Samsung vs. Apple... The winner of the Gangnam showdown

Gangnam-daero, the youthful Mecca, is lined with a 10-lane round-trip road. Here, a silent war unfolds between eternal IT rivals Samsung Electronics and Apple. As Korea has grown into an important market that consumes a lot of premium products at high prices, both companies have showcased 'customer experience' spaces that they have carefully crafted. There is growing interest in whether the 'Gangnam War' of the IT behemoths could potentially reverse the market structure, which currently sees people in their 10s and 20s preferring Apple, while those aged 30 and over favor Samsung products.

On the 29th of last month, Samsung Electronics opened a six-story experience flagship store 'Samsung Gangnam' near Gangnam Station in Gangnam-gu, Seoul. — Provided by Samsung Electronics

In April of this year, Apple opened its experience flagship store 'Apple Gangnam' right in front of Sinnonhyeon Station. The apple-shaped Apple logo caught the eye. — Written by Song Ju Yong

Claim your territory... Gangnam Station vs. Sinnonhyeon Station

Last month, on the 29th, Samsung Electronics opened its experiential flagship store 'Samsung Gangnam' right by Gangnam Station. Just a 2-minute walk from Exit 10 of Gangnam Station on Line 2 and the Shinbundang Line, it's highly accessible. When I visited the site, a light gray building composed of 10 basement floors and 5 above ground floors caught my eye. The exterior of the building is made up of large rectangular windows, giving it a modern feel. Jeong Ho-jin, Vice President of Samsung Electronics' Mobile Experience Team (MX), emphasized in a meeting held at Samsung Gangnam the day before that "It took us five years to open this store after we decided on Gangnam Station as our location, and we've created a space that fits Gangnam Station".

At 'Samsung Gangnam' in Gangnam-gu, Seoul, a user is seen wearing a smartwatch and riding an indoor bicycle. Heart rate and other information are displayed on the screen in front of them. — Provided by Samsung Electronics

Ahead of this, Apple opened its experiential flagship store 'Apple Gangnam' in April. If you come out of Exit 5 of Sinnonhyeon Station on Line 9 and the Shinbundang Line and look to your left, you will see the store right away. The main entrance, featuring the 'apple' symbol that signifies Apple, truly embodies the company's identity. At the time of the opening, Deirdre O’Brien, Apple's Senior Vice President, stated, "At Apple Gangnam, we can share the Apple experience with more customers" and "we will help them fully unleash their creativity through Apple's products and services."

Samsung Gangnam and Apple Gangnam are about 600m apart. It's a 10-minute walk between the two. In order to attract customers, they both strategically positioned themselves in prime locations right in front of Gangnam Station and Sinnonhyeon Station respectively. From the outside, it was hard to tell which store is superior. The key to the competition lies in their content. Both companies are targeting the MZ generation (born from the early 1980s to the early 2000s), who are the main consumers of smartphones, tablets, smartwatches, and other IT devices. The reasoning is that if they can first secure the MZ generation as a strong base, it will be advantageous in attracting consumers over 30.

Samsung Gangnam: From Experience Zone to Service Center

Samsung Gangnam is set up on six floors spanning 2,000㎡, with the theme of 'Playground for the MZ Generation'. The 1st and 2nd floors are where customers can touch and try on products. As you walk in through the 1st floor entrance, you'll see two large teddy bear sculptures hugging each other. A staff member on site mentioned that these are sculptures made using recycled plastic materials, as part of Samsung Electronics' efforts towards sustainability. On the 2nd floor, I saw a customer pedaling on an indoor bike, with activity indicators such as heart rate displayed on the TV screen connected to the bike.

As I went up to the 3rd floor, there was a small cafe and the 'Bespoke Home Meta' area where customers can place various Samsung Electronics appliances in a 3D virtual home as they wish. After selecting the type of home tour and placing the appliances, I put on a VR headset and was able to see a 3D render of the living room. On the 4th floor, there was a super-large 600-inch screen displaying the view of Gangnam city, and when I took a selfie with a phone that was connected to the screen, my face appeared on the screen's building billboard, bringing laughter. The 5th floor is office space for the staff.

In the basement, they have set up a service center that takes care of product repairs, a feature that differentiates Samsung Gangnam. Samsung Electronics is known for having a strong product repair network nationwide, so they emphasized this even in their experience space. Next to the service center, there's a space where customers can wait for their product repairs while taking selfies with the latest Galaxy S23 smartphone. I took three selfies, transferred them to my smartphone, and posted them on my social network, and the vibe felt very trendy. An interesting point is that the average age of the staff working here is 29.8, which is quite young. According to a company representative, they are about ten years younger than those working in general stores. There are staff members who have been dispatched from overseas to cater to foreign visitors, as well as product-specific experts waiting for customers.

Apple Gangnam, Fighting Fire with the Apple Ecosystem

In contrast, Apple Gangnam is relatively smaller in size when compared to Samsung Gangnam. A single-floor space contains product experience zones, consumer education spaces, and a pickup area for products ordered online. When I visited on the 28th of last month, a staff member was explaining the products in English to a foreign visitor. There are about 150 staff members working at Apple Gangnam and they are reportedly well prepared, capable of speaking more than ten languages combined.

At 'Apple Myeongdong' in Jung-gu, Seoul, I participated in the 'Today at Apple' program and learned how to color and edit characters with an iPad. — Written by Song Ju Yong

What stands out at Apple Gangnam is that it was designed around the 'Apple Ecosystem'. Given that it is particularly popular among people in their 10s and 20s, Gangnam is a region that cannot be forsaken, considering both brand recognition and sales. Here, you can enjoy various content created by Apple through Apple's electronic devices. For instance, in the smart TV area, you can watch AppleTV+ programs and you can play games using the iPad. The iPad is connected to a console controller and choosing a racing game, I felt the graphics and speed were truly immersive. In the headphone product experience area, you can listen to a variety of music through Apple Music's streaming service. If you touch the displayed products, there's also a recommendation feature that compares the price and performance to help you find the right product for you.

Interestingly, considering that Gangnam, including the Daechi-dong academy district, is known as the 'Mecca of Education' in Korea, the keyword 'learning' is actively reflected in Apple Gangnam. Apple is currently operating the 'Today at Apple' program at all its experience stores including Garosu-gil, Yeouido, Myeong-dong, and Jamsil, offering a variety of classes using multiple products. They teach techniques like how to take good pictures with a smartphone, how to draw with an iPad, etc.

I actually participated in a drawing class with an iPad conducted at 'Apple Myeongdong' in Jung-gu, Seoul. During the one-hour class, I was able to learn character coloring and editing techniques using the iPad provided by the company. The participants each introduced themselves with a nickname and shared their favorite cartoon characters. Following the instructor's guidance, they drew their own characters and turned them into moving images (GIFs). For consumers who don't use Apple products, they sent the file via email.

The class took place where several chairs were arranged in front of a large billboard, but at Apple Gangnam, it was held at a round table. When I visited the site, a class was in full swing with five elementary school students and the instructor sitting around, facing each other, learning how to use the product. Apple explained that the round table was set up to facilitate closer communication with consumers in a more intimate atmosphere.