MARKET RESEARCH USING LOCAL BRAND CLOTHES IN UNIVERSITY STUDENTS

MARKET RESEARCH USING LOCAL BRAND CLOTHES IN UNIVERSITY STUDENTS Using local brand clothes is one of the current fashion trends for students. More and more local brands are born and are famous for their trendy designs. And over the years of development in the market, local brands have been increasingly improved in terms of quality, design, and design. Consumers are becoming more and more familiar with the designs of local brands, those designs have become trends and familiar outfits for everyone, especially for todays students. Although it is currently one of the extremely hot trends of young people, especially students, since the establishment of local brand in Vietnam, it has had many ups and downs. Some brands that young people love so much that it is impossible not to mention: Grimm DC, 5theway, Play dirty, Bloomode, hades studio, the beauter However, in the world these days, the appearance of many domestic brands, besides the penetration of foreign brands into the Vietnamese fashion market has led to the confrontation between Local Brands and Global Brands. . This makes consumers have many choices and also pushes businesses dealing in these items into fierce competition. In order to create a competitive advantage over rivals and expand market share, businesses need to strive to occupy a distinctive and distinctive position in the minds of customers. So, to understand more why young people, especially students today, love Local Brands so much? What factors and external circumstances affect their buying behavior? Between different Local Brands and between Local Brands and Global Brands, how will consumers have ways of consuming and choosing? As well as looking for solutions to develop more Local Brands, contributing to helping businesses orient appropriate strategies, best meet customer needs, and improve reputation and market expansion. For the above reasons, my group decided to choose the topic Market research using local brand in students.

UNIVERSITY OF TRANSPORT HO CHI MINH CITY

FINAL REPORT

UNIT: MARKET RESEARCH

TOPIC: MARKET RESEARCH USING LOCAL BRAND

CLOTHES IN UNIVERSITY STUDENTS

GROUP 8:

Le Trieu Thanh An – IEC21LSM002

Nguyen Nam Khanh – IEC21LSM026

Nguyen Pham Ha My – IEC21LSM041

Le Quoc Thang – IEC21LSM069

Instructor: Mr Tran Quang Dao

Submission date: 23/07/2022

INDIVIDUAL CONTRIBUTION IN GROUP

(done by students)

Voting: How many members in group agree with your evaluation?

*** Minutes of meeting need to be submitted together with this paper

No Full name of

TABLE OF CONTENTS

LIST OF FIGURES 4

LIST OF TABLES 5

INTRODUCTION 6

CHAPTER I: THE OVERALL LOCAL BRAND MARKET AND PREVIOUS STUDIES 7 1 Liturature review 7

1.1 Theoretical basis 7

1.2 Definition 9

2 Previous studies 10

2.1 The authenticity of Celebrity Endorsement on Purchase Intention - Case on Local Fashion Brand in Viet Nam 10

2.2 Impact of Consumer Ethnocentrism on Reasoned Action and Brand Equity: Empirical Evidence from Local Fashion Brands in Vietnam 11

2.3 Develop Brand Love for Fashion Brands in Viet Nam (2020) 13

CHAPTER II: AN OVERVIEW OF THE RESEARCH PROJECT 15

1 Research framework 15

2 Research objective 15

3 Research questions 15

4 Data collection 16

4.1 Research scope 16

4.2 Data collection method 16

5 Research plan 17

CHAPTER III: RESEARCH RESULTS 18

1 Overview of survey participants 18

1.1 Age 18

1.2 Gender 19

1.3 Favorite style 19

1.4 Preferred clothing type 21

2 User understanding of local brands 22

2.1 The number of people who know about local brands 22

2.2 Local brands 23

3 The level of brand interest when shopping 23

4 Criteria that consumers set when buying local brand clothes 25

5 Frequency of buying local brand clothes 26

6 Money-related factors 27

6.1 Regarding the amount spent on shopping at local brands 27

6.2 Regarding the reasonableness of clothing prices at local brands compared to the market 28

6.3 Regarding the level of satisfaction with the payment method 29

7 Habits when buying local brand clothes 30

8 Satisfaction level of clothing quality at the local brand 31

9 Media and advertising channels affect brand recognition 33

10 Analyze why local brands have become popular in recent years 33

CHAPTER IV: CONCLUSION 35

1 Conclusion 35

1.1 Main results of the research 35

1.2 Limitation 36

2 Recommendations 37

3 Further research 37

REFERENCES 39

LIST OF FIGURES

Figure 1 – Age 18

Figure 2 - Gender 19

Figure 3 - Favorite style 20

Figure 4 - Student' favorite clothes 21

Figure 5 - The number of people who know about local brands 22

Figure 6 - The level of brand interest 24

Figure 7 - Criteria that consumers set when buying local brand clothes 25

Figure 8 - Frequency of buying local brand clothes 27

Figure 9 - Evaluation of the price of local brand clothes compared to the market 29

Figure 10 - Habit when buying at stores 31

LIST OF TABLES

Table 1- Money spent on buying clothes at local brands 28Table 2- Satisfaction with payment method 30Table 3- Level of satisfaction with product quality 32

5theway, Play dirty, Bloomode, hades studio, the beauter

However, in the world these days, the appearance of many domestic brands, besides the penetration of foreign brands into the Vietnamese fashion market has led to the confrontation between Local Brands and Global Brands This makes consumers have many choices and also pushes businesses dealing in these items into fierce competition In order to create a competitive advantage over rivals and expand market share, businesses need to strive to occupy a distinctive and distinctive position in the minds of customers

So, to understand more why young people, especially students today, love Local Brands

so much? What factors and external circumstances affect their buying behavior? Between

different Local Brands and between Local Brands and Global Brands, how will consumers have ways of consuming and choosing? As well as looking for solutions to develop more Local

Brands, contributing to helping businesses orient appropriate strategies, best meet customer needs, and improve reputation and market expansion

For the above reasons, my group decided to choose the topic "Market research using local brand in students"

CHAPTER I: THE OVERALL LOCAL BRAND MARKET AND PREVIOUS STUDIES

1 Liturature review

1.1 Theoretical basis

History and the trend of Local Brand

Local brands have been formed a long time ago and they usually choose the target

customer as young people However, at that time, the trend and the youth had not yet formed and accepted the Local Brand lines, so it was not a suitable choice for them They are also afraid of the price, the design, and the most important thing is the quality of each product

However, in recent years, local brands have become more and more understood and loved by young people, which helps them to stand firm in the fashion field It can be said that Local Brand's fashion preference has reached 99.9% among young people of the 10x, 9x

generation, it is not only a temporary trend but also a fever when it comes to bringing new

designs The design is quite impressive and beautiful All ideas should be linked cohesively, rather than appear as isolated units

Local Brand Market and Local Brand's Brand Recognition in Ho Chi Minh City

Throughout the year, local brands' market has sprouted up, making the fashion playground always bustling and colorful In Ho Chi Minh City, there are dozens of Local Brands scattered throughout the districts, including brands that are popular with young people such as Dirty Coin, Hades, Bad Habits, Missionout, Tsun, 5theway, So what makes this market so hot? First of all, let's talk about product quality With a price that is not too cheap but not too high, the products of Local Brand shops still bring good quality with meticulousness from fabric selection to cutting and sewing and printing

Secondly, we are always proud that the Vietnamese fashion market always catches up with new trends in the world to be able to launch unique and beautiful designs, giving customers the best

Because the number of Local Brands in Ho Chi Minh City has been increasing day by day, creating a unique feature for the store is not easy To be distinguished from others, each brand needs to define its audience, and create a unique name with unique designs that can make a strong impression on customers To prove that, Fancì Club can be mentioned as a brand that has helped the local brand of Vietnam assert its position in the international market

Specifically, with the unique designs of Fancì Club, international famous stars such as

BLACKPINK, Olivia Rodrigo, DojaCat, have trusted and worn those designs for their

important events

Current status and behavior of young people towards local brand shopping

The development of local brands is increasingly gaining popularity among young people Brands keep coming up with unique and beautiful designs that make shopping even more

diverse However, besides that, it is also necessary to mention the fact that buying fake goods with an" insane amount of money" or the fact that young people have to spend an exorbitant amount of money to buy a shirt with the words Limited edition The fact that local brands

become a movement will inevitably lead to some products being plagiarized but being

overpriced like the real thing Some young people, because they didn't know the details, bought the wrong product at the same price as the real thing, leading to bad product experiences, and then making false judgments about the brand This not only affects shoppers but also greatly affects the reputation of Local Brand shops Therefore, to avoid such situations, we need to buy from genuine places and need to search carefully before buying

A new trend in the fashion industry in Ho Chi Minh City

In the past, branded goods were luxury items for Vietnamese people, especially

schoolchildren With prices of more than 700,000 VND, it is difficult for students to be willing

to spend a large amount of money to buy these items for themselves However, in recent years, shopping for students has become easier when Local Brands are born, especially in Ho Chi Minh City With a price that is not too high but offers the same quality and design as big brands, Local Brand has won the hearts of young customers And the trend of the following years, Local Brand will always maintain their position in the Vietnamese fashion market

1.2 Definition

Local brand clothes: Fashion brands that are produced and traded in the country or a certain

domestic region Unlike the type of Fast Fashion business abroad or the fashion shops

specializing in importing and redistributing fashion goods in Vietnam, which often sell many products that do not follow a certain concept or style, Local Brand can produce specializes in one

or more fashion items such as pants, shirts, shoes, bags, fashion accessories, etc., which are designed by Brand and designed according to the orientation that Brand has been and is built

Brand awareness and brand recognition: The levels of familiarity and remembrance of the

target customers with the product/service you want to target them Brand awareness is created by corporate communication activities such as advertising, PR, events, sponsorship, brand

activation Brand awareness can be divided into 3 levels different degrees The highest level is the first recognized brand (Top of mind) The next level is spontaneous The lowest level is prompt to remember (Prompt) When adding together the 3 levels of brand awareness, we get the total brand awareness

Media Campaign: To be more specific, a media campaign is a marketing effort to

strengthen or support a business using one or more communication platforms Different from daily communication activities, communication campaigns focus on customers, and have

communication goals, and measures

Consumer concept: According to the definition in the Law on Consumer Protection of the

National Assembly (2010): “Consumer is a person who buys and uses goods and services for consumption and daily life purposes of individuals, families and organizations office"

Consumer behavior: According to Philip Kotler (2000), consumer behavior is defined as:

“Customer behavior is the specific behavior of an individual when making decisions to purchase, use and dispose of products or services” In other words, consumer behavior is the set of

behaviors, reactions, and thoughts of consumers during the buying process This behavior begins when the consumer needs to come after buying the product This process is called the consumer buying decision process

Global brand clothes: A global brand is a word used to refer to products or services that are

recognized worldwide Global brands in fashion are understood as international fashion brands Not only active in a certain country but all over the world The global brand always knows how

to affirm its position in the hearts of customers They elaborate from the brand name, and

materials to unique designs, with distinct personalities High aesthetics is the difference that creates the name and success of these brands

Second-hand clothes: Second-hand clothes are clothes that have been used by someone else Mode of payment: Mode of payment is an element in every retail transaction A consumer

has the option to purchase with cash, a check, or using a credit or debit card

2 Previous studies

2.1 The authenticity of Celebrity Endorsement on Purchase Intention - Case on Local Fashion Brand in Viet Nam

The purpose of this study is to investigate the influence of fashion on the behavior of

Vietnamese youth in the country toward local companies The study's findings reveal that

celebrities have an impact on the brand identification of local businesses among young people in Vietnam and that there is no difference in age or gender in the intention of Vietnamese youth to buy domestic fashion brands under the influence of celebrities This study employs an interview approach using Google Form

In conclusion, of the 252 males made up 51.2% of those polled, while females made up 48.8% In terms of age, those aged 18 to 22 account for 39.9%, those aged 22 to 25 account for 31.3 %, those aged 25 to under 28 accounts for 19.8%, and the lowest percentage is 24% for those aged 28 to 30 In terms of occupational characteristics, students (39.7 %), office workers (32.5 %), business (21.8 %), and other vocations are the most common (6 %) In terms of income characteristics, those with incomes of 10 to less than 15 million accounted for 28.2 %, followed

by those with incomes of less than 5 million, who accounted for 27.4 %, and those with incomes

of more than 15 million accounted for the smallest share ( 21.4 %)

The argument for local fashion brands in the study on the impact of celebrity endorsements

on young customers' purchase behavior in Vietnam The outcomes derived from more than 252 surveys, all five recommended criteria in the study model "confidence," "relevance," "attraction,"

"expertise," and "similarities" have an influence on young people's consumption behavior of local fashion businesses Celebrity dependability has the greatest significant impact, accounting for 31.1 % with a normalized beta of 0.371 The resemblance between the superstar and the second most influential client (beta =0.307) accounts for 25.8 % The third influential element is the celebrity's compatibility with the product they sponsored (beta = 0.243), which accounts for 20.4 % Furthermore, the attraction of celebrities and professionals (0.134 and 0.137) is nearly equal (0.134 and 0.137) The research inherited four elements from this model: "trust,"

"similarity," "expertise," and "suitability" from Kumar (2010), as well as a scale of attractiveness from Koththagoda and Weerasiri's search model (2015)

The author discovered certain parallels and specific distinctions between the topic and the original model based on the study findings This reached agreement is regarded as having a significant impact on consumer behavior by Indian consumers; whereas, in Vietnam, this aspect

is regarded as minor importance However, when the happiness value of Vietnamese youth approaches factor satisfaction, various reasons can explain this condition

Cultural differences can have varying effects, but in general, this is one of the most important aspects contributing to the contentment of both Indians and young Vietnamese The second factor influencing the purchasing behavior of young people in Vietnam is similarity, which has the highest satisfaction rating among the five factors It is completely consistent with Kumar's (2010) study; when customers believe that their popularity has a second impact on their purchase behavior The simple explanation for this coincidence is that most buyers desire what the

celebrity has The professional component of Kumar's (2010) research for the fourth effect is completely consistent with the author's research The remaining elements have an effect on customer behavior, although their magnitude varies Cultural variations can be easily explained

by the demographic features of the study respondents and how data is collected

2.2.Impact of Consumer Ethnocentrism on Reasoned Action and Brand Equity:

Empirical Evidence from Local Fashion Brands in Vietnam

The study sought to investigate the influence of consumer nationalism on rational behavior and brand equity among Vietnam's Z generation Design of the study, data, and methodology: A quantitative analysis of 302 individuals of the Z generation was done From December 2021 to January 2022, data for the study were collected using a Google Forms-based questionnaire According to the study's conclusions, governments should continue to push propaganda and advocacy activities that promote national pride and encourage domestic consumption Domestic goods should be supported and used Domestic brands must improve community ties and engage

in community-driven programs to increase domestic consumption Native fashion brands in Vietnam must encourage the use of community-oriented and nationalistic content in order to get domestic customers to support them

In Vietnam, participants in the study were members of Generation Z They utilized

merchandise from Vietnamese fashion brands According to Wood (2018), Gen Z accounts for 32% of all internet customers worldwide, spending $44 billion, and this figure is likely to rise in the future years In Vietnam, Generation Z will account for around 25% of the workforce by

2025, equating to 15 million potential customers (Mah, 2019) Gen Z is a group of young people born between the mid-1990s and the early 2000s who grew up in the digital age They are the primary users of social media and are exposed to a wide range of goods brands (Norazah

&Norbayah, 2013)

Generation Z is considered to be particularly concerned about the brand equity of

Vietnamese local fashion goods since it affects their urge to exhibit their uniqueness The study's data was gathered using a questionnaire created using the Google Forms service The

convenience sampling approach was used to collect data from December 2021 to January 2022 The sample size gathered was 302, and the sample size of the study matched the requirements of the linear structural analysis technique (SEM), as indicated by Kline (2005) SEM employs three types: small sample 100, medium sample 100-200, and large sample ≥200 (Kline, 2005)

According to study findings, consumer ethnocentrism has a direct influence on reasoned action (subjective norms and attitude toward domestic products) and an indirect impact on brand equity (brand awareness, brand quality, and brand image) via subjective norms Thuy (2021),

Yuantao et al (2019), Cho (2018), Brislin (1993), Lee et al (2003), Pecotich and Rosenthal (2001), Steenkampet al (2003), and Wu et al (2010)

According to the findings of this study, local fashion firms must use the ethnic aspect to appeal to national beliefs, which will have a significant influence on brand construction and development Consumers of Generation Z in Vietnam, in particular, are a huge group of potential customers with strong fashion consumption demand and a large effect on other customer groups The study's findings also suggest that reasoned action has a positive influence on the components

of brand equity Particularly subjective norms have a direct beneficial influence on brand

awareness and image Subjective standards have an indirect influence on brand quality through brand awareness Domestic product attitudes have both direct and indirect beneficial effects on brand recognition and quality, as well as brand image

This study's findings are consistent with those of prior research such as Perera et al (2020), Shah et al (2016), and Sijoria et al (2019) Customers who have a good attitude about home objects, according to the data, have a very big influence on brand quality perception National governments must continue to fund propaganda efforts in order to build morale and urge people

to actively use local products in order to support domestic businesses Domestic enterprises should also increase their participation in lobbying initiatives aimed at promoting national pride and identity

2.3.Develop Brand Love for Fashion Brands in Viet Nam (2020)

The study's goal is to assess the impact of celebrity image (CI) on social media advertising (SMA) and SMA on brand lovers in the Vietnamese fashion sector According to the findings, CI relevance is the most important element for SMA, followed by attractiveness and competence SMA has a favorable impact on brand loyalty Many Vietnamese fashion businesses must boost brand preference by concentrating on SMA tools and the development of the brand's CI

(attractiveness, expertise, and relevance) Brand love is defined as a customer's emotional desire, connection, and dedication to a single brand, and it contributes to the consumer and brand's long-term relationship being personal (Batra et al., 2012) Carroll and Ahuvia (2006) describe brand love as a passionate and optimistic emotion for a certain brand engendered by good

communication between the customer and their brand, and a brand that people regard as a

hedonic product has a positive influence on the brand In the context of the fashion business, customers have adored their fashion companies over the previous 5-10 years owing to their desire to be inspired (Ismail and Spinelli, 2012) Experts must create brand love since delighted consumers might become loyal customers (Gumparthi and Patra, 2019) As a result, brand love may be defined as admiring feelings and emotions for a single brand that guide dedication or allegiance

The quantitative research approach is used in this study, which collects data from customers

of local fashion brands in Ho Chi Minh City The research's target group is adults aged 18 to 45 who are fashion-conscious and buyers of local fashion businesses in Ho Chi Minh City About 36.2 percent of the population of Ho Chi Minh City is interested in fashion (Vinaresearch,2019); the population considered in this study is approximately 3.258 million

As a result, the acceptable sample size for the inquiry is 400 questionnaires (Yamane's

calculation) The quantitative study data was acquired by paper-based surveys, with 450 offline replies To check the quality of the sample, the questionnaire survey was done twice (once as a pilot study and once as an official survey) In Ho Chi Minh City, a pilot study of 20

questionnaires was done among buyers of local fashion businesses Following that, Cronbach's Alpha for each component was calculated to guarantee the dependability of scales and observed variables (Kawa and Maryniak, 2018) This research performed an official assessment of

numerous well-known local fashion brands in Ho Chi Minh City Cronbach's Alpha reliability coefficients, Exploratory Factor Analysis (EFA), Confirmatory Factor Analysis (CFA), and Structural Equation Modeling (SEM) using Amos were used in quantitative research to

investigate various factors that influence consumers' brand love in the Vietnamese fashion

industry, using celebrity image and social media evaluation tools With a standardized coefficient

of the beta of 0.541, social media advertising is a determinant of brand love As a result, many fashion firms must enhance brand love by focusing on social media advertising with the creation

of the brand's celebrity image (attractiveness, competence, and relevance), and relevance is the most influential aspect of social media advertising This study does have some drawbacks

Because of the great effect of local well-known celebrities, the influence of various celebrity pictures might differ between different sectors in Vietnam, thus further study is needed to

examine the impact of celebrity image on brand love in various industries

CHAPTER II: AN OVERVIEW OF THE RESEARCH PROJECT

1 Research framework

2 Research objective

With this study, we’re going to make a survey and collect data on students' current local brand consumption needs, from which to analyze, identify and make statistics on the factors affecting the selection of clothing models suitable shirt for current students, thereby knowing the

requirements, desires, and preferences of each individual participating in the survey Through this, it is possible to capture the needs and tastes of each student, thereby helping entrepreneurs and businesses to capture information and make appropriate strategies in the future In a more precise view, our research has the following subsidiary objectives:

1 Find out the actual use of Local Brands by students

2 Identify the needs, perceptions, desires, preferences, and factors affecting the students' behavior toward buying local brands

3 Evaluate the research and offer solutions that help to manage to make suggestions to improve product quality, plan pricing policies, distribution policies to satisfy customer needs customer needs in the Research object and scope

3 Research questions

1 Find out what

local brand is?

• Writing the definition and

the background of local

brand

2 Research Objectives

• Find out the actual use of local brand clothes by students

3 Research Questions

• Including three questions

4 Data collection

• Object: students

• Area: Ho Chi Minh City

• Data collection method

5 Research plan

• Making a detail research

To be able to achieve the above three goals, we have concretized with the following three main research questions:

1 What are the criteria users set when choosing Local Brand products?

2 How are people aware of the different Local Brands and what factors influence choosing

a Local Brand to use?

3 What is the level of interest and buying habits of Local Brands of students in Ho Chi Minh City?

4 Data collection

4.1.Research scope

Object: Students studying at universities/colleges

Area: Ho Chi Minh City

4.2.Data collection method

4.2.1 Survey method

In this method, our group will survey questions for close friends or students on the campus of the University of Transport in Ho Chi Minh City to have more realistic data In addition to this method, we will ask some crucial questions to be able to know the most realistic feedback from customers about customers' feelings and attitudes towards the survey This method will use a survey by answering questions through a survey paper, and an on-site assessment

4.2.2 Observation method

This method is one of the most practical ones Our group will conduct this survey by actually observing people, especially students when they are going to school or walking on the road and

we also observe at universities to know the popularity and recognition of a brand

4.2.3 Documentary research method

In addition to the survey methods by survey questions, our team also uses references,

research papers, and academic definitions on the topic to be able to evaluate as objectively as

possible The group will mark the important parts of the topic, list the shelves and discuss

together to make the most accurate assessment before putting it into the research paper

5 Research plan

Week Plan

1 Identify the research problem, research question, and research objective

1-4 Refers to documents related to the research topic, thereby proposing research models

and establishing research hypotheses

4-5 Drafting and editing the questionnaire

5-9 Conduct surveys and collect data Send questionnaires directly to 100 people

9-11 Editing and adjusting data and data statistics

11-12 Test the research hypotheses and determine the relationship of the factors in the model

CHAPTER III: RESEARCH RESULTS

1 Overview of survey participants

1.1 Age

Figure 1 – Age, Source: Survey from the research team

Around 2011, the definition of local brand was born and was aimed at young people,

especially the 16- to 28-year-old age group Therefore, our team decided to survey the subjects

of students from the first year to the 4th year (18-21 years old) who are studying at universities in

Ho Chi Minh City

The pie chart above is the result of a compilation of 45 surveys from students at various schools in Ho Chi Minh City First-year students accounted for 87 percent of the total, followed

by second-year students with 9 percent, and finally third- and fourth-year students with an equal

2 percent of participants It can be seen that the number of first-year students accounts for more than 3/4 of the total number of survey participants The explanation for this is probably because our group is also a freshman, so the subjects who approached this survey were also mostly

students of the same age However, groups of 2nd, 3rd, and 4th-year students still had

participants in the survey This shows that all ages have people who are interested in local brands and participate in surveys

1.2.Gender

Figure 2- Gender, Source: Survey from the research team

Of the 45 people surveyed, the number of women accounted for 53 percent The number of males is 45%, less than the number of females is 8% Finally, the gender is different from 2% of the total

Until now, women have always been a symbol of beauty, so it is understandable that they love fashion more than men And the introduction of the local brand makes the fashion industry more bustling and more attractive to women That's one of the reasons why more women do surveys than there are men Even so, the percentage of men surveyed is not too far from the percentage of women surveyed This shows that men today are also becoming more interested in the fashion industry Therefore, the products of local brands today are mostly produced unisex so that all genders can wear them without distinguishing between men's and women's