Bachelor of Art in Business Administration

THE STUDY OF MARKETING STRATEGIES FOR VIETNAM TOURISM BOARD TO INCREASE VISITORS
Done by: Vuong Hoai Nam Supervisor: Ms Sally Lo Submission date:

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STATEMENT OF ORIGNINALITY
I, undersigned, declare that this dissertation is my own original work, and I give permission that it may be photocopied and made available for inter-library loan.”

Signed by

Vuong Hoai Nam

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ACKNOWLEDGEMENT
With all kind support and advices during my project, I would like to express my deep gratitude to all people. First of all, I would like to thank especially to my project supervisor, Ms Sally Lo with all her assistance and constructive criticism of early drafts until I finish the whole project successfully and on time. I have benefited greatly from the many effective discussions and valuable feedback. Furthermore, I would also like to express my deepest gratitude to my parents for encouragement and financial support all the time I study in Singapore. They often give me close contact and talk to me every week and never let me alone when I first time travel to foreign country. I could pay totally attention on my education with least worries. Last, a big thank-you to Thames Business School and University of Portsmouth which have provided very good condition of material and guideline to develop important skills for the future career

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ABSTRACT
Globalization brings many opportunities to countries, especially developing countries. It helps those countries to expand their market and increase their export, to strengthen attraction of foreign investment, to enhance the effectiveness and competition of economics and so on. Moreover, it is the best way for them to approach to latest technologies and knowledge that is the key factors to industrialize and modernize their countries and to keep pace with development of new age. However, globalization seem bring more challenges than opportunities. It put many countries into the challenges such as perfection and innovation of institution of governmental administration, and challenges of human resource and so on. Besides, the biggest challenge is the violent oversea competitions that come from activities of expanding the market. Satisfying customer’s demand is an important way to survive and durable develop. Customer becomes the core that every business activities need to aim to and satisfy them in the best way. Marketing strategies plays an important role in global economy. It directs, controls, and combines business activities. With Marketing, business’s decisions have stable bases scientifically. It also supplies enough necessary information for factories to satisfy customers’ demands. Marketing has a huge impact. It determines revenue, cost, profit and thus effectiveness of production and business activities. Besides, Marketing is an important tool that helps enterprises to position their brand and charisma on the market. Marketing helps businesses to collect necessary data and information for researching and analyzing customers’ demands. Moreover, Marketing helps businesses to recognize the implicit demands. It has a function of analyzing the capacity of products and services as well as prices, consumption, result of promotion policies. When life’s standard becomes higher and more diversified, marketing activities must connect closely innovation of creating new products and services to satisfy increasing customers’ demands. Marketing is a vital tool that helps businesses to approach to customers and satisfy them so that they can get high revenue, profit and long-term development Finally, Marketing combines different departments to achieve business’s common goals and aim to satisfy customers’ diversified demands.

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................................................................................................................4 The essentiality of Marketing in Vietnam TOurism...............17 Market segmentation ........................................13 Questionnaire methodology ..................................................................................................................7 Marketing Strategy in Vietnam Tourism...........................................................................13 Historical materialism.................................................II ACKNOWLEDGEMENT.......................................17 Market Positioning ......................................................................................................................6 Vietnam really needs very Good Marketing .........................................................................................................................................................11 Scope of researching .................1 chapter 1: Introduction .................................11 The objectives of dissertation ...................................................................................................................................................20 MARKETING STRATEGY............................................................................................................................................................4 Marketing .........................................................................32 1 ....................11 The methodology of dissertation....13 cHAPTER 4: Data collection and analyzing process..............30 Promotion ............................................................................................................................................................................................................................9 Vietnam Government Policies of Tourism Development ...................................................................................................................... Differentiation between services and tangible products 13 Methods of analyzing and accessing annual financial report...............................................................25 Price .....15 Finding and analysis.................................................................15 sUMMARY OF SURVEY RESULT........................................................................................10 CHAPTER 3: The methodology of this dissertation..............6 Important Role of Marketing In Vietnam TOurism...........30 The secondary data analysis of Vietnam Tourism ...... 27 Place (Distribution).................................................................................................................................................25 Product.............................................................III ABSTRACT....................................................................................................................................................................................................................................................................................2 chapter 2: The literature review ...........................8 Marketing process ..............................................................................................12 International Marketing................... IV Contents List...........................................................CONTENTS LIST statement of origninality....................................................................

......... Vietnam has the same conditions and advantages of tourism like the others in area including topical weather.........1% of the GDP to the Vietnamese economy..... the travel and tourism industry is estimated to have contributed 13................... long and beautiful beaches and so on............. tourist attractions. In 2009........................................ Definitely... They also have a longstanding culture with more than 4..................................... 2010..... Finding appropriate strategies for development of Tourism is a hot topic that is 2 ............ The government’s support has been the key driving force for this industry.......The Vietnam Tourism‘s advantages and disadvantages ....... beautiful sites..... However.................................... The domestic tourism grew at a high rate during 2008-2009...... Finally. The government has been spending readily on the promotional activities all around the world to boost the nation’s tourism industry............. Scientific and Cultural Organization (UNESCO.37 References ....34 cHAPTER 5: Conclusion..... especially Ha Long Bay that has just acknowledged as a wonder of nature by United Nations Educational....000-year history and many wars for independence that attracted millions of tourists coming to Vietnam annually.................. My Son Sanctuary........... none of visitor wants to come to insecure country to travel........ despite the global recession.. Vietnam Tourism has sufficient resources for potential development in coming future... World Heritage).... the number of oversea visitors coming to Vietnam for travelling is still lower than other countries.......... they have a convenient traffic and a lot of hotels with the international standard............................ Moreover..................... Vietnam has a lot of advantages for development of tourism...... the Vietnamese tourism industry has grown nearly twice as fast as GDP in recent years..... Vietnam has a stable politics that is a vital factor of tourism.41 CHAPTER 1: INTRODUCTION Vietnam is one of the most popular tourist destinations in the Asia-Pacific region and its tourism industry has been growing unprecedentedly over the past few years....... Being a source as well as destination market............... Many Vietnamese economists believed that contributions of Tourism to Vietnamese economy were not worthy of its potentials.36 APPENDIX .... 37 The tourist agencies’ collected data in 2009... They have many famous landscapes............ Vietnam is developing country nowadays....................... Hoi An Ancient Town... and historical monuments such as Phong Nha Ke Bang National Park.. Even though it is not a key industry but it has a lot of potentiality in present...................

discussed on media and economic conferences by economist and policy makers. One of the most important strategies is marketing that seems a vital factor of Tourism Industry Development. China and Singapore. comparing with the competitive countries in the same area such as Thailand. Based on research and analyzing the Vietnamese Tourism Industry including comparative advantages in the deeper and wider globalization. Malaysia. This strategy need to be set up basing on careful researches. This research has basically enough important components to provide the readers with sufficient information and analyses to have a general overview. combining with the basis theories of marketing finally. Indonesia. The structure of the report is as follows: Chapter 1: Introduction Chapter 2: The Literature Review Chapter 3: The Methodology of This Dissertation Chapter 4: Data Collection and Analyzing Process Chapter 5: Conclusion 3 . this research aims to find a suitable marketing strategies for is development.

With consumers. and society. they have opportunities of approaching to latest technologies that can help them to reduce cost and raise their product quality and thus their profitability. Besides. the financial crisis in 20072008 made its weakness to be shown clearly such as the inadequate management skill. ineffective resources controlling. Vietnam must reorganize their economic structure to strengthen their competitive advantages. Nevertheless. This is a time for reforming their economic structure.CHAPTER 2: THE LITERATURE REVIEW THE ESSENTIALITY OF MARKETING IN VIETNAM TOURISM The World is in the stage that globalization is taking place on all sectors of life including culture. economy. globalization does not mean elimination of competition. and operating. it is making many companies to confront violent competitions. They also faced to many other challenges such as the inadequate management skill. it is increasing global competition on the world. Vietnamese capital market is rapidly increasing which create a lot of advantages for the business to reach the mass capital. structural reform becomes the vital policy of many 4 . The world is becoming united and smaller. Vietnam is one of the best invested environments with the stable politics. Vietnamese economics is very aggressive and potential with over 7% of annual GDP growth. Structural reform is a necessary requirement of globalization. According to World Trade Organization (WTO). the recent development of Vietnam Economy is accessed not to deserve its potentials. it is helping them to enjoy the diversification of products with higher qualities and cheaper prices as well as the better services. This is an opportunity for many developing countries to join the global economics. With those reason above. However. and operating and the challenges became more violent. the global competition has its negative aspect. Moreover. Vietnam becomes a remarkably developing country in Asian area. Nevertheless. The global completion has both of positive and negative aspects. ineffective resources controlling. Nowadays. There are more and more foreign investors coming to Vietnam to seek opportunities of investment. With companies.

completely and stably. I choose this topic “The Study of the Marketing Strategies for Vietnam Tourism Board to increase visitors” to research with the hope of contributing to market the image of Vietnam Tourism to the world and foreign visitors. Starting from these issues above. adjustment must permit the attainment of certain basic and widely shared social goals” (Aziz. noninflationary growth. With the high potentials. cultural exchanges. Vietnam orients to grow Tourism strongly However. they can create the strengths to survive and develop stably and rapidly. To survive. innovation and creativity. develop other fields. I myself want to contribute to increase the comparative advantages of Vietnam Tourism and help it to grow actively.This program basically require developing countries reorganize the contribution of different sectors to the economy .namely increasing the industry and service sectors instead of agriculture in which Tourism seem a key Industry. solve many social matters and create a lot of jobs for employees. It also contributes to impulses the innovation. Moreover. and the elimination of impediments to the full and efficient use of resources. Furthermore. the crisis of economics in recent years created a lot of challenges for Vietnam Economy. One of the most important strategies is marketing strategy which helps them to reach the news market. they need to have an appropriate strategy to overcome the current difficulties and to develop stably. Structural reform is defined as “the creation of conditions for sustained. 5 .countries that is given out by International Monetary Fund (IMF) and World Bank. With the combination of mass marketing activities. With the challenges of globalization. many tourism businesses faced to the bankruptcy. 1990). Tourism is not only creates very high wealth but also implements open-door policy. Vietnamese Tourism is one of the industries which are affected much by crisis.

2007) 6 . Marketing is very big conception. and society at large” (American Marketing Association.10)  “Marketing is management process responsible for identifying. Marketing has a lot of different way of understanding. Marketing has many definitions. Marketing is taking place everywhere and contacting to us every day. sell the products or services. and business but also in life to satisfy higher demands of human and open new and implicit demands. anticipating and satisfying customer requirements profitably” (Shaw. Substance of marketing is not to increase markets.“…the aim of marketing is to make sell superfluous..16). 2004)  “Marketing is the activity. Those are small part of marketing. Today. and complicated because Marketing is not only in production. Followings are some different definitions during its development:  Marketing is defined as “the social process by which individuals and groups obtain what they need and want through creating and exchanging product and value with order“ (Kotler et al. delivering. p. 1999. marketing. 2007. partners. set of institutions. clients.MARKETING VIETNAM REALLY NEEDS VERY GOOD MARKETING Any product or service or brand wanting come to consumers or customers also needs supports of marketing. and processes of creating. However. and exchanging offerings that have value for customers. The aim of marketing is to know and understand customer so well that the product and service fits him and sell itself” (Ducker. Thus. advertise. more diversified. Ducker – an important theorist of management. Marketing is understood wider. According to Peter F. p. research the market simply. communicating. service. some people wrongly understand or non-completely understand marketing. Of course.

marketing is an important tool that helps Vietnam to position their brand and good image in other markets. Tourism industry needs to collect necessary primary data and information from the survey questionnaires and the secondary data from the official government website for analyzing customers’ demands better. marketing activities must connect closely innovation of creating new products and services to satisfy increasing customers’ demands. With advertisement. 7 . To understand the customers. the industry could analyze the capacity and quality of products and services as well as prices. profit and long-term development So Vietnam tourism should require high quality of marketing. cost. and combines tourism activities. Vietnam could introduce many beautiful. When life’s standard becomes higher and more diversified. promotion and campaign. profit and thus effectiveness of production and business activities. Besides. It directs.IMPORTANT ROLE OF MARKETING IN VIETNAM TOURISM Marketing plays an important role in tourism. Next. they can get high revenue. Beside. peaceful and lively places to others countries and provide enough necessary information to potential customers in Asia. a vital tool that helps Vietnam to approach to foreign markets and satisfy them. Europe and America. It determines revenue. promotion. Marketing has a huge impact. controls.

” (Cateora and Graham.. The vital components of Marketing Mix include Price. promotion. 1991. Place. a customer. p. 8 . and Promotion decisions. Product. 2006) The core contents of International Marketing include researching international markets. valuating products.24). planning products development. building distribution channels. 2007) or “the performance of business activities that direct the flow of a company’s goods and services to consumers or users in more than one nation for a profit. and an organization” (Onkvisit and Shaw. and promoting products The marketing mix has been defines as “the controllable variables the company puts together to satisfy target markets and achieve the firm’s objective” (Brown et al.MARKETING STRATEGY IN VIETNAM TOURISM There are many Marketing Strategies but this dissertation just focus on researching some following Marketing Strategies that is believed to be suitable for Vietnam Tourism Industry such as International Marketing and Marketing Mix “International Marketing is the multinational process of planning and executing the conception. planning strategies of penetrating international markets. pricing.

They could be varied in size. Marketing Mix. To do that. With each product will have different price from economic to high class and deluxe. Adopted from Kotler on Marketing Vietnam should go through all 5 steps such as: research. Europe and America. accommodations. So the customers could easy to choose suitable packages. it is vital to divide market into smaller markets basing on segment criterion. Targeting. Implement and Control. MARKETING PROCESS Marketing process model The Marketing Process. airplane-tickets and other activities etc.. Vietnam Tourism need to research of collecting and analyzing data and information of markets. customers.. The research process aids Vietnam to define opportunities and repair the plan of penetrating markets in Asia. quality. For convenience. customers could buy the tour packages in their own countries through tour agencies. transportation. consumers and environment. websites and phone call. Vietnam tourism will hold three exhibits in other countries and provides special promotion. and Positioning). STP (Segment. Choosing target markets and 9 . Tourism industry must define their target markets and position their brand. Every year.The Products of the Vietnam tourism are the tour packages include foods. and so on which aims to satisfy customers’ demands.

controlling and managing the plan and accesses the activities’ effectiveness. the brand and image of Vietnam tourism could be aware When the target markets are clearly defined. From here. So that other countries can recognize the products and brand among others. Finally. VIETNAM GOVERNMENT POLICIES OF TOURISM DEVELOPMENT On 22 July 2002.  In 2005: The number of foreign tourist reaches to 3. of domestic tourists reaches to 26 million and revenue of Tourism reaches to over 4. mobilizing domestic resources. Policy: 97/2002/QĐ-TTg) 10 . of domestic tourists reaches to 16 million and revenue of Tourism reaches to over 2 billion US Dollars. ecology.5 million. After building suitable Marketing Mix.  In 2010: The number of foreign tourist reaches to 6 million. Research stage set up foundation for Marketing Mix.5 billion US Dollars.concentrates all resources to marketing. the industry should implement this strategy carefully with the clear and detailed plan. Vietnam Government approved The Tourism Development Policy from 2001 to 2010 with some following basic objectives: Tourism Industry become a key economic sector by focus on taking advantages of nature. combining international cooperation and supports that contribute to industrialize and modernize Vietnam and lead Vietnam to become very high considerable tourist area after 2010. some suitable marketing strategies will aim these markets. historical traditional culture. (Source: Vietnam National Administration of Tourism.

These policies can provide the framework to research CHAPTER 3: THE METHODOLOGY OF THIS DISSERTATION THE OBJECTIVES OF DISSERTATION By collecting data. comparing with the competitors. this dissertation also proposes some marketing strategies for Vietnam Tourism development. Combining the some theories of modern marketing and synthesizing and analyzing reality of Vietnam Tourism Industry. this dissertation releases some of core matters of marketing that need to be care about in next 10 years.With these policies. SCOPE OF RESEARCHING 11 . analyzing both of current strengths and weakness of Vietnam Tourism. researching has clear goals and scientific foundations.

training and so on. especially its image in awareness of foreign customers and consumers such as number of foreign customers travel in Vietnam annually. investment.  Focusing on marketing activities  Data is collected aim to analysis reality of Vietnam Tourism Industry. THE METHODOLOGY OF DISSERTATION Accessing and analyzing in this dissertation are essentially used following scientific foundation and methodologies: 12 . marketing.Developing Vietnam Tourism has many activities such as finance. With all my effort my dissertation is limited in some following ranges:  Analyzing Vietnam Tourism with the focus is the middle area of Vietnam that attracts most of tourists coming to Vietnam. time they stay and so on.

medical treatment. 2010). QUESTIONNAIRE METHODOLOGY Vietnamese Tourism Companies contact directly the tourists so they can understand the tourists clearly. cleaning. such as the combination of a diagnosis with the administration of a medicine. it needs different marketing strategies. information. With those. Moreover. Questionnaire is the best approach to get the information of international tourists’ taste when they chose Vietnam as their destination in their holiday.com. consultancy. Thus. internet and tourist businesses’ website as well as government website to give out the appropriate and logical ideas. DIFFERENTIATION BETWEEN SERVICES AND TANGIBLE PRODUCTS Clear differentiation between services and tangible products is that services “are not goods (tangible products). television. I set up a questionnaire to collect 13 . the number of tourists HISTORICAL MATERIALISM Every phenomenon can be explained by logical reason. METHODS OF ANALYZING AND ACCESSING ANNUAL FINANCIAL REPORT Data should be collected to synthesizing and analyzing. banking. These are the core methodologies that are used in this dissertation mainly. insurance. quota of Vietnam Tourism that can be collected on media. and they (1) cannot be stored or transported. (2) are instantly perishable. know how. Sometimes services are difficult to identify because they are closely associated with a good. such as accounting. This process can modify these data to useful information that can be used to access the activities of Vietnam Tourism Industry such as annual financial report. transportation. this dissertation focus on create a marketing strategy to introduce image of Vietnam Tourism to the world so International Marketing Theories is a useful tool of its development.INTERNATIONAL MARKETING. newspapers. collect date. education. No transfer of possession or ownership takes place when services are sold. and (3) come into existence at the time they are bought and consumed” (BusinessDictionary. we can combine researching methods with theories and realities.

Moreover. and the suggested marketing strategies as below: The questionnaires and data are provided: No. Besides. the data collected from them can show what appropriate marketing strategies they suggest to Vietnam Tourism Industry.the information to recognize Vietnamese comparative advantages as well as the weaknesses of Vietnam Tourism Industry. tourists’ taste. this dissertation just focus on how to marketing Vietnam Tourism Industry on global market. what did they complain? What was their recommendation? Do they intend to come back? The suggested marketing strategies for Vietnam Tourism Industry What are criterions you use to segment your markets? What your target markets? What comparative advantages of Vietnam Tourism Industry do you think? What weaknesses of Vietnam Tourism Industry do you think? What is appropriate marketing positioning? What is needed to be improved and mentioned? What are the appropriate price decisions? What are the appropriate product decisions? What are the approriate distribution decisions? What are the approriate promotion decisions? What are suggested to penetrate the global market (international marketing)? 14 . 1 2 3 4 5 6 1 2 3 4 5 6 7 8 1 2 3 4 5 6 7 8 9 10 11 Questions Company's information How much experience do you have in Vietnamese Tourism Industry? How many international tourists did you server last year? How much was your total revenue last year on international area? Do you have any survey of international customers? How many agencies/brands you have in distribution? How many total employees do you have? International tourists' information How many times they come to Vietnam for travelling? What region/country do they come from? How old are they? What make they feel pleased when they traveled Vietnam? How did they know about Vietnam? Did they complain anything? If so. The questionnaire must include the information of these companies. The respondents include 10 Vietnamese Tourism Companies that have the biggest number of international tourist last year and have the statistic numbers in this survey. so the questionnaire concentrate on collect information on international area.

Ho Chi Minh City. Europeans and Koreans.8) 3829 2291 . It distributed to the 15 .com Telephone: (84. Moreover. Website: www. District 1.3829 5000 Address: 23 Le Loi. one of the leading tourism corporations in Vietnam.saigon-tourist. now one of the well-know trademark in Vietnam with providing unique tour for foreigners from Japanese.12 What is the appropriate marketing process? CHAPTER 4: DATA COLLECTION AND ANALYZING PROCESS SUMMARY OF SURVEY RESULT This chapter will analyze the survey result collected from 3 tourism agencies: Saigontourist was established 1975 in Ho Chi Minh city.3822 5887 . it cooperates with 9 joint ventures with foreign partners. Saigontourist could provide 54 hotels. 28 restaurants with 13 resorts and complexes. Vietnam Viettravel started the business in 199.3822 5874 .

VN The Result of the survey THE RESULT OF THE SURVEY Segmentation Basis Geographic Region/country Europe America Japan Other City or metro-area size Big cities Middle cities Others Climate Frigid and temperate Others Demographic Income Over 80. District 3. French and German are the loyal customers of Fiditour as the high experience and language influent of staff.000USD/year % 90 80 80 40 100 70 30 100 50 70 16 . The Vesak of 2008. HCM City.129 . Website: www. As a member of World Travel association as: PATA. Vietnam FIDITOUR TOURIST COMPANY Fiditour Tourist Company began in 1989.fiditour.8. etc…Europeans.129A Nguyen Hue Street. ASTA JATA.travel. District 1.8) 38 22 8898 Address: 190 Pasteur.success by organizing the international events: The Asia-Pacific Economic Cooperation (APEC) of 2006. etc… Website: www.com.3914 1414 – 3914 15 16 Address: 127 .com Telephone: 84. one of the first travel companies in Ho Chi Minh City. Japanese. The Southeast Asia Undergraduates Sports Festival.vn Telephone: (84. Ho Chi Minh City. It is now one of the top ten travel company in Vietnam.

000-80.000-59.000 40.000 Age Over 60 50-59 40-49 30-39 20-29 Under 20 Social class Upper upper Upper Upper Middle Middle Upper lower Lower Family life cycle Single Just-marriage Old couple Married 80 100 50 40 90 80 40 100 30 50 90 100 60 0 0 90 80 50 50 FINDING AND ANALYSIS MARKET SEGMENTATION According to survey.000-39.999 20.999 Under 20.60. most of big Vietnamese Tourism Companies choose the following criterion to segment their market with the average percentage of agreement Market Segmentation 17 .

All of them choose the criteria “region/country. age and social class” as their primary criteria.The collected data above show the criterions that Vietnamese Tourism companies chose to segment their markets. Religion/Country 18 .

Vietnam tourism needs to keep these numbers growing up by other strategies: provide better service. Japan. good promotion. etc. Age of Tourists 19 . Taiwan. These countries hold a high proportion of international visitors in Vietnam. All 3 of them having average of high income and increasing need of travelling. and international advertisement. unique products as well as perfect organization. Target countries Europe.Vietnam realized that most foreign tourists come from China. America. France. It should be focus on these countries by providing reasonable package price. America and Japan will be the 3 largest customers for Vietnam Tourism. Korea. and Australia.

Singapore. MARKET POSITIONING 20 . Vietnam tourism must provide suitable activities such as: at the beach surfing. Whenever foreign tourists come to Vietnam. and Malaysia…etc. To attract young tourist. And the most power advertising is mouth to mouth. Vietnam Tourism should make sure that these activities distinguish from others in Thailand. boating. sailing. Until Vietnam has a highly differentiated products and services. papaya. If you are good then you will be well known by others.Most of people come to Vietnam when they are about 20-29 years or 50-59 years. These sport activities above will contribute Vietnam Tourism a healthy image. it is more advantages to advertise in global market. they will realize these activities as a characteristic of Vietnam. Indonesia. diving etc… are encouraged. snorkeling.

It means Vietnam Tourism lack correct marketing strategy and it lack competitive advantage in itself. they usually refer to Bali in Indonesia. Vietnam Tourism should positioned product. or organization. 21 . or Phuket in Thailand but they rarely know Nha Trang Bay. Vietnam Tourism should build the image of peaceful and beautiful island with the local friendship.When asking someone freely about a beautiful beach in Asia. In the busy and stressful life nowadays. These following figures can show you this problem. 2010) Vietnam 2429 2927 3467 3583 4171 After determining the target market and the specific market strategy. To increase their advantages. they should aim to the position “Peace and Humanity” with the strong agreement of 80% of Vietnamese Tourism companies. even though Nha Trang Bay was acknowledged as one of the most beautiful bay on the world by Forbes Magazine’s vote. brand. The Foreign Tourists (Thousand) Year Malaysia Thailand Singapore Indonesia 2003 10500 10000 6127 4467 2004 15703 11600 8328 5321 2005 16431 11450 9543 5002 2006 17507 13820 9800 4871 2007 20572 14450 10300 5508 (Source: IPAVietnam. Sentosa in Singapore.

Sơn Tra. Some of beaches are Nha Trang. diversification of eating and drinking and the local friendship. Da Nhay.Vietnam Tourism should be known as an island of heaven with beautiful long beach. Phu Quoc Island. Cua Lo. Do Son. Sam Son. intense sunlight of tropical zone. etc… Nha Trang beach 22 . Ha Long Bay. Nha Trang.

23 . To get this position.Ha Long Bay (the world’s wonder) Son Tra Beach When someone thinks about Vietnam Tourism they feel peaceful environment and comfortable holiday. Vietnamese Tourism companies and the government should be well organized and corporate.

Hand tailored suit made in less than four hours with many choice of customization. silk. Humanity. Japanese. Hoi An Town is proud of old two-storey building with colorful lanterns. 24 .Why do foreign tourists choose Vietnam as their destination? Most of foreign tourist chose Vietnam because of its natural beauty and culture and history. One of the most well-known places is Hoi An Ancient Town (UNESCO’s world heritage) Hoi An Ancient Town It had not changed since the 19th century with mix culture of Chinese. This is the most appropriate for travel companies to market to the foreigners. Health and History are the strengths of Vietnam Tourism. Peace. Dutch and Indians as the main trading centers of Southeast Asia in the 16th century. They are curious about Vietnam as a long-standing cultural and historical country. It costs about less than one hundred dollar. handicrafts and antique shops.

25 . out of the traffic jams and pollution. the tourists feel very peaceful and relax.MARKETING STRATEGY PRICE Social Class In the capability of human. With each target market. financial resource and Vietnam Tourism will focus on market with middle. The wide range of choice in service. hotels. Tourists come here could enjoy cooking the raw materials in the resort as vegetables grow in the resorts. the budget for them will be different. Staying here. wooden flooring and will remind the foreign 30 years ago of Vietnam. With the Upper class. food and activities are provided. In addition. the resort are more appropriate from $170 to $300 one night/person Living in thatched houses. upper middle and uper class. These types of wooden house only are seen in the highlands or countryside.

the tourist could have the benefit of home stay with the countryside people in the mountain. 26 . To increase the foreign tourists. They will know the ways of travelling and cooking and even take pleasure in the events here Vietnam has a long 4000 years history of cultures and many big holiday events annually.With the Middle class. Vietnam Tourism should have a good commission plan for their partners or agencies because Vietnam Tourism is still new on the international tourism market. It is very interesting to learn new culture for short time. Life in Floating boat in Mekong River Delta The tourists could mix with the folks in the countryside life.

PRODUCT The products should be focus on “Peace and Humanity” and unique. Most of foreigners are interested in travelling around the city. Or “Mua Sap” dances 27 . Vietnam Tourism could provide some rare event consider the following activities: “Xich Lo” tour This kind of transportation now only exists in Vietnam and Malaysia.

In the beverage. etc… Not only the delicious food but also the good service. Fresh rolls with the peanut source. etc… The Tourism should provide wide range of cuisine for Japanese. the famous Vietnamese foods are: Pho Noodle. It is also easy to remember and suitable for target market’s manners and customs. Vietnam Tourism cannot change the local but they can change their employees. hamburgers. Vietnam Tourism must research the quality of competitor’s products. they could give the foreign tourist a fresh feeling with first time doing. Rich Diversity of Food type With Europeans. benefit. American and European. ice cream. etiquette of each country and the differences between the Asian and the Europeans. Thailand is good example for hospitality. Chinese. they have: fruit juice. soft-drink. the staffs must know the culture. Advertisement needs to be concentrated our specialty.These activities are cheap and easily created. For American and European. steaks. However. most common are: sandwiches and salads. Employees should 28 . You can see many smiles of Thailand when you come to this country. Advertisement should imply quality. French fries. proposed position “Peace and Humanity”.

fruit juice or even free washing machine and shining shoes. and understand the gestures or signal of customers.know how to greet the customers. wide range of tropical fruit. Vietnam tourism could hire more employees for the best service. display food in right order. Provide the distinctive traditional garden bungalow This type of house is long time ago and it is cheap but extraordinary house. 29 . waiter is about $100 in Vietnam. The Tourism companies could use these benefits as the special service in Vietnam. They could provide more free services than just rooms to sleep such as: free coconut. Because the average salary of cleaners. Hotel Room With the advantage of cheap labor. But these staffs must be trained carefully otherwise it could give the opposite effects.

conference and other activities in global tourism industry to introduce Vietnam Tourism. Vietnam should participate in all exhibits. Vietnam Tourism has to plan to build a chain of high class hotels. Choosing the partner should meet some criterion such as financial capability. and selling capability. It also makes a convenience for customer to buy their products easily. promotion and marketing. fabulous service and unique hotel room in quiet location and ocean view etc…Vietnam Tourism hope that with the right strategy: good choice of products. brand name.With the best efforts. luxury resorts. Vietnam Tourism could satisfy international tourists by offering the great food. The tourism industry should promote strong and healthy images in order to encourage foreigners come to Vietnam. PROMOTION 30 . Vietnam tourism should have good relationship with foreign partners in many markets around the world. They should compare with competitor’s distribution channel. the tourism industry makes sure that they will come back to Vietnam again. price. When they come first time. great restaurants and high quality products. To do this. Building a commodious distribution channel is the best way for Vietnam Tourism to penetrate the new market and increase the market segment but it require Vietnam Tourism highcost for controlling their agencies. Specifically. experience. service. staying in Vietnam always give the tourists a wonderful time. PLACE (DISTRIBUTION) Vietnam Tourism will set up the distribution channel of its products. It is extremely vital for Vietnam Tourism industry in the long term.

Recently. Vietnam Government spent 204.It means the way Vietnam Tourism promotes the sale. Media can create Vietnam Tourism brand name rapidly. 2009). Advertising Chart 4: Why do foreign tourists know Vietnam? Half of them mostly knew Vietnam through foreign article and the introduction of their friend and family.. Vietnam Tourism should focus on supported sale policy. travelling channel on television and website in America. Japan.. These efforts will increase great awareness of the foreigners about Vietnamese images.000 USD to buy advertisement on BBC that really a good sign for Vietnam Tourism (VOVNews. they influence customer to try their products by coupon. On the other hand. At 80% of companies believed that organizing the international events such as SEA GAME. The most important tool is Public Relationship. The Tourism Industry and government consider most effective marketing in other countries: advertise Vietnamese attractions on newspaper. Europe. 31 . They have a lot of policies to support their channel such as commission and discount policy. Especially. they should use the advertisement effectively. and rewards. That shows the weakness of marketing of Vietnam Tourism Industry. etc.. payment discount. Miss Universe can contribute to marketing Vietnamese Image and its Tourism Industry.

However.000 2. Tourism was not mentioned. Vietnam National Association of Tourism was established with the role of directing and controlling Vietnam tourism activities to develop Vietnam Tourism Industry stably and permanently.000 400. even was behind the times. when Vietnam was implemented “open-door policy” and joining to global economics.000 1. economy did not have development remarkably. Growth rate (%) 20 33 Growth rate (%) 50 33 32 Year 1990 1991 1992 Foreign tourists 250. Vietnam under state subsidy in 1908s.THE SECONDARY DATA ANALYSIS OF VIETNAM TOURISM On 27 August 1978. Tourism activities were focused more and Tourism was defined one of the key sectors of Vietnam economy.500.000.000 300.000 Domestic tourists 1. In recent years.000.000 . economy got many remarkable achievements.

600.140.000 17.000 11.1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 670.500 23.477.000 1.800 2.100.600 17.43 11.51 52.735 2.35 18.330.000 6.000 6.627.340 1.45 85.000 15.18 15.17 11.583.000 11.04% in domestic tourists.500.486 4.000 19.42 9.830 5.908.000 30.400 20.000 14.37 68. especially in 1993.715. the number of both of foreign and domestic tourists increased annually with average of 18. the amount of tourists changed suddenly. Revenue of Tourism also was increase by time Year 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 Revenue (billion VND) 1.948 18.300 1.500 10.351.42% in foreign tourists and 21.000 13.020.000 26.000 7.000 8.060 14.82 5.04 (Source: Vietnam National Association of Tourism) According to this figures above.20 -4.900.000.000 9.200.000 16.428.000 22.520.873 3.200.500.000 8.781.89 39.100.050 2.300.250 8.500.600 1.000.000 13.349 68 52 32 19 7 (11) 17 20 9 13 (8) 21 19 3 18 5.680 2.000 155 22 11 6 16 13 4 12 4 11 4 7 11 9 10 Average 1.38 9.229.13 8.38 33 .000 Growth rate (%) 25.100 1.200.54 17.700.500.000 1.607.730 9.988 2.200 1.100 2.111 21.82 12.711.000 10.927.500 3.

000 56. what dose Vietnam Tourism has to attract foreign tourists and where are target markets of Vietnam Tourism? In marketing theory. Just only in Southeast Asia that countries have many similarities of culture. this number changed suddenly and reached at over 50.2006 2007 51.938 billion VND and the annual average of growth rate was 25. The competition among tourist areas on the world becomes more violent. THE VIETNAM TOURISM‘S ADVANTAGES AND DISADVANTAGES With the eruption of information technology in last decade. With these numbers above. Vietnam Tourism Revenue rose remarkably with the annual average of 17.938 25.000 billion VND. Thus. At 82% of international tourists traveled to Vietnam because of its good weather and natural beautiful sceneries.37 (Source: Vietnam National Association of Tourism) From 1990 to 2007. Nature gives a 34 . Bali in Indonesia and Borocay in Philippines. in 2006 and 2007. Phuket in Thailand.00 9. what are the comparative advantages of Vietnam Tourism? And what are its disadvantages? One of the biggest Vietnam Tourism’s advantages is the nature. Especially. it can be said that Vietnam Tourism Industry are developing considerably with the care of Vietnamese government and community. geography have drastic races between tourist spots in order to attract visitors such as Sentosa in Singapore.37%.000 70. tourists have many choices for their holidays that are making Vietnam Tourism in particular and Tourism in general to confront a lot of challenges.80 Average 17.

they spent 3 billion US dollars in 35 . Vietnam Tourism has also its own disadvantages. My Son Sanctuary. Vietnam has 5 vestiges that acknowledged as a world inherited properties by United Nations Educational. convenient traffic and the citizens’ friendship are also the advantages of Vietnam. Vietnamese Government should have more effective and appropriate strategies to help national tourism to develop firmly such as holding a national tourism event or using the media especially the internet to advertise Vietnamese Tourism. This number is 45% through an introduction of some foreign articles that they read incidentally.special treatment to Vietnam with many beautiful tourist spots and a long beach. They must have good marketing strategies. Vietnam has 2741 national vestiges and tourist attractions. Finally. especially Sa Huynh Culture with hundred-year feudal royal dynasty. Scientific and Cultural Organization (UNESSCO) include Hue ancient capital. However. The downgrading of historical and war vestiges without the attention of government makes the tourism less attractive to the visitors. Hoi An Ancient Town. At 28% of international tourists know Vietnam through their friend and family who used to come to Vietnam. Moreover. lack of the national strategy is also a disadvantage. China is a good instance. Sports and Tourism of Vietnam. The other channel is advertisement of some Vietnamese Tourism Companies on their website with number of 22 per cents. Moreover. Tours seem to become more uninspired or mediocre. Those are mostly the attraction of tourism. 2010) Next. it also has a lot of war vestige belonging 2 wars between Vietnamese and French and American. The foreign tourists can visit the biggest cities of Vietnam (Ho Chi Minh City) and take a rest in one of the most beautiful beach on their trip. Phong Nha Ke Bang National Park and especially Ha Long Bay that has just acknowledged as a wonder of nature by UNESSCO. In 2010. They also focus on developing infrastructure especially traffic to make a good condition for development’s tourism. It takes about litter time flight from Ho Chi Minh City and Ha Noi to other countries. Moreover. Vietnam has a long-standing history with the 4000-year culture that is an attraction with most of international tourists with the agreement of 74% of them. Vietnam is the 27 th nation on the world that has ocean and most of them are beautiful (Ministry of Culture. In 2004. Tourists simply come there for the rest or to do sightseeing.

and challenges of human resource and so on. perfection and innovation of institution of governmental administration. According to WTO. Moreover. Thus. a mysterious region of Buddhism. The development’s motivation grew weak and the challenges seem show clearly. Vietnam is one of the safest investment environments on the world with the stable politics. That is time to think the structural reform which is not a discussed topic. Vietnamese economics is very aggressive and potential with over 7% of annual GDP growth rate. CHAPTER 5: CONCLUSION With the industrialization and modernization. Vietnam becomes a remarkably developing country in Asian area as well as on the world. Vietnam Economy develops more and more. but must put into the 36 . Vietnam has a rapidly developing capital market. Vietnam has enough convenient condition for an investor to seek a good new venture.building the railway between Beijing and Xizang to grow the tourism of Xizang. Globalization put many countries into the challenges such as competitive pressure.

The viewpoint “good wine needs no bush” was not appropriate in the violent competition nowadays. The answer is “no” definitely. can Vietnam Tourism development stably and permanently with only high potentials. This process requires Vietnam to use their comparative advantages to set up suitable strategies. With high potentials.4 % 1 2 . APPENDIX THE TOURIST AGENCIES’ COLLECTED DATA IN 2009 International tourists' information How many times they come to Vietnam for travelling? What region/country do they come from? China America Japan Korea France Taiwan Australia Malaysia 14 11 10 10 5 7 6 4. However. Vietnam Tourism increased considerably and contributes 13.complete resolution in order to find out a new wave of growth. In recent years. However. these strategies need the supports of Vietnamese tourism business to create collective strengths. Vietnam Tourism needs national directions of government and combines with the right marketing strategies that are useful to introduce image of Vietnam Tourism to the world. Vietnam Tourism was chosen a key economic sector in the process of structural reform by government. With the best effort. I really hope my dissertation demonstrates enough analyzed data and information as well as the ideas for the readers to have an overview of Vietnam Tourism Marketing Strategy.5 37 Answers 1. the dissertation focus on collecting and analyzing the data and information to suggest some directions of marketing strategies to contribute to build good image of Vietnam Tourism.1% to Vietnam GDP.

Thailand Others 3 How old are they? Over 60 50-59 40-49 30-39 20-29 Under 20 4 What make they feel pleased when they traveled Vietnam? Natural beautiful spot Culture and history Others 5 How did they know Vietnam Friend and family Vietnamese Website Foreign articles Others Did they complain anything? If so. what did they complain? Bad traffic Under-standard accommodation Others 7 What was their recommendation? Improve level of quality Diversify the products Good organization Others 8 Do they intend to come back? Yes No The suggested marketing strategies for Vietnam Tourism Industry What are criterions you use to segment your 1 markets? Region/country City or metro-area size Climate Income Age 4 28.5 5 27 12 15 38 3 82 74 10 28 22 45 5 6 68 34 23 63 71 45 12 73 27 100 70 50 60 90 38 .

999 Under 20.000-59.000-39.Social class Family life cycle 2 What your target markets? Geographic Region/country Europe America Japan Other City or metro-area size Big cities Middle cities Others Climate Frigid and temperate Others Demographic Income Over 80.000-80.999 20.000 Age Over 60 50-59 40-49 30-39 20-29 Under 20 Social class Upper upper Upper Upper Middle Middle Upper lower Lower Family life cycle Single Just-married Old couple Married 80 70 90 80 80 40 100 70 30 100 50 70 80 100 50 40 40 90 80 40 100 30 50 90 100 60 0 0 90 80 50 50 39 .000 40.000USD/year 60.

History.5 What is approriate marketing positioning for Vietnam Tourism Industry? Peace Humanity Diversification Friendly Environmental Cultural land Beautiful country 80 80 40 30 50 60 50 6 What is needed to be improved and mentioned? 5S (Sea. Hotel. Smile. Sun. Health and Humanity) Traffic Advertisement Others 70 80 30 60 30 8 What are the appropriate products decisions? Improve level of quality Compare with other competitors Diversify the products Others 70 80 60 30 9 What are the appropriate distribution decisions? Capacity (finance and selling) Experience Brand name Others 70 60 80 30 10 What are the appropriate promotion decisions? Buying international advertisement Commission and discount policies for agencies Public relationship (international) Organize international event What are suggested to penetrate the global 11 market (international marketing)? Determine target markets Predict the risk Determine the method 50 60 50 40 100 70 50 80 . Sand and Stomach) 5H (Hospitality.

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