Samsung spends more than Apple to sell the iPhone 7 thanks to the Galaxy Note 7 recall. Fee? About $1 billion.
Of course, Samsung isn’t spending a billion dollars directly to advertise the iPhone 7. Instead, he’s busy sending notifications to his customers to get them to turn off their Note 7, working with his partners to get the devices back, and answering questions about the following. why did dozens of Note 7 units explode? All of this is happening at the same time as Apple ships the new iPhone 7 and iPhone 7 Plus to customers.
Typing “Note 7” into Google’s search form automatically suggests users learn more about Note 7 recall and Note 7 replacement before showing the recommendation for Note 7 reviews.
Instead of telling Samsung.com visitors why they should get the Galaxy Note 7, there is a big announcement encouraging customers to join the replacement program.
Samsung isn’t the only company working to get people to stop using the Note 7. Major wireless companies like Best Buy, AT&T, Verizon, and T-Mobile are encouraging Note 7 customers to return devices by the end of the month.
How much would Apple pay for a marketing campaign where every airline in the country forced Samsung customers to turn off their phones and watch other passengers touch their iPhones throughout their flight? Of course, Apple couldn’t directly pay for something like this, but that’s exactly what’s happening right now.
The flight announcement for American airlines asked not everyone to use the Samsung Note 7 due to the problems experienced. Wow!
— Renuka Kirpalani (@Renuks) September 11, 2016
These announcements go beyond the podium and spread all over social media. American Airlines is one such airline that specifically calls the Note 7.
twice this morning @Delta flight crew instructed passengers @Samsung mobile Not using or charging the Note 7 in flight. #BadPR
— Cory Harpin (@coryharpin) 15 September 2016
Delta Airlines is another airline that tells all its passengers to use the Note 7 on board.
On my Southwest flight yesterday, the flight attendant told anyone who owns a Galaxy Note 7 to keep them away during the flight, which is “in the news”.
— Jose Gutierrez (@fbjag) 15 September 2016
Southwest airlines are also involved.
“Liebe Passagiere, Benutzung von Handys der Marke Samsung Galaxy Note 7 an Bord ist verboten.” #lufthansa #Cairo-frankfurt
— Benno Schwinghammer (@einfachmalso) 14 September 2016
And not just in the United States. Lufthansa and many other airlines are making similar announcements.
Samsung is recalling about 2.5 million potentially dangerous Note 7 devices. According to analysts, the phones retail for $849 each, and the total cost of the recall will exceed $1 billion. That doesn’t account for the damage done to Samsung’s brand.
Samsung doesn’t have replacement Note 7 units ready to ship yet, meaning those returning Note 7s will have to choose between another Android device and an iPhone 7. With the hassle of switching from iPhone to Android.
Even if Apple spent its entire advertising budget at once, it wouldn’t be able to buy this type of ad. Apple’s annual advertising budget is approximately $1.8 billion. But even that isn’t enough to generate so much anti-Samsung sentiment. Starting tomorrow, the iPhone 7 will be on display at all retail stores that accept Note 7 returns.
While Samsung is busy making non-explosive Note 7 refreshes, the Samsung and Note brands can be tarnished forever. There are too many good phones that don’t burn their owners.