CHAPTER II: Actual situation of communication marketing activities of TAME's VICHI cream products
2.3. Marketing activities for VICHI products at Tame Vietnam Co., Ltd
2.3.2. Marketing activities for VICHI cream products at TAME Vietnam
2.3.2.1. Product strategy
Kinds of product: VICHI folliculitis cream product set includes 1 activated charcoal soap and a bottle of VICHI folliculitis cream.
VICHI activated charcoal soap has the ability to remove dirt, sebum,
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essential oil ingredients bamboo, Moso bamboo charcoal powder, grape seed oil...have a purifying and bactericidal effect on the skin; thereby, increasing the penetration of the special cream.
VICHI folliculitis cream with ingredients is Cajeput essential oil, turmeric essence has antibacterial, antiseptic, remove acne, pus, combined with gotu kola essence to cool and accelerate tissue recovery, regenerate damaged skin. Besides, with licorice essence in the ingredients will help reduce darkening and scars and brighten inflamed skin.
Brand: VICHI products use a distinctive green mark symbolizing freshness and renewal. On the label is printed the product name and the message of the VICHI product.
(Source: http://viemnanglong.tame.vn/
)
Packaging: VICHI cream is contained in a 50ml high-quality plastic bottle, bath soap is carefully wrapped in each bag. Ensure appropriate hygiene requirements, do not change or affect the quality of the product during storage and transportation. Plastic jars are purchased from genuine distributors. Both the cream and soap are thoroughly tested and researched before being released to the market. The VICHI product line for treating folliculitis, back acne is manufactured with Korean technology and is a completely natural product.
Bundled service: Currently, all products have nationwide shipping service through some of the company's own social networking sites. After customers message Facebook or call the hotline to order, they will receive free shipping nationwide. Products will reach consumers within a day for customers in Hanoi city, 1-2 days for suburban customers. In addition, when buying 2 or more courses, there will be a discount compared to the listed price.
2.3.2.2. Pricing strategy
Due to the characteristics of the company's products that provide products about oriental medicine and cosmetics, the price of the product is an important factor affecting the decision to determine the company's marketing strategy.
Enterprises calculate prices by the direct method because this is the method applied in enterprises with simple production, small items, large quantity and short production cycle, easy to account because The number of items is small, the accounting is usually carried out at the end of the month coinciding with the reporting period, so it is easy to compare and track. Determining the company's price is not only based on the cost of the product, but also based on the competitor's price to adjust the price accordingly.
Price for 1 course: 599,000 VND. With COD shipping, customers will receive the goods after receiving the goods and carefully checking them. It gives customers a sense of trust.
Table 1.5. Price list of VICHI products and prices of competitors
Product Classify
1 course 2 course COMBO 3
(Source: Sales and Marketing Department) The company offers a strategy of diversifying products by course to suit the needs and different skin conditions of customers: course 1,2 is suitable for customers with mild and little inflammation. In addition, there will be additional support for customers who are quite economically disadvantaged. COMBO 3 will be for customers with severe and long-term problems. And the price is much lower than the previous 2 treatments, so customers will want more treatment.
This is a strong point about the price of VICHI products.
Discount pricing: usually the company will adjust its price as a 10-20%
discount to support economically disadvantaged customers, volume discount is a discount for customers who buy for large quantity of treatments or wholesale, for customers who buy in bulk, the company offers a discount of 30-40%. This type of discount encourages buyers to increase the number of treatments and focus multiple purchases on one Facebook page. This stimulates customers and spas to buy more, expanding the company's distribution system. Of course, all are free shipping and deliver to the customer's place.
During special sales or holidays, the company also sells products at promotional prices (cheap prices compared to current prices) for a certain period of time. Because customers are very diverse, the company's selling price is very attractive and suitable for intermediate and intermediate customers. Because the company's quality and designs are not equal to those of competitors, such a price policy is reasonable at the moment. But in the coming time, in order to bring their products to larger markets, their products need to be further enhanced in quality to compete with other products to have a position in the market.
2.3.2.3. Distribution strategy
As a company that manufactures and supplies products to customers, the company always focuses on product distribution. The distribution strategies applied by the company are shown in the diagram below:
The company's products are distributed through 2 channels:
Channel 1 is a direct sales channel: in this way, customers come directly to the company's clinic. Under this method, capital is divided because when selling directly, buyers will buy in small quantities, difficult to recover capital, need to open pharmacies in many areas. However, businesses have opportunities and conditions to advertise, introduce products and answer customers' direct questions about their products, which contributes to strengthening the company's reputation in the market.
Channel 2 is a Facebook channel that consumes the company's main products and can reach customers across the country. With the sale of products in this form, businesses are not divided into capital sources, the scale of operation can focus on the production phase, and sold goods can be sold more quickly to customers thanks to the sales network and professional enthusiastic staff. The application of this sales method, in addition to the huge amount of
sales, also helps businesses promote their brands more easily. However, this is a sales channel that is difficult for businesses to manage and track. Due to the accuracy of the feedback that businesses receive is limited by this channel. In order to achieve high efficiency for this channel, enterprises need to apply many measures for financial work such as determining all parameters and revenue from employees who are communicated to manage the channel.