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[
]WATER-SAVING PRODUCTS
2014Team BUNNY
Trần Thùy Linh
Trần T. Hoài Thương
Nguyễn T. Thanh Thủy
Đào Thanh Hằng
Nguyễn Như Quỳnh
ECO-BATH MARKETING PLAN – WATER-SAVING PRODUCTS
Table of Contents
I. Executive Summary............................................................................2
II. Current Facts.......................................................................................3
III. Market and Customer Analysis........................................................4
IV. Company Analysis............................................................................5
A. SWOT Analysis................................................................................5
B. Competitor Analysis.........................................................................6
V. Marketing Objectives..........................................................................7
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ECO-BATH MARKETING PLAN – WATER-SAVING PRODUCTS
VI. Market Segmentation........................................................................8
VII. Marketing Mix..................................................................................9
VIII.Budget:...........................................................................................12
IX. Implementation Plan.......................................................................12
X. Evaluation and Control......................................................................14
I. Executive Summary
Water may cover the globe, but the world’s water resource is limited related
to human demand, causing what the United Nations and others have defined as a
global water crisis. In order to raise people awareness about saving water in
Vietnam, our ECO-BATH company is going to introduce a new saving-water
product into the Vietnam market. This product is created by the South Korean
designer Jang Woo-Seok, innovative Eco Bath system is a dual water-tank
designed primarily to recycle water rolling down from a washbasin.
This report firstly gives some current circumstances about water in the
world; then is the further market and customer analysis which includes market size,
market growth, market needs and market trends. The report then provides our
company analysis - SWOT and marketing objectives such as: changing the
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ECO-BATH MARKETING PLAN – WATER-SAVING PRODUCTS
consumer’s attitude of saving water in order to save the environment; providing
product awareness of Eco Bath to target customer; expecting the gross sale rises to
one hundred million a month in the first year. It also includes our marketing-mix
which consists of product, price, place and promotion. Lastly are our
implementation plan, evaluation and control for this project.
II. Current Facts
Fresh water is a renewable resource; however, we need to balance between the
amount of reserves and re-creation in using fresh water. Human, animals or plants
cannot survive without water so the lack of fresh water has been and are going to
be more serious in the future, even it is threaten for the lives of hundreds of
millions of people around the world.
In general, the way people use water is quite a huge waste because they think that
water is cheap and an endless resource. In the world, it is about 25 million people
died because of lacking fresh water in every year. It is estimated that by 2020
about 40% of humanity will live in areas of scarce water. About 1,4 billion of
people in mainly Asia or Africa is not able to access fresh water and 3 million of
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ECO-BATH MARKETING PLAN – WATER-SAVING PRODUCTS
children died because of lacking fresh water each year.(International Conference
on Water Week in Stockholm , Sweden Typically 22-26/8/2005 ).
In Vietnam, about 62.5 % of water is from the territory of other countries in the
upper flow. The amount of water from Vietnam territory remains about 37.5 %.
Therefore, the amount of water is not very much, especially during the dry season;
the countries in upper flow increase their demand of using water. While
underground water reserves in Vietnam is at average level compared to other
countries in the world. In big cities like: Hanoi, Haiphong, HoChiMinh city, the
percentage of people who can use fresh water is about 60-70%, when this rate in
rural areas just reaches 30-40%.
In the future, in order to have fresh water to use and face the issue of lacking water
in daily activities, people need to enhance their awareness of saving water.
According to these facts, my company comes with a creative product that is called
Innovative Eco Bath System to help people to save water.
III.Market and Customer Analysis 1. Market size
Our potential customers who have the willingness and ability to buy our products
to save water are all households or business institutions (companies) live or locate
in Hanoi and Ho Chi Minh City areas. Because in almost these areas people tend to
use modern furniture to create a professional and modern space, even try to follow
the government policy about saving water.
2. Market growth
After launching Innovative Eco Bath System as a potential product, we will start in
small market that is all households in Hanoi and Ho Chi Minh City. From this market,
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ECO-BATH MARKETING PLAN – WATER-SAVING PRODUCTS
we will try to collect the respond or opinions of customer to improve our products/
services quality and then access new market. After high market growth rates, we
extend our market to a larger market that are organizations or companies in the
suburban areas of Hanoi and Ho Chi Minh City.
3. Market needs
Firstly, our customers' needs a product with a reasonable price. Secondly, because
they also want to save water, so our design allow to recycle water rolling down from a
washbasin that will be use to flush the toilet. Finally, they want a product with simple
and modern product that can save the space in their bathroom.
4. Market trends
We realized that customers are paying more attention on the method to save water.
Since, due to Hanoi Water Supply Company, there are many difficulties in water
supplying in summer 2014. Because the consequences of broken pipeline of water on
recently time that took over 72 hours to repair. Also, the underground water are going
to decline 4-6% while the domestic demand is expected to increase 3-4% that may
lead to lack of fresh water for the whole Hanoi areas.
IV. Company Analysis
A. SWOT Analysis
Internal Factors
a, Strengths:
When producing a very new product which has not appeared in Vietnam market,
our company has reputation as an eco company. Our company also has a group of
energetic and flexible employees which means they are easy to adopt changes.
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Besides, we have suppliers who provide to us low – cost materials while using
modern technology. It helps us to reduce production cost and be able to set a
suitable price.
b, Weaknesses :
However, being a new company also a weakness since customers are more familiar
with other competitors’ product. Our employees are still young and not so
experienced. Besides, we do not have strong capital like our competitors.
External Factors
c, Opportunities
Currently, people are more concerned about environmental problems; therefore, an
eco product will be more attractive. Furthermore, the economic conditions are
unstable so people tend to save money and do not spend much. Our company may
have the support from some environmental organizations because we produce Eco
Bath System to reuse recycle water for saving water.
d, Threats
Our competitors have strong capital and have been in this market for years. They
are very competitive and flexible to deal with us. Moreover, other companies will
see that trend in customers’ behavior which is buy eco and saving product; then
they will try to enter this market.
B. Competitor Analysis
1, Inax
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Inax has the product line of faucets, sink and toilet bowl with luxury design
and elegant forms. Therefore, it brings a convient atmostphere privately, perfectly.
Moreover, they ensure that their products will bring the feeling of relax and
peaceful for the customers. The materials are also warranted about the quality.
2, Toto
Toto provides products of faucets, toilet bowl and sink with sample and
sophisticated design that is suitable for both urban areas, suburban areas or rural
areas. Toto trend is making the design become more and more simple but it still
creates courteous space in customers' bathroom. Toto's product is using popular in
Vietnam market.
After all, these two competitors have years of establishment and development.
They know the customers and are able to provide more choices for customers.
Therefore, in order to deal with them; we have to forecast all the changes in the
market to take an initial action if we want to survive.
V. Marketing Objectives
1. Changing the consumer’s attitude of saving water in order to save the
environment.
Even though fresh water is a sustainable resource; we should protect the water
environment to meet current and future human demand because water is essential
to our life. Saving water does not only reduce the amount of water used in
unnecessary things, but also recycle the usage water. According to Mr.
Dhanabalan, individual house owners can set up recycling plants inside their
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premises. “The water used in the kitchen and bathroom could be separated from
the sewage, recycled and used to fill flush tanks and watering the plants. People
must be willing to spend for it,” he said.
2. Providing product awareness of Eco Bath among target customer.
Our main product is Eco Bath which is created by Jang Woo-Seok, South Korean
designer. Innovative Eco Bath system is a dual flush water-tank designed primarily
to recycle water which has been using from a washbasin. The “Eco Bath” concept
uses 50% used water and 50% new water for a toilet system half-ways to nature
friendly.
Benefits of the project to customers
a) Make the customer’s life to be more green and friendly with nature.
This means customers will be able to protect the environment.
b) Help customers enjoy their life with model technology without
destroying the nature.
c) Give customers a chance to experience the brand new product in the
market.
3. Raising the gross sale to 100 million a month with selling one hundred
products with the price of 5.5 million per unit.
We will implement marketing plans to promote this program and other higher-end
services to our potential clients to reach the gross sale of 100 million VND for
more than ninety products per month in the first year launching the product. For
the next year, we expect the sales will rise 15%.
VI. Market Segmentation8 | P a g e T e a m B U N N Y
ECO-BATH MARKETING PLAN – WATER-SAVING PRODUCTS
1. Customer:
Our target customers are people living in big cities – Hanoi and HoChiMinh City,
because:
Geographic: urban area where densely populated and highly educated
population.
Demographic: High income (compare to other places – suburban or rural
area)
2. Some facts to explain why we choose that segmentation:
Following Deputy Director of Department of Engineering, in 2014-Hanoi,
they just provide 100% fresh water for 10 districts and 43.25% suburban
area.
Besides, in Ho Chi Minh, 89.43% citizen has fresh water to use. To provide
to 100% citizen, government must to invest 4,500 billion VND. It absolutely
is a big number.
In fact, the percentage of waste of water is 34%. Therefore, the needs of
using water are in alarm status.
3. Target market:
We focus on citizen in urban area as primary customer where the citizens
have good conditions such as technologies (smart phone, radio, and
computer) to know Saving Water Equipments. In addition, their living
standard is higher than other. Therefore, they are willing to pay more money
to buy Saving Water Products. Furthermore, most of the population is living
urban area since it is convenient for their live. When targeting in this market,
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we can persuade more people and be able to improve result of saving water
process. Thus, in present and in the future will have more people know this
product as Green Product.
4. User positioning:
With the purpose is saving water, Eco Bath is good and useful for anyone
who loves this kind of products and also bring the high aesthetics for their
home.
VII. Marketing Mix
1. Product
Our product is Eco Bath used in bathroom. It was created by the South Koren
designer Jang Woo-Seok, innovative Eco Bath system is a dual water-tank
designed primarily to recycle water rolling down from a washbasin. It is composed
of two key parts including a left part having recycled water, while the right part
comprises of tap water. Outwardly, it looks a normal water-tank except two levers
and a single LED. So, when the left part is full of recycled water, the LED
becomes green light, and then we can pull the lever for recycled water to flush the
toilet. Inversely, the LED stays on red light, indicating not full it yet; then we can
pull the lever for tap water to flush the toilet.
Here is some information about product:
Material: Stainless Steel / FRP
Colors: White & black
Dimension: 1760x1060x890mm
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2. Price
Setting price with changing price reasonably and flexibly will help to increase our
sales. When setting price, we specially pay attention to two objectives:
New market: We have to make sure that we can penetrate into new market with
the set price.
Profitability: In price-setting process, we can not ignore the sales revenue and
profit that we are going to make. It tells us whether the company is able to
invest and develop or not.
Our main pricing method is full costing (variables cost, fixed cost, tax…). We
choose this method because it is fair for both producer and consumer. The price is
more reasonable and stable.
After considering all the cost, the price is 5.500.000 VND for one. It is a
reasonable price since our product is both washbasin and toilet. Moreover, there
will be deduction on the total bill up to 10%; it depends on how many products
customers buy.
3. Place
We have 3 main kinds of distribution in two big cities – Hanoi and HoChiMinh
City.
Showroom: Where we show only our products, salesperson will have full
knowledge about our product so that they can introduce to our customers.
Retail: In order to enhance distribution area, we give retailers great
commission and products’ information as well.
Website: For customers who are busy and can not go out, they can visit
our official website to read information and order. They can choose to
pay by credit card or in cash.
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We provide free delivery for all types of purchases in Hanoi and HoChiMinh City
since they are our target markets. We also ship our products to other small cities or
provinces as well. However, customers must pay shipping charge
4. Promotion
Our purpose of communications is to persuade customers buying our products and
beyond that is to raise their awareness of saving fresh water. We also know that,
when buying something, they always have to ask salesperson about the products.
That’s why our target of communications is also salesperson to make sure they
totally understand the conditions right now.
In order to do that, we will take advantage of advertisement of TV commercials,
billboard, newspaper, sponsor and endorsement. We try to raise our brand image as
an eco company; therefore, we avoid using leaflet even though it is a good way
since we know receivers will throw away leaflet as we have witnessed and it will
totally damage the environment.
VIII. Budget:
Below is our estimated expense for 1 month:
Total expenses: 440,000,000VND
1. Salary: 50 employees x 3,000,000VND = 150,000,000VND
2. Product Expense: 100 units x 2,500,000 VND = 250,000,000VND
3. Marketing Expense: = 40,000,000 VND
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IX. Implementation Plan
The launch of ECO-BATH will use a phrased approach, beginning with building
people’s awareness in terms of water-saving and brand. We will divide into two
groups, the first group duty is to raise awareness about the use of water in
Vietnam; and the second group is in charge of building brand awareness. Water
saving awareness should be developed through changing people’s perspective in
saving water. Brand awareness should be developed through visible presence at
professional events, online searches, networking and strategic alliances. This
visibility will help gain profit.
1, Objectives
• During the first six months of commercial availability, the primary objective is
to expand both the user and customer base to maintain a 100:1 user to customer
ratio.
• Business Customers: Sign 14 regular customers and 52 occasional customers
• Individual Members: Convert 1,000 people to ECO-BATH members
2, Marketing objectives
• Increase member networking activity: Increase user numbers through
networking initiated by existing members. Improve user experience to promote
networking.
• Increase profile completeness: Increase user engagement with platform.
• Public relations campaign (PR): Increase awareness of ECO-BATH brand
through concentrated PR efforts directed at the target market of customers and
users.
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4, Key Success Factors
• Economical marketing to relevant constituents; ECO-BATH needs to establish
communication (distribution) channels that pinpoint relevant constituents in a
manner consistent with mission values. Limited by resources, chosen channels
must aggregate many relevant eyes with free, minimal, or deferred costs
involved.
• Crafting of brand identity: The contrast between ECO-BATH and competitors
lies not only in product differentiation but also in the company’s mission
statement and delivery. One-time job search is available from thousands of
online recruitment sources. Social networking has been covered from diverse
angles, attracting many different audiences.
• Efficient value delivery: The base of customers (both individual and business)
needs to receive the proposed value in a timely manner, with consideration
given to quality versus quantity of results, alignment with existing objectives,
and overall experience with the ECO-BATH brand.
• Sales process: ECO-BATH’s business model requires the acquisition of both
business customers who have available positions and users who will be matched
with those positions.
X. Evaluation and Control
ECO-BATH will evaluate user profiles to identify sets of profiles that are valuable
to new business customers, which will aid in the selection of subsequent target
market customers.
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1, Business Customer
Face-to-face meetings, phone conversations, and e-mail survey contacts with
people from a range of industries, company sizes, and functional areas provide a
means to:
Build relationships with prospective customers.
Understand customer needs.
Ensure alignment between ECO-BATH’s product and customers’
recruitment preferences.
2, Individual Members
Periodic surveys of various prospective users of online recruitment services
indicate:
Current services.
Methods that work well.
Biggest problems with online recruitment providers.
References
1. Chris Burns (21st May, 2009) “Use Your Water Twice”. Retrieved from
http://www.yankodesign.com/2009/05/21/use-your-water-twice
2. Hà Nguyễn, (2014) “Hà Nội: Nước sạch chỉ đảm bảo cung cấp đủ cho 10
quận nội thành”. Retrived from http://www.baohaiquan.vn/pages/ha-noi-chi-
dam-bao-cung-cap-100-nuoc-sach-cho-dan-so-10-quan-noi-thanh.aspx
15 | P a g e T e a m B U N N Y
ECO-BATH MARKETING PLAN – WATER-SAVING PRODUCTS
3. Goods Home Designs, “Innovative Eco Bath System by Jang Woo-Seok”.
Retrieved from http://www.goodshomedesign.com/innovative-eco-bath-
system-jang-woo-seo
4. Ly Hanh, Tuan Trong (26th Aug, 2009), "Nươc-cau chuyen ham nong toan
cau". Retrieved from http://www.thiennhien.net/2009/08/26/nuoc-cau-
chuyen-ham-nong-toan-cau
5. N.T.ĐA (24th Aug, 2005), "Nuoc sach la chia khoa cua su phat trien ben
vung". Retrieved from http://chuyentrang.tuoitre.vn/TTC/Index.aspx?
ArticleID=95007&ChannelID=3
6. Nam Văn, (2014) “Cần hơn 4.500 tỉ đông đê tất cả hộ dân TPHCM co nước
sạch”. Retrieved from http://www.thesaigontimes.vn/110426/C%C3%A0n-
hon-4500-t%E1%BB%89-d%C3%B2ng-d%E1%BA%BB-tat-ca-ho-dan-
TPHCM-c%C3%B3-nuoc-sach.html
7. Nguyen Hanh (12th May, 2014), "Ha Noi: Nguy co thieu nuoc sinh hoat".
Retrieved from http://www.baomoi.com/Ha-Noi-Nguy-co-thieu-nuoc-sinh-
hoat/144/13783492.epi
8. Nguyen Nam (19th Feb, 2012), "Nuoc sach va ve sinh moi truong". Retrieved
from http://www.ninhthuan.gov.vn/chinhquyen/soyt/Pages/NUOC-SACH-
VA-VE-SINH-MOI-TRUONG.aspx
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ECO-BATH MARKETING PLAN – WATER-SAVING PRODUCTS
9. Tamil Nadu (26th Mar, 2013) “Save water through recycling”. Retrieved
from http://www.thehindu.com/todays-paper/tp-national/tp-tamilnadu/save-
water-through-recycling/article4549682.ece
10.Tien phong, (25th Mar, 2008), "5.000 tre em ni chet moi ngay vi thieu nươc
sach". Retrived from http://www.thiennhien.net/2009/08/26/nuoc-cau-
chuyen-ham-nong-toan-cau/
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