MARKETING COMMUNICATION PLANS DECUMAR ADVANCED ACNE PREVENTION

AWAKENING THE POTENTIAL OF VIETNAMESE HERBAL MEDICINE Two pharmacists boldly established CVI Cosmetics Pharmaceutical Joint Stock Company - CVI Pharma, cooperating with scientists, appl

MINISTRY OF EDUCATION AND TRAINING

UNIVERSITY OF ECONOMICS & FINANCE

FACULTY OF PUBLIC RELATIONS & COMMUNICATION

MARKETING COMMUNICATION

FINAL REPORT

Lecturer: MSc Huỳnh Nguyễn Kim Phượng

Group: Clown Angels

Ho Chi Minh City, October 16, 2022

LECTURER’S COMMENTS

LIST OF GROUP MEMBERS

1 Nguyễn Ngọc Hân 215110018 hannn321@uef.edu.vn

2 Ngô Hồ Thúy Hiền 215112527 hiennht21@uef.edu.vn

3 Lê Nguyễn Thu Ngân 215110158 nganlnt21@uef.edu.vn

4 Mai Thị Thanh Ngân 215111955 nganmtt21@uef.edu.vn

5 Nguyễn Bảo Ngọc 215112067 ngocnb21@uef.edu.vn

6 Trần Ngọc Bảo Trân 215110257 trantnb221@uef.edu.vn

Table of Contents

INTRODUCTION 4

THE PROCESS OF FORMATION AND DEVELOPMENT

AWAKENING THE POTENTIAL OF VIETNAMESE HERBAL MEDICINE

AFFIRMING BRAND VALUE

JOURNEY TO THE BIG SEA

SOCIAL SECURITY IS THE FOUNDATION FOR SUSTAINABLE DEVELOPMENT

MARKETING COMMUNICATION PLANS

I INTRODUCTION

1 THE PROCESS OF FORMATION AND DEVELOPMENT

CVI Pharma's full name is CVI Cosmetics Pharmaceutical Joint Stock Company was established from the desire to bring great achievements of science and technology in the world to the domestic pharmaceutical industry of two former students of the University of Pharmacy Hanoi – Mr Phan Van Hieu and Mr Nguyen Truong Thanh

in 2013 Recognizing the core value of precious medicinal herbs in the country early

on, the two young pharmacists did not hesitate to start a business Until now, CVI Pharma is known as one of the leading pharmaceutical companies in Vietnam

applying high technology in production

2 AWAKENING THE POTENTIAL OF VIETNAMESE HERBAL

MEDICINE

Two pharmacists boldly established CVI Cosmetics Pharmaceutical Joint Stock

Company - CVI Pharma, cooperating with scientists, applying high technology to create quality breakthrough products from pure Vietnamese medicinal herbs and realize valuable research

The first success that demonstrates CVI Pharma's new and different direction, which has resonated in the pharmaceutical industry, is the transfer of Nano Curcumin raw materials, extracted from turmeric, from the Academy of Science and Technology to

manufactured CumarGold soft capsules, opening the era of applying modern

Nanotechnology in the field of pharmaceutical production and public health care.

DECUMAR ADVANCED ACNE PREVENTION

GEL

After only 5 years, CumarGold has become the market leader, trusted by millions of patients, and honored to receive many noble awards.

Choosing turmeric to start the dream of raising Vietnamese herbs, CVI has really achieved many successes:

- In October 2016, CVI continued to sign a cooperation agreement to receive the technology transfer of FGC Nano Complex from Dr Ha Phuong Thu of the Vietnam Academy of Science and Technology to bring to the market specialized products for cancer named CumarGold Karen

- In June 2018, CVI became the bright spot of the pharmaceutical industry when receiving a technology transfer patented by the US and Taiwan, to awaken the potential of millennial precious medicinal herbs, Ung Bo Bac, to produce

Heposal, which protects the liver of Vietnamese people This project not only brings high-quality liver protection at a reasonable price but also helps to

preserve and promote the source of undisputed eagle medicinal herbs, brings economic efficiency, and improves the quality of life

- CVI also continuously launches skin care cosmetic lines such as Decumar, CumarGold Gel, and Embé Cream

- With 3 leading brands in the market such as CumarGold, CumarGold Kare, and Decumar, along with outstanding growth figures in revenue, at a rate of 60% per year, from 7 billion VND in 2013 to 300 billion VND in 2017,…

3 AFFIRMING BRAND VALUE

CVI Pharma's products are present in more than tens of thousands of pharmacies in 63provinces and cities with many noble awards given

- Top 10 “Vietnamese trusted brands”

- Gold Medal For Public Health

- Top 10 “Best products and services for consumers”

In April 2017, CVI officially received investment from Daiwa-SSIAM Investment andDevelopment Fund, with the participation of one of the largest financial institutions from Japan and the SSI Fund Management Company

In July 2017, CVI was honored to become the first pharmaceutical enterprise to be

granted an investment certificate to build a factory in HHTP with an area of about

12000 m2 The investment cost of the high-tech plant is expected to reach 300 billion VND with a professional management system, including three units: Supercritical high-tech medicinal plant extracting plant; Nanotechnology research and application center; The pharmaceutical factory meets GMP-WHO standards…with the ambition

of producing 100 million products per year

CVI Pharma has restructured its apparatus, as well as operated under an ecosystem model including the parent company CVI Pharma and its subsidiaries: CVI Southern Joint Stock Company (2014); Medstand Pharma (2019), and J-CVI Pharma (2021)

5 SOCIAL SECURITY IS THE FOUNDATION FOR SUSTAINABLE DEVELOPMENT

Linking business development with social security responsibilities, CVI Pharma has always been at the forefront of volunteer activities for the community:

- The program to donate 50,000 cancer handbooks to oncology hospitals

nationwide

- Organize programs "Tet rice" for cancer patients: giving 1/6 gifts to pediatric patients; Releasing the music video names Song love life; Organize free liver enzyme examinations and tests in Ha Tinh

- Give gifts to flood compatriots in the central region

- Distributed 50,000 gel sanitizer free of charge (Hanoi) during covid-19

pandemic

6 MISSION: We always do our best to bring customers high-tech products that

combine traditional quintessence and modern medicine, linking the benefits of businesses with public health and the development of society This

commitment is adhered to by all members of CVI who are dedicating day and night to community health

7 VISION: We will become the leading cosmetic pharmaceutical company in

Vietnam and become a global company by bringing to the market products of medicinal herbs, medicine, functional foods and supplements, the most

advanced cosmetics, creating many supply-demand partnerships in the global pharmaceutical field, caring about customer experience, aiming to effectively care for people's health and contributing to positioning position of the

pharmaceutical industry in Vietnam

8 CORE VALUE:

- Dedicated to community health

- Prestige and quality

- Pioneering the application of modern science and technology

- Creative Innovation

- Expanding cooperation

- Commitment to social responsibility

9 PRODUCT INTRODUCTION: DECUMAR ADVANCED ACNE GEL PRODUCT:

- An improved version of Decumar New with natural ingredients and outstanding acne care effects The product contains super Nanotechnology with the ability to penetrate 7500 times fresh turmeric, combined with French Centella Asiatica essence to bring fast effectiveness in treating acne, anti-inflammatory; at the same time stimulate skin cell regeneration, fade dark spots quickly and prevent acne scars

- The product is designed in a compact, convenient tube and is recommended by dermatologists

- Suitable for all skin types, especially for acnes-sensitive, oily skin and all ages (particularly for those in puberty)

● Lemon myrtle leaf extract: Optimum oil control,

● Red onion extract: Prevents concave scar formation

● Aloe extract: Enhances moisture retention, protects skin

PRICE: 77.000 VNĐ (cited by Decumar official stores)

PLACE: Sold at more than 20,000 drug stores across the country.

II BUSINESS OBJECTIVES

To be able to develop the strongest company, CVI has business goals As follows:

- Affirming brand value

- The guaranteed growth rate of 20% each year

- Expanding the market, becoming a public company, the further goal is to list securities on the exchange

- Training and improving the quality of human resources, especially the

management team and experts in the direction of professionalism, integrity, and creativity

- Awakening the potential of Vietnamese medicinal herbs, preserving and

enhancing the value of natural ingredients

- Associate business development with social security responsibilities

III MARKETING OBJECTIVES

First, CVI Pharma offers specific plans for different customer groups, each of which has a reasonable approach For example, Decumar cannot be recommended for peopleover 50 years old

Setting a KPI level for each distribution pharmacy is to sell 100 CVI Pharma products

to the city customers and 50 products to the rural customers per day With that KPI level, CVI Pharma can measure sales performance, see the number of buyers and then adjust the KPI accordingly and effectively

Expand production from basic product lines rather than mass production each year Research the target market carefully to ensure that the new product features and improvements are suitable for users For example, market research is favoring

essences (Serums), masks, and sunscreens to treat acne scars from turmeric, thereby improving and enhancing the Decumar product line

IV MARKET SEGMENTATION AND POSITIONING

1 SEGMENTATION

1.1 Geographic segmentation

- Country: Vietnam

- Cities: currently present in all 63 provinces

- Regions: big cities – Ho Chi Minh, Ha Noi, Da Nang, Hai Phong, Can Tho, 1.2 Demographic segmentation

- The product is suitable for all subjects, especially suitable for sensitive, prone skin

acne Age: 13acne 18 years old Since this is puberty, their skin health easily breaks out in pimples

- Suitable skin types for all skin types

- Income family: class C+ Due to the price of approximately 77,000 VND, the product is suitable for those whose income reaches the average standard (above 4million VND)

1.3 Psychographic,

Generally speaking, teenagers the age of puberty are concerned about their

appearances and also want less money with higher quality

1.4 Behavioral

Buying behavioral:

- Short distance away from their houses

- Reliable selling stores which get GDP certifications or official suppliers

- Dermatologist for on-site consultation

2 POSITIONING

Desire their customers to acknowledge Decumar as a specialized-against-acne product

According to a survey based on 250 results collected from customers who have used the product for 3 to 5 weeks, the acne treatment effect increased by 44%.

- The price of the product is relatively higher than other products that contain turmeric ingredients (ex: acne scar care: 53.000 VNĐ, Thai Duong turmeric cream: 18.000VNĐ)

- Customers with skin problems: acne need to find products that meet their needsthrough the ingredient list: nano curcumin ( one of the first Companies in Viet Nam use it), French Centella Asiatica essence, and Aloe vera,

- After comparing the product with other products, customers decide to buy the product based on its effectiveness: anti-inflammatory, antibacterial, oil control, regeneration, and moisture

V TARGET CUSTOMERS

The main customers that the product wants to target are students who are having skin problems Decumar is particularly suitable for adolescents going through puberty who struggle with inflammatory acne, acne, and red, swollen acne that makes them feel inferior and ashamed Due to hormonal changes that cause the sebaceous glands to overwork, acne is most severe during this age Testosterone stimulates the production

of a lot of sebum to protect the skin Additionally, this product is appropriate for a variety of individuals, including

- People who frequently experience dusty, polluted environments, which can result in dull skin and red acne;

- People who work too much, stay up late, and consume unhealthy diets, which can result in stress and acne

Different from some product lines, there will often be a distinction for each type of skin condition (dry skin, oily skin, natural mixtures or natural oils) Meanwhile, Decumar acne treatment is suitable for all skin types This is a benefit of using the product as a result

VI COMPETITORS ANALYSIS

1 DECUMAR

ADVANTAGES

● Promotion:

- Do media methodical, have a big investment

- Clear positioning, synchronous communication plan

● Product:

- Contains super turmeric Nano Curcumin with the ability to penetrate 7500 times

of fresh turmeric with the essence of lemon myrtle leaves, red onion, aloe vera Additional French Centella Asiatica essence - imported European herbs

● Place: -Sold at many e-commerce sites, and drug store

Some contain content that is not suitable for the target audience

● Product: The effect is not as fast as advertised

● Promotion: Some contain content that is not suitable for the target audience

● Product: Not as effective as advertised

● Place: Many fake goods because of cheap price

3 THAI DUONG TURMERIC CREAM

ADVANTAGES

● Promotion: Long-standing brand, has a certain position in the market

● Product: Extracted from turmeric along with vitamin E, vitamin B2, nano.Including Curcumin, didesmetoxy curcumin, monodesmetoxy curcumin, turmerone,arylturmeron, containing ginseng, squash, peach blossom, and other medicinal herbs

● Place: Available at all drugstores and grocery stores

● Promotion: Have not invested in development on social channels

● Product: Not as effective as advertised

VII SWOT ANALYSIS

STRENGTHS

- Have had time to reach customers before (The predecessor of this product is Decumar Anti-Acne Gel appeared in 2015 By 2019 Decumar was improved with the addition of many ingredients – Decumar New)

- Benign ingredients, 7500 times more effective than fresh turmeric, 185 turmeric starch

- Optimal gel for acne-prone skin

- Produced with investment in new and most advanced technology in Vietnam

- Products are sold and distributed throughout the country

- Meet the desired customer conditions: prevent and fade scars after acne,

regenerate skin damage, provide moisture, and keep skin fresh and smooth

- Suitable for many customers (age, all skin types)

WEAKNESS

- High price compared to similar products on the market

- Cannot be used for people with a history of turmeric allergy

- There is no moisture balance feature, and deep moisture for the skin

OPPORTUNITIES

- The application of nanotechnology is getting more and more attention

- The need for beauty becomes more and more critical, preferring products-

derived from nature

- Teenagers account for a high percentage

- Competitors are slow to apply technology

- Research cooperation to upgrade products to international standards, bring products to foreign markets

THREATS

- Nanotechnology gradually becomes popular, causing mass

- Customers do not trust the product enough, and still use folk methods

- Foreign cosmetics are entering the market

- There are still many situations of counterfeit goods, not guaranteed quality

VIII MARKETING STRATEGY

1 MEANING

- Turmeric is a natural, long-lasting ingredient that is good for Vietnamese skin

- Turmeric has the effect of helping skin clear acne, clean bacteria, smooth messages, and reduce dark spots after acne

2 COMMUNICATION MESSAGE

- From the above ideas, we come up with a message that is appropriate and close

to the meaning of the product conveyed to consumers It is the sentence "Gel

Decumar Advanced - Preventing acne - Treating dark spots - Elevating Vietnamese beauty" is the general message for the entire communication

strategy

3 MARKETING OBJECTIVES

- Impress customers with Decumar's new packaging look

- Turmeric has the effect of helping skin clear acne, clean bacteria, smooth

messages, and reduce dark spots after acne

- Build a product image that is friendly to the environment and natural ingredients

- Suitable for all skin types

- Increase Decumar brand awareness

- Stimulate the needs of potential customers and find new users

- Stimulate and motivate the sales team to increase sales to achieve the sales target

4 METHOD: Apply the integrated marketing communication IMC

5 COMMUNICATION AND PROMOTION STRATEGY:

● Focus – Only invest in practical areas and means, do not spread across many communication channels because the budget is not much

● Budget: In this plan, the budget to be spent to implement the plan is for 1 the fiscal year 2023: 1,987,230,000 VNĐ