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THE FINANCIAL

THE UNIVERSITY OF MARKETING AND FINANCE

FINAL ESSAY

ANALYSIS MARKETING STRATEGY OF


OPPO SCIENCE AND TECHNOLOGY CO., LTD.

Majors: Marketing
Specialized: Marketing Management
Class: Principles of Marketing
Term: 2021702032615

HO CHI MINH CITY – 2021


THE FINANCIAL
THE UNIVERSITY OF MARKETING AND FINANCE

FINAL ESSAY

ANALYSIS MARKETING STRATEGY OF


OPPO SCIENCE AND TECHNOLOGY CO., LTD.

Lecturers: Đặng Huỳnh Phương


Term: 2021702032615

Student: ID Students
Trịnh Hoài Nam 1921005539
Vũ Trương Ngọc Vy 1821000471
Nguyễn Thị Thanh Thảo 1821003851
Phạm Hoàng Phúc Anh 1921001391
Nguyễn Thị Vân Thuỳ 1921005695

HO CHI MINH CITY – 2021


TEACHER'S ASSESSMENT

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4th July, 2021

Đặng Huỳnh Phương

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RESULTS OF THE RESEARCH

Number points Lecturer’s signature

MARKETING DEPARTMENT

Dr. NGUYEN XUAN TRUONG

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COMMITMENT

The working group states that this article is entirely their own effort. Our
complete article is unique and does not use any other people's research. All secondary
information data gathered and used in our paper is properly mentioned in the
references section.

We accept full responsibility for keeping this commitment!

Student’s signature

Trịnh Hoài Nam Vũ Trương Ngọc Vy Nguyễn Thị Thanh Thảo

Phạm Hoàng Phúc Anh Nguyễn Thị Vân Thuỳ

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TABLE OF ASSIGNMENTS

Completed
Members ID Students Division
Percent

Executive summary,

Macro Environment,

Vũ Trương Ngọc Vy 1821000471 SWOT analysis, 100%

Conclusion

Work in groups and review the article

STP Strategy

Promotion
Nguyễn Thị Thanh Thảo 1821003851 100%
Micro Environment

Work in groups and review the article

STP Strategy

Product

Trịnh Hoài Nam 1921005539 Introduction 100%

Edit text

Work in groups and review the article

Price

Nguyễn Thị Vân Thuỳ 1921005695 Conclusion 100%

Work in groups and review the article

Competitors

Phạm Hoàng Phúc Anh SWOT analysis


1921001391 100%
Place

Work in groups and review the article

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FIGURE LIST
Figure 1: Top smartphone vendors............................................................................. 4
Figure 2: Camera device usage (Q&Me 2016) .......................................................... 8
Figure 3: Positioning – Price & Camera quality: ..................................................... 22
Figure 4: Product line ............................................................................................... 24
Figure 5: Structure of Place ...................................................................................... 29
Figure 6: Son Tung M-TP in the role of brand ambassador..................................... 30
Figure 7: Ho Ngoc Ha advertises the OPPO F1s Plus ............................................. 31
Figure 8: Toc Tien advertises the OPPO F1s Plus ................................................... 31
Figure 9: Blending elements of “Reno” ................................................................... 32
Figure 10: Oppo's sponsorship strategies in music MV and Film Projects .............. 33
Figure 11: Heart Beat event – accompanying My Tam ........................................... 34
Figure 12: Oppo is the main sponsor of the show “Bố ơi mình đi đâu thế” ............ 35
Figure 13: Oppo is the main sponsor of the show The Remix ................................. 35
Figure 14: Oppo is the main sponsor of the game show “Đấu trường danh vọng” . 36
Figure 15: TOP 10 biggest reality TV shows in Vietnam and main sponsors ......... 36
Figure 16: OPPO contributes to the prevention of Covid-19 epidemic in Vietnam 37

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TABLE LIST
Table 1: SWOT analysis .......................................................................................... 15
Table 2: Segmentation Analysis ............................................................................... 18
Table 3: Prices of Oppo Reno products at Thegioididong, FPTShop ...................... 25
Table 4: Price list of some brands on the market in 2021 on Thegioididong. ......... 27

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MỤC LỤC
Executive summary .................................................................................................... 1

1.Company Profile ..................................................................................................... 2

2.Market Analysis ...................................................................................................... 3

2.1.Market Share ..................................................................................................... 3

2.2.Market Growth .................................................................................................. 3

2.3.International Market: ........................................................................................ 4

3.Environments Analysis ........................................................................................... 4

3.1. Micro environments: ........................................................................................ 4

3.1.1Marketing Intermediaries ............................................................................ 4

3.1.2.Company: ................................................................................................... 5

3.1.3.Suppliers ..................................................................................................... 6

3.1.4.Publics: ....................................................................................................... 6

3.1.5Customers .................................................................................................... 8

3.1.6.Competitors ................................................................................................ 9

3.2.Macro Environment ........................................................................................ 12

3.2.1Demographic forces................................................................................... 12

3.2.2.Economic forces ....................................................................................... 12

3.2.3.Cultural forces .......................................................................................... 13

3.2.4.Natural forces ........................................................................................... 13

3.2.5.Technological forces ................................................................................ 14

3.2.6Political forces ........................................................................................... 14

4. SWOT Analysis.................................................................................................... 14

5. STP Strategy Analysis ....................................................................................... 17

5.1.Segmentation................................................................................................... 18

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5.2.Targeting ......................................................................................................... 20

5.3.Positioning ...................................................................................................... 21

6.Marketing Mix Strategies ...................................................................................... 22

6.1.Product: ........................................................................................................... 22

6.1.1. Tech specs: .............................................................................................. 23

6.1.2. The design ............................................................................................... 23

6.1.3. Brand awareness ...................................................................................... 23

6.1.4. Product line .............................................................................................. 24

6.2. Price: .............................................................................................................. 24

6.2.1.Value-based price (low price – high quality): .......................................... 25

6.2.2.Psychological pricing: .............................................................................. 25

6.2.3.Pricing by product line: ............................................................................ 25

6.2.4.Price strategy on competitors: .................................................................. 26

6.3. Place: .............................................................................................................. 27

6.4.Promotion ........................................................................................................ 29

6.4.1.Brand Ambassador ................................................................................... 29

6.4.2.Advertisements ......................................................................................... 32

6.4.3.Sponsorships ............................................................................................. 33

6.4.4.Community Involvement .......................................................................... 37

6.4.5.Personal Selling ........................................................................................ 37

6.4.6Sales Promotion: ........................................................................................ 38

7.Conclusion ............................................................................................................. 38

7.1.Product Strategy: ............................................................................................. 38

7.2.Price Strategy: ................................................................................................. 39

7.3.Distribution strategy: ...................................................................................... 39

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7.4.Marketing strategy: ......................................................................................... 39

REFERENCE ............................................................................................................. a

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Executive summary

The release of iPhone 4 in June 2010 marked the beginning of a smart phone
era for the mobile industry worldwide. In the past two years, China's mobile industry
has become increasingly mature due to the development of science and technology,
particularly communications technology. Chinese mobile brands such as Huawei,
OPPO, VIVO and Xiaomi have rapidly emerged, with the gap between them and
brands including Apple and Samsung gradually narrowing. In recent years, OPPO
mobile phones have experienced sound development. The reasons for the increase of
their market share over the past few years include OPPO mobile products themselves
and their marketing strategy, which for other brands, are worth learning from. The
reasons for the increase of their market share over the past few years include OPPO
mobile products themselves and their marketing strategy, which for other brands, are
worth learning from. Despite their excellent performance in recent years, OPPO
mobile phones are still faced with fierce competition within the mobile industry:
Apple and Samsung are holding the majority of the market share in the high - end
market; in the mid - range market, they are competing with Huawei, Xiaomi, VIVO
and other competitors. Faced with this highly competitive environment within the
mobile industry and the increasingly low frequency of mobile replacement among
consumers, OPPO and other mobile brands need to improve their marketing strategy,
so that they can increase their shares in the mobile market and achieve better
development without being easily eliminated in this era when new models come out
at an increasingly high speed. Through consulting journals and other literature from
libraries and the Internet, this article is written based on previous established theories
and in combination with specific cases. The research methods adopted in this article
include, market share, market growth, Micro Environments, Macro Environment and
SWOT analysis. By combining the methods of literature analysis, case analysis, it
analyzes the marketing strategy of OPPO mobile phones, as well as offers advice on
how to improve it. The author hopes that this article will help OPPO mobile phones
develop better under the fierce competition among different mobile brands and offer
insights for other mobile brands to draw on.

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1. Company Profile

The brand of OPPO was registered in 2001. In 2004, OPPO (China) was
established, with Chen Mingyong as its CEO. In the same year, OPPO Digital was
established in Silicon Valley, California, the US, engaging in the R&D and
production of Blu-ray products. Ever since their establishment in 2004, OPPO has
established their networks in more than 40 different countries including China,
Russia, the United States, Europe, and Southeast Asia (OPPO, n.d) and are still in the
process of expanding. Due to a smart marketing strategy with a strong focus on
cameras for its models, OPPO has exceedingly gained popularity among young adults
and teenagers. From 2005 to 2017 when OPPO had undergone multiple
transformations during its operation, its core business involved DVD players, MP3
players, MP4 players and mobile phones. Since 2013, the company has started to
focus on the R&D, production and sales of smartphones. Since 2015, through precise
market positioning, high-frequency brand promotion, as well as large-scale channel
building and distribution, OPPO has become China’s fastest growing mobile brand
in terms of market sales.

The company states its mission is to elevate life through technological artistry
with its motto “Technology as an art form”. OPPO also claimed to be “The world's
leading smart device manufacturers and innovators.” and they always strive to be a
sustainable company that contributes to a better world (OPPO, n.d).

OPPO first entered Vietnam in late 2012 with its OPPO Find 5, the first 5-inch
phone with the latest camera sensor at the moment, the Exmoor RS from Sony. In
Vietnam, OPPO is the 2nd largest mobile phone company, with a market share of up
to 25.2% at the end of 2019. Its main products are smartphones in the mid-range and
high-end segments. with the strategic product line OPPO Reno (formerly OPPO F
series) and large and aggressive advertising projects.

Oppo Reno - these phones have quite high prices from 8 million to more than
20 million. Being cared for by Oppo in both design and configuration, the company's
most modern and quintessential things are equipped on these products such as

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overflow screen, unique pop-up camera cluster, and Impressive fast charging
technology. In addition, they still have a very powerful configuration with a huge
amount of memory, ensuring the smoothest and most impressive user experience. The
Reno series can be mentioned as: Reno 2, 2F, 3, 3Pro, 4, 4Pro.

2. Market Analysis

2.1. Market Share

According to Hayes (2020), market share is defined as the percentage of total


sales created by a specific company in their industry. In Vietnam 2018, OPPO's
market share is under 10%, however, the report shows that in 2019 their market share
has increased to 25.2%, resulting in a 150% growth in market share. That makes
OPPO one of Samsung's main competitors in the smartphone industry. (Huynh 2019).
Besides Samsung, Xiaomi and also compete with OPPO in the mid-range smartphone
section.

2.2. Market Growth

In the last quarter of 2021, the three big players in the Vietnamese market,
Samsung, Oppo, and Xiaomi, maintained the top. These brands have been very
pleased with the Vietnamese people when they launched phones in a variety of price
segments with excellent quality.

Top 5 smartphone market share in Vietnam is very fierce competition

Based on market data, in the first quarter of 2021, the top 5 market shares in
Vietnam remained unchanged in order: Samsung, Oppo, Xiaomi, Vsmart and Vivo.

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Figure 1: Top smartphone vendors

Samsung dominated the top with a market share of 33% (up 67%). Next is
Oppo with 18% (up 46% in the same period last year). Right behind is Xiaomi which
reached the top 3 in Vietnam market share with 11% (up to 79% over the same
period). The mass growth of all brands is proving that the competition is extremely
fierce.

2.3. International Market:

The International market includes “buyers in other countries, including


customers, manufacturers, resellers and governments”.

According to Counterpoint Research, OPPO is ranked fifth when it comes to


market share at 7% globally (22.3 million handsets) in the first quarter of 2020. This
is advantageous to the organisation, considering its brand awareness around the world
and the mentality of Vietnamese consumers of getting “more recognized foreign
brands for around the same prices”.

OPPO is a relatively new face in the mobile market, much younger than its
prime competitor Samsung in Vietnam, yet the company is awarded by WhistleOut
with “Best Phone Manufacturer of 2019”. Currently, OPPO is present in 39 countries
in many regions around the globe including South Africa and the Middle East, Asia,
Europe and Oceania.

Indeed, this translates to their considerable success in developing markets such


as China 15% and India with 12% market share in the first quarter of 2020.

3. Environments Analysis

3.1. Micro environments:

3.1.1 Marketing Intermediaries

The foremost essential factor in the successful distribution of a product is the


reseller market, or in short, wholesalers and retailers who get profits by reselling a

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company’s products and services without any changes (Kotler & Amstrong 2020,
p.89)

As one of the leaders in the mobile industry, OPPO distributes its products
through both wholesale and retail channels across Vietnam, mostly in urban and
suburban areas, to provide timely and efficient channels to local consumers. Viettel
has become an official distributor of OPPO as of 2013, also has the advantage of
being a network provider with a large customer user base. Besides Viettel, however,
there are dozens of other channels such as The Gioi Di Dong and Vien Thong A with
hundreds of physical stores across the country. OPPO products are advertised on their
storefronts and featured from their top shelves, where consumers decide which brand
to buy from. Needless to state this is the department companies need to differentiate
their products and promote their brand image to shoppers.

In 2018, OPPO and Vivo faced a backlash from retailers like Big C over their
decision to cut retail margins by 40%, which led to a combined drop in sales of ten
thousand units. It goes without saying that for their future plans in Vietnam, the
company should be more conservative of changes that negatively affect their resellers
to avoid similar losses.

3.1.2. Company:

The company understands that just relying on its products cannot make their
business successful, but also thanks to the contribution of the people in the company
- one of the most important assets for the company. With any business Enjoy the core
values. "Obligation - Customer Orientation - Pursuit of Perfection - Result Value",
Oppo is constantly exploring and developing advanced technology products, wishing
to bring the best experience to customers. and always create a good welfare regime,
good working environment, and care about the work and life of employees.

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3.1.3. Suppliers

Suppliers offer the inputs (or raw materials) that are necessary for a company
to produce its goods and services. These firms are considered partners in “creating
and delivering customer value” (Kotler & Amstrong 2020, p.89)

In a technologically driven market namely the smartphone industry, OPPO


judiciously considers suppliers who can bring cutting edge technology to its products.
In regards to the OPPO F11, this is demonstrated in their long term partnerships with
the industry leader Samsung Electronics for the latest design of camera image sensors
and OLED display panels. This is confirmed by a Samsung display official. "Among
the major makers in the mainland, We have especially maintained close relationships
with OPPO and Vivo." (Baek 2019).

OPPO also takes into account the cost when partnering with its suppliers.
Despite its relationship with the multinational chip producer Qualcomm, to keep the
price low for the F11, the company strategically sources chipsets, in the case the Helio
P70 from the Taiwanese manufacturer Mediatek, as shown in Figure 1.

Current records demonstrate the majority of OPPO’s handsets are made from
the ground up in an industrial complex in Guangdong, China and a simpler assembly
factory in Greater Noida.

3.1.4. Publics:

- Our financial companies such as: Banks, financial investment companies,


investment companies, environmental companies of trading securities, shareholders
... This introduction has a direct influence on the ability to secure capital for the
company to solve the tasks in the strategy. Besides, installment loan companies are
also essential for OPPO's buying and selling activities and customer support.

- Our mass media such as: radio, television, newspapers, ... This group will bring
information that is beneficial or detrimental to the company. If the company can enlist
their consent, the company will appear many positive images in public.

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- State agencies that have the ability to act on marketing activities such as: Ministry
of Natural Resources and Environment, Ministry of Culture and Information,
Ministry of Justice... According to their functions, each agency can affect different
aspects of OPPO's marketing.

- The public acting for the citizens is also the force that often affects the marketing
activities of the company. These organizations may have groups: consumer protection
organizations, environmental protection organizations...

- The local public includes local residents and local community organizations. This
force may or may not support the company's presence in the local market.
Specifically, but the company's Brand Activations activities are implemented and
successful or not thanks to the permission of the local authorities. Oppo needs to
appoint a community relations officer who specializes in dealing with community
issues: attend meetings, answer questions and contribute valuable results to the local
community.

- Internal public, including employees, managers, board of directors... are also forces
that have a good or bad influence on the effectiveness of the company's marketing
decisions. This force is encouraged, encouraged, and treated well by Oppo, we often
see the excitement in their work and spread to the outside public (Through their
personal page, via their TikTok account. company,...) shows that this is a healthy
working environment.

- The general public. Oppo considers the general public's attitude towards its products
and business very carefully. Faced with the difficulties of people's lives during the
COVID-19 pandemic or during natural disasters - drought, Oppo has many forms of
support for them, bringing the company's image to the public. Influence their
purchase.

- Finally and most importantly is the Influencers group, which affects the large
community, especially the target customers such as Celebrities, KOLs, Industry
experts,... This group not only affects the image. positioning of the company but also
greatly influence the target customer group because they are the model that the target

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customer group is aiming for. Celebrities will draw attention to public opinion, so do
brands, driving customers' purchasing actions. OPPO has invested a lot in this group
and has achieved certain successes, which can be seen through their promotional
activities.

3.1.5. Customers

Consumer markets:

OPPO is a subsidiary company of BBK Electronics, a Chinese multinational

corporation specialised in electronics and mobile communications. Even though


Vietnamese consumers tend to favour foreign products over local ones, it is not
completely in favour of OPPO as Chinese brands face blatant prejudice when they
initially enter Vietnam.

Since the launch of OPPO Find 5 at 10 million VND, OPPO has positioned
itself as one of the most iconic brands in Vietnam, claiming second in market share
behind Samsung with 25.2%. This success can be partly attributed to how the
organisation understands the trend in consumer behaviours and capitalises on those
trends. For instance, their timely celebrity endorsement to promote brand image and
awareness is in line with the boom in body consciousness and consequently the fitness

Figure 2:Camera device usage (Q&Me 2016)

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chain in Vietnam in recent years. Their strategic marketing proves to be beyond
expectation, exemplified by a study that concludes a strong correlation between the
viewer’s preference towards the celebrity and purchase intention of OPPO products.

Moreover, the brand heavily invests in AI technology for photos and is well-
recognised as the budget option that offers the most “bang for the bucks” in terms of
cameras in their segment. According to Figure 2, on device usage for photo shooting,
smartphones account for 71% of the pictures taken for the 732 participants
surveyedThis combines with the popular mindset of price consciousness in the
consumer trend, an increase of 34% to appeal to not only the teenagers and young
adults but also a large base of customers who take photographs regularly with their
phones.

Overall, it is irrefutable that OPPO has matched its marketing strategy to

accommodate the most updated consumer behaviour trends in the Vietnamese


market, which is demonstrated in its success figures.

3.1.6. Competitors

● Apple:

With the launch of the iPhone in 2007, Apple added yet another feather to its
cap of innovations in a big way. Despite the fierce competition in the mobile market,
the iPhone has been able to carve a niche for itself in a sort of big way. It will not be
off the mark to say that the iPhone is five years ahead as far as technology is
concerned. Apple is always on the path of innovation and keeping up its tradition, the
company launched iPhone 3G in 2008 and iPhone 3GS, a third-generation mobile
phone in the year 2009. Phone is a true work of genius and is way ahead from its
competitors as far as technology is concerned, which is fairly significant. It has been
designed by Jonathan Ive, who has brought a masterpiece and revolutionary product
in the field of mobile phones, which is quite significant. In fact iPhone is a mix of a
mobile phone and a mini-computer. Owing to its features, iPhone has surpassed the
category of smartphones. The iPhone particularly has become the major piece of

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technology that allows users to for the most part perform multiple functions with their
really portable mobile phone. It has a variety of user-friendly services, from kind of
basic communication to entertainment, GPRS, internet, camera, and touchpad.

● Vsmart:

As the mobile industry becomes more lucrative over the years, OPPO is
competing for its place in the market with both local and international conglomerates.
Despite maintaining the second position in market share in Vietnam as mentioned
above, the company is facing stiff competition with the market leader Samsung
Electronics and recently the Vietnamese brand V-smart. Nowadays, the majority of
Vietnamese consumers, especially the young population are going for value: a
midrange product that promises large screens, long battery life and new imaging
technologies. This segment of the market is highly saturated with Samsung releasing
more budget options like the A-series and the key new player, V-smart, having the
advantage of being a local brand to keep the cost down.

● Samsung:

Big man from Korea, Samsung, which for the most part is fairly significant.
Whether in the pretty high to pretty low price ranges, Samsung always responds to
each customer segment in the market really such as smartphones of the Galaxy A
series or the Galaxy M series will be suitable for customers with average to generally
low price ranges, which definitely is quite significant. The mid-range, generally
followed by the Galaxy S series or the Galaxy Note series using Pen will specifically
be suitable for customers from quite to high-end. Samsung mostly is always at the
forefront of the new technology market, aggressively with marketing campaigns,
product design or hardly the latest features, such as the launch of a quad-camera
cluster or the launch of 4G and then 5G networks. Basically other phone companies
always pursue technologies and features to apply to their products.

● Xiaomi:

Breaking into the Vietnam market with nothing but loyal fans at the start of
2017, Xiaomi quickly claimed their fourth position of the market share after 3 years.

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Under a saturated market led by Samsung and OPPO, Vo Le Tam Thanh (2019) - a
local analyst, believes that Xiaomi would keep boosting their effort and activities to
gather more market share from other brands. In a more detailed case, Xiaomi’s Mi
9T was a direct competitor to OPPO F11 due to its released date, same targeted
segment and specifications. Moreover, the Mi 9T was equipped with a pop-up front
camera, getting itself an advantage in visual experience over the OPPO F11.

● Huawei:

Huawei literally has not only strengthened its position in the leading global
brand index, but also increased its brand value in a really major way. BrandZ's annual
study of the 100 most valuable global brands, published by WPP research firm
Kantar, ranks Huawei at 47th position (up one place from last year) with an increase
in brand value of 8 %. This for the most part is the fourth consecutive year that
Huawei really has specifically appeared in the top 50 brands. Groundbreaking product
innovations really such as the advanced camera system on the HUAWEI P30
smartphone series and unprecedented technological innovation mostly included in the
HUAWEI Mate X (which boasts specifically advanced 5G capabilities and a new
folding design) basically has clearly generally won the hearts of the media and
consumers, receiving excellent product reviews along with countless awards, success
actually is reflected in sales, which essentially is fairly significant.

● Vivo:

The goal of Vivo's phone brand is to focus on young people, so the company
has constantly developed technology to focus on two strengths on its phone lines: the
ability to play games and the quality. The number of cameras delivers sharp images.
In addition, stylish design is also one of Vivo's user attractions. “Really beautiful”,
“standard selfie” or “sharp every frame”… are the fine words that we can see in the
advertisements of this phone company, which also shows that the first level of
investment invest in how great its photography ability is. The design on Vivo phones
is very modern and fashionable, suitable for young people. The hardware
configuration is quite good compared to competitors in the same price range.

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3.2. Macro Environment

3.2.1. Demographic forces

Vietnam's demographic is an active factor due to its size and the population's
growth. According to Worldometer (2019), Vietnam's population was around 96.2
million with a growth of 0.96%, high density in large cities in 2019. The median age
was around 30.9, which directly affected the Vietnamese smartphone's total market
value. In detail, proved by a TNS market research supported by Google in 2019, 58%
of Vietnamese people between 16-24 use smartphones. This ratio dropped to 45% for
the 24-34 age group and 31% at 35 - 44 afterwards. The research shows that the
Vietnamese median age of 30.9 makes the smartphone market more valuable.

3.2.2. Economic forces

According to a report from ECA International, with a 4% salary increase,


Vietnam was ranked second in terms of growth in the world in 2018. Hence, the
Vietnamese purchasing power was eventually raised. Furthermore, Vietnam’s
unemployment rate was only 2% in 2019, which is considered as low and acceptable.
Saigoneer (2019) also stated that the number of Vietnamese middle-class will shift to
33 million in 2020, making the mid-tier smartphone market more productive than
ever.

With a starting price of 7.3 million VND, the OPPO F11 is classified as a mid-
tier smartphone, which accounted for 34% of the Vietnam market.This figure could
be higher in 2019 due to the rise of mid-tier smartphone demands among Vietnam's
young population. Presented by Statista (2019), there were 35.67 million smartphones
in Vietnam, using data above, around 12,12 million of mid-tier smartphones were
being used in Vietnam in 2019. Using the price of OPPO F11 as the standard, the
achievable market value for OPPO F11 would be around 88.75 trillion VND at that
moment.

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3.2.3. Cultural forces

To get into the Vietnamese market, the mobile manufacturer has taken into
multiple factors concerning how the consumers perceive their products. To begin
with, since OPPO is in an unfavourable position as a Chinese brand with anti-
sentiment against them from the public, it takes longer to bypass that initial barrier to
gain trust from customers.

However, this is compensated with brilliant marketing from OPPO by


focusing on celebrity endorsement and its identity as a mobile carrier for a selfie. This
is very in tune with rising trends of selfie-taking, as mentioned above. It is evident
that this contributes greatly to OPPO’s success in Vietnam

3.2.4. Natural forces

As one of the fastest-growing mobile companies, OPPO should be concerned


with how its products affect the environment; however, this is not the case in reality.
According to Greenpeace Guide to Green Electronics by Greenpeace Report 2017,
the organisation is ranked the lowest: F in all metrics including environmental impact,
design and damage reduction as well as products and supply chain. To top this up,
OPPO has yet to release or respond to Greenpeace’s request for a sustainability
statement detailing how it could improve its management. Even though the company
complies with India management standards on E-waste, this is seen as doing what is
necessary to cooperate with the authority instead of actively taking measures to
understand and rectify the environmental damage.

Fortunately for OPPO, the Vietnamese consumers have a limited


understanding of green purchasing and environmental protection as of the time when
the company initially entered the market. It is expected that as living standards
improve, the organisation will soon have to take serious steps to appeal to eco-
conscious consumers.

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3.2.5. Technological forces

As a major force and is constantly improving, technology creates many


opportunities for new products to stay ahead of the market trends while forcing old-
fashioned items to be changed or to be replaced.

With its slogan “Technology as an art form”, OPPO focuses on building its
image as an innovator and does not try to trail its competitors. This is shown in how
the company is setting global trends in the field of smartphone manufacturing, such
as leading the race for fastest charging technology and the selfie camera revolution
on smartphones. These achievements are testaments to OPPO being a serious
contender in the global market in both product quality and innovation.

Being a leader in technology and innovation is undoubtedly advantageous. It


allows the company to have a competitive edge in their advertising campaign, attract
tech enthusiasts and provide their customers with the best user experience.

3.2.6. Political forces

Not long after OPPO joined the Vietnam market with the OPPO Find 5, The
Ministry of Industry and Trade abolished a restriction that put a quota on imported
mobile phones, wine, spirits and cosmetics through specific routes. These regulations
were lifted to help struggling businesses, which also helps to increase phone
importation up to 70% compared to the previous year. This is a key driver for most
handset manufacturers, but particularly relevant to OPPO’s case as they import 100%
of their items from outside of Vietnam.

4. SWOT Analysis

For many consecutive years, OPPO has been successfully learning and
adopting Vietnamese culture in their smartphone technologies to transform the lives
of many consumers and define a new way to use smartphones. OPPO is in its
expansion phase and its popularity started to be widely noticed by the introduction of

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the midrange OPPO F11 phone when it hit the sales record of about 50 000 pre-orders.
More than a figure, this success consolidated OPPO’s 2nd position in the market with
22.1% share of 2019’s first quarter and measured its ability to set strategic
management, capture the potential to strive in the market, recognize competitors in
the segment and overcome them to finally ‘‘elevate life through technological
artistry’’.

Thereby, SWOT analysis is a complete tool for the organization to position

themselves, analyze the surrounding environments and eventually set up appropriate

marketing plans for the next period. With a focus on OPPO, it is likely to assess

internal and external factors which bring organizational culture to such a success of
the

Table 1: SWOT analysis

STRENGTHS ● Generous R&D Investment: In 2019, OPPO invested heavily $ 1.4 bn to


improve the quality of their products including its popular figure OPPO which rose
steeply to lead the technology race.

● Trendy design: Thin bezel, a trendy notch on the panoramic screen, the world-
class 48MP primary camera, powered by Sony sensor, produces excellent shots
and impressive night photography are major scoring factors of OPPO in consumer
perspective. Besides, the powerful processor and game assistant built within the
phone yield unexpected performance for both gaming and entertaining purposes.

● Leading innovator: The new-released 125W flash charger allows a phone to be


fully charged within 13 minutes. Besides, an under-screen camera and no network
communication technology firstly introduced at MWC Shanghai is a huge bonus
for tech enthusiasts and experts.

● Superior marketing strategy: Celebrity endorsements, sponsorship for music


concerts, television commercials, short film making and the use of social media
platforms successfully differentiate the brand from the majority. They show how
OPPO dominates the market with dynamic and superior marketing strategies.

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● Intensive distribution: OPPO’s intensive distribution system, operated through
online shops such as Tiki as well as physical wholesalers and retailers, allows
nationwide coverage and ease of access to their products. This effectively
promotes its brand image in the market as a trustworthy corporation.

● After-sales service is a plus: Customer support team quickly responds to any


arising problems, 51% of the issues are fixed within an hour. OPPO does this by
having an intensive system of service centres, and their own 24/7 AI chatbot
OLLIE.

WEAKNESS ● Short-term support: Frequent software updates are demanded on any trendy
phone to maintain its performance whereas it support shelf life is only 2 years and
limited to new features supplements while Apple guarantees to support its devices
for at least 5 years.

● Cheating on performance: The actual performance on the OPPO phone is not


the same as advertised. OPPO was detected by investigators to deliberately misuse
the benchmarking app to produce higher performance points than its competitors
despite having the same tech specs. To some extent, the fraud may lower its brand
image, discourage the continuing purchase of long-term users and prompt
questions about its actual performance.

● Unfavourable position: Appearing to be a Chinese brand, OPPO was suspected


with anti-sentiment from the public however successfully gained trust over years
by using local celebrity endorsement and sponsorship for many TV shows and
projects to ease this tension.

● Excessive tech application: Adding too many new features to the phone requires
users to spend time researching and brings annoying unnecessary experience as it
requires regular updates from Oppo.

OPPORTUNITIES ● Brand awareness: Celebrity endorsements such as with Son Tung aim to
enhance customers’ awareness of the brand and their curiosity about upcoming
products. 90% of community responses to the survey recognize the OPPO brand
and determine its utmost advantage and expect a remarkable increase in profits.

● Technology is ahead of time: Strong investments worth $1.4 billion on


developing smartphone software and applications to improve users’ interaction

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and exploit AI in pioneering trends for its future strategic products with functions
of beautifying photos and the early arrival of 5G on smartphones to stay
competitive in the market.

● Products made diversified: At the bottom line, the A series targets low-income
groups accounting for 35% of the market with good looking phones but cheap
while the midrange serves the greatest number of users with the breakthrough on
camera technology. In contrast, the premium Find series means like the brand
image by providing the highest user experience with the most exceptional
smartphone technologies.

THREATS ● Competitive segment: The mid-range and low-end range of products are highly
profitable segments and have a large number of customers becoming the strategic
target for both local and foreign brands as they have competencies in providing
values that meet the customers’ needs. This severe competition has made OPPO
differentiate itself to stay competitive in the market.

● Disruptive distribution line: Political tensions between China and Vietnam in


recent years have resulted in unfavourable tariff on certain products imported from
China. This can be an obstacle for Oppo since it has no production plant in
Vietnam like Samsung which will hinder its distribution line to Vietnam due to
the higher cost of transfers.

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5. STP Strategy Analysis

5.1. Segmentation
Table 2: Segmentation Analysis

Segments Demographic Psychographic Behavioural Geographic


(in Income) characteristics characteristics characteristics characteristics

Dependents ● Age: <18 ● Personality: Trendy, ● Benefits sought: ● Density:


active, personality, Trendy phones with urban/
● No income
have own style, good designs and suburban/rural

● Occupation: extrovert, want to be affordable price


recognized, want
Students, ● Usage rate:
society to see who they
Workers with really are Medium to high

low salary usage. (much over 4


● Interested in: new hours of average)
things, quality of life,
● Loyalty: low,
committed
follow the trend, tend
relationships, adult
to use product
social settings,...
asserting themself
● Lifestyle: Focus on
studying and
entertaining.

Lower-income ● Age: 18-25 ●Personality: follow ● Benefits sought: ● Density: rural /


the trend, easy Affordable price for a suburban
● Lower-
straightforward phone with good
income: 2 - 10
interactions, specs and features,
million VND
experience. durable, long-lasting

● Occupation: battery
● Interested in: product
unskilled labours
serving a purpose and ● Usage rate:
(35,0%) (Tong
supports their current Medium to high

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cuc thong ke task, prefer nontext usage (over 4 hours of
2019) alternatives like average) (Nguyen
multimedia content, 2019)
technology that they
●Loyalty: average,
are aware of
using product they
●Lifestyle: Generally, have awareness of
a casual routine with
much free time for
using the phone. Under
the pressure of income,
spending is limited.

Middle-income ● Age: 25-35 ● Personality: has ● Benefits sought: ● Density:


private points and Phone with good urban/suburban
● Medium to
really shows off, wants specs & features,
high income (10 -
to catch up the trend but commensurate with
20 million VND)
is considering the price.

● Occupation: carefully.
● Willingly to pay a
Intermediate-
● Interested in: bit more to have a
skilled worker
technology that they better experience. But
(22.5%)
are aware of, Few are still did not have a

Free-worker interested in social whole much to

(53,3%)* (Tong relationships but spend


● Usage rate:
cuc thong ke time with themselves
Medium
2019) and their families

●Loyalty: average,
● Lifestyle: Quite busy
consider when
at work. Balanced
choosing other brands
between using phones
for entertaining and
working.

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High-income ● High-income ● Personality: have ● Benefits sought: ● Density: urban
(over 20 million Forethought, Passion, Luxury design. High- areas, big cities
VND Bloody-Mindedness, end features, trendy
Balanced Thinking, and different, confirm
● Occupation:
Motivation, the level of users.
Skilled labour,
Consistency,
senior worker. ● Willing to pay
Business owners ● Interested in: care much more for the
and leaders about quality of life, best experience
(1.1%) (Tong cuc value self and family,
● Usage rate: Low
thong ke 2019) products that show
their class or products ● Loyalty: high
suitable for the nature
of the job

●Lifestyle:
Perfectionism,realistic
lifestyle, Busy at work,
Using phones mainly
for working and
connecting. Use the
phone as a symbol
status

5.2. Targeting

By looking at reports from the Vietnam market and the starting price of around
7,3 million VND, OPPO was designed and aimed towards young middle-class people,
ideally around 18-30 years old. The main target consumer group of OPPO mobile
phones includes young people from 18 to 30 years old, most of whom are either
students or have just started to work from second-tier, third-tier and fourth-tier cities.
They are after novelty and fashion. They follow the trend and advocate individuality.
With active minds, they are interested in new things and pay attention to the quality

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of life. They also enjoy taking selfies, taking photographs, entertaining and
socializing, using social media, especially young women. This is a very potential
market that OPPO aimed to achieve when there are 10% more female customers over
male customers in their user profile (Q&Me Vietnam 2018).

Other OPPO targeted segments are general consumers. OPPO does not only
come with an AI beautification feature but all-around improvements. The ultra night
mode will be a top choice for people who love to take pictures anywhere at any time.
The saving of 30 minutes on a full charge is truly suitable for busy workers who have
to be on the go frequently. For teenagers, duo-chrome designs are extremely eye-
catching and trendy.

5.3. Positioning

Capturing that mentality, OPPO immediately chose its competitive advantage


as Camera. OPPO's products always focus on camera features such as the ability to
take sharp pictures and catch good light for "super virtual" selfies, rotating camera
lines, wide-angle cameras, dual selfie cameras. Although the camera of Samsung or
LG is not inferior to OPPO, with a series of ads from OPPO with impressive taglines
such as "Selfie Expert", "Camera Phone", "Unstoppable Selfie"... OPPO has
gradually educated users who want to take selfies, then OPPO is the best, and the
keyword associated in the user's mind talking about "Selfie" is OPPO. OPPO has
chosen a unique positioning: "Phone Accessories" - Fashionable Phone OPPO says
that a phone is not just a technology device, it is an accessory that highlights your
features OPPO's target customer group is young people, especially women, from 18
to 30 years old, that is the manager of OPPO's phone lines that always have a very
young, dynamic design, using Use soft plastic stickers in a variety of colors, suitable
for women.

After years of taking part in the Vietnam market, OPPO had achieved and
created good images with Vietnamese customers. As the graph illustrates, the
regularly chosen attributes are the price and the camera quality. OPPO is well known

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as a non-stop revolutionary technology and a leader of camera innovation. OPPO
developed a new selfie camera technology which is called “the under-screen selfie
camera” that has been applied to new OPPOs’ products in 2019. With high camera
quality at an affordable price, OPPO gave customers very high satisfaction in the
strategy which is “More for the same”. The company has positioned itself on the basis
of the state of the art image capturing and processor technology working on the
aesthetic part of the quality photos. OPPO has positioned itself as a stylish and
individualized mid-range and high-end mobile phone brand in the market.

Figure 3: Positioning – Price & Camera quality

6. Marketing Mix Strategies

6.1. Product:

In June 2019, OPPO Reno series was launched and is oriented to become the
main product line of OPPO in the mid-high segment (7-15 million). At the same time,
Vietnam is also the best-selling country of Reno2 series (over 10 million VND),
which has pushed the popular price segment to a higher level. In addition, OPPO also

22
focuses on developing accompanying services to increase and further improve the
quality of its services.

6.1.1. Tech specs:

OPPO Reno is one of the more budget-friendly products from OPPO.


Equipped with a 16.5 cm (6.5") water drop screen, this model had a surprising 90.70%
Screen-to-Body ratio. Powered by MTK MT6771V(P70) processor and ARM Mali-
G72 MP3 900MHz GPU, OPPO F11 ensures that their customer can enjoy seamless
performances with 6GB RAM + 128GB ROM2. Besides the amazing specs, OPPO
also includes a VOOC Flash Charge 3.0, which reduces the charging time up to 30
minutes; a 48MP Dual Rear Camera with Ultra Night mode will give out stunning
photos even when there is limited lighting. (OPPO 2019)

6.1.2. The design

OPPO focuses on its design and technological innovation. In 2019, they have
invested 1,4 billion dollars into further improving their technological and designing
advancement. Their product has reached and enhanced O F11 is their water drop
screen. This allowed the user to have a better experience without being bothered by
the screen notch like other smartphones. OPPO also provides the user with an upgrade
option - OPPO Reno Pro with a full-infinite screen without any notches or waterdrop.
OPPO Reno and Reno Pro also come with 2 trendy duo-chrome colours: Fluorite
Purple and Marble Green (OPPO c.2019).

6.1.3. Brand awareness

After 6 years since the first step into the Vietnam market, OPPO has gained
its popularity quickly. More than 90% of respondents recognized their brand
(QandMe 2019), OPPO strongly raised their brand awareness by using Son Tung,
Vietnam's most famous singer, as their brand ambassador. "A celebrity who
represents a brand or company over an extended period often presented in print

23
advertisements and television commercials as well as in personal appearances is
usually called a company’s spokesperson." (Nguyen 2018, p.28) Not only taking part
in product premieres, but Son Tung also starred in short movies and produced music
videos promoting OPPO products.

6.1.4. Product line

Figure 4: Product line

6.2. Price:

Oppo Reno's products are present to meet each customer's needs from high-
end to affordable segments. Although they are calculating medium to high prices for
their products, they still keep the price of their smartphone products lower than
competitors such as Apple, Samsung, LG, etc. to attract consumers to their products
by offering good quality products that differ in camera quality at prices affordable.
Therefore, oppo is in fact using a penetration price strategy in the marketing mix for
its products to get a larger market share.

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6.2.1. Value-based price (low price – high quality):

For new products, Oppo always offers a price 20% lower than smartphones of
the same type by using level 1 and level 2 channels to sell to the market at the lowest
possible price, creating an attractive mentality for customers. Although cheaper, the
quality of Oppo phones is still highly appreciated by professionals. Oppo wants to
implement a mid-range strategy to own a high-profile, sleek phone so that it can easily
convince the target customer group.

6.2.2. Psychological pricing:

OPPO products are always priced retail, for example, Oppo Reno 4 Pro costs
9,990,000, creating a mentality for customers to feel cheap and make faster buying
decisions even if there is no difference of 9,000,000.

6.2.3. Pricing by product line:

OPPO Reno's new product has a price that is not different from other products in the same
line, OPPO has a price difference of about 1 million VND compared to other OPPO lines at
the launch point. This price will make users tend to buy new products because of the superior
features but the price is not too different

Table 3: Prices of Oppo Reno products at Thegioididong, FPTShop

Oppo Reno 4 Pro 9.990.000

Oppo Reno 5 8.690.000

Oppo Reno 5 5G 10.990.000

Oppo Reno 5 Marvel 8.230.000

Oppo A74 6.690.000

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Oppo A74 5G 7.990.000

Oppo A93 5.990.000

Oppo A94 7.690.000

Oppo A54 4.590.000

Oppo A12 2.690.000

Oppo A15 3.490.000

Oppo A15s 3.990.000

Oppo Find X3 Pro 5G 26.990.000

Oppo has clearly seen the competition, so the company has focused on
building a name, brand PR, creating sympathy with the quality of products to create
a reputation for cheap electronics brands and meet the needs and desires of customers
and successfully produce cheaper prices than competitors 20% easily convinced. the
desire of the target customer group from which to have loyalty to the Oppo brand

6.2.4. Price strategy on competitors:

The most intense competition of the electronics industry, especially


smartphones today, is still the price, and the problem domestic manufacturers face is
how to make the product more modern and better without higher prices than imports
or goods distributed and manufactured by foreign companies.

Currently, OPPO uses the current price-based price method, which means that
the company will take the competitor's price as a basis. Due to the average market
share, the company sells products at a price lower than the price of products with a
higher market share than Samsung, Apple to attract the purchasing power of middle-
income customers, and higher than Xiaomi products to assert better product quality.

26
Specifically, the prices of some brands in the market:

Table 4:Price list of some brands on the market in 2021 on Thegioididong.

Trademark Price

Iphone 12 Promax 33.490.000

Samsung Galaxy S21 5G phone 17.990.000

6.3. Place:

OPPO definitely has spread its international presence to several global


countries and its products mostly are easily available in sort of nearly twenty-one
countries including places in Africa, Middle-East, South Asia, Southeast Asia,
Europe, Australia and the United States in a fairly big way. Its headquarters base
generally is at Dongguan in China in a basically big way. OPPO essentially has
formed definitely several divisions based on geographical locations to design and
mostly meet specific requirements of that area like OPPO Bangladesh, OPPO
Pakistan, OPPO Sri Lanka, OPPO India, OPPO Thailand, OPPO Vietnam, OPPO
Malaysia, OPPO Philippines, OPPO Myanmar and OPPO China.

It also essentially has a division OPPO Digital which operates independently


and for the most part is based in Mountain View in the United States, which kind of
is quite significant. OPPO particularly has particularly full control over its widespread
and actually strong supply chain that includes distribution of products from its
manufacturing plants to customers via online stores, mobile stores, supermarkets,
hypermarkets and malls, demonstrating how it also essentially has a division OPPO
Digital which operates independently and is based in Mountain View in the United
States.

In Vietnam, to literally be able to essentially cover the market and definitely


meet the actual needs of target customers, OPPO for all intents and purposes has

27
applied a multi-channel integrated marketing system – distributing products through
online and offline stores in a subtle way. In addition, Oppo also mainly really uses
level 0 and level 1 channels to minimize costs and really sell products at the cheapest
pretty possible price, fairly contrary to popular belief. By adopting a selective
distribution strategy, Oppo for all intents and purposes has a suitable distribution
network in locations where particularly many target customers for all intents and
purposes are concentrated, such as near universities, colleges, cinemas, shopping
malls, for all intents and purposes contrary to popular belief.

Up to the sort of present time (2020), OPPO's distribution channels include:

● Direct channel: OPPO experience stores (brandshop) - currently


actually has 8 branches in major commercial centers nationwide ; the
company's online website: shop.oppomobile.vn; Online store on
Shopee, Tiki, Lazada.

● Indirect channels: retail intermediaries - The Gioi Di Dong, FPT Shop,


Dien May XANH, Viettel Store, CellphoneS, Mobile Viet,
demonstrating that indirect channels: definitely retail intermediaries -
The Gioi Di Dong, FPT Shop, Dien May XANH, Viettel Store,
CellphoneS, Di Dong Viet, or so they basically thought.

28
Figure 5: Structure of Place

6.4. Promotion

6.4.1. Brand Ambassador

Brand ambassador strategy by segment

It can be said that the success that OPPO phones have in Vietnam is always
associated with the name of the singer Son Tung M-TP. Where there is OPPO, there
is Son Tung. The more Son Tung fans, the more OPPO Vietnam benefits.

The "explosion" named OPPO F1s at the end of 2016 is an example. This
phone was unexpectedly the second best-selling phone at The Gioi Di Dong, while
FPT Shop was the top seller. Partly thanks to the campaign, singer Son Tung holds a
smartphone in his hand and says: "OPPO F1s - Chuyên gia selfie". OPPO F11 Series
has had up to 48,299 orders after a few days of launch, setting a record for pre-order
sales, and of course, with the presence of ace Son Tung M-TP in the role of brand
ambassador. Recently, Son Tung M-TP also continued to accompany the OPPO
Reno4 Series duo and attracted a lot of attention from Vietnamese people with 15,000

29
purchase piles after only 5 days of launch. It can be said that through exploiting and
using the image of Son Tung M-TP, OPPO is gradually being trusted by more people.

Figure 6: Son Tung M-TP in the role of brand ambassador

OPPO is very diverse in many segments, in each different segment OPPO also
chooses for themselves different brand ambassadors to maximize access to a wide
range of customers such as Ho Ngoc Ha, Toc Tien, Noo Phuoc Thinh or Chi Pu, each
has their own duties for each certain segment.

Son Tung M-TP was recently attached to the OPPO F1s in the price range of
6 million VND. This is OPPO's most important mainstream segment, and they are
using their best "general" to hit this segment.

Ho Ngoc Ha advertises the OPPO F1s Plus, which costs nearly 10 million
VND, which can be considered an expensive segment. The image of this singer is
always associated with luxury and class, so it is suitable for customers with 10 million
VND to buy phones.

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Figure 7: Ho Ngoc Ha advertises the OPPO F1s Plus

As a talented singer, Toc Tien has attracted attention since she was an overseas
singer. But the name Toc Tien really exploded when she returned to Vietnam to
participate in the gameshow The Remix - Light Harmony in 2015 with the song "Vũ
Vũ Điệu cồng chiêng". Her name spread throughout Vietnam at that time, everyone
heard this tune wherever she went and OPPO did not miss a valuable opportunity to
cooperate with her. Now Toc Tien has become a symbol of young people with
excellent fashion style and powerful voice. Her influence has contributed
significantly to conveying OPPO's image to the public.

Figure 8: Toc Tien advertises the OPPO F1s Plus

As can be seen, OPPO divides its product lines into many segments to reach
the maximum customer base. From there, with each different target group, the brand

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will have to choose a character that suits the interests, budget, as well as the needs of
that customer group.

6.4.2. Advertisements

It can be said that Oppo spends very heavily on its advertising programs, the
advertising campaigns revolve around a very well-built viral clip. From identifying
your target customers, to uncovering their insights and building topics for discussion
that made waves on the deployed forums. Use mainstream, mass communication
tools to widely reach your target customer files. To achieve high recognition, a series
of large and eye-catching billboards with stylized RENO have been installed on the
main roads in major cities, creating a strong impression and inculcating the brand
image in people's minds. consumers, creating resonance for the brand between offline
and online. Oppo's successful advertising campaigns include:

From the task of satisfying the creative thirst to affirm the ego of young people
and OPPO's strategic analysis, the idea of "Tôi là Reno" was born. “Tôi là Reno”
because creativity is not far away, but right from a different Reno perspective of each
person. When inspired by their own creativity, young people will enjoy a different
sense of the world around them, thereby realizing that simple everyday life is full of
miracles. Creativity for “Tôi là Reno” is colorful and limitless.

Blending elements of “Reno”: inspiration; creative; vision and adventurous,


OPPO has created Key visual which is a colorful and innovative "RENO" Logo

Figure 9: Blending elements of “Reno”

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Mockup with familiar gadgets with the desire to light a brilliant and infinite fire in
each individual. multiply.

“Thay đổi góc nhìn, bắt trọn yêu thương” The grand idea of the campaign is
once again strengthening the "Family" platform and reminding people to use
smartphones intelligently so that the phone is no longer a barrier between generations,
but will be a way to express love. Fall in love with a different, new family.

Arousing a topical issue in society where the smartphone is the main cause,
OPPO does not criticize parents or Gen Z who is right and who is wrong in creating
generation gap and conflict, because both are standing in different positions. different
viewing angles.

With this campaign, OPPO hopes that both generations will change their
perspective on each other, remove the inherent prejudices, so that they can see the
true passions, the true thoughts, the true love of each other. loved ones, as well as
using smartphones properly, without abuse, know how to feel with their true eyes and
then don't have to look through the prism of the "smartphone screen" like literally
"literal" of this word.

6.4.3. Sponsorships

The brand representatives are not only the face of Oppo, but Oppo also
accompanies them in music MVs, Film Projects (Chàng trai năm ấy- Sơn Tùng), and
programs they participate in.

Figure 10: Oppo's sponsorship strategies in music MV and Film Projects

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OPPO uses a strategy of touching customers as much as possible. Audiences
constantly see OPPO's name appear on national television stations such as VTV3, ...
and on other mass media platforms. Oppo's sponsorship strategies have targeted many
of its target audience, moreover, potential customers.

The most recent mark that scored a high score for the target audience was the
Heart Beat event – accompanying My Tam. Oppo held a number of programs before
the concert to harmonize and spread fire to HeartBeat so that fans could send their
wishes and wishes to give My Tam more strength in the Heartbeat concert. Heartbeat
went as expected of OPPO. They have cleverly integrated their brand into the
program and become a "heartbeat companion" rather than a pure sponsor. Those
messages are all felt and shared by netizens on their own Facebook. Not stopping
there, though, the OPPO event also created sympathy, at least for those who attended
the concert. Words of thanks, gratitude or compliments are given to OPPO for this
meaningful event.

Figure 11: Heart Beat event – accompanying My Tam

“Bố ơi mình đi đâu thế” that's a Korean reality TV show, with the participation
of 4 father and son couples going through the challenges of the show without the
mother's companion. Oppo is the main sponsor of the show (in addition to Unilever).
Oppo does not appear too much, usually only in the first minutes of each episode,
Oppo's image does not appear rampant, very reasonable, not offensive but still creates
a good image in the eyes of viewers.

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Figure 12: Oppo is the main sponsor of the show “Bố ơi mình đi đâu thế”

The Remix program and its hotness have resonated with the main audio
sponsor- Oppo, not only that, Oppo also takes advantage of understanding the
psychology of young people when watching music shows on TV, most of them are
watching music rather than listening to music because the sound quality is not good.
OPPO has created a Microsite that gathers all the songs of The Remix with the best
sound so that young people can listen to their favorite songs again and enjoy vivid
sounds like watching live.

Figure 13: Oppo is the main sponsor of the show The Remix

Đấu trường danh vọng is the most prestigious and advanced professional
tournament system of Garena Lien Quan Mobile, which is the launching pad for
selecting the top Vietnamese teams to the world playground. And OPPO has become
the official sponsor of the 2018 season.

The final match of the 2018 Spring Đấu trường danh vọng between Saigon
Phantom and Adonis eSports teams attracted more than 250,000 spectators to watch
live on the media, becoming an eSports match with many viewers. best in Vietnam.

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With the desire to accompany the development of eSports Garena Lien Quan Mobile,
OPPO brand officially announced the sponsorship of the 2018 Winter Đấu trường
danh vọng from the second leg, marking the first step in the invest in professional
tournament activities of Garena Lien Quan Mobile.

Figure 14: Oppo is the main sponsor of the game show “Đấu trường danh vọng”

The Voices: The successful seasons of The Voices could not be without the
sponsorship of Oppo, when members and all subjects appeared in the episodes using
Oppo.

The Face VietNam: Along with the exciting rhythm and happenings of The
Face program, Oppo succeeded in sponsoring the program and achieved the most
discussion on social networks at the time of the program.

Figure 15: TOP 10 biggest reality TV shows in Vietnam and main sponsors

36
6.4.4. Community Involvement

2020 was a tumultuous year for Vietnam as it struggled to cope with the
COVID-19 pandemic. Not only that, the drought also caused many difficulties for
people in the West. In March 2020, OPPO said it had contributed VND 8 billion in
sharing with the difficulties that the Vietnamese Government and health agencies are
working day and night in the prevention of Covid-19 epidemic and drought. in the
West.

Accordingly, VND 7 billion will be used to build 10 medical isolation rooms


and 1000 test kits, with the hope that each share will help Vietnam win the COVID-
19 pandemic.

Figure 16: OPPO contributes to the prevention of Covid-19 epidemic in Vietnam

In addition, for the situation of drought and salinity that is becoming more and
more serious in the West, OPPO also contributed 1 billion VND to install water
purifiers for people in drought-salt areas.

6.4.5. Personal Selling

Oppo thoroughly trains its direct sales staff, helping them to become
professional in their work and become trusted advisors to customers. Oppo
synchronizes its employees in any of their stores, including sales in direct channels
(Oppo Stores) and indirect channels (Điện máy xanh, Thế giới di động,...)

37
6.4.6. Sales Promotion:

Oppo regularly offers direct incentives to its customers every time a product
launches or on important occasions. Incentives offered with a clear and clever
purpose:

- Installment service with 0 percent interest

- 15% off prepayment

- Worldwide warranty for 1-2 years

- Special price incentives in the opening ceremony, international women's day,


Vietnamese teachers,...

- One-month trial policy for new product lines.

- Enhance the customer experience at product experience stores.

For intermediary partners, Oppo offers incentives for them

- Sponsor and promote sales activities with the policy of supporting cabinets,
banners, ... for display

- Share preferential commissions to promote sales for businesses.


7. Conclusion

This article has analyzed the marketing strategy of OPPO mobile phones from
four aspects: product, price, place and promotion, and offered some advice based on
the problems OPPO mobile phones have and the challenges they are faced with

7.1. Product Strategy:

In terms of products, OPPO has positioned itself as a fashionable and stylish


mid-range and high-end phone brand in the market. The selling point of strategic
OPPO phone products is based on non-fast VOOC technology and photography and
pixel functions. OPPO always updates its own technology and products to respond to
users' camera inquiries. OPPO is also trying to make mobile phones look more stylish.
In addition, it is also advisable to remove some features that are considered redundant,

38
typical shapes such as touchless technology controls. Instead, OPPO should develop
and turn 5G technology into products because this is inherently one of the trends that
users care about in the future.

7.2. Price Strategy:

In terms of price, the company has the strength that the price is very
competitive, OPPO can moderately lower the price of old versions when launching
new products. OPPO needs to improve the quality of its mobile phones to match their
prices, thereby changing the impression of consumers about them being expensive
with low configuration.

7.3. Distribution strategy:

In terms of distribution strategy, OPPO has only recently opened its brand
shop stores mainly in Ho Chi Minh City and Hanoi. However, the Smartphone market
in Vietnam is growing, there are currently 36.37 million smartphone users, and the
penetration rate of smartphones accounts for 37.7% of the population. Therefore,
expanding brand shops in other big cities with a large concentration of young
customers such as Da Nang and Can Tho is a way to optimize market access and
search as well as expand the target customer file.

7.4. Marketing strategy:

In terms of marketing strategy, OPPO Reno needs to continue to come up with


the right strategies and in line with the insight of the target customers. In the current
epidemic context, the airline should carry out in parallel the forms of multimedia
advertising: online and offline, on mass media and on social networking platforms
(Facebook, Youtube, Instagram) and on the Internet (Google Ads, advertising on
related articles ...). With the mission of the product line "Renovation", towards
comprehensive innovation and its target customers are also creative young people,
OPPO Reno should carry out communication campaigns including contests that can
create opportunities to interact with customers. This is also something that OPPO has
done very well and successfully in the first stage of launch but in recent times has not
been focused and invested. In addition, according to the study, gen-Z generation

39
spends hours watching short-form videos on TikTok. This is a potential platform that
OPPO should focus on to promote its products while creating viral for media
campaigns.

Besides, OPPO Reno should also consider using and expanding KOLs to take
advantage of their influence that affects customer buying behavior. It can be seen that
in recent times, Rap is becoming a trend and is loved by young people. Therefore, De
Choat (Champion of Vietnamese Rap), MCK, T-Linh, 16-Typh ... are the most
sought-after and loved faces, especially students. At the same time, their personality
and creativity are also fully in line with the spirit that the Reno generation A

40
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