It cannot be denied that the digital revolution has brought more diverse types of services, opening up more employment opportunities for the workers and enabling people to consume more and more modern technology platforms. Achieving this in Vietnam is largely due to the positive effects of the shared economic model. In particular, cannot help but mention the great contribution of technology transportation industry, which is gradually overtaking traditional taxis here within and most global cities. Officially operated in Ho Chi Minh City from the beginning of August, and Hanoi on September 12, GoViet offers motorbike ridehailing (GoBike) and courier services (GoSend) in two largest metropolitan areas of Vietnam. Under the backdrop of GoJek, Indonesias leading ridehailing application, GoViet is expected to be the potential rival of Grab. It can be seen that the expansion of GoJek into Vietnam through local partner GoViet, and the subsequent goals of Thailand, Philippines, and Singapore have partly mitigated concerns over Grabs monopoly position throughout Southeast Asia after the company acquired Uber in March. However, to compete against the first comer Grab, who is taking the advantage in Vietnam market for providing diverse services such as GrabReward, GrabNow, GrabShare, etc.…, GoViet should have a strategy of building a more related services ecosystem, in order to create a loyal customer network.
ADVISOR’S ASSESSMENT TABLE OF CONTENTS Title Page ADVISOR’S ASSESSMENT TABLE OF CONTENTS i LIST OF ABBREVIATIONS ii LIST OF FIGURES iii I INTRODUCTION II FINDINGS 2.1 New features and their benefits 2.1.1 Go-Car 2.1.2 Go-Pay 2.1.3 Benefits for Go-Viet 11 2.2 E-commerce strategies 12 2.2.1 Using Email marketing 12 2.2.2 Using SMS (Short Message Service) marketing 13 2.2.3 Running advertisements with celebrities on Social media 14 2.2.4 Doing charities via Facebook 16 2.2.5 Creating promotions based on special events 17 2.3 Challenges for Go-Viet 18 2.3.1 SWOT Analysis 18 2.3.2 Challenges 19 2.3.2.1 Competitors 19 2.3.2.2 The drivers 19 2.3.2.2.1 Hard to control the drivers 19 2.3.2.2.2 Driver’s safety .19 2.3.2.3 The level of customer use .20 2.3.3 Suggestions 20 2.3.3.1 Competitors 20 2.3.3.2 The drivers .21 2.3.3.2.1 Hard to control the drivers 21 2.3.3.2.2 Driver’s safety .21 2.3.3.3 The level of customer use 21 III CONCLUSION 22 REFERENCES .24 APPENDICES pg i LIST OF ABBREVIATIONS COD Etc KOL SMS VTV Cash On Delivery Et cetera Key Opinion Leaders Short Message Service Vietnamese Television pg ii LIST OF FIGURES Title Page Figure Step of how to use Go-Car .2 Figure Step of how to use Go-Car .3 Figure Step of how to use Go-Car .4 Figure Step of how to use Go-Car .4 Figure Step of how to use Go-Car .5 Figure Step of how to use Go-Car .6 Figure Step of how to use Go-Pay .7 Figure Step of how to use Go-Pay .8 Figure Step of how to use Go-Pay .9 Figure 10 Step of how to use Go-Pay Figure 11 Step of how to use Go-Pay 10 Figure 12 Step of how to use Go-Pay 11 Figure 13 Go-Viet’s email marketing demonstration .13 Figure 14 Go-Viet’s SMS marketing demonstration .14 Figure 15 Suggested influencers to cooperate .15 Figure 16 Suggested charity campaign for Go-Viet to make viral clip 16 Figure 17 Suggested promotion code 17 Figure 18 Go-Viet’s SWOT Analysis 18 pg iii Introduction INTRODUCTION It cannot be denied that the digital revolution has brought more diverse types of services, opening up more employment opportunities for the workers and enabling people to consume more and more modern technology platforms Achieving this in Vietnam is largely due to the positive effects of the shared economic model In particular, cannot help but mention the great contribution of technology transportation industry, which is gradually overtaking traditional taxis here within and most global cities Officially operated in Ho Chi Minh City from the beginning of August, and Hanoi on September 12, Go-Viet offers motorbike ride-hailing (Go-Bike) and courier services (GoSend) in two largest metropolitan areas of Vietnam Under the backdrop of Go-Jek, Indonesia's leading ride-hailing application, Go-Viet is expected to be the potential rival of Grab It can be seen that the expansion of Go-Jek into Vietnam through local partner Go-Viet, and the subsequent goals of Thailand, Philippines, and Singapore have partly mitigated concerns over Grab's monopoly position throughout Southeast Asia after the company acquired Uber in March However, to compete against the first comer Grab, who is taking the advantage in Vietnam market for providing diverse services such as GrabReward, GrabNow, GrabShare, etc.…, Go-Viet should have a strategy of building a more related services ecosystem, in order to create a loyal customer network This paper proposes strategies of some new features that can help Go-Viet get comparative advantages in local Subsequently, there are some considerable challenges to take up when applying these approaches The paper is organized into sections: Introduction presents an overview of the topic Section II addresses the Findings The Introduction Conclusion summarizes the highlight keys of the paper Finally, there is a list of references Findings FINDINGS 2.1 New features and their benefits 2.1.1 Go-Car Go-Car is one of private chauffeuring services of Go-Viet app that allows users to book a car ride for a fee Go-Car is suggested to offer products: 4-seat car and 7-seat car Based on the collaboration with Go-Jek, Go-Viet will run Go-Car as the same as its partner The picture below is the interface of Go-Viet mobile app with two new services: Go-Car and Go-Pay There are steps when using Go-Car: Figure Step of how to use Go-Car STEP 1: CHOOSE “GO-CAR” Press on this icon (Personal collection) Findings Figure Step of how to use Go-Car STEP 2: WHERE TO PICK UP Auto location Typing location (Personal collection) Firstly, riders should select Go-Car from the Go-Jek app, their current location will be their pickup location automatically Besides, if riders want drivers to pick up at a particular place, they can enter that place Then, the number of Go-Car drivers nearby riders will appear on the screen Findings Figure Step of how to use Go-Car STEP 3: WHERE TO GO Typing address Choose location on map Suggested locations (Personal collection) Thirdly, users will set up where they want to go by typing the address or choosing the location on the online map Figure Step of how to use Go-Car STEP 4: SHOW ROUTE AND PAYMENT Route Click to book (Personal collection) Findings 2.2.4 Doing charities via Facebook Supporting charity can be beneficial to business particularly Go-Viet in many ways They can set a good image as well as good impressions to people so that these can have faith in and good feelings about Go-Viet, which could encourage them to acknowledge the presence of this brand and use the service as well For example, they can raise funds to buy clothes or food for orphan children, homeless or underprivileged people on this coming Christmas and making a viral clip of this which can touch people’s hearts Afterward, they can show this clip on social networking sites such as Facebook, Instagram, and YouTube Since these networking sites are very popular to citizens so GoViet may receive widespread support from them after watching the clip as well as witnessing this meaningful action of Go-Viet Figure 16 Suggested charity campaign for Go-Viet to make viral clip (Source: congnghieptieudung.vn) Findings 2.2.5 Creating promotions based on special events Apparently, there will be a lot of special events throughout a year and creating promotions based on these events may draw a lot of attention from people For instance, recently, in 2018, the world will witness a big sports event which is the AFF Cup GoViet can take advantage of this event to create attractive promotions for Vietnamese football fans such as: “To support our country - Vietnam, you will get 23% off when using Go-Viet Just enter the code: U23AFF” Furthermore, Christmas is about to come; hence, Go-Viet can also have promotions based on this expecting event Specifically, they can have a promotion for people who are still single such as: “Feeling so lonely when having no one to take you to somewhere on this Christmas? Book Go-Viet, you can go anywhere and also get a gift from us with 15% discount when entering the code of SINGLE!” Figure 17 Suggested promotion code U23AFF SINGLE Findings (Personal collection) 2.3 Challenges for Go-Viet 2.3.1 SWOT Analysis STRENGTHS WEAKNESSES Receive investment from Google, Warburg Pincus, KKR, Tencent and Meituan- Dianping Place multiple trips at the same time Highly dependent on the Internet Have no license New player -> lack of awareness Lack of the features The route shows on the app is not optimal Not persuade the customers who use often the app Having the outstanding features such as the name, color of the logo and uniform of the drivers OPPORTUNITIES SWOT THREATS Customers are unsatisfied with the traditional cab market Booking car by the application is much cheaper than a traditional taxi Expand the new feature on the app Figure 18 Go-Viet’s SWOT Analysis The business model can be found in similar services Directly compete with Grab, Vato, FastGo Price of the fuel unusually changes that is influent on the sale and profit Hard to control the drivers The level of customer use Findings 2.3.2 Challenges 2.3.2.1 Competitors Go-Viet’s business model can be found in similar services, such as VATO, FastGo and the mighty competitor - Grab Grab has been having a lot of new functions such as S.O.S, GrabRewards, GrabExpress, GrabShare, JustGrab, GrabNow, GrabPay, Rent, etc Whereas Go-Viet has just had Go-Bike and Go-Send (Grab services, n.d.) 2.3.2.2 The drivers 2.3.2.2.1 Hard to control the drivers Go-Viet or other competitors operate in an industry where trust between strangers is vital This trust ensures a safe and comfortable ride for both passenger and driver However, recently there are many difficulties in managing the driver For examples: there is one account but two or more drivers use it; fake drivers who just wear the uniform but not accepting a booking from the driver’s app, they just pick the passengers up like the traditional taxi, … (VTV - Vietnam Television, 2018) Moreover, Go-Viet is only the provider of software applications that not directly carry passengers, so they not directly manage the driver but through a cooperative or transportation enterprises These problems could lead to a lack of passenger safety and the reputation of the company 2.3.2.2.2 Driver’s safety Booking car through application service is now blooming Residents and students have earned more when working part-time with the active time frame However, it contains many risks Dark, empty roads are dangerous to the driver According to the police, recently, there have many serious robberies The phenomenon of robbery of drivers is complicated As a semi-professional, the vigilance and experience of the driver are not Findings high Moreover, the operation is based on the technology of receiving customers by software on the internet, causing the driver to not be active on the customer Therefore, they easily become victims of stalking objects robbed (Dong Phong, 2018) 2.3.2.3 The level of customer use Because Viet Nam people tend to use promotions Therefore, when Go-Viet launched with many preferential discount programs with the aim to increase the awareness of customers But this is also a threat of Go-Viet when launched with many discount programs in a certain period After that Go-Viet returned to basic prices, the number of customers using Go-Viet also decreased 2.3.3 Suggestions 2.3.3.1 Competitors In order to be able to compete with Grab, as well as similar applications and expand market share, Go-Viet needs more effort Firstly, the emphasis on customer satisfaction The features such as schedule ride, book ride, estimated time of arrival, car awaiting schedules, fare estimates, notifications, contact driver, reviews and ratings, cancel trip, trip history, availability setting options for the drivers, accept or reject ride request for the drivers, driver injury insurance policy, support 24/7, etc Secondly, meet the diverse needs of customers For example, hire driver services, share a route with other passengers, luxury car service, etc These were the suggestions which may help Go-Viet to provide quality service to its customer Findings 2.3.3.2 The drivers 2.3.3.2.1 Hard to control the drivers Focus on the recruitment and hiring process is the most effective way There are companies who will the background check of your employees This may be difficult but at least the ground level But then, processes such as police verification and verification certificates can make your company safer in the long run Go-Viet can create emergency button "S.O.S" - integrated right on the application With this function, just one touch on this key, your phone will instantly record your itinerary, location, then dial 113, instantly connect to the police and emergency numbers that you have registered immediately 2.3.3.2.2 Driver’s safety Go-Viet should train the skills necessary for the driver They need to learn experience, operate on the principle of absolute safety for themselves The rule of thumb is to observe, observe before the customer's appointment to refuse service or raise awareness In particular, if the suspect is the object of robbery, the driver should transport passengers to the nearest police headquarters or headquarters by inspection, assistance 2.3.3.3 The level of customer use Go-Viet still prefer preferential price to competitors: Go-Bike: The first 2km: 10,000 VND After 2km: 3,600 VND / 1km Competitors: The first: 2km 12,000 VND After 2km: 3,800 VND / 1km Conclusion CONCLUSION In the context of fierce competition with other technology ride-sharing services, Go-Viet needs to build a diverse ecosystem, which is similar to the successful model in home country - Indonesia, to dominate the market First of all, Go-Viet should run the Go-Car application In order to diversify the ridehailing service as well as meet the demand of the car-user segmentation Next, Go-Viet should have their own payment method - Go-Pay, which is used to transact services on the application Go-Pay will not only create convenience for the customers but also have the benefits of cashless payment According to statistics from SocialHeat tool (belong to YouNet Media), respondents to the promotion program when launching Go-Viet in Vietnam is the young (students aged range 18-25), accounting for 38.5% So as to implement the two aforementioned options, Go-Viet should have much promotion on special events as well as effectively it on social media marketing such as Facebook, Instagram Furthermore, the digital age has seen a shift in marketing with the emergence of KOLs Using KOLs in "push trend" campaigns for the social brand in a short period of time, which helps to achieve very fast KPIs on measurement statistics (usually engagement, people talking about ) Correspondingly, Go-Viet should cooperate with influencers that have high followers in such as Chi Pu– the singer, Isaac – the handsome singer and actor, and thirdly is Minh Hang– who is recently hot for The Face TV show Another possibly influent campaign on social media is to have an act of charity Christmas is coming in the breeze, Go-Viet can make a touching clip of bringing warm gift/donation for the elderly, the homeless, or the children Notably, Email and SMS are something people check regularly, still, Go-Viet hasn’t had marketing in those With regard to effectively widespread the brand, Email Conclusion and SMS marketing should be taken into action To put it more simply, the strategies can conclude to keywords: the young – the social media – the special However, there are also challenges that Go-Viet should consider before putting those strategies into practice Problems mainly about things: the competitors, the drivers, and the customers The biggest challenge is the competitors Not only does Go-Viet have to compete to the existed direct and indirect competitors, namely Grab as the strongest in the field but also needs to aware of the newcomers Moreover, when in the free-market, the results of the discount races will be profitless then make rival businesses financially exhausted To use this competitive method, all things considered Secondly, the problems of human resource management have never been easy This report mentions the driver’ s deceives and driver’s safety Clearly, fake drivers can affect customer’s safety as well as bad people can take advantage of being a customer to bad things to drivers such as robbing or even killing someone just to get the valuables Lastly, as usual, in competition, who has more promotion will get more customers As a consequence, if Go-Viet stops marketing promotion, the using level of customers will also decrease In response to these challenges, Go-Viet should invest more in terms of technology for customers to have better experiences Besides, developing good employee treatment policy to either protect the drivers or gain their loyalty Along with that is offering promotions for new services to attract users Most importantly, the company needs to steadily provide a variety of essential services in daily life, or the company might also develop local features and functions on the same app, in order to be the “everyday superapp” With the commitment of financial and technology support from Go-Jek, GoViet definitely can take bold steps References REFERENCES Anh, V (2018) Foreign funds to help domestic e-payment firms with competition Retrieved from-https://www.vir.com.vn/foreign-funds-to-help-domestic-epayment-firms-with-competition-60549.html Bao Minh (2018) Go-Viet tham vọng vẽ lại 'bản đồ' ứng dụng công nghệ [Go-Viet aspires to redraw the 'map' of technology application] Retrieved from https://vietnambiz.vn/go-viet-tham-vong-ve-lai-ban-do-ung-dung-cong-nghe87596.html Careerbuilder (n.d.) Report cover [Image] Retrieved from https://careerbuilder.vn/en/nha-tuyen-dung/cong-ty-tnhh-thuong-mai-cong-nghego-viet.35A80F88.html Chung Huong (2018) Suggested charity campaign for Go-Viet to make viral clip [Image] Retrieved from http://congnghieptieudung.vn/giang-sinh-ve-voi-tre-emvung-cao-phu-nhuan-bac-giang-dt6201 Dan Viet (2018, September 26) Chưa cấp phép, Go-Viet rầm rộ quảng bá dịch vụ xe công nghệ? [Unlicensed, Go-Viet still strongly promoting car-booking application?] Retrieved from https://baomoi.com/chua-duoc-cap-phep-go-vietvan-ram-ro-quang-ba-dich-vu-xe-cong-nghe/c/27897033.epi Dong Phong (2018) Nguy hiểm trực chờ lái xe GrabBike [Dangerous things waiting for motorbike taxi driver] Retrieved from http://kinhtedothi.vn/nguy-hiem-truc-cho-lai-xe-grabbike-322293.html Dr Hien, D (2017) Taxi truyền thống chết nên tự trách References [Traditional taxi is dying] Retrieved from https://news.zing.vn/taxi-truyen-thongdang-chet-nen-tu-trach-chinh-minh-post751155.html Dung, P (2018) Sốc: Go-Viet tuyên bố chiếm 35% thị phần xe ôm công nghệ sau tháng [Hot: Go-Viet claims to occupy 35% market share in motorcycle technology application after months] Retrieved from https://laodong.vn/kinh-te/soc-go-viet-tuyen-bo-chiem-35-thi-phan-xe-om-congnghe-chi-sau-2-thang-630474.ldo Go-Jek (n.d.) Go-Pay 24/7 Retrieved from https://www.go-jek.com/go-pay/ Go-Viet (n.d.) Features Retrieved from https://www.go-viet.vn/#features Grab (n.d.) Services Retrieved from https://www.grab.com/vn/ Grab (n.d.) What is GrabCar Retrieved from https://www.grab.com/sg/?faq=what-is-grabcar Ha Mi (2018) Go-Viet chiếm lĩnh 10% thị phần sau ba ngày mắt? [Go-Viet occupy 10% market share after only three days?] Retrieved from https://vietnammoi.vn/go-viet-chiem-linh-10-thi-phan-chi-sau-ba-ngay-ra-mat141732.html How the Vietnamese use the Internet including social media (2018) Retrieved from https://blog.thepienews.com/2018/03/how-the-vietnamese-use-theinternet-including-social-media/ Kha (2018, September) Go-Việt bắt đầu tuyển tài xế Go-Car chưa cấp References phép [Go-Viet recruited GoCar driver without a license] Retrieved from https://trithucvn.net/kinh-te/go-viet-bat-dau-tuyen-tai-xe-go-car-trong-khi-chuaduoc-cap-phep.html LAM (2018) Xu hướng tốn qua ví điện tử [Payment trends via e-wallet] Retrieved from http://saigondautu.com.vn/tai-chinh/xu-huong-thanh-toan-qua-vidien-tu-60627.html Maulia, E (2018) Go-Jek announces full launch in Vietnam with partner Go-Viet Retrieved from https://asia.nikkei.com/Spotlight/Sharing-Economy/Go-Jekannounces-full-launch-in-Vietnam-with-partner-Go-Viet Mikes, B (2018) 10 amazing benefits of SMS marketing Retrieved from https://www.business2community.com/digital-marketing/10-amazing-benefitssms-marketing-02025256 Ministry of Transport of Vietnam 2016, scheme 24 Retrieved from https://thuvienphapluat.vn/van-ban/Cong-nghe-thong-tin/Quyet-dinh-24-QDBGTVT-thi-diem-ung-dung-khoa-hoc-cong-nghe-quan-ly-van-tai-hanh-khachtheo-hop-dong-306217.aspx monpay (2018) Vì khách hàng “ngại” dịch vụ tốn trực tuyến? [Why customers still "hesitate" online payment service] Retrieved from https://monpay.vn/tin-tuc-tong-hop/ly-do-dich-vu-thanh-toan-truc-tuyen-chuaphat-trien MY (2017) Sẽ có Việt Nam khơng dùng tiền mặt vào cuối thập kỷ này? References [Will there be a non-cash Viet Nam at the end of this decade?] Retrieved from http://enternews.vn/mot-viet-nam-khong-tien-mat-vao-cuoi-thap-ky-117417.html Nam (2018) Thanh toán online dần thay văn hóa trả tiền mặt? [Online payments will gradually replace the cash culture?] Retrieved from https://viettimes.vn/thanh-toan-online-se-dan-thay-the-van-hoa-tra-tien-mat300995.html Nguyen, H (2018, July 21) Thử nghiệm ứng dụng đặt xe Go-Viet: đặt nhiều chuyến lúc, nhiều điểm nâng cấp so với Grab chưa có nhiều tài xế [Testing Go-Viet application: set many rides at once, many upgraded compared with Grab but not having many drivers] Retrieved from https://autopro.com.vn/thu-nghiem-ung-dung-dat-xe-go-viet-dat-duoc-nhieuchuyen-mot-luc-nhieu-diem-nang-cap-so-voi-grab-nhung-chua-co-nhieu-tai-xe20180721164708757.chn Nguyen, K., G (n.d.) CUỘC CHIẾN GRAB - GO VIET VÀ SỨC MẠNH CỦA THỊ TRƯỜNG [GRAB - GO VIET AND THE STRENGTH OF THE MARKET] Retrieved from https://news.zing.vn/cuoc-chien-grab-go-viet-va-suc-manh-cuathi-truong-post876177.html Nguyen, S (2018, October 22) Ý kiến góp ý cải thiện App Go Việt [Feedback to improve the Go-Viet App] Retrieved from https://techbike.vn/threads/y-kien-gop-y-cai-thien-app-go-viet.1335/ Pham, M (2018) Sau tháng mắt, Go-Viet chiếm 40% thị phần thảo luận References mạng xã hội, khiến người dùng hoài niệm người cũ Uber [After over a month of launch, Go-Viet accounted for 40% market share discussion on social networking, making users nostalgic memories of old Uber] Retrieved from http://cafebiz.vn/sau-hon-1-thang-ra-mat-go-viet-chiem-40-thi-phan-thao-luantren-mang-xa-hoi-khien-nguoi-dung-hoai-niem-ve-nguoi-cu-uber20180925120917664.chn THANG (2017) Mỗi người Việt sở hữu thẻ ngân hàng [Each Vietnamese owns at least one card] Retrieved from https://news.zing.vn/moi-nguoi-viet-dang-so-huu-it-nhat-mot-the-ngan-hangpost786386.html Trung tâm Tin Tức VTV24 (2018, Nov, 3) Grab Việt Nam xin lỗi cố chuyển đổi ví điện tử [Grab Vietnam apologize for the problem of electronic wallet conversion] Retrieved from https://vtv.vn/kinh-te/grab-viet-nam-xin-loi-ve-su-cochuyen-doi-vi-dien-tu-20181103060046212.htm VTV - Vietnam Television (2018) Taxi công nghệ: Nhiều lỗ hổng quản lý khiến người dân lo lắng [Technology Taxi: Many gaps in management make people worry] Retrieved from https://vietnammoi.vn/taxi-cong-nghe-nhieu-lo-hongtrong-quan-ly-khien-nguoi-dan-lo-lang.media Vu, D (2018, September 27) Go-Viet phải đối mặt với nhiều thách thức phát triển Việt Nam [Go-Viet faces many challenges when developing in Vietnam] Retrieved from https://bizlive.vn/thuong-truong/go-viet-phai-doi-mat-voi-nhieuthach-thuc-khi-phat-trien-tai-viet-nam-3472299.html VU., L., A (2017) Chia sẻ cách trả tiền đặt xe ứng dụng Grab References [Share payment options on the Grab app] Retrieved from https://tinhte.vn/threads/chia-se-cac-cach-tra-tien-khi-dat-xe-tren-ung-dunggrab.2737359/ Why Email Marketing is important (2017) Retrieved from https://fulcrumtech.net/resources/email-marketing-benefits/ Suggested influencers to cooperate (n.d.) [Image] Retrieve from http://www.younetmedia.com/ Suttle, R (2018) What are advantages to using celebrities in advertising? Retrieved from https://smallbusiness.chron.com/five-advantages-using-celebritiesadvertising-34394.html Younetmedia (n.d.) Retrieved from http://www.younetmedia.com/ Younetmedia (n.d.) Suggested influencers to cooperate [Image] Retrieve from http://www.younetmedia.com/ Appendices ... pg ii LIST OF FIGURES Title Page Figure Step of how to use Go-Car .2 Figure Step of how to use Go-Car .3 Figure Step of how to use Go-Car .4 Figure Step of how to use... Step of how to use Go-Car .5 Figure Step of how to use Go-Car .6 Figure Step of how to use Go-Pay .7 Figure Step of how to use Go-Pay .8 Figure Step of how... phenomenon of robbery of drivers is complicated As a semi-professional, the vigilance and experience of the driver are not Findings high Moreover, the operation is based on the technology of receiving