In the video surveillance market, there are currently no dominant players as yet. The No. 1 player in this market has a market share of a mere 7 percent and you can be one of the top 3 players with only 5 percent market share. Though the market is now seemingly up for grabs, becoming a dominant power in this market is not easy, with the low-end side too competitive with so many companies playing and the high-end side very inaccessible with high barriers to entry.
However the terrain is rough and the ground is tough, Samsung Electronics, one of the most powerful brands in consumer electronics, believes it has special strategies to win business battles in the high-tech security marketplace. The company has set its sight on becoming one of the world’s top three security companies in 2008 and thinks the goal is quite achievable.
In an interview with Jeanny Lim, Editor-in-Chief of SecurityWorld INT’L, Woochul Shin, Marketing Director of Samsung Electronics’ Digital Media Business, discusses the consumer electronics giant’s formula for success in the security market.
By Jeanny Lim
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“We’ll reach the top, soon.
Solution, partnership and brand
will get us there.
And 2008 will be a milestone year
for achieving the goal.”
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Woochul Shin, Marketing Director, Solution Sales & Marketing
Group, Digital AV Division, Digital Media Business, Samsung Electronics |
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Jeanny Lim Would you please start by giving our readers a brief introduction of yourself?
Woochul Shin I am responsible for marketing for Samsung Electronic’s security solution business. The solution business is a new engine of growth for Samsung Electronics and has been fostered strategically by the company for several years now.
More about myself, I am a founding member of Samsung Electronics’ CCTV business. And I was also involved in launching Samsung Electronics’ Cable Modem and Set-top Box business. In 2006 I rejoined the Video Security System (VSS) group and have been working here ever since.
JL Looking back on 2007, what kind of happenings and activities went on in Samsung Electronics?
WCS 2007 was a very important year for us. We introduced Video Management Software (VMS), which will serve as the basis of our security solution business. Being analogue and no solutions in the product portfolio have been our Archilles’ heel, sort of, so the launch of VMS is expected to serve as a catalyst for growing our security solution business.
There have been some new additions to our growing DVR and camera lines. The new products are designed to better serve the market with increased reliability, enabling us to be more competitive this year. All of these combined will give us what it takes to hold the top-tier position in the international video security market.
JL What international markets do you consider as key for both present and future growth? Could you elaborate on that?
WCS I would say they are the U.S. and China markets. The U.S. accounts for nearly 40% of the world’s video security market and China is very important with its huge market size and growth potential. We have already established a strong network of partners in the U.S. and China and have been working closely with our partners in a variety of tasks ranging from product planning to sales and marketing. As you may know, security is a typical many-kinds small-amount production industry. A company cannot do everything. The market needs mass collaboration where various organizations work independently on a single project to cut costs, innovate faster, co-create with customers and partners, and generally do whatever it takes to usher their organizations into the twenty-first century business environment. Samsung Electronics is enthusiastic about developing willing partners and have a long-term relationship with them to create real value for our customers and enjoy phenomenal successes.
JL Where does Samsung Electronics put its focus on this year, in terms of both business and technology development? And what’s your sales goal this year?
WCS 2008 is going to be a pivotal year for Samsung Electronics. It is going to be a milestone year not only for our traditional businesses but also for the solution business. We will focus on securing some of the differentiating technologies such as facial recognition and motion tracking to enhance our video security solutions to meet both present and future market demands as well as customer needs.
In the meantime, we will work hard to develop new markets in the N-11 or what are being called the Next-11 representing the next 11 countries to emerge as future important economies such as Bangladesh, Egypt, Indonesia, Iran, Korea, Mexico, Nigeria, Pakistan, the Philippines, Turkey and Vietnam. These countries provide a follower like us with huge opportunities to step up and show what we’re capable of doing.
The sales goal we have set for this year is US$400 million. To achieve the goal we will create global reference sites.
JL What are your major research areas today?
WCS However good your product or service is, the simple truth is that no one will buy it if they don’t want it or believe they dont need it. And you won’t persuade anyone that they want or need to buy what youre offering unless you clearly understand what it is your customers really want.
Knowing and understanding customer needs is at the center of every successful business, whether it sells directly to individuals or other businesses. We will find out customers’ potential needs by using Samsung Electronics’ decades of accumulated knowledge and know-hows. When potential needs of customers are identified, we will draw up a market roadmap, on which a product roadmap will be based.
If you cannot predict the markets ahead, you cannot develop technologies and produce products. A key value of Samsung Electronics has been to get ahead of our competitors in predicting and identifying customers’ potential needs.
Jeanny Lim is Editor-in-Chief of SecurityWorld INT’L. Send your comments to swied@infothe.com.
For more information, please send your e-mails to swm@infothe.com.
ⓒ2007 www.SecurityWorldMag.com. All rights reserved.
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