The Samsung Product Expo provided opportunities for contractordealersalesperson discussions

Samsung HVAC Sales Conference: Big Plans and Product Innovations

Dec. 1, 2015
Samsung/Quietside is moving forward with aggressive plans to capture a significant segment of the ductless/VRF HVAC market.

Samsung is getting around. Now established as one of the key players in the burgeoning HVAC ductless air conditioning/VRF market, Samsung managers are letting the rest of the industry know they came to play in variety of comfort categories.

Quietside/Samsung HVAC held its annual sales conference at The Gaylord Texan Grapevine Resort in Dallas, Tx., during the final week of October. On Wednesday, October 28th, the 2015 Samsung HVAC Product Expo was held in a ballroom space at the resort, providing more than 100 contractors and distributors with a preview of Samsung's newest HVAC products for 2016.

John Harrington shared milestones in Samsung's journey to its position of leadership. Photos by Terry McIver

The Samsung awakening to greater possibilities began in 1993, when Samsung Group Chairman Lee Kun-hee discovered that only 5 percent of the world had heard of the company. 

"Mr. Lee said we 'have to change everything,'" related John Harrington, senior vice president and general manager of Samsung Electronics, in remarks to attendees.

Samsung HVAC division president Sang Lee addresses the audience of contractors and distributors.

"His mission was to determine how to accelerate, build the brand, bring new innovations across the world and change the way we do business overall," Harrington said. "So from 1993 to today, Samsung represents the most compelling innovations of any company in the world, in mobile phone innovations, digital television, components and semi-conductors. As a result of this investment and Mr. Lee’s challenge, Samsung has earned a number of global market share: #1 in refrigerators and televisions, 32 percent of smart phones, 26 percent of LCD displays."

And now, the company has turned its attention to building its presence in the commercial and residential HVAC ductless product sector.

"Samsung is very interested in partnering with HVAC contractors, and figuring out how we can accelerate into this business," Harrington said, and the team had a wide variety of both older and newer products on display that will fuel that engine.

Samsung product offerings for HVAC contractors and distributors were positioned the length of the hotel ballroom, for plenty of time to review and discuss features and benefits.

Among Samsung's established products now operating in the field, are the DVM-S, which sources claim provides the world's largest heating and cooling capacity, and a hybrid heat exchanger that provides a 49 percent larger heat transfer area; and residential and commercial single or multi-zone systems driven by a variable speed Samsung inverter-driven compressor. The newest innovations for 2016 are still in development, and will not be revealed to the industry at large till a later date in the not-to-distant future. But this crowd got a first look, and seemed to be impressed by what they saw.

Samsung HVAC division President Sang Lee also addressed the audience, and spoke of his goals for future growth.

"It has been a little more than a year since Quietside became a subsidiary of Samsung America. Changing Quietside operations to a larger location in Dallas-Fort Worth, and changes in the leadership team has been a difficult process over the past 16 months. But as the days go by, things are improving, and I can see that we’re going in the right direction," Lee said.

"Moving forward, we have the opportunity to do some great things. With Samsung’s brand and support behind us, my goal over the next two years is to change this industry, to triple the market for mini-splits and VRF. So, please stay tuned."

According to Lee, the VRF market's unit sales are about 750,000 per year.

Samsung products on display at the sales conference included the Pearl and Whisper mini-splits.

Lee was clear that he was seeking dealer and distributor help to start this Samsung "movement," — "a movement that shows determination and commitment to our brand. I want you to act with confidence, when it comes to working with us, and creating a mutual relationship based on a vision to become the industry leaders," Lee said. "Today, we are taking the first step in that movement with our 2016 stocking program. I hope you take advantage of this program, to prepare yourself for a successful season."

Lee said he wants the relationship between Samsung and its HVAC customers to be mutual, in which the success of one is a reflection of the success of the other.

"I hope the time you spend and the knowledge you gain will help your business reach new heights," Lee said.

John Harrington said Samsung's corporate vision is, "to inspire the world, and create the future, through innovative technologies, products, and designs that make people's lives better." The five pillars of that vision are:

  • great people operating with excellence across our businesses,
  • always changing.
  • desire to change and make things happen.
  • operating with complete integrity
  • co-prosperity, for dealers and Samsung.
Throw in some fun: the Samsung conference included a tour of Dallas Cowboys AT

"Ninety percent of the company’s products are manufactured within Samsung facilities. It operates 36 research and development centers across the world," Harrington said. "One-quarter of our sales force is employed in research and development. In 2014, we invested $13.7 billion in R&D across the business portfolio. From 2009 to 2014 we invested from five to seven percent of revenue in R&D."

Harrington said the shared vision of Samsung's executive team has always been for Samsung to be a premium brand, a brand that people aspire to and one that has an emotional connection with consumers.

He shared the news that Samsung’s U.S. market is growing at a faster rate than the rest of the it's worldwide markets, and reached 18 percent in 2014.

"The US market is a very important and strategic market for Samsung because of our size and because of the opportunity that exists in the United States," he said.