Khóa luận tốt nghiệp ngành quản trị kinh doanh đại học Bách Khoa Hà Nội bản tiếng anh với đề tài: phân tích và đề xuất để cải thiển hoạt động Online Marketing tại công ty cổ phần truyền thống VDATA. Bài luận gồm 83 trang được tham khảo và sửa chữa bởi giáo viên và hôi đồng thẩm định.
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MARKING SHEET
1 BY THE SUPERVISOR:
Special remarks (if any):
2 BY THE REVIEWER:
Comments:
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TABLE OF CONTENTS
LIST OF FIGURES 4
LIST OF TABLES 5
LIST OF ABBREVIATIONS & ACRONYMS 6
ACKNOWLEDGEMENTS 7
INTRODUCTION 8
CHAPTER 1 LITERATURE REVIEW OF ONLINE MARKETING 10
1.1 Marketing overview 10
1.1.1 Marketing definition 10
1.1.2 The role of marketing 10
1.2 Online marketing overview 10
1.2.1 Marketing online definition 10
1.2.2 Characteristics of online marketing 11
1.2.3 Forms of online marketing 12
1.2.4 Benefits of Online marketing 13
1.3 Online marketing in business activities of the enterprise 13
1.3.1 Analyze the marketing environment 13
1.3.2 Market segmentation and target market 15
1.3.3 Market positioning 18
1.3.4 7Ps marketing policy 19
1.3.5 Tools of Online marketing 21
1.3.6 Methods for determining a marketing budget 24
1.3.7 Evaluate online marketing activities 25
CHAPTER 2 ANALYSIS OF THE CURRENT ISSUES 28 2.1 Introduction to the company 28
2.1.1 The history of the company's foundation 28
2.1.2 Mission and Objectives 28
2.1.3 Organization structures 29
2.1.4 Main product and services 30
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2.2 The business situation of VDATA company in recent years 30
2.3 Factors affecting the online marketing policy of VDATA digital media joint-stock company 32
2.3.1 Macro environment analysis 32
2.3.2 Industry environment analysis 34
2.3.3 Main competitors 34
2.3.4 Internal environment 36
2.3.5 Comments 37
2.4 The situation of online marketing activities at VDATA digital media joint-stock company 38
2.4.1 VDATA marketing targets 38
2.4.2 Market targets 39
2.4.3 Position the product on the target market 41
2.4.4 The situation of online marketing activities of VDATA (Model 7Ps) 41 2.4.5 Marketing tools at VDATA 53
2.5 Evaluating the situation of deploying online marketing tools at VDATA 53 2.5.1 The situation of online marketing activities of VDATA company through customer reviews (questionnaire) 53
2.5.2 Evaluating the situation of deploying online marketing at VDATA 58
2.5.3 The general evaluation of online marketing activities of businesses 63
2.5.3 Factors affecting the online marketing activities of the company 64
2.6 Advantages, disadvantages and limited causes of online marketing activities 66
CHAPTER 3 PROPOSED SOLUTIONS 68
3.1 Foundations for building online marketing policies at VDATA 68
3.1.1 VDATA's marketing targets in the period of 2020-2021 68
3.1.2 VDATA's online marketing targets 68
3.2 VDATA market analysis 68
3.2.1 Market segmentation 68
3.2.2 Identify the target market 68
3.2.3 Position the product on the target market 68
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3.3 Solutions to build media messages for the period 2020-2021 68
3.4 Solution for media online channels and tools from 2020 to 2021 69
3.4.1 Building an interactive on Facebook 69
3.4.2 Building VDATA's youtube channel 69
3.4.3 Advertise online on digital sites 69
3.4.4 Optimize the main website of the company and build more web sitenize 69 3.4.5 Search engine optimization SEO, SEM 70
3.4.6 Email Marketing 71
3.4.7 Public relations 71
3.4.8 Promotion 71
3.4.9 Personal sales 71
3.5 Proposal for budget and KPIs from 2020 to2021 71
3.6 Marketing solutions complementing online marketing activities 74
3.6.1 Product solutions 74
3.6.2 Price solutions 74
3.6.3 Solution on distribution 74
3.7 Some other solutions need to be implemented 75
3.7.1 Building and developing the brand of the business 75
3.7.2 Customer services 75
3.7.3 Security of personal information 75
3.8 Petition 75
3.8.1 People 75
3.8.2 Finance and facilities 76
REFERENCES ………77
ANNEXES ……… 79
SUMMARY IN VIETNAMESE 81
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LIST OF FIGURES
Figure 1.1:Forms of online marketing 12
Figure 1.2: Main bases of segmentation 16
Figure 1.3: Requirements for Effective Segmentation 17
Figure 1.4: The 7Ps marketing model 20
Figure 1.5: Tools of Online marketing 22
Figure 1.6: Methods for determining a marketing budget 24
Figure 2.1: Organizational structure model 29
Figure 2.2: Macro environment 32
Figure 2.3: Internal environment 36
Figure 2.4: The target customer segment is VDATA's business organization 40
Figure 2.5: The main interface of thuongieuweb 42
Figure 2.6: Website Rental Packages 43
Figure 2.7: Service Price List of Vdata Domain Name Rent 44
Figure 2.8: The Price of Seo web services 45
Figure 2.9: The service delivery system directly to customers 46
Figure 2.10: Product promotion form of VDATA 47
Figure 2.11: The website analytics tool 48
Figure 2.12: Diagram of the process provides services to customers 49
Figure 2.13: Process of handling customer feedback 50
Figure 2.14: Source of information approaching businesses 54
Figure 2.15: Brand awareness 55
Figure 2.16: Products used at the company 56
Figure 2.17: Media messages are impressed by customers 56
Figure 2.18: Comment on the content 57
Figure 2.19: The website interface of the company 58
Figure 2.20: The most searched keywords displayed related to VDATA 61
Figure 2.21: VDATA website rankings and traffic 61
Figure 2.22: Articles on Fanpage sharing about products VDATA 62
Figure 2.23: These posts are more invested on Fanpage 62
Figure 2.24: Factors affecting the online marketing activities of the company 65
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LIST OF TABLES
Table 2.1: Report on business results from 2017 to 2019 30
Table 2.2: Competitive analysis of VDATA 34
Table 2.3: Vdata's Current Software Service Table 41
Table 2.4: Workforce structure of the company 50
Table 2.5: Normal working 51
Table 2.6: Holiday schedule 52
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LIST OF ABBREVIATIONS & ACRONYMS
FAQs : Frequently Asked Questions
ZIP code : Zone Improvement Program Code
SEM : Search Engine Marketing
SEO : Search Engine Optimization
MMS : Multimedia Messaging Service
CEO : Chief Executive Officer
KPIs : Key Performance Indicators
IT : Information technology
HR : Human Resources
SMEs : Small and medium enterprises
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ACKNOWLEDGEMENTS]
This thesis mirrors all the knowledge acquired during the last four years I have dedicated to the studies at university The path was not always the easiest, nevertheless, I would not have been here, at the end of my studies, without all of the hard work and people surrounding me
I would like to express my gratitude to my supervisor professor Trong, for his valuable guidance and feedback provided which helped me to keep on the right track during the whole process of writing the thesis
I would not be here without my parents to whom I would like to thank for the courage, unconditional support and motivation they are giving me every day
I also want to thank my friends who always have stood by my side, have given me their honest opinion and constructive critics thanks to which I could move forward
Lastly, I would like to thank VDATA digital media joint-stock company, and its representatives for the opportunity to work on the real case company as well as all the respondents taking part in the survey I also want to thank all the professors, friends and family members, who have been part of the journey which now, comes to an end
- Signature of Student
Trang 9Online marketing offers businesses a transparent outlet for measuring and assessing the performance of the company`s marketing and advertising strategies Not to mention, it provides a level and cost-effective playing field for the company to compete with competitors
Over the past three years, Vietnam has witnessed the success of social networking forms as a new tool for businesses access to market and target customers through forms of online marketing The benefits of online marketing for Vietnam's business include the ability to reach large target customers, the ability to reach potential customers all over the world, and the ability to customize the marketing for different sectors of the target customers
VDATA Digital Media Joint Stock company is one of the typical companies in Vietnam to apply business activities' online marketing and achieve success over the years Therefore, online marketing has been becoming a crucial part of VDATA How does online marketing activities of VDATA? How to create greater customer value through online marketing?
For that reason, in this graduation thesis, I learned and researched the characteristics of online marketing activities of VDATA and proposed a solution to improve online marketing activities at the company
The title of my graduation thesis topic is: “ Analyse and propose solutions to improve
online marketing activities of VDATA digital media joint-stock company”
2 Objectives
− Systematize basic theories and methods of development market and online
marketing tools to promote commerce brand, product and service of the company;
− Evaluate the benefits of using online marketing;
− Analyze the situation of online marketing activities at VDATA digital media stock company
joint-− Find a suitable online marketing solution to enhance it promoting the company's brand, products and services that help it improve its competitiveness and search effective target market
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3 Subjects and scope of the study
• Subjects
Research online marketing activities at VDATA digital media joint-stock company
• Scope of the study
Location: Studying the situation of online marketing activities in the northern region, especially Hanoi and neighboring provinces
Time: Analyze the situation of online marketing activities at VDATA digital
media joint-stock company (from 2018 - 2019)
Research products: Products and services related to Website, Fanpage
My graduation thesis includes 3 chapter:
Chapter 1: Literature Review
Chapter 2: Analysis of the Current Issues
Chapter 3: Proposed Solutions
Trang 11Hooley et al (2001), in turn, provide the following definition:
“Marketing is the process of profitable matching organizational capabilities to requirements of chosen customers.”
Both of the definitions are rather strategic and customer-oriented, not focusing on operational issues, such as 4P`s of marketing (or marketing mix; product, price, place, promotion) or marketing channels The marketing concept argues that all areas of the firm should be customer-oriented, all marketing activities should be integrated, and profits, not just sales, should be the objective (Hunt and Morgan, 2001) The first argument of these closely relates to the concept of market orientation
1.1.2 The role of marketing
Marketing plays the role of connecting businesses and consumers to help their products not only reach customers faster but also create customers` faith in the products Since then, customer loyalty has been maintained, improving the competitiveness of the business with the competitors, creating opportunities for businesses to increase their market share and get more profits
1.2 Online marketing overview
1.2.1 Marketing online definition
There is no common term to describe marketing through online mediums and terms such as hypermedia marketing, digital marketing, online marketing and e-marketing, are used by different researchers (Dholakia, 2005) Elley and Tilley (2009) described online marketing as online communication activity that can be in different forms and can include different online techniques, such as Search Engine Marketing, online partnership, social media, online advertising, email marketing These online marketing techniques have
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become vital communication tools for the marketing department of a company to promote its websites, services and products in the online environment [1]
Ab Hamid (2008) states that the internet offers many opportunities for companies and
it can be a useful platform for their marketing activities, such as to spread information, attract new customers, retain existing ones and even improve relationships with existing customers by online customer relationship management [2] Today, most of the companies adopted the internet as a part of their marketing communications in their marketing strategies According to Adegoke (2004 cited in Jensen, 2008) “online marketing communications have grown to be an important part of a company`s promotional mix” [3] This view is also motivated by Shankar and Batra (2009) and they state that companies are using the online mediums as a new marketing communication channel and marketing through the internet is growing rapidly [4]
1.2.2 Characteristics of online marketing
- Customers can interact with the ad, can click on the ad to buy, get information about the product or can compare this product with other products, this supplier with other suppliers [5]
- Help suppliers select the target customers and the potential that the business wants to help businesses reduce costs, improve business efficiency
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1.2.3 Forms of online marketing
Figure 1.1: Forms of online marketing Ad-network: Advertising networks provide a way for media buyers to coordinate ad
campaigns across dozens, hundreds, or even thousands of sites in an efficient manner The campaigns often involve running ads over a category (run-of-category) or an entire network (run-of-network) Site-specific buys are not a major emphasis when dealing with advertising networks Site-specific buys are not even available at some networks,
so as not to conflict with in-house sales reps
❖ Search Marketing: Search marketing is the process of gaining traffic and visibility
from search engines through both paid and unpaid efforts
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❖ Social Media Marketing: Social media marketing is the use of social media
platforms to connect with your audience to build your brand, increase sales, and drive website traffic
❖ Buzz Marketing: Buzz marketing is a viral marketing technique that is focused on
maximizing the word-of-mouth potential of a particular campaign or product, whether that is through conversations among consumers' family and friends or larger scale discussions on social media platforms
❖ E-mail marketing: is a form of direct marketing that uses email to promote your
business’s products or services It can help make your customers aware of your latest items or offers It can also play a pivotal role in teaching folks about your brand or keeping them engaged between purchases
1.2.4 Benefits of Online marketing
❖ The Internet gives you wide access to your potential customers It has been estimated that a couple of billion people around the world use the Internet, and more are becoming aware of the Internet with each passing day So, marketing your business to such a large group of people is only possible through the Internet
❖ The Internet is the only medium that can cross geographic and national boundaries
❖ The cost of promoting your business on the Internet is cheaper than other mediums
of marketing This makes it easy for small and mid-sized businesses to advertise their products
❖ The Internet allows the ability to stay connected with customers on a real-time basis
If any discount going on, then it is easier to send an email to customers and they can buy the product instantly The Internet also allows us to send multiple messages at the same time, which saves the tedious task of sending a newsletter to every client
❖ Internet marketing facilitates instant feedback from customers Customers can share their experiences after using the product
❖ Internet marketing saves a lot of time and effort Instead of having a customer service representative to answer the queries of customers, one can put all the information about the product or service on the Internet so that customers can go through it The most common way of doing it is to have a section dedicated to frequently asked questions (FAQs) about the product so that customers get all the required information about the product or the service
❖ Internet marketing allows your business to be available 24/7, which means increased sales and profits
1.3 Online marketing in business activities of the enterprise
1.3.1 Analyze the marketing environment
The Marketing Environment includes the Internal factors (employees, customers, shareholders, retailers & distributors, etc.) and the external factors (political, legal, social,
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technological, economic) that surround the business and influence its marketing
operations
❖ Macro marketing environment
In the field of marketing, the macro environment is the set of external factors and forces, not controlled by the company, that influence its development It mainly includes economic, cultural, technological, legal or political elements
o Economic factors, as discussed above, are related to inflation, taxes,
unemployment, and the recession While people in business can track trends and implement planning, many businesses are not recession-proof
o Political factors may be related to the government They consist of legislative
bills, tax policies, health and safety laws, and government stability The average businessman can’t lower taxes or introduce new legislation that’ll affect the entire economy They must instead understand these factors on a grand level and ensure their business aligns with laws, regulations, and policies
o Social factors consist of people (or consumers) They buy products based on
many different factors This includes their demographic location, ethnic background, social status, immediate needs, lifestyle changes and trends
o Technological factors are often referred to as advancements in technology Not
only technology used to develop and deliver products to consumers But also the technology used to run businesses efficiently The company who is fastest, with the best agile technology, can easily out beat the competition in any market Keeping an eye out on which technology is used in the industry can mean life or death for the firm
❖ Microenvironment
Microenvironment, refers to the environment comprising of all the actors of an organization’s immediate environment which influences the performance of the company,
as they have a direct bearing on the firm’s regular business operations
o Suppliers are the one who provides inputs such as material, components, labour
and other stock of goods to the firm, which is required to undertake manufacturing activities when there is uncertainty as to the supply constraints,
it usually builds pressure on the firms and they are required to maintain high inventories, which leads to cost increases
o Intermediaries refer to marketing intermediaries that cover agents, merchants,
distributors, dealers, wholesalers, etc that participate in the company’s supply chain, in stocking and transporting the goods from their source location to their destination
o Customers: The success of the organization greatly depends on how effectively
the firm fulfills the needs and wants of the customers, which is profitable to the firm and also provides value to the customer The firm needs to analyze what the
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customers expect from their products and services so that the firm can satisfy them
o Competitors: Competition is what keeps the firm thriving Competitors are the
rival sellers operating in the same industry It must be noted that the nature and intensity of competition highly influence the firm’s products and services Product Differentiation is something that helps the firm to beat the cut-throat competition in the market
o Shareholders are the real owners of the company who invest their money in the
company’s business, by purchasing the shares, for which they are paid a dividend every year as a return Shareholders have the right to vote in the company’s general meeting
o Employees: Placing the right person at the right job and retaining them for the
long term by keeping the staff motivated is very important for the strategic planning process Training and development act as a guide to the firm’s employees which ensures an up-to-date workforce
1.3.2 Market segmentation and target market
a) Market segmentation
Market segmentation is the process of dividing a market of potential customers into groups, or segments, based on different characteristics The segments created are composed
of consumers who will respond similarly to marketing strategies and who share traits such
as similar interests, needs, or locations There are various methods (or "bases") a business can use to segment a market However, here is a summary:
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Figure 1.2: Main bases of segmentation
❖ Demographic Segmentation: Demographic segmentation is one of the most
popular and commonly used types of market segmentation It refers to statistical
data about a group of people
Demographic Market Segmentation, examples: age, gender, income, location,
family situation, annual income, education, ethnicity
❖ Psychographic Segmentation: Psychographic Segmentation categorizes audiences and customers by factors that relate to their personalities and
characteristics
Psychographic Market Segmentation, examples: personality traits, values, attitudes, interests, lifestyles, psychological influences, subconscious and conscious beliefs, motivations, priorities
Psychographic segmentation factors are slightly more difficult to identify than demographics because they are subjective They are not data-focused and require research to uncover and understand
❖ Behavioral Segmentation
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While demographic and psychographic segmentation focus on who a customer
is, behavioral segmentation focuses on how the customer acts
Behavioral Market Segmentation, examples: purchasing habits, spending habits, user status, brand interactions
Behavioral segmentation requires you to know about your customer’s actions These activities may relate to how a customer interacts with your brand or to other activities that happen away from your brand
❖ Geographic Segmentation: Geographic segmentation is the simplest type of market segmentation It categorizes customers based on geographic borders
Geographic Market Segmentation, examples: zip code, city, country, radius around
a certain location, climate, urban or rural
Geographic segmentation can refer to a defined geographic boundary (such as a city
or ZIP code) or type of area (such as the size of city or type of climate)
Requirements for Effective Segmentation
To be useful, a market segment must be:
Figure 1.3: Requirements for Effective Segmentation
❖ Measurable: The size, purchasing power, and profiles of the segments can be measured Certain segmentation variables are difficult to measure
❖ Accessible: The market segments must be effectively reached and served Suppose a
fragrance company finds that heavy users of its brand are single men and women who stay out late and socialize a lot Unless this group lives or shops at certain places and is exposed to certain media, its members will be difficult to reach
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❖ Substantial: The market segments are large or profitable enough to serve A segment
should be the largest possible homogeneous group worth pursuing with a tailored marketing program It would not pay, for example, for an automobile manufacturer to
develop cars especially for people whose height is greater than seven feet
❖ Differentiable: The segments are conceptually distinguishable and respond differently
to different marketing mix elements and programs If men and women respond similarly
to marketing efforts for soft drinks, they do not constitute separate segments
❖ Actionable: Effective programs can be designed for attracting and serving the
segments For example, although one small airline identified seven market segments,
its staff was too small to develop separate marketing programs for each segment
b) Target market
The target market is the end consumer to which the company wants to sell its end products too Target marketing involves breaking down the entire market into various segments and planning marketing strategies accordingly for each segment to increase the market share
❖ Evaluating market segments:
o Segment size and growth
• Smaller versus larger segments
• “Positioning is the act of designing the company`s offering and image to occupy
a distinct place in the target`s mind” (Philip Kotler)
❖ Types of positioning strategies
• Product attributes and benefits: Associating your brand/product with certain characteristics or with certain beneficial value
• Price and quality: Associating your brand/product with competitive pricing/ high quality
• Use and application: Associating your brand/product with a specific use
• Product class: Positioning by product class is a marketing strategy that consists
of promoting two products that lie in the same product class By promoting
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two related products simultaneously, the positioning of both is improved in the market The main driver of positioning by product class is usually sales promotions and sales tactics
• Product user: This deals with positioning a product keeping in mind a specific user or a class of users Cosmetics brands like Revlon, L’Oreal or Lakme position themselves targeting fashion-conscious women
• Competitor: Making consumers think that your brand/product is better than your competitors
• Cultural symbols: Culture plays a very important role in society today Thus, many brands as well as products have started positioning by cultural symbols and cultural values to set them apart from the competition
❖ Select and implement a positioning strategy
Enterprises need to determine what is the difference from competitors
• Differentiated products
• Differentiated services
• Differentiated people
• Differentiated distribution channel
❖ Media for positioning strategy
The media plan for the positioning strategy to the target market is designed to convey the positioning strategy to the target market
The tasks of positioning include:
✓ Detect differences
✓ Apply criteria that select the most important differences
✓ Creating effective signals for the target market to distinguish itself from competitors
1.3.4 7Ps marketing policy
The marketing mix is a key foundation on which most modern marketing strategies and business activities are based
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Figure 1.4: The 7Ps marketing model
❖ Product: Kotler and Armstrong (2010) said, product means the goods-and-services combination the company offers to the target market For many a product is simply the tangible, physical item that we buy or sell You can also think of the product as intangible i.e a service [6]
❖ Price: Kotler and Armstrong (2007) said, price is the amount of money customers
have to pay to obtain the product [7] Išoraitė (2016) argued that “price is perceived
as the only element of the marketing mix, generating revenue and the most important customer satisfaction and loyalty factor” [8] The company`s goal in terms of price is really to reduce costs through improving manufacturing and efficiency, and most importantly the marketer needs to increase the perceived value
of the benefits of its products and services to the buyer of the consumer
❖ Place: Service distribution through physical and non-physical channels (7P’s: A Literature Review of Islamic Marketing and Contemporary Marketing Mix 2014).Kotler and Armstrong (2010) argued that “Place includes company activities that make the product available to target consumers.” The place is also known as channel, distribution, or intermediary It is the mechanism through which goods and/or services are moved from the manufacturer/service provider to the user or consumer [6]
❖ Promotion: Promotion is an activity that highlights the products or services to customers (Nuseir & Madanat, 2015) [9] Marketing communication mix (Promotion mix) consists of the specific blend of advertising, personal selling, sales promotion, public relations and direct marketing tools that the company uses to pursue its advertising and marketing objective (Kotler 2007) [10] The previous
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studies also show the linkage between promotion and customer satisfaction (Bawa
et al., 2013; Kadhim et al., 2016; Wahab et al., 2016; Verma and Singh, 2017; Alipour et al., 2018) [11] [12] [13] [14]
❖ People: Zeithaml et al (2008) argued that “ all human actors who play a part in service delivery and thus influence the buyer`s perceptions; namely, the firm`s personnel, the customer, and other customers in the service environment.” People are the most important element of any service of experience Services tend to be produced and consumed at the same moment, and aspects of the customer experience are altered to meet the individual needs of the person consuming it [15]
❖ Physical environment: Zeihaml et al (2008) said physical evidence is The
environment in which the service is delivered, and where the firm and customer interact, and any tangible components that facilitate performance or communication
of the service.” Physical Evidence is the material part of a service Strictly speaking, there are no physical attributes to a service, so a consumer tends to rely on material cues There are many examples of physical evidence, including some of the following buildings, equipment, signs and logos, annual accounts and business reports, brochures, your website, and even your business cards [15]
❖ Process: Zeithaml et al (2008) argued that “the actual procedures, mechanisms, and
flow of activities by which the service is delivered – this service delivery and operating systems There are several perceptions of the concept of process within the business and marketing literature Some see processes as a means to achieve an outcome, for example – to achieve a 30% market share a company implements a marketing planning process However, in reality, it is more about the customer interface between the business and consumer and how they deal with each other in
a series of steps in stages, i.e throughout the process [15]
1.3.5 Tools of Online marketing
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Figure 1.5: Tools of Online marketing
❖ Search Engine Marketing (SEM) - Search Engine Marketing, or SEM, is designed
to increase a website's visibility in search engine results pages (SERPs) Search engines provide sponsored results and organic (non-sponsored) results based on a web searcher's query Search engines often employ visual cues to differentiate sponsored results from organic results Search engine marketing includes all of an advertiser's actions to make a website's listing more prominent for topical keywords
❖ Email Advertising - Email advertising is ad copy comprising an entire email or a
portion of an email message Email marketing may be unsolicited, in which case the sender may give the recipient an option to opt-out of future emails, or it may be sent with the recipient's prior consent (opt-in)
❖ Web banner advertising - Web banners or banner ads typically are graphical ads
displayed within a web page Banner ads can use rich media to incorporate video, audio, animations, buttons, forms, or other interactive elements using Java applets, HTML5, Adobe Flash, and other programs
❖ Frame ad (traditional banner) - Frame ads were the first form of web banners
The colloquial usage of "banner ads" often refers to traditional frame ads Website publishers incorporate frame ads by setting aside a particular space on the web page
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❖ Pop-ups/pop-unders - A pop-up ad is displayed in a new web browser window that
opens above a website visitor's initial browser window A pop-under ad opens a new browser window under a website visitor's initial browser window
❖ Floating ad - A floating ad, or overlay ad, is a type of rich media advertisement that
appears superimposed over the requested website's content Floating ads may disappear or become less obtrusive after a preset period
❖ Expanding ad - An expanding ad is a rich media frame ad that changes dimensions
upon a predefined condition, such as a preset amount of time a visitor spends on a webpage, the user's click on the ad, or the user's mouse movement over the ad Expanding ads allow advertisers to fit more information into restricted ad space xvii Interstitial ad - An interstitial ad displays before a user can access requested content, sometimes while the user is waiting for the content to load Interstitial ads are a form of interruption marketing Text ads - A text ad displays text-based hyperlinks Text-based ads may display separately from a web page's primary content, or they can be embedded by hyperlinking individual words or phrases to the advertiser's websites Text ads may also be delivered through email marketing
or text message marketing
❖ Search Engine Optimization (SEO) -Search Engine Optimization, or SEO,
attempts to improve a website's organic search rankings in SERPs by increasing the website content's relevance to search terms Search engines regularly update their algorithms to penalize poor quality sites that try to game their rankings, making optimization a moving target for advertisers Many vendors offer SEO services Sponsored search - Sponsored search (also called sponsored links or search ads) allows advertisers to be included in the sponsored results of a search for selected keywords Search ads are often sold via real-time auctions, where advertisers bid on keywords xviii Social media marketing - Social media marketing is a commercial promotion conducted through social media websites Many companies promote their products by posting frequent updates and providing special offers through their social media profiles
❖ Mobile Advertising - Mobile advertising is ad copy delivered through wireless
mobile devices such as smartphones, feature phones, or tablet computers Mobile advertising may take the form of static or rich media to display ads, SMS (Short Message Service) or MMS (Multimedia Messaging Service) ads, mobile search ads, advertising within mobile websites, or ads within mobile applications or games (such as interstitial ads, “advergaming,” or application sponsorship)
❖ Display advertising - Display advertising conveys its advertising message visually
using text, logos, animations, videos, photographs, or other graphics Display advertisers frequently target users with particular traits to increase the ads' effect
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1.3.6 Methods for determining a marketing budget
There are four primary methods for determining the marketing budget Here they are, starting with the most widely used method, the percentage of revenue:
Figure 1.6: Methods for determining a marketing budget
• Percentage of revenue – The marketing budget is derived as a percentage of the overall organization’s expected revenue for the fiscal year
• Competitive comps – The marketing budget is derived by estimating the
competition`s spend This task is easier to perform for public companies, which must disclose how much money they spend on sales and marketing
• Activity-based – This bottom-up approach begins with the organization’s revenue number and works backward The budget is calculated based on how many leads are needed to hit the number In addition to lead-acquisition costs, other expenses,
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such as customer retention, awareness, branding, and run-rate costs (see below), need to be factored in
• What you can afford – The least favorite approach, this “hand-to-mouth” method
is sometimes just a reality for smaller companies Needless to say, it is always a good idea to show the CEO, president, owner, or founder the budgets derived from competitive comps and activity-based methods to influence their ideas of what they can afford
1.3.7 Evaluate online marketing activities
In the process of implementing online marketing activities, it requires businesses to follow step by step and regularly check the results, evaluates the ability to accomplish goals From these monitoring and evaluation, enterprises will make appropriate adjustments for each stage to avoid wasting effort and financial resources
To evaluate media activities, you must go and evaluate each communication tool such
as Google Ads, Facebook Ads, SEO, Email Marketing, Youtube, Facebook, based on KPIs, appearance level, access level access and feedback,
Farris et al (2010) said that many businesses lacked the capability measure the costs
of online marketing Managers and executives are responsible for investment, finance, production and information technology, but they don't know how to determine marketing costs (Solcansky and Berova, 2010) [16] Accurately measuring the profit from online marketing also faces the same difficulties It is difficult for the researcher to determine clearly the profitability of marketing and investment activities (Daukseviciute et al., 2011) [17]
implement the strategy
- Market share of enterprises in the market expected profits and actual profits earned
- Quantity, cost, price, awareness of services provided by the enterprise
- The situation of strategic implementation
Epstein and Yuthas,
2007 [18]
Creation - Ability to provide new services compared to competitors
in the same industry to attract customers
- New ideas in the way of online marketing;
- New ideas in providing unique products to customers
Epstein and Yuthas,
2007 [18]
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Implementation Human factors:
- Awareness of business leaders on online marketing;
- Qualifications and competencies of people directly involved in online marketing;
- The distribution of responsibilities in the enterprise in management and implementation of online marketing
Epstein and Yuthas,
2007 [18]
Performance tool Website:
• Website traffic
• Quality of the website: based on the ranking and satisfaction level of customers visiting the website
• Ease of accessibility, access speed
• Quality of website information provided to customers
• Images and designs of the website
Email marketing
• The traffic of people who click on the link in the mail
• Website traffic from emails converted into customers
• Number of people clicking on the link in the mail Search engine optimization
• The position of the website on the website rankings before and after performing the optimization search engine
• The number converted into customers after searching for information
Online banners and online media
• The time information appears on the net and the general search engine's capabilities network systems (Google, Yahoo!, Bing) may be exposed to information, number of readings; in turn forward;
links to information and comments
• Sales; the number of people aware of the story/product; knowledge to bring
• community (Epstein and Yuthas, 2007) Revenue and expenses
• Growth of revenue before and after the implementation of online marketing
• Changes in costs, marketing costs are reduced when marketing online
Epstein and Yuthas [18],
2007 Chaffey
et al.,
2006 [19]
The
infrastructure
The budget allocated for information technology activities;
- The budget allocated for equipment for online marketing;
- The life expectancy of information technology equipment;
Epstein and Yuthas,
2007
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- The effectiveness of information technology equipment in service of technology activities and online marketing
[18] Chaffey
et al.,
2006 [19]
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CHAPTER 2 ANALYSIS OF THE CURRENT ISSUES
2.1 Introduction to the company
2.1.1 The history of the company's foundation
VDATA Digital Media Joint Stock Company was founded in April 2009 by a group of information technology engineers with years of experience in systems integration, digital media solutions, and software
• English name: VDATA DIGITAL MEDIA JOINT STOCK COMPANY
• Vietnamese name: CÔNG TY CỔ PHẦN TRUYỀN THÔNG SỐ VDATA
• Brief name: VDATA
• Address: No 87, Linh Nam District, Hanoi
• Fax: 091.200.5186
• Email: info@vdata.com.vn Website: https://vdata.com.vn
• Law Agent: Mr Tran Van Hai
Over 10 years of establishment and development, VDATA has now become a leading solution consulting company, with customers being multi-industry businesses with customers being multi-industry businesses with diverse and complex information technology application needs VDATA`s solutions include:
• General management information system for corporations, economic groups
• Datacenter infrastructure solution
• Virtualization solutions, enterprise management software solutions
• Sales solutions and warehouse management for chain business models
• Optical transmission solutions…
At VDATA, the engineers are constantly updating the latest technology changes, always one step ahead with developing technology trends and having a great influence on production and business
The core value of VDATA is the application of technologies to enterprise management practices to enhance efficiency and bring competitiveness to business
VDATA is committed to always bringing the best quality products, professional and reliable services
2.1.2 Mission and Objectives
The mission of VDATA is “always innovating the services we provide” The company`s vision is to: “Become the best and leading digital media business in Vietnam”
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2.1.3 Organization structures
Organizational structure model
(Source: Human Resource and Administration Department)
Basic functions of departments
The organizational structure of the company has a clear specialization, each department handles specific tasks However, each inter-departmental linkage is closely attached and under the control and supervision of management and director
• The Chief Executive Officer (CEO): the top executive unit responsible for the
company`s responsibility for the main strategies and development directions for the business The Director will determine the vision, tasks, proposed development directions for the market, customers, partners
• Project Department: Contact customers to develop and implement a project related
to the company`s products and services, monitor and manage the company`s general plans and projects
• Accounting Department: Perform accounting, planning, and monitoring the
company`s financial position and other financial-related plans, perform control over the company`s paperwork and data system including records and other important documents
• IT Department: Researching and installing the products and services of the
company Besides, IT personnel are responsible for building software to meet the unique needs of the business
• Business Department: Including two teams
Figure 2.1: Organizational structure model
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✓ Sale team: Support the board of directors in the business activities of the
company with the goals and mission of the company; monitor and implement business plans, and be responsible for sales
✓ Marketing team: Performing and implementing plans, strategies to
promote the business activities of the company The main activities of the marketing team can be mentioned as targeting customer research, proposing strategies on different media, and implementing them to increase brand awareness, increase interaction with customers, sell many packages of products and services
• Admin/HR: It can be said that this department carries out many activities of the
company, including supporting the board of directors in the organization, personnel management, administration and monitoring the number and attitude of work and propose internal communication strategies, internal activities to increase the cohesion between members and departments
2.1.4 Main product and services
VDATA is a company that provides digital media solutions in many areas as mentioned
in the table above However, one of the strong areas and the company has developed in recent years is a website design and rental services, and sales software
With website service, VDATA has created Thuong Hieu Web as a solution to promote the brand development of the company Market participation strategy is to meet the needs
of the niche market with customers and businesses who have the needs of developing and operating on the website
Velo software is in the process of being developed and finalized to provide applications that help businesses manage goods, orders, contracts, personnel, processes, and many other management factors in a convenient, simple and cost-effective manner
2.2 The business situation of VDATA company in recent years
Table 2.1: Report on business results from 2017 to 2019
Net revenue 8.134.443.343 8.755.189.042 9.883.669.176 Cost of goods sold 4.954.345.454 5.269.255.564 6.013.483.564 Gross profit 3.180.097.889 3.485.933.478 3.870.185.612 Revenue from financial activities 2.134.576 1.450.104 1.892.081
Trang 32(Source: Accounting department)
- The company`s net sales increased steadily over 3 years In 2018, an increase
of VND 620,745,699 is equivalent to 7.63% of the increase compared to
2017 In 2019, an increase of VND 112,848,0134 is equivalent to 12.89% of the increase compared to 2018 which shows that the enterprise is also gradually expanding
- The company`s profit after tax increased in 3 years In 2018, an increase of VND 348,279,412 is equivalent to an increase of 89.73% in 2017 In 2019,
an increase of VND 153,789,163 is equivalent to 20.88% in 2018 The increase in 2019 compared to 2018 is less compared to the increase of 2018 compared to 2017 which the company's business was inefficient, however, the company quickly recovered and guaranteed the average profit since 2018
As such, it can be seen that in all 3 years of 2017, 2018 and 2019, businesses have continuously promoted sales to increase net sales, which increases profits and facilitates the speed of capital turnover
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2.3 Factors affecting the online marketing policy of VDATA digital media stock company
joint-2.3.1 Macro environment analysis
A PEST analysis is a framework or tool used to analyze and monitor the environmental factors that may have a profound impact on an organization`s
macro-performance
Figure 2.2: Macro environment
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❖ Political factors:
• Opportunity
- Vietnamese politics is relatively stable
- The government applies 10% income tax to IT enterprises within 15 years of establishment
- System of policies and laws on consumption and price stabilization
• Threat
- The management of market prices by state agencies is still loose The process of enforcing competition laws for unfair competition acts is not effective
❖ Economic factors:
• Opportunity
- Globalization and economic integration are increasingly extensive, especially in the context of the Fourth Industrial Revolution taking place Information technology products are increasingly valued to create favorable conditions for price competition for Vietnamese businesses which enable businesses to access new technologies and opportunities to constantly improve and perfect themselves in a competitive environment
- The economy has grown at a relatively high level, Vietnam's growth rate reached 7.02% in 2019 compared to 2018, leading to an increase
in consumer demand
• Threat
- Despite the ability to compete on price, Vietnamese digital media enterprises have difficulty in comparing quality with foreign enterprises Many Vietnamese consumers accept more expensive prices to use products and services
❖ Social factors:
• Opportunity
- The population of Vietnam is 96.2 million people, the average annual growth rate is 1.14% so the trend of using domestic goods is high Small and medium businesses like to use online communication to reach customers
- The intellectual standardis higher and higher, so the trend of people
is towards online shopping, entertainment, and beauty, which has a positive impact on businesses operating in the field of digital media
• Threat
- Psychology of consuming foreign goods, not trusting Vietnamese goods
Trang 35• Businesses that build a position in the information technology industry are very important Because customers looking for products and services will mainly search the Internet However, the company did not lead the search on google, while Sapo (Bizweb) and Haravan tore market share
• Customers' behavior is increasingly changing and focusing on searching the internet However, the company has not yet found a position in a google search of customers Therefore, the current online marketing of VDATA compared to its competitors is not effective
2.3.3 Main competitors
VDATA Company has a wide range of services, but currently, it mainly promotes branding services on the internet, of which the most prominent is a domain name, hosting, email services, service related to the website, and advertising services According to the company's preliminary statistics, this niche market is becoming more and more competitive with four strong businesses operating including:
Table 2.2: Competitive analysis of VDATA
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Unique selling The company
has the best security among the competitors
The company show some of the cheapest services among
competitors
The company has a good brand that shows its reputation and
professionalism
The company positions itself as having the simplest process for customers to purchase services
Value to
prospective
customers
Customers get security when using the service
Customers have many ways to fulfill their needs
Customers have more reliable options
Customers have multiple options to meet unique needs
Core competencies The company
has a fast and enthusiastic technical support team
The company provides many different service packages for each customer
segment
The company designs diverse products features
The company optimizes online business
conversion with detailed reporting
Positioning in
market
The marketing mix
(product-price-place-promotion)
+Product (Domain name, hosting
services) +Price (Depends
on the services) +Place (Online) +Promotion (ads and
by the designer)
+Product (Domain name, hosting services) +Price (Depends
on the services) +Place (Online) +Promotion (ads and
by the designer)
+Product (Services related to the website and advertising services) +Price (Depends on the services) +Place (Online) +Promotion (ads and
by the designer)
+Product (Services related to the website and advertising services +Price (Depends
on the services) +Place (Online) +Promotion (ads and
by the designer)
use, good security, enthusiastic consultancy
Online, easy to use, many services, diverse service packages
Online, easy to use, many services, reasonable price
Online, easy to use, strong interface
Weakness Expensive The security is not
Designing more products to catch the trend
Promoting customer service
offering the same service or better
Other competitors offering cheaper services
New competitor offering the same service or better
New competitor offering the same service or better (Source: Synthesized by the student) When comparing VDATA with competitors in terms of services related
to the website, hosting, domain names, and online advertising, it can be seen that VDATA
Trang 37- Although the business has been established for 10 years, the history
of establishment or brand is still unclear and not impressive
- The relationship between managers and employees is close, customers' trust with the company is very good
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o Irreplaceability:
- The business was founded over 10 years which helps businesses create the reputation and trust of customers Businesses are ready to support customers 24/7 with all difficulties and questions enthusiastically and conscientiously which perform better than competitors
❖ Potential possibility [20]:
o Potential possibility VDATA sets wages lower than the regional average for employees' professional experience Therefore, the company's employees are mostly new employees with little experience that greatly affects the business and shows that the company does not know how to use its maximum potential
o VDATA's customers are mostly individual customers based on a close relationship with management If the service production business is in a personal relationship, it will take a long time to build a good brand image VDATA needs
to expand its customers and use its potential capabilities to build a larger number
o Individual skills: company`s most employees have experience of working for less than 6 months so their working skills are still poor and need time to accumulate
o Talented managers: The company has 4 employees with professional experience who are very talented managers So the director directs them to guide new employees
o The brand is an important intangible resource to create a competitive advantage for businesses For customers, the brand is a symbol of quality and a commitment of the trust to manufacturers However, VDATA has not built up its brand image yet
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• Currently, the company has no breakthrough products
• Employees who have worked for a long time are not satisfied with the current salary
• Company policy is not diverse
• Online marketing is still bad, investing is not much
2.4 The situation of online marketing activities at VDATA digital media stock company
joint-2.4.1 VDATA marketing targets
2.4.1.1 Marketing targets for 2018
❖ Business targets for 2018
In 2017, the company's net revenue was over VND 8 billion with an after-tax profit of only VND 400 million After analyzing outstanding issues in the company and market demand, VDATA sets the target that revenue must increase by 25% in
2018 (approximately VND 10 billion) and profit after tax must increase to 50% (approximately 800 million)
❖ Marketing targets for 2018
In 2017, VDATA company provided services to nearly 50 customers, including mostly customers who use the company's small services The number of customers uses full service is very few so VDATA still has been no top of mind awareness Mục tiêu
Marketing targets for 2018:
- Focus on creating brand awareness and demand for customers are small and medium enterprises
- Data collection for small and medium enterprises
- Brand Positioning: VDATA is an enterprise providing media services for small and medium enterprises
- Increasing 50% of businesses using VDATA services
❖ The targets of online marketing activities in 2018
From the business targets and marketing targets that set out above, VDATA has set a direct target for online marketing activities:
- Focus on building brand VDATA is a leading enterprise in providing communication services for small and medium brands
- Emphasize the importance of communication services for small and medium enterprises
- Spread VDATA's communication message to all customers
2.4.1.2 Marketing targets for 2019
❖ Business targets for 2019
The revenue in 2018 was nearly VND 8.8 billion and increased insignificantly compared to 2017, profit after tax was nearly VND 740 million In 2019, the target`s business is to increase net sales by 20% compared to 2018 (about VND 10.5 billion), profit after tax increased by 20% compared to 2018 (about VND 888 million)
❖ Marketing targets for 2019
Trang 40- Data collection of small and medium enterprises
- Brand positioning: VDATA is an enterprise that provides communication services for small and medium-sized businesses
- Increasing 50% of businesses using VDATA services
❖ The targets of online marketing activities in 2019
In 2019, VDATA's human resources are more stable, the marketing department is more experienced Businesses set a number of targets for online marketing activities as follows:
- Promoting brand image building, emphasizing the message "VDATA is a company specializing in providing communication services for small and medium enterprises."
- Create demand for customers to find and use the services the company provides
- Building brand trust, being the leading brand in providing communication services for small and medium enterprises
- Promote online marketing to provide information to customers on the internet, collecting potential customer data
- Increase the proportion of new and old customers to continue using the
Evaluate market segmentation by criteria:
Standard 1: Size and growth of the market
Standard 2: Attractive level of market structure
Standard 3: The targets and capabilities of the company
Based on the above criteria, VDATA's target market in recent years:
• Customers are organizations
- VDATA is a company providing services and software for digital media solutions, The company`s products meet the needs of the majority of businesses and organizations in business activities and organizational management as well operate equipment and machinery VDATA`s corporate customers are now divided into several major segments, such as: