Samsung Electronics is offering an upgrade program option to Galaxy Note 7 customers in South Korea who trade in their recalled device for a Galaxy S7 phone, marking its latest attempt to retain customers.
In a statement on Monday, Samsung said customers who trade in their Note 7 phone for either a flat-screen or curved-screen version of the Galaxy S7 can trade up for a Galaxy S8 or Note 8 smartphone launching next year through an upgrade program.
The world's top smartphone maker permanently ended Note 7 sales due to continued reports of fire from the flagship device. In addition to offering refunds or exchanges for a Galaxy S7 smartphone, Samsung has already offered financial incentives amounting to 100,000 won ($88.39) to affected customers in South Korea.
Users in the upgrade program will need to pay only half the price of a Galaxy S7 device, rather than the full amount, before exchanging to the S8 or the Note 8, Samsung said.
In offering the Note 8 upgrade option, Samsung indirectly reinforced previous statements that the Note series will not be discontinued. The company said the availability of such a program in other markets will be dependent on the situation in each country. It did not elaborate.
Samsung has stepped up marketing and promotion for its Galaxy S smartphones to try to make up for some of the lost sales. The Note 7's collapse is already costing Samsung $5.4 billion won in operating profit between the third quarter of this year and the first quarter of 2017.
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