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Running head: MARKETING INNOVATION – KINGS’ ISLAND GOLF RESORT 1

Marketing Innovation Strategy for Kings’ Island Golf Resort

TRMN 504

Que An (Elly) Nguyen

Royal Roads University

July 30th, 2014

MARKETING INNOVATION – KINGS’ ISLAND GOLF RESORT2

Table of Contents

Product description............................................................................................................................................................3

Situation analysis............................................................................................................................................................4

Environmental analysis............................................................................................................................................................4

Competitive and industry trends............................................................................................................................................................4

Economic trends............................................................................................................................................................5

Political and legislation trends............................................................................................................................................................5

Social and cultural trends............................................................................................................................................................5

Technology trends............................................................................................................................................................6

Market potential analysis............................................................................................................................................................6

Location and community analysis............................................................................................................................................................6


Primary competitor analysis............................................................................................................................................................6

Service analysis............................................................................................................................................................9

Marketing positioning analysis............................................................................................................................................................9

Marketing strategy............................................................................................................................................................9

Market segmentation and target market............................................................................................................................................................9

Positioning strategy............................................................................................................................................................10

Media plan............................................................................................................................................................11

Conclusion............................................................................................................................................................12

References............................................................................................................................................................13

SWOT analysis............................................................................................................................................................14


Golf tourism plays an important role for the recreation of human beings. Nowadays, It

has developed dramatically in Asia countries and has become popular than ever. In which,

“Vietnam is merging as Asia’s best new golf tourism destination and the tourism companies are

also promoting the region” (RNCOS, 2012, para. 1). Therefore, the need of Vietnamese for this

sport has increased significantly in recent years. This led to the establishment of golf courses in

order to meet the demand of people. As a result, the competition requires golf course owners

have to create marketing strategy to be beneficial. Kings’ Island Golf Resort is one of many golf

courses in Hanoi,Vietnam, need to build its own strategy to determine the position in the golf

industry of Vietnam. This paper aims to present an integrated marketing strategy for Kings’

Island Golf Resort in Dong Mon commune, Son Tay province, Hanoi, Vietnam. First, a product

description will be provided. It is followed by market analysis, market segmentation. Some

effective media vehicles for marketing as well as recommendations will be given in the end of

paper.

Product description:

Kings’ Island Golf resort located at Dong Mon commune, Son Tay province, Ha Noi

which is 36 kilometers from the city centre. This is a golf resort of 36 holes. The golf resort is

situated in the Kings’ Valley on 350 hectares of land along the shores of Dong Mo Lake

associated with 1500 hectares of waterfront. The Kings’ Island Golf Resort is established in

1993. Afterwards, this golf resort built more courses in order to expand the scale of this resort.

Since then until now, Kings’ Island Golf Resort has two courses, including Lakeside course of

18 holes (built in 1993) and Mountainview course of 18 holes (built in 2004). Although this golf


resort was built long time ago, it is still evaluated one of the most quality golf resorts in Viet

Nam.

Situation analysis:

A situation analysis is used for an existing business instead of a new one (Morrison,

2010, p.134). So, this analysis will study the strengths, weaknesses, opportunities, and threats of

Kings’ Island Golf Resort. Besides, the SWOT analysis of Kings’ Island Golf Resort will be

shown in appendix I

Environment analysis:

Environmental analysis plays an important role for situation analysis. In which, the

analysis some main trends, including competitive and industry, economic, political and

legislative, societal and cultural, technological trends “will highlight long-term marketing

opportunities and threats” (Morrison, 2010, p.138). Based on these factors, there is clearer to

analysis the marketing environment for Kings’ Island Golf Resort in this paper.

Competitive and industry trends:

According to Wheeler and Nauright (2006), in the three past decades, golf has developed

strongly and become the leading sport in the world in terms of economic expenditure (p. 427).

The growth quickly of golf has the world’s most profitable courses as in Abu Dhabi, Cuba or

Vietnam where golf courses are being established as part of the strategy of tourism (The HSBC

report, 2012, p.5). There is undeniable that, golf industry has played an important role for the

development of tourism Vietnam particular and the development of Vietnam economy as a

whole. Besides, golf also attracts domestic people. They view this sport as their leisure activities.


Golf is a potential industry in Vietnam and is continue to evolve in the future. As Phong stated

that in the vision 2020, “Vietnam would have 90 golf courses located in 34 cities and

provinces”(Viet Nam News, 2013, para.6).

Economic trends:

Vietnam became a part of World Trade Organization in 2007. Since then until now,

Vietnam's economy has developed rapidly. The reality shows that over the past years, Vietnam

has obtained tremendously successes in the economic development. The country’s GDP

increased considerably of 5.42 percent in 2013 (Vietnam Briefing, 2014, para.4). Moreover, the

exchange rate is considered a key factor which influences Vietnam’s economy. Luckily, thanks

to the conservation of a monetary policy, “the exchange rate between the Vietnamese Dong and

foreign currency was kept stable” (Vietnam Briefing, 2014, para.4).

Political and legislative trends

The demand of playing golf for both international and domestic golfers is getting

increase. The demand of building more golf courses will bring many benefits to the country.

However, some legislations are posed towards golf industry. According to the Minister Bui

Quang Vinh, the development of golf courses is only allowed on “sandy or fallow land, barren

hills and in places that have really great potentials to develop tourism” (Viet Nam News, 2013,

para.4). These legislations can impact to the establishment golf courses with small size in cities.

Additionally, there was a good sign for foreign investors in golf projects. Vietnam encourages

foreign investors to deploy the projects to build golf courses in provinces.

Social and cultural trends:

Nowadays, thanks to the high quality of life and the disposable household income,

Vietnamese people have the tendency to seek more leisure activities. The growing middle class


population in Vietnam raises dramatically, so people could afford for their trip as well as

recreational activities. Currently, the demographic of people who interested in playing golf is

unlimited. In the past, males tent to play golf. But now, golf is a leisure activity for both male

and female, especially the young generation. According to Vietnam Golf Association, “there are

around 35,000Vietnamese that golf” (Vietnam Golf Zone, 2014, para.1).

Technology trends:

Technology is now very popular in Vietnam. People who live in the city and countryside

can easily access to modern technology systems. Wireless internet connection is used widely

over past years. Also, Wi-Fi systems are used widely in public areas. The technical infrastructure

system is continuing develop in the quality and convenience in order to meet the needs of

tourists. Particularly, a system includes tourist attractions, restaurants, accommodations and

service facilities for sightseeing, leisure, entertainment, sports, etc. In many golf resorts in

Vietnam, the use of video as a coaching assistance is getting widespread.

Market potential analysis:

Market potential analysis needs to use a combination of primary research and secondary

research (Morrison, 2010, p. 144). It plays an essential role for the organization to get more

detail knowledge of customers. Kings’ Island Golf Resort is an oldest golf course in the North of

Vietnam. Therefore, in the process of strongly developing golf as a leisure activity, it is needed

for business as Kings’ Island Golf Resort to study the market potential, especially in the fierce

competition with another latest golf resorts currently. Customer surveys should be looked at past

and potential customers because it is very important for Kings’ Island Golf Resort to measure its

success and create plans for future marketing activities.

Location and community analysis:


Kings’ Island Golf Resort located at Dong Mon commune, Son Tay province, Hanoi.

This golf resort is evaluated one of the most beautiful scenery resorts in Vietnam. Kings’ Island

Golf Resort has a unique position. Golfers access to the golf resort by speed boats. It takes only 3

minutes across Dong Mo Lake to get to the island. The mixture of mountain, forests and lakes

more reinforce the charm of golf resort. Golfers will have an amazing experience in this area.

Moreover, the location of Kings’ Island Golf Resort closes to some historical sites and resorts

and Sontinh camp site in Dong Mo. Besides playing, golfers will have a chance to visit these

places. Also, there is a public hospital which names Son Tay clinic hospital quite close to Kings’

Island Golf Resort.

In terms of Son Tay province, the population is around 180,000. Son Tay was named as a

capital of soldiers because there are eleven universities located in this area, in which eight

universities involved in military.

Primary competitor analysis:

The popularity of golf has grown enormously in Vietnam. Therefore, the flow of local

and foreign costumers to golf destinations has increased as well as the competition among golf

destinations. There are many factors that influence the competitiveness between golf courses.

According to Peter, General Manager of NobleVietnam Co., Ltd said that “golfers are always

looking for new experiences in new destinations” and moreover, the reasonable prices will attract

more visitors to come (Vietnam Golf Tour, n.d, para.4). Besides, other factors such as services,

facilities, etc also contribute to the competition among golf courses.

To compare with Kings’ Island Golf Resort, the following table will identify two direct

competitors. Through the competitors’ websites, some main competitive factors will be

presented which evaluate their strengths and weaknesses of competitors in figure 1 below:


Figure 1: Primary competitor summary analysis

Factors

Tam Dao Golf & Resort(Tam Dao commune, Vinh Phuc province, Ha Noi)

65 kilometers from Ha Noi city centerStrengths Weaknesses

Location + Location near airport+ Bus accessible

+ Less lake in the golf course

Food & beverage facilities

+ Restaurant has a wide space+ Western & Eastern cuisine+ Buffet with low price at the weekend+Outdoor restaurant

+ New bar seem like a restaurant+ Lack of beverage or cafe shop

Pro shop + Full of golf equipments for sale and rental

Accommodation + Guest rooms: family, couple, single

+ The number of rooms is limited (4 for family, 4 for couples and 2 for single)

Other services + Driving range for new golfers+ Jacuzizi & Sauna+ Package tour+ Free bus tour for costumers

+ There is no outdoor services

Factor

Van Tri Golf Club(Kim No commune, Dong Anh district, Ha Noi)

20 kilometers from Ha Noi City centreStrengths Weaknesses

Location + Near airport+ Located in secure gated community

Food & beverage facilities

+ Large wine bar+ Huge dining restaurant+ Have kiosk

+ Beverages are not rich+ Outdoor space for restaurant is small

Pro shop + Golf shop for sale and rental + The shop is small+ Golf clothes and equipments


mostly for maleAccommodation + There is no accommodationOther services + Full service in clubhouse

+ Golf academic + club-fitting centre+ Modern bathrooms with Jacuzzi & relaxing spa+ Package tour

+ Indoor swimming pool has a small size+ Locker rooms reserved for gentlemen only+ Limitation golfers per group: 4 is a maximum+ Limitation of golf memberships: 400 is a maximum

Service analysis:

In appendix I, the SWOT analysis will provide an overview of the strengths, weaknesses,

opportunities and threats of Kings’ Island Golf Resort. As seen in a SWOT analysis, strengths

are not demonstrate a completely successful of this golf resort. Besides, recognizing weaknesses

and work with them, considering opportunities, Kings’ Island Golf Resort will win other

competitors in the field of providing recreation services in the fierce competition.

Marketing position analysis:

The last step in the situation analysis is shown with two key questions. The first question

is “What position (image) do we occupy in the minds of past and potential customers?”

(Morrison, 2010, p.155). The information is gathered from customers play an important role to

set the marketing position. The second question is “How effective is our marketing?” (Morrison,

2010, p.155). When the position strategy is presented, the effective market of Kings’ Island Golf

Resort will be achieved after thoroughly analyzing factors in the process. It will determine some

unique features that this golf resort can be used in positioning it.

Market segmentation and market target:

“ Market segmentation plays a key role in selecting and detailing a marketing strategy”

(Morrison, 2010, p. 212). In order for Kings’ Island Golf Resort to define an effective


positioning strategy, it is needed to determine the market segment as well as target market. There

are seven fundamental segmentation characteristics, including geographic, demographic & socio-

economic, purpose of trip, psychographic, behavioral, product-related and distribution channel

(Morrison, 2010, p. 212). In the case of Kings’ Island Golf Resort, using geographic,

demographic & socio-economic and behavioral characteristics will bring a best approach to the

marketing strategy. Nowadays, Vietnam has become one of the most popular tourist destinations

in the South-east region and has attracted a huge amount of domestic tourists as well as

international tourists. Especially, Hanoi and Ho Chi Minh City account for the large number of

tourist visits (Close-up media, 2012, para.5). In addition, golf tourism is becoming popular in

Vietnam. According to Vietnam Golf Zone (2014), there is around 50,000 golf tourists visit to

Vietnam each year. Therefore, it is very essential to look at both domestic and foreign costumer

in the marketing strategy.

Demographic and social economic segmentation should be focused in the marketing. The

level of household income in Vietnam has increased considerably parallel with the development

of economy. Golf is not only for males, but also for females. Nowadays, the number of women

playing golf is also constantly rose. Hoang Ngoc Phong, deputy head of the MPI's Institute for

Development Strategies said that “golf is a game regardless age” (Viet Nam News, 2013,

para.17). The youth in is getting familiar with this type of sport which is predicted that “golf will

benefit from its association with younger fitter players—driving more fashion and more word on

the street” (HSBC report, 2012, p.11). So, this segmentation is very important for Kings’ Island

Golf Resort apply in its marketing. Moreover, regard to consumers behavior, knowing

consumers’ product purchase and their leisure disposition can have a vital impact on business as


this golf resort. Kings’ Island Golf Resort can provide a longer-term advantage for brand and

product marketing strategies.

Positioning strategy:

Morrison (2010) defined positioning as “the development of a service and marketing mix

to occupy a specific place in the minds of customers within target market” (p.255). So, Kings’

Island Golf Resort needs to get an effective positioning to create unique images in customers’

minds and to create differences from other golf resorts, particularly primary competitors (Tam

Dao Golf & Resort and Van Tri Golf Club). There are different ways to create a distinctive place

in the minds of customers, so that customers know how Kings’ Island Golf Resort differs from

their competitors and how it satisfies their demands. The five Ds of positioning, including

documenting, deciding, differentiating, designing and delivering can be used as a guide for this

golf resort. Kings’ Island Golf Resort is established since 1993, so the first important thing is to

strengthen the quality of services that they have maintained for a long time. Another thing which

plays a very important role is to focus on the feature of products, especially promote the

strengths and eliminate weaknesses (SWOT analysis). Moreover, in order for Kings’ Island Golf

Resort to set differences, it is needed care for services that competitors do not have. Furthermore,

the authenticity of landscape can enable costumers get a higher experience.

Media plan:

Determining how to communicate with target markets plays a significant role in bringing

products to customers. Therefore, Kings’ Island Golf Resort needs to carry out different

strategies associate with the various types of media vehicles to target the market. Undoubtedly,

the development of internet, social has created a convenience than ever. It will be an effective

tool for Kings’ Island Golf Resort connects with customers, both past and potential customers.


Internet marketing: Many people use the internet for planning vacations, booking leisure

activities, etc. If Kings’ Island Golf Resort wants to effectively attract customers, the web page

should be impressed with activity images. Moreover, the web page should constantly be updated

with new information, events on the golf course. Through the social network, Kings’ Island Golf

Resort should more create Twitter account in order to advertise the activities of golf club.

Although the golf resort has Facebook account, they should pay attention that it should never be

allowed to stagnate. These are a good tool for golf club communicates with past customers and

potential customers (domestic and international customers).

Public community: Staffs in Kings’ Island Golf Resort should create awareness of the

golf resort in the community through creating special events that can be hosted. As a result, they

can attract a large number of golfers to come.

Traditional media (newspaper, magazine, etc): regularly work with newspaper, magazine

in the sport area, such as Vietnam Golf Magazine, Vietnam Sport Magazine, etc in order to

communicate and request them print the information, activities or events of golf course.

Conclusion:

Today, the golf industry in Vietnam reveals a bright outlook for the further development

of this area in the future. The existence of old golf courses along with the birth of new golf

courses will lead to a highly competition in this industry. To maintain a growth, Kings’ Island

Golf Resort needs to implement creative marketing strategies in order to maintaining new

customers as well as attract more new customers. This paper describes the trend of golf industry

and the current situation of Kings’ Island Golf Resort, including strengths, weaknesses,

opportunities and threats. Also, the primary competitors are also indicated. The marketing


strategy which aims at product features will enable Kings’ Island Golf Resort has a long term

success and especially, meet the satisfaction and expectation of customers.

References

Close-up Media. (September 24,2012). Research and markets offers report: Booming tourism

sector in Vietnam. Retrieved from

http://search.proquest.com.ezproxy.royalroads.ca/docview/1067129199?pq-

origsite=summon

RNCOS- Business consultancy services. (October 23, 2012). Golf tourism to be the next hot spot

in Viet Nam tourism industry. Retrieved from

http://www.rncos.com/Press_Releases/Golf-Tourism-to-be-the-Next-Hotspot-in-

Vietnam-Tourism-Industry.htm

The HSBC report. (2012). Golf’s 2020 vision. Retrieved from http://thefuturescompany.com/wp-

content/uploads/2012/09/The_Future_of_Golf.pdf

Vietnam Briefing. (2014, January 8). Positive economic numbers for Vietnam in 2013: strong

outlook 2014. Retrieved from http://www.vietnam-briefing.com/news/positive-economic-

numbers-vietnam-2013-strong-outlook-2014.html/

Vietnam Golf Zone. (April 22, 2014). Vietnam golf becomes more popular. Retrieved from

http://www.vietnamgolfzone.com/vietnam-golf-becomes-popular/

Viet Nam News. (2013). Golf course projects face growing criticism. Retrieved from

http://vietnamnews.vn/print/222900/golf-course-projects-face-growing-criticism.htm


Wheeler, K. & Nauright, J. (July, 2006). A global perspective on the environmental impact of

golf. Sport in society, 9(3), 427-443.

Appendix I: SWOT analysis:

Strengths:

- Unique location: close to historical sites, camp sites, resorts

- Ideal product placement in pro shop

- Practice service provides driving range and putting green

- Locker rooms with large scale (350 lockers + 30 showers)

- Outdoor swimming pool

- Provide may facilities: tennis, squash, snooker, riding, shooting, fitness

- Offer sailing and fishing on Dong Mo lake

- Package tour and open every day

- Strong partnership with Bank, airlines

- Achieve many golf awards

Weaknesses:

- Access golf course by boat

- The number of boat is limited

- Driving range has a small size

- Restaurant system is not diverse

Opportunities:


- Further diversity portfolio to other golf complements (watches, tees)

- Create outdoor activities

- Host of golf competitions

- Partnership expansion

Threats:

- The completion with another golf course in the same area

- Attracting foreign golfers is a challenge

- Lifestyle changes towards spending weekends with family

- Declining economy discourages spending on leisure product

- Update new technology

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