the holistic marketing

Individual Assignment Subject: Marketing Management

INDIVIDUAL ASSIGNMENT

Subject: MARKETING MANAGEMENT

The holistic marketing activities carried out by Vietnam Mobile Telecom Services.

Company Vietnam Mobile Telecom Services Company (VMS) is a State subsidy under

the Vietnam Posts and Telecommunications Corporation. The company was formed in

April 16th 1993; it has become the first mobile communication operator GSM 900/1800

with the brand MobiFone, land marking the start of the telecom sector in Vietnam.

MobiFone is specialized in setting up network and delivering telecom services.

4. Relationship Marketing

4.1 Customers

The goal: strengthen the implement activities for customer’s retention, and seek

potential customers.

4.1.1 Client Database and customer classification

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♦ Collect and store customers’ information of MobiFone

Currently, MobiFone is using software billing systems and customer care (Customer

Care and Billing), also known as software checking billing “FBT.ICBS” from FPT (a

multinational information technology company of Vietnam). Due to the characters of

the mobile communications industry, from the information gathered, the company has

managed the customers ‘database into two groups: - Postpaid – Prepaid subscribers

♦ Determine Type of Customer: MobiFone classifies customer combines between

defining target users and frequency of using. There are 5 types of customers: VIP

customers; major customers; business; internal customers; agents; personals customers.

4.1.2. Identify target customers

MobiFone determines developing subscriber for all users who could use mobile

phones.

4.1.2. The tools to influence target customers

♦ Direct Customer Care: Mobifone implement customer care through main stores

of MobiFone, market development group and authorized agents system and chargeable

partners

♦ Website: Mobifone.com.vn

♦ E-mail: send email of billing notifications to individuals

♦ SMS marketing: 090, 18001090.

♦ Call Center: 0905.144.144, 18001090, 9090

4.1.3. Designing policies to interact with the target customers

♦ Services Customer Support: provides forms of postpaid contracts for customers or

the Tool “Customer SelfCare” allows customers of MobiFone’s subscribers can use USSD

message or request to resolve complaints or automatically lookup some basic information.2

http://en.wikipedia.org/wiki/Vietnam

http://en.wikipedia.org/wiki/Information_technology


♦ The regular programs to maintain customers’ loyalty: The annual customer care

program, Irregular customer care program. For example: - For customers who register

“long-term connection” will receive Birthday Gifts for Members, Incentives of service

(connection speed, speed of access, use limit, payment charges ..), provides Free SIM

with the highest capacity which MobiFone provides current subscription (01 times / year

when members need to replace the SIM card)…

♦ Current Promotions program:

+ Promotion prepaid: for active subscribers: MobiFone offers 50% for every top-

up into balance of prepaid customers (active, incoming/outgoing barred but during the

validity of subscription numbers), offer up to 50% for postpaid customers who use online

bill payment… For new subscribers: offer up to 100% for the first deposit money into

their account and up to 50% for the next time.

+ Promotion postpaid: MobiFone offers 50% discount promotion of postpaid

customers when deposit money into their account for active subscribers…

+ Promotion services: Drawing for prize, Samsung Galaxy S4 for nice messages,

Play Exciting Game show – Earn Happy Money, Auction for LG G Pro Lite Dual D686,

12 VTVcab channels on Mobile TV…

4.2. Channel

4.3. Partners

ICTnews - With the open cooperation policy and diverse forms, MobiFone is ready

to shake hands with all providers of value-added services on mobile in Vietnam, and

accepts revenue sharing up to 90% for partners. To become a partner of MobiFone,

enterprises have large investment, transparent. The cooperation will take place the long-

term, equal; the best solution would be a priority, especially the exclusive cooperation

with MobiFone.

http://ictnews.vn/vien-thong/mobifone-san-sang-phan-chia-90-doanh-thu-cho-

doi-tac-120659.ict

1. Internal marketing3

http://ictnews.vn/vien-thong/mobifone-san-sang-phan-chia-90-doanh-thu-cho-doi-tac-120659.ict

http://ictnews.vn/vien-thong/mobifone-san-sang-phan-chia-90-doanh-thu-cho-doi-tac-120659.ict

https://www.mobifone.com.vn/portal1/en/promotion/promotion_service.jsp?id=4113

https://www.mobifone.com.vn/portal1/en/promotion/promotion_service.jsp?id=4115

http://quasinhnhat.mobifone.com.vn/


Currently, the company has 5 departments which have marketing activities are:

- Postage – Marketing Department

- Planning – Sales Department

- Customer Care Department

- Billing Center

- Payment Billing Department

In addition, other departments also coordinate with each other to carry out marketing

activities, such as coordination among Accounting Division - Statistics - Finance in

providing financial resources for marketing activities, coordination between the Technical

Department and Postage – Marketing Department to build the features of the product ...

The Marketing departments always have intimate relationship with the other departments.

+ Postage – Marketing Department.

Activity of this department is divided into three main groups: Group

Communication, Creative group and Postage - Services.

Communication Group is responsible for reporting all over the media,

establishing and implement plans, events, researching and organizing the sponsor

activities and customer conference, working with the press agencies to advertise...

Group Postage - Services are responsible for coordinating with other departments

build medium and long-term business plan, and proposed research postage plan....

Creative Group is responsible for designing the communication messages on the

media, watch for progress of job and payment of the contract, the advertising-related

packages and value-added services, collaboration of designing website...

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Manager of this department manage and guide directly the activities of

Communication and Postage - Services the group, also deputy manager is responsible to

manage creative team. Thus, the division of work has specified definitely duties of each

employee in the department.

+Planning – Sales Department.

The planning and implementation of the sales are split into a separate department to

quickly provide material products to customers through the distribution channel. Planning

– Sales Department is responsible to build the distribution system to meet the demand for

the product, and resolve the conflicts which takes place in the channel, develop

horizontal, vertical channel to suit the size and coverage of the market, look for

intermediaries involved in the distribution channel and manage the flow in the channel.

+ Customer Care Department.

As the service element of the variable product, this department was established to

ensure the company's customers are cared carefully: answer customers ‘questions and

complaints, gather information from them. Specific tasks are followed:

Management of subscribers.

After subscribers services in the company.

Proposeing new services.

Connecting and disconnecting subscribers.

Managing customers’ records.

Replying customers’ complaints.

Repairing and giving a warranty to terminal equipment, simcard ..

2. Socially responsible Marketing

2.1 Ethics5


2.2 Environment

2.3 Legal

2.4 Community

Besides the business development, participation in social activities is the goal of

MobiFone. MobiFone has joined so many charitable programs and community activities

for the recent 20 years especially programs to support and care for orphans, disabilities

people, Agent Orange Victims, “the gift of life” program for the poor patients ... towards

a community of happiness and prosperity.

to Japan", to help Japanese people during the tsunami in this country in 2009.

In 2009, Mobifone implemented the program “Operation Smile” which was marked

with the cooperation between MobiFone and one of 200 non-governmental organizations,

for the goal of bringing bright smiles on the faces of the children and unlucky families in

Vietnam. In addition, MobiFone is the only mobile network which introduced free SMS

and calls to Japan "Closer to Japan", to help Japanese people during the tsunami in this

country in 2009.

For the poor, MobiFone has organized program to auction Sim to build a house for

people who are in danger by the flood disaster. In addition, Mobifone had participated

program "One Heart - One World" for 10 years with Invalids and Social Affairs, Disabled

and Orphans sponsoring Centre raised hundreds of billion for the poor, the disabled,

orphans ... For talented pupils, MobiFone gave scholarships for them to encourage young

talent, ...

The company also launched the program "Together with MobiFone connection

loving arms" to raise funds, clothing items, school supplies ... to give orphan in Charity

Center of Hanoi and some neighboring provinces.

3. Integrated Marketing

3.1 Product and service: including products (equipments: USB 3G and cell phone) and

services

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Service are divided into two group of customers: personal and business

3.1.1 Personal product and service

Currently, MobiFone are exploiting in the first 4 numbers is 090; 093; 0122 and 0126

many packages with different target customers. Each package aims at certain customers

with the different pricing and services policies.

- For customers who prefer talk: MobiGold, MobiCard and MobiZone

+ MobiGold is prepaid packages which are developed based on the needs of target

customers are business people in urban areas. As a postpaid package, the customer will

pay the expenses incurred by each month and at the end of each month. By using this

service customers will receive the benefits:

Easy to pay: customers ask for at-door bill collection, ATM by Vietcombank and/or walk

in MobiFone shops.

Customers care service: dial 9393 for 24 hour support service.

More utilities services free.

Happy birthday: MobiGold customers will get presents on their birthdays.

Special customers: MobiFone will present special customers who are big users to

MobiFone periodically.

Loyalty Program: applicable for program members which is based on monthly bill and

bonus point collected during their usage for awards. The starting point for bonus is 300

points.

+ MobiCard is a prepaid package and also the mobile service which easily helps

customers connects to MobiFone operator. MobiCard is the best way to connect mobile

communications. This package is not calculated monthly subscription fee, subscription

date mainly for customers with high income and their main needs is conversation7


+ MobiZone: is for who rarely remove and mainly remove in the local area. This package

is no roaming charges, no subscription fee with the cheap fee (880VND/minute) for the

same mobile network from the registered area. (Apply in 62 provinces except for HCM

city).

- For customers who prefer text messages: MobiQ package

Target customers:

• Customers need more text messages

• Long time validity

+ MobiQ: A postpaid package. This package is not calculated monthly subscription fee,

roaming charges. Designed to meet the needs of customers using mobile communication

services primarily for messaging and receive calls, contacting for a long time.

In addition, Mobifone also supplies many other packages for different customer

group. For instance:

+ For youngsters: Q-263 (Youth officers), Q-student (Students), Q-Teen (Pupils), Q-Kids

(Kids).

+ For those who prefer data: Basic Fast Connect plan, Offers to journalist, Teenagers and

for those who have devices).

+ For group: for friends – Mfriends, For family – Mhome

+For foreigners: Happy Tourist

- Additional products.

Additional products are the value added services that Mobifone provides based

current technology-systems. The value-added services can be divided into two types:

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value-added services with content (the company must provide the content and transfer to

subscribers) and value added services which are no content (GMS technology gives itself

to subscribers or transferred content is given by subscribers. Mobifone is successful in

offering variety additional services which satisfy customers by giving many

entertainments. It is clearly that Mobifone has kept up with general trend when people

need more means to enrich their modern lives. Mobifone has understood these things and

offers many extra services, not just calling and messaging service: These are:

- Mobile Internet: MI plans, Opera Mini plans, Blackberry plans

- Music: EmotionalFunRing, Funring, creative funring, mMusic, Music World, Music

Talk, mRing

- Video: Mobile TV, Mobiclip, mFilm, MediaCall, VideoCall

- Game: mGame, vGame, Wegames

- Entertainment: East Sea Package, mFun, FunFootball, Golden Health, Live Info, Voice

Chat, Weather Info, magic call, Super Sim…

- Utilities: mKids, Missed Call Alert, Call Me, mStatus, eSchool, eStatus, FoneBackup,

Call Barring, Call Forward, Call Busy, Conference Call…

- Messaging: SMS Barring, SMS Plus, Color SMS, Voice SMS, MMS, Fast Mall

- Education: mFunKid, mStudy, FunClass

- Roaming Service: Direct Call IDD and Call 171/1717, Global Saving

- International Roaming: Postpaid, Prepaid, In-flight roaming and on-ship roaming,

Callback Service

- Consulting – Register/Cancel the service: guidance for 3G setting, guidance for use of

BlackBerry models, Guidance for Email settings…

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- Other services: 6/7/8xxx and 9xxx

3.1.2 Product and Services for Business Customer

The Company offers some common services for business such as: M business

policies, Connecting Service, special solutions: Finance – Accounting, electricity,

transportation and integrated solutions such as: EasyMail and BlackBerry… Those

services help the enterprises enhance customer care service by using the messaging or

sending mails to partners more easily…

3.2 Price policy

3.3 Distribution channel

The company has an extensive distribution network throughout the country, enough to

cover the market, the choice of members to participate in the distribution system is

selected carefully based on their qualification

VMS developed distribution channels according to two directions: online stores under the

management of the company and vertical Marketing System (VMS).

“A vertical marketing system (VMS) refers to a channel of distribution in which there is

formal cooperation among members at the manufacturing, wholesaling, and retailing

levels. Unlike a conventional marketing system, where each channel member is an

independent business that competes for their own profits, the VMS channel members act

as a unified system”. (Marketing binder). There are two types of vertical marketing

system: the corporate VMS and the contractual VMS. In this case, Mobifone has applied

the contractual VMS which A contractual VMS would include a franchise relationship

between a franchise store and the corporate office or producer. The producer likenesses a

wholesaler to distribute its products.

+ VMS’s stores: are managed by mobile information centers, the salesperson at the

store are managed by VMS. In addition, VMS’s stores also are functioned as the local

representations of VMS, collect market information, proposals and suggest solutions...

The stores are decorated in a certain standard, create a separate space sales without

competing with other products.

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+ Main agents: are external meditations which are selected by mobile information

centers based on the criteria of VMS and then signing the contract. These are distribution

centers which play the role of distributing scratch cards of Mobiphone, the agents are not

allowed to distribute the prepaid package and postpaid contract. This means they have no

role in the development of subscribers. The main agents of VMS are legal organization in

Vietnamese market, signing a contract in the form of company. Each purchase must be

over 2 billion VND and not based on the area. This is the main distribution accounts for

80% -90% of sales’ scratch cards of Mobifone. Main agents have right to receive the

products at the information centers or the stores of Mobifone and then sell to agents.

+ Agents: to be allowed in distribution, these organizations have to adapt some….

3.4 Integrated Marketing communications

3.4.1. Promotional activities

In recent years, VMS has gradually modernizing the region coverage, improve the

quality of the network, to deploy new services. To support the development and increase

the number of subscribers, the company is paying importance to promotional activities for

subscribers, potential customers of

The company has enough information about the types of services convenient to use for

their information needs. Advertising and promotion of new products high technical

quality of the company VMS with Mobi Fone icon. Promotional activities for the services

being applied in the Company VMS be implemented in various forms and media

combinations in each period and period specific. The promotional activities have been

The company made.

a) Newspaper advertising

New Hanoi, Labor Market Prices, Business, Saigon Award reporter, VN News, Trade,

Sports ... and the local newspaper where

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Thematic graduation coverage of the company and the foreign press: UK, France, China.

Business charge for newspaper advertising is 6.831,525.000 e.

b) In the document, print advertising gifts.

- Brochure coverage, brochures Mobi Fone service, price charges, guide service use

voicemail, fax and data transmission, flag advertising, bags for customers, posters,

signs ... Mobi Fone agent.

Funding for this printer is: 4,003,200.000d.

c) Maintain and refresh billboard

In Ho Chi Minh City 2 sea:

- Sea in the airport lounge.

- Sea of TP.

In Hanoi 2 sea:

- Sea of TP


In Danang 2 sea.

- Sea of TP


There are also signs in the area of Quang Ninh, Hai Phong Nha

Trang, Can Tho, Mong Cai.

The costs of maintaining and refreshing billboard is 1.505.000.000d.

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d) Advertisements on TV

In 2001, the Company undertook the construction promotions for new services such as W

@ P service is performed on television as TV Tw, VTV 1, VTV3, HTV and the local TV

station where coverage to live. Advertise on W @ P services aimed at further information

and persuade customers to use the service. Advertise highlight special focus usability and

economic efficiency of the service "W @ P allows you to access Internet by mobile

phone, send and receive email using mobile phones "message is sent to the customer for

this service. Funding is 4,002,043.000 e ad. In addition, the company advertising on

vehicles such as taxis and 777, Taxi 333 (referred to as 777 or 333 car Taxi) and press

320 to contact the airline VN Airlines at any place Where in the coverage of Mobi Fone.

II.3.4.2. Public relations.

Thematic graduation Production and business activities in the fiercely competitive

environment becoming more intense, to create and position the product as well as image

and reputation of the company in the minds of the customers, the company is focused on

the construction and development of public relations as:

* Organize Customer Conference.

On 04/21/2000 at Melia Hanoi, mobile communication company conference held Mobi

Fone customers in the North. To attend Meeting with company representatives and 80

customers using the service. Customer has been invited to give comments on the

operation of the service provider. The company in recent years. At the conference, VMS

announced to customers issued new rates effective from 05.01.2000 on payment of

renewal fees and charges information about coverage, international roaming services

MobiFone. Through the Conference of customers have contributed ideas about the

network MobiFone mobile communication difficulties in the use of servicesto help

MobiFone increasingly complete. Customers and companies together each table the

proposed plan, action plan in time to follow principle of effective customer the highest 13


purpose. After all, the core company of the activities necessary to achieve organizational

meeting was to give needs of customer and think freely arise. The next step is how to

respond adequately to that need.

* The active communication with customers.

The company has implemented measures such as customer care contact

meet with customers to capture, collect information on the supply

services as well as other needs of the customers.

+ Mobi Fone achievements exhibition introduces the representative office water

outside Hanoi.

+ Mobi Fone participate in Hue Festival 2000

+ Special night of music celebrating 7 years of establishment of VMS.

+ "Strange story VN" VMS sponsored by the Labor newspaper.

* The social activities such as:

Help the people in the disaster area, flood Mobi Fone help bring smiles to children with

deformities Vietnam ...In recent years the company has used some form of order

sales promotion as:

- Giving gifts to celebrate the big day, discounts for customers purchasing one of the full

Mobi Fone package, Tet ... according to the usage of customer service.

- Gifts for the occasion VMS customers who turns 8 years old.

II.3.4.3. Buy direct management (marketing).

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Direct sales activities of VMS is dedicated team should

The company has invested heavily in the training of staff to enhance and promote up the

sales marketing to individual agencies, enterprises and individuals the potential

customers. In addition to the travel time for the direct marketing of subjects that need to

use the service, the team also conducted bhtt mail greeting goods, promotional letters and

letters of recommendation to the new coverage for potential customers in areas under their

charge.

REFERENCE LIST

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VMS

Mobile communication centers (I, II, II, IV, V)

Branches

Main agent

Agents

RetailersMobifone’s stores

Customers

Direct selling

the holistic marketing

Documents