Table of Contents - Assignment Studio · for L’Oreal is from the market leader Unilever and P&G...

45
1 Table of Contents Stage 1: Analysis of L’Oreal Skin Care Brand ............................................................................... 3 Vietnam Skin Care Market overview ............................................................................................. 3 L’Oreal Paris Vietnam ................................................................................................................ 4 External Environment analysis ....................................................................................................... 4 Microenvironment- PESTLE Analysis ....................................................................................... 4 Competitive Landscape ............................................................................................................... 9 Internal Environment analysis ...................................................................................................... 11 L’Oreal Portfolio....................................................................................................................... 11 Product portfolio ....................................................................................................................... 12 SWOT analysis ......................................................................................................................... 13 Analysis of Consumer Behaviour ................................................................................................. 14 Segmentation............................................................................................................................. 14 Target market ............................................................................................................................ 15 Consumer decision making ....................................................................................................... 15 Market trends and response to customer demand ......................................................................... 17 Consumer Value Drivers........................................................................................................... 17 Impact of Consumers Life styles and cultural factors .............................................................. 17 Brand Association and Loyalty................................................................................................. 18 Brand Positioning.......................................................................................................................... 18 Perceptual map of Price and Brand association ........................................................................ 19 Stage 2: Product development & IMC Plan.................................................................................. 20 IMC Objectives, strategy and roles ............................................................................................... 20 Specific Objectives ................................................................................................................... 20 Buyer Readiness Matrix ............................................................................................................ 21 Innovation of proposed product .................................................................................................... 22 Unique Selling Proposition (USP) ............................................................................................ 22 Proposed Marketing Mix .......................................................................................................... 22 Proposed product .................................................................................................................. 22 Proposed pricing: .................................................................................................................. 25

Transcript of Table of Contents - Assignment Studio · for L’Oreal is from the market leader Unilever and P&G...

Page 1: Table of Contents - Assignment Studio · for L’Oreal is from the market leader Unilever and P&G as strongest and long standing players. Unilever Dove, Ponds, Vaseline Intensive

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Table of Contents

Stage 1: Analysis of L’Oreal Skin Care Brand ............................................................................... 3

Vietnam Skin Care Market overview ............................................................................................. 3

L’Oreal Paris Vietnam ................................................................................................................ 4

External Environment analysis ....................................................................................................... 4

Microenvironment- PESTLE Analysis ....................................................................................... 4

Competitive Landscape ............................................................................................................... 9

Internal Environment analysis ...................................................................................................... 11

L’Oreal Portfolio ....................................................................................................................... 11

Product portfolio ....................................................................................................................... 12

SWOT analysis ......................................................................................................................... 13

Analysis of Consumer Behaviour ................................................................................................. 14

Segmentation............................................................................................................................. 14

Target market ............................................................................................................................ 15

Consumer decision making ....................................................................................................... 15

Market trends and response to customer demand ......................................................................... 17

Consumer Value Drivers........................................................................................................... 17

Impact of Consumers Life styles and cultural factors .............................................................. 17

Brand Association and Loyalty ................................................................................................. 18

Brand Positioning.......................................................................................................................... 18

Perceptual map of Price and Brand association ........................................................................ 19

Stage 2: Product development & IMC Plan .................................................................................. 20

IMC Objectives, strategy and roles ............................................................................................... 20

Specific Objectives ................................................................................................................... 20

Buyer Readiness Matrix ............................................................................................................ 21

Innovation of proposed product .................................................................................................... 22

Unique Selling Proposition (USP) ............................................................................................ 22

Proposed Marketing Mix .......................................................................................................... 22

Proposed product .................................................................................................................. 22

Proposed pricing: .................................................................................................................. 25

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Proposed distribution: ........................................................................................................... 26

Proposed Promotion (Media Strategy).................................................................................. 26

Creative Strategy ........................................................................................................................... 26

Creative brief ................................................................................................................................ 27

Originality of the campaign .......................................................................................................... 30

Proposed Ambassador ............................................................................................................... 31

Coherence with the brand ............................................................................................................. 31

Product portfolio balance .......................................................................................................... 31

Local market strategy ................................................................................................................ 33

International scope of the project .............................................................................................. 33

Media Strategy .............................................................................................................................. 33

Broadcast media ........................................................................................................................ 33

Print media ................................................................................................................................ 34

Out-of-home advertising ........................................................................................................... 34

Social media .............................................................................................................................. 35

Event marketing and sponsorship ............................................................................................. 36

Media Schedule and budget allocation ......................................................................................... 38

Monitoring & Evaluation .............................................................................................................. 42

References ................................................................................................................................. 45

Ken Research (2014), Asia-Pacific Cosmeceuticals Industry, Accessed from

http://www.news.kenresearch.com/post/77795080666/asia-pacific-cosmeceuticals-industry

............................................................................................................................................... 45

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Stage 1: Analysis of L’Oreal Skin Care Brand

Vietnam Skin Care Market overview

Vietnam cosmetic market is regarded as a potential market amongst Asian countries. The

increase in cosmetic consumption I last four years is reported as average of 7 percent wit

per consumer expense of $3 per annum on cosmetic products (Euromonitor 2014).

Hence, this steady growth has attracted the global cosmetics and skin care brands like

Unilever, P & G, L’Oreal, and Johnson & Johnson to Vietnam and generated a

competitive landscape. Chemical Cosmetic Association Vietnam reported that over 430

leading local and foreign cosmetic companies are operated in the country, in which

around 90 percent are known foreign brands (NDHMoney 2012). Furthermore, Vietnam

consumers have shown an increase in purchasing power after gaining economic

prosperity due to increase in trade in the region. Vietnamese consumers spent

approximately 45.34 billion USD in 2012 on consumer goods shown a rise of 20.8

percent as compared to the year 2011 (People Army's Newspaper 2012). This growth has

encourage youth and young professionals to invest more in personal grooming products

with more expandable income and can afford high quality international brands (Pitman

2012). As Vietnam is relatively young country with more than 45% youth population is

attractive for international brands like Unilever, and L’Oreal to penetrate in this small

market in last decade with an offensive strategy.

Though, US brands like L’Oreal are well penetrated in Vietnam cosmetic market but the

consumers are still not familiar with US brands as compared to the oriental Japanese

brand Shisiedo and UK based brands of Unilever. Yet the brands of L’Oreal like

Maybelline, Body Shop, and Garnier have performed well in the market as Vietnamese

consumers are still not exposed to the premium end cosmetics brands like Estee Lauder,

Guess, and M.A.C. Also, the ranking of US brands like Revlon and L’Oreal is still not

clear to Vietnamese consumers. Therefore, a clear and visionary marketing

communication strategy is required for the case company L’Oreal Paris in Vietnam.

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L’Oreal Paris Vietnam

L'Oreal Paris operated in more than 130 countries globally with a broad focus on

products categories of hair care/ styling, cosmetics, and skincare. L’Oreal Paris is the

second largest personal care and hair care products manufacturer across the globe, and

popular in Vietnam for good quality brands with reasonable price in cosmetics market of

Vietnam. In skin care, L’Oreal is the second largest market share holder after Unilever in

Vietnam and growing at a faster rate due to heavy expenditure of R&D and promotion.

The cutting edge technology of skin revitalizing creams brands of Youth Code and Hydra

Fresh, and whitening solutions of White Perfect™ has enabled fast penetration in this

market. Furthermore, Market Line (2014) concluded that the company is engaged in

manufacturing and marketing of the skin care products with the well known brands

Maybelline and Garnier, Lancôme, and NewYork. This growth of skin care is a global

phenomenon as Euromonitor (2014) reported that in the period of 2011 till 2015, the

global skin care brands market grew at about 4.4% due to the increase in ageing

population and more concern towards the use of organic and natural ingredients in skin

care products.

External Environment analysis

Microenvironment- PESTLE Analysis

Political

Vietnam has followed a system of mixed economy with still an important role of

government in regulating the state affairs. The market economy is still not well organized

even after its signing the WTO announcement of free market economy in year 2006

(Pham 2011). The National Party Congress announced the running of free market under

the social orientation. Therefore, a part from the freedom given to the operations of

multinationals, the State Owned Enterprises (SOEs) still have the prominent role in

market controlling and policy formation.

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Economic

Vietnam cosmetics industry’s annual growth rate in the period o 2007 till 2012 was

around 5.35 with 90% share of foreign cosmetic brands in the country. These

international brands are concentrated more in urban areas and cosmopolitan centers of Ho

Chi Minh City (Ken Research 2014). The economic growth of Vietnam was also stable at

around 7% in last decade. The local business has been facing the financial and credit

management challenges as compared to their foreign counterparts. Also, Vietnam

business are facing high inflation rates of 9% to 11%. In cosmetics market, US brands

share is around 10% as compared to EU share of 23% and Japan share of 17%. The

following comparison shows 11% share of cosmetic products in Vietnam GDP (Mintel

2014)

Source: Mintel (2014)

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Social

Around 46% population in Vietnam is young and in working age, with one million new

workers entered every year in labour market. On the other hand, the productivity level of

work forces are even lesser that that of ASEAN countries. The positive sign is the

inclusion of Vietnam in top five countries Happy Planet Index (HPI) of year 2009, that

shows that Vietnamese are fun loving, social, and optimistic nation. The social life is

peaceful due to stable government and economic growth in the country (Vietnam General

Statistic Office 2012).

Technology

The technology is advanced in urban areas of Vietnam with wide exposure of population

to telecommunication, but remote areas and villages are still lacking latest technology.

Therefore, the technology revolution still needs some more time to create advancement in

landscape of media and communication. The availability of internet is widely accessible

in urban areas at normal price. Counterfeit products are also widely available in

cosmetics market acting as a threat to foreign brands.

Legal

The laws available in Vietnam are Investment and Enterprise Law, with provision of

global agreements like WTO and regional agreements like ASEAN and APEC. Though,

the legal structure is strong, but implementation of these laws and agreements is still

challenging in the country. The high rate of corruption and poor quality of human

resources are some major obstacles.

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Environmental

High natural disaster risks and very long coastal border of around 2500 km create more

serious environmental concerns in Vietnam. Rapid climate change, and rises in sea levels

are needed to be considered in planning of organizations for manufacturing and

marketing of products. People are also more concerned about the eco friendly approaches

of foreign and local brands.

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Matrix of PESTLE Analysis

Factors Indicators Opportunity /

Threat

Political Stable government.

Less political Risk

Favourable policies multinationals

O/T

O

O

Economic Increasing GDP

Large skin care sector

intense competition

O

O

T

Social Youth market tends to cosmopolitan

lifestyle

High international cosmetic products

demand

High loyalty to international cosmetic

brands.

Increased personal care and social

activeness

Internet savvy young population

O

O

O

O

O/T

Technology Internet is less accessible.

More international brands in the urban

areas.

Revolution in digital media

T

O/T

O

Legal

Less effective intellectual property rights.

Less measures for problem of counterfeits.

More eco-friendly and natural products

demand

T

T

O

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In conclusion, L’Oreal has great opportunities in stable political and economic growth

environment of Vietnam. Also, environmental and legal challenges counter the growth

potential of the company in this new social and cultural environment.

Competitive Landscape

According to NDH Money (2012), Chemical Cosmetic Association reported that the

major brands in Vietnam’s cosmetic market for the urban areas are Shiseido, Ponds,

L’Oreal, Estee Lauder, Maybelline, Olay, The Body Shop, and Oriflames. The

production bases of Olay, Shiseido, and Pond’s are also available in Vietnam with

L’Oreal is going to start its production base in near future. Saigon, My Hao and Thorakao

are some of the leading local cosmetics brands in Vietnam Market. The major challenge

for L’Oreal is from the market leader Unilever and P&G as strongest and long standing

players.

Unilever

Dove, Ponds,

Vaseline Intensive

Care

Max Factor, Olay

Integrate

Revital

Branding Global brand act as

Unilever Vietnam,

less lines in skin

care product

include Ponds,

Dove, and

Vaseline Intensive

Global skin care brands of

Olay and Max factor are

managed by P&G

Vietnam. High quality

and innovation focus with

large line of variants in

Olay brand.

Japanese origin global

brand, in top five

international brands in

Vietnam. Skin care

products target is both men

and women with oriental

and innovative skin care

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care the most

prominent. R& D

and product

innovation has

made it the market

leader.

range. The company has

more than ten skin care

brands line with Shiseido

Ultimate is the latest

inclusion. The global net

sales are around $10 to

$50 billion yen per annum

for these brands.

Target

market

Women of age

group 20 years and

above. Mass

consumer market

and focus on

middle and upper

middle class.

Female target market of

age group 20 years till 65

years. Income range from

middle to high income

families and individuals.

Professional and skin

conscious women are

major target.

Target men and women,

broad product range

available for youth,

middle, and elderly age

groups. Low to middle

income groups target.

Product Large product line

from face washes

to revitalizing skin

creams and lotions.

Premium line of products,

with R&D based skin care

solutions in Olay. Anti-

Ageing and whitening

solutions are available.

Large product line ranges

from routine moisturizers,

uplift creams, and

revitalizing solutions.

Price range Middle to high

price

Middle to high price Low to middle prices

Distributio

n

- super stores and

Retail markets

- Beauty spots and

parlors

- Online and

- Convenience stores

- super stores and Retail

markets

- Beauty spots and parlors

- Online and franchised

- - Convenience stores

- super stores and Retail

markets

- Beauty spots and parlors

- Online and franchised

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franchised stores stores stores

Promotion

&

Communic

ation

TVC, Website,

digital media,

newspapers,

magazines, ,

billboards, Events

sponsorships

TVC, Website, digital

media, newspapers,

magazines, , billboards,

Events sponsorships

TVC, Website, digital

media, newspapers,

magazines, , billboards,

Events sponsorships

Internal Environment analysis

L’Oreal Portfolio

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Product portfolio

Current Performance

Skin care Skin care supplements and solutions are available to all age groups for males and

females. The cream jars, bottles, and tubes are available in the sizes vary from

30 ml to 200 ml.

Product White Perfect

Hydra Fresh

Men Expert

Youth Code

Price Low, middle and high price range is available in different variants.

Placement Supermarket, convenience retail stores and online sales from the website.

Promotion Less use of TV and print media, except the women lifestyle and beauty

magazines, and point of sales displays. More billboard and digital campaigns

Less promotion and TV advertising, billboard or event campaign, however, there

are some print ad in women magazine.

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SWOT analysis

Strengths Weaknesses

1. World recognized brand portfolio of

Body Shop, Garnier, Maybelline.

2. Capabilities are focused on

cosmetology and dermatology in

skin care range.

3. Strong capabilities of research and

development.

4. Diversified presence in over 130

countries across five continents

5. heavy advertising expenditure over

the years

1. L’Oreal’s long term revenue growth

has been low, A weak performance

in Far East strategic geographic

market has undermines confidence

of investor

2. decline in competitiveness and lack

of revenue driving products

3. losing market share in the parts of

Vietnam to Unilever in hair care and

skincare market

Opportunities Threats

1. rise for cosmetics companies due to

increasing popularity of beauty

contests and increasing disposable

incomes

2. Demand for safer and more eco-

friendly natural personal care

products is rising

3. Growing beauty consciousness

Investment in emerging markets.

4. Increasing use of social networking.

1. Intense competition due to trend of

Acquisition and alliances:

2. Growing Low quality counterfeits

also reduce consumer confidence

3. Growing popularity of cosmetic

surgery and hair treatments

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Analysis of Consumer Behaviour

Segmentation

The segmentation is derived on the four aspects as shown below:

Table 3: Segmentation profile of Vietnam Consumers

Dimensions of

Segmentation

Segmentation

variable

Details

Geographic

Region Vietnam

Density Cosmopolitan, and Urban

Climate tropical region

Demographic Age 15- 35 years

Gender Male plus female

Occupation Professional

Life Cycle Individuals and family

Race Universal appeal for all ethnicities

Income Middle and high income

Psychographic

Personality Personality conscious, variety seekers, personal

groomers, personal value high orientation.

Lifestyle Independent and active, extrovert, professional

and personal excellence, self actualization

Brand Loyalty strong loyalty

Behavioral

Usage behaviour regular to occasional

Perceptive Benefits -Established international brand

- fresh, regenerated, and moisture skin

-Whitening solutions

-support cosmopolitan life style

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Target market

In skin care category of Vietnam cosmetics market, the segments of youth and young

professional males and females are identified. These segments are comprised of both

individuals and family oriented, in the age group of 15-35 years, and belongs to the social

active and personality sensitive consumers groups. Due to the limited personal income

sources in this age group, especially for Youth in the age bracket of 15-30 years, face the

challenge of high prices of L’Oreal skin care products. Therefore, the targeted brand’

Youth Code’ for this segment should focus on affordable prices; otherwise the target

market will not be penetrated easily in Vietnam.

Type of Customers Consumer Profile

Professional males and

females

Age group 20-35

junior & middle level executive, public figures, celebrities

Socialization and personal grooming needs

youth Age 15-30

Middle and high socio-economic income level

High personal care, social image sensitive

Internet savvy, social media users

This target market can be accessed by focusing on the advertising in the appropriate

media. Social media is influencing in this age category due to this internet savvy

generation who spend less time on TV and on print media as compared to hours spending

on internet. Due to high mobility in cosmopolitan life style, billboards and event

sponsorships will also be viable promotion choices.

Consumer decision making

Consumer decision making process for skin care process is based on the influence of

advertising, word of mouth, social needs, and personal level of personality consciousness.

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Decision making process Influencing factors Implications to L’Oreal

Need Recognition Skin care needs, problem

recognition, personal

awareness, information

sources,

Maslow’s hierarchy Need

level affect want to buy

suitable product - Highly

concern of personal image

- offer products for every

segment of target market

from men (Extra Men) to

youth (Youth club)

- proper media selection

for targeted consume

groups, Advertising

campaign stimulate their

need

Information search - Past experience, digital

media support, printed

resources, reference

groups

- Advertising through

print , TVC and digital

media

.

Alternatives Evaluation - Past experience,

Financial constraints,

lifestyle and social

activeness

- Advertising through

print , TVC and digital

media

- product and price

alternatives

Purchase decision - attitude and situational

factors

- Price, product,

Promotion, discount, and

distribution channel

Post-Purchase - product response,

consumer satisfaction,

repurchase intentions

- Customer engagement

and retention

-Customer care and long

term relationship

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Market trends and response to customer demand

According to TNS Vietnam survey (2012) the latest Vietnamese consumer trends

industry are inclined towards use of telecommunication, entertainment savvy, and high-

tech consumer goods. Also, due to increase in global awareness through social media and

internet, the demand of health and skin care products is also raised (ThanhNien News

2013). The consumers demands more eco-friendly and organic skin care products that

comprised on natural ingredients. The tastes of consumers become matured and the

international brands share is around 90% in Vietnamese market due to high concern f

brand image and product quality.

Consumer Value Drivers

The concern for body image and social appreciation are important for Vietnamese

consumers and economic prosperity in recent years have allowed them to utilize skin care

products to save their skin from early ages. The high- end consumers have more

economic liberty to select from the premium foreign brands, but the selected target

market of youth and young professionals are facing the issues of low expandable income

and high demand of personal care products. This target market is also aware of the ageing

problems created for the skin and they want early remedies for future potential issues.

Therefore, a more informative and sensational advertising and promotional campaign is

needed for this target market

Impact of Consumers Life styles and cultural factors

The impact of local culture and consumer lifestyle factors are also important to consider

in evaluating this perception. As Vietnam is rich in natural resources and vegetation

suitable for local recipes of skin care products, therefore, the households have natural

remedies available due to the use of oriental lotions and creams. The global information

exposure and cosmopolitan cities changed demographics have made the local generations

staying away from their cultural norms an values. Also, the busy lifestyles in cities

increase the dependence on readymade skin care solutions offered by the companies like

L’Oreal.

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Brand Association and Loyalty

The popularity of international skin care brands in Vietnam markets is largely because of

consumers perception of high quality and trust associated with these brands. On the other

hand, brand loyalty developed in high-end consumers is due to the price and consistency

association of international brands. High brand loyalty is experienced by prime brands

like Christian Dior and Estee Lauder in this market. On the other hand, the selected target

market of youth and young professionals are fewer brands loyal due to their variety

seeking and price sensitiveness. Hence, the generation of brand association and loyalty in

this segment is an important objective of market9ing communication plan for L’Oreal.

Brand Positioning

The above discussed segmentation strategy and selected target market needs a specific

brand positioning. According to Harrison (2010), brand positioning is the creation of

desired brand image and perception in the minds of consumes. The desired brand position

for skin care brands of L’Oreal in Vietnam market can be expressed by the table below:

Brand Name L’Oreal Vietnam

Product

Category

Personal Grooming and Skin Care

Logo

Skin Care

Packaging cream jars, tubes, and serum bottles

Slogan

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Brand

Personality

Exciting, revitalizing, Fun, and healthy

Brand Image Innovative, Trustworthy, and unique

Stage of

Product Life

Cycle (PLC)

Growth phase in Vietnam Market

Therefore, a competitive strategy is required die to the presence of global leading brands

of Unilever and P&G in this market. L’Oreal can target the its brands of Youth Code,

Expert Men, white perfect, and Hydra fresh for youth and young segment at low price

with high commitment of quality. Promotion of local herbs and other oriental ingredients

will also create a strong brand association of local consumers. The following perceptual

map below show the positioning according to selected variables.

Perceptual map of Price and Brand association

Low Price

High Brand

Association

Low Brand

Association

High Price

Shisiedo

P&G

Unilever

LOREAL

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Stage 2: Product development & IMC Plan

IMC Objectives, strategy and roles

Specific Objectives

To change the current position of L’Oreal in Vietnam market which contributes to around

5% of the skincare market and approximately a half of the leadership brand’s market

share, L’Oreal choose to improve the potential market – focusing on men. Objectives will

be established to meet the SMART criteria (Specific, Measurable, Achievable, Realistic,

and Timely).

Goal: Launching new product for men in order to increase brand awareness and brand’s

market shares and product sales.

Objectives for short-term (6 month): Vietnam is known with the quick development

and quick recession; 6 month is enough to prove the effectiveness of a marketing

communication campaign.

Create the strong discussion on social media (more than 95% of male users, who

are target audience) after launching a social media campaign (by May 2016).

Develop the brand awareness of target audience to 80% from the success of the

campaign (by May 2016).

Reach 14% of target audience having purchase intention after the campaign will

be launched for 3 months.

Objectives for long-term (2 years):

Achieve 95% of target audience being aware of the brand.

Increase the number of people having intention to purchase new products by 30%

Retain 30% number of customers after the first purchase of new products within 3

years.

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Buyer Readiness Matrix

Buyer Readiness Theory is about 6 stages (Awareness, Knowledge, Liking, Preference,

Conviction, and Purchase) that consumers passes before making actual purchase. (Kolter

et al. 2010).

Byer readiness

stage

Advertising objective Proposed IMC

Strategies

Think Awareness This stage strongly relates to the

objective of increasing brand awareness

through launching new campaign of

new products within 3 months.

TVC/Radio

Press Ads

Ambient Ads

Social media

PR

Knowledge This stage is to spread the knowledge to

target audience who may have

awareness of the brand through word-

of-mouth, social media campaign and

events through the integrated marketing

communication campaign.

Website/Social

media

Touch-pints

Press Ads

PR

Feel Liking Utilizing channels and events of social

media and the mass media to support

the campaign of promoting new

products in order to attract target

audience and leave them positive

feelings.

Advertising

Social media

Sale promotion

PRs/Event

Preference Building up strong relationship between

consumers and the brand by the

marketing communication campaign,

and promoting the quality, unique

Loyalty program

Sale promotion

Events/PRs

Social media

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performance and the value of L’Oreal

products.

Do Conviction Using the Word-of-mouth to convince

target audience. Famous users,

specialists, show biz celebrities and net

stars will channels to connect target

audience and the brand that will be able

to convince these customers.

Social

Events

PRs

Purchase Provide consumers positive purchase

experience and persuasive

communication which encourage them

to purchase and repetitive purchase.

Customer service

In-store

experience

After-sale service

PRs

Innovation of proposed product

Unique Selling Proposition (USP)

USP requires the new campaign to have specific benefits which is unique and strong

enough to attract potential customers. L’Oreal will launch new range of products

focusing on the male youth which support to remove acnes, protect from blackheads,

wash away oil and dirt, and hydrate the skin and prolong an anti-shine effect all day.

Proposed Marketing Mix

Proposed product

The new range of products requires the quickly positive effects in performance and

uniquely creative appearance.

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Performance

Natural ingredients will offer consumers to remove acnes in 1 week and protect them

from blackheads. Moreover, keeping using products in the range will make them

confident with a perfect facial appearance for all day and leave them feeling of refreshing

feeling for every time of using the products.

Range of products – Perfect Refresh

Product Detail

Removing Acnes Roll-on Rolling on acnes will leave users feeling

of cooling and it will remove acnes within

1 week. After that users could use others

products to protect skin.

Targeted Spot Roll-on Rolling on fades facial marks. On

application, the icy metal ball brings

instant cooling effect.

Reducing Blackheads Effectively removing blackheads within

several days without irritating or over-

drying. It could be used daily.

Daily Wash Daily Wash will leave users feeling of

refreshing every times of using. It will

help to remove dirt and oil, and perfect

users’ skins after long-term using.

Protective Moisturizer The product will hydrate users’ skins and

prolong anti-shine effect for all day.

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Product appearance

Products and its appearance will be designed to fit with the criteria of male youth which

are professional, beautiful, classical and creative.

Range of products will be separated into 2 combos of products:

Combo of full products of Perfect Refresh: this combo supports people having need of

treating acnes to have perfect skin.

Combo of 2 products of Perfect Refresh (including Daily Wash and Protective

Moisturizer): This combo will help to take care users’ skin and protect them for all day

and leave them feeling of refresh every time of using.

Each combo will be put in a rectangle black box which could be stuck on wall on purpose

of decoration.

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Components Removing

Acnes Roll-on

Targeted

Spot

Roll-on

Reducing

Blackheads

Daily

Wash

Protective

Moisturizer

Shape

Tall cuboid black classic, professional and manly

Size Small Small Medium Big Big

Ingredient Clearly defined on the products

Label Simple with L’Oreal logo, Perfect Refresh, and the name of

product.

Colour Black and white – classical and professional colors.

Proposed pricing:

The Vietnamese consumers tend to believe that products value for money. It means that

the price must be not too high or low in comparison with the skin care products for man

in the market. So the price will be at middle upper class in the market. Paired with the

premium price, the brand will convince users about the value of products with their

professional appearance.

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Proposed distribution:

Retail stores will be the persuasive channels where consumers could put their trust in.

Moreover, salesperson could consult buyers about the products which fit to their needs.

Retail stores will locate in big cities in Vietnam which most potential customers live in.

Online distribution is also supported for consumers with affordable shipping fee.

Proposed Promotion (Media Strategy)

Creative Strategy

The brand positioning statement is important for a brand in explain consumers about

Perfect Refresh brand. Perfect Refresh is the range of product for professional male youth

to help them to have a perfect facial skin with effect of acnes treatment and cleansing

face and perfecting face. It also provides the feeling of refreshing every time of using

washing product. The products will leave no negative consequence due to its natural

ingredients.

By the power of word-of-mouth marketing through strongly focus on social media and

public relation activities, the new campaign will be able to achieve the established

objectives.

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Creative brief

CREATIVE BRIEF Troy & Meshal Agency

DATE Dec 15th 2015 CLIENT L'Oreal Paris BRAND Perfect Refresh

JOB NUMBER MON 019 JOB TITLE Perfect Refresh PROD BUDGET annually $1

million

BACKGROUND

The market share of L’Oreal Paris is only half of the leadership brand in Vietnam. To

gain more market share, L’Oreal choose to develop new products for the potential

market in Vietnam – professional male youth. Perfect Refresh is named for the new

brand which also explain about the products of the brand, removing acnes and

imperfection of facial skin, to protect the facial skin and keep it perfect for all day as

well as bring the feeling of refreshing to users for every time of using products.

CAMPAIGN REQUIREMENTS

To successfully achieve the objectives from clients, an integrated marketing

communication needs to be developed and it requires the following communication

channels:

Social networking sites. Ex: Facebook, YouTube, Instagram and other local

networking sites.

Brand and retail stores with brochures and print/ POS

Sponsorship/ events/ endorsement/ concert

Mass media such as billboard, television program, radio, newspaper

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CUSTOMER INSIGHT:

Group 1: young adults have concerned about acnes in growing stages. They care much

about their appearance with acnes vulgaris which makes them feel less confident to

communicate with others. (from the age of 14- 25)

Group 2: mature people have blackheads or having high concern about their facial

perfection and their image in society and their relationship network. The life of upper-

class people is what they think of. (16- 39)

These groups both live in the big cities and prefer to have high-class and well-

designed products.

COMPETITIVE INSIGHT:

Nivea - Nivea for men, Pond's - Pond's men, Rohto - Oxy products, and Unilever –

Axe are typical products and brand in the market which are mostly dominate the

market targeting on men.

The product of L'Oreal is at the range of premium but not too high, in the affordable

price for the middle class. Its competitors have strong reputation in Vietnam with

large range of advertising.

CLIENT INSIGHT:

L’Oreal Paris is one of famous multi-national company in Vietnam. It is ranked

number 4th in the skincare market. To share their promise to all consumers “you’re

worth it” not only female consumers, new brand Perfect Refresh will bring the

perfection of facial skin to male users. Moreover, the brand commits to bring the

feeling of refresh and long-term effect to consumers without any irritation or negative

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effect by the natural ingredients.

ADVERTISING OBJECTIVES:

Primary objective: create the awareness that L’Oreal Paris Perfect Refresh is reliable

brand with its products’ positive effects

Secondary objective: Make Perfect Refresh become an icon of prestige, charming,

professional and classical youth.

THE SINGLE MINDED PROPOSITION

The effect of Perfect Refresh will firstly be well-known through its professional and

incredible appearance, natural ingredients as well as power of word-of-mouth.

SUBSTANTIATION FOR THE PROPOSITION

The quickly positive effect of products of Perfect Refresh combined with the natural

ingredients causing no irritation or side-effects will be reasons for the sustainable

value of the brand. Moreover, the uniqueness, creative and professional package of

products will lead to the success of brand image and convince consumers about its

high-class position.

DESIRED BRAND IMAGE

Value for money, products for high-class, professional and fashioned image.

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Commitment to bring the perfection to consumers. “Because You’re worth it”

MANDATORY INCLUSIONS

L’Oreal Paris logo

Perfect Refresh logo

Originality of the campaign L’Oreal Paris in Vietnam has no local ambassador as well as less promotion for male.

This leads to the weakness in expanding male market. Consequently, male customers

have low awareness of L’Oreal products. Many audiences only know L’Oreal for its

female cosmetics. Hence, L’Oreal Paris has to increase brand awareness in male

customers through social media, celebrity endorsement and mass media.

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Proposed Ambassador

Johnny Tri Nguyen is a famous actor in series of action films in Vietnam. He is manly,

successful, charming and good-looking that makes him fit to products of Perfect Refresh.

His fame will easily boost the brand awareness in male customers as well as attracting

female buyers who purchase products for their male users.

Coherence with the brand

Product portfolio balance

Brand portfolio management has strong impact on company profitability. The only brand

for men in Vietnam creates the limit on profit for the brand. It is also the opportunity for

L’Oreal to gain more market share and grow its reputation. Moreover, Men Expert was

introduced in supermarkets – BigC, in Vietnam, yet it was removed from shelves after

several months.

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Because of the limited growth and low brand awareness in market target on male,

L’Oreal products for male must be placed in the stage of introduction of Product Life

Cycle.

Hence, the strategy for the campaign should focus on increasing brand awareness and its

reputation in male consumers.

L'Oreal Vietnam

Make up Haircare Skincare

Women

Youth Code Moisturisers Anti ageing

Men

Extra Men

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Local market strategy

The local market strategy focuses on creativity which could impressively attract

customers’ attention.

Social media is the strong channel for the spread its reputation in the youth which

mostly are internet savvy and social networking users.

Hosting events strongly influences the youth who enjoy free party and crowed

activities.

Creative bill board advertising will easily impress consumers because the

concentration of the youth when riding motorbike, especially most of Vietnamese

people travel by motorbike, will attract the riders. Moreover, the creative bill

board advertising will be easily spread due to power of word-of-mouth.

International scope of the project

Paired with the local strategy, the international brand teams, being responsible for

managing brand reputation, have to share the same profile of target audience and learn

from the local strategy in order to contribute to international strategy, even though there

is differentiation in culture and belief system. However, the online activities is useful due

to it is a factor in making the world become flat.

Media Strategy The purpose of media strategy is to provide a media strategy which could meets the

marketing communication objectives with the cost as low as possible (Kotler, 2009).

To create an effective media strategy, the offline and online media will be used in the

integrated communication channels.

Broadcast media

Television: using the repetitive advertising technique to create the impression and

awareness in audiences, especially with the memorable rhyme and slogan (which could

become an verb as well as idiom in daily life).

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Cinema: this is the place that most of audiences are young people, which fit to the target

audience of the brand. Moreover, audiences pay much attention in the time of cinema.

Hence, a good advertising should be showed in type of storytelling which supports people

full information products.

Online broadcast media (such as YouTube and podcasting): online media is used in

relaxed time which required the brand to create an emotional appealing advertising

because it will be shared easily between audiences and loved by them. An advertisement

having humorous and meaningful factors will be easily spread on the Internet and it will

lead to the success of the brand via the power of word-of-mouth.

Print media

People will be easier to be attracted by the creative image more than information.

Therefore, a creative print ad will be used on newspapers or magazines. The color black

and white will be chosen for its simplicity and manliness. It is important to show the right

content of image for the right newspaper because each newspaper will have different

audience. For example, business magazine is for professional businessman, so the print

ads must show the charming of a successful businessman.

Out-of-home advertising

To attract audience’s attraction, the advertising must be creative! Billboards are main tool

for marketer to advertise outdoor, and it reaches to every audience because most of

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people in Vietnam go to work or hang out by motorbikes which require riders to focus on

the way. Corners are good place for advertising, especially where usually have traffic jam

because people have bored time and look around for interesting things.

Social media

YouTube and Facebook are two channels strongly dominate social media in Vietnam.

YouTube: L’Oreal Paris Vietnam channel

The brand can use the same creative advertising from online broadcast media to attract

viewers. The long story to advertise is possible for YouTube if it is a meaningful and

creative.

Moreover, endorsement for famous YouTube users/groups will be effective in increasing

brand awareness. Ex: Dua Leo – stand-up comedian, FAPtv groups, Pho Dac Biet group,

video bloggers, etc.

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Facebook – L’Oreal Paris Vietnam

Facebook is a most popular social networking site in Vietnam. L’Oreal could use

Facebook to increase brand awareness by interesting posts (tips for washing face or life

hack) or controversial advertising posters to provoke discussions.

Event marketing and sponsorship

Activities/Events Description How Highlight

New Year

countdown

(Lunar New

Year)

It is hard to find a

good place to

have party and

watch fireworks

on New Year

Eve, so the

events will attract

thousands of

people to join in

and it could reach

millions of

viewers.

Create an

activity on

Facebook which

require

participants to

post their selfies

with L’Oreal

products. Each

hundreds of like

for the photo

will gain a ticket

to event.

Event will be a party with

famous DJs on the top list

in the world. Cheap drinks

will be supported in the

events.

Decorate your

walls with

L’Oreal

The new brand of

L’Oreal – Perfect

Refresh will

deliver a

beautiful

Create a

Facebook

activity which

asks participants

to take photos of

The most liked 10 pictures

will be awarded with

prizes such as iPad, iPhone

or a ticket to travel to

Europe with 10 days.

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rectangle black

box which could

be stuck and

decorated on

walls. Buyers

could use them to

decorate on the

way they like.

their decoration

with L’Oreal

box on walls.

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Media Schedule and budget allocation

Timeline Why (Objective) What (strategy) Where - location Who Budgets

For 6 months

15 Dec -15 May

2016

Create the

strong

discussion

on social

media

(more than

95% of

male users,

who are

target

audience)

Tv commercial

advertising during

first 2 weeks 10

times a day. Then

5 times per night

other month.

Television

Marketing

Managers, IT

developers

Revenue $80,000

Cost $50,000

Print ad

magazines,

newspaper

Well-known

coffee shop,

stores,

supermarket,

airport

Marketing

Manager, Design

agency

Revenue $75,000

Cost $65,000

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after

launching a

social

media

campaign

(by May

2016).

Develop the

brand

awareness

of target

audience to

80% from

the success

of the

campaign

(by May

2016).

Reach 14%

of target

Billboards At the corner

where usually

have traffic jams

Marketing

Manager, Agency

Revenue $100,000

Cost $85,000

Advertising

through famous

Vblogs, YouTube

users and

Facebook users.

Lunar New Year

event and party

Online

Newspaper

- Relationship

Managers

-Marketing

Manager

Revenue $1,000,000

Cost $400,000

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audience

having

purchase

intention

after the

campaign

will be

launched

for 3

months.

Contest for

decorating walls

with L’Oreal box

Creative campaign

event and

activities

Social media

platform, public

relation

Relationship

Managers

Revenue $150,000

Cost $100,000

Utilise social

media Facebook

offer promotions

Social media,

Retail Stores

Marketing

Manager

Revenue $50,000

Cost $45,000

For 2 years

15 Dec 2015-15

Dec 2017

Achieve

95% of

target

audience

being

Lunar New Year

countdown event

Close to place to

watch clearly

fireworks

PR Managers, and

Financial

Manager

Revenue $100,000

Cost $75,000

Informed

advertising

Cinema theater Supply Manager,

Marketing team

Revenue $150,000

Cost $80,000

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aware of

the brand.

Increase

the number

of people

having

intention to

purchase

new

Brand

Ambassador

TV commercials,

Events

PR Managers,

Agency

Revenue $25,000

Cost $10,000

Managing

response to

customer feedback

on Facebook

Online IT Managers

Marketing team

CRM

Revenue $45,000

Cost $30,000

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Monitoring & Evaluation Time period – 2 years from 1 Jan 2016 – 1 Jan 2018

From Objective IMC How will you Who is going to When (how often will you Contingency Plan

products by

30%

Retain 30%

number of

customers

after the

first

purchase of

new

products

within 3

years.

Online broadcast

media

Online

Stores

Relationship

Managers, IT

Managers,

Marketing

Managers

Revenue $60,000

Cost $45,000

Total Revenue $1,610,000

Cost $1,165,000

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measure the

performance

measure it? measure performance)

Does the number of

repeat customers

increase?

Compare the

percent of

previous year

repeat customer

by metric

monitor. Have an

IT system read of

CRM system

Marketing

Manager, IT

Manager

Dec 15th 2015 – Dec 15th

2017, Every month

Create event for

promoting products

and award customers

with discount vouchers

for loyalty program.

Have we achieved

new customers

purchase new product?

Compare

previous period’s

RM account

numbers and

revenue with

current period.

Relationship

Manager,

Maketing

Manager

Dec 15th 2015 – Dec 15th

2017, Checked statistic

every quarter

Increase advertising in

social media/public

relation.

Ensure sale and

market share increase

Compare the

percent of

previous year

sales

Financial

Manager

Dec 15th 2015 – Dec 15th

2017, Checked statistic

every quarter

Expand retail store and

the area for shipping of

online sale.

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Have the number of

brand awareness

increase?

Survey 5,000

people of the

target audience

using

Telemarketers

with appropriate

scripts.

Marketing

Manager,

Relationship

Manager

Dec 15th 2015 – Dec 15th

2017, Every month

Increase print ad and

public ad

Have we achieved

view and follower on

social media?

Compare

previous period’s

Online

measurement also

allows more

accurate tracking

of reach

IT Manager,

Brand Managers.

Dec 15th 2015 – Dec 15th

2017, Checked statistic

every quarter

Research and create

more interesting

activities on Facebook

and YouTube.

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