Digital Marketing2 Group Report Mbbank.pdf

EXECUTIVE SUMMARY Among such banks is MB Bank – the Military Commercial Joint Stock Bank MCBSB, which plays an important role of one of the largest financial institutions in Vietnam.. MB

ĐỖ HOÀNG MINH

Channel strategy Content strategy Gantt chart Budgeting Evaluation of effectiveness References and Appendices

EXECUTIVE SUMMARY

Among such banks is MB Bank – the Military Commercial Joint Stock Bank (MCBSB), which plays an important role of one of the largest financial institutions in Vietnam It was initially dedicated to serving the military community and has since become one of the big players in the banking

industry in the country mb bank was established way back in 1994 and currently serves both the military and regular members of society The bank branches are spread across the country for effective operation to serve the individuals, corporate bodies and the Government in a cost effective manner This explains why MB Bank remains financially sound and operates well in support of Vietnam’s economy growth.

MB Bank has been at the vanguard of digital transformation by investing

in sophisticated technology and providing various online banking solutions such as mobile and internet banking It offers full range of banking products from personal, corporate to investment and international banking, plus

insurance products One of the key factors which have enabled MB Bank receive various awards includes being innovative and excellent service

delivery.

Additionally, it is involved in various initiatives aimed at promoting business growth within the society and corporate social responsibility MB Bank operates in a competitive Vietnamese banking market where other big banks also compete with it.

Thus, with a good start, an innovative drive and a customer oriented philosophy, MB Bank will be able to proceed towards more development and become one of the dominant banks of Vietnam.

I INTRODUCTION

1.1: Brief background of the MBBank

After nearly 25 years of construction and growth,

MB has grown increasingly stronger, becoming a

multi-functional financial group with MB parent

banks in Vietnam & abroad (Laos, Cambodia) and

member companies (in the fields of securities,

insurance, consumer finance, fund management,

asset management, life insurance) With effective

business operations, MB has affirmed its brand

and reputation in the financial services industry

in Vietnam

MB has diverse service and product activities based on outstanding risk management, moderninformation technology infrastructure, and strong development to expand operations in newmarket segments besides the domestic market Tradition of a Commercial Bank After morethan 25 years of construction and growth, MB is currently considered a stable, reliable, safe andsustainable financial institution with high reputation

Misson and vision

1.2 Relative position of the organization in the market

MB bank position in the Vietnamese market

With a flexible customer attraction policy, the number of customers coming to MBskyrocketed In 2020 and 2021, MB's number of individual customers will be 2.6 timesand 3 times higher than the previous year, respectively In 2021, there will be 14 millionnew bank accounts opened according to data from the State Bank, with MB contributing6.3 million accounts, equivalent to 45% In the first eight months of 2022, the number ofpeople using the MB Bank APP continues to increase, 1.5 times higher than in 2021.Specifically, by the end of the first 9 months of 2021, MB had nearly 8 million MBBankapplication users; In 2021 alone, there were more than 4.5 million new application usersand about 60,000 businesses using the BIZ MBBank application Compared to the end of

2020, the number of MBBank application users has increased by 120%, accounting for 75%

of individual customers The total number of transactions on MB's digital channel

accounts for 94% of the number of transactions

MB is the bank with the most used personal account services and ATM/debit card

products with a percentage point score superior to other banks Of which, 41% is forpersonal account services and 57% for ATM/debit card products

Market overview

MB maintains its position in the Vietnamese market In July 2022, MilitaryCommercial Joint Stock Bank (MB) was awarded the prestigious award "Best financialderivatives product provider in Vietnam" at an online conference organized by The AsianBanker This is the third consecutive time MB has been honored in this award category Inaddition, MB was also honored as the top 2 Banking and Financial Services brands at theVietnam Strong Brand Awards 2020 - 2021 organized by VnEconomy and in the top 8public companies in 2021 announced by Vietnam Report

The bank's foreign exchange and derivatives revenue has grown continuously,averaging 40% in the last 3 years, while its foreign exchange market share is stillcompetitive among the top 5 financial institutions in Vietnam

MB bank competitors in the Vietnamese market

Vietcombank: Joint Stock Commercial Bank for

Foreign Trade of Vietnam (vietcombank) is the first

state-owned commercial bank to be equitized and

has become the largest bank in our country today

Vietcombank has a wide network nationwide and

internationally Vietcombank is one of the first

commercial banks in Vietnam to deploy card

services and constantly improve products, so in

2022, Vietcombank was honored as "The leading

bank in beneficiary transactions via VietQR code." ",

with over 20.5 million transactions In addition,

Vietcombank was honored to be awarded the title

Hero of Labor in 2023 by the Party and State on the

60th anniversary of its founding

Vietinbank: Vietnam Joint Stock Commercial Bank for Industry and Trade (Vietinbank), is one

of the largest banks in Vietnam with many significant achievements After the process of

constantly building VietinBank, it is the commercial bank with the second largest transactionnetwork in the commercial banking system in Vietnam As of December 31, 2020, VietinBank'stotal credit portfolio for the economy is more than 1 million billion Dong, affirming its role as

a bank with a large market share in relationships with customers who are corporations,

corporations and large enterprises, leading key economic sectors

BIDV: Joint Stock Commercial Bank for Investment and Development of Vietnam (BIDV) isone of the largest banks and has a long history of operation in Vietnam As of December 31,

2021, BIDV's total assets reached 1.72 million billion VND, maintaining its position as the jointstock commercial bank with the largest total assets in Vietnam BIDV has established an agentbanking network with over 2,300 financial institutions globally

Techcombank: Vietnam Technological andCommercial Joint Stock Bank (Techcombank) is a largeprivate bank with a wide service network throughoutVietnam This bank continuously leads the Vietnamesebanking system in current account savings account(CASA) with 46.1% and return on assets (ROA) with 3.1%.Agribank: Vietnam Bank for Agriculture and Rural

Development is a bank focusing on the development of

agriculture and rural areas, making an important

contribution to the development of Vietnam's agricultural

economy In 2020, the total Agribank's assets reached more

than 1.57 million billion VND Agribank's credit growth rate

increased by 7.8% while net interest income reached VND

43,660 billion, the highest in the banking system

The difference of MB bank

State ownership: MB Bank is a state-owned bank, with charter capital from the state.Operating under strict control and enthusiastic advice from the State Bank, Ministry ofNational Defense, and Ministry of Finance of the Vietnamese government

Products and services: MB Bank is known for its personal account services and the mostused ATM/debit card products, with a percentage score superior to other banks

Effective credit management: MB Bank manages credit effectively with a low bad debtratio across the group, about 1% (the bank's own bad debt is at 0.83%) and a single baddebt coverage ratio maintained at a high level, among the top in the banking industryAbsolute profit: In terms of absolute profit, MB Bank ranked fifth in the Vietnamesebanking system, up two places compared to the same period in 2021, ranking above bothlarge banks, BIDV and VietinBank

MB Bank in the eye of others:

Customers: MB Bank gets a 4.8/5 at app store, it is based on over 12.6k comments Thebank has been highly acknowledged by customers because of its modern technologies, afriendly user interface and wide range of services1 Secondly, they valued the bank’scontinuous improvement on the application to cater for their customers effectively1 Onthe Vietnamese technology forum, tinhte.vn, someone wrote a glowing review of the bankwith its beautiful e-banking interface, fast and zero fee service2 On the other hand, theyargued that there was room to improve on the quality of bank’s cards

Competitors: A case study of MB Bank's SWOT model shows that MB Bank is heavilyinvolved in marketing activities and creates instant virality This can weaken thecompetitor's position in the market Competitors can build or change their strategiesbased on Mb bank's level of market control

1.3 Media presence and visibility of the organization

Link Instagram:

https://www.instagram.com/mbbankvn/

MB Bank has 669followers on Instagram

They mainly uploadphotos and shortdescriptive videos withminimal informationhere Images and videosare designed asadvertising banners,containing product andservice information that

MB Bank wants to showviewers

page has 453 thousand

followers The content

that MB posts are

images and videos that

MB Bank's account isthat KOLs createcontent tocommunicate about MBBank's products andservices

b, Website:

Link: https://www.mbbank.com.vn/

MB Bank's official website has a simple, intuitive and easy-to-use interface Providesgeneral information about MB Bank, detailed information about each product, service,and promotion of the bank Including customer service

Paid media

MB Bank advertises and promotes itself using a number of paid media

Outdoor advertising: In strategic areas, MB Bank has applied outdoor advertisingstrategies such as billboards, electronic license plates, etc These advertisements aredesigned to raise awareness and interest in MB Bank's products, services, andpromotions

Example:

Car advertising: MBBank has deployed a car advertising campaign in Ho Chi Minh Cityand Hanoi with a huge number of cars and running for a long time

Advertising on cars has the biggest advantage that the advertising maquette can cover all

4 car doors, so it can convey more images and advertising messages, not just on the twodoors The back door is like a taxi The position of the advertisement is posted on the carbody at the eye level of passersby, so it is easily seen and attracts great attention

Influencer Marketing: MB Bank promotes its content through partnerships withsocial media influencers and famous content creators Influencers can createsponsored posts, unbox videos, or give reviews and recommendations to theirfollowers.

Digital advertising: MB Bank uses digital advertising strategies across variouschannels, including social networks, search engines, video streaming platforms andwebsites They run marketing campaigns targeting specific groups based on their age,interests, and movie viewing behavior

Earned media

Earned media are channels that drive discussion and customer or stakeholderfeedback about a brand, such as customer reviews or Facebook posts

MB Bank movie review group on Facebook

Rate, comment on social networking platforms, Share, post, repost MB Bank videosand photos

Human resources are always considered a factor in MB's success Human resources are

a valuable and indispensable resource for MB's activities The viewpoint of humanresource management at MB is that developing internal resources is the focus, attractingexternal resources is an opportunity Therefore, resource development at MB is alwaysinvested in and respected by the board of directors

The role of human resources at MB is clearly shown in specific tasks such as:

Improve labor productivity and work efficiency

Improve the quality of work performance, maintain and improve the quality ofhuman resources

Enhance the stability and dynamism of the organization

Create conditions for applying technical and management advances to businessesCreate competitive advantages for businesses

Create attachment between employees and the Bank, professionalism of employeesand adaptation between employees and current and future jobs

Meet the development needs and aspirations of employees and give employees newperspectives and ways of thinking in their work, which is the basis for promotingemployee creativity at work

1.4: Digital readiness

Budget (Marketing budget)

Every year MBBank spends a large amount of money to carry out advertisements onvarious media: television, radio, internet newspapers, magazines This helps MB reachcloser to customers

Human resources

Data

MBBank collects and analyzes large amounts of user data, including viewing habits,interests and interaction metrics This data-driven approach allows MB to tailor contentrecommendations, creating targeted original content By effectively leveraging data, MBcan make personalized recommendations and continuously improve its content library

II KEY PROBLEMS

According to Vietnam Report, MB

Bank has the lowest media rating

among the top 10 prestigious

Vietnamese commercial banks in

2023, despite having a positive

financial rating in the top 10

Regarding advertising, MB Bank has conducted a lot of advertising in the form of massmedia such as newspapers, magazines, television, radio, and other forms of communication

in the digital age through email marketing, social media media, in addition, social

activities can also be mentioned

Currently, according to the trend,Vietnamese businesses stillmaintain their presence ontraditional advertising channelswith unchanged budgets, however,they are increasingly interested inpromoting their brands ontraditional advertising channels.digital channels, via the chart above

With the goal of rejuvenating the audience and changing the approach to the industry,grasping the trends of the times, MBBank once had a ''rejuvenation'' campaign to attractGENZ by deploying a series of videos to build situations through the platform Tiktokplatform, integrating content introducing the Hi Visa 2-in-1 multi-function card line

Key problem that the groups want to research and offer solutions are:

Take advantage of social media platforms to increase brand love and brand

awareness to create a rejuvenated image for MBBANK on digital platforms

How to encourage audiences to remember, consider and become loyal customers

of MBBank's product line ?

Interview: 10 customers are using MB Bank banking services and 10 customers haveused it but are not using it anymore or have never used it.

Interview purpose:

For customers using MB Bank banking services:

Find out the social networking platforms that MB Bank customers often useFind out about customers' customer journey, collect opinions about customersatisfaction or dissatisfaction during use

Collect customers' wishes about what MB Bank should improve in the futureDefinition of MB Bank's image in the hearts of current customers and customers'thoughts about rejuvenation

For customers who have used or have not used MB Bank's services:Find out which social media platforms they often visit

Find out why users do not choose to use MB Bank's services

Determine directions to attract potential customers

III Customer analysis

3.1 Primary Research

Primary research is data which is obtained first-hand This means that the researcherconducts the research themselves or commissions the data to be collected on theirbehalf Primary research means going directly to the source, rather than relying on pre-existing data samples.The most common primary market research methods areinterviews, surveys, focus groups and observations.It is especially helpful if a companyneeds to collect highly specific data related to its context and operations

Method:

Quantitative interviews

Interview opening time: 3 days

Sampling method: random sampling students at FPT University depends on the 2groups of subjects identified above

Set of questions:

Basic information:

Group of customers using MB Bank:

According to interviews, the ratio of male and female customers of MB Bank isapproximately 50:50, with the specific ratio of female gender being 45.5% and malegender being 54.5% With two main age groups: under 18 (9.1%) and from 18 to 25 is90.9% This is because most of the interview participants are students at FPT

Of the 11 customers interviewed, 10 are currently using MB Bank and 1 has used the bank.

The customer group has all used MB Bank for a long time, mainly from 1 to 3 years andthere are customers who have used it for more than 3 years

70% of customers know that theimage of MB bank is associatedwith the image of the military.Besides, they think that the image

of the bank in general and MBbank in particular is a dry andstrict image

According to customers,

compared to other banks,

the reasons for customers

to choose MB Bank are

because of ease of use

(36.8%), convenience

(21.1%), good security

(15.8%) and along with a

number of other reasons

such as compared to other

banks, MB Bank's good

customer care services,

interface, are also

considered by customers

However, according to interviews, the errors that make customers feel uncomfortablewhen using MB Bank will come from slow money transfers, errors when transferringmoney or logging in, especially high-frequency maintenance errors that cause problems.Customers encounter difficulties when they need to make urgent transactions, andwaiting for a long time makes customers impatient and dissatisfied

However, looking at theoverall interface, moneytransfer, operations, services,

up to 27.3% of customers feelextremely satisfied with theexperience with MB Bank,45.5% of customers satisfied,18.2% feel okay and only 9.1%

of customers are dissatisfied

Accordingly, because of the

high level of satisfaction,

customers using MB Bank

also recommend it to their

friends and relatives (72.7%)

With the desire to improve, the interview said that customers want to improve thementioned errors such as transferring money faster, upgrading maintenance services,app/web interface, improving login errors for transactions online translation

Regarding the bank's direct facilities, customers expect to have better service fromstaff to create a comfortable feeling for customers when coming to work

Regarding participation in promotions or events of MB Bank, the ratio is nearly 50:50 withpromotions and events, 100% of customers using services at the bank have not

participated With the idea of implementing a

new communication campaign,customers said they wanted MB toimprove the app interface to make itmore friendly and consistent withGEN Z's aesthetic, besides the logo(38, 5%) for a more youthful, dynamiclook Besides, customers alsocommented on how MB deploysmedia communication channels andother reasons are features

It can be seen that, although

MB Bank customers have been

using it for a long time, less

than 50% of them know about

MB's integrated card in the

recent communication

campaign and the number is

100% of customers who have

not heard of it Use this built-in

tag This shows that MB Bank's

communication style really

needs improvement

For groups of customers who have used and have never used:

For this group of subjects, the proportion of women is still greater than that of men(70%-30%), similarly in the age group there are still two main age groups: 18-25 yearsold, and under 18 years old

Similar to the target group that isusing MB Bank, the target group thathas not used or has used it also likes touse social networking platforms such

as Facebook, Tiktok and Instagram forthe purposes of entertainment andconnection

According to interviews, the target group mainly does not use MB Bank's servicesbecause of their high level of dissatisfaction with the app Surname

Feeling uncomfortable and dissatisfied after using it because of too many errors inlogging in and transferring money Besides, they feel they do not trust MB Bank

Contact people and update information and news At the same time, they also likecontent that is entertaining and has quality content

However, this group of customers also shared that they would use MB if the errorsmentioned above could be improved (54.5%), and 27.3% would consider using thebank.Only less than 20% of customers will not choose to use MB Bank's services

3.2 Key Insight

Every consumer has deep psychological secrets that sometimes they themselvescannot realize A good insight is one that speaks out undeniable truths, strongmotivations or unanswered conflicts in the hearts of consumers

Insight doesn't need to include the full dynamic and conflict, but usually just one ofthe two What is important is that this dynamic or conflict contains problems that thebrand can solve, bringing revenue to the business

Truth: As a young person, I prefer to use online banking

Tension: I often encounter maintenance errors, errors when transferring money orlogging in, making me feel uncomfortable when I need it urgently and have to wait.Motivation: I want a money transfer app with few maintenance errors, quick moneytransfer, and easy-to-use operations

=> Insight: As a gen Z, I love the speed and convenience of money transfer apps Butmaintenance errors, errors when transferring money or not being able to log in for along time make me feel dissatisfied and annoyed

Big Idea: ‘’Trẻ hóa mới’’

Key message: ‘’Cách mạng AI- TƯƠNG LAI VƯỢT BẬC’’