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LG Electronics PR Campaign

LG Electronics wants to improve its brand positioning and public perception in the North American market. It will revise its customer service training programs for North American employees, focusing on a "Never Say No" policy for customers. It will promote this policy through social media and press releases. Mock testing of past dissatisfied customers will evaluate the new training. The goal is to increase consumer trust by 5% in 3 months and raise LG's brand position to #2 in 6 months through better customer service.

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LG Electronics PR Campaign Summary Tashia Lynn Bramhan 므라멘 나샤 넨
COMPANY BACKGROUND  Founded by Koo In-Hwoi on Oct 1, 1958 in Seoul, S. Korea  Initial name GoldStar, later changed to LG Electronics, Inc. Jan 1, 1995  Employs over 83,000 employees  2014 global sales ended at 55.91 billion USD  Comprised of 4 business divisions:  Home Entertainment  Mobile Communications  Home Appliance & Air Solution  Vehicle Components
CURRENT MARKET SHARE  North America-smartphones-16.3%  South Korea-smartphones-29% (increase of 65% from previous quarter)  Global market share-washing machines-12.4%(U.S.-14.7%)-7 straight years maintained #1 market position COMPETITION
SWOT ANALYSIS  Strengths:  Global leader & technology innovator in consumer electronics, mobile communications & home appliances  ROE increased by 56% over 1 year period  Held highest market share in North America for mobile handsets  2014 winner of 35 awards at International Consumer Electronics Show  Weaknesses:  Tax law changes geographically  Changes in foreign exchange rate & exportation regulations  Lackluster customer service in the North American region  Consumerism
SWOT ANALYSIS continued….  Opportunities:  Introduce successful products from Korean/Asian market to other regions  Increase brand presence by resolving to change public perception in North America  Threats:  Global economic conditions  Market saturation  Tax law changes  Foreign exchange rate fluctuation
SITUATION ANALYSIS Customer service training needs to be revised per consistent consumer complaints in the North American region.
CAMPAIGN GOAL  Realign public perception of LGE in differential brand positioning  Create company transparency for customers in North American region OBJECTIVES  Revise current customer service training to be updated yearly  Increase consumer trust by 5% in 3 months.  Raise brand position to #2 in 6 months.
STRATEGIES & TACTICS Strategy: North American employees receive revised CS training 1st Tactic: 1. CS research for 2 weeks to revise current program 2. Mock testing of after revision. 3. Implementation of new program North America 4. Implementation of new program remaining LGE regions Strategy: Promote LGE as family company that cares for employees and consumers Tactic: 1. Establish “Never say No to customers” rule 2. Issue press release to show CS training revisions and successes 3. Utilize social media extensively
STRATEGIES & TACTICS continued…. Strategy: Alleviate North American consumer concerns via measures of revised customer services to support them Tactic: 1. Invite past disgruntled consumers to mock testing phase 2. Create JIT with local contractors. 3. Recruit for sufficient CS measures and full coverage
BUDGET Detail Per Item Cost Total Projected Actual Projected Key Public North American Employees Strategy North American division employee retraining on customer service. Tactics Revise in-house training program HR & Research execs to conduct & create $ - $ - $ - Revise in-house web-based training program for remote locations HR & IT Personnel to create & implement $ - $ - $ - Internal mock testing HR & sample N.A. employees $ - $ - $ - External mock testing HR & sample outside N.A. employees $ - $ - $ - Training program implementation-North America division Internal interdepartmental cost $ 25.00 $ 125,000 $ 150,000 Training program implementation-remaining geographical LGE divisions Internal interdepartmental global cost $ 25.00 $ 1,950,000 $ 2,000,000 Key Public North American Retailers Strategy Brand re-positioning in North American division Tactics Make company relatable to retailers via brand promotion and benefits Communications via cloud link set for retailers No cost $ - $ - $ - Execute in-store meetings for brand placement and/or display No cost if visiting local retailers per region $ - $ - $ - Press release via PR Newswire No cost, free to join and outlet to thousands of news platforms $ - $ - $ - Key Public North American Consumers Strategy Total LGE brand transparency Tactics Release specs on "Never Say No" rule to media via Facebook No Cost $ - $ - $ - Release specs on "Never Say No" rule to media via LinkedIn No Cost $ - $ - $ - Release specs on "Never Say No" rule to media via PR Newswire No Cost $ - $ - $ - Establish JIT with local vendors Clear and concise contract recognizing and agreeing to LGE standards of superior customer service Securing a contract with an independent contractor is year. Upon evaluation of performance by customer(s), contract can be renewed on a yearly basis. $ - $ - $ - Keep database of local contractors verifying time availability and service offered for exact customer match No Cost $ - $ - $ - Random mock testing of newly established customer service training practices Selection of past random dissatisfied customers ageeing to assist with test Email up to 100 customers on testing Cost associated with incentive given for participation in testing $ 100.00 $ 10,000.00 $ 10,000.00 Phone up to 100 customers on testing Cost associated with incentive given for participation in testing $ 100.00 $ 10,000.00 $ 10,000.00 Send letter via tradional mail to 100 customers for customer testing $.49 per 1 ounce letter * 100 customers $ 0.49 $ 49.00 $ 10,049.00 Send text message to 100 customers on testing Cost associated with incentive given for participation in testing $ 100.00 $ 10,000.00 $ 10,000.00 Establish recruitment measures for necessary customer service coverage Post employment positions via LinkedIn No Cost $ - $ - $ - Post employment positions via local classified media Careerbuilder online posting-$8,000 per 50 jobs $ 160.00 $ 8,000 $ 160,000 Plan Totals $ 510.49 $ 2,113,049.00 $ 200,049.00 Total cost excludes interdepartmental costs as those are moved from all cost centers to HR .
CONCLUSION In order for LG Electronics to be the global leader & technology innovator in consumer electronics, mobile communications & home appliances, you must first concentrate on the capabilities of your employees. You can have the best products on the market but without “superior” customer service practices in place, failure comes and/or brand positioning falls to your competitors. Employees trained in providing the utmost in customer services wins and retains consumers who will support you through product faults!