essay principles of marketing doves marketing strategy analysis in vietnam market and make proposals

Some Unilever's brands such as Dove, OMO, P/S, Clear, Pond's, Lifebuoy, Sunsilk, Lipton, Sunlight...have become familiar products of every Vietnamese family.. In 2015, Dove launched a me

Dove's marketing strategy analysis in Vietnam

market and make proposals

Dove

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Teacher: Nguyen Thi Minh Ngoc

Student implementation: 1 Ung Thi My Duyen: 2021008423

2 Hoang Thu Ha: 2021008431

3 Le Dinh Cat My: 2021008476

4 Pham Thi Huynh Na: 2021008481

5 Nguyen Mai Bao Vy: 2021008595

Ho Chi Minh City - 2021

ACKNOWLEDGMENT

Dear Ms Minh Ngoc,

First of all, we would like to thank you for being with us this past semester Although we still have many mistakes and the epidemic has caused a lot of obstacles, we are very grateful to you for imparting us useful knowledge as well

as enabling us to complete the course in a timely manner

This essay was done within three weeks and it was our first time doing it Therefore, our knowledge is still limited and mistakes will inevitably be made,

we hope you can sympathize with it Finally, we wish you good health and more and more success in your teaching career

Thank you again and all the best to you!

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Unilever is a multinational company founded by the UK and the Netherlands specializing in the production and sales of personal, household and food products, officially established in Vietnam and put into operation in 1995 Some Unilever's brands such as Dove, OMO, P/S, Clear, Pond's, Lifebuoy, Sunsilk, Lipton, Sunlight have become familiar products of every Vietnamese family

DOVE is a typical brand of Unilever, contributing a significant part to Unilever's reputation Dove’s product first appeared in 1957 as a soap bar used by soldiers during World War Il After that, with improvements in the formula, Dove impressed consumers with its ability to moisturize in a cleansing product This

is also a unique feature that makes the brand become one of the world’s most beloved beauty brands Up to now, Dove has become a prestigious global brand with more than 50 years of experience in the cosmetic chemical industry They offer a wide range of products: body washes, hand and body lotions, facial cleansers, deodorants, shampoos, conditioners and hair styling products

built the belief in natural beauty in the hearts of women around the world and

always strives to help women overcome stereotypical beauty and develop

positive feeling with the way they look Dove also try to raise their self-esteem

and be more confident with their own body with the philosophy: “Only natural

beauty lasts forever’

Besides enhancing the beauty of women, Dove also cares about men In 2015,

Dove launched a men's product line with the message: "Men only become

masculine when they know how to care for their family and themselves” Not

only that, the brand's goal is to target all those who identify as female and non-

binary with the aim of breaking down gender, color and racial discrimination to

create equality in modern life

Today, Dove has become a trusted friend of women in over 80 countries and

their products are offered for both women, men, and babies In VietNam, with

the “Ad makeover campaign”, Dove has successfully pushed back 171 million

banners with negative messages The company reached more than 5.5 million

female users — half a million more than its original target What makes Dove

successful not only comes from the product quality but also from the value

a

Dove brings to customers It is along

image of beauty without stereotypes

1 The Company

Mrs Nguyen Thi Bich Van has officially been the

chairman of Unilever Vietnam since 2017 With

more than 25 years working at Unilever, she has

made significant contributions to the management

plan's design, ensuring that the departments can

work together effectively Today she and 1500

other employees continuously makes efforts to

accomplish Unilever’s mission: “Striving for a

better Vietnam” Figure 1 First chairwomen of Unilever Vietnam

To realize that goal, Unilever’s R&D centres invents new products and improves existing products to delight Vietnamese consumers It costs them more than 300 million dollars to invest in the Vietnam market As a result, more and more Unilever’s products including Dove shampoo are well known to Vietnamese people

2 The supplier

Dove has a strong base of reliable suppliers of raw material to help the company overcome any supply chain bottlenecks Dove cooperates with their partners: Firmenich and Givaudan They are Swiss multinational manufacturer

of flavours, fragrances and active cosmetic ingredients As of 2017, these are also the 2 largest companies in the world in the flavour and fragrance industries Beside that, In Vietnam, Unilever- parent company of Dove, is currently purchasing some key raw materials from Vinachem and Vinachem's

member companies This also contributes to more consistent and long-term supply of production materials for Dove

3 Intermediaries

3.1 Reseller

Up to now, Unilever has more than 150 distributors and 300.000 retailers nationwide Their wholesalers are some popular supermarkets in Vietnam such as: Lottemart, Coopmart, GO, Mega Market Besides these big markets, Dove is also distributed to retailers like Vinmart, Bach hoa xanh, Circle K and some grocery stores, local markets in customers’ area In recent years, Dove also has a strong system of e-retailers like Shoppee, Lazada, Tiki

Co! MeGa Market AW FamilyMart SE

Figure 2 Supermarket in Vietnam Figure 3 Convenience store in Vietnam

3.2 Physical distribution firms

The main mode of transportation is trucks and containers Since 1995, Unilever has established Lever Haso and Lever Viso to manufacture and distribute personal care products at affordable prices to Vietnamese consumers They want to ensure that their product can be delivered to mountainous and rural areas and everywhere in Vietnam

3.3 Marketing services agencies

Although Unilever has their own Marketing department, they still cooperate with many prestigious agencies such as WPP, Omnicom and Interpublic

60.000 — 90.000 VND (320g)

Dove's average price in the same product segment is extremely high when compared to its main competitors like Clear and Sunsilk This is a significant disadvantage for Dove in the Vietnam market

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Besides, Vietnam has a hot and humid climate, with high temperatures in most parts of the country This is why dandruff-cleaning shampoos are needed While Dove’s products just focus on restoring and moisturizing, Clear has quickly developed a number of anti-dandruff and cooling shampoos As a result, Clear's products dominate the market in central and southern Vietnam

Women's popular shampoos by regions

North WTC Uy

Sunsilk Clear Clear Dove Dœve Sunsilk

lela

Apart from the tagline "Real Beauty," Dove hasn't had a slogan that has had a huge impact on Vietnamese consumers Sunsilk, for example, uses experts in its TV commercials to increase the brand's verifiability in the face of so many hair care companies competing with it This demonstrates that Dove needs to invest more in TVC in order to reach a larger range of users

Figure 5 A survey made by Q&Me

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5 Publics

General public

In 2017, Dove faced criticism in its shower gel ad The advertising content shows a black girl wearing a dark brown t-shirt, after she takes it off, she turns into a white girl with a completely different look After being released, this ad made thousands of people angry, calling for a boycott of Dove shower gel because they thought the ad was racist This brand was forced to change the brand name of its top-selling skin-lightening product in India from "Fair & Lovely" to "Glow & Lovely", after public outcry over negative stereotypes against people with dark skin This scandal made Dove understand the importance of the general public’s reaction to their brand

Figure 6 Dove's controversial advertisement

6 Customers

Customer-centricity is Dove's guiding principle Two main customers of Dove

in the market are reseller and consumer Dove products are suitable for both men and women in the different age groups However, most of Dove's consumers are young, independent and affluent women between the ages of

18 and 34 Customer-centricity is Dove's guiding principle The brand has launched many campaigns over the last decades to educate customers about

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changing people’s social perceptions, especially women Therefore, Dove’s products try to influence people both physically and emotionally

1 Demographic environment

The current population of Vietnam is approximately 98 million based on the latest General Statistics Office data in April 2021 68% of the population is the age of 15-64 and half of the number is the people below 34 This shows that the population of Vietnam today is a young population and has a large labor force This is one of the potential markets for Dove to grow its business As of April 2019, the number of urban centers in the country has increased to 830 The urbanization rate of the country is estimated to reach about 40% by the end of 2019 This proves that more and more citizens want to access urban living environments instead of rural areas Dove can fully take advantage of this to increase human resources as well as reach more consumers As a result, Dove is increasing output, particularly in Hanoi and Ho Chi Minh city in order to meet rising urban demand

2 Economic Environment

The Vietnamese economy is rapidly changing with remarkable speed In Covid

19, Vietnam’s economy has remained resilient, expanding by 2.9% in 2020,

TOP PRODUCTS GAINING MORE CONSUMPTION

#6 Instant Home @ ñ Health Personal

Noodles Care Supplement Care

Staples Veggies Dairy & Frozen

Plant-based Milk Food

Figure 7 Nielsen Vietnam research 2020

— 4

one of the highest growth rates in the world and growth is expected to reach 6.5% in 2021 Despite cutting spending on food services, travel, luxury shopping and entertainment, Vietnamese consumers tend to have a higher demand for health care and personal hygiene products According to research

by Nielsen Vietnam in 2020, the personal care product category is one of the categories with increased consumption during the time of Covid 19 Beside that, the standard of living of people in big cities is becoming better and better With higher income, the price of personal care products will become less of a priority and instead, quality is more important

3 Natural environment

According to Dove’s company, the majority of the resources are agricultural raw materials As a result, the natural environment plays a critical role in Dove production However, concerns about environmental sustainability have steadily increased in recent years Our natural resources, particularly nonrenewable sources such as oil, coal, and natural gas are rapidly depleting

in the environment Awaring this problem, Dove is trying to transport their products from road to rail and sea to reduce their environmental impact In response to ecological concern, they are also investing in more sustainable plastic choices to reduce the use of virgin plastic, using alternative materials and packaging innovations for their products

4 The Technological Environment

Unilever's products are easily provided to consumers at low cost and in a short time thanks to current science and technology This improves the company's reputation and leads to a significant growth in profitability

On the other hand, technological innovation in each product is vitally important in the 4.0 technology era This will be the deciding factor in Dove's ability to compete with larger competitors Dove, in particular, works with

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Research and Development professionals and dermatologists to develop advanced technologies and ingredients for signature Dove care

5, Cultural Environment

Vietnamese women have always favored black, long, bouncy, lustrous hair and smooth, bright skin, which is a symbol of Asian beauty Natural elements have traditionally been appreciated by Vietnamese women as a source of beauty The more society develops, the more women tend to look for natural things Recognizing this demand, Dove has constantly promoted production as well as widely communicated on the mass media about their products to be able to reach closer to Vietnamese customers Typically, Dove has launched a set of products called Dove Nourishing Secret with lotus extract and rice water

— two natural ingredients that are close to Vietnam’s tradition

6 Political and social environment

Due to the appearance of various foreign brands in Vietnam, the Vietnamese government has enacted a number of laws to encourage Vietnamese citizens

to support our country by purchasing Vietnamese goods, such as the

"Vietnamese people use Vietnamese goods” program These laws have a significant impact on how customers shop

In 2010, working closely with the Vietnamese government, global Unilever launched its Sustainable Development Plan (USLP) which aims to double growth, halving environmental impact and enhancing positive social effect They have set practical goals such as: Committed to bettering the lives

of Vietnam's 20 million people by increasing sanitation and health for all, minimizing the environmental impact of production and commercial activities,

as well as product consumption

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their parents Energetic, pay more

attention to their Busy with work and Busy with work

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family Stable

appearance

PP Open-minded Healthy

catching Easy-going ndependen! Consistent

cartoon

Depend on Medium Medium Hình their parents

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Depend on gift on Daily use, sale-off, gift Daily use, sale-

their parents Teacher’s/Mother’s for coworker off, gift

Day E-commerce

Supermarket, Depend on platforms, Online, supermarket,

their parents convenience stores,

- "Dove nutritive solutions intensive repair" for women with weak, split ends, damaged hair

- "Dove nutritive solutions oxygen moisture" is suitable for dry and flat hair, helps to nourish hair soft, bouncy but not sticky

- "Dove nourishing secrets thickening ritual" for thin, flat hair, helps to moisturize and plump hair

- "Dove nourishing secrets glowing ritual" is suitable for handling dry, frizzy hair, making it shiny and straight

- "Dove nourishing secrets hair boost ritual" helps protect hair from damage and breakage, for naturally strong hair

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Based on 5 different types of shampoos being sold in the Vietnamese market, Dove is using differentiated marketing to reach a diverse range of customers and dominate the shampoo market

2 Target Market

Dove shows that their main target market is women between the ages of 20 and 45, who are already financially independent and have a middle or high income This target market is women of mature age who especially care about their appearance and are willing to spend money on beauty products Dove's products are quite expensive compared to other brands on the market Therefore, women with a high average income will often have easier access to their products On the other hand, women of this age are those who have given birth, are giving birth or intend to have children The stage they will usually begin to have changes in appearance, especially the skin and hair So the arrival of Dove will be a good solution for them

Positioning map

According to the positioning map, Dove has a high qualified product line at a reasonable price Tresemme, on the other hand, is regarded as high quality but has a much higher price than Dove According to an online survey, Dove's popularity among female clients is barely 15% Mid-priced but high-quality shampoos like Clear and Sunsilk, on the other hand, accounted for 22% and

18 percent of the market, respectively Dove needs to develop even more to

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compete with these competitors in the long run because their competitors know how to please their clients by offering low-cost, high-quality products

Dove positioned itself as a brand that appreciates realistic beauty standards

by building consumers self-confidence, self-esteem and self-acceptance They are always committed to bringing Vietnamese women real experiences, real values to awaken the beauty in each person Dove is different from other competitors by focusing on the real thing: not trying to become better but being aware of true beauty No other brand in its category has authentically achieved this and Dove has gained a competitive advantage in this category due to this smart positioning strategy “Dove is an oasis of calm in a sea of hysterical voices telling women to obsess over their imperfections.”

1 Type of product

Dove’s products are convenient products because they belong to the personal care category which is used for regular human demand As a result, it's purchased with little planning, little comparison and high shopping effort

2 Individual product and service decision

2.1 Product Attribute

Dove always focuses on their product attributes They made a strong positioning through their unique product attributes Dove always claims that their product is moisturizing, milky cream, with soft lather, less fragrance, and there are no side effects All of the products are made focusing on benign and mild Name of the product, tagline, logo and everything is focusing feminine simplicity and so Dove can easily capture the concentration of women 2.2 Branding

Branding

DOVE means dove, a kind of bird that is known as a symbol of peace, happiness and pure beauty It has a simple, easy to remember name that is easily attracted to women who appreciate beauty and femininity Moreover,

"DOVE" is also a unique name that captures the core of the product and brand identity After more than 50 years, the name DOVE has remained firmly in the market, and is still consistent with the company values built from the first days: taking care of real beauty, respecting and cherishing women

Logo

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