The Marketing Strategy Of Vietnam

The market St str sumlegy Of Vietnam expeditionism industry worldwide is angiotensin converting enzyme of the largest sectors which discombobulate greater contribution in the growth of economy. It is obvious that holiday come tor from iodin continent conk out to other continents. Southeast Asiatic countries cause become favorite destination for European phaetons and the government in apiece respective country from Southeast Asia putting prodigious efforts to attract the touring cars cross authoritys the world. However due to economic recession there was a enrol downslope of holidaymakers from Europe in the region. In this visual sense this assignment nar proportionalityn discusses the securities industry placeing strategy of Vietnam to attract guests from European countries including the market, divideation, suckering and positioning strategy (Akaah and Korgaonkar, 1988).2. come in Country of Tourist DestinationThe mo of tourists from Italy has seen a signifi stinkert downf totally to twaddle Vietnam in the tourism statistics during the past four months however the aggregate in flow of the tourists in the country has been increase by 103% as per the tourism statistics issued by Vietnam tourism government. Among other European countries the flow of tourists from Italy was tinge and in last four months this figure has been decreasing continuously (Berthon, Lane, Pittand Watson, 1998). fit to the tourism government in Vietnam, the tourist flow from Italy was 11,243 in declination 2009 which has been reduced to 5796. There is great potential of tourist in Italy since during easter most of the population in Italy go for outbound vacations and Southeast Asian countries they found attractive get to examine due to heritage, culture and monuments. ground on these observations I know chosen Italy as a rear market to attract tourist from Italy.(Source http//www.vietnamtourism.gov.vn/)3. Resorts on Facilities and ServicesWindsor Plaza H otel is one of the preferred choices for tourists to get accommodation as the hotel has branches across the country. The hotel is located at heart of the capital city of Vietnam Ho Chi Minch City which is determined in the mid way of historic china town rule and business district. The hotel yields world class quintuple star return with a combination of luxury and hospitality services. Windsor plaza provides superior hospitality services to both the business travelers and empty travelers (Bocij, Chaffey, Greasley, and Hickie, 1999). There argon the set up of professional services introduceed by Windsor plaza where the travelers can make the choices among shopping, cheer, concussion and dining facilities. In addition to this the tourists can permit the great jazz of perfect gifts, boutique, shopping and discotheque which has been built with the inspired theme of American style discos. The luxurious service described above has become the unique choices and needs of travele rs from Italy and these argon the USP of hotel to attract tourist across the world countries (Agrawal, Arjona and Lemmens, 2001). Tourists from Italy travel outbound to get relax from work, entertainment and enjoyment. wherefore in this view they always seek for the place where they can conduct the experience of all luxuries, sources of entertainment and facilities under one roof. Windsor plaza provides the accurate services as per the need of European tourists. In addition to this the hotel provides multi-cuisine food with the specialization of individually European country, so that the tourists from Europe should not miss their choice of food. other vantage provided by Windsor Plaza is the low rates than the other hotels. The hotel offers beaver workable low rates where the clients can negotiate and much cheaper than the involution rates directly. All the rates are finalized after consent of the client and no hidden charges applied into the service hotels. A coarse with th e low rate benefit, the hotel provides premier(prenominal) hand information that meets the expectation of the tourists ( barter Wire, 2002).4. Marketing StrategyIn cabaret to attract the tourists from Italy, the country requires robust selling plan which should handle every aspect of market strategies to object glass the tourists. This section provides the part, targeting and positioning abridgment for Vietnam .4.1 Target MarketTarget country in Europe leave cigaret be Italy as it is the most preferred destination for Vietnam where a significant share of tourists flow exists among other destinations. The major(ip) destinations from European countries include France, UK, Germany, Italy and Spain where the absolute majority of tourists watch the Southeast Asian countries specifi bitchy for leisure purpose. Each of these countries have equal tourists flow however it has been assessed that due to economic recession tourists visit from Italy has been reduced tan the previous y ear visits (Cohen, 2002). Therefore it should be prerequisite for Vietnam to develop a strategy to capture the lost share of tourist from Italy. Most of the population in Italy usually goes for outbound travel in vacation time such as Easter, Christmas and summer holidays. Southeast Asian region is the preferred destinations for these tourists (Festervand, Snyder and Tsalikis, 1986).4.2 Segmentation in advance targeting the tourist it is essential to segment them establish in their demographics, psychographic, behavioral and geographic factors. Below is given the segmentation analysis for tourists in Italy.4.2.1 Demographic SegmentationThe demographic segmentation refers to the gender, age, income direct and education level of the target segment found on which a marketer defines the profile of its target customer. The target profile of tourist volition be population with age more than 18 years who are graduates with monthly income more than Euro 3,500 and good equal proportion o f male and egg-producing(prenominal) (Hoffman and Novak, 1996).4.2.2 Geographic SegmentationGeographic segmentation is based on the mending of the target segment where is resides. The target location go away be major cities in Italy since majority of population in Italy resides in urban areas and lapse of the dialogue channel is high among the urban areas. asunder from this the target customers set at the outskirts of urban areas since a good proportion of population alike resides in such areas due to low exist of index (Jasper and Ouellete, 1994).4.2.3 behavioral SegmentationBehavioral segmentation is based on the consumer behavior, culture, values and beliefs. Consumers in Italy are reserved in nature and very terms sensitive. They have the cultural values to spread happiness with enjoyment and entertainment. The purpose behind leisure traveling is to enjoy the vacations without any try and with full of sympathizer. Tourism government in Vietnam is making efforts to fulfill the basic tourism needs of the tourists (Kehoe, Pitkow, Sutton, Aggarwal and Rogers, 1998). The core focus of the government is emphasizing on developing and renovating the tourist sites in the country with old heritage monuments and all facilities with latest engineering in the hospitality sector. Beaches in Vietnam are very popular. In this way the marketer get out target the tourists in Italy who are seeking place for their comfort and in all likelihood to enjoy the beaches (Machlis, 1998).4.2.4 Psychographic SegmentationPsychographic segmentation is based on the lifestyle, mind set and thinking of the consumers for availing the particular product and services. Marketer go out target tourist in Italy who visit the tourists destination for reliving from the stress from their busy life. In addition to this the mind set of the tourist towards leisure purpose to pass the vacation with full of enjoyment and luxury. They feel that tour tourists place entrust provide the ex perience of new learning and entertainment (Oberndorf, 1999).4.3 TargetingThe target profile of the tourist forget be divided into twain segments such as those tourists who have already visited Vietnam and those who volition visit Vietnam first time. The aim of targeting first segment of tourist ordain be the add on benefit to the marketer as it testament be leisurely to capture this segment and require less efforts to attract the tourists again to visit Vietnam (Millman, 1998). Moreover they are potential customer as they are salutary informed about the tourist place in Vietnam which modifys to plan their visit easily. On the other hand aim of targeting the fresh tourists is to increase the market share and provide the expedience of this segment with enjoyable life and comfort by the attraction of tourism in Vietnam. The profile of target customer will be population of age 18 to 25 years, 26 to 35 years and 35 to 55 years who are likely to enjoy their vacations in comforta ble place. Various holiday packages will be aidd among the target segment to promote the tourism in Vietnam. The core target segment will be consumers of age group 26 to 35 since they are the decision makers in the households and level of income and spending power is higher of this segment (Lewis, 2000).4.4 Positioning StrategyThe positioning strategy includes the advertising and converse to the target segment. A marketer must choose the advertising and communication channel with high reach among the target segment. Online advertising is the optimal method acting of promoting the tourism in Vietnam. A marketer can select the fond networking popular in Italy to advertise the tourism in Vietnam (Quelch and Harding, 2009). The marketer can as well select the email merchandising, web blogs and RSS feeds to promote the tourism among Italian tourists. Under the promotion strategy the Windsor can offer family package or group package by highlighting the major facilities, services and p opular destinations in Vietnam (Oliver, 1999). The marketer at Windsor can also select approximately choice of discount package with visual presentation of popular tourist sites to attract the customers. In addition to this a diffe split upial and low make up strategy will work to promote the tourism in Vietnam. by form this the Tourism government in Vietnam should upgrade the website by installation the virtual tour of popular tourist destinations so that the tourists can have the view of tourists places and tourism in Vietnam virtually. Events should be promoted on the website in tell apart to attract the tourists. The promotional activity will be implemented by engaging the local travel agents and travel companies in Italy (Porter, 2000).5. Marketing compoundMarketing mix is the critical factor which enables the marketer to deploy the market strategy in optimal way and also provides the growth and blowup of an organization. Until the sound selling mix is developed a comp any can have several challenges in the market place to promote its products and services. In this way the seven Ps of marketing mix of Windsor Plaza are defined infra (Shankar, Rangaswamy and Pusateri, 1999).5.1 Product (Services)In case of hotel the product will be services which are intangible in nature. Therefore based on the service offerings the Hotel can forecast its sales to be generated and the margins of the Hotel will be estimated in the coming years (Reda, 2000). Windsor can offer varieties in its hospitality services such as house saloon service, multi cuisine food specifically all verities of European cuisine. In order to promote the services, Windsor will involve with the local travel agencies in order to make the tourist aware about the available services and related facilities for tourism in Vietnam. The inducements and commission will be provided to the travel agents and travel companies based on the revenue enhancement generated and recommending the tourist ab out the hotel (Van den Poel and Leunis, 1999). The services will be included all the modern facilities so that the tourists get matter to hotel services. at the same time the hotel will realize where there service are lacking and using this opportunity the marketer can get on up their sales (Riedman, 1999).5.2 PlacePlace has of its primary importance in marketing mix, the marketing and sales passenger car should understand the appropriate market in Italy to promote the hotel service along with the tourism in Vietnam. Before implementing the marketing plan the marketing manager should study about the customary demographics about Italy for example moot of population in Italy resides in thermionic tube areas and tourists came from the outskirts of the metro cities and urban areas. In the internet era, most of tourists in Italy do not visit the travel agencies and book their tourist plan online. Therefore the service will marketed through major internet portal (Woolley, 1998). Apar t from this the metro city malls will be targeted first to promote the tourism.5.3 progressAs already discussed, the hotel will use the differentiation and low cost strategy to develop the competitive advantage under the promotion strategy. Online marketing channel will be used to promote the hotel service and tourism. about of the communication channel includes, social networking sites, website, email marketing, RSS feed and Blog. Advertising will be utilized through various websites which are most oft visited by the tourists in Italy (Warner, 2000). In order to promote the services, Windsor will engage with the local travel agencies in order to make the tourist aware about the available services and related facilities for tourism in Vietnam. The incentives and commission will be provided to the travel agents and travel companies (Warner, 2000).5.4 PriceUnder the promotional strategy the hotel will use the low cost strategy in which the hotel will offer discount and best possibl e low price for its services in the industry. Since the tourists in Italy are more prices sensitive and it should have the worth as per the offerings. Pricing will be offered by practical application the all the hotels expenses and kept the margin at lower side. The hotel can thereof make the volume based profits and utilize it in the long term (Wingfield, 2001).6. Extended PsThe extended Ps of marketing will be used to reinforcing the positioning strategy of the hotel as described to a lower place (Ansoff, 1957).6.1 ProcessIn service industry process is the key marketing mix since the customer feels happy if they find the service process is light-colored and services of the company can be accessible in the easiest possible manner. The marketer will pace self made process in the hotel with signage to get the access of each service easily. In addition to this the hotel will use intercom facility to by just dialing one number and the hotel staff will provide the instant service w ithin level best of 10 minutes. It will be highlighted in during the hotel promotion (Baker, 1998). The hotel will provide the below services for its touristsExecutive lounge Business center run across facilities Recreational facilitiesKids play way of lifeTour deskAirport pick-up service USD18/way/4seats and vehicles for rentOutside swimming poolMulti-lingual guest service staff race and dry-leaning serviceModern elevator and baggage storageSouvenir/ collapse shop and ATM in hotelDoctor/Nurse on callForeign currency exchangeTravel tour arrangementBusiness Center with ADSL Internet and EmailBeauty salon and beauty intercession centerGymnasium and fitness centerMassage, Spa, Sauna, Steam-bath and JacuzziShopping center, Games and Casino roomNgan Dinh RestaurantCaf CentraAmerica DiscothequeAn Dong shopping plaza(Source http//www.vietnam-hotels.net/hotels/Windsor-Plaza-Hotel)6.2 bulkThe hotel will employ best of industry experience in order to provide highly acclaimed services to the tourist. People are the first seem in the service industry and they are like the tangible addition of the company. In hospitality business, people are only the evidence where the customer feels the experience of services. Hence the hotel will employ the hotel management professionals with minimum 3 years of experience of the industry to provide betters service to the tourist (Agrawal, Arjona and Lemmens, 2001).6.3 somatogenic EvidencePhysical evidence includes the proper display of the services which are visible during the hotel visit. In this way the hotel will use the signage merchandizing where the each facility will be marked with proper sign. The interior of the hotel will be designed by the architect and interior designer. During the positioning, a virtual tour of hotel will be created and displayed on the communication channel such as websites and internet portal (Berthon, Lane, Pitt and Watson, 1998).7. Budgetary RequirementSince the Windsor plaza is already an realis ed chain in Vietnam, therefore the hotel requires the renovation in its hotel and promotion expenses. Since the hotel will use the digital marketing concept to promote the service and incentive commission to be provided to the travel agents and companies. Hence the forecasted budget is provided in the below table for the period of six monthsMonthEstimated Expenses1st monthUSD 55,000second monthUSD 40,0003rd monthUSD 25,0004th monthUSD 25,0005th monthUSD 15,0006th monthUSD 7,000The progress will be monitored through hebdomadally sales sheet in which the company will make the similitude of actual revenue generated with the target revenue and based on the figures the target for subsequent months will be assigned to each sales manager (Festervand, Snyder and Tsalikis, 1986). In addition to this the company will prepare expense ratio chart every month to monitor the cost over revenue generated. Apart from this the number of visits on the web portal and networking sites will be recorde d to monitor the progress of advertising and promotion. The marketer can also check the user review to monitor the impact of its marketing stir (Cohen, 2002).8. RecommendationIn order to gain the long term advantage and global marketing benefits the marketing manager should perform different marketing activities which will enable the hotel to gain the competitive advantage for minimum of five year period.Year 1Year 2Year 3Year 4Year 5Focus in Marketing CampaignFlexibility of Rates OnlineConsidering the Channel Management ProductsInvestment in the WebsiteOptimization of WebsiteE-mail marketingProtection of Online brandingMonitoring the Users go over Online and Accordingly devise the marketing strategyOffering a analytic packageResponding to the market conditionLewis (2000) suggested that the company should optimize those key stairs which enable to understand its advertising and promotion. Since Windsor Plaza will use digital marketing therefore user review will provide the unavoi dable information to the marketing manager to understand what the hotel can best offer to the tourists. Apart from the protection of online branding is essential as it will enable the marketer to protect other websites to advertise companys image in the negatively charged way such as low rate hotel.