Samsung’s Note 7 fiasco did hurt brand image if not profits
Samsung’s Note 7 fiasco that ran on for months has actually cost the company its brand image if not the balance sheet. This may play an important role in deciding the future of the fate of Galaxy S8 that Samsung is betting on to improve its position in the global market.
Unfortunate as it is, Samsung's Note 7 fiasco might have hit Samsung where it hurts most -- the company's brand image and reputation and this might play an important role in deciding the uptick for the new Galaxy S8 that is due to launch in the end of March.
Samsung had come out unscathed out of the fiasco posting its largest gain in three years and a Reuters poll released toward the end of the year implied that the company's reputation didn't take too big a hit in the US.
However, new numbers from Harris Poll claims that the sentiment towards the brand has taken a southern route with the company taking a major hit in its 2017 Reputation Quotient Ratings report, as the South Korean Galaxy-maker dropped a staggering 42 places from last year, from the No. 7 slot to a much more dismal 49 — just ahead of the United States Postal Service. Amazon, Apple and Google, by comparison, ranked 1, 5 and 8, respectively.
The poll was conducted between late November and mid December last year, surveying 30,000 US adults about various brands' social responsibility, vision/leadership, financial performance, workplace environment, products and services and the decidedly more nebulous "emotional appeal."
Samsung had to recall the Note 7 shortly after its launch as incidents of the phone's battery catching fire or exploding were reported. The company later to scrap the model after the re-configured Note 7 handsets continued to catch fire.
Presently, Samsung is expecting to gain back its popularity with the launch of the Galaxy S8 that is expected to come with a new Exynos processor and other incremental hardware and software features.