report introduction to e commerce building e commerce project earthpack

The consumption trend of straws: Using paper straws is 121 people, accounting for 60.5%; Reed grass 74 people, accounting for 37%; Other raw materials is 5 people, accounting for 2.5%..

University of Economics and Law - VNU HCMC

FACULTY OF INFORMATION SYSTEM

Report INTRODUCTION TO E - COMMERCE

Building E - Commerce Project

1 Nguyen Thuy Chi - K224111445

2 Le Nguyen Ai Hong Ngoc - K22411

3 Nguyen Ngoc Nha Linh - K224111455

4 Dinh Mai Thu - K224111464

Ho Chi Minh - 2022

TABLE OF CONTENTS LIST OF FIGURE

CHAPTER 1 FORMING IDEAS AND DEFINING STRATEGIC GOALS

1.1L Overview of ideas

1.2 Overview of the eco-friendly package market

1.3 Reasons to choose this topic

1.4 Style

1.5 Name and logo

1.6 Product

CHAPTER 2: DEFINING STRATEGIC GOALS

2.1 Short-term goals (1 year):

CHAP 4: CREATE DIFFERENCES AND BRAND POSITIONING

4.1 Customer service and care

6.4.5 Box Chat customer support

CHAPTER 7 SUPPLIER CHAIN MANAGEMENT

7.2 Components of supply chain

7.2.1 Supplier and Manufacturer

8.3.2 Inventory control systems

8.3.3 About inventory management

8.4 Organizational apparatus and management plan

8.5 Financial plan

8.5.1 Capital

8.5.2 Sources of capital

a Website Costs

b Physical Products Costs

c Employees Hiring Expenses

CHAPTER 9: MONITORING AND ASSESSMENT

9.3.1 Expanding product lines and scale of development

9.3.2 Market research to understand customers

9.3.3 Developing products with breakthrough technology

9.3.4 Community activities for sustainable success

9.3.5 Technology Platform

Reference

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CHAPTER 1 FORMING IDEAS AND DEFINING STRATEGIC GOALS 1.1 Overview of ideas

At present, environmental issues are becoming more and more concerned This becomes a topic that is mentioned much in mass media, in workshops and in large-scale events The constant change of the industrial background is also one of the reasons that lead to severe environmental pollution problems, and more than ever, it is now the time we have to jointly hold this planet Understanding that, our team has chosen to build a business project of natural, environmentally friendly bag products

1.2 Overview of the eco-friendly package market

With consumers’ awareness of eco-friendly products, more and more people are willing to choose eco-friendly products (Yadav et al., 2019)

The study surveyed 230 consumers in Tra Vinh City, resulting in 200 valid votes The descriptive statistical results are presented as follows:

In terms of gender: In the total survey, men accounted for 43% with 86 people, and women accounted for 57% with 114 people

Regarding ethnicity: Kinh ethnic group accounts for the majority with 83% (equivalent to

166 people), Kmer has 20 people accounting for 10%, and the remaining 10% are other ethnic groups with 14 survey participants

About Career Students have 49 people, accounting for 24.5%; Teachers/officials had 39 people, accounting for 19.5%; Trading/trading has 32 people, accounting for 16%; Office workers had 27 people, accounting for 13.5% The remaining 17.5% are working in other occupations (equivalent to 35 people)

Regarding Education Level The largest number are undergraduate and postgraduate with

107 people, accounting for 53.5%; High school, intermediate, and college accounted for 35.5% with 71 people; Middle school and below had 22 people or 11% This shows that the subjects surveyed are a group of people with relatively good occupations, an average income of about 6.5 million and they have an understanding of environmentally friendly products

Regarding the level of use of paper cups and straws: At the occasional level there were 156 people, accounting for 78%; The regular level has 35 people, accounting for 17.5%; Unused were

9 people, accounting for 4.5% About

The consumption trend of straws: Using paper straws is 121 people, accounting for 60.5%; Reed grass 74 people, accounting for 37%; Other raw materials is 5 people, accounting for 2.5%

As can be seen, consumers tend to choose to buy paper straws because it is easy to find them in department stores, and supermarkets and the price of paper straws is also more competitive than straws made from other friendly materials

About the level of willingness to spend on straws made from environmentally friendly materials Less than 1,000 VND/pipe has 104 people, accounting for 52%; The level of 1,000 - 2,000 VND/pipe has 84 people, accounting for 42%; The level of over 2,000 VND/pipe has 12 people, accounting for 6%

1.3 Reasons to choose this topic

According to estimates by the Ministry of Natural Resources, Every year more than 1.8 million tons of plastic waste is discharged in Vietnam but only 27% of it is recycled Plastic consumption per capita in Vietnam has increased sharply from 3.8kg to 41.3kg per person in the period from 1990 to 2018 The abuse of non-biodegradable plastic bags and single-use plastic products has been having incalculable consequences for the environment

In the face of concerns about the rise of single-use plastics, environmental inventions are being welcomed by consumers and since then, a series of utility products have been replaced Grasping that trend, the team decided to choose bags made from natural materials, easily decomposed, and environmentally friendly, and built a sales website to be able to easily access the needs of businesses as well as spread environmental campaigns

1.4 Style

Aun for elegance, the main colors are green and brown for the website Green, in addition to representing the environment, nature - the main raw material for the production of environmentally friendly products, also represents luck, bringing a sense of comfort and freshness Combining the brown color of the trunk represents reliable, solid durability as our sense of responsibility with our beloved product when it reaches customers

1.5 Name and logo

With our main products are environmentally friendly packages, we convey the message: “ Your Convenience- Our Environment” through the name “ EarthPack’’ Following this, choosing

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the name “ EarthPack” means that our products can replace disposable plastic containers with eco- friendly materials This cannot only maintain the message “ Your Convenience” but this way can also positively affect the environment due to the reduction of plastic

1.6 Product

Primary product: Eco-friendly packaging

(Three containers Capacity: 750ml)

PRODUCTS PRICE (VND) Bassage Box Bassage Box- S 2.500/1unit

(Square: L7.5x17.5cmx50em) Bassage Box- C/350 4.600/lunit (Circle+ Flap: 350ml)

Bassage Box- 700 3.500/1unit (Capacity: 700ml)

Bassage Box- 3T/750 7.500/1unit

Totebag Totebag - M 30.000/1unit

Totebag - L 50.000/1unit Bamboo Flask Bamboo Flask - 350ml 150.000/Lunit

53.000/Lunit

Beewax Fabric - L (Size L: 26x26cm)

80.000/Lunit

Bee Hive Bubble Wrap

Bee Hive Bubble Wrap 82.000/Lunit

Straw Grass Straw 16cm 48.000/100p

Bamboo Straw 15cm 19.000/10p Rice Straw 22cm 25.000/40p Others Paper Cupholder 80.000/100unit

CHAPTER 2: DEFINING STRATEGIC GOALS

2.1 Short-term goals (1 year):

- Reach at least 50 customers per day

- Each item has at least 5000 products sold

- Protect the environment but still keep the convenience criteria

- Bringing eco-friendly packaging to the masses and changing consumer perception of use

- The introduction of pure Vietnamese raw materials

CHAPTER 3: DEFINING BUSINESS MODEL AND REVENUE MODEL 3.1 Business model

With the idea of building a business to sell environmentally friendly bag products through e-commerce platforms The team aims for a B2C (Business to Customer) model

B2C is a commercial business model between businesses and customers, including collecting customer information and exchanging products through electronic platforms To be able

to participate in this business model, businesses will normally need to build a website, create information about the source of goods, and run ads and e-Marketing campaigns

To minimize production costs as well as ensure product quality, the team chooses to link with a third manufacturer to turn their goods ideas into specific products, then import products and distribute them to customers through electronic platforms

In addition, for this project, besides using the B2C model through e-commerce, the team also wants to combine it with traditional commerce That is, customers can both buy goods directly from the store, can order on the website, and recetve goods at home

3.2 Revenue model

The team aims at 2 main revenue models corresponding to different stages of the business:

- When the business is young, not widely known and the number of customers is small, the revenue model is from the cost of selling products

- When the business has achieved a certain foothold, brand position, and a specific number of customers, the team will develop a link revenue model, i.e the profit earned from running ads for other businesses and brands

3.3 SWOT of our business and revenue model

3.3.1 Strengths:

- The production process is guaranteed to be safe

- The product prices are reasonable Product prices are cheaper than competitors in the same industry

- The product offers safe solutions to the environment and health instead of

traditional toxic products

- Launch multiple campaigns to attract customers

- Wide range of products to fully meet the needs of customers

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3.3.2

3.3.4

Modern production lines and techniques EARTHPACK's products are manufactured

at a factory that meets the requirements of closed hygiene and is not cross- contaminated at all stages of production, meeting the strict conditions of the Ministry

Young brand: Brand awareness is not high

Not reaching a large number of clients

Opportunities

Large market demand

Trends concerning sustainable products are on the rise, customers will look for products that protect the environment that is safe for their own health

Customer demand for ordering product services online is increasing

The source of raw materials for the production of products is diverse from both domestic and foreign sources

Threats

Changing consumer behavior

Many strong competitors with great financial potential

More and more domestic and foreign brands are entering the eco-friendly packaging business market

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CHAP 4: CREATE DIFFERENCES AND BRAND POSITIONING

4.1 Customer service and care

We consider online customer care to be one of the most important parts to differentiate and position the brand in the following ways:

Create a customer information data system,point accumulation programs, loyalty programs, specifically discounts on birthdays, holidays

Message via gmail, phone number, posts on social networking platforms, e- commerce platform about sales off events, product launch events, new collection, customer gratitude programs on the office foundation anniversary company Ask for feedback from customers about the points that need to be fixed by the business periodically, for example, fill out the survey form and they will receive a small discount for the next purchase

Supporting customers to join hands to protect the environment , business is the bridge that brings customers closer to the mission of saving the Earth and enhancing customer value For example, a part of profit is deducted to donate to environmental protection funds to plant trees that cause waste

Offline:

Beautifully packaged with unique materials and patterns of the package to create a brand mark (honeycomb shockproof paper, sticker, card conveying the message of environmental protection )

Towards environmental protection with the color theme of green and brown Green is the color of plants, a color that is easily seen in nature, is the main source of the brand's eco- friendly products, giving people a feeling of freshness and comfort Plus, the color brown of the trunk represents the solid and enduring reliability as our sense of responsibility for our trusted product when it reaches our customers

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4.3 Terms of personnel

Staff are well-trained in both soft skills and professional skills:

@ Soft skills and attitude requirements :skills when working for businesses (social skills, teamwork skills, presentation skills, communication skills, cooperation skills .) , skills working with customers (listening skills, problem-solving skills );

be always enthusiastic, dynamic, have great passion and interest in the mission of protecting the environment - using alternative products

e Professional skills: Skills to work on electronic devices and network platforms (office informatics, catching the trends ) because the company mainly does business

in the form of e-commerce, with an in-depth understanding of how the company's operating knowledge, the company's mission, and the expertise of substitute products (how to use, how to store )

4.4, Ensuring the quality of products

The products are researched, modified and perfected carefully (in terms of durability, safety when using by the form of enterprises committing to contract with the manufacturer ) Products that are in stock or out of date will be returned for remanufacturing and recycling Perform statistical quality control with variable AQLs

Report on quality history by vendor, division, brand, and country of origin ( labels, ) Shoot short videos of several parts of production process and upload to platforms like Tik Tok (a form of marketing support)

4.5 Design

Based on the style in section 4.2, we design according to that theme:

The main color tones are brown and green with the meaning stated in section 4.2

Fonts can be formal or multi-style (cute, caligraphy, ) depending on the theme of the event However, the design needs to convey the content requiring writing in an easy-to-read format Brand-style sticker, images are carefully reviewed for copyright, meaning

Content and design are carefully censored before publication to limit cases of controversies that are easily misunderstood or copyright problems

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CHAPTER 5: PRODUCT DEVELOPMENT AND MARKET STRATEGY 5.1 Product development

- Drversification of products

- Ensure the quality of production inputs and products sold

- Collect customer reviews for product development

- Create unique product characteristics to increase brand awareness

5.2 Market analysis

Ar t 1s of misma plastic wast total amount end Di Ì wate

Facing that alarming reality, the State and many large enterprises in Vietnam have constantly made efforts to bring "Green Marketing" programs Specifically, Lotte Mart sells paper

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straws, food boxes made from bagasse, and eggs in paper packages instead of plastic containers Big C offers biodegradable bags made from cornmeal,

Since then, there have been significant changes in consumer perceptions Many people are willing to pay a higher price to own "green" and "clean" products instead of plastic products In a survey in Tra Vinh province, consumer perception was measured by 4 observed variables including | always prioritize buying drinks at stores that use paper cups and paper straws (EnvirL); I] switched using paper cups and paper straws for the environment (Envir2); Use paper cups, paper straws are necessary to protect the environment (Envir3); and When there is a choice between equal products, I always buy products that benefit the environment (Envir3)

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Envirl Envir2 Envir3 Envir4

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Figure 5.2: Survey of using eco - friendly products The survey results showed that the majority of consumers answered with or above statements This shows that consumers in Tra Vinh have an interest in protecting the environment 5.2.1 Market segmentation

Customer targets range from teenagers to middle-aged and elderly, however, based on some characteristics, the team identifies 2 main customer segments

Group |: Young people between the ages of 16 and 22, students of high schools, colleges, and universities

- As anew generation, growing up with social networks, it is easy to be exposed to global issues such as the environment and have an interest In it

Group 2: People aged 27 and over

- Often married, or financially stable, should be interested and able to pay for healthy products

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5.3 Marketing objectives

- Increase brand awareness and expand the market

- Maintain customer satisfaction with product quality as well as service quality

- Maintain customer relationships through effective customer relationship management

- Increase customer engagement on social media by building a brand's own book-colored social media

- Attract the interest of customers through the promotion and launch of new products regularly

- Launching promotions, and environmental campaigns

5.3.1

5.3.2

Market trends

Product recommendations through customer purchase history

Changing social media platforms, not only on Facebook, and Instagram but also on Tiktok, Build content, images, suitable for each platform

Build environmental fundraising campaigns

The market needs

Consumers looking for environmentally friendly products often want to find a new product, safe for health and meets the "no guilt" mentality when using products harmful to nature From there, businesses will need to provide a completely "green" experience for customers That is, from using the website with a friendly, simple, easy-to-use interface, to products, product packaging is all environmentally friendly products

Apply discounts and promotions on special occasions

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