Theoretical background of brand and brand building

1 TABLE OF CONTENTS TABLE OF CONTENTS ACKNOWLEDGEMENTS .3 ABBREVIATION .4 LIST OF TABLES .5 LIST OF CHARTS EXECUTIVE SUMMARY .7 CHAPTER INTRODUCTION .9 1.1 Back ground and rationale 1.2 Research problems 10 1.3 Research objectives 11 1.4 Theoretical background 12 1.5 Research methodology 12 1.5.1 Collecting data .12 1.5.2 Analyzing Data Method 13 1.5.3 Relativity of the data 13 1.6 Scope and limitation of the research .14 1.6.1 Scope of the research .14 1.6.2 Limitation of research 14 1.7 Structure of the thesis .15 CHAPTER 16 THEORETICAL BACKGROUND OF BRAND 16 AND BRAND BUILDING .16 2.1 The concept of Brand 16 2.1.1 Brand definition .16 2.1.2 Brand personality and characteristic 17 2.1.3 The importance of Brand .19 2.2 Brand building 21 2.2.1 Brand strategy and its importance 22 2.2.2 Brand building process 23 CHAPTER 38 CURRENT STATUS OF THE BRAND BUILDING FOR VTV6 CHANNEL 38 3.1 Introduction about Vietnam Television Station and VTV6 channel 38 3.2 Condition and motivation for the brand building of VTV6 41 3.2.1 Macro environment of Vietnam .41 3.2.2 Analysis of Vietnam Television Broadcasting Industry 43 3.3 Current status of the brand building for VTV6 56 3.3.1 VTV6 Brand base structure 56 3.3.2 Brand positioning of VTV6 60 3.3.3 VTV6 Brand Development Strategy 63 3.3.4 VTV6 Brand communication Strategy 64 3.3.5 Evaluating Brand awareness of TV viewers 66 3.4 Summary about the success and the existing problems in the Brand building process of VTV6 73 3.4.1 Success of VTV6 in the Brand building process 73 3.4.2 Existing problems in the brand building process of VTV6 74 3.4.3 Reasons for existing problems in the Brand building process of VTV6 .77 CHAPTER 82 RECOMMENDATIONS 82 4.1 VTV6’s strategic development in the period 2010 – 2015 82 4.1.1 Overview about VTV6’s strategic development in the period 2010 – 2015 82 4.1.2 VTV6 Brand strategic development in the period 2010 – 2015 83 4.2 Recommendations & Conditions for applying .83 4.2.1 Recommendations 83 4.2.2 Conditions for applying suggested recommendations 97 CONCLUSION 99 REFERENCES 100 APPENDIX .101 ACKNOWLEDGEMENTS This thesis was completed with great support and encouragement of the author’s instructors, family and colleges First of all, I would like to express my deeply thankfulness to my instructor – Dr Tran Thi Hong Viet, who always gave me detailed suggestions & valuable advices on each part of the research I would also like to express my gratefulness to the teachers, trainers of Business School – National Business Economic University who has provided me professional knowledge during the EMBA course and created favorable conditions for me to complete the final thesis I also send deep thanks to the leaders and colleges of Media Center for Youth – VTV6 who were always willing to answer my interview questions and well as providing me the related necessary documents Last, but not least, I would like to say thanks to all of my classmates, my family and especially my husband who have give me much encouragement and support during the time I perform this thesis All of these support and encouragement were acknowledged in this thesis as an indispensable part for its final result Hanoi, Decmber 2009 PHAM THI MAI HOA ABBREVIATION BBC British Broadcasting Corporation CNN Cable News Network DAB Digital Audio Broadcasting DRT Dang Radio and Television DVB Digital Video Broadcasting DVTV Danang – Vietnam Television ESPN Entertainment and Sports Programming Network HBO Home Box Office HCTV Hanoi Cable Television HTV Hochiminh Television HTTV High Tech Television IPTV Internet Protocol Television IS Internet subscriber IT Information Technology MTV Music Television OOH Out Of Home SCTV Saigon Cable Television TVC Television Commercial USP Unique selling proposition VTV Vietnam Television VCTV Vietnam Cable Television LIST OF TABLES Table 1.1: The difference between Brand identity and Brand Image………………… Table 3.1: The viewers rating in Hochiminh city……………………………………… Table 3.2: The viewers rating in Hanoi ……………… Table 3.3: Table 4: VTV6’s market segmentation…………………………………… LIST OF CHARTS 28 54 55 58 Chart 2.1: Buying decision making of customers ……………………………………… Chart 2.2: Group Brand Strategy ……………………………………………………… Chart 2.3: The role of Brand communication………………………………………… Chart 2.4: Customer Brand awareness and Brand Building model …………………… Chart 3.1: The organization structure of VTV6 ……………………………………… Chart 3.2: Hochiminh city’s most watched channels ………………………………… Chart 3.3: Hanoi’s Most Watched Channels …………………………………………… Chart 3.4: Can Tho’s Most Watched Channels ………………………………………… Chart 3.5: Da Nang’s Most Watched Channels …………………………………… Chart 3.6: Phenomenal growth of Internet …………………………………………… Chart 3.7: Ranked website and Est daily hit ………………………………………… Chart 3.8: Brand Strategy of VTV6 …………………………………………………… Chart 3.9: The viewer’s understanding with VTV6’s targeted customer……………… Chart 3.10: The level of viewers’ VTV6 logo recognition…………………………… Chart 3.11: The level of viewers’ VTV6 slogan awareness…………………………… Chart 3.12: The level of viewers’ VTV6 brand identity awareness…………………… Chart 3.13: The frequency of viewers watching VTV6………………………………… Chart 4.1: The organizational structure of VTV6 with Branding department………… Chart 4.2: The cooperation model in working process within VTV6 channel………… Chart 4.3: Program content censoring process of VTV6 ……………………………… 19 32 34 37 40 47 48 49 50 52 53 63 67 68 69 70 72 93 95 96 EXECUTIVE SUMMARY Vietnam Media Department for Youth (VTV6) affiliated with Vietnam Television Station was established in the beginning of 2007 to implement the project of building one particular TV channel for Youth named VTV6 With targeted viewers aged from 15 to 25, VTV6 plans to position itself to be the number-one channel for Youth in Vietnam where young generation can find a wonderful place for them to learn, to play and to grow up However, VTV6 was born in the context that the competition in Television broadcasting industry become fierce than ever before, so that it’s so challenging to attract the TV viewers in general and the Youth in particular In order to reach its goal, VTV6 has implemented the brand building to create its own differentiation as well as to define one relative place among other competitive TV channels in the mind of TV viewers Though this program was carried out methodically, initial observation has indicated that VTV6 did not reach its target and it is blamed for weakness during planning and implementation of the brand building process Though this process is under implementation, a research on it is necessary form preliminary evaluation, thus providing some references for VTV6 in the Brand adjustment in the future This thesis studied about the brand building process of VTV6 By looking at the process of Brand building for VTV6, the thesis analyzed problems existing, research about the Brand awareness of TV viewers and proposes appropriate recommendation for improving the effectiveness of Brand building for VTV6 The thesis revealed some key findings: Regarding the Brand base structure and Brand positioning, VTV6 has been failed in applying the system of Brand identity and in determining the main personalities and characteristics of The Brand VTV6 Furthermore, VTV6 couldn’t determine: who are their targeted customers that lead to the confusing of viewers about the image of VTV6 In terms of Brand communication, VTV6 has used ineffective method of Brand promotion that make it become dim and not impressive in the viewer’s mind and hearts VTV6 almost promotes itself on its channel, that’s is the main reason why its communication is not effective Lack of internal communication also makes the normal staffs couldn’t understand deeply about the Brand of their company and certainly, they not contribute in the process of Brand building Finally, due to subjective reasons like: the political orientation of Vietnam Television leaders, the lack of financial budget, the limited access viewers since broadcasting via cable system make the brand building of VTV6 unsuccessfully Based on the findings, the below is recommended for consideration of VTV6: - Restructuring the Brand identity system and adjusting the Brand positioning of VTV6 - Building the consistent image of VTV6 channel via VTV6’s programs - Improving the Brand communication by improving the PR programs and advertising campaign - Training Brand awareness for staffs, including Brand sections and staffs at content department - Setting up specialized department and improving the cooperation between the Brand department and the content department - Suggesting on changing in management mechanism of Vietnam Television with VTV6 The thesis focuses on the Brand building process of VTV6 and from that raising some solutions to improve the situation The findings from research reflect there must be adjustment for the Brand Building of VTV6 and thereby bring about the realistic application of the thesis Additional explanatory information and support for findings and recommendations are contained in this thesis CHAPTER INTRODUCTION 1.1 Back ground and rationale Together with the development of Information technology, mass of media companies, communication groups and TV channels were born That leads to the overlapping in the Television broadcasting industry among different TV-channels Many similar TV-channels were born lacking of specifically research Almost every TV-channels have not had specific characters and differentiations to be recognized easily by the TV-viewers One of the main reasons for this current status is that they have not use the strategies to determine obviously targeted viewers, features, characters, stylish and differentiation for themselves On the contrary, in the international market, for ex in the US, there are about more than thousand TVchannels which one its own specific characters with different ways of communication and representing information With each TV-channel, TV-viewers can see and can feel different outstanding features and different attractiveness That’s the reason why the almost every leader would like their TV-channel focus on very specific objective and very specific targeted TV-viewers Like a new product, a new TV-channel needs to be inclined with a strong brand so as to be remembered and take a relative place in the viewers’ mind So that, brand building for one new TV-channel like VTV6 is very important to help it succeed and be well-known by mass of TV-viewers However, for many objective and subjective reasons, the brand building of VTV6 has not been effectively enough to build a strong brand in the viewers’ heart and mind That the reason why VTV6 channel has been born in two years, the rating of viewers who watching it is very low Many people evenly don’t know about the existing of VTV6 So that, the research on brand building of VTV6 is very necessary That would help VTV6 have an overview about the methodical process of brand building Moreover, that helps VTV6 to reposition a brand with its own clearly features as well as to be easily recognized and attract more and more TV-viewers 1.2 Research problems Brand building in television industry will provide TV viewers with understanding about the mission, vision, image and the specific characteristics of each TV channel or programs However, the quantity of the whole brand building process and each particular action step are important factors that lead to the effectiveness result The application depends on two parts One is the internal force and the actual capacity of VTV6 channel, one is the supporting part of Vietnam Television Station (VTV6 is only one center that belongs directly to Vietnam Television Station) Regarding the first part, VTV6 has not people who specialize in marketing and branding field with related professional skills & knowledge The brand building process of the leaders is not clearly and not methodically The leaders of VTV6 couldn’t determine which characters, which features and which differentiations that they would like to link with its brand most Some leaders in VTV6 want it to be known with the fresh- air & youthful of entertainment programs Some others want it to be known with the style of commentary Youth Evenly, they couldn’t determine the age of core TV-viewers (from 15 to 25 or elder 18 to 35) So, they couldn’t know their targeted customers is the teenage or the mature For the second part, the Vietnam Television has no department that focus on promotion or branding as well as it doesn’t support enough marketing budget for big brand building strategy plan of VTV6 channel The leaders of Vietnam television station’s attitude as well as the general policies in that unit not support the strategy of VTV6 channel Furthermore, the content of VTV6’s channel is usually leaded by the top-leaders of Vietnam Television Station for of political objectives and orientation They couldn’t what they want to build an obvious brand for the youth For Example, VTV6 would like to focus on entertainment programs with stylish MC, however, they would be guided to focus on commentary talk show with serious represents VTV6 therefore become a collective TV-channel with many style of programs (talk show, game show, reality show, magazine…) and it doesn’t stand out for any kind of programs with memorable outstanding That leads to the fact the leaders of VTV6 feel confuse in the process of brand building TV-viewers couldn’t know and feel which is the differentiation and the core value that VTV6 brings for them Consequently, they don’t watch VTV6 because they say that VTV6 is not attractive Some people evenly say that, they only remember about VTV6 as a channel always re-broadcast film Talking about VTV6, TV-viewers couldn’t remember about any special features of it It means that, VTV6 has failed in the brand building 1.3 Research objectives The research objectives includes:  To describe, analyze and evaluate the current brand building process of VTV6, to find out its strengths, weakness and explore problems existing in this brand positioning