Group Assignment Paradise Vietnam.pdf

Paradise Vietnam in Vietnamese name: Công ty cổ phần Du Thuyền năm sao Tuần Châu Paradise Vietnam is one of the biggest cruise company in Quang Ninh and owns the most luxurious cruises i

GROUP ASSIGNMENT

GROUP 5 - MKT202 - MKT1607

LECTURER: MS NGUYEN THI LUU

PREPARED BY:

TA QUANG PHU NGUYEN TRONG KIEN

NGUYEN NGOC QUYNH

TABLE OF CONTENT

II SERVICE ORGANIZATION’S SITUATION ANALYSIS 4 2.1: Business/company Context: 4

3.1 Primary Research of the consumer and customer profile 7

3.3 Challenges and problems that the service provider is facing 8

IV ANALYSIS AND EVALUATION OF CURRENT 7PS MARKETING STRATEGY: 9

Paradise Vietnam (in Vietnamese name: Công ty cổ phần Du Thuyền năm sao Tuần Châu Paradise Vietnam) is one of the biggest cruise company in Quang Ninh and owns the most luxurious cruises in Vietnam, affirming its leading position in the luxury cruise industry In

2014, 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 most demanding customers

After nearly 14 years of establishment and development, Paradise Vietnam owns 12 most luxurious cruises and the only boutique hotel in the heart of Ha Long, which has affirmed its leading 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 nine years and running Starting from just one junk boat back in 2008, the company and the management team have worked hard in achieving excellence not only for the visitors of Halong Bay, but also exceeding expectations from the local government Our reputation as a company continues to flourish as we build more trustworthy brands in other sectors of the hospitality industry, adding new concepts, and serving more clients around Vietnam in our cruises, restaurants, hotels, events, and entertainment

A traditional wooden designed for a personalised experience, the Paradise Cruises is the perfect blend of chic, modern styling and traditional Vietnamese detailing The warm, wooden interior 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 the free flow of selected drinks The spacious sundeck with sun beds and comfortable lounge areas guarantees spectacular views of the karst limestone formations and emerald waters of Halong Bay And with a world-class day spa on board, this ship redefines luxury cruising in Halong 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 constantly creating new things and enhancing tourism services along with many additional incentives for customers

2.2 SWOT Analysis

Strength:

● Paradise Vietnam now owns the most luxurious cruises in Vietnam, affirming its leading 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 the customer

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

● The company has two headquarters in Hanoi and Ho Chi Minh city which made customers 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 the airport in Hanoi or Ho Chi Minh city

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

Opportunities:

● 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 most successful strategies nowadays

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

● In July 2022, the company will release the first restaurant ship in the style of luxury and sophistication first appeared in Ha Long Bay This will bring a unique experience for 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 the same services provided

● Taxes in Vietnam are relatively high

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

2.3 Competitor analysis:

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

The first thing is the quality of the services, all of these competitors have the same services with the Paradise Cruises But their services have some things that are different from Paradise Cruise, they are about the quality and the longevity of service Because the Paradise Cruise was founded first so the foundation of the services provided will be better Customer segmentation of the competitors is diverse, from low-income segment to high-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 has always created conditions for people to be able to comfortably enjoy everyone's needs After a long period of isolation, the demand for travel experiences increased and 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 very well 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 like Paradise Cruise, Alisa Premier Cruise, Bhaya Classic & Premium Cruise, Indochina Junk However, the government has some rules for the companies to help them recover from the impact of the COVID-19 Across the world, incomes are rising As the world economy grows, individuals are able to earn more and more With living expenses growing nowhere near as quickly, many of the world’s citizens have more money 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 also results in more individuals being able to travel This is clearly a positive factor for the tourism industry (pestleanalysis, 2021)

● Social factors: Tourism has become a trend for the younger generation, and social media has a lot to do with this While tourism was most considered as a form of wanderlust or bonding experience, it is now a means to express social class and purchasing power through social media (pestleanalysis, 2021) This factor produces a peer pressure that has recently provided a boost towards the tourism industry People want to know more about other cultures in the world and thus they want to visit those places and experience those cultures as well Also the world has become more racially conscious and this has helped people from rather marginal cultures to be able

to travel more freely This will help to bring more customers from all over the world

to the Paradise Cruise, making the revenue of the company raise quickly

● Technological factors: In order for customers to experience the best in their travel, the support of advanced equipment is indispensable Especially in caving tours, a canoe with full technology equipment and lights will help customers have a better experience Also the technology makes things easier, specially in the way that Paradise Cruise helps the customers to book and pay online That is more convenient than just paying by credit card This 'need' prompts more interests in companies who hold a solid impact over travelling

● Legal factors: Paradise Cruise Vietnam always follows the rule of Law on Tourism in Vietnam 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 strictly adhered to because this is a world cultural relic that needs to be promoted and preserved

● Environmental factors: The environmental consequences certainly affect a tourist’s experience, and customer feedback has sent a red alert to tour agencies.Paradise Cruises, which provides luxury cruises in Halong Bay, has taken steps in

environmental conservation by investing in company infrastructure, such as ensuring that boats have proper waste-water treatment Moreover, the waste is also strictly treated 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 their income 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 2 main of groups:

● Middle class customers: Mainly office workers, government employees, small business people This group of customers want to travel and explore some things that are 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 not bring them to a trip overseas, so they might decide to go on a trip in the country and want to choose some relic places

● Upper class customers: Mainly investors, real estate, successful businessmen and boss

of business With the understanding of the demand, Paradise Cruise targets them because 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 feeling that they can never be missed

3.2 Customer insights:

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

Since the pandemic, Vietnamese travellers have had to call off travel plans and had to find alternative outlets for their wanderlust Accordingly, there has been a spike in online travel as Vietnamese travellers viewed more travel-related photos and videos, filling out their bucket 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 tour online But when the COVID-19 ends, the demand for travel in real li-fe will rise and at that time 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 the customers They can not travel because of the quarantine The infrastructure of the ships 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 the same, 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:

4.1 Product Strategy:

Core product: a high-quality tour and an authentic experience that customers find worthy Facilitating elements:

● Information: Customers can find information about services through channels such as websites, social media, staff at the headquarters…

● 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, provide many 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 when customer 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 activities according to demand and value is essential Paradise Cruise provides luxury cruise and real experience for medium class and above Customers can find a reasonable price for them and family, depending on the demand of them The price is around from 120$ - $200, which is the best 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 who come 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 the standard to measure each tourism product of Paradise Vietnam

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

When: When life is usual, the company opens from 7:30 AM to 5:00 PM, with a reasonable time for customers to come and book the cruise The digital platform opens for 24/24 because

of the differences in time zone of the customers, this is the benefit when complete with the competitors

How:Paradise Cruise brings new high-class itineraries and leisure experiences, meeting customers' expectations about liberating themselves, enriching knowledge and life through discovery 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 at the headquarters but also buy a tour from online platforms This allows for a wider avenue of bookings to come through from a wide variety of platforms The hotel and the cruise are in Tuan Chau harbour, which is very easy to transfer customers from the land to the trip in the sea in Halong Bay

4.4 Promotion Strategy:

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

Paradise Cruise has promotions for some special days in the year such as 8 March, 20 October, 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 what customers want when using the service, a little save up This is how Paradise Cruise retains old customers and attracts new customers

4.5 Physical evidence:

In the travel industry where the product is being experienced is particularly important in securing repeat customers Thus, extensive facilities that prove to be physical evidence are provided to lure customers The tangibles include uniforms for the staff, huge parking, flat beds 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 as facility This whole example shows how the facilities as physical evidence is significant in bringing customers back and also give support to travel motivation These facilities as physical 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 following each other, besides, there is also an image of three sails woven in the wind, showing the company's growth and readiness to challenge Moreover, the dark brown colour exudes elegance and elegance, bringing warmth and friendliness Light brown gives a sense of security and trust

● Website:

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

● Uniform:

The uniform of the company is easily recognized by the customers The logo of Paradise Vietnam Hotel & Cruise is one the left chest with the dark blue colour of the shirt, which represents the sea

Brand recognition is an important factor and Paradise Vietnam Hotel & Cruise did that very well

4.7 Process:

Paradise Vietnam Hotel & Cruise is a luxury cruise company, the service of it is almost the same with some cruise companies The company has a Service Blueprint that provides the details of the services process The process starts with greeting the customer and ends until they leave the hotel and cruise The process will follow stepbystep: Welcome Checkin

-On board - Payment Some important factors should be focused on are: Checking the right name of the customers, Right amount of payment, good attitude of the staff… In order to deal with the annoying customer, the staff should know how to handle the situation and learn from that experience There will be more unexpected things that happen but at least staff know how to handle and not to show a bad attitude to the customers The proper processes will make sure tours run on schedule and avoid any hiccups such as overbooking and long