expect to be able to touch and pick up the machines. They can do that in Samsung's store, as well as play with the machines to see how they work. And, I have no doubt that highly trained Samsung staff will be there to "show and tell".

Here in lies the missing part of the formula ... providing a comfortable space to "touch and do." Through the Apple store experience, consumers expect to touch and do. To do that, you have to be able to put your stuff down in order to play. Look at the overhead photo of an Apple store table below ...

Look carefully at the people ... they are spread out. The lady has space to put her bag down. Apple carefully researched people's "comfort zone". If consumers have to literally stand elbow to elbow and touch, they are uncomfortable. If they have space and can put their stuff down, they tend to "stick" and play. The longer they play in an Apple store the more they buy.

Now, look at the new Samsung Experience Store. It is a beautiful store. Almost like a fine jewelry store or a museum. But, look at those display tables ... they are packed, especially the computer table. If the Samsung store generates even 20% of the traffic that the Apple store does just down the street, there is absolutely no way that consumers can comfortably experience the products, let alone stick around very long.

(Take notice of the computer display behind the woman.)

Samsung5Even in the mobile phones and tablet aisles, the products and merchandising take up so much space in the Samsung Experience Store that there is no place to put down your stuff. You would literally have to stand shoulder to shoulder in order to try out a mobile device.

Are consumers prepared to do that?

I have my opinions, Samsung has theirs, and you are entitled to yours. At the end of the day, it is the consumer experience that counts. And, consumers quickly vote by how long they stick around. The question is: is the Samsung store a branding exercise to show the breadth and quality of Samsung products, or is it a real retail store designed to generate a profit?

In the words of Samsung's VP Tyler McGee, the purpose of the Experience Store is: "so consumers can come in here and experience that and learn how to use those devices together."

If that is the objective, then my vote would be for experience and store design pioneered by Apple, over the cramped tables stuffed with product in Samsung stores. It wouldn't take long to watch consumer behavior to see what happens and how long they stick in each store.

In fact, it was a very proud Professor who was with a recent Retail University Grad who made exactly that observation when peering into the Samsung fishbowl. Even when there were just dignitaries in the store, they didn't stick very long at the tables when they had to rub shoulders with someone else.

About Chris Petersen

---

None

Connect with Chris: