to analyze and promote sustainable marketing strategy for specified green product for a sme in hcmc chapter 20

Benefits and Importance of Sustainable Marketing: ………...  Sustainable marketing calls for socially and environmentally responsible actions that meet the present needs of consumers and

University of Economics Ho Chi

Minh City School of International Business –

To segment English Training market and define target market for an organization (English

Training provider) Teacher: Assoc Prof Trần Mai Đông

Ho Chi Minh city, November 2023

University of Economics Ho Chi

Minh City School of International Business –

Class Code: CT3_B2.404

Teacher: Assoc Prof Trần Mai Đông

Table of assignment

distribution

No

Member name Student

number

Assignment Completence Signatu

re 1 Phạm Nguyễn

Minh Khôi(Group leader)

ProjectReport &

Content

100%

2 Phạm NgọcThanh Bình (Sếp

+ 9.75 Micro)

Content 100%

3 Nguyễn PhạmNgọc Như (14k fl

+ 9.75 Micro)

PowerPoint& Content 100%

4 Nguyễn KhánhToàn (9.75

Micro)

Content 100%

Source of Reference

 Content: Principles of Marketing (SEVENTH EDITION)

By Phillip Kotler & Gary Armstrong

 Outline: hoc-kinh-te-tai-chinh-thanh-pho-ho-chi-minh/xac-suat-thong- ke/mktt-quadqqswdwdwd/74021763?

https://www.studocu.com/vn/document/truong-dai-fbclid=IwAR36wpPh42QYzOPv97tYj2MFQUEl80zAAKXQ7QQV 20aPXM-XNq0KmRuICwQ

By Nguyen Trung Truong

INDEX

………

TABLE OF CONTENT : ………

A Introduction: ………

……… 1 Social Criticisms of Marketing:

……… 2 Definition of Sustainable

Marketing:……… 3 Benefits and Importance of

Sustainable Marketing: ……… 4 Drawbacks of Sustainable

Marketing:………… 5 Sustainable Marketing Principles:

1 SME Profile: ……… 2 Green product overview:

……… B Discussion:

……….

……… 1 Category understanding:

……… 1.1 Market size:

……… 1.2 Market growth:

……… 1.3 Market trend:

……… 1.4 Market potential:

……… 2 Competitive landscape:

……… 2.1 Competitors:

……… 2.2 6Ps:

……… 2.3 Positioning:

……… 2.4 Key message:

……… 3 Company analysis:

………

3.1 Strength: ……… 3.2 Weakness:

……… 4 Room to win:

……… 5 Segmentation:

……… 5.1 Demographics:

……… 5.2 Psychographics:

……… 5.3 Consumer behavior:

……… 6 Conclusion:

……… 6.1 Differentiation & Positioning:

……… 6.2 Insight & Brand role:

………

II Promote Sustainable Marketing

1 Promotion: ……… 1.1 Tik Tok Filter:

1.1.3 Method: ……… 1.1.4 Filter content:

1.3 Exhibition “The Grass Odyssey: A Sustainable Environment Journey”:………

………

OPENING WORDS TABLE OF CONTENT

I About Sustainable Marketing:

1 Social Criticisms of Marketing:

 Marketing is often criticized for its impact on individual consumers, society as a whole, and other businesses Some of the most common criticisms include:

 High prices: Critics argue that marketing drives

up prices by adding unnecessary costs, such as advertising and packaging

 Deceptive practices: Marketers are sometimes

accused of using deceptive practices, such as making misleading claims about products or using unfair pricing tactics

 High-pressure selling: Some marketing

techniques can be considered high-pressure, which can make consumers feel uncomfortable or pressured to buy something they don’t want or need

 Shoddy or unsafe products: Some products

may be poorly made or unsafe, which can put consumers at risk

2 Definition of Sustainable Marketing:

 Sustainable marketing calls for socially and environmentally responsible actions that meet the present needs of consumers and business while also preserving or enhancing the ability of future

generations to meet their needs

3 Benefits and importance of Sustainable Marketing:

 Sustainable marketing is important because it helps tocreate a more sustainable world By focusing on theneeds of both consumers and the environment,sustainable marketing can help to reduce pollution,conserve resources, and protect the planet

 It can help to reduce pollution and environmental damage: Sustainable marketing

practices can help to reduce the amount of wastegenerated by businesses, as well as the amount ofpollution caused by transportation andmanufacturing For example, companies can userecycled materials in their packaging, reduce theirenergy consumption, and use sustainabletransportation methods

 It can help to conserve resources: Sustainable

marketing can help to conserve natural resourcessuch as water, energy, and raw materials Forexample, companies can use water-efficientappliances and lighting, recycle materials, andsource their materials from sustainable suppliers

 It can protect the environment: Sustainable

marketing can help to protect the environment byreducing pollution, conserving resources, andusing sustainable practices For example,companies can plant trees, support environmentalorganizations, and educate consumers about theimportance of sustainability

 In addition to these environmental benefits, sustainablemarketing can also be beneficial for businesses.Sustainable practices can help to improve a company'sreputation, attract new customers, and reduce costs.For example, consumers are increasingly looking forproducts and services from companies that are

committed to sustainability Companies that are able todemonstrate their commitment to sustainability cangain a competitive advantage.

 Overall, sustainable marketing is an importantapproach that can help to create a more sustainableworld By focusing on the needs of both consumers andthe environment, sustainable marketing can help toreduce pollution, conserve resources, and protect theplanet

4 Drawbacks of Sustainable Marketing: 5 Sustainable Marketing:

a Consumer-oriented marketing:

 Consumer-oriented marketing means that the company or organization view its marketing strategy from the consumer’s point of view.(We've already got this one covered with the inbound marketing methodology!)

b Customer value marketing:

 Customer value marketing entails putting mostefforts and resources into continuously improvingthe value added to the offering As the companycreates value for the customer, the customer inturn creates value for the company Sustainable!

c Innovative marketing:

 The principle of innovative marketing ensures thatan organization never stops finding better ways todevelop products, services and better ways tomarket Those that ignore innovation will losecustomers to those that find better and betterways

d Sense-of-mission marketing:

 Sense-of-mission marketing is the principle thatguides a firm to define a broad mission thatspeaks to society rather than just the product.Adopting a broad mission gives a company a clear,long-term direction and serves the best long-runinterests of consumers and the brand

e Societal marketing:

 With the principle of societal marketing, thecompany balances decisions based on thecustomer wants, the company requirements, andthe customer and society’s long-term interests.For example, Method home products put the ‘hurton dirt without doing harm to people, creatures orthe planet’ Innovative companies look ahead topotential societal issues as opportunities.

II Research Subject:

1 SME Profile:

Eco-friendly companies are those that operate with the goal of protecting the environment and minimizing the negative impact of their production and business activities on the environment These companies often implement environmentally friendly solutions in all of their activities, from production and business to operations and management

a Key point of Eco-friendly

 Use of environmentally friendly materials: Eco-friendly companies prioritize the use of materials and materials that can be recycled, reused, and are environmentally friendly. Use of environmentally friendly technology: Eco-friendly

companies also often use environmentally friendly technologies in their production and business processes. Waste reduction: Eco-friendly companies always strive to

reduce waste to the environment. Increased use of renewable energy: Eco-friendly companies

also actively use renewable energy sources such as solar energy, wind energy, etc

 Creating a green, clean, and beautiful work environment: Companies focus on creating a green, clean, and beautiful work environment for employees They often plant trees, implement energy saving measures, water, etc

b Mission of eco friendly

 Integrity and commitment to providing customers with quality products and the best services

high- Build trust and credibility relationships Develop together for a long and sustainable future

 Focus on building a friendly living and working environment, professional training, a dynamic, creative, and high-income team of employees.

 The benefits of EFV must be linked to the benefits of society and the surrounding community

Eco-friendly companies' environmentally friendly solutions have contributed to environmental protection and improved the qualityof human life In the future, the trend of development of eco-friendly companies will increase, contributing to building a sustainable environment for the future

2 Green Product Overview:

Grass straws are made from 100% natural water hyacinth grown in the Mekong Delta, Vietnam Grass straws contain no chemicals or dyes, no plastic derivatives, BPA, or other chemicals All straws produced by Eco-Friendly are 100% organic, biodegradable, and environmentally friendly

 The straws can be fully decomposed within 4-6 weeks The straws are durable and can be used for 2-3 hours

 All of our products are tested and certified by reputable testing organizations around the world (Food Safety and Hygiene Certification and inspection by international organizations SGS, Eurofins)

 Straws can be designed and produced to meet customer requirements, suitable for all usage needs, as well as can be used for all types of beverages, hot and cold, for children and adults

I Analyze:

1 Category Understanding: I.1 Market size:

 Despite the global economic downturn, the Foodand Beverage (F&B) market in Vietnam isexperiencing rapid expansion among leadingchains

 Enterprises with strong financial capabilities andsubstantial resources, such as Katinat Saigon Café,Phê La, Mixue, Trung Nguyên, Highlands, areleveraging this opportunity to scale up nationwide.Consequently, the number of Key Opinion Leaders(KOLs) and Influencers working in this industry hasseen a significant increase, with notable figuresincluding Ninh TiTo, Khoai Lang Thang, and PítHam Ăn.

 The F&B market is projected to expand by 18%this year, reaching VND 1 million trillion by 2026.The F&B industry trends in Vietnam for 2023 areexpected to witness intense competition amongmajor chains for market share, while smallerchains adopt a more cautious approach

 Thu, H (2023) Tổng quan thị trường F&B Việt Nam, xu

hướng phát triển 2023 Siêu App quản lý bán hàng, Available at: https://bepos.io/blogs/thi-truong-fb-viet-nam/ (Accessed: 01 December 2023)

 Scale of the F&B Industry Revenue in 2022reached nearly VND 610 trillion (a 39% increasecompared to 2021)

 It can be observed that in 2022, the industry notonly regained growth but even surpassed the pre-COVID-19 period significantly Favorable signalsregarding revenue growth in 2022 are believed tostem from the government's safety-orientedapproach to economic development Measuressuch as the relaxation of social distancingregulations enabled the reopening of businesses inthe restaurant, dining, and tourism sectors,concurrently stimulating consumer spending.Consequently, the overall sales performance of theF&B service industry in Vietnam was reinforcedand enhanced

 Ho Chi Minh City accounts for a remarkable39.78% of the total number of restaurants/cafésnationwide!

 Examining specifically the restaurant/café servicesin Vietnam in 2022, the three provinces and cities

with the most advanced economic development inthe corresponding Northern - Central - Southernregions still maintain an advantage, possessingthe highest number of restaurants Theproportions are respectively 14.48% in Hanoi,4.80% in Da Nang, and 39.78% in Ho Chi MinhCity.

 Revenue from café/bar establishments contributesthe largest share, amounting to 44.30%! Engagingin coffee consumption has become a culturalbeauty in the lives of the Vietnamese people.Simultaneously, it serves as an opportunity forindividuals to gather, converse, chat, andexchange ideas with one another

 More than 50% of customers occasionally visitcafés each month! Out of a total of 3,940 surveyparticipants, the number of individuals with afrequency of using outside beverage services 1-2times per month is predominant, constituting thelargest proportion at a rate of 53.3% Followingclosely is the frequency of 1-2 days per week. https://drive.google.com/file/d/1Abd8kiVwHyj

pDpC1SjdrOnERXDlVcO/view

I.2 Market growth:

 In reality, after two years of survival challengesdue to the pandemic, the F&B market reboundedin 2022, even surpassing pre-Covid-19 levels.Specifically, in 2022, Vietnam had approximately338,600 restaurants, with an annual growth ratebetween 2016 and 2022 of about 2% The F&Bindustry's revenue scale exhibited an impressive39% increase compared to 2021, reaching nearlyVND 610 trillion, surpassing the pre-pandemicperiod

 Ánh Tuyết (2023) Doanh Thu Ngành F&B giữ đà tăng, dự

báo vượt mốc 700.000 tỷ năm 2023 nhưng đối mặt nhiều Trở Ngại Nhịp sống kinh tế Việt Nam & Thế giới, Available at: https://vneconomy.vn/doanh-thu-nganh-fb-giu-da-tang- du-bao-vuot-moc-700-000-ty-nam-2023-nhung-doi-mat- nhieu-tro-ngai.htm (Accessed: 04 December 2023)

 Founded in 2016, the Katinat Saigon Káfe chaininitially comprised approximately 9 outletsconcentrated in the District 1 and District 3 areasof Ho Chi Minh City, with an additionalestablishment located in Biên Hòa.

 By October 2021, Katinat made a strategicdecision to accelerate its growth and expansion. As of now, the Katinat coffee chain has

consistently expanded and reached the milestoneof 50 outlets, primarily located in Ho Chi Minh Cityand neighboring provinces in the southern region,including Đồng Nai, Bình Dương, Mỹ Tho, Cần Thơ,Đà Lạt, and more recently, the Hanoi market

 Hưng Nguyễn (2023) Điểm tựa để chuỗi cà phê Katinat

Tăng Trưởng Thần Tốc , TheLEADER Available at:

tang-truong-than-toc-1689665196565.htm (Accessed: 04 December 2023)

https://theleader.vn/diem-tua-de-chuoi-ca-phe-katinat-I.3 Market trend:

 According to the forecast by the analysis group,despite facing various pressures in 2023, theVietnamese economy is expected to experience an18% growth in the Food and Beverage (F&B)sector, reaching VND 720.3 trillion Following therecovery post-pandemic, the F&B industry isanticipated to sustain a stable growth rate, withprojections indicating a value nearing VND 1million trillion by 2026

I.4 Market potential :

 The global market for grass straws shows stronggrowth potential, driven by increasingenvironmental awareness and regulations againstplastic

 Drivers of Growth:

- Environmental Concerns: Plastic straws

are a major source of plastic pollution,harming wildlife and ecosystems Grassstraws offer a biodegradable, sustainablealternative

- Government Regulations: Manygovernments are implementing bans orrestrictions on plastic straws, creating amarket void for eco-friendly alternatives likegrass straws.

- Consumer Preferences: Consumers are

increasingly choosing environmentallyfriendly products Grass straws align withgrowing demands for sustainable options.- Versatility: Grass straws are suitable for

various beverages, making them appealing toa broad range of consumers and industries

 Market Opportunities:

- Innovation: Research and development in

grass straw production can improveefficiency, reduce costs, and enhance productquality

- Diversification: Exploring new applications

for grass straws, such as food packaging andconstruction materials, can expand marketopportunities

- Collaboration: Partnerships between grass

straw producers, retailers, and environmentalorganizations can increase awareness andadoption

- Overall, the market potential for grass strawsis promising With rising environmentalconcerns, supportive regulations, andevolving consumer preferences, grass strawsare positioned for significant growth in thecoming years

 Applications and End-Users:

- Food Service Industry: Restaurants, cafes,

and bars are replacing plastic straws withgrass straws to meet environmentalregulations and cater to eco-consciousconsumers

- Retail: Grocery stores and online retailers

are offering grass straws to consumers forhome use

- Hospitality: Hotels and other hospitality

businesses are adopting grass straws as partof their sustainability initiatives

- Food Packaging: Some companies are

exploring the use of grass straws asbiodegradable food packaging materials

 Market Challenges:

- Production Costs: Currently, grass straws

may be slightly more expensive than plasticstraws due to less established productionprocesses

 Market projections:

- The global eco-friendly straws market isexpected to reach US$ 22.07 billion by 2033,growing at a steady CAGR of 7.5%

- The U.S alone is expected to reach a marketsize of US$ 4.82 billion by 2033

- The Asia Pacific region is expected to be thefastest-growing market, with a projectedCAGR of 8.3%

- Overall, the market potential for grass strawsis very promising With its strongenvironmental credentials, versatility, andgrowing adoption across industries, grassstraw is well-positioned to capture asignificant share of the eco-friendly strawsmarket in the coming years

2 Competitive landscape: II.1 Competitors: