[DigitalToday reporter Daegeon Seok] Samsung Electronics said on Jan. 25 that more than 1 in 5 customers who bought unlocked phones subscribed to the 'New Galaxy AI Subscription Club'. The program was introduced starting with preorders of the Galaxy S25 series in January last year. It was also applied to the July launches of the Galaxy Z Fold7 and Z Flip7, and the company said it helped drive flagship sales in the first and second halves.

Based on unlocked sales on Samsung.com, the models with the highest share of subscription sign-ups were the Galaxy S25 Ultra and the Galaxy Z Fold7. The higher the price of the model, the more customer demand was reflected for phone damage coverage and higher residual value compensation upon return. Subscribers in their 20s and 30s accounted for 60 percent across both the Galaxy S25 series and the Galaxy Z Fold7 and Z Flip7.

Samsung Electronics said the subscription sign-up rate for the Galaxy Z Fold7 and Z Flip7 launched in the second half rose compared with the Galaxy S25 series. It said this was analysed as increased demand driven by broader awareness of the program in the first half.

The subscription club allows customers to choose between 12 months and 24 months. It compensates up to 50 percent of residual value when a device is returned after use. Samsung Electronics also provides Care+ Smartphone Damage+ service and said discounts on mobile accessories lowered barriers to buying the latest Galaxy devices.

Among customers who chose the 12-month plan, subscribers in their 20s and 30s were the largest group. It succeeded in targeting early adopters who replace smartphones quickly on a one-year cycle. When combined with the double storage preorder benefit, the perceived customer benefit was high. Customers buy at the 256GB base price and receive compensation at the 512GB base price upon return.

A Samsung Electronics official said, "The New Galaxy AI Subscription Club led sales of flagship smartphones in the first and second halves last year and has become a key option customers consider when buying." The official added, "This year as well, we will continue to develop the subscription program so customers can use the latest Galaxy products with confidence and without restraint."