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Canada's submarine race: Marketing takes center stage over vessel capabilities
๐Ÿ‡จ๐Ÿ‡ฆ Canada /Economy & Trade

Canada's submarine race: Marketing takes center stage over vessel capabilities

From Global News · () English

Translated from English, summarized and contextualized by DistantNews.

At a glance

News Named sources Ongoing story
  • Canada's competition to replace its aging submarine fleet has focused heavily on marketing rather than vessel capabilities.
  • South Korean firm Hanwha has launched an extensive advertising campaign, aiming to build brand recognition in Canada.
  • Rival bidder TKMS finds the aggressive marketing unusual, as submarine procurements typically focus on technical specifications and government-to-government negotiations.

The race to replace Canada's aging submarine fleet has taken an unconventional turn, with a significant emphasis placed on advertising and public relations over technical specifications. The federal government is expected to announce its chosen supplier for up to 12 submarines soon, ahead of a July NATO summit. This massive order, worth tens of billions of dollars, has attracted global defense contractors, including South Korea's Hanwha.

Hanwha has mounted a substantial advertising blitz across Canada, utilizing broadcast television, streaming platforms, and airport advertisements to showcase its KSS-III submarine. This strategy aims to establish Hanwha as a recognized defense supplier in Canada, a market where it is less known compared to its home country. Glenn Copeland, Hanwha's Canadian CEO, stated the campaign is about "brand recognition and understanding."

This is nuts, honestly. Weโ€™re not used to this.

โ€” Oliver BurkhardCEO of rival bidder TKMS, commenting on Hanwha's extensive advertising campaign.

This aggressive marketing approach has not gone unnoticed by competitors. Oliver Burkhard, CEO of rival bidder TKMS (ThyssenKrupp Marine Systems), described the campaign as "nuts" and highly unusual. He noted that traditional submarine procurement competitions typically involve detailed technical evaluations and direct engagement with governments, not widespread public advertising. "Submarines arenโ€™t supposed to be so visible," Burkhard commented, adding that such tactics are not common among European submarine manufacturers.

While Hanwha has never exported submarines before, it highlights its large shipyard facilities and offers a rapid delivery schedule. The Canadian navy has indicated that either of the two competing models would meet its requirements, shifting the focus of the procurement process away from specific capabilities and towards other factors, including the extensive marketing efforts by Hanwha.

Itโ€™s about brand recognition and itโ€™s about understa

โ€” Glenn CopelandCanadian CEO of Hanwha, explaining the rationale behind the company's advertising campaign.
DistantNews Editorial

Originally published by Global News in English. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.