Group Assignment Paradise Vietnam.pdf

GROUP ASSIGNMENT

GROUP 5 - MKT202 - MKT1607LECTURER: MS NGUYEN THI LUU

PREPARED BY:TA QUANG PHUNGUYEN TRONG KIENNGUYEN NGOC QUYNH

3.1 Primary Research of the consumer and customer profile 7

Paradise Vietnam (in Vietnamese name: Công ty cổ phần Du Thuyền năm sao Tuần ChâuParadise Vietnam) is one of the biggest cruise company in Quang Ninh and owns the mostluxurious cruises in Vietnam, affirming its leading position in the luxury cruise industry In2014, Paradise Vietnam launched the first & only boutique hotel in HaLong - Paradise Suites,with the desire to build a tourism ecosystem on Tuan Chau Island and satisfy the mostdemanding customers.

After nearly 14 years of establishment and development, Paradise Vietnam owns 12 mostluxurious cruises and the only boutique hotel in the heart of Ha Long, which has affirmed itsleading position in the field of luxury travel services in the heritage region.

II SERVICE ORGANIZATION’S SITUATION ANALYSIS

2.1: Business/company Context:

Paradise Vietnam has been in the luxury travel and hospitality industry for more than nineyears and running Starting from just one junk boat back in 2008, the company and themanagement team have worked hard in achieving excellence not only for the visitors ofHalong Bay, but also exceeding expectations from the local government Our reputation as acompany continues to flourish as we build more trustworthy brands in other sectors of thehospitality industry, adding new concepts, and serving more clients around Vietnam in ourcruises, restaurants, hotels, events, and entertainment.

A traditional wooden designed for a personalised experience, the Paradise Cruises is theperfect blend of chic, modern styling and traditional Vietnamese detailing The warm, woodeninterior exudes classic charm without skimping on comfort The sophisticated dining room,perfect for intimate dining, offers tailored menu options, an unlimited a la carte menu, and thefree flow of selected drinks The spacious sundeck with sun beds and comfortable loungeareas guarantees spectacular views of the karst limestone formations and emerald waters ofHalong Bay And with a world-class day spa on board, this ship redefines luxury cruising inHalong Bay.

Paradise Vietnam steadfastly carries out its mission of providing high-class cruise,accommodation and culinary services in Ha Long and Vietnam in general, while constantlycreating new things and enhancing tourism services along with many additional incentives forcustomers.

2.2 SWOT AnalysisStrength:

● Paradise Vietnam now owns the most luxurious cruises in Vietnam, affirming itsleading position in the luxury cruise industry, especially in Quang Ninh.● The travel agency staff knows what they are selling and can help the customer to

make the right decisions for that particular trip Agent is bringing value to thecustomer.

● Visitors will have the opportunity to enjoy relaxing moments on a luxurious andcomfortable yacht, at the same time explore famous caves of the world naturalheritage and learn many unique features of Vietnamese culture This is considered aunique service package unprecedented in Vietnam, promising to bring members manyinteresting surprises.

● The company has two headquarters in Hanoi and Ho Chi Minh city which madecustomers easier to reach and improve the brand identity of Paradise Cruises.● The online platforms like Facebook, Website, Tripadvisor are really strong and have a

lot of recommendations.Weakness:

● The price of the service is for the middle class, some of the classes are not suitable.● There are no headquarters in some big cities like Hai Phong, Da Nang, so the

customers can only book online Also there is a shuttle bus only for others from theairport in Hanoi or Ho Chi Minh city.

● The COVID-19 forced everyone in the quarantine, making the company's businesssituation decline because it is in the tourism segment.

● Due to the detriment of the COVID-19, it brings a lot of opportunities from online &social media marketing Social media marketing and digital marketing are the mostsuccessful strategies nowadays.

● After the COVID time, the demands of travel rise and people often want to travel forrelaxing after a long period of quarantine.

● In July 2022, the company will release the first restaurant ship in the style of luxuryand sophistication first appeared in Ha Long Bay This will bring a unique experiencefor the customers.

● More and more people are giving priority to enjoying the beauty of diverse cultures.It gives the impression of openness and willingness to learn new ideas.

Threats:

● Now, there are a lot of competitors growing up in Quang Ninh, they also have thesame services provided.

● Taxes in Vietnam are relatively high.

● The COVID-19 has impacted the global economy If the quarantine comes back, thecompany will lose a lot of money.

2.3 Competitor analysis:

Currently, Paradise Cruise is one of the biggest cruises in the field of luxury travelservices in the heritage region Along with the position, it can be understood that ParadiseCruise has some big competitors Some names that can be mentioned are: Alisa PremierCruise, Bhaya Classic & Premium Cruise, Indochina Junk They grew up with the maturity ofParadise Cruise at the same time With the same services provided, price and field, thesethings are the most attractive to the customers.

The first thing is the quality of the services, all of these competitors have the sameservices with the Paradise Cruises But their services have some things that are different fromParadise Cruise, they are about the quality and the longevity of service Because the ParadiseCruise was founded first so the foundation of the services provided will be better.

Customer segmentation of the competitors is diverse, from low-income segment tohigh-income segment Paradise Vietnam is only focused on the middle class and upper.2.4 PESTLE analysis

● Political factors: Travel is a necessary part of everyday life The government hasalways created conditions for people to be able to comfortably enjoy everyone'sneeds After a long period of isolation, the demand for travel experiences increasedand the government also relaxed the rules so that people could relax However,everything still has to be under the control of the government At the same time,because Paradise Vietnam offers an experience of the wonders of Vietnam, it is verywell supported by the government.

● Economical factors: Interest rates, inflation, and taxes affect the income of people.The Covid-19 pandemic will have a detrimental impact on luxury cruises likeParadise Cruise, Alisa Premier Cruise, Bhaya Classic & Premium Cruise, IndochinaJunk However, the government has some rules for the companies to help themrecover from the impact of the COVID-19 Across the world, incomes are rising Asthe world economy grows, individuals are able to earn more and more With livingexpenses growing nowhere near as quickly, many of the world’s citizens have moremoney to spend than ever before This has led to an increase in the use of electronic

goods (which are increasingly accessible also thanks to lower product costs), but alsoresults in more individuals being able to travel This is clearly a positive factor for thetourism industry (pestleanalysis, 2021).

● Social factors: Tourism has become a trend for the younger generation, and socialmedia has a lot to do with this While tourism was most considered as a form ofwanderlust or bonding experience, it is now a means to express social class andpurchasing power through social media (pestleanalysis, 2021) This factor produces apeer pressure that has recently provided a boost towards the tourism industry Peoplewant to know more about other cultures in the world and thus they want to visit thoseplaces and experience those cultures as well Also the world has become moreracially conscious and this has helped people from rather marginal cultures to be ableto travel more freely This will help to bring more customers from all over the worldto the Paradise Cruise, making the revenue of the company raise quickly.

● Technological factors: In order for customers to experience the best in their travel, thesupport of advanced equipment is indispensable Especially in caving tours, a canoewith full technology equipment and lights will help customers have a betterexperience Also the technology makes things easier, specially in the way thatParadise Cruise helps the customers to book and pay online That is more convenientthan just paying by credit card This 'need' prompts more interests in companies whohold a solid impact over travelling.

● Legal factors: Paradise Cruise Vietnam always follows the rule of Law on Tourism inVietnam This means that many laws must be followed regarding storage, transport,and boarding on cruise Moreover, the visit to HaLong Bay relic needs to be strictlyadhered to because this is a world cultural relic that needs to be promoted andpreserved.

● Environmental factors: The environmental consequences certainly affect a tourist’sexperience, and customer feedback has sent a red alert to tour agencies.ParadiseCruises, which provides luxury cruises in Halong Bay, has taken steps inenvironmental conservation by investing in company infrastructure, such as ensuringthat boats have proper waste-water treatment Moreover, the waste is also strictlytreated and classified to be brought back to the mainland for proper treatment.III CONSUMER RESEARCH:

3.1 Primary Research of the consumer and customer profile

Paradise Vietnam is always targeting a specific type of customer, mainly depending on theirincome wave The target is from middle class to upper class And in addition, customers are

identified all over the world In general, Paradise Vietnam customers are classified into 2main of groups:

● Middle class customers: Mainly office workers, government employees, smallbusiness people This group of customers want to travel and explore some things thatare new to them and bring them a relaxed feeling after a long period of working hard.The income waves are about from 300$ to 1000$ And also, this income wave can notbring them to a trip overseas, so they might decide to go on a trip in the country andwant to choose some relic places.

● Upper class customers: Mainly investors, real estate, successful businessmen and bossof business With the understanding of the demand, Paradise Cruise targets thembecause they want some luxury experience for the family or to create business links.Along with the luxury experience, the feeling of being close to nature is the feelingthat they can never be missed.

3.2 Customer insights:

Visa, the world’s leader in digital payments, reports a great pent-up appetite to travelamong Vietnamese consumers The Visa of the Consumer research shows the unmistakablemark of the pandemic, with as many as 76% of Vietnamese planning to travel for leisurewithin the country, far more than the 38% planning overseas trips.The disparity remains forwork-related travel (60% domestic travel vs 37% overseas travel) The COVID-19 pandemichas had a significant impact on all aspects of travel, with health and safety dominant in allconsiderations, from destination to means of transport (Visa, 2022) Therefore, the trip in thecountry will become an important part of the customer journey.

Since the pandemic, Vietnamese travellers have had to call off travel plans and had tofind alternative outlets for their wanderlust Accordingly, there has been a spike in onlinetravel as Vietnamese travellers viewed more travel-related photos and videos, filling out theirbucket lists More than half (53%) of respondents watched YouTube travel videos and 40%took to travel sites on social media as an alternative, and as many as 38% took a virtual touronline But when the COVID-19 ends, the demand for travel in real li-fe will rise and at thattime is a good time for Paradise Vietnam to show their position.

3.3 Challenges and problems that the service provider is facing

● Problems: Because of the COVID-19, the services can not be provided for thecustomers They can not travel because of the quarantine The infrastructure of theships will be degraded and it will cost a lot of money to repair Moreover, the problem

of human resources is also a difficult problem because if the staff level remains thesame, the company's main position and money will be seriously reduced.● Challenges:

- The price of the services are still high, not all the customer classes can afford that.- The COVID-19 impact on the real experience of the travel service.

- Maintaining Cash Flow- Coping with a Flood of Enquiries

IV ANALYSIS AND EVALUATION OF CURRENT 7PS MARKETING STRATEGY:

● Billing: After booked a service

● Payments: Many available services such as cash, credit cards, online banking…Enhancing elements:

● Consultation: In terms of several sitting positions at restaurants on cruise, providemany services with high quality.

● Hospitality: The staffs always take care of customers

● Safekeeping: There are security guards who take care of the safety of the car whencustomer on cruise

● Expection: Customers can request additional services such as propose on cruise,special meal for dinner or lunch, more services when exploring a cave.4.2 Pricing Strategy:

It is clear that formulating a pricing strategy in a service organisation is a difficult decision,requiring careful consideration of many issues Price of company tours and activitiesaccording to demand and value is essential Paradise Cruise provides luxury cruise and realexperience for medium class and above Customers can find a reasonable price for them andfamily, depending on the demand of them The price is around from 120$ - $200, which is thebest price in comparison to other cruises in Quang Ninh.

From the overview, we can see that:

What: Here, Paradise Cruise provides luxury cruise and real experience for the customers whocome and use the services With the professionals in serving, the company came up with a

reasonable price for customers The core value is the top-notch quality from the heart is thestandard to measure each tourism product of Paradise Vietnam.

Where: Using the crowded, densely populated location as a headquarters and a place of greatinfluence Also the placement on digital platforms contribute a lot to the attraction of thecustomers.

When: When life is usual, the company opens from 7:30 AM to 5:00 PM, with a reasonabletime for customers to come and book the cruise The digital platform opens for 24/24 becauseof the differences in time zone of the customers, this is the benefit when complete with thecompetitors.

How:Paradise Cruise brings new high-class itineraries and leisure experiences, meetingcustomers' expectations about liberating themselves, enriching knowledge and life throughdiscovery when you only have to spend 120$- $200.

4.3 Placing Strategy:

Today and with the advancement of technology, the customers not only buy a tour offline atthe headquarters but also buy a tour from online platforms This allows for a wider avenue ofbookings to come through from a wide variety of platforms The hotel and the cruise are inTuan Chau harbour, which is very easy to transfer customers from the land to the trip in thesea in Halong Bay.

4.4 Promotion Strategy:

Paradise Cruise is very strong in the advertising field Paradise Cruise has advertising all overthe world through many online platforms such as Facebook and Youtube Paradise Cruisefocuses on that because there are so many customers who spend their time on that This is agood way to approach customers and advertise for the company.

Paradise Cruise has promotions for some special days in the year such as 8 March, 20October, 14 February, or giving away coupons to attract more customers to use the services.In General, Paradise Cruise mainly focuses on sales promotion, because this is whatcustomers want when using the service, a little save up This is how Paradise Cruise retainsold customers and attracts new customers.

4.5 Physical evidence:

In the travel industry where the product is being experienced is particularly important insecuring repeat customers Thus, extensive facilities that prove to be physical evidence areprovided to lure customers The tangibles include uniforms for the staff, huge parking, flatbeds in business class, Wi-Fi connection in the destination, customised meals on board, tele

checking 8hrs booking in hotels, hotels providing laptops on request, internet access asfacility This whole example shows how the facilities as physical evidence is significant inbringing customers back and also give support to travel motivation These facilities asphysical evidence help visitors meet their expectation of satisfaction with what they purchase(Tourism, 2021)

4.6 Physical evidence:● Logo (brand identity)

The logo bears the symbol of three waves with the size of the waves growing and followingeach other, besides, there is also an image of three sails woven in the wind, showing thecompany's growth and readiness to challenge Moreover, the dark brown colour exudeselegance and elegance, bringing warmth and friendliness Light brown gives a sense ofsecurity and trust.

● Website:

The website of Paradise Vietnam Hotel & Cruise provides customers with information aboutthe services of each cruise the customers want Also, customers can read new articles aboutthe cruise there so they can be up to date.

● Uniform:

The uniform of the company is easily recognized by the customers The logo of ParadiseVietnam Hotel & Cruise is one the left chest with the dark blue colour of the shirt, whichrepresents the sea.

Brand recognition is an important factor and Paradise Vietnam Hotel & Cruise did that verywell.

4.7 Process:

Paradise Vietnam Hotel & Cruise is a luxury cruise company, the service of it is almost thesame with some cruise companies The company has a Service Blueprint that provides thedetails of the services process The process starts with greeting the customer and ends untilthey leave the hotel and cruise The process will follow step-by-step: Welcome - Check-in -On board - Payment Some important factors should be focused on are: Checking the rightname of the customers, Right amount of payment, good attitude of the staff… In order todeal with the annoying customer, the staff should know how to handle the situation and learnfrom that experience There will be more unexpected things that happen but at least staffknow how to handle and not to show a bad attitude to the customers The proper processeswill make sure tours run on schedule and avoid any hiccups such as overbooking and long