(TIỂU LUẬN) MARKETING CHANNEL EF s vinamilk is a leading FMCG

ASSIGMENT 3A – GROUP REPORT MARKETING CHANNEL EF COURSE LECTURE GROUP MKTG1420 S TABLE OF CONTENT I INTRODUCTION II OFFLINE COMMUNICATION POTENTIAL CUSTOMERS AND MARKET OFFERINGS .3 a Potential Customers: .3 b Market Offerings c How Vinamilk sells its offerings OFFLINE COMMUNICATION CHANNELS III DIGITAL COMMUNICATION CHANNEL 11 UX DESIGN .11 DIGITAL COMMUNICATION CHANNEL 15 2.1 Search engine marketing 15 2.2 Online PR 17 2.3 Online partnership .18 2.4 Social media marketing 19 2.5 Email marketing 20 2.6 Display advertising .20 IV CONCLUSION 21 V REFERENCE .21 I INTRODUCTION Vinamilk was established in 1976 and listed on the Ho Chi Minh Stock Exchange in 2006 The company is 45% government owned and the company is also recognized by foreign and foreign investors 49% shares of the company The capital value of Vietnam's second largest company is estimated at $5.5 billion (NikkeiAsia 2021) Vinamilk is considered the largest dairy company in Vietnam today and the company's head office is also located in Vietnam, operating in the field of food processing, specifically milk The company is engaged in the production and marketing of milk in various product forms such as liquid milk, powdered milk, and sweetened condensed milk along with yogurt as well as frozen yogurt in various flavours Vietnam achieved total revenue of about 59.72 trillion VND and was ranked in the top 10 brand value brands in Vietnam (Minh 2021) Vinamilk is a leading FMCG (fast-moving consumer goods) company in Vietnam and has developed a new online shopping channel to serve the presentation of products to stores, retailers, and distributors (Vnexpress 2016) Vinamilk has 251,000 points of sale on quality including 430 chain stores (Vinamilk 2019) Vinamilk also launched eShop to boost their business activities and investing heavily in online services to make it easier for people to buy goods (Vnexpress 2016) This report will analyse and evaluate the effectiveness of Vinamilk's communication strategy II OFFLINE COMMUNICATION Potential Customers and Market Offerings a Potential Customers: Demographics The goal of Vinamilk is to reach and satisfy the needs of customers at all ages and backgrounds as the company diversifies their range of products and continuously expands their product lines However, the main target market that Vinamilk have always been aiming at are children who are under 14 years old (UKEssays 2017) Moreover, Vinamilk not only the children but also the family at middle to high income class that have kids who are in their growing age, especially the women of the households as they hold vital purchasing power and they are mainly responsible for all purchases of the households (Nelson 2019) Geographic Vinamilk aims to provide possible accessibility to high quality milk for people living in all provinces and cities in Vietnam, however, the majority of their products target families and individuals who locate in big cities as their price is less affordable compared to other competitors That is also the reason for Vinamilk being weak in rural areas and the company would want to improve on this segment in the near future (UK Essays 2017) Psychographic The target customers of Vinamilk are households and individuals who have middle to upper income as the company’s pride of the high quality milk comes with a higher price for consumers Moreover, people who purchase the products of Vinamilk are the ones who pay high attention to the health and physical growth of themselves and their family In addition, young adults and elders who lead a physically active and healthy lifestyle are often Vinamilk’s target customers Behavioural Vinamilk’s target audiences often have a very high usage rate of milk, often daily consumption Also, milk and dairy products are often associated with health, therefore consumers are often skeptical and pay high attention to the quality and safety aspect of the milk-producing process (UK Essays 2017) In terms of media behaviour, social media is primarily responsible for the way consumers gather information but word-of-mouth plays a hugely influential role in affecting the final decision (Demshki 2021) b Market Offerings Vinamilk has been through huge transformations since it was founded more than 40 years ago in 1976 Since its founding, Vinamilk’s primary products have been fresh milk and other dairy products such as yogurt, ice cream and cheese However, in order to reach more consumers and satisfy their needs, Vinamilk has transformed itself to become the most trusted milk brand in Vietnam (Bao Chinh Phu 2021) Their range of products varies to meet numerous needs from affordable milk to organic and nut milk as well as milk for the elderly They also differentiate products in the same product lines by multiple categories such as flavors, functions and ingredients In addition, Vinamilk owns many subsidiary companies such as Asia Coconut Pressing Company c How Vinamilk sells its offerings Vinamilk often offers its products and communicates with its customers through the needs and concerns about improving and boosting their physical condition as well as the added health benefit of Vinamilk’s products Using the fear of many parents, they promote their products as the solution for improving children’s physicality and height Offline Communication Channels Vinamilk fully intends on becoming the leading dairy corporation in Vietnam The organization has continually addressed the needs and psychology of clients, particularly through compelling marketing techniques Channels Stimuli Vinamilk’s Actions Billboard Customers can easily see print advertisements of Vinamilk on the streets of Vietnam Vinamilk consistently focuses on creativity which helps achieve a lot of success from advertising to increase its sales Figure 1: Vinamilk’s billboards OOH advertising Commercials utilizing brand images by trucks spread across the country improves its brand recognition Advertising Figure 2: Outdoor advertising of Vinamilk Personal Direct Selling Selling Staff members are always enthusiastic to offer the best customer service With their professional style to share valuable information about the products and give dedicated advice Figure 3: Direct communication between salesperson and a potential customer (Vinamilk 2020) Door to door With the objective to develop on the domestic market, Vinamilk's marketing distribution system has carried Vinamilk's products to customers advantageously and quickly Thus, to be available in 63 provinces and cities, Vinamilk provides door-to-door marketing for retail stores As of now, Vinamilk has almost 251,000 retail points and supermarkets as well as convenience stores Figure 4: Marketing at point of sale Sales Events Promotion Vinamilk has applied for several promotions with different forms such as discounts, incentives for purchasers who are members of Vinamilk and gift exchange when collecting many gift stamps Figure 5:Vinamilk’s promotion strategy Corporate Social Vinamilk has launched meaningful campaigns for the community which Responsibility contribute to building brand-awareness The flow of events including (CSR) “Quỹ sữa Việt Nam tặng sữa cho 40.000 trẻ em”, “ Lễ Kỷ niệm 40 năm Vinamilk” and “Giấc mơ sữa Việt” has received a great attention from national customers (Brands Vietnam 2021) Figure 6:Vinamilk’s CSR activities in Quang Nam Press media With innovative marketing campaigns, Vinamilk attracted the mass media There has been an excess of 200 news articles on 50 newspapers and TV channels about Vinamilk's occasions Public Relations Figure 7: All activities of the brand are being noticed Sponsorship Vinamilk has become the official sponsor of the national male and female football teams and also the Olympic national team for continuous years from 2019 to 2022 (Vinamilk 2019) Figure 8: Sponsorship signing ceremony in Ha Noi (VietnamNews 2019) Sponsorship Community Vinamilk has supported the government to buy medical biological Supports equipment that helps detect COVID-19 viruses with a sum of 10 billion VND Also, the company has sponsored the COVID-19 frontline across Figure 9: Vinamilk homepage The Vinamilk website is very useful because it is designed for both online shopping purposes of customers In addition, the website is also designed with the main background color being blue and white, true to the milk brand, and all necessary information is conveyed fully and effectively Furthermore, on the homepage Vinamilk clearly categorizes its brand story and content so that it can be easily attributed to the findable element of the website's UX design In addition, customers entering the website can quickly search for information or products using the search bar on the right corner of the website so that customers can easily buy online Figure 10: Search bar of Vinamilk Vinamilk's website is usable and the necessary information can be used such as the product's size, price, and description, which is provided and detailed on each product Such detailed product descriptions help in increasing online shopping traffic and reduce customer frustration when clicking on the products because it influences the decision customer purchases The website also displays the prices of the products being sold or the common products are displayed in detail and are easy to use 11 Figure 11: detail of the Vinamilk’s Product Figure 12: Design about background and font of website 12 A notable feature of the Vinamilk website that contributes to the desirable factor is the way in which the website is designed The website is quite simple because they want to impress and attract young customers, especially cartoon images of the product to attract children Moreover, simple design and color will help people easily recognize the brand Figure 13: Product contain the cartoon images of Vinamilk Vinamilk's online shopping website is accurate, public, and suitable for customers' purposes, in which customers strongly assess credibility in each product Vinamilk is not afraid to hide bad feedback from customers Moreover, on the homepage of Vinamilk is ready to share its development and production process over the years 13 Figure 14: Comment of customer about product quality Besides, Vinamilk's website also shows efforts to support users when they shop online to provide the most accessibility from users In addition to the website's design, an innovative "customer support" feature allows calls for shopping difficulties or product advice Finally, Vinamilk's website has been recognized as valuable because it was created with a purpose and drives more traffic because of its ease of use and from the brand's products and campaigns and fundraising program to promote its brand image Digital Communication Channel 2.1 Search engine marketing According to SimilarWeb 2021, In the first months of 2021, the VINAMILK website has attracted engagement with about 650,60 thousand unique visitors Indicating that VINAMILK's company has developed in the right direction in terms of SEO Figure 15: Traffic overview of the VINAMILK website (SimilarWeb 2021) ● SEO The number of users who accessed the VINAMILK website through search leading with the percentage of 56.47% According to SimilarWeb 2021 Most of these organic keywords are visible in navigational characteristics, which help draw the organic traffic to the Vinamilk site "Vinamilk", "Vinamilk organic" is the top organic keywords search, bringing for Vinamilk’s site high volume search and percentage in traffic (SemBrush 2021) 14 Figure 16: Analyzing organic and paid keywords in the Vinamilk website (SimilarWeb 2021) Figure 17: Top Organic Keywords for VINAMILK’s website (Sembrush 2021) According to Seobility (2021), the VINAMILK site has a great title tag that contains the top keyword "Vinamilk" to navigate searching consumers to visit the site VINAMILK's site creates a robust meta description with convincing information related to the company, matching consumers' expectation seeking However, there is some issue that VINAMILK's site gets into trouble with: the title tag is quite short, and the meta description is longer than the requirement, duplications happened in the heading H1, H2 Figure 18 : The meta description of the Vinamilk website 15 Figure 19: The title tag of the Vinamilk website 2.2 Online PR ● Community Participation Understand the obstacles facing communities during the pandemic Vinamilk strives to support the price subsidy program, pricing products up to 170 trillion VND to share difficulties with consumers during this pandemic (Vinamilk 2021) Besides, in the campaign "A healthy you for a healthy Vietnam," Vinamilk has spent 20 billion VND to provide medical support for 50 treatment hospitals and one hundred thousand health gifts for medical staff in Hanoi (Vietnam News 2021) Vinamilk has created positive impressive brand images for most Vietnamese consumers with meaningful activities for society ● Online Reputation Management There was a rumor that Vinamilk imported procured poor-quality raw materials in 2019 (Thoi Dai 2019) Instantly, Vinamilk has taken action by conveying positive content avoiding customer's misunderstandings and causing a bad reputation for the brand by transparently conveying the product quality information on the website Moreover, once finding the negative content, Vinamilk has given announcements with robust evidence posting newspapers and e-papers to confirm the brand reputation Figure 21: Vinamilk protects their brand’s reputation (Thoi Dai 2019) 16 2.3 Online partnership ● Affiliate Marketing Vinamilk will cooperate with a famous influencer to reach a large number of Gen Z customers and help Vinamilk build trust with customers In this case, Vinamilk has agreed with famous singer Han Sara to introduce new dairy products, resulting in getting much attention from Facebook users, which gained 22.8 thousand likes on Facebook However, the number of shares is limited Figure 22: Influencer introduce new Vinamilk’s dairy products (Recap from personal Facebook) ● Online Sponsorship Vinamilk is the main sponsor of the Vietnam international football team for consecutive years from 2019, accompanying the team by providing quality dairy products, bringing golden nutrition for team members (Vietnam News 2021) In this way, Vinamilk can expand brand awareness more with football-loving consumers 17 Figure 23: Vinamilk sponsor for Vietnamese football team (VietNam News 2021) 2.4 Social media marketing ● Managing Social Presence With several 72 million users on social media (Minh 2021), Vinamilk has grabbed this opportunity to create a brand image on most social media Vinamilk has worked very effectively by reaching 1.94 million subscribers on Youtube to become the first CPC brand in Southeast Asia to reach over one million subscribers on this social platform (Think with Google 2018) Vinamilk implemented the “hero, hub, and help” strategy, which means Vinamilk creates video content that captures the trending moment with YouTuber creators to attract the engagement of Vietnamese women, to retain the child and mom’s interest, Vinamilk creates a series of videos such as kid music videos, Vinamilk also provides cooking tutorials tips for consumers (Thins with Google 2018) 18 ● Viral Campaign Furthermore, Vinamilk's recent viral campaign launched a new Vinamilk Delight ice cream line by partnering with creators on the Tiktok platform through a brand challenge with the hashtag #VuDieuDelight, expanding the potential audience is GenZ As a result, Vinamilk's campaign successfully attracted 71,000 young users, 114,000 videos with hashtags, and 194 million video views (TIKTOK For Business 2021) ● Audience Participation The more interactions on social networks, the easier it is for businesses to increase brand awareness by interacting with more users than traditional marketing (Tom 2018) When customers have questions and need advice under each Facebook post, Vinamilk has a department ready to directly communicate and support customers Figure 24: Vinamilk support consumers on Facebook page (recap from personal Facebook) 2.5 Email marketing For business strategy, Vinamilk uses email marketing to retain and drive conversions to turn potential customers into paying customers (Campaign Monitor 2021) Vinamilk is based on email conversion, which means Vinamilk makes follow-up emails using the email provided by the customer From email marketing techniques, Vinamilk can increase sales and reach a wide range of customers 19 2.6 Display advertising ● Site-Specific Media Buy The most frequent technique for Vinamilk utilization is site-specific media buys Vinamilk mostly buys media for display advertising on Youtube because Vinamilk has success with the youtube channel Hence, once new content of Vinamilk's video is published, the company will accompany it to boost display advertising on Youtube mastered and utilize TrueView ads (Thinking with Google 2018) In this way, Vinamilk stays relevant to more Vietnamese users and speeds up brand awareness IV CONCLUSION Vinamilk has made great efforts in promoting its brand image and products not only online but also offline These online and offline marketing strategies also focus on customer expansion and customer acquisition, as well as targeting and inspiring efforts In addition, the company is also interested in decorating stores and websites to attract and delight customers, and organizes events for children and supports disease prevention Vinamilk also markets its products through major social networking sites such as Facebook and Instagram to attract online audiences Finally, search engines are also used to maximize online customers Therefore, strategic recommendations will be given in the following section V.REFERENCE  Aaron, M 2021, ‘what is online reputation management’, Miniclaw, Sep 1, viewed 29 August 2021,  Bao Chinh Phu 2021, ‘Vinamilk: Thương hiệu sữa người Việt ưa chuộng nhiều 10 năm qua’, Baochinhphu, viewed 3rd September 2021, 20  Ca f e f 2021, ‘ Vi na mi l k - Thi Tr uon g Vi e t na m’ , vi e we d 30 Augu s t 2021,  Campaign Monitor 2021, ‘What is Email Marketing? Why Use Email Marketing?’, Campaign Monitor, viewed 30 August 2021,  Demshki, A 2021, Traditional Word of Mouth Marketing in Rec, CAMPUS REC, viewed September 2021,< https://campusrecmag.com/traditional-word-of-mouthmarketing-in-rec/.>  Don g ,T.2021,“ VI NAMI LK J SC EARNI NGS” ,Vi na mi l k,vi e we d3 Augus t 2021,  Dumont, S 2021, 'The difference between UI and UX, according to designer and Maze CEO, Jonathan Widawski', maze, viewed 29 August 2021,  Dung, N 2021, “PHÂN TÍCH CHIÊN LƯỢC CỦA CƠNG TY SỮA VINAMILK”, Academia.edu, Viewed 30 August 2021,  I nt e r ne tSt a r t up2021,“ Vi na mi l kChi ếnThut ậ Ma r ke t i n gGâ yNghi ệnChoKh c h t ps : / / i nt e r ne t s t a r t up vn/ c hi e ndi c hpr c u a Hà n g” ,v i e we d 30 Augu s t 2021, 21  Luke, M 2021, ‘What are the benefits of paid advertising’, Mo.Agency, blog post, July 1, viewed 28 August 2021,  Minh, N, N 2021, 'Total revenue of Vietnam Dairy Products JSC from 2013 to 2020', Statista, viewed 29 August 2021,  Minh, N, N 2021, ‘Social Media in Vietnam’, Statista, Aug 10, viewed 30 August 2021,  Nelson A, 2019, ‘Women Drive Majority of Consumer Purchasing and It's Time to Meet Their Needs’, blog post, INC, viewed 2nd September 2021,  Nikkei Asia 2021, 'Vietnam Dairy Products Corp', asia.nikkei, viewed 29 August 2021,  Pha n,L.2021,“ Ca mpa i gn:Vi na mi l k -4 nă m Vươn Ca o Vi ệtNa m” ,Br a nds t ps : / / www b r a nds vi e t na m c om/ c a mpa i gn/ 84Vi e t na m,vi e we d 30 Au gus t2021,  SemBrush 2021, Domain overview, SemBrush, viewed 29 August 2021,  Seobility 2021, SEO Checker, Seobility, viewed 29 August 2021,  SimilarWeb 2021, Analyze Vinamilk website, SimilarWeb, viewed 28 August 2021, 22  Smith, A 2021, 'How Understanding UX Benefits Digital Businesses', usabilitygeek, viewed 29 August 2021,  Think with Google 2018, ‘How turning in to audience insights helped Vietnam’s Vinamilk earn awareness and engagement’, Think with Google, November, viewed 30 August 2021,  Thoi Dai 2019, ‘Vinamilk thức lên tiếng trước thông tin thất thiệt nguồn nguyên liệu sữa', Tap chi Thoi Dai, Dec 1, viewed 28 August 2021,  TikTok for Business 2021, ‘Vinamilk Delight’, TikTok for Business, viewed 31 August 2021,  Tom, O 2018, ‘Why Social Media Engagement important for Your Business’, Time Trade, blog post, viewed 31 august 2021,  Tr ươn g , N 2021, “ CHIN Ế LƯỢC MARKETI NG CÔNG TY VI NAMI LK”, Ac a de mi a e du, v i e we d Augu s t t ps : / / www a c a de mi a e du/ 989545 1/ CHIN Ế _LƯỢC_MAKETI NG_CHO_CÔ 2021,  UKEssays, 2017, Vinamilk Marketing Analysis, UKEssays, viewed 2nd September 2021, 23  Viet Nam News 2021, ‘Vinamilk continues to support medical staff in the prevention of Covid-19’ , Viet Nam News, Aug 9, viewed 30 August 2021,  Viet Nam News 2021, ‘Vinamilk product - the secret of golden nutrition for the Vietnamese football team’, Viet Nam News, June 10, viewed 30 August 2021,  Vi e t Na m Ne ws2021,“ Vi na mi l kc o nt i nue st os up por tme di c a ls t a ffi nt hepr e v e nt i on of COVI D19”, vi e we d 30 Aug us t t ps : / / vi e t na mne ws vn/ e c ono my/ 1007499/ vi na mi l k c ont i nue s t os uppor t 2021,  Vinamilk 2021, Vinamilk san sẻ gánh lo mùa dịch với gói trợ giá sản phẩm gần 170 tỷ đồng, Youtube, Aug 2, viewed 28 August Vinamilk, 29 August 2021,  Vinamilk n.d, 'Annual Report 2019', 2021,  Vnexpress 2016, 'Dairy giant Vinamilk launches online shopping site', vnexpress, viewed September 2021,  We ma y2021,“ Chi ếnl ượcma r k e t i n gca ủ Vi na mi l kt ạol ê ns ự đt ộ phá ” ,vi e we d30 Augus t2021, 24 25 ... activities in Quang Nam Press media With innovative marketing campaigns, Vinamilk attracted the mass media There has been an excess of 200 news articles on 50 newspapers and TV channels about Vinamilk ''s. .. Analysis, UKEssays, viewed 2nd September 2021, 23  Viet Nam News 2021, ? ?Vinamilk continues to support... retail stores As of now, Vinamilk has almost 251,000 retail points and supermarkets as well as convenience stores Figure 4: Marketing at point of sale Sales Events Promotion Vinamilk has applied