(Tiểu luận) topic building a sales strategy for biti’s

In Vietnam market, there are several competitors of Biti’s that we have to mention, which are Nike,Adidas, Vinagiay, Bitas, Ananas, Đông Hải, Juno, … While Adidas and Nike are considered

MINISTRY OF EDUCATION & TRAINING

HCMC UNIVERSITY OF ECONOMICS AND FINANCE

FACULTY OF MARKETING

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SALES MANAGEMENT Topic: BUILDING A SALES STRATEGY FOR BITI’S

A General introduction 1

1 About Biti’s 1

2 Market share 2

3 Competitors 2

B General analysis 3

1 SWOT analysis 3

2 PEST analysis 6

2.1 Political 6

2.2 Economic 8

2.3 Social – Cultural 10

2.4 Technological 12

C Sales strategy of Biti’s 14

1 Building sales force 18

1.1 Sales recruitment 18

1.2 Sales training program 22

1.3 Sales structure 33

2 Sales process 37

3 Sales policy 44

4 Evaluation 51

References 62

Appendix 62

Figure 1: Biti's logo 1

Figure 2: Footwear export of Vietnam to major markets (6 first months in 2021 compared to 2022) 6

Figure 3: GDP growth of Vietnam in 9 first months (2011-2022) 8

Figure 4: Vietnam average monthly wages according to Tradingeconomics (2020-2023) 9

Figure 5: Inflation rate in Vietnam from April,2022 to January,2023 (Tradingeconomics) 10

Figure 6: Population increase in Vietnam (2011-2022) 10

Figure 7: Vietnam's population during 2017-2022 (VGP News) 11

Figure 8: 3D LiteKnit fabric technology 13

Figure 9: Biti's revenue (2016 – 2021) 14

Figure 10: Revenue of each product line of Biti's in the period (2016-2022) 15

Figure 11: The revenue of the last 4 quarters of Biti's Hunter line ( 2022 – 2023) 15

Figure 12: The global footwear market forecast (2023 -2028) 15

Figure 13: 5-year revenue target of Biti's (2023-2028) 17

Figure 14: Biti's recruitment process 19

Figure 15: Future sales structure of Biti's in HCMC 34

This report aims to study Biti's sales strategy to find out why this business is long-lasting in theVietnamese footwear market In addition, in the process of making reports, learners can systematizeknowledge and relate knowledge with reality in a particular enterprise.

The reason for choosing the topic: People still have a saying: Heaven, time, and earth, people, and

harmony Sometimes, just pointing out a good product is not enough, but you need to take advantage ofexternal factors to make that product a breakthrough This statement, once again, is true in the case ofBiti's In fact, they released Biti's Hunter a long time ago, around 2016, but that day, young people werestill immersed in the kingdom of adidas, Nike, Vans not many people knew about the existence ofrepresent the country, except those who have been going to Biti's for many years By this time, Biti'sbegan to leverage the power of the media And their delicate closing was the cooperation with KOLs inearly 2017, piqued the audience's curiosity Thanks to the available heat, it helps Biti's return to the race in

a spectacular way, making Biti's Hunter comparable to the adidas Stan Smith or the Nike Roshe Run

Content:

General information about Biti's: vision, mission, competitors

Analysis of environmental factors affecting: economic, political, technological, and SWOTstrategy of the company

Sales strategy: sales goals, recruitment and training, sales policies,

Proposal, evaluation: give suggestions on the business situation of Biti's company

Members

1 Pham Phu Ngoc Thi

2 Nguyen Chi Tuong

3 Bui Duc Phat

4 Nguyen Thi Thanh Thuy

5 Le Y Vi

6 Tran Vu Phuong Anh

Figure 1: Biti's logo

Biti's (Binh Tien Consumer Goods Company) is a brand specializing in manufacturing shoes and sandals

in Vietnam

Established in 1982, Biti's, formerly known as Binh Tien and Van Thanh production complexes, had only

20 workers specializing in the production of simple rubber sandals In 1986, the two groups above merged toform Binh Tien Rubber Cooperative, which specializes in manufacturing high-quality footwear for domesticconsumption and export to Eastern and Western European markets

Currently, there are 2 production bases, 7 branches, 3 trade centers, 1 business center, 156 marketingstores and more than 1500 agents across the country and export products to 40 countries worldwide.: To constantly offer consumers with better choices, committed to our proposition of superiorquality “Binh Tien Imex Corp., Pte., Ltd is committed to continuous improvement and enhancement of thequality of our products towards our proposition of superior quality, in order to further satisfy higher and morediverse demands of consumers and to build long-term trust with all customers.” – Ms.Lai Khiem

: To become a powerful manufacturer of consumables in Asia “Being dedicated to this broad vision

of developing Biti’s as a worldwide company, we keep on both maintaining the leading position in Vietnamand proactively reaching out for international opportunities.” – Mr.Vuu Khai Thanh, General Director

“Taking quality as the core value”: Biti's was loved for its durability and good quality Untilpeople's lives are more and more advanced, customers not only consider the durable factor, but also beautiful,trendy, and fashionable The footwear market in Vietnam has become more vibrant Certainly, when morebrands are introduced Not only Vietnamese brands but also brands from Europe and America already have a

2000s 30% - 40%

2000 – before2016

However, in the years of 2002-2007, it was considered the time of open competition World-famous shoesbrands such as Nike and Adidas had entered the Vietnamese market, putting great pressure on Biti's marketshare With restrictions in designs, problems with foot odor, along with the psychology of foreign buyersfrom outside Vietnam, and the trend of preferring sneakers rather than sandals of most young people, Biti'scompletely stood out of the battle with international brands In addition to slipping away from that consumertrend, Biti’s also had a problem related to its retailers when using the distribution system Retailers of Biti’soften have different types of shoes originating from different countries, making Biti’s images obscured andcausing a loss of customers’ impression Biti’s loyal customers in this period were just children whose shoeswere bought by their parents or adults who were used to using familiar brands Therefore, in 2012, theestimated market share of Biti’s dropped to only 15%

In 2016 and 2017, the rebirth of Biti’s with 2 hot MVs called “Đi để trở về” and “Lạc trôi” made thisbrand be able to revive again with the dramatic increase of 300% in annual revenue Therefore, Biti’s markethas risen by 15%, increasing the total market share of this company up to nearly 30% Although there was areduction in revenue in 2020 and 2021 due to the Covid-19 pandemic, Biti’s has proved the “second revival”

in 2022, with the revenue increased compared to previous time

In Vietnam market, there are several competitors of Biti’s that we have to mention, which are Nike,Adidas, Vinagiay, Bitas, Ananas, Đông Hải, Juno, … While Adidas and Nike are considered the maincompetitors in the product line of sneakers, other brands like Đông Hải, Juno, Vinagiay directly compete withBiti’s in the market of leather shoes and sandals

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Compared with global brand like Nike, Adidas, Biti’s takes advantages in their price and unique culturaldesigns, with shoes with Vietnamese traditional patterns on them, but the quality and the prestige seem to beinferior to those from global brands.

On the other hands, compared with other national brands, Biti’s takes advantages in their quality, productdiversifications and designs, but seem to be inferior to them regarding its prices as shoes from local brandslike Vinagiay, Juno, … are less expensive than Biti’s ones

O4: Increasing domestic market share

as customers tend to walk, ridebicycles, consume, shop online O5: Increase competitive advantage ifenterprises apply advances in scienceand technology

O6: Control of human resources due tostate regulations on labor

O7: Eliminate unfair competition due

to regulations on counterfeiting,consumer protection, bannedsubstances, product standards

T-Threats

T1: Fuel input is threatenedbecause financial crisis T2: Future workforce maylack experience

T3: Decrease in salesbecause consumers havemore choices and tend toprefer foreign products T4: Rising inflation leads to

an increase in the generalprice level of input materials T5: Large R&D budgetbecause businesses need toinvest in technologydevelopment and find newfuel sources

T6: Bad reputation, loss oftrust with customers due tofake businesses

T O9: Using more clean materials in thethe environment, protect consumers

future

S-Strengths

S1: National brand, prestige,

large domestic and foreign

market share

S2: High quality standards,

beautiful designs, no banned

S7: 24/7 customer care service

S8: attracts many good workers

because it is the Top 10 best

places to work in Vietnam

S9: Modern, high-tech factory

S10: Good marketing team to

exploit the market

S11: Wide product portfolio

S12: Invest heavily in R&D

activities

Market penetration strategy:

- Increase the number of customers,increase domestic competitiveness:

O(2,3,4) S(1,2,5,10)

Product development strategy combined with cost leadership strategy:

-Developing environmentally friendlyproducts

O(4,5,8,9) S(4,9,12)

Market development strategy:

- Developing products in the high-end,handmade segment to compete withinternational brands: O(1,2,5,7) S(4,9,12)

Backward integration strategy:

- Actively enter joint ventures with suppliers to proactively source domestic and foreign input fuel T(1,4)

S(3,4)

Forward integration strategy

- Actively enter jointventures with distributorsand agents to promoteoutput

T(4,6) S(3,4,7,8)

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W1: not yet active in the fuel

O(6), W(4)

Cost leadership strategy combined with product development strategy

Opportunity to develop new products at

a lower cost by replacing fuel sources O(5,7,8) W(1)

strategy:

-Joining with suppliers tomaintain stable source of rawmaterials

T(1,4) W(1)

Cost cutting strategy:

-Cutting costs for personnelrecruitment

T(3) W(4)

Strategy choice:

- Increase the number of customers, increase domestic competitiveness:

Opportunities:

O2: Attracting many investors as anti-corruption situation is promoted

O3: Increase in revenue due to high GDP, per capita income, increased market demand

O4: Increasing domestic market share as customers tend to walk, ride bicycles, consume, shop online

Strengths:

S1: National brand, prestige, large domestic and foreign market share

S2: High quality standard

S5: Affordable, stable price

S10: good marketing team to exploit the market

At the present time, the market share of Biti's products is still small, the brand is still competed by foreignbrands, so it is necessary to increase Biti's market share by increasing the number of customers buying theproduct In addition, the high GDP index, the average income of Vietnamese consumers increases along withthe population size, leading to an increase in the demand for footwear products, providing opportunities toincrease business market share Lack of petrol is an opportunity for Biti's to increase sales of its sneakerproduct line for customers who want to walk or cycle instead of using motorbikes/cars Vietnameseconsumers tend to shop online, but Biti's marketing team is good at exploiting the market, businesses takeadvantage of the influence of KOLs and KOCs in Marketing campaigns to reaffirm Biti's brand as a strongbrand and develop, becoming a prestigious, reliable, familiar brand with consumers and the pride of 98

has regulations on minimizing the problem of buying and selling fake and poor-quality goods This helps themarket in general as well as Biti's to eliminate unhealthy competitors Regulations on banned substances inproducts, footwear product standards and Biti’s has a specific declaration of ingredients and productstandards This helps businesses build solid trust, protect consumers, and ensure quality when exporting todemanding markets like Europe.

Vietnam has now signed major trade agreements such as the Comprehensive and Progressive Agreementfor Trans-Pacific Partnership (CPTPP), which helps the number of Vietnam's footwear exports to Canada andMexico increase high, the Vietnam - EU Free Trade Agreement (EVFTA) helping Vietnam's footwear exports

to the EU account for about 40% This is considered a ticket to help bring footwear products in general andBiti's to potential markets

Figure 2: Footwear export of Vietnam to major markets (6 first months in 2021 compared to 2022)

In general, footwear exports of Vietnam to major markets witness double-digit growth in the first 6months of 2022 compared to the same period in 2021 Exports to the US in the first half of 2022 were 23.2%higher than in 2021 Meanwhile, this number for the EU and CPTPP was 18.9% and 6.9%, respectively

The stable political environment along with the Party and State’s policies to promote economicdevelopment and international integration have created a solid foundation and became a launching pad forVietnamese businesses to develop The South can thrive, the supporting industry development project thathas just been submitted to the Government by the Ministry of Industry and Trade is a typical example This

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project has provided a lot of support to the industry groups considered as spearhead industries, including thefootwear and leather industry.

=> According to the scheme, products supporting industries and production of raw materials for five keyindustries, including textiles and garments, leather, and footwear, will enjoy preferential policies oninvestment in market development, science – technology, infrastructure, and human resource training Thereare also several other policies on capital mobilization activities, such as: As for capital, enterprisesimplementing supporting industry projects will be able to borrow up to 85% of total fixed capital from creditsources That's a good sign for Biti’s and the whole footwear industry

Besides, the prospect of the Footwear industry is extremely developed In the first 10 months of 2022, 32items with export turnover of over 1 billion USD, accounting for 92.8% of total export turnover, and 6 exportitems of over 10 billion USD In which, Footwear reached 20.06 billion USD and expected to reach 23-25billion USD this year

=> It is an affirmation of positive results in anti-corruption work in Vietnam This situation not only increasesthe ability to attract investment capital of Vietnam’s companies in general but also brings opportunities forbusinesses like Biti's in particular

Figure 3: GDP growth of Vietnam in 9 first months (2011-2022)

Vietnam's economic growth in the last few months of 2022 has prospered According to the General

first 9 months of 2022 was 8.83%, exceeding all forecasts, much higher than the economic scenario set bythe Government earlier this year The figure of 8.83% GDP growth is the highest increase of 9 months in theperiod 2011-2022 This result is a testament to the clearly prosperous economic picture and the strongrecovery in many business fields.

=> This indicator has a positive effect on the profitability of enterprises like Biti’s GDP growth helpsbusinesses attract more investors, create more business outputs, and increase people's income, leading to arise in spending and market demand, thus enhancing the profits for many local companies

Bank interest rates are high along with monetary tightening UOB warns that the 2023 growth outlook ismore worrisome, as tough monetary tightening from central banks is expected to weigh on the US andEurope, the two main export markets accounting for 41% of Vietnam's export market share

=> This is a bad sign for domestic companies if they want to borrow money from the bank to expand theirbusiness as they have to pay higher interest rates

Figure 4: Vietnam average monthly wages according to Tradingeconomics (2020-2023)

The following bar chart illustrates the average monthly income in Vietnam from from January, 2020 to thesame time in 2023, from Tradingeconomics It is easy to recognize that this number increased during thisperiod Besides, GDP also increased, showing that the income level of Vietnamese people has improvedsignificantly in general This trend has provided both opportunities and challenges for local businesses likeBiti’s:

Opportunity: The material life of Vietnamese people has significantly increased, they are willing to

pay more for their outfit, especially their shoes After updated and innovated its products, Biti’s

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current products’ prices ranging from 800,000 VND to 1,000,000 VND and even more than 1,500,000VND for special versions As people’s income has risen, they will be more willing to purchase Biti’sproducts at that price, especially loyal customers of Biti’s

Challenges: When life becomes more prosperous, Vietnamese people can start to invest more on

clothes and shoes Thus, new customers of Biti’s with first intention to buy Biti’s products, mayswitch to choose outfits from global well-known brands such as Nike, Adidas because these brandshave greater influence, more suitable for middle to high income class

Figure 5: Inflation rate in Vietnam from April,2022 to January,2023 (Tradingeconomics)

Normally, a country should control the inflation rate to make sure that it is always under 4% because highinflation rate will negatively the economy of a nation In the chart above, the inflation rate in Vietnam wasover 4% in January 2023 This was because the influence of sophisticated in political situations in othercountries including Ukraine, Russia, US, and China, …

=> This situation will lead to a rise in price of raw materials and higher manufacturing costs Thus, thepurchasing power will decrease due to that, and this is a bad sign for businesses like Biti’s

Figure 6: Population increase in Vietnam (2011-2022)

Figure 7: Vietnam's population during 2017-2022 (VGP News)

Vietnam’s population has witnessed a gradual rise since 2011 According to worlddata.info, the population

in Vietnam reached over 98 million people in 2021 and has a trend to increase more in the following years

=> The large population size has turned Vietnam into an extremely potential market for domestic and foreignbusinesses, including Biti's Moreover, this is also a huge source of labor, creating favorable conditions forbusiness and production activities of enterprises like Biti's Population gradual increase will help Biti’s widenits customer pool, thereby increasing the volume of targeted customers and increase revenue and profits, too

Vietnam is a country which has lots of valuable cultural identity that can be a great and endless inspirationfor businesses to put into their products Moreover, in terms of national pride, Vietnamese people havealways been confident with the Dong A spirit in each person This is considered a topic worth exploring from

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businesses In it, Biti's is a brand that very well exploits the cultural value of the Vietnamese which isexpressed through the slogan “Nurturing Vietnamese feet '' or advertisements showing the association ofproducts with history and people's roots Ethnicity, showing the traditional image of Vietnamese such as:Footsteps of the dragon army into the sea, footsteps of Tay Son speeding towards Thang Long, … The newmillennium has inspired the psychology of science towards the origin of the Vietnamese nation

=> Exploiting cultural factors has contributed to creating an image in the mind of customers not small increating a competitive position in the Vietnamese market But that is a disadvantage when exploiting foreignmarkets

Since the outbreak of the Covid-19 pandemic, especially during the lock-down period, consumer shoppingbehavior has changed drastically Now, there is an increase in the number of online purchases and the morepopular and common form of payment is by bank transfer because it was convenient and helped peoplestrictly obey the 5K rules

=> This change has required businesses like Biti’s to promote online sales as well as digital marketing torapidly adapt to this change

Young people in Vietnam nowadays also have a trend of buying products similar to most people'ssurroundings and famous celebrities This is considered a trend that is almost never outdated, when youngidols, celebrities, KOLs, etc just need to use a certain brand's product, the sales of that product are almostguaranteed improve The collaboration with Soobin Hoang Son in MVs “Đi để trở về” is a transformationalstep for Biti's when it launched the extremely successful Biti's Hunter X product line But this will alsorequire Biti's to know how to inherit and improve-develop product lines later

=> This effect is a huge advantage for Biti’s if this company knows how to make best use of the wideinfluence of KOLs and celebrities in Vietnam to do effective marketing campaigns

The advancement of science and technology is not only an opportunity but also a great challenge forbusinesses, including Biti's In terms of opportunities, applying new technologies can help improve theproduct and utilize the manufacturing process For example, Nike, they have produced a technology for theirproducts called React Cushion, which helps users feel more comfortable on the heel

Figure 8: 3D LiteKnit fabric technology

Biti's is no less competitive when it comes to applying certain technologies to its products If the old Bitishoes used the old Air Mesh material to make the straps, the new Biti’s shoes have now been replaced withLite Knit braided material One of the most advanced technologies in the field of shoelace production inVietnam Thanks to Biti's innovation, users can easily clean their shoes Especially when the braided part ofthe shoe is very resistant to stains

In addition, to maximize revenue, many businesses also launch their own online sales projects Especiallyafter the Covid-19 pandemic, it has completely changed the minds of consumers about online shopping.However, selling online is convenient for electronic products, household appliances, etc., but for clothes andshoes, it is relatively difficult when there is a difference in size of each person consumption

Besides, it is a challenge when many new technologies in the leather and footwear industry developconstantly Technology development is a great opportunity for giant businesses but not small to mediumones This is because updating technology means that your company will have to change the R&D budget asmore investment is needed to keep pace with technology

Besides, the shortened life cycle of technology means that companies need to upgrade and developtechnology continuously, thus businesses like Biti’s tend to constantly improve labor productivity andproduct quality However, the short technology life cycle makes the technologies that businesses are usingbecome quickly out of date If they do not promptly improve and keep pace with technological development,enterprises can easily lose their competitive advantages and be surpassed by competitors

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Based on the company's performance in the years 2016-2022 and the forecast of the Vietnamese footwearindustry, our team proposes the target sales and sales strategy for Biti's as follows:

Company’s performance in the previous years

Biti's is hailed as a successful case-study in rediscovering the "glory" of a long-standing Vietnamesebrand That return is also evident on the revenue chart Biti's revenue has continuously grown over the yearsfrom 2016 to 2019 If at the end of 2016, Biti's parent company recorded a net revenue of VND 1,291 billion,but by 2019, this index suddenly increased by 23%, reaching VND 1,291 billion the level of 1,588 billiondong Continuing the upward momentum, Biti's earned VND 1,862 billion in 2018 and peaked at VND 1,954billion in 2019 However, the acceleration of growth seems to have reversed when Biti's revenue is on adownward trend from 2020 In 2020, the revenue index decreased by 14.3% over the same period, to VND1,673 billion In 2021, the decline continued to VND 1,234 billion Net profit was just over 10 billion dong,down 90%

Figure 9: Biti's revenue (2016 – 2021)

The reason Biti's business results decline in the two years 2020-2021 is because this is the period ofcomplicated developments of the Covid pandemic, the regulations on production shutdown and isolationagainst the epidemic have made the production - The business of many businesses was seriously affected.Below is the revenue chart of each Biti's product line, in which Biti's Hunter product line is the mainproduct line and has brought in revenue for Biti's in the past 5 years (nearly 3800 billion VND)

Figure 10: Revenue of each product line of Biti's in the period (2016-2022)

Quarter 1, 2022 2nd quarter of 2022 3rd quarter of 2022 Quarter 4/2022 Quarter 1/2023

Figure 11: The revenue of the last 4 quarters of Biti's Hunter line ( 2022 – 2023)

The chart above shows the breakout revenue stream for Biti's Hunter product line from January 2022 toJanuary 2023 This serves as a basis for us to set a business target for this product line in the second quarter

of 2023

Sales forecast about footwear market

Figure 12: The global footwear market forecast (2023 -2028)

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The global footwear market is forecast to witness a CAGR of 3.62% during the forecast period 2027) The growing demand for fashionable, trendy yet comfortable footwear among age groups is a keyfactor driving the global footwear industry The proliferation of sports-focused footwear, such as football,cricket, basketball and golf, coupled with exponential investment by governments and global organizations topromote tournaments and sports participation, have been the main driver for the market Asian countries,such as China and India, are major exporters of leather shoes from developed countries.

(2022-Growing enthusiasm and awareness of the health benefits of fitness and sports activities, a thriving retaile-commerce sector worldwide, and consumer disposable income levels growing are the key factors drivingsegment growth Growing health concerns due to a sedentary lifestyle and the problems it causes are favoringthe demand for sneakers This affects people to actively participate in physical activities both indoors andoutdoors Periodically held major global sporting events, such as the Olympics, Commonwealth Games,Asian Games, Cricket World Cup, Super Bowl and FIFA World Cup, also drive demand from all athletes.The footwear market has witnessed a sharp increase in demand for sports footwear emerging from lifestyleusers, due to the growing health consciousness

Analysis from Research and Markets shows that Vietnam's footwear production is expected to continue togrow in 2022-2031 The team predicts a CAGR of 8.1% over the next 9 years By 2031, the Research andMarket Organization expects the Vietnamese footwear market to reach a whopping $38.7 billion - double the

2022 estimate of $19.1 billion

Sales target

After studying the market results, we set goals for the next 5 years (2023-2028) as follows:

Figure 13: 5-year revenue target of Biti's (2023-2028)

In the next 5 years, the key products that bring in revenue for Biti's are Hunter line products, accountingfor (38.6% - 45.6%) of the company's total revenue From the long-term goal, our team set the target for the 2nd quarter for the Hunter product line as follows:

Using the average long-term forecasting method, we estimate the total revenue of the Hunter product line in the second quarter of 2023 at about 169.9 billion (VND) Nhưng thị trường thành phố Hồ

Chí Minh, dòng sản phẩm này chiếm 28.12% tổng doanh thu trên toàn quốc, nêm we set a sales target for Biti's Hunter line in Ho Chi Minh City with the target sales of 47.78 billion (VND).

We set the implementation target for the second quarter of 2023 for the Ho Chi Minh City area as follows:

Sales target by month

General

Trade

45% 3 branch centers, 48 Marketing

Stores and more than 725 retaildistribution intermediaries

Modern

trade

26,5% Co.op Mart, Lotte Mart, GO (Big C) 12.6617 3.21 3.563 5.8887

Online 28,5% Shopee, Lazada, Tiki, Fanpage,

Recruitment time Recruitment channels

16

(Staff

position)

internalsources60% fromexternalsources

personnel,Personnelpreparation,Replacementfor retiredpersonnel

(from1/3/2023 –1/4/2023 or15/4/2023)

Online job connecting platforms: TopCV,

Vietnamworks, Ybox, Careerbuilder

Social media platforms:

Facebook, Instagram, Twitter, Tiktok,…

Website:

tuyendung.bitis.com.vn

With an aim of expanding our operation scale, especially in Ho Chi Minh region (because of theincreasing and high buying demand), we aim to recruit 200-250 sales people, in which 40% comes fromBiti’s company and 60% from outside sources:

Internal sources: With an aim of creating opportunities for Biti’s employees to change to different

positions and departments to fully explore their potential, this internal recruitment will be conductedannually Moreover, hiring internal employee for this position can help us reduce the training time oncompany’s information, instead we just focus on training them sales skills Those internal “new” salesstaff can help instruct the external new staff with new work, which enhance the training quality ofBiti’s

External sources: Opening the door for outside potential candidates is Biti’s priority as we always

need “fresh energy” for our sales department New sales people will bring us new opportunities toexpand our business and help us reach more customers

Biti’s currently does not have high turnover rate, which is estimated about 4%-6%, that is why recruitingnew sales people also acts as replacements for those retired staff and prepares human resources forunpredictable situations

The recruitment time will range from 1-1,5 month, depending on numbers of applications and here is therecruitment process of Biti’s:

Figure 14: Biti's recruitment process Stage 1: Recruitment announcement: This is time for candidates to apply for jobs, which will last 10

days (1/3– 10/3)

Stage 2: CV reception and processing: This is the time when the employers receive all the CVs,

screening those CVs to eliminate the unappropriate ones, which will take about 5 days (11/3 – 15/3)

Stage 3: Testing announcement: The employers will send emails to suitable candidates to do an actual

selling test The testing date will be 3-5 days after the emails are sent (16/3)

Stage 4: Testing the candidates’ sales skill: Sales manager will observe how applicants do the test

(selling Biti’s products), from their attitude to basic skills The testing days will last 5-6 days 23/3)

(19-Stage 5: Evaluating the test and choosing suitable candidates for interviewing: Sales managers will

decide which candidates is suitable after the selling test and come up with decisions in 2-3 days 26/3)

(25-Stage 6: Interview announcement and dates: Appropriate applicants will receive interviewing emails

along with the test results and a planned interviewing date will be 4-5 days after that (Send email:27/3, interviewing date: 1-2/4/2023)

Stage 7: Recruitment decisions: The representatives from HR department along with Sales

department will have a meeting to unify the number of qualified candidates, which will take 2-3 daysand then send the “Successful interview notification” email to them (4-5/4/2022)

We intend to focus on 2 main recruitment seasons:

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Right after Vietnamese Tet holiday (from March to May): After Tet, a lot of people, especially theyoung tend to quit their current jobs and move to other companies That is why the recruiting sources

at this time is huge, thus Biti’s will have a chance to hire good sales people

Summer time (from July to September): This hiring period of time will attractive lots of youngapplicants like students because a lot of high school and university students tend to find a job toincrease their experience in summer, in which they do not have classes at school

To prepare well for the interview, here are what we are going to do:

First, in order to have a successful recruitment, we aim to build a set of recruitment criteria for ourcandidates By observing the common points, specialized knowledge, the selling style and workingmotivation of our best sales people, we are able to determine what core elements we need in our candidates:Education level: At least high school

Eager to learn new things and hard working

Good communication and listening skill

Good in both team work and independently working skill

Good looking, be decently dressed

Be able to work flexibly and under high pressure

Every business including Biti’s, needs a set of interviewing questions, which are built to make sure that

we can optimally explore the potential of our candidates and to identify whether these “job seekers” haveprepared well and are ready for this interview or not The set of interviewing questions will start withpersonal questions such as self-introduction, then questions about the candidates’ opinions towards therelevant fields and questions that encourage them explore the ability of solving problems of themselves Tohave a clear view of our interviewing questions, please visit our appendix at the end of this report

A specific job description will help the candidates know more about the position that Biti’s is hiring,therefore helping them know whether they are suitable for this job and should apply for this position or not.Because of the expectation of hiring more sales people, we develop our own job description for this position.This job decription will provide enough and even detailed information of what they have to do when applyfor this position, with clear contact information at the end The benefits, working locations and even the

higher level in the future based on the market demand for high-quality work force For clearer view of the jobdescriptions for Biti’s sales person, please visit our appendix.

Biti’s will both create our own recruiting page on social media platforms and on website and contract withother 3 parties to encourage the recruitment for us Here are our considered recruiting channels:rd

: This is a famous platform for recruiting that lots of companies are using It allows Biti’s todetailed post its job description and smartly overview the potential employees through the “matchingfunction” (help we know whether the profile of the candidates match the requirements of theemployers or not)

: TopCV, Vietnam works, Ybox, CareerBuilder, … are someplatforms that we are going to connect with to attract more applicants

: We intend to create our own recruiting page, which is Biti’s Career, on bothFacebook, Instagram and Tiktok In this page, our updated recruiting information will be posted andcandidates can contact us via the link of email attached

: Candidates can read the JDs easily and even clickthe “Apply” button to apply for the desired postions faster

Make a phone call for each potential applicant to make sure that they will join the interview.Moreover, a quick test in 5-10 minutes will help Biti’s screen the most suitable applicants, savingtime for the official interview

While conducting an interview, Biti’s interviewers need to unify the questions and the markingformat The interviewing questions should focus on exploring all the abilities and potential of theapplicants

Before giving the decisions of the number of qualified candidates, there must be a meeting betweenthe interviewers to unify the decisions

After recruiting the appropriate sales people, Biti’s will have to review the whole process of recruiting.Looking back at what we have done at each stage, identify our mistakes, problems and determine ways toimprove in the next recruitment time

There are some elements to consider when assessing the whole recruitment process, which are:

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The number of suitable applicants: Suitable here means the target candidates that are appropriate forthe sales staff position If the number of suitable applicants is less than expected, we need to find thereasons before that This may takes root from our unattractive job description, the way we post ourrecruitment news on social medias, internet, …

The quality of the interview: This can be evaluated by observing how the interviewers do their joband the interviewing content If the interviewers interview the candidates in wrong ways or thecontents are not unified, we cannot explore the potential of those applicants

Unappropriate recruitment time or maybe the time for candidates to apply for this job is unsuitable

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Our general target is increase the sales revenue and profit, especially in the Biti’s Hunter product line,successfully maintain the number of loyal customers and effectively enhancing the ability of those staff tocomplete their KPIs on time

A training plan and process is just successful when each business determine their need and target of thistraining plan It is also a very important element helping the managers to be able to build the right trainingprogram that not only sticks to the employees’ needs and wants but also meets the company’s requirements.The first target is to make sure that all the sales staff of Biti’s remember clearly the companyorientation, the footwear market and industry in Vietnam and our target customers to better servethem

The second one is to complete the ability of communicating with customers and presenting the products’ information to customers of the sales people There are lots of cases, the sales staff do

not have the skill to emphasize the products’ functions and other descriptive information, leading

to the fact that customers get bored when receiving consultation That is why when finishing thistraining course, all the sales staff of Biti’s will be able to confidently communicate and present theproducts to our customers

The third target is helping the sales people to comprehend the skill of solving the customers feedback and complaints In order to understand what customers exactly want when they give

feedback to Biti’s, the sales people need to understand clearly the sales and warranty policies ofBiti’s, thus giving proper solutions or compensations for customers

The next target is to help Biti’s sales staff successfully capture customer psychology to easily close the sale There are techniques to know the political opinion, thinking and desire of

customers when finding Biti’s products Understanding this clearly, the sales guys can easilyconvince customers to buy our products

Next, we want to ensure that our sales people understand clearly all the legal and ethical issues,thus they are able to know what to avoid during working and obey the important principlesstrictly

The final target is to help each sales member of Biti’s knows their strengths to keep promoting them and to improve their weaknesses Therefore, each of them will know how to cooperate with

their colleagues to perfectly complete their KPIs

When customers come to Biti’s stores, Biti’s sales staff will know how to approach their target customers

to easily understand their needs and want through careful trainings

Basic attitudes and greetings with customers when they come in and out of our stores are very crucial Afriendly smile, a positive energy that the salesguys bring to their customers will greatly contribute to boththeir buying decision and whether they will be our loyal customers or not

At Biti’s sales training session, we orient our staff to be proficient in 4 main sales pitches:

Offering a sale with a first compliment: Salesguys will need to have a brief observation of whatoutfits customers are wearing and tell them that their oufits would be more perfect if mix-matchingwith Biti’s shoes The first compliment will bring first positive impression and feeling of customers,encouraging their buying decision

Offering a sale based on products’ scarcity: By emphasizing the uniqueness of Biti’s shoes, especiallythose from limited editions that have traditional and cultural patterns, Biti’s sales staff will easilycreate a big POD of Biti’s products compared to other brands Moreover, we need to mention aboutthe limited number of shoes launching in each collection, which will affect the customers’ psychology

as they will think that if they do not buy these products now, they will be sold out soon and nevercome back

Offering a sale based on reciprocity: The sales staff will give voucher of discounts or mini souvenirslike charms, shoes brooches or laces, … to customers first whether they will buy our products or not

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This helps creating a feeling of “indebted” of customers to us, thus increasing the buying percentage

of them as they want to do something for the sales guys in return

Offering a sale based on current promotions: Customers are often attracted by sales promotion anddeals, that is why first sales offer with the promotion will increase the interest of customers about theproducts, thus easily convincing them to buy Biti’s shoes

Another additional way to offer sales that we aim to train our staff is business letter Although it is usuallyused in B2B model, it is free and time-saving so we can make use of the customers data collected to sendthose emails to customers Sales staff of Biti’s will be trained how to sort the right customers to send mails

to, how to create an impressive subject title, appropriate company introduction, sales promotion andespecially the price and finally, how to attach the buying link so that customers can provide more informationabout their expectations about Biti’s products

To start the talk easily, sales staff are encouraged to use open questions (5W-1H questions) and openinglines such as tell me about, explain to me, give me your opinions, … to let customers fully express theiropinions and avoid them to answer us in short sentences

To deeply explore the need, wants and desire of customers, those following quesitons should be concern:The nature of their job/study: As a large number of Biti’s customers are the young, who are verydynamic and energetic, knowing what shoes they usually wear is one of the effective way toconsult them the right kind of shoes, for examples sneakers, sandals,…

Their personal fashion styles: There are customers who do not care about the wearing style so wejust need to focus on their purposes of use and the durability of the products However, ifcustomers concentrate on the suitability of the shoes, we must emphasize the highlighted designedand the ocassions on which these shoes should be worn

Their hobbies and purchasing purposes: It is important for Biti’s salesman to identify who is theuser to rightly consult their customers If the buyers buy Biti’s products for giving to other person,

we can introduce more about our packaging to close the sales faster

In the pre-close-the-sales period, there are some common specific open questions which salesguys need toconduct to narrow down the information such as what size, alternative colors, … This is appropriate time toshow our deals to encourage customers’ buying decicions through questions like “Today is the end of oursales, do you want to buy now to have special and more affordable price?”, …

In the close-the-sales period, close questions should be used to confirm the order

Understanding clearly about the products, services and promotion is needed to meet the right customers’demand That is why training on products knowledge will also be conducted Moreover, there are lots ofcommon sudden situations that a sales person will have to rapidly solve

For examples, customers will compare Biti’s products to other brands like Adidas, Đông Hải, Nike, … Atthat time, a good salesman need to understand clearly both the PODs, USPs of Biti’s and our competitor’sproducts to easily consult customers Normally, we often misuse our words, leading to the fact that weillegally bring down our competitors by chance, which will cause many legal problems That’s why Biti’ssales staff need to be trained carefully about the appropriate words to use when mentioning other brands inour consultation

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Problems often occur on both during the close-the-sales period and the after-sales period That is whyBiti’s sales staff need to be equiped with problem-solving skill to solve each sudden situation smoothly

Resolve customers complaints about products:

After buying the products, there are lots of problems emerging The most common one is themistaked products (opened soles, unstisched shoes, …) In this situation, the salesman needs toremember the warranty policy clearly to consult customers

Customers want to return the products and receive their cash: The sales staff need to considercarefully, if properly, we should return the cash to customers, otherwise, we should gently explain

to them about our return policy

Resolve other sudden situations:

Customer feel the products expensive: Gently and logically show Biti’s products’ advantages andexplain why the prices are different between those brand competitors

Customers hesitate to buy the products: Confirm again the USPs and PODs of the products andfind why they are hesitating, thus having appropriate actions

Customers pick a quarrel illogically: Talk with them politely first, then if the situation gets worse,getting help from the security man

Customers questions having no answers yet: Ask customers for later answers after researchingmore clearly and exactly, ensuring their satisfaction after hearing our explanations

Customers ask about the “unavailable” products (patterns, styles, service): Sorry them for nothaving that requirements and introduce them another products with relevant details

This is also a vital skill because just when listening to customers patiently,you will now what customers exactly want, thus providing the right products to them To listen more

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effectively, the sales staff can slow down the conversation, listening to customers’ emotions when sharingand use open questions to let customers talk more about their personal matters and most importantly, youshould not let customers share one problem twice because this will losen their mood.

Make sure all the sales staff remember exactly all the product lines, each different and special points abouteach product line and especially the price Other additional information that the sales staff need to alwaysremember is the functions, technology and suitable user for each product line

In order to remember huge number of information, we aim to build guidelines and method of how toremember faster and check their memory on a regular basis (once a week or once after 2 weeks depending ondifferent level of staff)

This is extremely important to train new staff about Biti’s orientation because they need to know both theshort and long-term target of the company as well as where does the company stand among lots ofcompetitors in the same industry Some information that needs to be popularize to all Biti’s sales staff isrelatively the market size, potential, market share of Biti’s and its competitors, Biti’s competitors’ productsand services, …

Moreover, the overall information of the company from the organizational structure to the company’sculture is very important This helps create the cohesion of employees in the whole company and avoidmisunderstandings between them

Knowledge about Biti’s targeted customers, their shopping behavior and Biti’s competitors is also veryimportant to help the salesman identify the suitable pool of customers serving Here are some importantinformation about customers that every salesman of Biti’s should understand clearly:

Income 500.000 – 10.000.000 VND More than 10.000.000VND

Occupation Student, housewife, banker,

tutor, … Banker, teacher, physician,doctor, …

Lifestyle Dynamic and energetic young

people with creative fashionstyles

People who prefer classicshoe models (heels, sandals)

playing sports and socialevents, outdoor activities

Spend lots of time shopping,hanging out with friends, andattending voluntary activities

Invest a lot on outfits Likely to show offthemselves, buying thingswhich their idols possess

(teenagers)

Spend more time relaxing athome rather than hanging out.Pay more attention to theproduct quality, then theprice, customer services anddesigns

Personality Trendy, creative, extrovert,

sociable, more inclined to behelping other people

Open-minded, kind, andeasy-going with everything,including shopping Havegood impulse control andclear goals in life, prioritizebehavior planned rather thanimpromptu

Buying occasions Promotional occasions (Black Friday, monthly big

sales, end-of-season sale, ) Special occasions (Tet, X-mas): Buy higher qualityproducts with even higher prices

Buy products when they have demands (their oldshoes have problem, they want to buy new ones, …)

Usage rate 5/7 days a week: Go to school/work

1-2 days a week: Hang out with friends, dating, go tobars, …

1-3 days a month: Enter a party, hang out on holidays(Tet, X-mas, )

Biti’s salesman need to know clearly how to usecommon sales management softwares such as KiotViet, Sapo, Hararetail, ABIT, … This helps a salesperson easily manage all the complaints from customers, checking the available products andinventory, timely consult customers on multi channels and close the sale, etc…

There are lots of cases, just because of not managing time effectively, the productivity of the sales staffreduces dramatically, that is why training on time management skill is also needed We intend to divide thistraining into 2 parts:

Personal time management: Biti’s sales people will be trained on how to arrange their work andrelax time properly not to get stressed and effectively perform at work This includes weekly plan

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of what you will have to do next week, sort them in the order of priority and emergence, estimatethe appropriate time spent on each task and on entertainment activities.

Time management on reviewing all the trainings: There are a lot of training contents and not all ofthe sales guys can remember all of them That is why we need to divide our time to review thosetraining lessons and allocate the time of review properly

Health and beauty care time management: You should spend a certain amount of time to take carefor yourself such as skincare, bodycare everyday and give yourself an extra care at weekends such

as going to spa, message, shampooing, … Additional, try to arrange time for daily exercises atleast 20 minutes as a sales person needs to be good-looking Finally, taking note on your phoneyour periodic health check

Ethical issues are always matters when doing sales There are some sales people that will do everything toachieve their sales KPI and this is considered a unsustainable way to develop their jobs Biti’s sales staff will

be trained clearly about this content Here are some ethical issues that usually happen and need to be avoided:Consult the unappropriate products to customers: “Unappropriate” hare means unsuitable price andproducts meeting the wrong needs of customers There are some customers who do not knowanything about our products and they really need our consultation However, there are some cases thatthe salesman want to clear the inventory soon and introduce the wrong shoes to customers Someshoes are stored for a long time, although they do not suit the customers’ demand, they are stillintroduced by the sales people Another meaning for “unappropriate” is the fact that the salesmanamplify the functions and technology of Biti’s products to close the sale easily This is considered theunethical actions because for examples, customer wants a pair of shoes that can protect their feetwhen playing basketball but you introduce the lifestyle shoes for them and you say that they aresuitable for playing football When customers use it later, maybe they will have injection just because

of wearing wrong shoes and that is your mistake

Tell the wrong products’ prices to customers and put that extra money in the pockets: This action isnot only cause losing trust of our colleagues but also cause bad reputation for the whole company.Therefore, the top managers of Biti’s must emphasize this part in the training course to avoid this.Other ethical issues: Telling a lie about the number of sold products to have commisions, backbitecolleagues with customers, …

Team work is considered the very important soft skill when we are working for a company That is whytraining on how to do team work effectively is necessary Here are some contents that our trainers will inform

to our sales staff when conducting this training session:

Listening is always the top priority: We should not assume that all your opinions are correct.Everyone has limited knowledge in certain fields so it is crucial to listen to other people Whenlistening, we can learn lots of things that we are lacking in Moreover, listening is the shortest way

to let colleagues understand and respect each other more, easier for working together as we areworking in teams, not individual

Organization skill: This is vital for those who want to be managers in the future and also good toassign suitable tasks to appropriate people In some urgent situation, assigning the work rapidlyand effectively helps solve the problems or achieve KPI faster

Responsibility: The trainers will have to emphasize the importance of responsibility in workingbecause lack of responsibility will not only harm those individuals but also negatively affect otherpeople In some cases, lacking in responsibility also means that you are selfish

Mutual help: It is vital to finish our work on time and perfectly, but it is also important that we canhelp others compete their tasks if they have difficulties There are benefits from helping eachother, which includes improving the colleagues’ relationships and widening our knowledge (as wecan know more by assisting others)

Besides team work, independent work is also important There are problems that often occur in doingteam work such as one person depends on another person too much and without helping, he/she cannot finishthe tasks That is why along with team work, each person needs to independently work so as not to depend onothers and improve our self-dependence There are ways to increase this skill that trainers must show theirtrainees such as comprehending personal skills and knowledge constantly

We use 3 main training methods, each of which will suit different training contents above:

Role playing: This begins with the trainer describing the situation and assigning the role for eachstaff This type of training helps the managers easily evaluate how their employees solve the realproblems and helps the staff easily fix their mistake for better performances

On-the-job training: This is considered a costless training method The trainer will explain and dothe sample 2 time first and then instruct the sales staff to do it right later Finally, the trainer willevaluate the staff performance and give feedback to them

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