PHAM Yen Van 18K670085 MPP15 lOMoARcPSD|9797480 lOMoARcPSD|9797480 lOMoARcPSD|9797480 INTERNSHIP REPORT Title ANALYZING THE MARKETING STRATEGIES OF FOUR SPRINGS TEA HOUSE Last name PHAM First name Yen Van Class CN15 – MARKETING DISTRIBUTION Academic year 2018 – 2021 Manager tutor’s last name LUU HONG DANG University tutor’s last name CAO TUAN KHANH HA NOI 2021 GUARANTEE I hereby declare that this thesis is my own independent scientific work The data and documents mentioned in the thesis have cle.
lOMoARcPSD|9797 480 INTERNSHIP REPORT Title: ANALYZING THE MARKETING STRATEGIES OF FOUR SPRINGS TEA HOUSE Last name: PHAM First name: Yen Van Class : CN15 – MARKETING DISTRIBUTION Academic year: 2018 – 2021 Manager tutor’s last name: LUU HONG DANG University tutor’s last name: CAO TUAN KHANH HA NOI - 2021 lOMoARcPSD|9797 480 lOMoARcPSD|9797 480 lOMoARcPSD|9797 480 GUARANTEE I hereby declare that this thesis is my own independent scientific work The data and documents mentioned in the thesis have clear origins and are cited in accordance with regulations The research results in the thesis are researched and analyzed by myself, honestly, objectively and in accordance with reality These results have not been published in any studies by other authors Ha Noi, 1st June 2021 Author Pham Yen Van lOMoARcPSD|9797 480 ACKNOWLEDGEMENT The success and final outcome of this internship required a lot of guidance and support from many people and I am extremely honored to have been able to carry out all these projects All I did was just for supervision and support and I won't forget to thank them I am very appreciative and thankful for the project guidance of Mr Cao Tuan Khanh of the University of Commerce for his interest in my work progress until the completion of the internship I will not forget to remember Ms Bui Viet Thu - the homeroom teacher who encouraged and helped me until I finished the internship I am grateful and fortunate to have the constant encouragement, support and guidance from all the faculty members of the university of Rouen Normandie University who have helped us complete our course Thank you to everyone who helped directly and indirectly to complete this internship lOMoARcPSD|9797 480 Contents LIST OF ABBREVIATIONS F&B: Food and Baverage LIST OF TABLES, FIGURES, DIAGRAM, IMAGES Figure 1.1: Total revenue of Four Springs Tea House in 2019, 2020 and first months 2021 Figure 2.1: Customers' satisfaction on the services Figure 2.2: Survey of customers' occupation Four Springs Tea House Figure 2.3: Customer's favorite type of tea in Four Springs Tea House Figure 2.4: Why customers know about Four Springs Tea House Diagram 1.1: Four Springs Tea House operating organizational diagram Diagram 2.5: main type of tea in Four Springs Tea House Diagram 2.6: Evaluate the difference of product flavor of Four Springs Tea House compared to other brands Table 1.1: My internship plan at Tea house Images 2.1: The space inside the Four Springs Tea House Image 2.2: Promotional programs of Four Springs Tea House on the delivery apps May/2021 INTRODUCTION Four Springs Tea House is the main character in this study By studying Four Springs Tea House 's Marketing strategies - Simple and optimal, we will see the process and results to lOMoARcPSD|9797 480 position a successful brand in a time when the industry market is gradually becoming saturated, causing difficult for trainees and other competitors, but it also comes with opportunities for excellent actors, as well as learning and growth opportunities for everyone This study was developed because besides the classic marketing methods such as discounts, promotions, etc., it does not bring great advantages in the long run for the brand as well as investors Furthermore, detailed research on a corporate brand in the industry will help one learn about the strengths and weaknesses and find opportunities for the business as well as the industry market in general This study will analyze data from different sources since the law, online statistical data, statistical data from enterprises, distributors, etc since the beginning of business until now (1/2019-6/2021) PART OVERVIEW OF FOUR SPRINGS TEA HOUSE AND MY INTERNSHIP 1.1 Introduction of Four Springs Tea House Full Name Four Springs Tea House Slogan The taste of nature Director Mr Luu Hong Dang Date of creation 01/2019 Location No Hoang Cau street, O Cho Dua district, Ha Noi Branches Employees 25 Contact E-mail: tiemtra4s@gmail.com Tel: 02433685959 Type of company Family – owned company Four Springs Tea House - Is a Vietnamese brand in F&B industry Providing premium tea drinks and professional service quality, customers can study, work, hold in-store meetings or lOMoARcPSD|9797 480 to learn and enjoy delicious flavored tea products by professionally prepared Slogan carries the message that wants to convey to customers: "The taste of nature" Four Springs Tea House follows the direction of minimalism and nature-friendly This shows the marketing strategy of Four Springs Tea House - simple and optimal, is extremely suitable for the built business model, making an unique impression on customers Geographical location Four Springs Tea House is located on Hoang Cau Street, a major road in one of the central areas of Hanoi, with a large number of people passing through and many residential and office areas around around This is consistent with the model that Tea Shop built minimalism, aim at working people who need a quiet space or families who need to find a relaxing place to enjoy drinks near their house Main products The main products are teas including: Original tea, milk tea, fruit tea and some cakes With only a small number of products but diverse categories, customers can easily choose the right beverage product according to their needs With the goal of giving customers the best experience, Four Springs Tea House currently has only one establishment, to focus on investing in product quality, service quality, as well as space, wifi network or toilet area are all met according to strict standards to bring satisfaction to customers Business performance Starting from January 2019, the steady growth in revenue is a testament to the success in brand positioning for customers of Four Springs Tea House lOMoARcPSD|9797 480 REVENUE in 20192021 3,500,000,000 3,000,000,000 ,264,231,500 ,858,829,900 2,500,000,000 2,000,000,000 1,500,000,000 ,140,500,686 1,000,000,000 500,000,000 2019 2020 first months /2021 REVENUE Figure 1.1: Total revenue of Four Springs Tea House in 2019, 2020 and first months 2021 1.2 Introduction of my project 1.2.1 Reasons for choosing the topic With the development of society and the needs of business people and customers, Marketing has become an important and indispensable element in any business activity Therefore, having a reasonable marketing strategy becomes an extremely important factor to help businesses or brands stand firm in the industry market So that F&B industry is extremely developing in Vietnam in recent years Four Springs Tea House has reasonable marketing strategies to survive and grow revenue The core factor that Four Springs Tea House focuses on are Customer and Product Quality Tea House has had marketing programs to promote two main purposes and bringing satisfaction to customers However, with very strong competition in the industry, Four Springs Tea House also have some relatively large challenges in the process of development and integration while their financial and potential are still relatively large Therefore, I decided to choose the topic "Analyzing the marketing strategies of Four Springs Tea House", from which to draw out the strengths and weaknesses of the program, and make some suggestions to develop marketing of this establishment lOMoARcPSD|9797 480 1.2.2 Internship position - My internship position at the company: Marketing Excutive - Internship position: I worked in Marketing department, responsible for introducing, building and developing marketing programs about the brand and its products(premium tea drinks) There are main staff in this department Diagram 1.1: Four Springs Tea House operating organizational diagram Board of manager Management Marketing department Marketing Manager -Mr Luu Hong Dang Accouting department IT department Software sales OP department CCTV Khối cửa hàng Store manager Staf Me -intern (Source: personnel department) - Internship instructor: Marketing manager - Mr Luu Hong Dang - who has years of experience in the media and advertising industry With his enthusiatic help and support during my internship, I have general information on the structure of the company as well as gaining more knowledge on the operation of the tea house 1.2.3 My position responsibilities at the company Get used to working environment Doing the reall marketing activities including lOMoARcPSD|9797 480 Simplicity and optimization Customers don't have too much time to care about side programs or advertisements, so something as quick as information at Wifi marketing or a standee at the cashier are short and concise sources of information , and reach customers easily and quickly 2.2.1.3 Characteristics of the buyer and analysis With different type of customers, businesses need to pay attention to small details to bring satisfaction to many customer groups, thereby bringing better revenue growth According to Euromonitor's report, there are main customer type divided by consumer buying characteristics: Minimalist seeker - 19%: Customers prioritize minimalism in both consumer behavior and products they choose to buy This group of customers attach great importance to product quality, environmental protection in the production and use of products, and focus on the value of simplicity Impulsive seeker - 23%: The group of customers who are interested and want to catch up with new trends They usually decide fairly quickly, having the highest potential for owning and using new products Undaunted striver - 17%: The group enjoys life, has impulsive shopping habits, They both value the brand value and value the shopping experience Securetraditionalist - 16%: Secure traditionalist consumer group They have their own shopping style and are loyal to their own style They often have the habit of saving in shopping The right approach for retailers with this customer group is to maximize convenience and create an easy shopping process 2.2.2 Analysis of the offer 2.2.2.1 Analysis of the strategies developed Four Springs Tea House is a Family – owned business, started operating in January 2029, with main products and premium tea lines and fat-free pastries In addition to providing premium tea drinks and professional service, customers can study, work, meet at the store or learn and enjoy delicious tea products made by tea professional processing 2.2.2.2 Identification of the strategies developed lOMoARcPSD|9797 480 Marketing strategy and almost the entire development strategy of Four Springs Tea House are developed in the direction of: Simplification and optimization The simplicity to optimize is first reflected in the menu optimization, there are only main tea lines, but enough choices for customers: Figure 2.3: Customer's favorite type of tea in Four Springs Tea House What is your favorite tea in Four Springs Tea House? 15% 38% 47% Original tea Milk tea Fruit tea In communication strategies, Four Springs Tea House always keeps its core values: Optimization and simplification There are no trending events, or updates on hot trends, like products that young people are interested in or hiring celebrities to promote products Four Springs Tea House uses communication methods: Through social networking sites Facebook, Instagram, to reach customers in a stable direction: Through the introduction of patrons, or from referrals from other sources Culinary reviews are appreciated Instead of following the trend, Four Springs Tea House keeps its minimalism in its products and operations, which are familiar products along with the comfort of using the service at the store space; or meet the demand for green lifestyle when using almost all environmentally friendly recyclable materials for takeaway orders Minimalism in communication and operation Four Springs Tea House has optimized revenue and brand identity communication, without spending too much time, cost or tricks, still have a familiar customer base and stable, while always keeping the core value: minimalism lOMoARcPSD|9797 480 Figure 2.4: Why customers know about Four Springs Tea House Sales Recommended by friends Social media ads Reviewer post Near home/work Other It can be seen that the majority of customers know about Four Springs Tea House because they were introduced by friends - accounting for 44.6% of the total number of customers This is because Four Springs Tea House keeps its core values in developing and maintaining operations, gaining the trust and love of customers, especially loyal customers.However, simplize management and marketing activities also cause many challenges for the company in the new era with the increasingly heavy competition 2.2.2.3 Analysis of their merchandising About the store layout: Four Springs Tea House has enough space to serve the needs of customers: From studying, working to relaxing alone or in groups; There are both indoor and outdoor areas for customers to choose from depending on their personal preferences lOMoARcPSD|9797 480 Images 2.1: The space inside the Four Springs Tea House The optimization of space, with different seating areas arranged reasonably, comfortably and ensuring privacy is a big plus for customers, when customers can count stores using the service over a long period of time for different purposes This contributes to increased sales for the store 2.2.2.4 Analysis of their policy Product segmentation policy: Simplifying product segments is about optimizing customer choice There are main product groups that Four Springs Tea House focuses on: Original tea, fresh fruit tea and milk tea The products are all made from high quality ingredients according to an extremely clean and professional formula, so the products are suitable for the majority of customers to use the service Diagram 2.5: main type of tea in Four Springs Tea House Original tea Tea Fresh fruit tea Milk tea lOMoARcPSD|9797 480 Diagram 2.6: Evaluate the difference of product flavor of Four Springs Tea House compared to other brands Through the survey, it was found that customers highly appreciated the distinct flavor of the products at Four Springs Tea House, when the three highest scores were quite high: 7-8-9 points The special and traditional taste is the simplicity that is optimal for both businesses and customers, bringing the best value Price policy With the price of original tea products ranging from VND 45000-60000, and other products at VND 60000 excluding topping, this is a slightly higher price than the market average, competitive prices that competitors have many offers to further reduce already attractive prices However, with the quality of service, product quality and customer experiences, this price is completely reasonable, still the favorite choice of customers when choosing a familiar destination every day Criteria Four Springs Tea Phuc long Dingtea House 45 000 - 60 000 30 000 - 60 000 VNĐ 32 000 - 55 000 VNĐ VNĐ The number of customers coming to use the service at the store is always stable, with the Medium Price same monthly revenue This is in line with Four Springs Tea House's goal of providing customers with a memorable space, product and experience, a familiar place to visit every day 2.2.2.6 Retail systems lOMoARcPSD|9797 480 In addition to the original retail format (Brick and mortar), e-commerce in Vietnam is developing at a very high speed This has led to the development of propaganda of online channels, so Four Springs Tea House has official Facebook and Instagram channels to be able to connect with consumers faster, more convenient and more effectively Online channels will be on duty during the store's operating time from 8am to 11pm daily, to answer questions, quickly receive problems and receive and process online orders Besides personal social networking sites, connecting with the largest delivery service providers in Vietnam, Now - Grab - Baemin is also a very right move of Four Springs Tea House when customers have You can easily place an order and get the product shipped quickly and with guaranteed quality Delivery apps have also become a potential communication platform that can connect with a huge number of customers Incentive programs through delivery apps are very popular with customers, when they are both discounted and safer during the current epidemic Image 2.2: Promotional programs of Four Springs Tea House on the delivery apps May/2021 2.2.3 Strengths and weaknesses of Marketing strategies of Four Springs Tea House 2.2.3.1 Strengths of Marketing strategies of Four Springs Tea House lOMoARcPSD|9797 480 - Simplify all stages in marketing and operations, thus minimizing costs, time and personnel for operations - Having a suitable, stable and long-term customer base when fixing and perfecting the brand in the direction of minimalism and environmental friendliness - High quality products, ensure safety and build trust with customers - The parts work flexibly, problems are received and handled quickly - The department's staff is professionally and methodically trained, so the shipment is always stable, on time and smooth - For the price: Affordable price, suitable for all customers - For distribution: Use effective distribution policies to meet customer needs Even though the demand is increasing, there is still no shortage of goods Four Springs Tea House has partnered with multiple product supply and distribution channels, which is a great opportunity to reduce costs, improve efficiency and reduce the effects of seasonal fluctuations on demand for each line specific product 2.2.3.2 Weaknesse of Marketing strategies of Four Springs Tea House - Lack of product variety Lack of product diversity, not giving customers many choices while the needs of potential customers are extremely diverse, heavy competition from rivals This requires company to enlarge its range of products - Lack of impressive marketing programs to target customers Marketing strategy is still extremely simple and traditional promotions, highlights to promote the brand and service quality are not diverse and not many In addition, the programs are advertised in many sales channels, so a key marketing strategy has not been developed - Weak distribution channel: facility in Hanoi will make it difficult for customers to experience the service and use the product directly 2.2.4 Solutions for marketing activities Product development strategy Through SWOT analysis, the company has high-quality human resources, high-quality raw materials, and quality assurance Enterprises should know how to take advantage of their lOMoARcPSD|9797 480 strengths to develop their products, develop some more product options so that customers can choose products, in order to maximize choices for consumers Therefore, developing new products and improving products with Vietnamese identity is one of the necessary jobs On the other hand, as we all know, human psychology is like to explore, learn and want to own something new I believe that developing new products with Vietnamese identity will create a sense of excitement for consumers and will help increase revenue for businesses Once this business strategy has been implemented, the business will overcome its weakness: "Products are not rich" Specifically, the company should produce more green tea products with more fruit flavors Products extracted from fruits will bring many benefits to human health With the benefits of green tea products without degrees, we will combine the benefits of fruits such as: oranges, guava, grapefruit, apple, pomegranate Having a suitable price policy As mentioned before, the price of the tea products of the company is at the middle rank but the target customers are mainly students and workers so the company can have more products with lower price to attract more target customers to the shop Enhance distribution policy The company also needs to build up the startegies to increase the number of shops in Hanoi so that customers can easily access the company's products or have more chance to experience the tastes of the products here With only branch in Hanoi, it is a waste if the company invest much in marketing activities and it also causes difficulties for customers to experience the services Covid 19 pandemic has caused the reduction in the renting cost so this can be the suitable time for compnay to consider and choose the right place for its new branches Mixed Promotion Advertising programs need to create more first - time elements and cover more advertising media instead of just using a few old but ineffective advertising forms In reality, there are a number of popular means available today, such as: radio, television, internet , telephone and digital devices Due to the simplification, the company also cut down on the budget of marketing In my opinion, the company also need to estimate a marketing budget, which can lOMoARcPSD|9797 480 be based on sales goals, market share goals, competition levels, etc., and must distribute this budget to improve products, distribution channels, sales promotion means logically Have staff to be in charge of the Home page: there needs to have s staff who is in chrage of the homepage of the company in order to make it update and new to customers such as designing a color photo slide about typical products as well as important recent promotional activities of the company to attract the attention of viewers or having more desciptions of the products to give the meaning of the teas to the customers so that they can understand more about the value of the domestic teas Respond quickly from customers: Resonse quickly to the customers questions and requirements is the best way to keep the close link between the shop and the customers so company should try to answer the requirements of customers as quickly as possible to enhance its brand naame in the mind of the customers Part MY INTERNSHIP ASSESSMENT 3.1 My contribution to the company Interns understand how to operate in a professional working environment, support the Board of Directors to operate effectively, so that: Research and contribute ideas on issues, especially issues related to the marketing segment of Four Springs Tea House Proposing, perfecting and operating marketing programs on online and offline platforms, bringing effective revenue to the company The intern's research work is appreciated and supported by the company, bringing a lot of timely and experienced support to the intern The company's support and support greatly contributed to the smooth operation of the internship project and brought positive results to the report results 3.2 My difficulties and solutions New working environment: changing hours, different working style with students Before, I was used to getting up late, when I did my internship, I had to get up early and work every day at the shop during office hours At first, I was not familiar with the working environment, lOMoARcPSD|9797 480 so there were still confusions about working style Gradually, I also got used to the work and changed myself for the better Lack of work experience and specialized knowledge: lack of specialized knowledge in marketing, some activities I have to research and learn to get the knowledge I want 3.3 Experience gained During the internship at the internship unit, interns hone important skills for learning and development: Research skills, data analysis skills, professional job operation skills , skills in receiving and selecting information, problem solving and decision making skills, strategic planning skills, analysis, skills in using software on platforms; After completing the internship program and completing the study program, the intern and the company will continue to exchange and negotiate on the suitability to continue working together or not The experiences and lessons learned during the internship are the precious things that the interns have and appreciate, and the gratitude to Four Springs Tea House - the intern's internship unit Through the analysis of the Marketing strategy of Four Springs Tea House, the intern realized the importance of carefully preparing and investing in marketing and communication issues for brands/products in the field of F&B industry general and all other industries in particular Conclusion Thank to the internship period, I have gained a lot of soft skills in a short period of time under the helpful guidance of all of my teachers, my tutor in the company and my family I have improved communication skills with other peolle, including leaders, officers and clients and have accumulated a lot of valuable experience, which is the first step in study and work process in the upcoming time I have had a thorough understanding of marketing activities, know how to analyze and assessed the real situation; evaluating service quality through a direct survey of customers to have some suggestions for improving service with the helpful support from my beloved teachers from both universities and my colleagues at the company Although there are still a lot of shortcomings in my report, I really feel that the internship period at Four Springs Tea House has helped me to improve my writing and expression skills in the acacemic context as well as in the real life In the future, I will try my best to become a qualified marketing staff lOMoARcPSD|9797 480 APPENDIX Dear friend The Tea Shop thanks you for participating in the Tea Shop survey The main purpose of the survey is to hear your opinion about the quality of products and services of the Tea Shop that you have experienced Your answers & Personal information will be kept confidential & used only for the purpose of improving the quality of products & services at Tea Shop Tea Shop commits not to share any information with a third party or other purpose Your full name? …………………………………………………………… Your gender? • Male • Femail Your birthday? ………………………………………………… What is your job? A Worker B Student C Freelancer D Other How many time does you usually spend on Tea House? A hour B hours C More than hours Why you know Tea House? A Recommended by friends B Social media ads C Reviewer post of famous person D Near home/work Your favorite type of tea in Tea House? A Original tea lOMoARcPSD|9797 480 B Milk tea C Fruit tea The reason why you comeback with Tea House after the first time? A Taste of product B Healthy product C Ideal space How would you rate the experience with the staff of the Tea House?(Comment - 10 point) ……………………… 10 Will you come back to continue using Tea Shop products next time? A Yes B No 11 Do you feel any difference between Tea House's drinks and other brands? (Comment 10 point) ………………… 12 Are you willing to recommend Tea Shop to your friends/relatives/colleagues? A Yes B Maybe C No 13 What you think if the Tea House continues to launch products (foods, drinks) that are good for your health, your life (Healthy)? Comment - 10 point : ………………… 14 Please leave your Phone Number here so that the Tea Shop can take care of you & send you special promotions just for you!: …………………………………………………… lOMoARcPSD|9797 480 lOMoARcPSD|9797 480 REFERENCES tapchicongthuong.vn onemartviet.vn vi.abivin.com idea.gov.vn theleader.vn accgroup.vn fnbconcepts.com vnbusiness.vn trungthanh.net mqflaver.com ... Four Springs Tea House on the delivery apps May/2021 2.2.3 Strengths and weaknesses of Marketing strategies of Four Springs Tea House 2.2.3.1 Strengths of Marketing strategies of Four Springs Tea. .. PART 2: FACTORS AFECTING MARKETING ACTIVITIES OF FOUR SPRINGS TEA HOUSE The marketing strategy of Four Springs Tea House revolves around the main theme: Optimization Tea House optimizes everything... of Four Springs Tea House compared to other brands Table 1.1: My internship plan at Tea house Images 2.1: The space inside the Four Springs Tea House Image 2.2: Promotional programs of Four Springs