KẾ HOẠCH TIẾP THI UNILEVER

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KẾ HOẠCH TIẾP THI   UNILEVER

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UNILEVER VIETNAM MARKETING DEPARTMENT MARKETING PLAN FOR OMO DETERGENT POWDER CONTENTS ACKNOWLEDGEMENTS I wish to acknowledge many individuals whose have instructed and supported in the completion of this plan Special thanks to Dr Dung Tran for his complete support with many valuable lessons, suggestions and weekly advice on how to write a marketing plan Besides, his weekly reminders really gave pressure as well as motivation for the completion of this plan Finally, I would like to extend my thanks to all of my friends for their advice and support during the time I was working on this plan LECTURER’S REMARKS LIST OF ABBREVIATIONS UVN: Unilever Vietnam PR: Public Relation CEO: Chief Executive Officer P&G: Procter & Gamble ACN: A C Nielsen Company (marketing research) TNS: Taylor Nelson Sofres Company (marketing research) SWOT: Strengths, Weaknesses, Opportunities, and Threats CSR: Corporate Social Responsibility R&D: Research and Development CPI: Consumer Price Index FMGC: Fast Moving Consumer Goods MOET: Ministry of Education and Training TVC: Television Commercial HCMC: Ho Chi Minh City TOM: Top of Mind LIST OF TABLES AND FIGURES Tables: Table OMO product Portfolio Table Population of major cities in Vietnam Table Price comparison between OMO and Tide Figures: Figure Marketing mix elements (the 4P’s) Figure Five levels of product by Kotler Figure The Extended Marketing mix (7Ps) Figure Detergent market share in Vietnam (2009) Figure Product Mix of OMO Figure Distribution network of OMO Figure TVC –White Clothes for Bright Futures Figure TVC – OMO Stain removal expert PART I: EXECUTIVE SUMMARY An important objective of this plan is to understand and learn how to evaluate the role of Public relations (PR) in marketing mix strategy of a company In this plan, the PR activities of Unilever Vietnam (UVN) for OMO detergent powder was used as a case study for analysis In the second part, I’d like to present an introduction of UVN and provide an overview of OMO brand - the core object of the analysis- and its position in the market Furthermore, this part may help the readers know how strong or weak the brand is; and what opportunities, threats may come to the brand In the third part, the company’s main strengths and weaknesses and the main opportunities and threat facing OMO detergent powder will be identified In the fourth part, we define the company’s objectives in the areas of sales, market share and profits, and the issues that will affect these objectives Part five is going to discuss Marketing Strategies and Action Programs for OMO Part six will forecast the budget and the expected financial outcomes from the plan Finally, in the last part, we will see how the progress of the plan for OMO brand will be monitored Page PART II: CURRENT MARKETING SITUATION An overview of Unilever Vietnam and OMO detergent powder 1.1 About Unilever Vietnam: Unilever Vietnam is a subsidiary of the Anglo-Dutch Unilever Corporation, one of the world’s leading suppliers of fast moving consumer goods in foods, household and personal care products with a presence in more than 150 countries Unilever started operation in Vietnam in 1995 with a total investment around US$120 million in companies: Lever Vietnam - specializing in Home and Personal Care products and Unilever Bestfoods & Elida P/S - in Foods, Tea and Tea-based Beverages Since its establishment, Unilever’s wide range of products such as OMO, Viso, Sunsilk, Clear, Lifebuoy, Lux, Dove, Pond’s, Close-Up, P/S, Lipton, Knorr have not only met the needs of Vietnamese consumers but also gained leading position in the categories which they compete Unilever Vietnam has developed an extensive national network of more than 200 principle distributors and over 400,000 outlets nationwide by 2008 The company directly employs more than 2,000 people and indirectly creates nearly 6,000 jobs via its local business partners such as suppliers, distributors and third party contractors (*) Since 1995 to date, Unilever Vietnam has always achieved significant double-digit growth each year In April 2010 and April 2005, the company was honored to receive the President of the State's First rank Labour Medal and Second rank Labour Medal respectively for its excellent business performance and contribution to the development of Vietnam In April 2000, Unilever Vietnam received the Prime Minister’s Award for its excellent business performance and contribution to many social and charity activities and community health and education projects Unilever Vietnam is committed to helping people feel good, look good and get more out of life with brands and services that are good for them and good for others We will inspire people to take small everyday actions that can add up to a big difference for the community We will develop new ways of doing business that will allow us to grow while reducing our environmental impacts (*) Source: Exploring_the_Links_between_International_Businesses_and_Socioconomic_Development_of_Vietnam_A_Case_Study_of_Unilever_Vietnam_(2009) 1.2 About OMO 1.2.1 Overview Page OMO is a brand among homecare products of Unilever Since its first day back in 2000, through delivering the simplest and most efficient laundry, OMO is contributing to cleaner and happier Vietnamese lives Following information will provide us a closer view of OMO 1.2.2 Product Portfolio: OMO Product Portfolio OMO bleach OMO comfort OMO packshot handwash OMO packshot matic front load OMO top load Table OMO product Portfolio 1.2.3 Market segmentation: a) Target market: Initially, OMO targeted middle- and high-income consumers market Later, with a commitment to bring the best benefits to customers’ lives, Unilever and OMO are trying to reduce production cost and lower its prices to meet the demands of customers with low income in rural and remote areas b) Defining business market: Detergent washing power, targeting to provide good washing quality detergent powder c) Segmentation method: Page Unilever segments its market for the brand OMO by population and geography, based on the following variables: 1) Density/Dimension Scale: OMO mainly covers cities and large towns throughout the country since this is an attractive market with high profitability The population densities in these areas are relatively large, and the demands there for washing products are higher than in rural areas Unit: Persons Year – 2009 Population : HCMC Hanoi Da Nang Hai Phong 7.162.864 6.451.909 887.435 1.837.173 5.968.384 2.644.536 770.911 846.191 Urban 1.194.480 3.807.373 116.524 990.982 Rural Table Population of major cities in Vietnam (Source: TNS Census 2009) 2) Age group: People younger than 18 years old not care much about brand name, quality of detergent powder because they not often laundry works Therefore, target customers of OMO are people aged 19 and older as they are usually the main decision makers of detergent powder brand for their household Besides, they also care much about reputation and quality of detergent powder brands 3) Household size: OMO is interested in extended families with or generations living in the same house The larger the household size is, the more products it consumes 4) Occupation: High or stable income jobs such as office executives, doctors, etc Besides, OMO also aims at people working in environments that are easy to get dirty like mechanic engineers, building engineers 1.2.4 Key facts:  Largest brand in Vietnam  Has around 60% share of the Vietnamese detergent market  Most highly recognized brand in Vietnam, 2005 (ACN Omnibus)  98% of Vietnamese households have tried OMO at least once (TNS Consumer Panel)  The brand is still only 10 years old in Vietnam PART III: SWOT ANALYSIS Page - Living standard of Vietnamese people is improved year by year, and now many people are able to own washing machines for household use Thus, the market share of detergent powder for washing machines will expand for all competitors, including OMO - Vietnamese people primarily live in extended family (2 or generations live together), this is still a great consumption channel for OMO Threats: - Facing stiff competition with P&G’S ARIEL & TIDE, as ARIEL is coming up with constant innovative techniques - Increasing inflation and CPI due to the increase of oil & petrol price make consumers tighten their expense, leading to a downgrade in FMGC products, including detergent powders They tend to purchase products with acceptable quality and reasonable price while OMO’s price is still considered more expensive than other brands Key competitors & Position in detergent washing powder market: Currently, there are various detergent powder brands of different manufacturers in Vietnamese market Thus, the competition to gain a larger market share in this industry is very harsh in the market The key competitors in this competition include such brands as Tide, Vi Dan, Surf, Viso, etc Of these brands, Viso and Surf live in the same home with OMO as they are products of Unilever Therefore, only Tide is direct competitor of OMO because other brands either belong to a different market segment or are not strong enough to compete with OMO After entering the detergent market in Vietnam, OMO has built credibility in customers’ consciousness as high quality detergent which resulting in 60% market share against its competitors, especially Tide (P&G) At present, OMO is the largest detergent powder brand in Vietnam Figure Detergent market share in Vietnam (2009) Page PART IV: OBJECTIVES AND ISSUES 1.1 Achievements:  PR activities of OMO have achieved great communication effectiveness The public relations activities have implemented on a large scale and have achieved great communication effectiveness The activities have made the image of OMO now is not just a normal consumer product but attach with the image of caring and sharing Thanks to effective PR programs, OMO has created a move in brand positioning to be a community – oriented brand and "burned in the minds of customers.” 1.2 Objectives Unilever Vietnam must achieve the following objectives it has set for PR programs of OMO detergent power  Providing information positively and effectively about product quality in significant events via mass Medias  Achieving a wider promotion of the positive roles, the needs of using OMO washing powder in daily life  Positioning OMO washing powder at a higher level, the level of a prestigious and community-oriented brand in customers’ minds  Positive contributions to the society The PR programs have really brought practical benefits to society The CRS programs have helped many disadvantaged pupils and students and poor families to continue their learning and production The programs have really created noble human values 1.3 Issues: Although OMO has powerful PR campaigns, there are some points OMO should improve to enlarge their segment Firstly, although OMO has a team of experienced experts in marketing, PR for the product but OMO also took some false steps due to some misunderstandings in cross-culture communication This is quite understandable for a multinational firm originating from Europe like UVN because culture is a sensitive and diversified aspect, which needs a long time to be thoroughly understood The most recent event of OMO – “Washing the giant Tshirt with OMO bleach”, which took place at the Military Zone Stadium (2006) – was an expensive event but it did not receive good responses from the public and marketing experts The reason for this failure is OMO just wanted to define its leading position in Page detergent powder market by creating a unique event - washing the biggest T-shirt in the world, and that was the only message taken out from the event OMO did not measure the aspect of East Asian culture and current economic situation of Vietnam at the time Vietnamese people need something practical and useful for community in such an event The giant T-shirt was considered a waste of money for nothing Secondly, although PR activities of OMO have achieved great communication effectiveness but in my objective opinion, these programs have not been replicated In other words, new activities only confined in large cities, especially Hanoi and Ho Chi Minh City while OMO’s target customers are all families throughout the country Page PART V: MARKETING STRATEGIES AND ACTION PROGRAMMES ANALYSIS THE ROLE OF PR ACTIVITIES IN MARKETING MIX STRATEGY OF OMO DETERGENT The role of PR in the marketing mix strategy of OMO: 1.1 The objectives of PR activities: Objective is a guideline for all activities, especially with the PR programs Setting clear and rational objectives can help OMO planning, implementing and evaluating PR activities effectively The list below is a brief of objectives that OMO has set for its PR activities:  Providing information positively and effectively about product quality in significant events via mass Medias  Achieving a wider promotion of the positive roles, the needs of using OMO washing powder in daily life  Positioning OMO washing powder at a higher level, the level of a prestigious and community-oriented brand in customers’ minds 1.2 The role of PR in the marketing mix strategy of OMO: In the success of OMO’s marketing mix strategy, we cannot forget to mention the important role of PR activities In each campaign, there is not only PR department of Unilever, but also a powerful force of PR firms that always ready to support them Once a program is launched, it is one time OMO attracts the attention of customers OMO always catches the concerns of customers and responses to them positively PR plays a vital role in raising brand awareness for OMO as well as influences purchase decisions of customers PR activities of OMO usually begin by creating “public opinion tendency”, and program “Dirt is good” was a typical example Starting with the concept that today many parents not allow their children to play outdoors because they afraid the children may get dirty, OMO sent them the message: “Give your children the freedom to learn and play – Dirt is good” The message aroused the consciousness of the parents about letting their children freedom to learn and play even if they might get dirty OMO tried to make people care about this issue by creating discussion corners on the local Page newspapers; actually most of comments or articles on the papers were conducted by OMO’s PR executives under different names They made customers believe that, for children, getting messy is a natural part of learning, having fun and enjoying everything life throws at them; and no matter how dirty your family's clothes get, a wash with OMO will ensure that they emerge white and bright again - so you and your children can go out and be as active as you like Such PR activities help increasing brand awareness for OMO significantly because OMO has concentrated on solving the public’s concern positively The success of creating a high customer’s awareness of OMO has been creating many advantages for the brand in dominating the detergent powder market as well as competing with others competitors Back to 2002, the market witnessed a fierce price war between OMO and Tide aimed at dominating the market When the price fell through the floor, the two brands had to increase the prices again because they could not afford with such low prices However, the power of communication of OMO which based on the success of PR activities helped OMO won in this price war due to higher brand awareness created earlier At that time, noisily PR and advertising activities made OMO a top of mind (TOM) brand of many customers, thus they were still willing to pay more for the product even if the price was higher than TIDE Furthermore, once the brand awareness is high, the need for expanding distribution channels is also a essential In this case, we can see that PR has indirectly distributed to the expanding of OMO’s distribution channels as PR has completed its vital role in raising public awareness about the brand In summary, PR plays an important role in marketing mix strategy of OMO PR activities not only help increasing the brand awareness among customers but also creating advantages for OMO in price competition with other competitors Besides, PR also contributes in the expanding of distribution channel of OMO Generally, PR nearly covers all the 4Ps in the marketing mix strategy of OMO The success of PR activities has brought OMO to the heart of customers, making them consider OMO a high quality brand; even more, it is a brand that always looking forwards to create the best value for customers’ lives Reviews of PR activities of OMO: It can be said that UVN had a thoughtful marketing strategy with creative communication activities in order to polish the trademark and attract customers' consumption to Page 10 product OMO Unilever has taken the advantage of their own strengths as well as the opportunities from the market to gain huge revenue every year for the company Entering the Vietnam market since 1995, Unilever has had a very careful preparation for OMO before launching it into the market The company conducted market research studies, studied Vietnamese culture and shopping habit of customers to make effective communication strategies OMO started with TVCs which highlight its outstanding laundry features The most typical TVC was the one that showed the interviews with consumers about their experiences with OMO The campaign had achieved a great communication effect; most consumers could remember the brand OMO in their hearts At that time, OMO positioned itself as a clean and white detergent washing powder with the slogan: "OMO – stain laundry expert." This positioning strategy of OMO was very successful because whenever they think of OMO, they think of the feature "clean and white." In addition to noisy advertisements on TV and newspapers, OMO also used numerous marketing activities to promote the brand 2002 was the year that marked the introduction of a successful PR program for OMO, which was highly rated by people working in Vietnam’s PR industry, the "OMO’s White Clothes for Bright Futures” program (2002 – 2005)." Since late 2005 we have seen a new move of OMO with community – oriented marketing strategies OMO was actually positioned at a higher level Ms Nguyen Thi Mai, brand manager of OMO said: "OMO is positioned based on the exploitation of experience and development of children All activities of OMO are aiming to achieve this goal " Series of launched programs concentrated on this consistent objective Since 2004, OMO Tet has become one of the core activities in OMO business Each year, OMO Tet has different themes and different activities, but they are all touching and meaningful focusing on educating children to express gratitude to their elder members in families From 2005, OMO has bonded the long term partnership with MOET According to this agreement, to build a better learning environment for elementary children, each year, OMO invests in building nearly 40 international standard play-grounds for schools all over Vietnam, and spends billions of dongs in other social activities (source: UVN website) All for the best of the children! Program "spring from million golden hearts (2006 till now)" support 3000 students to go home in Tet festival The programs have really brought practical benefits to society and OMO quickly "scored" in the eyes of customers Page 11 Currently, we are continuously witnessing noisily advertising and PR campaigns of OMO towards community and society Series of ads with contents focus on moral development in young children and educate them with heart kindness, gratitude grandparents and parents The sales promotion programs were launched to attract widespread public during the Lunar New Year OMO actually achieved a move in the brand positioning strategy which is approaching closer to the public Figure TVC –White Clothes for Bright Futures Figure TVC – OMO_Stain removal expert Page 12 The strategy of marketing mix: 3.1 Product: Product mix of OMO can be interpreted briefly in the figure below: Provide different types of detergent for different washing methods (hand washing or washing machine), with same amount of detergent Omo to enable customers to wash more clothes Able to participate in promotion programs & events of Omo Reduce environmental impacts (Omo Small & Mighty) • Gentle smell • Cause no harm to hand skin Figure Product Mix of OMO Page 13 3.2 Price: OMO should continue to apply value-based and competition-based pricing strategies with slightly higher prices than other competitors During the first years, the company kept the price and quality even when the prices of other brands increased due to raw material and fuel prices rise These measures help OMO gradually gain market share Tide and OMO have been dominating the detergent market and competing critically with each other Experience of Unilever in the competitive environment with rival P & G: "If two brands have market shares nearly equal, which brand can increase market shares will be able to gain differences in terms of revenue and expenses and thus lead to strong competitive advantage " There is no reason to lose market share Since the loss of market share is always accompanied by reduction of competitive advantage, profitability, higher costs, and a threat to lose the market Table Price comparison between OMO and Tide (Source: http://www.vatgia.com, March ,2011) OMO Comfort kg Tide Downy kg Price: 112.000 VND Price: 86.000 VND OMO Red 800 g Tide Downy 800 g Price: 31.500 VND Price: 27.000 VND OMO Red 400 g Tide Downy 400 g Price: 15.500 VND Price: 10.500 VND 3.3 Place: The coverage of OMO as large as the size of UVN’s distribution network The total number of UVN’s retailers (outlets) in 2008 reached over 400,000 outlets nation-wide compared to 30,496 outlets they had in 1995, also exhibited a pattern of growth of more than 13 Page 14 times On average, 39 outlets that sold UVN products had been established in each rural and urban commune in Vietnam by 2008 OMO applies “intensive distribution channel” (see Fig 6) which consists of independent retailers, wholesalers and producers seeking for profit maximization of its own sake UVN distributes OMO by two types of trade channels: general trade and modern trade General trade is referred to as retail channels comprised of distributors (small enterprises), sub-distributors (big shops, medium and small supermarkets), and small retail shops Modern trade includes wholesale and big supermarkets such as Metro, Big C and Saigon Coop Mart OMO products are delivered by distribution companies to sub-distributors or supermarket (i.e retailers) and then to the end-users throughout the Country The strong presence of OMO in Vietnam is felt when one visit a supermarket, marketplace, grocery store or upon entering a household With such a wide distribution network, Vietnamese customers could buy OMO easily at anytime, anywhere throughout the country Customers Figure Distribution network of OMO 3.4 Promotion: UVN is one of the companies in Vietnam that uses promotion effectively to promote its products Thanks to its financial strength, UVN always has noisily promotional campaigns for OMO UVN has used all elements of promotion mix to promote OMO to customers As many other major FMCG companies in the world, UVN should apply primary sections for promotion campaigns of OMO which are “Above the line” and “Below the line” Promotional activities carried out through mass media, such as television, radio and newspaper, are classed as "above the line" promotion In this section of promotion, UVN usually launch Page 15 many campaigns on most of mass media channels at a time for new products of OMO Most advertising activities have been conducted by international advertising companies but the contents remains factors that could reflect aspects of lives of Vietnamese people With such wide spread and familiar content advertising, OMO will always accomplish high brand awareness of the customers "Below the line" promotion refers to forms of non-media communication or advertising This section is also strength of UVN, so it will implement many excellent PR activities for OMO Furthermore, UNV also creates corporation image through sponsor and CSR activities under representative of OMO brand The motto of UVN in their sponsor and CSR activities is “investing on the people and developing community” Project “OMO - White Clothes for Bright Futures” and scholarships for disadvantaged school children during 2001-2005 was a typical example With such humanity purpose, UVN and OMO have received the sympathy of Vietnamese consumers and refunding to the company by consuming more OMO detergent and other products of UVN To change and renew, UVN can use a new campaign so called ‘ OMO together with the poor’ Page 16 PART VI: BUDGET Budget plan Number Items Advertising Cost 250.000.000VND Notes Advsertising on TV, on Tuoi Tre and Thanh Nien news paper, radio, street panels, Display 200.000.000VND internet , etc Rent some venues, design exterior and interior Promotion Campaign 200.000.000VND 500.000.000 ‘ OMO together with the poor’ Total estimated 1.250.000.000VND cost Total estimated 30.000.000.000VND gain Total revenue 28.750.000.000VND Page 17 PART VI: Control 1.Time plan: - Advertising programme: from 01/01/2013 to 01/07/2013 - Display programme: from 01/01/2013 to 28/01/2013 - Promotion programme: from 01/05/2013 to 01/06/2013 2.Human resource plan: * For Marketing Department staff: - Plan and implement the programme - Prepare products and gifts for the programme - Deliver programme information and instructions on implementation - Supervise the implementation of the programme in their local areas * For the branch: - Monitor the progress of the programme - Analyse and report to Marketing Department October 20, 2011 Prepared ( Marketing Manager) Comments of CEO Page 18 REFERENCES Brian G Smith (2007) Representing PR in the Marketing Mix – A Study on Public Relations Variables in Marketing Mix Modeling, Institute of Public Relation, Maryland University Kotler, P, Amstrong, G, Ang, S Leong, S Tan, C& Tse, D2005, Principles of Marketing, 10th edn, Prentice Hall, Pearson, Singapore Kotler (2003), Marketing Insights from A to Z, John Wiley & Sons, Inc., Hoboken, New Jersey TNS Qualitative Research Dept (2010) TNS Census Results2009, HCMC, Vietnam Exploring the links between International Business and Socio-economic Development of Vietnam – A case study of Unilever Vietnam Retrieved 19 March 2011 from : http://unilever.com.vn/sd_Exploring_the_Links_between_International_Businesses_and_Socio _economic_Development_of_Vietnam_A_Case_Study_of_Unilever_Vietnam_(2009)_tcm13212700 /qqa.pdf Above the line (ATL), below the line (BTL) Retrieved 20 March 2011 from: http://en.wikipedia.org/wiki/Below_the_line_(advertising) Introduction of Unilever Vietnam Retrieved 16March 2011 from: http://unilever.com.vn/aboutus/ Price comparison between OMO and Tide, Retrieved May 2011 http://www.vatgia.com/899/224674/b%E1%BB%99t-gi%E1%BA%B7t-omo-3kg.html Unilever 2011, Unilever Vietnam, Retrieved May 2011 from: http://www.unilever.com.vn/brands/homecarebrands/omo/index.aspx Page 19 from: APPENDIX A: TNS ANALYSIS OF INTERNET GROWTH IN VIET NAM Page 20 [...]... the brand has been highly recognized - Distribution channels: Unilever has built a huge distribution channel nationwide to sell its products, including OMO - CSR activities: Unilever has implemented a lot of CSR activities with OMO brand as a representative These activities reward OMO and Unilever a lot with the increase of sales - People: Unilever has a strong company culture and high quality human... study of Unilever Vietnam Retrieved 19 March 2011 from : http:/ /unilever. com.vn/sd_Exploring_the_Links_between_International_Businesses_and_Socio _economic_Development_of_Vietnam_A_Case_Study_of _Unilever_ Vietnam_(2009)_tcm13212700 /qqa.pdf 6 Above the line (ATL), below the line (BTL) Retrieved 20 March 2011 from: http://en.wikipedia.org/wiki/Below_the_line_(advertising) 7 Introduction of Unilever Vietnam... http://en.wikipedia.org/wiki/Below_the_line_(advertising) 7 Introduction of Unilever Vietnam Retrieved 16March 2011 from: http:/ /unilever. com.vn/aboutus/ 8 Price comparison between OMO and Tide, Retrieved 2 May 2011 http://www.vatgia.com/899/224674/b%E1%BB%99t-gi%E1%BA%B7t-omo-3kg.html 9 Unilever 2011, Unilever Vietnam, Retrieved 2 May 2011 from: http://www .unilever. com.vn/brands/homecarebrands/omo/index.aspx Page 19 from: APPENDIX A: TNS ANALYSIS... community – oriented marketing strategies OMO was actually positioned at a higher level Ms Nguyen Thi Mai, brand manager of OMO said: "OMO is positioned based on the exploitation of experience and development of children All activities of OMO are aiming to achieve this goal " Series of launched programs concentrated on this consistent objective Since 2004, OMO Tet has become one of the core activities in OMO... manufacturers in Vietnamese market Thus, the competition to gain a larger market share in this industry is very harsh in the market The key competitors in this competition include such brands as Tide, Vi Dan, Surf, Viso, etc Of these brands, Viso and Surf live in the same home with OMO as they are products of Unilever Therefore, only Tide is direct competitor of OMO because other brands either belong... brand OMO in their hearts At that time, OMO positioned itself as a clean and white detergent washing powder with the slogan: "OMO – stain laundry expert." This positioning strategy of OMO was very successful because whenever they think of OMO, they think of the feature "clean and white." In addition to noisy advertisements on TV and newspapers, OMO also used numerous marketing activities to promote the... OMO won in this price war due to higher brand awareness created earlier At that time, noisily PR and advertising activities made OMO a top of mind (TOM) brand of many customers, thus they were still willing to pay more for the product even if the price was higher than TIDE Furthermore, once the brand awareness is high, the need for expanding distribution channels is also a essential In this case, we... communication activities in order to polish the trademark and attract customers' consumption to Page 10 product OMO Unilever has taken the advantage of their own strengths as well as the opportunities from the market to gain huge revenue every year for the company Entering the Vietnam market since 1995, Unilever has had a very careful preparation for OMO before launching it into the market The company conducted... key leaders of UVN are foreigners so some promotions may not be suitable with ways of life of Vietnamese people This may lead to losing the interest of customers toward the brand Opportunities: - In recent years, the average personal income of Vietnamese people has been increased significantly This is a chance for OMO to expand its market as the number of potential customers, who could afford OMO’s price,...In this section, I’d like to provide a brief analysis of OMO’s SWOT (Strength, Weakness, Opportunities, and Threats) Strengths: - Strong financial capability: with the support of Unilever Corporation, OMO has good finance to maintain its top position in the market as well as make it a stronger

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  • In the success of OMO’s marketing mix strategy, we cannot forget to mention the important role of PR activities. In each campaign, there is not only PR department of Unilever, but also a powerful force of PR firms that always ready to support them. Once a program is launched, it is one time OMO attracts the attention of customers.

  • OMO always catches the concerns of customers and responses to them positively. PR plays a vital role in raising brand awareness for OMO as well as influences purchase decisions of customers. PR activities of OMO usually begin by creating “public opinion tendency”, and program “Dirt is good” was a typical example. Starting with the concept that today many parents do not allow their children to play outdoors because they afraid the children may get dirty, OMO sent them the message: “Give your children the freedom to learn and play – Dirt is good”. The message aroused the consciousness of the parents about letting their children freedom to learn and play even if they might get dirty. OMO tried to make people care about this issue by creating discussion corners on the local newspapers; actually most of comments or articles on the papers were conducted by OMO’s PR executives under different names. They made customers believe that, for children, getting messy is a natural part of learning, having fun and enjoying everything life throws at them; and no matter how dirty your family's clothes get, a wash with OMO will ensure that they emerge white and bright again - so you and your children can go out and be as active as you like. Such PR activities help increasing brand awareness for OMO significantly because OMO has concentrated on solving the public’s concern positively.

  • The success of creating a high customer’s awareness of OMO has been creating many advantages for the brand in dominating the detergent powder market as well as competing with others competitors. Back to 2002, the market witnessed a fierce price war between OMO and Tide aimed at dominating the market. When the price fell through the floor, the two brands had to increase the prices again because they could not afford with such low prices. However, the power of communication of OMO which based on the success of PR activities helped OMO won in this price war due to higher brand awareness created earlier. At that time, noisily PR and advertising activities made OMO a top of mind (TOM) brand of many customers, thus they were still willing to pay more for the product even if the price was higher than TIDE. Furthermore, once the brand awareness is high, the need for expanding distribution channels is also a essential. In this case, we can see that PR has indirectly distributed to the expanding of OMO’s distribution channels as PR has completed its vital role in raising public awareness about the brand.

  • In summary, PR plays an important role in marketing mix strategy of OMO. PR activities not only help increasing the brand awareness among customers but also creating advantages for OMO in price competition with other competitors. Besides, PR also contributes in the expanding of distribution channel of OMO. Generally, PR nearly covers all the 4Ps in the marketing mix strategy of OMO. The success of PR activities has brought OMO to the heart of customers, making them consider OMO a high quality brand; even more, it is a brand that always looking forwards to create the best value for customers’ lives.

  • In addition to noisy advertisements on TV and newspapers, OMO also used numerous marketing activities to promote the brand. 2002 was the year that marked the introduction of a successful PR program for OMO, which was highly rated by people working in Vietnam’s PR industry, the "OMO’s White Clothes for Bright Futures” program (2002 – 2005)." Since late 2005 we have seen a new move of OMO with community – oriented marketing strategies. OMO was actually positioned at a higher level. Ms. Nguyen Thi Mai, brand manager of OMO said: "OMO is positioned based on the exploitation of experience and development of children. All activities of OMO are aiming to achieve this goal. ". Series of launched programs concentrated on this consistent objective. Since 2004, OMO Tet has become one of the core activities in OMO business. Each year, OMO Tet has different themes and different activities, but they are all touching and meaningful focusing on educating children to express gratitude to their elder members in families. From 2005, OMO has bonded the long term partnership with MOET. According to this agreement, to build a better learning environment for elementary children, each year, OMO invests in building nearly 40 international standard play-grounds for schools all over Vietnam, and spends billions of dongs in other social activities (source: UVN website). All for the best of the children! Program "spring from million golden hearts (2006 till now)" support 3000 students to go home in Tet festival. The programs have really brought practical benefits to society and OMO quickly "scored" in the eyes of customers.

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