Tim Hardwick
According to Korean publication E-Today, Samsung is considering launching a new premium smartphone brand that would exist alongside or even replace its iconic “Galaxy” brand.
The potential rebranding initiative is reportedly aimed at separating Samsung's high-end devices from its budget offerings. Currently, the company’s broad use of “Galaxy” spans from entry-level Galaxy A and M series phones priced around $100-$200 to premium Galaxy S flagships and Galaxy Z foldables that can cost more than $1,800.
Industry analysts have suggested that a wide price range under one brand could dilute the premium perception of Samsung’s high-end devices. It’s believed that when consumers associate the Galaxy name with budget options, it becomes more difficult for Samsung to position its flagship devices as direct competitors to Apple’s iPhone in the premium segment.
In comments made at CES 2024 in January, Samsung’s global marketing chief Lee Young-hee hinted at a potential branding strategy: “There are so many Galaxy lineups that I understand people expect a new name when there’s an innovative turning point,” Lee said.
What Samsung considers an innovative turning point is unclear, but such an initiative would require significant marketing spend. The news comes amid growing competition from Apple in the premium segment, particularly among younger consumers. For example, a recent Gallup Korea poll found that 64% of South Korean consumers aged 20 to 75% use an iPhone, while that figure rose to 75% among women in the same age group.
Industry observers have compared the potential strategy to the successful launch of Hyundai’s luxury brand Genesis. Introduced in 2015, Genesis achieved one million global sales by August 2023 and helped boost Hyundai’s brand image and profitability. Samsung has not revealed any specific alternative brand names, but is reportedly conducting internal research to assess the benefits and drawbacks of introducing a new premium brand.
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