Introduction
Following the successful acquisition of the Vietnammm.com online food ordering application earlier this year, BAEMIN officially entered the Vietnamese market and covered services in Ho Chi Minh City in June 2019, after more than a month of testing this application on several central areas in the same area.
According to its mission, BAEMIN arrives to Vietnam with the goal of "helping people eat healthily anytime and everywhere" with only a few easy actions done on the BAEMIN app: Choose food, locate the nearest shop, and place your order Your favorite meals will be delivered swiftly and at a very cheap price.
This report will analyze the Food Delivery market in Vietnam and then compare BAEMIN with other competitors like Now, Grabfood, Gofood In the next section, we analyze BAEMIN target customer and focus on their purchase stage behaviours and positioning strategy of BAEMIN.
The objective of this report is to analyze deeply into the 7P strategy of BAEMIN food delivery service, thereby proposing suitable recommendations and solutions for BAEMIN to develop strongly and sustainable in Vietnam.
Market and Competitors Analysis
Market Analysis and Competitor Analysis
The food delivery app has improved the ease of the lifestyle while also encouraging Vietnamese to stay at home to protect themselves from COVID - 19 These applications have been the most popular way for most urban Vietnamese to make their life simpler Size: According to Q&Me Food Delivery Demand increased after COVID - 19 Report, 75 percent had ultilized food delivery services, with 24 percent being new users who began using food delivery services for the first time as a result of COVID – 19.
According to Q&Me Food Delivery Popularity in Vietnam 2020, the proportion of users who have ordered food/drink accounted for 51% Popular apps in the market include Grab food, Now, BAEMIN & Gojek Grad Food or Now are the two most popular apps.
Figure 2 1 Food delivery user trend (Source: Q&Me)
Figure 2 2 Food application penetration Vietnam (Source: Q&Me)
As the oherding method, delivery apps are the most popular While HCM use app more, Hanoi has the higher ratio of social media or telephone orders.
Figure 2 3 Location based food delivery service (Source: Q&Me)
As more individuals become accustomed to ordering through mobile apps, the online Food delivery sector is becoming more vibrant One of the causes for this rising trend appears to be
“Stay at home, limit contact to prevent COVID -19.” Due to this, Vietnam saw a significant increase in online Food delivery in 2020 with 1,140,397 discussions This upward trend is expected to continue until 2021, with a forecasted value of more than $38 million and an average growth rate of 11% over the following five years.
TABLE 2.1 BAEMIN’s Competitor analysis BAEMIN Grabfood Now Gofood
Customer service (Fast delivery, friendly staff, cheap and medium price range, easy to use)
BAEMIN kitchen: food directly prepared by only BAEMIN
Brand ambassadors are well-known to the young such as: Trấn
(distinctive dress code in comparision to other brands and exclusive design, font and character “The Fat Cat” for the Vietnamese market)
It has an excess of human resources as a result of the online ride hailing app Grab.
More Moca wallets have been incorporated into the app for simple payment.
24 hours a day, seven days a week
You gain points for using the service, which you can then exchange for gifts or vouchers.
Each member is eligible for a number of promotions at different levels.
When a customer has an issue, treat it with compassion and resolve it.
Before making a purchase, customers can read comments, reviews, and photographs.
There is a lot of restaurant data out there, and it’s emerged in a lot of provinces and cities.
There are numerous payment options available, including the AirPay e- wallet and credit card payments.
Special offers for each store are frequently available.
Bookings for groups are encouraged.
Food search engine suitable for individuals of all ages.
There are many restaurants to choose from, so it should be easy to find something you enjoy.
Foodstore pictures have not yet been fully updated.
There is no chatbot to solve consumer issues immediately
Cannot pin your location accurately, you'll have to manually enter it
Offers differ depending on the device and the individual.
It's difficult to find a customer's favorite grocery store.
Customers have a large choice of restaurant to select from.
For certain mall restaurants that do not have a contract, a charge is added to the application.
The order is still being verified, and the shipper is still choosing an order.
The app does not accept card payments or e- wallets.
Target Customer analysis and Positioning strategy
Target Customer analysis
- Genders: Both male and female
- Aged: Between 18 and 22, 23 and 29 years old
- Occupation: University students, part – time workers, full – time office worker
- Family size: Single, in relationship, young married couple
Living in urban areas, key cities such as Ho Chi Minh and Ha Noi
- Reason to buy: Time constraints, discount, desire to save money on trip
+ Need arousal: they feel hungry after work and they want to eat something for lunch quickly and time constraints, so they can be on time for the next shift (a need is recognised)
+ Evoked set: They begin browsing for eateries using food delivery apps and compare between the potential apps and decide to choose BAEMIN
+ Search attribute: BAEMIN created the app with a main color and an easy – to – use layout for the customers Furthermore, BAEMIN separates the "healthy" and "sweet" menus so that customers can simply select the cuisine they desire The customers also read some review from others to mke their final decision These tangible attributes help customers understand and evaluate what they will get in exchange for their money and reduces the sense of uncertainty or risk associated with the purchase.
- Service encounter stage: For the BAEMIN application, the brand has recently linked with two large e-wallets, ZaloPay and Momo, along with applying many promotions to encourage payment This is considered as a plus point for BAEMIN in maximizing the customer experience on the phone Furthermore, due to the cute packaging, customer can took photos of the food and post it into their social media account This is a chance for customer to interact directly with BAEMIN.
- Post – encounter stage: BAEMIN customers are reasonably satisfied when BAEMIN’s performance approach or exceed desired levels Customers therefore will be very pleased, these customers are more likely to make repeat purchases, remain loyal to that supplier, and spread positive word of mouth about the good quality of BAEMIN.
- Benefits sought: Convenient, low cost
- Occasion of using the product: Lunch, dinner
- Lifestyle: Healthy, Fast – paced living, enjoyable, pleasant
Positioning strategy
Basic Focus Strategies for Services of BAEMIN is Service Focused BAEMIN mostly provides meal delivery services Following a successful one-year launch in Ho Chi Minh City and increased coverage across 18 central districts, BAEMIN continued to expand to Hanoi and, most recently, Da Nang in 2021.
Despite only entering the Vietnamese market in 2019, BAEMIN has quickly become one of the three most trusted applications among young people, alongside Grab Food and Now The image of a funny Fat Cat wearing a conical hat with a riding helmet in a uniform with a pleasant mint green application interface also draws attention to BAEMIN Moreover, BAEMIN's exclusive slogan "BAEMIN nóng giòn đây!" is comparable to the well-known shout on the food streets of Vietnam ``Bánh mì nóng giòn đây!" which helps customers feel close and trusting. Furthermore, BAEMIN is also a pioneer in the field of niche marketing Unlike Grab Food, Now, or GoJek, BAEMIN launches attractive promotions in each district and quickly captures market share in that district, rather than launching promotions to attract eateries, delivery people, and diners across Ho Chi Minh City
BAEMIN understands that customers order food within a 2-3km radius of where they live and work, therefore the brand concentrates on developing in the central region, attracting sellers and buyers in limited geographical niches, critical areas, and gradually expanding the advantages to other areas BAEMIN drew attention to itself in the Vietnamese market from the start, not only because of its cute mint green outfit, but also because of its slogan “BAEMIN nóng giòn đây!” because they want to ensure the highest quality of food, which means that when the meal is given to clients, it is still hot and retains its flavor Furthermore, BAEMIN's delivery crew always calls back to confirm the order, ensuring that the order is confirmed and making consumers feel more secure.
BAEMIN also offers numerous promotions, with discounts ranging from 50 to 80 percent off a single order Unlike some other brands, the deal only applies to a minimum order of a specified amount and has a maximum discount Furthermore, because BAEMIN's target customers are young people between the ages of 23 - 29 so BAEMIN has very trendy call to action or discount announcements to catch them up with the trends, such as: “Đưa tay đây nào, order chung bạn nhớ” or “Tâm trạng thế nào, giảm giá thế ấy'' brings a sense of enthusiasm and love for life.
Unlike Grab Food, Now or GoJek, BAEMIN delivers messages that emerge for the first time in the online food delivery industry on a regular basis in order to attract each target client group Among these are the campaigns listed below:
Firstly, “Quán ngon quận mình” BAEMIN launched a collection of "Quán ngon quận mình" with recommendations for restaurants and eateries near the range of customers' living, allowing users to easily choose food based on their geographical location, ensuring that the food delivered is still in the best condition, preserving the taste of the dish, and saving the consumer from having to spend time choosing.
Secondly, “Thử chút Healthy” BAEMIN recognizes its consumers' current healthy eating needs, therefore it has created a second collection called “Thử chút Healthy", which includes healthy recipes and menus recommended by notable KOLs such as: Châu Bùi, Helly Tống, Hana Giang Anh, To improve campaign coverage, healthy drinks such as BAEMIN invested in modernizing the application interface in conjunction with Music Marketing via the
"Em bé" MV by Amee and Karik.
Thirdly, “Bánh ngọt” With the message to cherish the priceless sweetness of life itself,BAEMIN encourages female customers to treat themselves with a little sweetness in the midst of this busy and chaotic life The collection suggests popular bakery cakes and treats among young people "Bánh ngọt" like the preceding collection, has updated the program interface with two primary colors pink pastel and mint green colors combined with Music Marketing "Ngọt" MV byJustatee and Rhymastic to attract many young customers.
Positioning map
Analyze the Marketing Mix strategy
Information
To obtain full value from food delivery service, BAEMIN’s customer need relevant information.When customers use the BAEMIN delivery app to order meals, they will be given menu information from various stores and restaurants based on their eating preferences Furthermore,customers may check up store information, items, and prior customer reviews Not only that, but buyers may learn about the shipper.
Order taking
BAEMIN uses Application element to approach their target audience BAEMIN introduce gift card for women’s day, the perfect gift for female colleagues
Figure 4 2 BAEMIN customized their menu information
Billing
Most of BAEMIN’s target aucdience is university students and office workers who have busy lifestyles so they hate to keep waiting for a bill to be prepared at a offline outlets and wasting time later seeking corrections and refunds By using BAEMIN, the menu of each outlets or restaurant can be clear and informative so that customer can check the price of the food before going to purchase The bills are also shown on the digital platform via the app, eliminating the need to print them and saving time for customers.
Payment
When order food and drinks in BAEMIN app, customers can choose 1 of 2 options: pay directly in cash to the shipper or pay via MOMO e-wallet.
BAEMIN’s enhancing supplement including consultation, hospitality,
On BAEMIN's website, there are very clear instructions on how to order food on the online food ordering application, making it easy for new customers to better understand when they first download the app
Figure 4 3 BAEMIN special gift for women's order
Customers who using BAEMIN food delivery app are given a special gift on their birthday. Sepcifically, customers must submit their date of birth while registering to utilize BAEMIN's services BAEMIN has offered birthday presents to clients who buy food through BAEMIN in order to express gratitude and appreciation to consumers who have always trusted and used BAEMIN The presents are tasty biscuits beautifully packaged in a box, together with really appealing discount vouchers.
BAEMIN distributes ecologically friendly plastic and paper packaging, guarantees food cleanliness, and keeps food warm when collaborating with outletss When placing an order, consumers may select a plastic box to contain food 20 eco-friendly containers, as well as a 20% discount purchase voucher for company owners.
When customers express dissactisfaction about low delivery time or the poor quality of food and drink, BAEMIN make an appropriate to response quickly to solve the problem such as give a discount code for the next order
How did BAEMIN innovate their service?
They uses Supplementary service innovations by adding new facilitating or enhancing service elements to an existing core service or of significantly improving an existing supplementary service Only BAEMIN supports placing multiple orders at the same time, currently the rest of the applications do not support this feature yet.
Distribution
4.2.1 Distribution options for serving customers
Determining type of contact: BAEMIN riders visit the customer site outletss or restaurants collab with BAEMIN provides food services to a wide array of customers because the need is location specific.
4.2.2 Channel preference: For BAEMIN’s target audience, convenience is a key driver of channel choice
Service Delivery Innovations Faciliated by Technology: BAEMIN has its own website where provides fully information about the company, service and career opportunities for drivers. Furthermore, customers can choose the denomination for each card, depending on the card value that has different uses
100K denomination card: 100K discount on order, card can only be used once; 300K card denomination: discount 100K on order, card can be used 3 times; 500K denomination card: 100K discount on order, the card can be used 5 times
Figure 4 5 BAEMIN's friendly envvironment plastic food box
Price
The pricing objectives of BAEMIN determine where actual prices should be set given the feasible range provided by the pricing tripod analysis.
Price Strategy Objective: Patronage and User-Based Related Objective: In the express delivery industry, BAEMIN is competitively priced, with varied rates for clients and driver partners.
4.3.1 BAEMIN uses competition – based pricing strategy
Customers are charged the following shipping fees by BAEMIN:
- Travel distance under 3km: same price 15.000 VND per order
- For distances of 3kn or greater, add 15.000 VND + 5.000 VND for each addition kilometer
This is also BAEMIN nonmonetary cost (time cost strategy) Today’s customers often are time constrained and may use similar terms define time usage as they do for money; for instance, consumers talk about budgeting, spending, investing, wasting, losing , and saving time Time spent on one activity represents an opportunity cost because it could be spent more profitably in other ways
Meanwhile, Now and Grabfood’s customer are charged with the following shipping fees:
- Grabfood: For the first 3 kilometers, the minimum fee is VND 12,000 or VND 15,000, depending on the restaurant, and VND 5,000 for each additional kilometer.
- Now: Orders delivered from 0km to 3km are 15,000; orders delivered from 3.1km to 4km are 18,000; orders delivered from 4.1km to 5km are 20,000
BAEMIN will deduct 10% VAT from the total shipping income for each successfully delivered order BAEMIN receives a 20% discount on the remaining shipping revenue, while Partners receive an 80% discount.
BAEMIN have reduced their dependence on traditional cost accounting systems and developed activity-based cost management systems (ABC), which recognize that virtually all activities taking place within a firm directly or indirectly support the production, marketing, and delivery of goods and services It’s essential to distinguish between those activities that are mandatory for operation within a particular service business and those that are discretionary The traditional approach to cost control often results in reducing the value generated for customers, because the activity being pruned is, in fact, mandatory to provide a certain level and quality of service. BAEMIN employs three different types of bonuses:
- Bonus for high-value units: In Ho Chi Minh City and Hanoi, the driving partner will receive an additional 5000/order for each successful order with a total value of food >150000 before applying the offer.
- Daily Bonus: Based on the number of orders completed during the day, the driver partner receives the relevant Bonus.
- “BAEMIN Đi chợ” Bonus: Partners get an extra bonus if they complete “BAEMIN Đi chợ” application, with different rewards in Hanoi, HCMC, Da Nang, and currently not available in Can Tho.
4.3.4 Key categories of rate fences
- Time of booking or reservation: Night surcharge: The delivery fee for each order placed after 10 p.m will be automatically increased by 5,000 per order (The customer is responsible for payment.)
- Flexible delivery fee: When the weather is bad and the order volume is high, BAEMIN automatically charges clients in the area a flexible delivery fee (ranging from 3000 to
- Parking surcharge: BAEMIN charges an extra 5000 parking cost to customers who reserve at the Trade Center Restaurant.
- Delivery fee: When placing an order in Ho Chi Minh City, BAEMIN allows consumers to select "Request delivery" and charges a delivery fee of 15000/order This charge includes a $5,000 deposit (of which the partner receives 100%) and a $10,000 service fee (Partner receives 80 percent , BAEMIN collects 20 percent discount) BAEMIN, on the other hand, has yet to implement door-to-door delivery in Hanoi, Da Nang, and Can Tho.
- Service fee: Customers must pay a fee of 2000 per order when ordering through the BAEMIN app The "Total amount to be paid" part of the client app includes service costs.
- Customers who place low-value orders are charged a small order fee.
Promotion
Prospects: Customers in their forties and fifties can become potential customers because they are easily influenced by their children who use an online food ordering application.
Users: Because of the discount programs that BAEMIN offers, young people such as students and office workers between the ages of 20 and 30 make up the majority of BAEMIN's users.
Employees: Shippers and teams from each BAEMIN department are also among the target audiences that BAEMIN must focus on and target.
With a target demographic of female office workers aged 20 to 30, BAEMIN dives into a variety of emotional components in order to fulfill their different dietary requirements As a result, BAEMIN's communication campaigns always highlight the most important tasks to complete.
- Emotions can be used to extract customers' ideas and impressions about food choices, pushing them to act on campaign objectives.
- Create memorable images of companies and BAEMIN brands.
- Build awareness and interest in an unfamiliar service or brand.
- Build preference by communicating the strengths and benefits of a specific brand.
- Reduce uncertainty and perceived risk by providing useful information and advice.
- Teach customers how to use a service to their best advantage.
Service outlets: Customers will not engage with the interior architect because this is an online service that takes place outside where things are delivered and received, but they will have direct feedback on BAEMIN's corporate design And the brand's corporate design features a pastel mint predominant palette, a main image of the cat - the brand's mascot, and a modern and youthful style It has established a unique highlight of the brand's visual appearance, especially with the typography design on uniforms, delivery bags, and hats BAEMIN focuses on establishing in users by many posts on social networks the belief that the brand is meticulous at all stages of the service environment The aim is that BAEMIN wants customers to be able to recognize the brand more easily.
Frontline employees: For this channel, BAEMIN had a detailed and well-defined
Figure 4 6 BAEMIN's service outlets for BAEMIN's partners where there are videos to guide the application procedure and the essential driving skills.
Self-service delivery points: On social media and on BAEMIN's website, BAEMIN encourages self-service delivery Customer service is available through the app, and the website is where you can register to become a sales partner As a result, BAEMIN has a unique protocol in place for how to register as an official partner Sales partners can register online or call the hotline at 19003090 and offer information to the call center employees directly However, there are still some restrictions on how to use the hotline.
Customer training: BAEMIN has trained customers how to use this service on the
BAEMIN app, providing all relevant right details on the service delivery process directly on Social platforms such as BAEMIN’s fanpage, Youtube channel, website and on e-commerce forums This channel will give the benefits to familiarize customers with the service process and to teach them how to use it to their best advantage
In terms of in-house advertising campaigns, BAEMIN has used a music marketing strategy to create a massively successful campaign Music marketing has always been a "potential area" for brands to communicate their message to the public BAEMIN immediately
Figure 4 7 BAEMIN's rider are trained to speak English recognized this trend, owning two ADS MVs and one storytelling video within three years of operating in Vietnam
=> The common thread running through these three ads is INSIGHT and CONSUMER BEHAVIOR.
Insight: Women, primarily office workers and modern women, are BAEMIN's target market From its conception to the present, the age group 25-34 (adult age group or office employees) has generated a total of those interested, with 57.5 percent With 38.1 percent, young adults aged 18-24 come in second Female customers still account for 67.8% of all customers, whereas male customers account for only 24% of all customers.
People who desire to eat regularly but are still afraid to get out of their comfort zone. Because good restaurants are frequently located a long distance from home.
Those who desire to eat well but are frightened to COMMENT on the quality of the food to the owner.
=> This is the KEYWORD DEEP BAEMIN is going for, based on these two common points.
BAEMIN was a resounding success after three campaigns BAEMIN has reduced uncertainty and perceived risk by providing useful information and advice Customers' psychology and trends have always been well understood by the brand, which has been represented through music and storytelling BAEMIN is a serious competitor in the food delivery service industry, as evidenced by the following statistics:
Campaign 1: Story telling: BAEMIN saw a 9.5 percent rise in app installs during the week of May 21, 2020 to May 28, 2020.An increase of 4.2 points in ad recall. Without support, brand awareness increased by 3.5 points.
Campaign 2: “Thử chút healthy” - MV “Em bé” - Amee, Karik
After only two weeks, the video had 11 million views and was the top trending YouTube video after only three days.
Total Number of Comments (Buzz Volume): 41,472
Audience Scale Number of participants in the discussion: 29,839 - Sentiment Score: 0.81 Relevancy Score: 0.28
Campaign 3: Ngọt - JustaTee x Rhymastic x BAEMIN
After only two days, the video had achieved 1 million views and was ranked #10 on YouTube's trending list.
BAEMIN has established a deal with ChieuDuong Media to promote the BAEMIN brand "down the street." BAEMIN's outdoor advertising billboard, which is clearly displayed on Phu Dong Thien Vuong street and other districts day and night, has drawn a large number of passersby
The meaning of this outdoor campaign: With the commercial "Delicious restaurant in my district," BAEMIN "shakes hands" with artist Tran Thanh, who is "dressed in blue," throughout Saigon Meanwhile, they highlight their differences from the "big guys." Specifically, by concentrating on high-quality, tasty meals in immediate contact to the customers This not only makes ordering through the App quick and easy, but it also tastes great.
Young Saigonese are progressively becoming accustomed with the stunning blue color of the BAEMIN Rider guys The parade across the main highways in District 1 and District 3 on June 27 and 28 was one of the first operations of the BAEMIN warriors in their mission to conquer Vietnamese customers A BAEMIN rider on a white vespa crept about Saigon, wearing a cool mint green blouse and cap b) PR
When BAEMIN first started, BAEMIN instantly followed the music event Vlive: VHeartbeat in July, with the idea of "the country of Kim Chi." After only one month of operation in Vietnam, BAEMIN created an impression on users with its "ticket campaign," which has been widely shared by the internet community.
Figure 4 9 BAEMIN’s exteriors of bicycles
Figure 4 10 BAEMIN's poster on Facebook about Vlive event
BAEMIN did not miss an opportunity to make a significant impression on the audience in order to promote the brand's image when it comes to becoming an official partner of this event With two campaigns to "get tickets" and 2,126 total mentions in just one month, the internet community quickly spread the message about BAEMIN.
BAEMIN has a fantastic booth at the event for participants to check-in and live virtually on the day of the event A modest booth will also be present to showcase BAEMIN Gourmet's exclusive items, Chubby Chicken and Pulloo Hot Dog When BAEMIN understood the participants' wants and preferences, he created a significant impression BAEMIN created a significant impression when he first debuted because of this, and it piqued the interest of today's youth.
Figure 4 11 BAEMIN Gourmet's exclusive items c) Sales promotion:
For users: BAEMIN persuades new consumers with exceptionally appealing offers on rates and delivery fees As a result, new consumers become regular customers, and BAEMIN always comes up with appropriate sales promotion tactics to attract customers and compete in terms of promotion with major competitors such as Grab, Now, Gojek, and others Because BAEMIN understands that customers have a habit of comparing offers on a regular basis and would prefer to seek the services of firms that have more appealing offers and lower delivery costs As a result, BAEMIN is continually upgrading and delivering new and enticing offers on prices, shipping fees, and BAEMIN's items in order to impress and maintain clients Seasonal, monthly/quarterly promotions, buy one get one free promotions, coupon code special offers, etc
For employees: In 2021, as the COVID epidemic becomes more complicated, BAEMIN's partners - drivers working for the same brand - will be better supported in terms of spirit
Process
BAEMIN uses information processing When a customer feels starving and wants to eat something, they choose their favourite/well - known outlets or restaurant of their choice, scanning the menu items, choosing a suitable item, and finally choosing for pick-up or delivery Payment is then administered by paying through MOMO or directly paid to the shipper
Using a service blueprinting methodology, we will explain essential tasks from both the customer and the provider's perspectives, and we will discuss how mobile technology affects BAEMIN's service experience We will also outline three potential areas of failure or
"bottlenecks'' that could severely impact the consumer experience Finally, we will offer some ideas for how BAEMIN may solve these issues.
We'd like to summarize what we determined to be the three most important client activities in guaranteeing the success of the BAEMIN service:
Prior to cell phones and the digital revolution, people would call their favorite restaurants or stores and place their orders over the phone The food establishment arranges for a delivery person to bring the meal order to the customer's door The whole procedure was manual, and there were several faults in the system, increasing the likelihood of mistakes and mismanagement while making orders.
For instance, a milk tea store can choose to assemble milk tea in a direct interaction with a customer through a shipper and then the store would prepare the milk tea, so that the store increases its customization (and probably customer satisfaction, which is an important indicator for a successful business).
4.5.2.1 Step 1: User enters BAEMIN app
Whenever user feels hungry, instead of going out and searching for food, simply he or she can enter BAEMIN app.
4.5.2.2 Step 2: Selects the favorite milktea flavour
All available milktea products, along with their pricing, will be published online in the BAEMIN food ordering system.
There is nothing like having someone come and explain the menu to the customers So, without feeling rushed, the consumer may easily browse online menu and select his or her favorite food. BAEMIN also has a delivery time option, allowing customers to pick an exact delivery time based on their availability.
4.5.2.3 Step 3: Add items to cart
Following the selection of the dishes, the following step is to add those specific food items to the cart This cart page clearly displays the overall price of the food items that the user has chosen, as well as the individual item pricing The user may simply add/remove goods or increase the item number as needed This mostly assists the customer in ordering precisely within the given budget.
4.5.2.4 Step 4: Pay and order online
The following step is for the user to give a delivery address and pay for the meal that they intend to order When the user makes a payment, the transaction is verified, and BAEMIN’s partner is immediately alerted of the new order, along with the user.
4.5.2.5 Step 5: Food preparation and delivery
As soon as the order is placed, BAEMIN’s partner will be alerted about the new order, delivery time This makes it simple for them to prepare food on a priority basis Finally, once the meal has been prepared, it may be safely delivered to the consumer using an online food delivery system.This meal delivery system also allows users to conveniently track their food orders at any time.
Physical Evidence
Application Color: BAEMIN's application with the logo of mint green as the main color combination with white, which both preserves aspects of Korean cultural identity while generating a charming and youthful sensation appropriate for the target demographic of clients:Personnel in the office Make it simple for people to recall the brand image
Furthermore, BAEMIN's promotions in the app are segregated by content relating to each menu that BAEMIN proposes, for example, the section “Top thương hiệu” will only suggest brands like Highlands, Popeyes, Tocotoco, and so on The section “Quanh đây có gì ngon” will recommend restaurants to clients depending on their proximity, whilst the section “Trùm cuối khao” would recommend dishes with hourly discounts Moreover, changing the application interface on a regular basis in response to events creates newness for customers and attracts more youthful customers
Shipper attitude: The shipper team's call back to customers after they place an order creates a sense of certainty and professionalism, making customers feel secure and they can have a chance to change the order or cancel it.
Image: It's still a big light mint green background with an outstanding white font and a delivery man with a smiling image creating a welcoming, outstanding atmosphere Large BAEMIN's outdoor billboards are positioned at intersections and roundabouts, with short but incredibly memorable rhymes dedicated to each district, such as "Tân Bình nhà anh đó, đặt là có anh giao" or "Anh ở quận 3, em vừa bước ra là anh giao tới." After a day at work, the verses on BAEMIN's outdoor billboards may be what customers remember about the brand when compared to other competitors in the online food delivery market.
Figure 4 21 Brand image of a funny cat and delivery man
Payment feature: Outside customers can change the default payment method, which is the default money, to other forms of payment such as: ATM card, visa / master credit card, Momo wallet, Zalo pay wallet make customer payments more convenient.
Promotions: BAEMIN frequently runs sales promotions during the hours of 11 a.m to
12 p.m or 3 p.m to 6 p.m to encourage customers to use the application BAEMIN also offers discount programs for customers who enter discount codes such as: “Weekend code: 50 percent off up to 30,000 VND for orders starting at 35,000 VND” or code “HANQUOC: 35K discount for orders starting at 40K applied to Korean dishes and restaurants in the program” These discount code draw a large number of students because they enjoy the discount activities and are encouraged to invite friends.
All of these promotional activities give consumers the impression that they receive more benefits when using BAEMIN instead of other applications and eating directly at the restaurant. Furthermore, having a variety of discounts available on each individual item will encourage customers to order food even if they are not hungry.
Delivery speed: The "Quán ngon quận mình" collection recommends restaurants near where customers live with the goal of bringing dishes that are not only appealing but also retain the original heat and quality As a result, customers can have complete confidence in BAEMIN's delivery speed, giving preference to choosing BAEMIN during peak hours.
Eateries Quality: BAEMIN's partners are almost all popular with young people and typical of their respective neighborhoods so customers can completely trust the food suggestions from BAEMIN.
Application Interface: The application interface remains in two primary colors: mint green and white Furthermore, unlike Grab Food, Now, or GoJek, the theme picture for each food item, such as drinks, snacks, fast food, etc., is developed in the form of a self-drawn cartoon logo that is appealing to the customer, makes it easier for users to find their favorite food and also makes an adorable vibe.
Staff’s Uniform: BAEMIN shippers' uniforms, helmets, and food containers are all lovely mint green, just like the App's main hue This provides synchronization, and the mint green hue of the uniform creates a light and cute sensation, perfect for the target group of consumers between the ages of 20 and 30 who work in offices, or a favored group of young customers that adore Korean culture with pastel colors
Figure 4 23 BAEMIN’s call to action sentences
Symbol: The image of a funny fat cat wearing a mint green helmet sitting on the shipper's food container is carefully drawn, all with the brand's main mint green appearance From there, the target customers can feel youthful, humorous, as well as the fact that BAEMIN is an application for its own generation, giving them the impression that they are focused.
Call to action: The brand intimately expresses even simple trendy call-to-action sentences: “BAEMIN nóng giòn đây!”, “Đưa tay đây nào, order chung bạn nhớ” or “Đặt không cần cớ, cần code cơ”, etc These catchy call to action sentences both thrill the target demographic of clients since they believe BAEMIN is always on trend, and serve as an incentive for customers to use the delivery service even when they are not hungry
Slogan: The catchy slogan “BAEMIN nóng giòn đây!”, which appears on the delivery boxes of shippers on a regular basis, makes passersby pay attention while driving Furthermore, the slogan captures customer’s attention and trust because it creates a sense of familiarity and cozy with Vietnamese people, similar to the slogan “Bánh mì nóng giòn đây!”.
After analyzing and presenting BAEMIN's physical evidence elements, it is clear that BAEMIN has done well in impressing its target customer group with cute mint green theme images, appealing promotional activities at various times of the day to catchy, memorable, and trendy calls to action sentences
Moreover, BAEMIN's brand recognition among potential middle-aged buyers has improved dramatically As a result, BAEMIN should have a lot of discount activities as well as family dining vouchers to target potential customers who are in their forties and fifties since they utilize applications that their children use.
People management
Human resources management - How does BAEMIN get right in?
In this section, we will discuss BAEMIN’s HR strategies that can help BAEMIN’s service to move toward its goal
BAEMIN’s definition of an ideal hire is someone who is “self-leading, confident and outstanding.” - Based on such characteristics, BAEMIN will hire a large number of workers in functional disciplines Employees in other departments will be selected according to criteria that are appropriate for the company.
Especially employees that provide the service directly, BAEMIN has two important hire partners: drivers and restaurant partners BAEMIN always encourages partners to register and try for free in order to find partners that match the brand's image, but the methods of selecting partners are carefully regulated by BAEMIN through several steps to ensure they are successful output quality For partners who are drivers, BAEMIN provides a quick, 7-step registration process that is classified by a preliminary test, which can be completed both online and offline. The registration process for restaurant partners is encapsulated in 2 steps and takes only two minutes, yet it nevertheless ensures that BAEMIN's criteria and goals are achieved
=> These HR processes illustrate that the registration processes for becoming a partner are quite extensive, and that the recruitment staff works actively to find candidates that match the brand's image.
4.7.2.1 Building high performance service delivery teams:
BAEMIN always cares about developing team structures and skills Every aspect of BAEMIN is clearly motivated to grow to its full potential Because BAEMIN is a fast-growing company, team members will have many opportunities to accelerate While each person is hired for a specific task, their abilities and interests will play a big role in their learning, development, and transfer to other departments.
In response to the continuously changing FoodTech landscape, BAEMIN motivates their employees to keep up with consumers and the market so that they are aware of how it may impact their work They must also learn from each other and the industry in order to improve their skills and better serve users.
We provide necessary interviews for newbies in addition to training sessions This is an opportunity for them to view the market immediately, as well as interact with riders and
37 merchant partners Every week, each department receives input from consumers, restaurants, and drivers (voice of customers, voice of merchants, and voice of riders)
BAEMIN also has a youtube channel “Học viện BAEMIN” for training drivers skills. BAEMIN provided drivers with intensive training in basic English as well as first-aid instruction. These programs are available on the Youtube platform for drivers to access and learn at any time and from any location, making them extremely accessible and full of essential information and knowledge.
4.7.3 Motivate and Energize BAEMIN’s people
BAEMIN has always had clear payment and performance bonuses, as legally permitted in labor contracts, as well as appealing gifts for its staff, drivers, and restaurant partners In comparison to its competitors, BAEMIN dedicated websites to partners when it comes to driver salaries, restaurants, and eateries BAEMIN publicly and transparently publishes salary, bonus, and other financial details on those websites Always up to date with incredibly focused, clear, and detailed policies for rapid service.
Figure 4 24 BAEMIN’s first-aid instructions
Evaluation and Recommendation
Product
BAEMIN have a very clear product strategy I think they have to focus more on Product line extensions like BAEMIN like shipping goods within a city These new service maybe targeted at existing customers to serve a broader array of needs or designed to attract new customers with different needs.
Price
Consumers' buying patterns have changed as a result of the COVID-19 epidemic, and they have limited their budgets, thus BAEMIN should lower delivery prices to fulfill customer needs. Discounts are also available for driver partners to ensure their quality of life, as well as discounts for restaurant partners to encourage cooperation.
For "BAEMIN Đi chợ" BAEMIN should extend to cities other than Hanoi, Ho Chi Minh City, and Da Nang, such as Can Tho, Hai Phong, and others, in order to encourage customers to shop online and enhance revenue for driver partners
Figure 5 1 BAEMIN should extend to medium cities
Distribution
Currently, BAEMIN is only present in big cities in Vietnam, I think BAEMIN should expand its service to other potential markets such as Hue, Hai Phong, Nha Trang.
Promotion
In our viewpoint, BAEMIN has done an excellent job with the brand communication efforts,efficiently and creatively conveying the message to the target customers The advertisements from BAEMIN do not specifically address eating and drinking needs such as meal selections,delivery speed, or promotion policy Instead, the company focuses on emotionally interacting with users so that they can not only "eat well," but also "have fun," and be physically and mentally satisfied.
Process
BAEMIN builds a very strong and clear food delivery process for their customer.BAEMIN should continue to provide Clear information BAEMIN should introduce default messages for riders on the way, sure, no problem etc Application should be regularly updated
Physical evidence
After analyzing and presenting BAEMIN's physical evidence elements, it is clear that BAEMIN has done well in impressing its target customer group with cute mint green theme images, appealing promotional activities at various times of the day to catchy, memorable, and trendy calls to action sentences
Moreover, BAEMIN's brand recognition among potential middle-aged buyers has improved dramatically As a result, BAEMIN should have a lot of discount activities as well as family dining vouchers to target potential customers who are in their forties and fifties since they utilize applications that their children use.
People
BAEMIN, in my perspective, has put a lot of effort into managing his human resources.
In my view, BAEMIN should have more policies on maintaining the health and morale of drivers in order to strengthen the brand's HR department BAEMIN, for instance, can make a fixed amount of rest stops in the central area So that the drivers can rest and have lunch after single