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Marketing
Lecturer: Mr. Pakawat Kietisaksopon
MARKETING PLAN
GROUP 2
Vietnam is a tropical country with too much heat and sunshine. Moreover, the air
in Vietnam is so polluted. Therefore, skin of Vietnamese people usually is greasy and
dirty. Greasy and dirty skin could cause acne. Thus, products for preventing and treating
acnes are welcomed in Vietnam.
There are many products for preventing and treating acne in Vietnamese market.
However, our group only focuses on the product “Acnes UV Tint Cream” because it has
new features such as: preventing acne, make up, preventing bad effects of UV ray on
skin, and creating healthier skin. We believe that this product is very suitable for
Vietnamese people because of its good quality and affordable price.
Rohto pharmaceutical company was established in 1899 with the first name is
Shintendo Yamada Anmin (‘Company History’ 2004). Its first product is a kind medicine
which is related to the digestion treatment with brand Ikatsu (‘Company History’ 2004).
This website states that Rohto has widened their business in 5 continents over 100 years
old. Until now, they have developed 11 branches all over the world and their products are
sold widely in 120 countries (‘Company History’ 2004).
1.3 Microenvironment
1.3.1 Competitor
There are two kinds of competitors of Acnes. However, Acnes seems have only
direct competitor in Vietnam market. They are: Clean & Clear, Nivea, Biore, Hazeline,
Pond’s, etc. These companies all have anti-acnes cream products in Vietnam market, so
they will compete directly with Acnes. Furthermore, they offer similar products such as:
facial wash for anti-acnes, powder for anti-acnes and preventing UV ray. Although these
products are substitutes, they still get customers from Acnes. Thus, Acnes must care
about this problem.
Those competitors are known with a good reputation about cosmetic products
such as: facial wash, whitening cream, body lotion, etc. Therefore, Acnes will have
advantages about the reputation because Rohto is famous brand name with the slogan
“Rohto – The world of healthy and beauty” (‘Company History’ 2004). However, these
competitors are building their reputation by giving many advertising and promotions to
attract customers.
In the past, people did not care much about skin care; especially how to protect
their skin from acnes. Nowadays, this behaviour has changed. There are many factors
which affect the behavioural buying of customers, but the knowledge and higher income
are one of the most important factors. When people have good knowledge about health,
they will know the importance of skin care. Moreover, people’s income has been
increasing. Hence, they will care about their health, especially skin. They will need
products for skin care. Furthermore, the percentage of middle class will hold more than a
half of the population in the future (Figure 2). Therefore, Acnes is a skin care product
which is suitable for middle class.
Rohto tries to make their products are available widely, so customers can buy
products easily. Acnes is distributed widely in supermarkets. For example: Coop Mart,
City Mart, Metro, etc; in skin care centre and most of pharmacy.
1.4.1 Demographic
The key demographic trends are population growth, changing structure age and
better educated (‘The marketing environment’ 2005). Although the birth rate has been
reduced recently, the population still increase in Vietnam. Moreover, the large percentage
of population is young (Figure 1). This is the target market who Acnes concentrates to.
Also, when people have better educated, they will care more about their health. Young
people are reaching the age of puberty. They will have a problem with their skin. Their
skin will be greasy and acnes are easily to occur if they do not know how to take care of
their skin. When they are aware of this problem, they will find out the method to protect
their skin.
1.4.2 Economic
The income growth structure has been changing in the next few years. People’s
income has been increasing and the percentage of people who have average income (4-
7million VND) will hold more than a half of the population (Figure 2). This is the target
market of Acnes.
Source: AC Nielsen
Acnes also focuses on the urban consumers because the income is distributed
skewed in Asia. There is a difference between urban and rural consumers. The income of
urban population is usually higher than rural people (citation).
1.4.3 Technological
Vietnam is a tropical country with a lot of sunshine and heat. Moreover, the main
transport of Vietnamese is motorbike. Thus, when people go out with motorbike, it is
hard to prevent their skin from the damaging of UV ray. It makes skin is darker and acnes
situation is more serious. However, all of people want them are more beautiful.
Therefore, Acnes UV Tint Cream is a product which can satisfy all of their demands. It is
a cream for making up. It makes people more beautiful. Also, it has the ingredients which
make the skin more whitening, anti UV ray and anti acnes.
1.4.5 Natural
Acnes are not only caused by inside factors, but by outside factors also. One of
the important factors is the increasing of air pollution. According to Dr. Doan Canh, air
pollution will make more serious problems for people who are living in both inside and
outside the city (‘Suburbs bear brunt of the Ho Chi Minh City pollution’ 2000). When
people reach the age of puberty, their skin will be greasy and acnes will be easy to
happen. In addition, when they go out, dust will make the acnes situation more serious if
they do not know how to protect their skin. Hence, Acnes UV Tint Cream is likely a
mask for users when they go out to protect their skin from air pollution.
2 SWOT Analysis:
2.1 SWOT Analysis
• Strengths:
- Rohto Pharmaceutical Company Ltd. is a big firm, which has well reputation for
over 100 years around the world.
- Be a popular brand name in Vietnam and specialized in skin care products.
- Offer product in set to complete functions of treatment - ACNES Skin care Acne
Treatment Kit.
- Offer multi – functional product
• Weaknesses:
- The price is quite high (48,500 VND / tube/ 30g), compared to the competitors.
- Poor advertising campaign and can not gain attention.
• Opportunities:
- Have more potential customers because the average age of puberty of teenager
nowadays is getting younger and sooner
- Target customers are teenagers and students. They really care about their
appearance.
- The rise of their demands due to the increasing of income.
- Increase the demand of protecting skin because of UV light and air pollution in
Vietnam.
• Threats:
- Vietnam joined WTO in 2006, there will be some foreign companies come to
Vietnam and compete with Rohto.
- The rise of inflation rate may affect the ability to purchase of target customers.
- Compete with other domestic competitors.
_ Be easier to use and more convenient for customers when having both functions:
protect skin from UV light and prevent acne just in one tube of Acnes UV Tint Cream
instead of using two different products.
2.2.1 W-O Strategies:
_ Target customers probably have more abilities and are willing to pay money to buy our
product (48,500 VND / tube/ 30g).
_ Push the promotion strategies more by focusing on the demand of caring skin of target
customers.
_ Rohto’s reputation and brand name have a prestigious stand in customer’s mind
although when Vietnam joined WTO and lead to the increasing of foreign competitors.
Geographic
Acnes focuses on Ho Chi Minh market. The population in Ho Chi Minh City is
approximately 8.5 million and the density of population is also higher the other places
(2090 person/km2) (The Population and Population density, 2006). Furthermore, Ho Chi
Minh City locates on the South region that is tropical climate. This climate is appropriate
with our product is anti sunlight. Thus, this city is also potential market and approachable
markets with the huge customer.
Demographic
Acnes targets people from 13-25 years old because they usually takes care more
their skin to prevent spot and UV than other ages target. In addition, company
concentrates on the female consumer who pays attention on beauty. Besides, Acnes
product is a medium price. Hence, firm tends to the people who have the income
between 4-7 million VND per month. Finally, Acnes also attends to the young people.
Specially, teenager and student from school who are pubescence have significantly in the
Ho Chi Minh population. Moreover, the white collars who work in the office use Acnes
UV tint Cream like face powder as well as skin care to be more confident in daily
communication. These are the main segmentation to sell.
Psychographic
Almost Vietnamese people use motorbikes as main transports. Thus, their skin is
harmed by UV light and the environmental pollution. Moreover, Acnes focuses on the
active people who work outside, like to go out or athletes. They usually use it like sun
cream to protect skin as well as cosmetic to make them more attractive in the sunlight.
Acnes product also is antibacterial and antiphlogistic to prevent their skin from the
environmental pollution.
Behavioural
Acnes are skin care products; hence, company would like to segment customer
with regular use. Consumers tend to use our product frequently in the morning and
evening. They can use to make up and make them more attractive in their daily life at
school, at work or going out. Furthermore, they will consume more Acne in the summer
seasons because it is the travelling time and they attend to more outside activities. Acnes
product is also one kind of sun cream to aid them more confident in the sunlight without
hates and overcoat. In addition, in Vietnam, a lot of close substitutes product of acnes
such as Kaila, Ponds and so on; thus, the loyalty is medium and maintaining the customer
and attract the potential customer.
4.3 Positioning
With the slogan: “with Acnes, you like to look at yourself” the Acnes occupies in
consumer’s mind an imprint as aiding more beauty and attractive with protection and care
skin (Quảng Cáo, 2004). Company applies the concept of “more for the same
“positioning for our products. Firm also provides comparable quality but at a lower price
than their competitor. In particular, Acnes and L’Oreal have approximately the same
price but the Acnes product has more uses than Essance such as antibacterian,
antiphlogistic, anti sunlight and protects skin as well as make up. In addition, customer
supplies the free consulting service and more promotion. This product attends to various
customers with the different demand; hence, customer willing to pay the cheaper price
with the high quality and more free service.
Position map
Customer
Brand Logo Price (10g) Quality
service
Acnes 16,200 7 10
L’Oreal 22,000 9 5
Essence 4,250 5 6
Oriflame 43,000 10 5
Kaila 8,800 6 9
E 100 3,000 3 4
Hazeline 7,000 5 7
Ponds 30,000 9 8
Biore 3,600 4 8
Image differentiation
Rohto has a high reputation in Vietnam market over 100 years with motto
“ health and beauty care”
Build a brand around a famous person such as singer, model and actress
Channel differentiation
Strong support for retailer and wholesaler such as supermarket and pharmacy
store and cosmetic shop
Awards for retailer and wholesaler that have a high sale volume
Service differentiation
Provide free consulting service by website, hot line telephone, consulting and
taking care skin centre.
Warranty for the customer when they are allergic with Acnes product
5 Product Strategy
Acnes is a kit, which treat pimples, from Rohto. It helps people, especially girls,
has a healthy skin.
Product Description
Core Treating pimples and protect skins from sunshine.
Benefit
Quality High quality
Actual • Antibacterian: Isopropyl Methylphenol sterilizes bacterium
Product in pore.
•Antiphlogistic: Stearyl Glycyrrhetinate reduces the swells and
inflammation by acnes.
•Protecting skins from sunshine: SPF 30 and PA++ helps skins
and acnes to avoid threats from sunshine.
Features •Vitamin E & B6 balance the moisture of skins and help the
skins smoothly.
•Make up: suitable to skin colour, use to hide lacunas, absorbs
oil.
Branding •Strong brand name has the prestige in Vietnamese market.
•Rohto, the brand name of their Parents Company has one of
the biggest reputations about personal care all over the world.
Package • Nice design: the Rohto brand and image of the Parent
Company and the “Acnes UV Tint Cream” are in the middle of
the box.
Augmented • Informative website
Product Providing information about Rohto products in Vietnamese
language.
Consulting the consumers about skin care such as how to
make up, regimen, sport activities, etc.
Many promotional events on the website.
Rohto cares much about customer services. To get more market share and satisfy
customer needs, the company is going to take care all of customers, who use or do not
use Acnes. This is a good strategy of Rohto to attract more customers. Customer Care
Service will always listen and respond to customer opinions in order to serve better and
more develop in the future.
6 Pricing Strategies
Rohto applies the fixed price for Acnes. Cost-based pricing is a suitable strategy
for the company. Customers will know the quality of Acnes through prices. It does not
mean that we will set high price. The price is totally acceptable. Acnes have a little bit
higher than competitors.
Rohto also adjust the prices for various customers’ differences and changing
situations. There are some strategies about price adjustment:
• Product line pricing: in the future, Acnes UV Tint Cream will have
more features or functions to serve customers. Therefore, the price
will increase. The company sets the price which customers can
affordable but as high as Rohto’s quality. To illustrate, Acnes UV
Tint cream will have SPF 15 to protect skin from sunshine more
effectively in the future.
• Product bundle pricing: in this step, Rohto combines many products
in Acnes to be the ‘Acnes Collection’. It helped customers to pay
with a lower price but having full products from Rohto. The
collection can include: Acnes Medicated Foaming Wash, Acnes
Medicated Creamy Wash, Powder Lotion, Sealing Jell, etc.
7 Promotion
Acnes UV Tint Cream is a new product in the set of ACNES Skin care Acne
Treatment. So, it needs a big campaign of promotion to push the unit sales more. Among
the five major promotion’s strategies, Acnes Team just focuses on the three strategies:
Advertising, Sales promotion and PR. In the sales promotion, Acnes concentrates to use
the consumer promotion tools such as Samples, Premiums and Price Packs. Moreover,
Acnes also uses trade promotion tools to offer some Discount and Allowance for
wholesalers and retailers to stimulate their demand for Acnes’s product and build a good
relationship with them. The specific discount will base on the following table.
Discount
Quantity (tubes)
Within 3 months More than 3 months
>= 400 10% 8%
200 – 399 6% 7%
100 – 199 3% 4%
< 100 1%
In general, Acnes team uses both tools for our promotion strategy but we want to
focus more on the consumer promotion tool than the trade promotion tool because Acnes
wants to propagate the good image and quality to consumers actively and affect
customer’s behaviour to buy more. Thus, Acnes team would rather use the Pull strategy
than the Push strategy.
7.1 Advertising
The aims of advertising are to attract target customers attention, raise the brand
awareness about our product and its effective functions. Thus, the advertising strategies
would focus on TV, magazine, newspaper, website and hoarding, which all can reach
huge target audiences.
o TV ads:
TV ads is the most effective media tool because it can make customers more
impressive with the artful use of visuals, print, sound and colour. Especially, with the
teenager, they are often interested in the great advertising songs. If Acnes makes a good
advertising and choose the right time and right channels, Acnes’s advertising would be
more popular and gain the attention of customers. Thus, Acnes will advertise on the most
popular TV channels of Vietnam such as HTV (7, 9) and VTV (1, 3, 6) on the prime
time, after school finished (11:30 am and 5:00 pm) and after the fashion shows, music
shows, game shows.
• First period: from June, 2008 to December, 2008, broadcast on 7 days/week,
20s/time, the specific time are presented in the blow table.
TV Channel
Broadcast HTV7 HTV9 VTV1 VTV3 VTV6
19:00pm 20:30pm 12:00am 21:00pm 16:00pm
Time 17:00pm 11:30am 21:00pm 18:00pm 8:00am
TV Channel
Broadcast HTV7 HTV9 VTV1 VTV3 VTV6
18:00pm 21:00pm 12:00am 21:00pm 16:00pm
Time 20:00pm 11:30am 21:30pm 18:00pm 20:30am
Size Time
Tuoi Tre ½ page (21cm x 28cm) Tuesday, Thursday, Sunday/week on 6, 7 and
8/2008.
Thanh Nien ½ page (21cm x 28cm) Monday, Wednesday, Friday/week on 6, 7 and
8/2008.
Phu Nu ½ page (21cm x 28cm) Tuesday, Thursday, Saturday/week on 6, 7 and
8/2008.
Muc Tim 1 page (15cm x 24cm) Monday/month on 6/2008 to 6/2009.
Hoa Hoc Tro 1 page (15cm x 24cm) Tuesday/month on 6/2008 to 6/2009.
VTM ½ page (15cm x 21cm) Wednesday/week on 1, 2, 3/2009.
2! ½ page (15cm x 21cm) Tuesday (twice a month) on 4, 5, 6/2009.
o Websites:
These days, young people tend to use Internet everyday in studying and
entertainment more and more. Teenagers and students often study, listen to music,
watch movies, go shopping, make friends and read news about the celebrities or
fashion by Internet. There are a lot of websites which are their favourite and popular
addresses such as Yeuamnhac.com, hihihehe.com, mp3.zing.net, 24h.com.vn,
ngoisao.net. These websites have a huge amount of page views everyday. So, by
putting flash banner on these websites (24 hours/day and 7 days/week), Acnes
product’s image could approach closer to the target customers, they will have more
awareness and information about Acnes’s product. Moreover, besides this
effectiveness, the cost of advertising on websites is also not really high. The detailed
time of advertising is presented in the table below.
Websites Month
Yeuamnhac.com 6, 7, 8/2008
Hihihehe.com 9, 10, 11/2008
Mp3.zing.net 12/2008 and 1, 2/2009
24h.com.vn 3, 4/2009
Ngoisao.net 5, 6/2009
o Hoardings:
Hanging big hoardings on the high buildings is also a good way to attach the
target customer attention when they driving on the street. Acnes team will focus on
the big streets which are near from the high schools or universities such as Nguyen
Thi Minh Khai, Le Qui Don, Le Hong Phong and Tran Hung Dao Street on
June/2008 to June/2009. To make the advertising more attractive, the hoardings
should have some special designs, good effects and colorful lights. They will be more
outstanding and can give a good impression to customers.
Sales Promotion
Firstly, in October, November and December of year 2008, Acnes will produce
and distribute the samples of Acnes UV Tint Cream at high schools, universities and
supermarkets where our potential customers frequently come. The weight of sample
could be 3g / bag and we might produce 100, 000 samples. With these samples, Acnes
offers the opportunity for customers to try and test our product. Acnes believes that
customers could be persuaded by its effectiveness and good quality, and the demand can
increase.
Besides, on 11/2008, Acnes also will establish the Promotional Month Premiums
that when customers buy Acnes’s product: one tube of Acnes UV Tint Cream, they can
get free one Acnes Oil Remover or one Acnes Facial Cotton Pad. These attached gifts are
really useful and necessary in skin caring process. Thus, customers will feel to have more
benefits when purchasing Acnes’s product.
On 6/2009, Acnes will make the promotion Price Packs by offering consumers to
save off the regular price of product. Consumers can buy two tubes of Acnes UV Tint
Cream which are packed in one set with the cheaper price 70,000 VND instead of 96,000
VND as usual. By this way, Acnes can attach target customers to buy more and increase
the sales. With the current customers, this discount could be the appreciation for their
buying our products and we can increase the brand loyalty. With the potential customers,
it is the chance to foster and encourage them to try Acnes’s products.
7.2 Public Relations
From 9/2008, Acnes team will organize the Skin Caring Festival at the high
schools include Nguyen Thi Minh Khai, Le Qui Don, Le Hong Phong, Nguyen Thuong
Hien, Hung Vuong, Vo Thi Sau high school in Ho Chi Minh City to help and give some
consultation about skin caring and acne treatment, especially the skin in puberty age. In
this festival, the pupils can get a chance to know what type of their skin, information
about acne treatment and prevention and share the secrets together to can get the beautiful
skin.
Besides, Acnes also plans to save a part of budget for being the sponsor of some
competitions for teenagers such as music or fashion competition if Acnes realizes it has
future potential to promote Acnes’s brand. By this way, Acnes could build a product’s
image that our company does not only think about profit, Acnes also cares to our
customers’ life style and interest. Acnes offers to them a helpful opportunity to can
present their strength, relax after school and learn from each other.
Retailers
Acnes
Manufacture Customers
r
Wholesalers Retailers
Place
• Acnes Manufacturer: Phu Thai Group is a limited liability company that is
exclusive provide for whole country.
Address: 186 Truong Chinh , Dong Da, Ha Noi.
Phone: 04. 5659082, 0903495505
Distribution
• Wholesalers: Metro Cash & Carry, An Dong Market,
Binh Tay market, Dermatology Hospital.
• Retailers
8 Reference list:
‘Acnes - Sản phẩm chăm sóc da, ngăn ngừa và trị mụn của Rohto mentholatum’, Dien
dan Doanh Nghiep, viewed 12th May, 2008,
<http://www.dddn.com.vn/Desktop.aspx/Sieu-Thi/GioiThieu-SanPham/Acnes-
San_pham_cham_soc_da_ngan_ngua_va_tri_mun_cua_Rohto_mentholatum/>
‘Population and Population Destiny’ 2004, General Statistics Office of Viet Nam,
Statistics Documentation Centre, viewed 19 April, 2008
<http://www.gso.gov.vn/default_en.aspx?tabid=467&idmid=3&ItemID=6173>