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Assignment 2: Strategy Plan

Students:

RMIT South Campus University Vietnam Nguyen Bich Vy – s3175613

Lecturer Name: Kevin Kuruvilla - Group: 6 Luu Bich Chau – s3192709

Bachelor of Commerce - A2: Strategy Plan Le Thi My Duyen – s3230346

Pham Nguyen Tu Trinh – s3192530


Date & Time of Submission: 25th April, 2010

* * *
ISYS Internet for Business 2110 - Assignment 2 - Semester 1, 2010 – Strategy Plan
MegaMoon

ASSIGNMENT COVER PAGE


Subject Code: ISYS2110

Subject Name: Internet for Business

Location where you study: RMIT South Campus Vietnam

Title of Assignment: Strategy Plan

File(s) Submitted ISYS2110_A2_G6_MegaMoon

Student name & ID: Nguyen Bich Vy – s3175613

Luu Bich Chau – s3192709

Le Thi My Duyen – s3230346

Pham Nguyen Tu Trinh – s3192530

Learning Facilitator in charge: Kevin Kuruvilla

Assignment due date: 25.04.2010

Date of Submission: 25.04.2010

Late Submission Approval N/A

Number of pages including this one: 88

Word Count: 4,852/4,950 limit (plus 10%)


(Main Content – No References and
Appendixes, No Introduction and
Conclusion)

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Table of Content
Introduction .................................................................................................................................. 6

A. Situation Analysis ......................................................................................... 7


1. Company Overview ................................................................................................... 7

a. Business Background .................................................................................. 7

b. Line of Business............................................................................................. 7

c. Current Business ........................................................................................... 9

d. SWOT analysis ............................................................................................... 11

2. Competitive Environment ...................................................................................... 11

a. Competitive Forces....................................................................................... 11

b. Demand Analysis .......................................................................................... 13

c. Competitor Analysis ..................................................................................... 14

3. Macro environment .................................................................................................. 17

B. Strategic Objectives ...................................................................................... 19


1. Vision ............................................................................................................................. 19

2. SMART Objectives ...................................................................................................... 20

C. Strategic Definition ....................................................................................... 26


1. Channel Priorities ..................................................................................................... 26

2. Organizational Restructuring and capabilities ............................................... 27

3. Market Restructuring............................................................................................... 28

4. Business and Revenue Model ................................................................................ 28

a. Business Model .............................................................................................. 28


b. Revenue Model .............................................................................................. 29
5. Market and Product development ....................................................................... 30

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6. Positioning and Differentiation Strategies ....................................................... 31

D. Strategic Implementation ................................................................................................... 33

Attract ................................................................................................................................ 33

1. STP ..................................................................................................................... 33

a. Positioning ......................................................................................... 33

b. Targeting and Segmentation ....................................................... 34

2. 7Ps ................................................................................................................................... 36

Interact ................................................................................................................. 37

a. Information Architecture ............................................................. 37

b. Design .................................................................................................. 38
c. Usability .............................................................................................. 38
Transact................................................................................................................ 39
React ...................................................................................................................... 40
1. Acquisition ......................................................................................... 40
2. Retention ............................................................................................ 41
3. Extension ............................................................................................ 42
Conclusion ..................................................................................................................................... 42
References ..................................................................................................................................... 43
Appendix 1: DEMAND ANALYSIS ............................................................................................ 47
Appendix A: SWOT ANALYSIS ................................................................................................. 49
SWOT analysis ................................................................................................................ 48

APPENDIX B: COMPETITORS ANALYSIS .............................................................................. 51


APPENDIX B2: KYMDAN ............................................................................................................ 57
1. Treese and Stewart’s 4 ACTS theoretical model (2003) .............................. 57
2. Schneider’s Website Usability Framework (Schneider 2006) .................. 58
Appendix C: Customer Perspective ....................................................................................... 59

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Appendix D: Market Restructuring ....................................................................................... 61


Appendix E: Online Value Proposition ................................................................................ 63
Appendix F: ATTRACT ............................................................................................................... 66
Promotion ......................................................................................................................... 66
A/ Search Engine Marketing (SEM)............................................................. 66
B/ Advertising .................................................................................................... 67
C/ Mail- email advertisements ..................................................................... 67
D/ Online Partnership and Promotion Time........................................... 68
E/ Viral Marketing ............................................................................................ 68
Product .............................................................................................................................. 69
Price .................................................................................................................................... 69
Place .................................................................................................................................... 70
People, Process & Physical Evidence ...................................................................... 70
Appendix G: Interact .................................................................................................................. 71
Appendix G1: Information Architecture ............................................................................. 71
Appendix G2: Design .................................................................................................................. 73
Appendix G3: Usability .............................................................................................................. 84
Appendix H: Transact ................................................................................................................ 86

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Introduction
In modern society, when health care is the best consideration – people also pay
attention to the high quality with unique design for their best product decision.
Intensely understanding “Nothing refreshes tired bodies and fatigued minds like
uninterrupted, blissful sleep” (Michael et al 2010), MegaMoon - The Sleeping Interior
Design Company has established business with special style, quality and services
through offline and online transaction to maximize consumer’s satisfaction. After
doing the Competitor Analysis, MegaMoon should carefully try to reach the
competitive advantages and prevent the threats of e-commerce by developing the
Strategy Plan: “How we will approach putting the business online to increase the
chance of being successful” (ISYS2110 CourseBook, Blackboard@RMIT).

Consequently, the Strategy Plan is setting the preparation for launching Mega Moon
online website, to display the sleeping cared product, likes Bedding cover sets into
different single customers: Male, Female and Baby. Establishing a good website
requires an insight and detailed report that permanently includes Situational Analysis,
Strategic Objectives, Strategy Definition, and Implementation. The first part analysis
goes through Company Overview and SWOT then continues by Competitive
Environment analysis. MegaMoon Vision and Objectives will indicate in the second
section. Then setting Company Strategy will be responsibilities of the third part.
Finally, the implementation of MegaMoon website will be identified clearly in the end
of this report.

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A. Situation Analysis
1. Company Overview

a. Business Background

MegaMoon - Premium Sleeping Interior Design


Organization is a newly established company with
the slogan: “Bring Creatively Various designs into
Single Customer, to see the differences between
Male and Female style based on high quality and
health care, combination of technology and skillful
workers”.

Company Background: (MegaMoon Ltd 2009)

Main Office Location: 127 Tran Quang Khai Street, Ward 2, District 1, HCMC
Launching Date: 27th December, 2007 by Ms. Le Thi Kim Huong (CEO)
Production Industry: 87/9A Street 16, Hiep Binh Chanh Ward, Thu Duc District, HCMC
Number of Employees: 147 (2009)

b. Line of Business

The main core business: Manufacturing, processing and sale of sleeping-care products
with completely different style for Male and Female, from the age of Baby to Teenager,
including:

Bedding Cover Set: 100% cotton


Decorative pillows, blankets: 100% cotton

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Mattress: With memory foam surface is designed to reduce pressure points for ideal
comfort, special water resistant and antimicrobial treatment used to help the
mattress stay fresh and clean.

Types For Female For Male


Baby Bedding Cover Set

Teenager’s Bedding Cover


Set

Decorative Pillow

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Mattress

Depend on premium quality, design and size, every product has specific high price plus
delivery cost (based on location distance). If there is the whole package purchase, free
beautiful gift will be given to the customers.

Business model:

B2C: Concentrated strongly on the commercial transaction to individual consumer


via phone call and face-to-face communication at showrooms and offline-stores
B2B: Building the prosperous cooperation with partners domestically and abroad:
Supermarket (Coop-mart, Big-C) and Retail agents (Hanoi, Ho Chi Minh City,
Singapore and China)

c. Current Business

Offline Business Position: Currently, MegaMoon is the existing company that understands
the sleeping product requirement is not only high quality and health care, but also need to
be specifically divided into different genders. Male and female usually have different sign
and feeling, one always need to be strong and stylish, one is romantic and soft. Therefore,
MegaMoon is one of the Vietnamese Sleeping-Interior design organizations has brought the
professional working style and premium quality, trustworthiness and creative design
throughout Vietnam, Singapore and China by retail agents. Below is the information of year
2008 and 2009:

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MegaMoon Annual Sale Report 2008 and 2009

100%
90%
80%
70% Other exports
60% China
50% Singapore
40% Vietnam
30%
20%
10%
0%
2008 2009

Figure 1: Reproduced from MegaMoon Annual Report 2009

However, the number of sale is quite low in both domestic and abroad market (only 7.3%
exported in 2009). There is no marketing activity to introduce the business, no promotion
announcement for the customer to be attracted while in the world, Sleeping-Care Product
online transaction with various services and beautiful goods description are available.
Furthermore, in Vietnam, there are many competitors such as Kymdan or Edena has
successful implemented a website to be the smart tool to build the brand awareness in
customer’s mind every time they search for “Mattress” or “Pillow”. Hence, MegaMoon is
known only by offline business.

No Position in the Online Business: In this Internet era, it seems to be easy to build an
online transaction with careful strategy plan. Although there are several number of existing
bedding websites in Vietnam, almost are gallery design, thus, MegaMoon may be the first
successful online transaction on Sleeping care product throughout Vietnam and broaden
into worldwide.

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d. SWOT analysis

SWOT analysis is used to evaluate the Strength-Weakness-Opportunity -Threats of


MegaMoon Company: (ISYS2109, Online@RMIT). Please see the detail in Appendix A

2. Competitive Environment

a. Competitive Forces

Michael Porter’s classic 1980 model of the 5 main competitive forces that affect MegaMoon
in the e-business as below:

Bargaining Power of B2C: With the large number of Bedding online shops from
Buyer Domestic: Edena, Kymdan, as well as from Foreign Brand:
HIGH Everon, Korean Dai, or Chinese Bedding Set, the buyers have
more choices of colors, quality, and prices which are most
suitable for them before making decision. Some users may like
MegaMoon goods with reasonable prices for premium quality,
beautiful product images and differentiation in available set for
Male and Female decoration. However, they can also switch to
another brand because of better service or same quality but
lower price comparison.
B2B: Building good relationship with partner like Coop-mart
distributor is always benefits. Particularly, business partner can
get better price from MegaMoon rather than purchasing from
Korea with the large quantity purchase as economic of scale
advantage. Or the Singaporean retail agent get lower imported
prices from MegaMoon than its national bedding company,
hence, achieve higher profit. However, whenever they find the
better E-SCM from another business likes Edena, they have full

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power to switch as well.


Bargaining Power of The bargaining power of suppliers may be reduced since there
Supplier: are too many choices for buyer and better commoditization of e-
LOW marketplaces (Chaffey 2007, p.219). Similarly, in the Sleeping
interior design products as mattress and pillow, the suppliers
include:
Rubber mattress manufacturers
Textiles production firms
Kiosks selling textiles
Current reputation, credible business, and high appreciation
from consumers via “word of mouth” can decide which supplier
will be selected. Besides, the production cost is also an
important factor, such as MegaMoon can switch to ToThi-Global
B2B marketplace partner instead of VietnamBrowser because of
lower resource’s cost and better advertising services (Asian
Manufacturer Factory 2008).
Threat of Substitutes As discussed above, Internet is also an easy tool for competitors
HIGH to imitate product design and business ideas, then, put the
lower price to attract customers. Hence, the customers who
cannot afford MegaMoon Sleeping product will switch to these
substitutes. Currently, MegaMoon differentiation is focus on
single customer, especially Family for Baby and T different
genders – the threat level can be Low. However, after short time
of online operation, there will be the high threat of substitutes
such as decorative drapes for Girl or couple’s pillow.
Barrier to Entry There are many difficulties:
QUITE LOW - Large number of competitors, domestic and overseas.
- Sleeping care is open market for all new players coming 

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potential competitors.
- Easy to reproduce and copy the design and techniques via
internet as it creates “Fast Follower” (Chaffey 2007, p.219)
 High Competition for New Entrant
However, MegaMoon has set up the factory with skillful and
hard working labor force of over 100 people from 2007, doing
the different business with Kymdan or Edena and brand
awareness from offline business, established the unique design
catalogue of products for male and female. Thus, it may be
timely and costly for the “Follower” to prepare. Consequently,
the barrier to entry is quite low for MegaMoon; the important
thing is they should focus on building the professional, clear and
easy to use website with high security and payment method.
Rivalry existing amongst Although most of competitor’s websites are services oriented
competitors relationship building, the degree of rivalry is still at high level
INTENSE due to the fact that “Internet facilitates the moves to the global
market with potentially lower cost-base also potentially
increasing the number of competitors” (Chaffey 2009, p277).
Specifically, as designs and pricing list posted widely in the
websites, there will be intensive competition since companies
can make research and develop differentiation in their own
interior products and even setting more competitive prices to
compete with each other. The matter of the fact is that in
sleeping product industry, differentiation is the key to succeed
and even survive.

b. Demand Analysis: please see Appendix 1

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c. Competitor Analysis

There are 18 available Vietnamese Sleeping-product websites (vietnamwebsite.net 2009), and none of them have online transaction,
they focus only on online galleries. Competitor analysis collection based on represented Strong and Weak points:

Benchmark Competition:

Factors (Xanthidis et al
2009)/Mark
Visit times <5: Low
Loading times =5: Average Please see explanation in
Accessibility >5: High Appendix B
Stickiness
Customization and globalization
Security & Privacy
Online Transaction Yes (10) No (0)

Company Name/Factor Times Accessibility Stickiness Customization Security & Privacy Online
Globalization transaction
My Linh Curtain 6.5 5 4.5 4.0 3.0 0
www.mylinhcurtain.com
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23/60
Van Thanh 7.5 4.0 6.5 5.0 2 0
www.nemvanthanh.vn

25/60
Uu Viet 8.5 4.0 6.5 4.0 0 0
http://www.uuviet.com/

23/60
Kymdan 8.75 8.5 9 8.5 7.5 0
www.kymdan.com

42.25/60

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Everon 5 6.5 5 4 4 0
http://www.everon.vn/

22.5/60

Conclusion:

From the above analysis, Kymdan is the most popular sleeping-product brand name in Vietnam; hence, it has highest score in Website
establishment. However, both Kymdan and others national websites are used as a marketing tool, or online strategy to generate the
offline business which lead to the low attractiveness in the world when this is the time for Online Transaction over the world
(Appendix B2). Consequently, MegaMoon should understand that the Online Gallery without sufficient and credible Product
Information, missing the International language cannot catch the customer’s attention – A website without online transaction and poor
design – as Xanthidis (2009) evaluation 4 Dimensions, you cannot read the goal of expand the market. In order to be successful online
transaction as the first volunteer in this market, MegaMoon must learn from current competitor’s strength of Stickiness and try to
prevent the weakness, especially in Security and Privacy System, try the Customization which is missing in every rival websites so the
customers will be attracted and repeat the purchase or increase the visit times.

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3. Macro environment

Political
The Institute of Vietnam Economy (2005) had stated that: “Support Corporation is
applying e-commerce into business, focus on training human resources for e-commerce”
when Vietnam becomes WTO member. Obviously, the more global investors coming, the
more challenges, the more high-tech and efficient method in business requirement, the
more MegaMoon should focus on how to build a good online transaction that can satisfy
all of international standard and policy. Furthermore, closer relationship between
Vietnam and other nations considerably reduces the barrier of export and import, with
smallest or none of tax rate. For example, USA is the potential market for MegaMoon to
export sleeping-cared products with the advantage of No Impose of Imported Tax.
(Runckel & Associates 2006)

Legal

There is an influence of authorities in operating business on the Internet: license


requirement. Additionally, avoiding any possible sexual or violation of policies during
operation play an important role. Besides, as indicated in isbl.com (2009), in
Vietnam, taxation application for e-commerce is not yet developed properly. This can
be one of Legal advantage for MegaMoon recently.

Government Legal Support after WTO joined:

Protecting Internet Service Provider regulation (Manh et al 2005) strongly help


MegaMoon keep private data safely during the online operation.
Consumer right announcement in 2009 (VietnamBridge 2009) develop the
customer’s belief and trust as secured feeling during purchasing process.
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Economical
Entering WTO also means that there will be more challenges in competition since many
stronger international companies invest in Vietnam. Apart from WTO access, GDP of
Vietnam is on the rise of 5.2% in 2009 and next year, that figure will be targeted at 6.2%
(Saigon-gpdaily.com.vn, 2009). As the increase in income of people, the standard of living
will also grow. Thus, people will tend to pay more attention to fulfill their own and
family’s spirit life and image. It means, apart from purchasing other accessories,
consumers will spend more money in decorating their house to build their own status,
more care for their children when they was young until teenager.

Social-Cultural
As discussed in SWOT analysis (VietnamBridge 2009), the preference of paying cash and
hesitance in online purchase is the Threat of MegaMoon. However, the culture seems to
be changed when there is the significant change in consumer behavior. The reason is after
WTO joining, the international behaviour from Western or America directly influences on
Vietnamese customer’s mind and requirement, especially for the Youth (teenager or
young couple)

MegaMoon target customer: Young Parents, Teenager with Medium to High Income, who
usually want to have good appearance, pay more attention in Decoration and Style rather
than Money spending. Young parents will show their care to their kids by accepting to pay
more money for decorating their room. Moreover, Online Shopping is their habit because
of convenient time surfing even in workplace.

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Technological

Supported from Vietnamese government: Intel Semiconductors Vietnam will


corporate with online organization for the technology development and service
diversification (Vietnam Post and Telecommunication Group 2009), hence, it will
improve MegaMoon telecommunication speech, convenience and benefits.
As the rapid development of technology, the use of modern equipments, updated
software and Internet has become common in many Vietnamese businesses. Internet
is useful and it saves considerable costs including hiring customer-service-staffs.
Besides, Internet connection fees are not considerably expensive in Vietnam since
there are many Internet suppliers with different choices of connection fee packs.
(FPT or Viettel).

B. Strategic Objectives
1. Vision

The core business strategy of Mega Moon is to provide the most effective website for
Internet users globally by building the efficient sleeping interior-design product online
transaction, make it easy for shoppers to find, compare and choose products which are
most suitable with their preference, gender and income ability. Using this strategy,
MegaMoon strive to provide the best possible customer experience by offering superior
value, high-quality, online-purchase instruction, customized system and services, online
support and differentiated product’s design that are easy to buy to buy, long-term usage
or gift given. (Chaffey 2007)

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2. SMART Objectives
In order to achieve the SMART (Daft 2007) objectives below, MegaMoon tries to match the KPI with Individual Strategy. However, some
Similar Strategies are used to achieve Different Objectives.

Customer Perspectives
Objectives Key Performance Indicators Individual Strategy
Increasing: Reach 2% visitors of total internet With support of the right e-marketing strategy likes adverting as the

- Online Market users (Internet World Stats, 2009, electrical banner in popular websites such as TuoiTre, Kenh14, and 24h
(Appendix C): In the first 3 years: or Teenager sites (Hoahoctro, Muctim, Sanhdieu)
share
reach 900,000 visitors and half of Using media channel: Yeah1TV in order to introduce the company and
them; about 450,000 are registered products to customers.
as site’s member. Using social network likes the Facebook and Twitter as one of the main
communication tools
- Customer’s  Customer acquisition rate will Building the friendly interconnection with customers as create the

acquisition rate increase by 12-25% in the coupon Teenager Hint for Gift purchasing, so they will comeback as they expect
in next few years. to see more creative products for their girl/boyfriend.
Ensure retention of key account customers: Attain soft lock-in by
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- Customer  Retention Rate: Revisit of developing extranet facilities and continued support from sale reps by

retention rate customer in our website: adding the “Disable Back button” JavaScript in the Tag Heading (Chaffey
- In 1st following year: 30% 2007)
- And 60% in next following Virus scanning: available for customer feel comfortable when enter our
year. site (no virus)
- Ensure 80% of key account
customers
Increasing Should be more than 80% Providing clearly purchasing instruction and Eye-catching interface and

Customer commenting well and less than 5% give consumer the right to customize the website based on Colour
negative feedback in the 1st year by favourite.
satisfaction index
creating the customer feedback to Provide additional services such as Live Chat available 24/7 and FQA to
evaluate. prevent the consumer confusion of using product or services.
- Increasing the number of loyalty Frequently maintain and update database in order to improve the
customer to 40% of total registers quality of connection
each quarter Doing quarterly survey of buyers’ behaviour
Establishing the promotion to attract more customers such as free
shipping, discount coupons, vouchers and free testers
Usually updated with the newest trend of interior design in order to
satisfy buyers

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Support varieties of payment method such as cash or credit.


Full information of product and beautiful images available (1 products
with 2 or more photos in different corners)
Available promotion or discount in Holiday and Event (e.g. Woman day,
Tet) and take care of consumer by delivering free gifts for their baby in
birthday.
Brief information of export and import rule, delivery options and list of
country exported.

Process
Objectives Key Performance Indicators Individual Strategy
Reduce EProcurement The procurement lead-time should The “Add more” button in Shopping cart is designed to help customer to
lead time be equal or less than 2 minutes come back the product’s catalogue (Menu). Then, the user wants to select
more products to buy, just add them into shopping-cart and confirm what
they actually want to purchase.
Reduce Delivery lead Remaining consistent delivery lead Using reliable logistic firm such as TNT and DHL. Building the relationship
times time: with specific foreign logistic firm in each country MegaMoon export so it
National purchases: 1hour - 3 days will be easily deliver products into right customer at the right time.
International purchases: 2-5 days.
Online Error and Control the failure delivery by By building the effective online transaction system and use Access to
Accident Rate 3% save customer databases (ordering and time of delivery) by IT expert

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Keep the transaction errors less Update every time the customer play the order and payment method,
than 2% each month immediately work with the production and sale department to deliver
right products to the right place.
Use Email/phone call confirmation before delivery.
Financial
Objectives Key Performance Indicators Individual Strategy
Increasing the revenue Gaining 20% market share in Research for new potential market such as Cambodia and Laos, US
contribution from Vietnam after 3 years, targets advantage of no imported tax.
selling online & offline 90,000 orders after 3 years. Create e-commerce facility for standard products and assign agents in
Gaining 20% international order to develop the revenue from new geographic markets such as Da
market share after 4 years Nang, Hue, Hai Phong, Thailand or Laos.
25% offline purchases Marketing strategy effectively used by banner in famous page
generated from online and 5% (vnexpress.net) or a newspaper about free decorative and special pillow
cash purchases of total revenue from MegaMoon for 10 lucky students in kenh14.vn. After they get the
after 2 years gifts at the offline store, they will be attracted more with actual design
and beautiful products.
For the Internet users who do not own the credit card, they can pay by
Cash or face to face communication after playing an order and seeing
fabulous photos from catalogue.

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Saving Cost Try to reach the 30,000$ saving The marketing is used by Website and banner in other pages leads to the
for writing documentation such decrease in handmade-marketing
as price sheets, marketing cost
likes flyers or office renting, Use collaboration and project management tools, MegaMoon play the
decoration fee, utility fee, etc per hyperlink of the website address at the other page and vice versa.
year Improve the delivery system rather than building the offline shop to
The capital investment will be reduce the office renting.
covered after 3 years
Innovation and Employee Development
Objectives Key Performance Indicators Individual Strategy
Improving the quality of Visit times will be over 5,000 per Frequently changing the website background based on the occasions
the website month in the 1st year Creating more attractive functions such as Flash, video and voice
Number of register will be
consultant
following the increase of quarter
Creating a application that customer can directly purchase on Iphone
numbers of visitor, 50%, 30%, and other electronically devices
and 50%, respectively. Establishing IT and Design departments
Employee Development 75% employees can work for Improving the staff’s knowledge about e-commerce.
our e- business
English training course will be established for communication purpose.
100% Staff can be able to write
and speak English confidently Outside Activities: Sport, Creative product competition will be held to
after one year encourage the employee to think about new design of product and
Professional working marketing strategy with the reward (10 million) for the team winner (3
people) and building traditional and friendly workplace environment.
environment

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Online Revenue Contribution (ORC)
After implementing the individual strategy for each of KPI, MegaMoon can achieve
(after 2 years)
Direct Sale 50% From E-purchasing Internet users find MegaMoon online transaction is
easy to make: with clear instruction
Customers have the privacy announcement and email
confirmation after play order and choose payment
method
Customer trust in security system of MegaMoon and
prefer shopping online more in future, especially for
foreign customers.
50% of total as the basement to maintain and increase
due to the effective Internet strategies used above
Indirect 25% Offline sales from Almost Vietnamese customers do not have credit card,
Sale Online impact hence, tend to offline business after choosing the
Indirect Sales from e- product or play the order
marketing channels This 25% will continue increasing because of effective
via websites and ads marketing on other pages and link will leads to brand
on the internet awareness in customers when they would like to find a
stylish gifts or special design for their baby bed room.
Total 75%
Based on the professional online transaction establishment, high technology investment
and customer’s global e-shopping trend increasing, MegaMoon expects the budget of ORC
of next 10 years with more protected and functional as follow:

Product/Services Now 2 first years 5 years 10 years


Mattress
Direct Sale Offline business 50% 70% 85%
Indirect Sale None 25% 30% 15%
Pillow
Direct Sale Offline business 50% 65% 90%
Indirect Sale None 25% 30% 10%
Sleeping-Bedding Cover Set
Direct Sale Offline business 50% 55% 75%
Indirect Sale None 25% 35% 25%
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MegaMoon

C. Strategic Definition
1. Channel Priorities:

In order to reach the right Time, using the Right Communication channels with a relevant
Offer, Product or Message to the Right person (Chaffey 2009, p.299), MegaMoon apply:

Right-channeling Application and tactics


strategy
1 Account-managed According to Goffman (2005), MegaMoon should build the relationship with
relationship with large, high-sale-volume clients through account managers by face to face and
larger companies phone meetings. Detailed tactics:
offline, either direct B2C:
or through partner - $50 gifts: online Purchasing whole package (including mattress, cover
companies sets, pillow, etc) from $300-$500
- $100 gifts: online Purchasing whole package from $501 - $800
- $250 gifts: online Purchasing whole package over $800

B2B: Every time doing transaction, phone-call confirmation and remind.


Reduce more in retailed cost:
- 10% for 10 packages or 20 separated products
- 20% for 20 packages or 50 separated products
- 35% for over 20 packages and 50 separated products

Both:
- VIP member card offline for over $200 purchasing
- Free gift for baby, teenager in birthday, value: $15 by direct interaction
from MegaMoon represents.

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2 Encourage consumers Be different from Kymdan or Edena, MegaMoon focuses on Family, but purchase
to buy through online for Baby and single Teenager with the whole package, different style: romantic
channels: and stylish for different gender. Therefore, customers have more choices to buy
through online channel.
Risk: The strong bargaining power of customer to switch the products if they
found there are available lower prices.
DECISION The first strategy is selected because it is the smart way to maintain the
business relationship by letting the customer knows they are carefully cared and
respected, not only who buy, but also their beloved-baby. Moreover, this
channel priority encourages high-volume customers like Coop-mart because of
high economy of scale benefits.

2. Organizational Restructuring and capabilities

Gulati and Garino (2000) give the advantages of the integration approach as being able to
use existing brands. MegaMoon application as below:

Strategy Application and tactics


1 Joint venture MegaMoon creates an online presence in association with another player (Gulati
& Garino 2000) such as (www.beddingwindow.com) or
(www.vietnambedding.com) for advertising and marketing purposes of both
business.
2 Online marketing As the first right-channeling above, in this strategy, MegaMoon should focus on 3
focus core activities:
- Acquisition: Attracting site visitors by submit our URL to the site Google
through http://www.google.com/addurl/ to enhance the index searching
features of search engine as Google.
- Conversion: Generating leads and sales (Chaffey 2009, p.311)
- Retention: Apply opt-in mail to keep confirming existing customers about

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introduction of new collections or whenever having promotion campaigns


DECISION The second strategy is selected because it is suitable and consistent with the
channel priority and individual strategy to achieve organization’s goal and
objectives above. However, there is also the combination between the 1st and 2nd
strategy because in order to do marketing, joint-venture mixed is one of a way to
be beneficial for both business and can reduce the cost of advertising.

3. Market Restructuring

MegaMoon must restructure the marketplace to achieve the competitive advantages by


applying: Disintermediation in Buy-Side and Re-intermediation in Sell-Side.
(Appendix D1)

4. Business and Revenue Model

a. Business Model:
According to Chaffey (2007), MegaMoon can use:

Business model Tactics


1 E-shop Similar to the Objective Strategy above, marketing should be focused to
build an e-shop for Internet users to make the online shopping with
beautiful products’ photos and then decide the online purchasing.
2 Virtual communities When the awareness of Mega-Moon is widespread, the Virtual Community
will be upgraded by opening a forum for everyone to share and discuss
ideas and designs for Interior Decor (drape – pillow – mattress). Then
MegaMoon will take great ideas from customer voting to produce and it
may reach the consumer demand at the right time. It is also for B2B
partner to discuss about news, and cost or opportunity of business
exchange.

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Decision Virtual Communities should be established inside MegaMoon websites or


as discussed in Individual Strategy for B2B communities as well, besides
the Virtual communities for B2C in Facebook and Twitter. This strategy can
be called “Listening to Customer” and let them believe their ideas are
valuable to our business.

b. Revenue Model:

Business model Tactics


1 Manufacturer Current position: Manufacturer - produce sleeping products and then sell
to customers (B2B) and other business (B2C) such as hotels through
offline and now enter in the online business.
2 Advertising Allow other businesses to put their advertising banners in MegaMoon
website and the payment based on the click times of the customers on
the banner. However, these businesses should be relevant to our
business such as hotels and furniture shops; and the number of
banners should be limited (<=5) because many advertisements will be
confused our customers’ eyes.
3 Commission-based sales Mega-Moon will help anyone to sell their own products with a
reasonable price through the forum.
Decision Expand to the Advertising to achieve the Financial Objective that increase
the online revenue from other company’s online ads placed on MegaMoon
websites. Additionally, advertising banner can cost differently in different
location in website, hence, MegaMoon can get advantages in every corner
of their website. However, Manufacturer is the main Revenue Model of
MegaMoon.

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5. Market and Product development

Figure 5: Mega-Moon Market and Product Development Strategies

MegaMoon will be the first online transaction in sleeping product market (other are Online
Gallery only), therefore, focusing on the Market Penetration to sell existing product to
existing market is the strategy to achieve the market share advantage in Vietnam in this
mean time (Amstrong 2005)
Market share growth By using the online communication
techniques as search engine marketing
(Google) to compete with other business
Customer Loyalty improvement Online value proposition (discussed later)

When the MegaMoon brand-name become popular in Vietnam and global, when there are
potential competitors enter the market, MegaMoon can move up to Product Development
to prevent the imitate issues from rivals.

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- Developing the unique products with special design to express the MegaMoon logo
meaning and brand-name: Building the Exclusive and Premium bedding style for
consumers with romantic surrounding (whole package) related to the Moon shape.

Consequently, this is the way to upgrade image to the higher level with wide range of
products from baby beautiful bedding design to extreme rare Moon shaped-bedding set.
Although this product development is costly, and the selling price will be premium but
under this economy grow, rich people such as Singers or Actress are affordable to purchase
a unique product for their wealth-show-off, hence, this market is an enormous potential.

6. Positioning and Differentiation Strategies

Figure 6: MegaMoon Porter’s Competitive Strategies

Source: Adapted from Daft, R.L 2007, Understanding the


Theory and Design of Organizations

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Differentiation MegaMoon core business is offering sleeping product with special design
for different gender from baby into teenager who influence the purchasing
decision of Family (Parents). There are various products from Covet Set,
Pillow and Mattress with superior quality and unique design. Furthermore,
the consumers will be provided online transaction’s instruction, on-time
delivery, secured financial information, consultant for decorating bedding
room, available Live Chat for consumer confusion and valuable gifts range
from $50 up to $250.
Focused Differentiation The market will be narrower, and MegaMoon can charge higher price for
the uniqueness in design and product quality. The profit can be calculated
by Money Get, not the quantity.
Decision However, in Vietnam, this 2nd strategy is not appropriate as Sleeping care is
common product for broaden use, Teenager are the large number of people
at current time and young couple tend to purchase the premium sleeping
care for their baby with low money consideration. Hence, it is better to
choose the Broad market for uniqueness.

Differentiation Strategies: OVP formulating

MegaMoon can apply the Online – Marketing Mix: 7P’s (Richard, Jim & Rod 2004): More

detail in Appendix E.

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D. Strategic Implementation
Attract

1. STP:
a. Positioning:

Mega Moon has a differentiated position- Prestige Segment in our target customers and
stand above our competitors due to perform effective 4 extent areas: High quality of
products and services, reasonable price and low lead-time (Deise et al, 2000 cited in
Chaffey, 2007). Furthermore, by offering the medium price (no higher than $1,000/ set)
for the unique products, which are the newest trend of interior design, customers can
obtain the highest fulfillment rate is 1 hour- within HCMC and the longest just 5 days for
other countries’ purchase. Therefore, Mega Moon will let its customers realize their
Product excellent performance- High Quality and Unique but Reasonable Price.

Figure: Positioning of Mega Moon: Price and Unique

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Figure: Positioning of Mega Moon: Price and Quality

b. Targeting and Segmentation:

After identified the Company position, the target Segments are defined from using ETypes
(User Guide, CACI Limited, 2008)

Customer 1 Customer 2

Target Segment Type 1: Active Online Spenders Type 9: Thoughtful Spenders

Demographic
Age 25-44 35-55

Gender Both from Young and Middle age Mostly female from Middle age families
families

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Income Middle to High High

Education Students/Graduated/Master/PhD Graduated/Master/PhD

Tendency to Long-term users of the Internet Using Internet for convenience


Internet for working purpose purpose, such as read newspaper
The rest of user visits this site due Search information about Art and
to business and comparison Sleeping-care product products to
purpose based on hundred know more about the materials,
numbers of Vietnamese and Asian dimension and decoration types in
Sleeping-care product order to support themselves before
competitors. making decision: contact to which
company and what they will purchase.

Characteristics Carefree spenders: Confident brand shoppers & Cautious


shoppers:
Interested in online purchasing
High online transaction Be confident on purchasing well
Willing to make purchase without known brands or the second- time
seeing first purchase
Also purchase from unknown Would like to see products prior
companies Low on online transaction due to
security or product quality issues

Value added Updating latest information about Always offer discounts and different
new and upcoming products every promotion activities.
week. Special discounts with high volume of
Free sample of new products purchasing
always be provided or additional Online sales: we sell the Sleeping-care
gifts product products online to customers
Online advertising: we shall allow and gain profits.
other businesses put their
advertising banners our website E-mail and photo sharing services: we
and charge them and they will pay provide these services to get more

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us based on the click times of the incomes from the customers.


customers on the banner.

Positioning Always be Up-to-day with new Good quality from well known brands
ourselves products with acceptable prices

What is your Product performance excellent: Price performance excellent: reduce


business’s Online customization is very important, the cost as much as possible to satisfy
Value Proposition so website need to be built to most the customer.
(OVP) or comfortable for the customer to Relationship excellent: keep the
differential search and compare the products customers loyalty by attractive
advantage for this Transactional excellent: change promotion and value added.
customer? payment method as well as
simplify the order process.
Appendix E

How can your Need to build the famous website Need to be linked with other websites
business become to be the 1st when Internet use and vice versa to do the online
first choice? write “Vietnamese Sleeping-care marketing and PR for themselves
product” in the search engine tool Convenient, fast and obvious way of
website (Google or Yahoo) using the website.
In order to be famous, the website
must be attractive with product
images and full information for
viewers for their purpose than
other competitors

2. 7Ps: Appendix F for more information

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Interact

a. Information Architecture More detail in Appendix G1


PARTNER (Supplier & Logistic) is separately
Site Tree Diagram and dropdown-list menu: designed, not included in the Menu bar

Logo in every page to remind


customer about the brand

Introduce about company operation, history


for consumer view so they can know who
MegaMoon is and what we are doing Dropdown list in menu must be
the same as Sitemap

Products divided into 2 targets: Baby and Teenager. However, the payment and decision
are made by Parents. It is clearly divided into 2 different ages. In each category, there are
different products: Whole set package or separate one including Mattress, decorative
pillows, etc. Hence, the Internet user can easily find their need based on obvious
arrangement of Product Type and Consumer Type.

As discussed above, MegaMoon tries to achieve the customer satisfaction by building online help and
instruction so they can easily access and use without confusion in our website. Furthermore, full information of
delivery methods will be wider choice for consumers.

In order to build the trust in customer mind about our online business

Customers have the right to know exactly about what they purchase

Not only online shopping, consumer can take time to read news about Sleeping benefits, MegaMoon
articles and current trade fair, economic changes, etc

Consumer can contact the company via Email, phone call or direct
interaction

For customer easily checks their Cart after added product. This tab is available in Menu, so customer
can check anytime they want, not as other competitor: after play order, the “Your cart” will be
appeared at the corner which is very difficult to see
ISYS Internet for Business 2110 - Assignment 2 - Semester 1, 2010 – Strategy Plan
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b. Design: More detail in Appendix G2


3 inspirational websites
Outline the site design and how it matches its objective.
Composition

c. Usability

The website is usable as we will discussed based on the Nielsen’s usability heuristics:.
There are 6 elements of quality metric will be used to apply:

Loading Speed
Attractiveness
Security
Transaction
Searching
Navigation
Please See more in Appendix G3

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Transact

Choose products & add


Tend to buy Log in to shopping cart

Visitor
s Not tend to buy
Select payment method

Credit Card/ PayPal Cash

Fill in card
information Delivery

Achieve

Card
checking
Failed

Figure 2: Mega-Moon Transactional Model

The figure above is a purchasing process of MegaMoon. The visitors have to log in the
account initially if they want to begin the transaction. From the figure, there are three
methods of payment that we have used which are credit card (Visa and Master Card),
PayPal and cash. Payment by cash means we will collect the money after delivering the
products to customers. Besides that, we will check the card whether credit/debit card

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achieve or not before the acceptance credit/debit payment. And this checking process will
be run by banks that we have cooperated with such as Sacombank, Vietcombank, DongA
bank and ACB. Moreover, MegaMoon also collaborates with express firms such as DHL and
VNPT that will ensure to delivery products to customers outside HCMC. (See more in
Appendix H)

React

In order to manage customer relationship efficiently in E-commerce, we plan to achieve


three main stages of CRM including acquisition, retention and extension (Chaffey 2009,
p483)

1. Acquisition

In this phrase, Mega Moon Company will carry out different marketing activities online
which related to promotion to capture attention from new customers to generate online
sales. (See more in ATTRACT)

At first, we will submit the URL to Google through http://www.google.com/addurl/ to


enhance the index searching features of search engine as Google. In term of marketing
communication, apart from advertising on the traditional offline mass media such as
newspaper; in online newspaper such as kenh14.vn and vnexpress.net, the online trade
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websites including beddingwindow.com and vietnambedding, and the forums about the
interior design in websites, we intend to place interactive and banners in which best
collections are shown under flashing mode.

The use of Google adds URL due to the fact that customers, in generally, they will use
search engine as Google initially to search for the particular products rather than
immediately entering the address of the particular site. Also, our major targeted customers
are parents who always seek for economical benefits initially. Before making purchase
decision of a particular product, they often carefully visit the trading websites to get
general information about market and sometimes enter forums to ask for the experience of
the others about their preferable brand. When we place advertisement on these sites, these
customers will probably see and attract by our banners or interactive. Somehow they will
visit our website because of curiosity and attraction.

2. Retention

Mega Moon mainly focuses on activities maintaining and enhancing relationship with
existing customers.

The information related to the historical transaction will be saved in our database system
under the accounts of customers; hence, they can review at anytime they log in. Saving
database of customers in transactions can also be used to reward customer’s loyalty.
Besides, we will apply opt-in mail to keep confirming existing customers about
introduction of new collections or whenever having promotion campaigns. Additionally,
the forum of discussion will be created for customers to visit and share ideas or feeling
about our products. We believe that by using opt-in email, our advertisement will not be
ignored by customers since they are given the option of giving us the email contact.
Furthermore, by actively creating the online community in our website, it is easier for us to
get feedbacks from customers. Also, through responding to the concerns and comments
from customers online, we can enhance the relationship with existing customers more
effectively. (More discussion in Appendix F)
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3. Extension

According Chaffey (2009, p483), this phrase mainly focuses on activities encouraging
customers to increase purchase frequency. Mega Moon acquires customers to pay through
deposit transfer or credit card. By persuading our customers to pay through the other
financial service as Credit Card or PayPal, our relationship with customers will be
intensified somehow.

For Credit card, the customer’s information will be encrypted via SLL Certificates.
Thus, the Internet user can assured about their financial information provided into
MegaMoon.
PayPal: Customer can totally assure because this is one of the highest security
payment system around the world, as well as, there is no fee or charge through the
purchase online using PayPal. “Save Time. Pay without sharing your financial
information” – PayPal slogan

Conclusion

“To conclude, being victorious in the online market is not an easy term as there are
several critical issues need to be taken into account. As a result, understanding the
market nature and then applying an effective strategy to adapt with the business
environment, MegaMoon can be successful in the near future.”

(Chaffey 2009)

***

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Student assignments:

Nguyen Bich Vy: ISYS2110_A1_s3175613

WOO Rank, 2010, Website Analysis Tool, http://www.woorank.com/en/www/kymdan.com,


viewed in 18 March 2010

Luu Bich Chau: ISYS2110_A1_s3192709

WOO Rank, 2010, Website Analysis Tool, http://www.woorank.com/en/www/mylinhcurtain.com,


viewed in 21st March 2010

Le Thi My Duyen – ISYS2110_A1_s3230346

WOO Rank, 2010, Website Analysis Tool, http://www.woorank.com/en/www/nemvanthanh,vn,


viewed in 21st March 2010

Pham Nguyen Tu Trinh – ISYS2110_A1_s3192530

WOO Rank, 2010, Website Analysis Tool, http://www.woorank.com/en/www/uuviet.com, viewed


in 22 March 2010

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MegaMoon

Appendix 1: DEMAND ANALYSIS


As Ministry of Information and Communication Statistic figure, there is 21.5 million
Internet users (24.98% population) in 2009 which mean 4.3% increased compared to 2008
(internetworldstats.com, 2009). This number will continue rising in following years and
have direct impact on MegaMoon online operation. However, “about 50% of the customer
who access the Internet, 30% visit website and fewer than 20% purchase online” (Chaffey
2007, p.344), therefore, the actual online buyers is predictable lower than 4.3 million.

Internet User increases from 2008 to 2009

2009

2008

0.00% 5.00% 10.00% 15.00% 20.00% 25.00% 30.00%

Figure 2: Reproduced from Internet World Statistic

Additionally, Vietnamese living standard has a fast development, education and health are
the best consideration, parents would choose the best product for their baby, and
teenagers have wider choice for specific decoration or special design that fit with their
characteristics. As a result, online shopping has a strong upward movement.

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Figure 3: Reproduced from Chaffey D. 2007, E-business and e-commerce management

From Chaffey (2007) and-the survey result from Nielsen (2007), we found that:
Most of Vietnamese consumers, price is the most important to determine the store

option. In fact, over 77% of consumers point out that they have changed their buying

intention due to price rising. Thus, as a new online entrant, MegaMoon must carefully

set competitive price including particular online value proposition.

Conversely, in international market, 86%-make online transaction- 60% of them tend to

revisit to-buy products from the previous site purchased (Nielsen 2008). Hence,

MegaMoon understands that since the online customers are loyal, it is vital to capture

customers’ attention and create positive shopping experience to encourage them to

revisit.

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Appendix A: SWOT ANALYSIS


d. SWOT analysis

SWOT analysis is used to evaluate the Strength-Weakness-Opportunity -Threats of


MegaMoon Company: (ISYS2109, Online@RMIT).

Strengths Weakness
MegaMoon manufactures high quality Familiar with offline business operation.
goods with creative design based on the Therefore, lack of experience in online
combination between traditional (hand- business is the primary weakness.
Sewing, embroider) and modern Executive team is qualified but
techniques (production system, high- MegaMoon does not have experiences in
tech machines) online trading. Thus, time cost to build
Products are for Baby and Teenager, an employee training program of
divided separately to Male and Female internet usage.
gender; strongly focus on Single High cost to set up the online transaction
Customers - which is no competitors yet and IT department to maintain the
in Vietnam. online business, databases and customer
Having skillful employees in both feedback.
handmade sewing and technical field.
Building strong relationship with
existing customers based on premium
gifts and VIP member cards.
Main office is in District 1, 3 showrooms
in District 3 (foreigner & high-income
people’s area), product distribution in
Coop-Marts (13 branches) and retail

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agents in Singapore and China.


Consequently, “word of mouth” is almost
used after a customer purchase products
because of design’s impression.
Based on offline business – physical
store, family and teenager customer are
comfortable to touch and see the real
products.
Opportunity Threats
Vietnam has a boom of more than 21.5 WTO brings global competitors to
million Internet users on June 2009, Vietnam who has strong experiences in
which is about 25% of population online transaction, strong sleeping-
(Ministry of Information and product brand which can make the
Communication, 2009) so the Internet customer switch their decision from
consumer increases considerably is the domestic into foreign.
opportunity for MegaMoon to expanse Security issues – Hacker may attack the
business and achieve those market customer database and confidential
figures. information and sell to rivals.
WTO member  more chances to Maintenance cost may be higher than net
develop Ecommerce in Vietnam, more profit achievement.
global investments, more support from According to Nguyen Chien Thang,
government policy of telecommunication General Director of PayNet, Vietnam is
still “Cash market”, customers are
growth.
hesitated to use online payment.
Vietnamese banking system is developed (Vietnamnet Bridge, 2009)
and allows online payments  more Because of government support, there
will be large number of online
convenient.
competitors.
Internet is easy tool for imitate the
product description and design.

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APPENDIX B: COMPETITORS ANALYSIS
Company General Description Times Strength Weakness
www.statbrain.com
My Linh Curtain Main business: Established Visit times: Customization: 4 (Low) Stickiness: 4.5 (Low)
www.mylinhcu online business in the 4,260 per month -Low level of customization. The -No online help available and
Curtain industry. Site is organized based on “read more” hyperlink for
rtain.com customer to have more product
Loading times: product’ categories
information such as price,
Website: offering (2.914 seconds- -High level of product diversity,
description.
information of MLC 0.084 s/Kb) such as variety of styles or -There are several different
products materials used. contents between Vietnamese
Product: Curtain, Bedding Slowest -Available Vietnamese and English and English pages.
Luu Bich Chau sets-Blankets-Drapes – compared to languages. -Simple process of from
Pillow- Mattress and others -A good customer value, free choosing but be inconvenienced
[ISYS2110_A1_s
related Laundry services  6.5 delivery, and laundry services. to filling in register form by
3192709]
High fulfillment rate for unique typing without any support
Target Customer: Current (expensive) orders, around 7-15 techniques, such as drop down
Vietnamese users, but days. list.
Foreigner potential -MLC search engine works more Customization:
customers. effective than other competitors -The Site contents are less
attractiveness due to too many
Business Types: B2B, B2C Accessibility: 5 (Average) irrelevant paragraphs.
-Middle: because it is easily -Low information quality and
Online transaction: No accessible and has properly competencies: Lack of relevant
display, no required time for information likes products’
loading the homepage. price or availability.
ISYS Internet for Business 2110 - Assignment 2 - Semester 1, 2010 – Strategy Plan
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-Limited online purchases and


revenues, usually online
generating offline Business
(Chaffey, 2007).
-No payment system and in
Level 0 of customization.
Security 3 (Extremely Low)
- Low, there is no security and
privacy payment, excluding the
avoid identifying mechanism.

Score 23/60
Van Thanh Main business: Visit times: Stickiness: 6.5 Quite high Stickiness
www.nemvant Manufacturing mattress 6,690 visitors -Hyperlinks are easily accessible. User interface is quite weak:
per month They are embedded in the top bar -There is annoying appearance
hanh.vn Website: Online Gallery
with clear font. of big flashing banner in every
and contact, then, move to
Loading times: -The hyperlink is well organized as page.
offline purchasing
2.766 the -The design of drop down list is
Line of business: mattress, second(s) -The use of drop down list in top not functional since it is white
pillow and drape. (52.184 s/Kb) bar showing sub sections is well which cannot distinguish with
organized in order. the background of the site.
Target customer: Local
Le Thi
My household customers. Faster than -Using mouse over function for
MyLinh Curtain, box of products description.
Duyen Because although the site Customization: 5 (Average)
but lower than 2
ISYS2110_A1_s has English, Chinese and others Customization& globalization: -No showing signal of online or
Vietnamese, almost
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3230346 information in the site is  7.5 -Online help through Yahoo nick offline
written in Vietnamese, the chat. -Online help is not available
other languages do not -Site designs its core proposition 24/7.
work well through delivering the message -Customers feel frustrated easily
Prestige - Quality – Innovation -- by lacking of much important
Business Type: B2C Providing the user’s guide for information such as price.
customer. Security: 2 (Extremely Low)
Online Transaction: No -Providing news about health care -No register of user name of
for customers. password required. Thus,
anyone can access easily.
-No security and privacy
system
Accessibility: 4 (Low)
-Some link labels do not have
information that customers
need (e.g. COMPANY PHOTOS
link label)
- No price list
- No online purchase
Score 25/60
Uu Viet Main Business: selling Visit times: Stickiness: 6.5 Quite high Stickiness
(http://www.u family products online in 3,840 per month -Sitemaps are linked well with -Lack of pricing information
uviet.com/) Vietnam Loading times: each other. under each product.
2.3 seconds -Online support and feedback form -The website design is complex
Line of business: are available for customers. due to many information is
(59.7s/kb)

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mattresses, bed, mouse -Having search tool. given in 1 page.


and sofa spring. Their Fastest loading -Flashing icons and banner are
products are exported to used to attract customers’ Customization: 4 (Low)
times. However,
USA, Australia, Japan and attention. -Do not have any payment
Pham Nguyen Korea and widely sold in lowest visitor -Having online purchasing. options and delivery methods.
Tu Trinh branches and retail stores times per month -Counter has provided. -The color used is almost red
nationwide. and yellow, so it is more
ISYS2110_A1_s 8.5
Customization& globalization: familiar for local users than
3192530 Target Customer: Business There are 2 language supported: foreigner users.
and family, household English and Vietnamese. -No customization and
globalization.
Website: Online Gallery
Accessibility: 4 (Low)
Business Type: B2B , B2C - There is no horizontal
scrolling mechanisms, no
Online transaction: No
twisting of objects, etc., in
different display resolutions
Security: 0 (Nothing in this
website)
-No authentication required to
login  lack of security.
-No online-virus scanner.
Privacy:
-No information provided that
personal information of
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customers is protected.
Score 23/60
Kymdan Main business: offers Visit times: Stickiness: High Security: High, without
www.kymdan.c sleeping-care products, 20,280 per -Tendency to use scrolling Transaction, hence, it is not
especially mattresses made mechanism necessary to build the
om month -Full use of Hyperlink, sitemap,
of 100% natural latex in transactional protocol or
Loading times: interface attractiveness
sponge, mousse form payment method system.
-Full information provided
2.714 Seconds -Strong visitor feedback and
Line of business: Providing online help
(57s/kb)
quality mattresses and Customization: High
pillows to beds and -Language support system
Nguyen Bich furniture. (English, German, Chinese,
Vy Vietnamese)
Target customers: -Color used for cultural
ISYS2110_A1_s Household in Vietnam and background
3175613 87 countries -Implemented almost level of
customization
Accessibility: High
Business model: B2B, B2C No requirement for loading time,
Web site displayed properly, i.e.
no horizontal scrolling
mechanism, no twisting of objects,
etc, in different display resolutions
Score 42.25/60
Everon Main business: offers Visited times: Accessibility: 6.5 (High) Stickiness: 5 (Average)

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http://www.ev sleeping-care products, 540/month No requirement for loading time, - There is only Yahoo icon for
eron.vn/ imported from Korea Loading time: 2.48 Web site displayed properly, i.e. online help, but it does not
54s/kb no horizontal scrolling work.
Line of business: Providing
quality mattresses and mechanism, no twisting of objects, - No customer feedback form
pillows Quite fast but not etc, in different display or login page.
really popular resolutions - Dead hyperlink in language,
Target customers:
Household in Vietnam (lowest visited Stickiness: and product price.
times per month) - Providing full and clear Customization &
Business model: B2B, B2C
5 information about production Globalization: 4 (Low)
process, product detail and price. - English and other language
does not work
- No export or import issues
provided.
Security: 2 (Low)
- Order by Yahoo chat, but it
does not work. There is no
privacy statement or
customer database, no
security system.
Score 22.5/60
For more specific information: Please see the attachment files.

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APPENDIX B2: KYMDAN
Usability Analysis based on
1. Treese and Stewart’s 4 ACTS theoretical model (2003)
Treese and Stewart (2003) show a four-step value chain that consists of Attract, Interact,
Act, and React: “Attract gets and keeps customer interest. Interact turns interest into
orders. Act manages orders; React services customers. The four-step chain could be
considered as a minimal model for a working e-commerce system.”
1.1. Attract:

Figure A: Reproduced from: Alexa statistics


(source: http://www.alexa.com/siteinfo/kymdan.com#)

Firstly, according to Alexa statistic and WOO rank report (see more in WOO rank report
attachment file), the Kymdan traffic rank is 605,448 globally and 5,437 in Vietnam, means that

this website gets from 1,000 to 50,000 visitors per month. Secondly, 54% Internet
ISYS Internet for Business 2110 - Assignment 2 - Semester 1, 2010 – Strategy Plan
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Marketing Effectiveness (average rate = 50.7%) lead to the result of 53 websites linked
including domestic and global ones.

2. Schneider’s Website Usability Framework (Schneider 2006)


In order to analyze the accomplishment of the user’s objectives, we use the Schneider’s
Website Usability Framework (Schneider 2006)
Factor Kymdan Website
4.Rating According to www.alexa.com, the Alexa traffic rank is 605,448 (see more in
Electronic Figure A) which is lower than many other Vietnamese competitors (as
Commerce discussed above) means that they get lots of visitors per day. However, the
Website traffic rank is still high if compared internationally such as:

www.sealy.com: 174,044
http://www.simmons.com: 155,987

See more Alexa statistic information here:


Sealy:
http://www.alexa.com/search?q=http%3A%2F%2Fwww.sealy.com&r=site_s
creener&p=bigtop
Simmons Mattress
http://www.alexa.com/search?q=http%3A%2F%2Fwww.simmons.com&r=si
te_screener&p=bigtop

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Appendix C: Customer Perspective


According to Internet World Stats (2009), Internet user in Vietnam is approximately 22.8
millions. Therefore, Mega Moon intends to gain 2% of total Internet visitors- around
450,000 visitors in the first three years.

Year/ 1st year 2nd year (100% 3rd year (50%


Quarter increase) increase)
Visitor Orders Visitors Orders Visitors Orders
s 30,000 300,000 60,000 450,000 90,000
150,00
0
Q1 (15% target) 20,000 4,500 45,000 9,000 70,000 12,000
Q2 (50% 30,000 6,750 70,000 12,000 100,000 18,000
increase)
Q3 (30% 40,000 8,500 85,000 16,000 130,000 22,000
increase)
Q4 (50% 60,000 10,250 100,000 23,000 150,000 38,000
increase)

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Demand of Internet usage in Vietnam

Source: Alcatel-Lucent 2007

Alcatel-Lucent (2007) analyzes 26% of Internet users in Vietnam are online purchasing,
approximately (26% of 22.8 millions) 5,928,000 online shopping per year. Mega Moon
intends to achieve about numbers of orders of 20% visitors, 90,000 orders for the first 3
years, included online and offline sales.

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Appendix D: Market Restructuring

In the traditional market structure, MegaMoon gets the materials such as Cotton or fabric
from suppliers and then goes to the production process: Some will be handmade; some will
be sewed and made by technology. Then, the completed pillow or cover set will be
packaged and delivered into different shop, showrooms and retailers. Finally, it comes to
the customers (parents or teenager) by direct sale in shop or distributor (Coop-mart).

However, in order to join the online operation, MegaMoon has to make the market
restructuring by applying:

Strategy Tactics
Buy side Disintermediation - Cost reduction due to the intermediate’s elimination  increase of
competitive advantages such as higher profit achievement
For disintermediation strategy, MegaMoon should:
Build a team (5 people) called Material Collector who are responsible

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for searching high-quality raw materials from different areas (via


offline and online suppliers).
However, mistakes can be occurred likes purchasing low-value
materials which affect the product quality. In order to prevent this
error, MegaMoon needs to build relationship with alliance strategic
that will assist to find and sort the most efficient materials resources.
Sell side Re-intermediation MegaMoon shops and retail agents are available in Hanoi and Ho Chi
Minh City, the main office is in HCMC only but the delivery must cover
throughout Vietnam, or worldwide (more than Singapore and China
currently) if doing online transaction. Hence, the extremely layers of
intermediaries are very important as it will help MegaMoon bring the
brand awareness into customer mind by: Search Engine (Yahoo, Google,
and Kelkoo) that can considerably boost the sales of sleeping products
over the world.

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Appendix E: Online Value Proposition


Differentiation Strategies: Formulating an effective OVP

MegaMoon can apply the Online – Marketing Mix: 7P’s (Richard, Jim & Rod 2004):

7Ps OVP
Product New service: Payment method: Credit Card and PayPal
For the Internet users who do not own the credit card, they can pay by
Cash or face to face communication after playing an order and seeing
fabulous photos from catalogue.
Providing new catalogue of product via websites and email to extent or
tailor the products based on Customization level 1. (Tool 1/Figure 23)

TYPE 1 SEGMENT TYPE 9 SEGNMENT


Product performance excellent: Price performance excellent:
customization is very reduce the cost as much as
important, so website need to possible to satisfy the customer.
be built to most comfortable for Relationship excellent: keep the
the customer to search and customers loyalty by attractive
compare the products promotion and value added.
Transactional excellent: change
payment method as well as
simplify the order process.
Price 5% discount for online transaction to encourage customer
10% discount for Loyalty (for the next third payment)

B2B:
Reduce more in retailed cost:

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- 10% for 10 packages or 20 separated products


- 20% for 20 packages or 50 separated products
- 35% for over 20 packages and 50 separated products
Place There are the physical places for cash purchases after getting the online
information about our company.
Providing information about Events, Achievement and new office of
MegaMoon in other countries likes Singapore, Korea or Thailand
Promotion Available promotion or discount in Holiday and Event (e.g. Woman day, Tet)
and take care of consumer by delivering free gifts for their baby in birthday
B2C:
- $50 gifts given for: online Purchasing whole package (including
mattress, cover sets, pillow, etc) from $300-$500
- $100 gifts given for: online Purchasing whole package from $501 -
$800
- $250 gifts given for: online Purchasing whole package over $800
Physical evidence Using the Hot-Line and Yahoo Messenger as Live Chat of 24/7 services
to physically help the consumers whenever they need.
People People can change the website customization based on their colour
favourite
Teenagers are cared as have the Hint for purchasing a gift (from
sleeping care product)
Process With support of the right e-marketing strategy likes advertising as the
electrical banner in popular websites such as TuoiTre, Kenh14, and 24h
or Teenager sites (Hoahoctro, Muctim, Sanhdieu)
Building the friendly interconnection with customers.
Free gifts, or free design consultants for the new registers.
Providing clearly purchasing instruction and Eye-catching interface and
give consumer the right to customize the website based on Colour

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favourite.
Live Chat available 24/7 and FQA to prevent the consumer confusion of
using product or services.
Doing quarterly survey of buyers’ behaviour
Establishing the promotion to attract more customers such as free
shipping, discount coupons, vouchers and free testers
Usually updated with the newest trend of interior design in order to
satisfy buyers
Support varieties of payment method such as cash or credit.
Full information of product and beautiful images available (1 products
with 2 or more photos in different corners).

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Appendix F: ATTRACT
Promotion:

A/ Search Engine Marketing (SEM):

In searching field, find out some important keys words. “81.7% viewer will change the keys
words to begin new search if the research result of original keys words is not relevant”
(Chaffey, 2007). Moreover, “the viewers only skim the research result with first three pages
before begin new search” (Chaffey 2007). Therefore, using repeated terms inside the
contents, such as ‘interior design’, ‘interior decoration’ or ‘sleeping-care’, ‘bedding’ will
help our site be easier to find and define as well as apply the Search Engine Optimization
in Google, Yahoo in order to achieve highest ranking.

Frequency of occurrence in body copy. As Chaffey (2007) noticed “a key factor in


determining the position for a key phrase” is the higher repetition in the webpage
content. Therefore, the page title and page content must be coherent and avoid
“spamming issue”. (ISYS2110_A2_G8_Handicraft)

Title HTML tag: <Title> MegaMoon Sleeping Interior Design <Title/>

Meta-tags: According to Chaffey (2007) “meta-tags are part of the HTML source file.
Meta name =”keywords” content = “sleepingcare, MegaMoon, mattress, pillow, cover
set”
The keywords should be described in Vietnamese, English and other languages which is
more impressed for customers when choosing their Mother language as easier
searching. Moreover, it should be more synonyms for 1 keyword which can make
customer feel easier to searching for a product. Moreover, keywords also included the
Color (describe in product information) as MegaMoon establish the Search Tool with
“Category, Price, Color and Keyword”

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Domain Name and URL: www.megamoonbedding.com (keywords included in URL)


Disable Back Button: To keep the customer stay in our page, Ensure retention of key
account customers: Attain soft lock-in by developing extranet facilities and continued
support from sale reps by adding the “Disable Back button” JavaScript in the Tag
Heading (Chaffey 2007)

B/ Advertising:

Buying the sponsorship for placing link to our website on search-result-page of Viet
Advertising Company and Google.com to market our company business to both
domestic and global areas.
Banner/Interactive: Mega Moon banner will be appeared in several popular news:

Size
Advertising on
Fullbanner (468x60)- Tuoitre
internet
online (www.tuoitre.com.vn)

Wide skycrapper (160x600)-


Vnexpress Online
(www.vnexpress.net)

Rectangle (180x150)- Sai Gon


Tiep Thi (www.sgtt.com.vn)

Vertical Rectangle (240X400)-


All Partners’ sites

C/ Mail- email advertisements:

Asking: Emails: opt-in, opt-out, double pt-in: During the purchasing or registration
progress, there will be a notification of our web site to ask customers whether they
want to get updated new events of our company likes new collections.

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Third-party e-newsletter: Gaining new Customers and obtaining new buyers by sending
them information when new collections are arrived or the sale –off seasons are coming.
Furthermore, customers can prevent receive letters or emails just easily by replying
‘unwanted information’. We will have a respond of ‘apologizing’ and not sending again.

D/ Online Partnership and Promotion Time

Coupons and discounts: We provide online discount coupons for each special season likes
the Weddings and the New Year and sale off campaigns for old collective by time period to
encourage purchasing power.

B2B:

- 10% for 10 packages or 20 separated products


- 20% for 20 packages or 50 separated products
- 35% for over 20 packages and 50 separated products
B2C:
- $50 gifts given for: online Purchasing whole package (including mattress, cover sets,
pillow, etc) from $300-$500
- $100 gifts given for: online Purchasing whole package from $501 - $800
- $250 gifts given for: online Purchasing whole package over $800

E/ Viral Marketing

Seeding: MegaMoon can use Yahoo Messenger or Yahoo 360 Plus to send offline message
of “Special Gift for your Valentine with Decorative Pillow” as the “virus spreading” because
Teenager seems to be attracted by stylish and gender differentiation in product design.

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Product:

- Core Product: Interior Designs & Decorations


- Actual Product: High quality, the newest trend, many
different collections for different personality such as
Modern or Classical with suitable colors.
- Augmented product:
 Payment methods: receiving cash when delivering for no credit card
customers and accepted at least 4 different bank cards, likes ANZ,
ACB, HSBC, and Vietcombank.
 No delivery cost in urban of HCM
 Fast delivery
 Free maintenance yearly
 Comfortable and lifestyle

Price:

Mega Moon offers high quality and Unique Product (see Positioning part). Therefore, the
price is acceptable high. Customers will find out that it is very reasonable price compared
with their sacrifices, for example maintenance after purchasing service. Furthermore, price
strategy including:

- For attaining and remaining loyalty customers, who always update and use the
latest collections, they will receive Loyalty Card with 10%discount. Finally, cheaper
price will be offered for the old trend design products.
- Furthermore, there is 5% discount for online purchase in order to encourage
customer go to online transaction.
- Maximize the economy of scale for B2B partner as discussed in Appendix E:
packages or 20 separated products

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20% for 20 packages or 50 separated products


35% for over 20 packages and 50 separated products

Place:

MegaMoon uses intermediaries as the distribution channels to save the location fee. We co-
operate with some of the partners who have already got distribution system and sign the
contracts with them to ensure our products are well distributed. Furthermore, there are
also the physical places for cash purchases after getting the online information about our
company.

Place strategy can be used in online such as providing information about Events,
Achievement and new office of MegaMoon in other countries likes Singapore, Korea or
Thailand in the NEWS tab of menu. So the customers can know about MegaMoon around
the world, what we have done and achieved during the core business’s activity.

People, Process & Physical Evidence:


See the OVP (Appendix E) for more discussion.
We use Frequently Asked Questions (FAQs) and Instant Message function for
customer’s communication and searching tool that allows them to seek the products
they concern.
Also Staffs who answers customers questions, as well as salesperson will be trained
professionally by provide 3 kinds of course- English, Communication skills and Art
subjects.
Deliveryman also requires to perform professionally and showing high level of
trustworthiness.

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Appendix G: Interact
Appendix G1: Information Architecture
PARTNER (Supplier & Logistic) is separately
Site Tree Diagram and dropdown-list menu:
designed, not included in the Menu bar

Logo in every page to remind


customer

Introduce about company operation, history


for consumer view so they can know who
MegaMoon is and what we are doing Dropdown list in menu must be
the same as Sitemap

Products divided into 2 targets: Baby and Teenager. However, the payment and decision
are made by Parents. It is clearly divided into 2 different ages. In each category, there are
different products: Whole set package or separate one including Mattress, decorative
pillows, etc. Hence, the Internet user can easily find their need based on obvious
arrangement of Product Type and Consumer Type.

As discussed above, MegaMoon tries to achieve the customer satisfaction by building online help and
instruction so they can easily access and use without confusion in our website. Furthermore, full information of
delivery methods will be wider choice for consumers.

In order to build the trust in customer mind about our online business

Customers have the right to know exactly about what they purchase

Not only online shopping, consumer can take time to read news about Sleeping benefits, MegaMoon
articles and current trade fair, economic changes, etc

Consumer can contact the company via Email, phone call or direct
interaction

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For customer easily checks their Cart after added product. This tab is available in Menu, so customer
can check anytime they want, not as other competitor: after play order, the “Your cart” will be
appeared at the corner which is very difficult to see
ISYS Internet for Business 2110 - Assignment 2 - Semester 1, 2010 – Strategy Plan
MegaMoon

There is no SITEMAP or PARTNER tab in the Menu list, the reason is:

- The above Tree sitemap design will be appeared in every page the Internet user click
which also can be seen as the VERTICAL navigation bar. The content of this sitemap is
consistent with the Horizontal Navigation (Menu Bar). It will present a friendly
interaction with the consumer. The product category is described in bullet point, so the
consumer will know exactly what they are searching for. Moreover, Internet user can
feel satisfied with the sitemap as they know where they are – their location in
MegaMoon website by extra CSS application (The text will change colour and bold, such
as:

to

- The PARTNER is not necessary to be in the Menu Tab, it will:


Location: place in the right-corner, under horizontal menu bar
Appearance: Small ads with image hyperlink, directly link to their website
This is the way to do Marketing as MegaMoon image hyperlink also available in
those partner websites.

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MegaMoon

Appendix G2: Design


1) Inspirational websites

Same Business Inspirational website: www.bedding.com


- Strong URL: bedding is the strongest keyword
for customer to search in Google for this type
of product and this is the first website ranking.
MegaMoon also learn from this to buy the
megamoonbedding.com domain name
- Creative Logo which represents for the Pillow
makes the Internet users think of the bedding
set (including Mattress, bedding cover, etc)
- Beautiful layout design: using the texture of
Mattress (bedding). Every design is based on
the Bedding factor.
- Each product name has keyword likes
“Coverage” or “Bed” combined with color
description “Duke Blue”. They provide full
information about product and price with the
free shipping for over $99: MegaMoon can
learn from this point
- The visitors or customers have the right to ask

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question about the product.


- There are many sizes and color for consumer
wider choice.
- Discount appear every page, in every product
to attract customer, in cleaver way as Red bold
Text, this does not disturb consumer eyes by
any “flying flash”
- Have the “Quantity” button so customer can
click to reduce or increase the quantity they
want to purchase. MegaMoon can apply this
as well.
- Customer can continue shopping or process
the order by many payment method and
services. MegaMoon do the business in
Vietnam, hence, there are only Credit card
and PayPal application.
- For the repeat purchased customers, there will
be a coupon code to get discount.

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MegaMoon

Different Business Inspirational website: www.Flowershopping.com


Although this is the different business but it has
inspiration that motivate MegaMoon such as the
Homepage design.
- Layout describes Flower – “everything is flower
here” as customer feeling. MegaMoon can
apply this strategy as well for Sleeping care
or Moon description.
- Encourage customers to purchase online by
10% discount designed in Special Banner

- Clear and detail information of product and


price. Similar to www.bedding.com,
Flowershopping also use Discount Red bold
Text, this does not disturb consumer eyes by
any “flying flash” informing.
- 2 kinds of products available and customer can
choose before clicking to the “Add to card”
(Continue)

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- Providing the Security Tool: McAfee for the


Internet users trust in their safe website
building, no virus contained.
- Clear sitemap combined with Search strategy:
Shop by Occasion, Shop for Gift, etc
- Searching tool have 5 types for consumer to
choose, based on Category, price, color, name of
flower or even they write the keyword.
MegaMoon

www.beautifulthings.co.uk
- A special marketing strategy that impress the
Internet user when looking for beautiful
items: “Gift for her” guide. MegaMoon can
try this as we also do the business of
selling decorative sleeping care to
Teenager, this kind of visitor will influence
their parents (Main target customer) to
purchase for them, or they will purchase for
their friend birthday.

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- This company also provides different Search


Tool, quick search is Keyword, and the
Advanced Search will help the users to find
the specific product that meet their specific
needs.

2) Site & Composition Design

The above 3 successful online websites with different product-business inspire


MegaMoon to establish a professional online transaction, simply attractive design and full
caring to Internet users by special services such as “Find a gift for her” or Teenager Hint for
Gift purchasing. Furthermore, the weakness and strength of Competitor Analysis are
important for MegaMoon to prevent the error, threat as building strong security system or
advertise more promotion on website without confusing customer by “flying Flash”.
However, the Site and Composition Design must be matched with the Objective set by
measuring the achievement in each Individual strategy.

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My account Login Register

Search… V
Company Address
Choose your web color

Home About us Product Instruction for Use Warranty News Contact Search Your cart
us

Flash Advertising:

Discount Information: 5% discount for online purchasing


Promotion: Up to $250 gifts available

Welcome to MegaMoon – sleeping interior design product Our communities

About us

…………………………………………………………………………………………………………
…………………………………………………………………………………………………………
…………………………………………………………………………………………………………
…………………………………………………………………………………………………………
……………………………………………………………Read more
Visited times:

New coming product Baby Sleeping Care Teenager Style

Home About us Product Instruction for Use Privacy News Contact


us
Copyright by MegaMoon @ 2010– Designed by Nguyen Vy

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MegaMoon

My account Login Register

Company Address Search… V

Choose your web color

Home About us Product Instruction for Use Warranty News Contact Search Your cart
us
Our communities
You are here Home – Product – Sleeping care for Baby – Girl Bedding Cover set
Home Discount Information: 5% discount for online purchasing
Promotion: Up to $250 gifts available
About us

Product
Product name
Sleeping care for Baby
 Baby Mattress
 Pillows and Blanket Images More images Partner
 Girl Bedding Cover Set
 Boy Bedding Cover Set

Teenager
 Mattress
 Decorative Pillow
 Stylish Bedding Cover
 Romantic Bedding Cover

Instruction for use


FAQ
Shopping guide
Customer feedback Product information: Online Help
Payment method
Deliver options Name:
Export/Import Price:
Dimension:
Warranty Information
Quality standard Materials:
Warranty time Construction: Hot line:
How to use
News Quantity What gift for her?
Contact us
Add to card:
Search
By Category/Price/Color
By keyword

Your cart

Home About us Product Instruction for Use Privacy News Contact


us
Copyright by MegaMoon @ 2010– Designed by Nguyen Vy

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Group 6 – Lecturer: Kevin Kuruvilla Page 79 of 88
ISYS Internet for Business 2110 - Assignment 2 - Semester 1, 2010 – Strategy Plan
MegaMoon

My account Login Register

Company Address Search… V

Choose your web color

Home About us Product Instruction for Use Warranty News Contact Search Your cart
us
You are here Home – Your cart Our communities

Home Discount Information: 5% discount for online purchasing


Promotion: Up to $250 gifts available
About us

Product

Sleeping care for Baby Product images


 Baby Mattress Partner
 Pillows and Blanket
Name
 Girl Bedding Cover Set ID
 Boy Bedding Cover Set Date:
Teenager
 Mattress
 Decorative Pillow
 Stylish Bedding Cover
 Romantic Bedding Cover

Instruction for use


FAQ
Shopping guide
Online Help
Customer feedback
Payment method
Deliver options
Export/Import
Add more
Warranty Information
Quality standard
Hot line:
Warranty time

News What gift for her?

Contact us

Search
By Category/Price/Color
By keyword

Your cart

Home About us Product Instruction for Use Privacy News Contact


us
Copyright by MegaMoon @ 2010– Designed by Nguyen Vy

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How it match to Objectives:

Objectives Individual Strategy Site Design match


Increasing: With support of the right e-marketing strategy likes adverting as Yes, hyperlink to Kenh14 as
- Online Market the electrical banner in popular websites such as TuoiTre, representative (above

share Kenh14, and 24h or Teenager sites (Hoahoctro, Muctim, design) at the right column
Sanhdieu)
Using social network likes the FaceBook and Twitter as one of Yes, FaceBook and
the main communication tools Twitter’s image hyperlink at
- Customer’s
“Our community” (right
acquisition rate
column) in every page
Building the friendly interconnection with customers + teenager Yes, the layout will be
- Customer Gift Hint designed which is related to
retention rate Sleeping care or bedding as
3 inspirational websites

Teenager Gift Hint available


Ensure retention of key account customers: Attain soft lock-in by This will be in the Website
developing extranet facilities and continued support from sale building process
reps by adding the “Disable Back button” JavaScript in the Tag
Heading (Chaffey 2007)
Increasing Providing clearly purchasing instruction and Eye-catching Yes: “Choose your web
Customer interface and give consumer the right to customize the website colour” is the way to give

satisfaction index based on Colour favourite. customer a right to


customize our website
based on their colour
preferences (at the right
top corner)
Provide additional services such as Live Chat available 24/7 and Yes, Yahoo Messenger at
FQA to prevent the consumer confusion of using product or the right bottom corner
services.

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Doing quarterly survey of buyers’ behaviour


Based on the Customer
Feedback (in Menu bar)
Establishing the promotion to attract more customers such as Promotion banner and flash
free shipping, discount coupons, vouchers and free testers advertising (top – centre of
website)
Usually updated with the newest trend of interior design in At News and New coming
order to satisfy buyers Product announcement in
the Homepage
Support varieties of payment method such as cash or credit. See in appendix H &
Extension part.
Full information of product and beautiful images available (1 Yes (see in design)
products with 2 or more photos in different corners)
Available promotion or discount in Holiday and Event (e.g. Yes but will display before
Woman day, Tet) and take care of consumer by delivering free Holiday and Event about 1
gifts for their baby in birthday. week, and valuable after
Event & Holiday 3 days.
Brief information of export and import rule, delivery options In Menu bar/ There will be
and list of country exported. 1 page for this issue.

Objectives Individual Strategy


Reduce EProcurement The “Add more” button in Shopping cart is designed to help Yes
lead time customer to come back the product’s catalogue (Menu). Then,
the user wants to select more products to buy, just add them into
shopping-cart and confirm what they actually want to purchase.
Reduce Delivery lead Using reliable logistic firm such as TNT and DHL. Building the Yes – image hyperlink so
times relationship with specific foreign logistic firm in each country customer can directly go
MegaMoon export so it will be easily deliver products into right through these sites.
customer at the right time.

Online Error and By building the effective online transaction system and use Yes
Accident Rate Access to save customer databases (ordering and time of

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delivery) by IT expert
Update every time the customer play the order and payment Yes (see in Shopping Cart)
method, immediately work with the production and sale & Contact Us
department to deliver right products to the right place.
Use Email/phone call confirmation before delivery.
Objectives Individual Strategy
Increasing the revenue Yes
contribution from See more detail explanation in the whole strategy plan.
selling online & offline
Saving Cost
Objectives Individual Strategy
Improving the quality Frequently changing the website background based on the Yes, because the products is
of the website occasions viewed and visited most by
Creating more attractive functions such as Flash, video and young people, therefore the
voice consultant site layout will be changed
Establishing IT and Design departments under Holiday such as Tet,
Valentine

Employee Yes
Development See more detail explanation in the whole strategy plan.

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Appendix G3: Usability


The website is usable as we will discussed based on the Nielsen’s usability heuristics:
“Usability is a quality attribute that assesses how easy user interfaces are to use”, Nielsen
(2009) said in his newest Fundamental Guidelines for Web Usability. There are 6 elements
of quality metric will be used to apply:

Elements MegaMoon
1.Loading Speed Use simple flash of image animation to attract customers by
beautiful images of products and promotion.
Prevent the loading page; it must be less than 2 seconds.
As Nielsen statement in 1997: “quick response and fast access are
important for websites nowadays” as the user does not have time to
wait for a website with long loading speed of heavy flashes because
their almost major objective is Product Searching.
2.Attractiveness Building the website design with professional interaction with
customer
More than 2 languages
Beautiful flash and Teenager Hint for Gift Purchasing
Achieve the high rank in Google Search engine by implemented
the marketing strategy in ATTRACT
3. Security Web site expires after a pre-defined amount of idle time
Building the payment system PayPal and Credit Card by
collaborated with famous banks (in REACT/EXTENSION part)
Providing the Privacy statement to customer after they play an
order or online purchase that “Your information is saved in our
database with the secured and respect. There will be no Third
party login your account and information”

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4.Transaction Building the Instruction to help customer know how to do online


transaction in this kind of product as MegaMoon is the first
volunteer in this market
Available payment methods and delivery options as well as
export and import term requirement.
Still keep traditional way for customer who does not have credit
card to purchase by cash
5.Searching Searching by category, color, price and keywords are established
during the website process, on Meta Tag or heading tag.
Keywords are translated into different languages as well and
should have the synonym for customer easy catch their needs.
Using the Search Engine Optimization to rank the website URL
on Google, Yahoo to be more popular as customer almost enters
on the first 3-5 pages appear when they found a shop or
product. (ATTRACT)
6.Navigation Consistent structure make the website easy for customer use
and find information
The Navigation: The website content including Text and Images,
therefore, the loading speed is less than 1s/page click
There are Horizontal Menu and Tree sitemap available so visitor
can know their location.
“Back and next” page features/button is established to prevent
“many information” in 1 page.

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Appendix H: Transact
Choose products & add
Tend to buy Log in to shopping cart

Visitor
s Not tend to buy
Select payment method

Credit Card/ PayPal Cash

Fill in card
information Delivery

Achieve

Card
checking
Failed

Figure 2: Mega-Moon Transactional Model

Below is the Transaction Step explanation based on the Consumer Behavior Decision
Making Process:

 Problems recognition: Family, especially Parents want their baby have a special
sleeping care product, which is totally for Girl or Boy as well as the Teenager who always

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would like to show up the differentiation need a beautifully specific design for their
bedding room.
 Information search: Consumer can go offline business, but here we discuss in
Online Business. Teenagers have surfing and online shopping habits during their free time,
hence, they can use the Search Engine like Google to search for “Special Drapes” or “lovely
pillow” as well as their own experience. Family target such as Parents, especially Mother
can also do online shopping or by word of mouth, from external sources (friends,
newspaper) to have more information about choosing a sleeping product company.

 Evaluation: The Internet users then come to visit the MegaMoon website, evaluate
the product images and information, compare the price and quality with others
competitors and then tend to purchase or not. If they are interested in MegaMoon goods,
they will add to the Shopping Cart. They can only play the order or make the actual online
transaction by clicking the “Purchase” button

 Purchasing: The online payment is designed as above. There will be 3 payment


methods: Credit card, PayPal and Cash (online order and cash payment by face to face
interaction) because almost Vietnamese consumers do not have the Credit card
meanwhile, the international Internet users are familiar with PayPal and Credit Card. If
they choose CASH so the Email will go to their Inbox as Confirmed letter – The delivery
of goods will automatically sent to you (fee charged differently overseas and
domestically based on distance). The customer will directly pay the money to the
delivery-men. On the other hand, if there is the Credit Card or PayPal, please see the
REACT/EXTENSION for more information.

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 Post purchasing: after purchasing perfume, customers still tend to worry about
their decisions, tastes, quality and prices of the products that they have bought. Hence, we
post positive comments under each particular product. Moreover, articles which
complement any particular product would be sent to people who used to buy that product.
We do these two activities with the purpose of making customers feel secure.

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