[New York Diary] Folded and Unfolded, Do You Know the Z Flip?

New York Diary_Sharing Stories from Everyday Life in the USA in New York

On the 10th (local time), attendees at the Samsung Electronics Galaxy Unpacked New York Experience Center watched the live broadcast of 'Galaxy Unpacked 2022'. The event was attended by 500 people, including global media and partners.

[Asia Economy New York=Special Correspondent Joselgina] Since arriving in the United States earlier this year, I have frequently been asked questions by strangers. In stores I briefly entered to purchase items, people stopped me saying, "That's cool. Is it a new product?" At restaurants or cafes, a short Q&A session took place several times following a nearby customer's remark, "I have a question." One waiter even forgot to take my order and went on to express his admiration at length. Sometimes, even on the New York subway heading home, I encountered questions like, "Aren't you afraid it might break?" or "How much does that cost?"

At first, I was taken aback and puzzled. This was because Americans found the 'Galaxy Z Flip,' which has already reached its third generation in Korea, incredibly fascinating. After repeating this experience several times a few months ago, I developed my own response scenarios. Since I could anticipate the order of questions, I even preemptively showed things that might pique their curiosity, as if I had become an 'honorary sales representative.' For example, I demonstrated the thickness of the Z Flip3 without its hard case, how smoothly the hinge folds and unfolds, the wrinkles on the display, and how the screen splitting works.

Their reactions were generally similar, showing such interest that they launched a barrage of questions at a stranger Asian. An employee I met at the entrance of Lincoln Center said, "I was debating whether to buy it after seeing the advertisement, but seeing it in person made me want to buy it even more." A student sitting at a table next to a coffee shop in Hudson Yards Mall said with sparkling eyes, "If it's like that, I want one too." When faced with such intense interest, I even found myself admiring Samsung Electronics' ambitious pioneering move that "foldables will eventually become mainstream."

Participants are experiencing the new products unveiled at 'Galaxy Unpacked 2022' at the Samsung Electronics Galaxy Unpacked New York Experience Center.

However, there is also a great sense of regret. The Galaxy Z series, including the Z Flip, is a segment that Samsung Electronics is strongly pushing as the next-generation premium. It has already been several years since Samsung Electronics unveiled its first foldable phone and accelerated the 'foldable popularization' with successive follow-ups. Moreover, this is New York Manhattan, a place where various latest trends gather within the U.S. and where Samsung Electronics must maintain industry leadership.

Until before the pandemic, Samsung Electronics held 'Galaxy Unpacked' events in New York for several years to unveil new products. Yet, why are Samsung's foldable phones still considered 'strange' and 'new and fascinating' in the U.S.? While acknowledging the risk of generalization, unfortunately, none of those who asked me questions knew the exact name of the Z Flip3.

Similar questions arose at a press conference held shortly after the 'Galaxy Unpacked 2022' event in New York last week. Tae-moon Roh, President of the MX Division, gave two cautious answers to the question, "Why is the iPhone still dominant in the U.S., and why aren't Samsung's foldable phones doing well there?"

First, he explained that the U.S. market is rational and conservative, requiring considerable time to accept new technologies and products. As an example, he noted that the Galaxy Note series only gained a foothold in the U.S. starting from its fourth generation. "Up to the Note3, it began in Korea, China, Southeast Asia, and some European markets. After the third generation was sufficiently accepted in the market, the U.S. became the largest market for the Note series starting with the fourth generation, which was no longer a niche product," he said. He expressed hope that the newly released Z Flip4 and Z Fold4 would properly appeal to and play a role in the U.S. market.

The other reason is the aftermath of the third-generation foldable phone released last year not being adequately supplied to the U.S. market. Due to a global material shortage, sufficient quantities were not provided to the U.S. market and its channels from the start, which directly affected sales. This is a painful issue for Samsung Electronics, which must capture the world's largest market. This is why Roh repeatedly emphasized that sufficient initial supply quantities for the global market have been secured ahead of the launch of the fourth-generation Z Flip4 and Z Fold4 this month.

Additionally, an executive I met during the Unpacked event expressed regret that experiential marketing in the U.S. was not active due to the COVID-19 pandemic. Considering that foldable phones are still not inexpensive, it would have been better if U.S. consumers had more opportunities to experience foldable phones.

Samsung Electronics first introduced the world's first foldable phone in 2019 amid some market skepticism. Samsung's challenge to pioneer a new form factor market, as if heading into uncharted territory, has now passed four years and it is time to show definite 'results.' Moreover, Samsung's stage must be global, not just Korea. I hope that the Galaxy Z Flip4 and Z Fold4, which President Roh?an engineer himself?confidently stated have "raised technology to 100%" and "focused on perfection," will become a turning point for the form factor challenge in the U.S. market.