QuyTTGBC200108-Assignmen 1-GBC0903-486

ASSIGNMENT 2 FRONT SHEET
Qualification BTEC Level 4 HND Diploma in Business
Unit number and

Unit 2. Marketing Essentials
title
Submission date 30/12/2021 Date Received 1st submission
Re-submission Date 7/1/2022 Date Received 2nd submission
Student names & codes Final scores Signatures
1. Tran Trong Quy – GBC200108 Tran Trong Quy
2. Nguyen Thi Tuong Duy – GBC200085 Nguyen Thi Tuong Duy

Group number:
3. Nguyen Thao Duy – GBC200232 Nguyen Thao Duy
4. Tran Minh Anh – GBC200048 Tran Minh Anh
5.
Class GBC0903 Assessor name
Student declaration
I certify that the assignment submission is entirely my own work and I fully understand the consequences of plagiarism. I understand that making a false
declaration is a form of malpractice.
P3 P4 M3 M4 D2
OBSERVATION RECORD
Student 1 Tran Trong Quy
Description of activity undertaken
- Contribute ideas
- Final edit
- Incharge of Marketing Campaign Objectives and Issues
- Making slides
- Presentation
Assessment & grading criteria
How the activity meets the requirements of the criteria
Student
Tran Trong Quy Date: 30/12/2021
signature:
Assessor
Date:
signature:
Assessor
name:
Student 2 Nguyen Thi Tuong Duy
- Contribute ideas
- In charge of Situation Analysis
- In charge of Marketing Strategy
Student
Nguyen Thi Tuong Duy Date: 30/12/2021
signature:
Assessor
Date:
signature:
Assessor
name:
Student 3 Nguyen Thao Duy
- Contribute ideas
- In charge of Action Program
- In charge of Control
- Presentation
Student
Nguyen Thao Duy Date: 30/12/2021
signature:
Assessor
Date:
signature:
Assessor
name:
Student 4 Tran Minh Anh
- Contribute ideas
- In charge of Excutive Summary
Student
Tran Minh Anh Date: 30/12/2021
signature:
Assessor
Date:
signature:
Assessor
name:
Student 5
Student
Date:
signature:
Assessor
Date:
signature:
Assessor
name:
 Summative Feedback:  Resubmission Feedback:
Grade: Assessor Signature: Date:
Internal Verifier’s Comments:
Signature & Date:

Assignment Brief (RQF)

Higher National Certificate/Diploma in Business
Tran Trong Quy – GBC200108
Student Name/ID Nguyen Thi Tuong Duy – GBC200085
Number: Nguyen Thao Duy – GBC200232
Tran Minh Anh – GBC200048
Unit Number and Title: Unit 2 - Marketing Essentials
Academic Year: 2020-2021
Unit Assessor: Dang Son Tung
Assignment 2 - Marketing Plan with the application of

Assignment Title:
Marketing Mix
Issue Date:
Submission Date: 30/12/2021
Internal Verifier Name:
Date:
Submission Format:
This is a group project. Each group has no more than 5 members.
This should be written in a course, formal business style using Arial, 1.5 lines spacing
and font size 12 with Justify Text to enhance the legibility for markers. You are
required to make use of headings, paragraphs and subsections as appropriate, and all
work must be supported with research and referenced using the Harvard referencing
system.
Please also provide a bibliography using the Harvard referencing system. The
recommended word limit is 7,000 words, although you will not be penalized for
exceeding the total work limit.
You are also required to deliver a 30-minute group presentation. Each member will be
assessed individually during this presentation.
Unit Learning Outcomes:
LO2 Compare ways in which organisations use elements of the marketing mix (7Ps) to
achieve overall business objectives
LO3 Develop and evaluate a basic marketing plan
Prepared by: Higher Education Qualifications (HEQ) Approved by: HEQ, QDAM (HE)
Version 2.0 – September 2020
DCL 1 – Public (Unclassified)
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Assignment Brief and Guidance:

Your team is the marketing team of organisation X, which is operating in F&B (Food
and Beverage) industry in Vietnam (Choose a specific organisation to task with). Your
team is assigned to develop a detailed, tactical marketing plan for one product/service
of the firm. You will conduct research in order to review your new product/service in a
rivalry with many competitors in various ways. Based on the study, provide a tactical
Marketing mix strategy for your new product/service.
You are allowed to choose any product/service of any organisation that you wish to
carry out the task with. You might choose to develop a Marketing Plan for an existing
product/service or even create a new product/service. Creativity is highly appreciated.
The content of your marketing plan should include:

1/ Executive Summary:
Introduce your chosen organisation and product/service. An overview of the
marketing plan.
2/ Situation Analysis:
2.1. Marketing Environment and the impact on Business Activities
2.2. Marketplace Information (Industry research and Market trend)
2.3. Competition Analysis with the comparison in which way different
organisations apply Marketing Mix in their strategy. (Core competitor’s Marketing
Mix)
2.4. Customer Analysis (Customer Segmentation and Consumer trend)
2.5. Company’s internal capabilities (SWOT analysis and Competitive
advantages)
3/ Marketing Campaign Objectives and Issues
3.1. Objectives: The objectives should follow SMART objectives criteria.
3.2. Issues: It could be key issues that might prevent the organisation in
achieving its marketing objectives or the current issues of the company or from
the market that your Marketing plan needs to overcome.
4/ Marketing Strategy
4.1. Segmentation, targeting, positioning (including a positioning map) and
differentiation strategies of your company.
4.2. Suggest new Marketing Mix using 7Ps with an evaluation of different
strategies applied by your organisation.
5/ Action Program (Tasks, timeline and person in charge)
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6/ Budget (Your anticipated operational costs)

7/ Control (KPI of each milestone)
However, these parts could be changed due to your team preferences as long as the
content is clear, detailing, logical, and coherent.
Relevant theory/concepts should be explained as the foundation for any suggestions
you make in the marketing plan.
Learning Outcomes and Assessment Criteria:

Learning Outcome Pass Merit Distinction
LO2 Compare ways P3 Compare the M3 Evaluate LO2 & 3
in which ways in which different tactics D2 Design a
organisations use different applied by strategic marketing
elements of the organisations apply organisations to plan that tactically
marketing mix (7Ps) the marketing mix to demonstrate how applies the use of
to achieve overall the marketing business objectives the 7Ps to achieve
business objectives planning process to can be achieved. overall marketing
achieve business objectives.
objectives.
LO3 Develop and P4 Produce and M4 Produce a

evaluate a basic evaluate detailed, coherent
marketing plan a basic marketing evidence-based
plan for marketing plan for
an organisation. an organisation.
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Table of Contents
EXECUTIVE SUMMARY ............................................................................. 12
1.INTRODUCTION ...................................................................................... 12
2.SITUATION ANALYSIS ........................................................................... 13
2.1 Marketing Environment and the impact on Business Activities ................................13
2.1.1 Micro-environment .............................................................................................13
2.2 Marketplace Information ...........................................................................................16
2.2.1 Industry research ...............................................................................................16
2.2.2 Market trend.......................................................................................................16
2.3 Competition Analysis with the comparison in which way different organization apply
Marketing Mix in their strategy .......................................................................................16
2.4 Customer Analysis ...................................................................................................17
2.4.1 Customer Segmentation ....................................................................................17
2.4.2 Consumer trend .................................................................................................18
2.5 Company’s internal capabilities ................................................................................18
2.5.1 SWOT analysis ..................................................................................................18
2.5.2 Competitive advantages ........................................................................................21
3. MARKETING CAMPAIGN ....................................................................... 21
3.1 Objectives ................................................................................................................21
3.2 Difficult Problems .....................................................................................................21
4. MARKETING STRATEGY ....................................................................... 21
4.1 Segmentation, targeting, positioning, and differentiation strategies of your company
Segmentation .................................................................................................................21
4.2 Highlands coffee 7Ps strategy ..................................................................................23
5. ACTION PROGRAM AND BUDGET ....................................................... 26
5.1. Advertising on TV ....................................................................................................26
5.2. Advertising on social media .....................................................................................27
5.3. Discounts and promotions .......................................................................................27
5.4. Other cost ................................................................................................................27
6. CONTROL ............................................................................................... 28
6.1. Marketing control .....................................................................................................28
6.2. Operating control .....................................................................................................29
6.3 Strategic control .......................................................................................................30
7.CONCLUSION ......................................................................................... 30
References ................................................................................................. 31
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EXECUTIVE SUMMARY
This report will analyse the environment of Highlands coffee, a brand of Viet Thai
International Joint Stock Company (VTI) and founded by David Thai to become a leading
retailer in Vietnam. As one of the parts to experience the modern lifestyle and realize the
company's potential, opportunities, and weaknesses to come up with the right strategy to
help the company sell in the best way. The marketing department will clarify the internal
environment and analyse the external competitive environment to come up with an
appropriate marketing strategy. If calculated in the past 5 years (2016 - 2020), the revenue
of Highlands Coffee has increased by 154%, from more than 840 billion VND in 2016 to
1,237 billion VND (2017) and 1,628 billion VND (2018). In the last two years (2019, 2020),
the revenue of Highlands Coffee has surpassed the milestone of VND 2,100 billion
(highlands-coffee, 2021). The marketing department will clarify the internal environment and
analyze the external competitive environment to come up with an appropriate marketing
strategy. This report includes 7 main sections that describe the characteristics and
properties of different topics. Each part has content and details of a clear marketing plan.
1.INTRODUCTION
Highlands Coffee is a chain of coffee and fast food stores in Vietnam, founded by David
Thai in 1999. Highlands Coffee has the vision to become the most loved coffee and tea
brand in Vietnam and is proud to share it with the world. As of August 2019, Highlands
Coffee is the coffee chain with the largest number of coffee shops in Vietnam with more than
300 shops spread across 24 provinces. Constantly setting foot in new lands across the
country, Highlands Coffee also brings Vietnamese values to the world with a chain of 50
coffee shops around the world. (Highland, 2021) Despite such strong development steps,
Highlands Coffee still constantly maintains the criterion of bringing a comfortable and polite
resting space with delicious coffee products. Highlands Coffee has always been well
received by consumers with the pride of a Vietnamese coffee brand that not only preserves
the traditional values of Vietnam's long coffee heritage but also reflects a modern lifestyle.
The report consists of 7 parts. In the first part, we give a brief introduction about the
company, and its new product. The second part will analyze the situation. In this section,
we'll analyze the impact of the marketing environment on business, market intelligence, and
contest analysis, including how different organizations use marketing. At the same time, we
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also conduct internal and customer analyses of the company. In the fourth part, we will
improve the marketing strategy for Highland Coffee products and analyze based on
Highlands Coffee's 7Ps marketing mix strategy. The next section will introduce the program
with activities to widely promote Highland Coffee products to consumers and the expected
operating costs of the activities in the program. Besides that, we will cover the control part.
It is an important part of making timely adjustments to marketing strategies in the process.
2.SITUATION ANALYSIS
2.1 Marketing Environment and the impact on Business Activities
2.1.1 Micro-environment
The micro-environment, which all actors and forces outside marketing that affect marketing
management's capacity to create and maintain effective connections with target customers
make up a company's marketing environment. The microenvironment has six factors that
include the company, supplier, marketing intermediaries, customers, competitors, and
public.
The company
The marketing division must consider the divisions of the firm while developing marketing
strategies. Research and development (R&D), purchasing, operations, finance, production,
and so on. (Kotler, n.d.) The interior environment is made up of all of these interconnected
groups. To create higher customer value and relationships, all groups should work together.
According to a survey by Lao Dong newspaper, as of July 2021, this coffee chain has about
437 stores across the country. Data from Lao Dong shows that this chain's 2019 revenue
reached VND 2,199 billion, then decreased slightly to VND 2,139 billion in 2020. In 2017,
Highlands Coffee's profit after tax was VND 99.75 billion, in 2019 when the company was at
its peak of revenue with VND 2,199 billion, the profit figure was only VND 55 billion.
Highlands Coffee in 2019 plunged by nearly 45% compared to 2018 due to the sharp
increase in selling and administrative expenses, at 47% and 38% respectively. By 2020, the
profits of some chains will be improved significantly good. Highlands Coffee's profit
increased by 45%, reaching VND 80 billion. (Cafebiz, 2021)
Suppliers
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Suppliers provide the company with input resources including materials, components,
factory personnel, and other inventory needed to complete production processes. (Kotler,
n.d.) With the complicated situation of the Covid-19 pandemic, it is difficult for suppliers to
supply enough materials for Highlands to serve customers due to transportation difficulties.
In addition, Highlands also faces difficulties in closing a series of stores due to the Prime
Minister's travel restriction order to prevent the Covid-19 pandemic. It seriously affects the
sales of Highland coffee.
Marketing intermediaries
Marketing intermediates are agents, merchants, distributors, wholesalers, and others who
work in a company's supply chain, stocking and delivering products from their point of origin
to their final destination. (Kotler, n.d.).In a year when the COVID-19 pandemic disrupted the
economy, a negative impact on the business results of the F&B industry was inevitable.
Highlands Coffee has over 300 stores. In 2020, Highlands Coffee will continue to hold its
position as the largest coffee chain in Vietnam, with the distance from the other group not
much changed. Total revenue reached nearly 2,140 billion VND, only decreased slightly. In
2019, 2020 Highlands Coffee profits increased by 45% and 119%, respectively. (Cafebiz,
2021).
Customers
How successfully an organization satisfies the requirements and wants of its customers in
a way that is both profitable for the company and beneficial to the customer determines its
success. To please customers, a business must first determine what they expect from its
products and services. It is important to note that no company can survive for long without
customers. (Kotler, n.d.) It is also the factor that Highland coffee cares about. We will
analyse this aspect in more detail in section 2.4 of the report.
Competitors
The company's survival is dependent on competition. Competitors are similar-product-

selling enterprises in the same industry. It's vital to note that the type and degree of
competition has a considerable impact on the goods and services offered by the company.
(Kotler, n.d.) We will conduct an analysis of Highland’s coffee competitors in section 2.3 of
the report.
Public
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A group of people who have a real or potential interest in a company's product or who can
impact the organization's ability to achieve its purpose is referred to as the public. (Kotler,
n.d.) As an audience can support or oppose Highland coffee's efforts in brand promotion,
Highland coffee is constantly interested in activities to promote brand reputation. In recent
years, Highland has carried out many activities to promote the products. Despite being
heavily by Covid-19 and Decree 100, Highland coffee continues to focus on the research
and development of new products to meet the diverse needs of consumers, thereby
enhancing loyalty brands in the domestic market. These are the essential things that
Highlands coffee needs to continue to do to maintain and gain more market share in the
Vietnamese market.
2.1.2 Macro-environment
The macro-environment has an impact on the company's overall performance. Demographic

forces, economic forces, sociocultural environment, technological forces, environmental
forces, and political forces are all part of the microenvironment. (Claessens, 2015) We'll look
at each component and discuss how it affects the Highland Coffee business.
Demographic forces
Demographic forces relate to people. Size, density, age, gender, occupation, and other
statistics are included. In general, their needs are the driving force for the development of
enterprises. (Claessens, 2015) By the end of 2020, the population of Ca Mau is estimated
at 1,194 million people. Besides, the proportion of people of working age from 15 to 64 years
old accounts for 50% aside from the young market, consumer income metropolitan areas
has expanded dramatically in recent years. These are regarded as positive traits for
Highland coffee to improve product quality and expand the Vietnamese market. (gso.gov,
2021) Ca Mau is a market with a lot of room for growth for Highland coffee. Highland Coffee
has been able to learn what people want in a business thanks to demographic research.
Furthermore, using demographics is a step in determining whether the quality of a
company's products and services matches or exceeds client expectations.
Economic forces
Economic forces are the factors that influence consumer purchasing power and spending
patterns. (Claessens, 2015) In the nine months of 2021, the Covid-19 epidemic negatively
affected the Vietnamese economy. In particular, the epidemic that has lasted from July until
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now in the Southeast provinces, the Mekong River Delta. (gso.gov, 2021) For Ca Mau
revenue of hotels, restaurants, and tourism support services in July 2021 was estimated at
231.29 billion VND, down 34.00% over the previous month, down 49.20% over the same
period last year. Accumulated 7 months of 2021 is estimated at 3,459.04 billion VND, down
0.71% over the same period. (mpi.gov, 2021)
Social-Cultural forces
The elements that impact society's basic values, tastes, and behavior are known as socio-
cultural forces. (Claessens, 2015) These variables are based on the idea that people are
shaped by the society and cultural group in which they live. Highland coffee captures the
morning coffee habits of Vietnamese customers, Highland's coffee self-catering style and
comfort have been a great advantage. Highland coffee with many years of experience has
changed its service style to better suit customers and convenience when adding breakfast
items in the nationwide coffee chain.
2.2 Marketplace Information
2.2.1 Industry research

Highlands Coffee is the coffee chain with the largest number of coffee shops in Vietnam with
more than 300 shops spread across 24 provinces. Constantly setting foot in new lands
across the country, Highlands Coffee also brings Vietnamese values to the world with a
chain of 50 coffee shops around the world (HighlandsCoffee, 2019).
2.2.2 Market trend

Highland's main customers are usually people between the ages of 18 and 64 and especially
students and office workers, a cup of coffee and a sandwich is quick and convenient for
those who don't. have time. More suitable for people traveling in groups because Highland
has programs that apply to customers when buying combos.
2.3 Competition Analysis with the comparison in which way different organization
apply Marketing Mix in their strategy
Every business company has many competitors. However, there will be strong opponents
and weak opponents. To dominate the market, the company must use creative intelligence
and talented human resources. In the current context, the F&B industry in general and
Highland coffee, in particular, is competing fiercely with many other coffee brands are
massively on the market like The Coffee House, Starbuck, and so on.
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Competitor Strengths Weaknesses
Trung Nguyen Legend Cafe Large space The menu is not perfect
( Ca Mau ) Reasonable price Drinks are not too special
Dedicated service Few ads
Coffee familiar to
consumers
Anni Coffee ( Ca Mau ) Reasonable price Few ads
Diverse menu Only focus on young

customer segment
Many promotions
Modern spacious space
2.4 Customer Analysis
2.4.1 Customer Segmentation

The technique of splitting a company's customers into groups based on shared criteria is
known as customer segmentation. Customer segmentation is used to determine how to
interact with customers in each category to maximize each customer's value to the business.
(Optimove, n.d.)
Therefore, since its establishment, Highland coffee has been interested in customer
segments so that it can create suitable product lines as well as have suitable marketing
strategies for each segment. The segment that Highland coffee wants to target is all
members of working age (18-64 years old). As a result, the company has continuously
worked on changing its various services and products to expand its market, running right
out of the fierce competition from its rivals. Highlands is perhaps the most successful chain
of coffee shops in Vietnam, now. The change of Highlands' menu is not only a change in
taste, but a change in brand positioning. After the presence of Jollibee, Highlands coffee
chain has had a drastic change. The positioning associated with high-class brand
association for businessmen, former intellectuals of Highlands Coffee has been
"popularized", in order to serve a wider range of customers. Highlands customers also
witnessed the chain's change in service form, from "served" to "self-service". If it's on a small
scale, it's not obvious, but this change helps to reduce the operating costs of the whole chain
with nearly 200 stores significantly. In addition to the above changes, a plus point that
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Highlands still maintains is "Prime location". “This change aims to make Highlands an ideal
place for relaxation and modern customers at a reasonable price. The store is designed to
convey traditional Vietnamese cultural values: that is community cohesion and friendliness”,
explained Mr. David Thai, General Director of VTI Company. The customers that the product
wants to target are students and office workers with a good average income or more.
(Lương, 2021) These contents show the potential development of customers in the Ca Mau
area, reasonable prices and simple, suitable for people here.
2.4.2 Consumer trend

Vietnam is a country that loves coffee. We can see Vietnamese people drinking coffee
anywhere, from luxury restaurants to sidewalk plastic chairs. Also from here, there are
hundreds of Vietnamese coffee brands appearing as well as world-famous brands choosing
Vietnam as a development destination. Understanding this point, Highlands coffee has
launched product lines to meet all customer needs and tailored services. With the launch of
pure Vietnamese coffees and a service style suitable for Vietnamese people, the price
makes customers who are using the product satisfied but still affirms receiving their financial
support.
2.5 Company’s internal capabilities
2.5.1 SWOT analysis

STRENGTHS WEAKNESSES
Highlands coffee is located in a beautiful No innovation in-store decoration

location Not enough promotion to customers
Highlands coffee officially launches new
mobile app
Highlands coffee launches regularly new

product line
OPPORTUNITIES THREATS
Abundant foreign investment Competitive price
Large and potential markets
Opponents are slow, weak
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STRENGTHS
Highlands coffee is located in a beautiful location: Highlands coffee have many beautiful
locations that usually located at centre of city or famous shopping malls, which are all
crowded areas. Based on the brand positioning of the Highlands, the locations of the stores
are concentrated in the city centre, commercial centre, crowned residential area near the
office. The location of Highland coffee shops is very noticeable and easy to impress passers-
by. The convenient location of the shop is one of the key factors for the service business in
general and the Highlands coffee in particular.
Highlands coffee officially launches new mobile app: Highlands coffee also has a
flexible shipper service with app delivery now, if the number of package is less, Highlands
coffee will limit the ship service within 1km but if ordered in large quantities will agree to
expand the scope of shipment. Besides, one of other success of Highland is combines with
the international and traditional flavor to bring satisfaction for many customers.
Highlands coffee launches regularly new product line: The most recent time they have
launched the Highland Phindi red tea with a new flavour and it is well received by customers.
Thus, after more than 15 years of development, Highlands have the amount of large loyal
customers, who often choose Highlands are places to relax, work, study. These strengths
have promoted Highlands rank to belong to the top 2 high-end coffee chains with a large
market share in Vietnam.
WEAKNESSES
No innovation in-store decoration: For young people who always like innovation,
creativity. However, Highlands coffee shops are similar in the format of decoration. When
customers want to enjoy another theme space, despite they come to a different location of
Highland, it still has a similar theme. In addition, Highland has been developing in Vietnam
for a long time, therefore their spaces do not have a breakthrough in decoration when
compared with competitors.
Not enough promotion to customers: They almost do not focus promote campaigns. The
promotion programs still are not diversified enough to attract customers. Promotion and sale
programs have not attracted customers and promoted the brand value. In addition to these
weaknesses, Highlands coffee also makes it easy for many new customers to
misunderstand their product segment.
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OPPORTUNITIES
Abundant foreign investment: Trading in Food & Beverage chains, especially coffee
chains, has experienced a lot of fluctuations. The development of this market has quickly
attracted foreign capital and domestic investors which offers exceptional opportunities for
the industry. In fact, in 2012, Viet Thai International (VTI) sold 49% of Vietnam's business
division and 60% of its Hong Kong business division to Jollibee Group, for $25 million. In
addition, Highlands Coffee is also loaned $35 million by Jollibee. Expected amount VTI will
use to invest in the future. The deal has helped the coffee chain get more capital to carry
out the aggressive expansion, especially in recent years. Jollibee Foods Corp. and their
partner, Viet Thai International, are also planning to list Superfoods, a unit that manages the
Highlands coffee chain on the stock exchange of Vietnam in 2019. This shows that F&B
chain businesses have a lot of growth potential. When listed stocks are released to the
public, businesses will also have stronger access to customers. (Rich, 2019)
Large and potential markets: Drinking coffee has long been a habit of Vietnamese people.
Most of the 18-35 year-olds feel that frequent coffee breaks are a habit in their lifestyle.
Catching up on this trend, Highlands coffee has quickly developed a market for coffee-
related beverages. Moreover, the per capita income of Vietnam is increasing. This means
that the quality of the river day is enhanced and people are ready to spend large sums of
money to enjoy good food and drinks. From there, opening up a potential market for
Highlands coffee to develop and diversify its products to attract more customers.
Opponents are slow, weak: Competition is a great opportunity for businesses to make a
difference to the brand. While the F & B industry in Vietnam is booming, many of the
imported coffee brands have made competition in the beverage industry increasingly
severe. So many brands of coffee have to accept to withdraw which are Gloria Jean`s
Coffees, NYDC - New York Dessert Café. However, the fierce competition and the 805
Proceedings the 10th student's scientific research conference withdrawal of some of these
brands is the opportunity for highlands to affirm its position and brand in the coffee market
in Vietnam.
THREAT
Competitive price: Highlands coffee brand has competition on price. That a growing
number of emerging coffee brands have decreased their prices to lower prices to attract
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more customers is concern for Highlands because of its price which is assessed rather high
in some opinions.
2.5.2 Competitive advantages
The competitive advantage that Highlands coffee brings compared to other coffee shops in
the Ca Mau market is the existing brand name, the growth of Highlands coffee nationwide.
Besides, Highlands coffee has many conveniences for office workers because there are
both takeaway breakfast and coffee.
3. MARKETING CAMPAIGN
3.1 Objectives
Highland Coffee's marketing objective is to open a branch in Ca Mau in June 2022 at Vincom
Ca Mau. It is expected that by 2025, the capital will be recovered for enterprises.
3.2 Difficult Problems
Although Highlands has been present in Vietnam for a long time, it still does not have a
branch in Ca Mau province. Therefore, Highlands Coffee Ca Mau has to compete with many
competitors such as Trung Nguyen Coffee, Anni Coffee, traditional coffee take away coffee,
and so on. Besides, due to the influence of the Covid-19 epidemic, it is difficult for the coffee
industry to stabilize in a short time. Due to directives 15, 16 of the government to suspend
entertainment activities, the coffee industry is less consumed than before. When opening in
Ca Mau, Highlands needs to develop in parallel between selling on the spot and selling to
take away. For on-site sales, the difficulty Highlands needs to face is attracting customers,
ensuring product quality, and providing the best service. For take away, the main challenges
in taking away are facilitating fast delivery as Highlands products are coffee, Freeze, tea,
etc. perishable products and reducing shipping costs.
4. MARKETING STRATEGY
4.1 Segmentation, targeting, positioning, and differentiation strategies of your

company Segmentation
Segmentation
Highlands Coffee caters to a middle-class customer base in urban locations. Highlands

Coffee's high-quality products and services are the driving force behind purchases.
Highlands Coffee's atmosphere will also meet a wide range of client needs. Highlands
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Coffee could be a good place for businessmen to connect and work, as well as couples,
friends, and family to get together and enjoy a good cup of coffee or tea. Consumption of
Highlands Coffee Products:
• Vietnamese young people
• Office workers
They are a group of people who are imaginative, active, and dynamic, looking for a pleasant
location at a reasonable price.
Target market
Highlands coffee’s target customers have been serving are the middle class, the office staff,
and the active young generation because drinking coffee here with the prestigious coffee
brand helps them confirm their status in society. Highlands Coffee also focuses on
establishing a welcoming and engaging environment for consumers to drink coffee daily. As
a result, this is an ideal location for office workers who seek a quiet, less opulent setting in
which to meet up with friends and have coffee and Western-style pastries. Highlands is also
targeting a consumer group of young enterprises who have studied overseas and are
accustomed to European-American styles, such as enjoying coffee in a fashionable
restaurant, which reflects the style of the location they used to live. Another factor is that
Highlands Coffee's target customers are foreigners who live and work in Vietnam.
Expectations form during the pre-purchase stage of service and have a significant impact
on customer satisfaction ratings. Highlands Coffee is consistently regarded as a high-quality
coffee shop. As a result, clients who choose Highlands frequently have a preconceived
notion of the coffee shop. Highlands has also done a fantastic job with marketing messaging.
Highlands is known to customers through word of mouth, periodicals, and television.
Because of the high level of service, it helps to create a highly positive image in the minds
of clients. All of these factors combine to raise customer expectations of Highlands' service
quality. They anticipate obtaining nice drinks and a quiet spot to rest or converse with their
friends when they visit this coffee shop. The higher their expectations, the more unsatisfied
they will be if Highlands fails to meet them. As a result, Highlands Coffee faces the difficult
task of inconsistently pleasing customers.
Positioning strategy
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Clearly drawing up the positioning strategy at the very first stage of developing a business
project plays a critical role in enhancing the business success. The positioning strategy
focus on the two important questions: which place the firm is currently on the customers’
mind and which place they want to hold on the market.
Price
Trung
Nguyên
Legend
Highlands
Anni Cofee
Coffee
Quality of product
4.2 Highlands coffee 7Ps strategy
Product
Regarding the product development strategy of Highlands, it can be seen that this brand
divides the menu into 2 distinct parts: Drinks and food. It can be seen that Highlands'
beverage line is divided into 3 types of Cafe, Tea, Freeze.
We can easily see that 3 key products representing each group are always favoured by this
brand, and appear in most advertising campaigns. Simply because these 3 products
account for revenue. The largest product of Highlands, becoming the 3 products that bring
the success of Highlands up to this point. Moreover, the appearance of these 3 products
gives consumers more alternatives.
Highlands also launched packaged products such as canned coffee or roasted coffee,
making it accessible to customers far away.
Price
23
Coffee prices of Highlands Coffee are currently ranging from 30,000 to 60,000 VND. This is
a price that is not considered appropriate in the Vietnamese market - where the world's fifth-
largest exporter of coffee is. Compared to the common ground, this price is not low.
However, for target customers who are middle-class people who have a stable income, this
is an acceptable price.
On the other hand, for a big brand like Highlands, the cost to make a cup of coffee is not
only input materials but also many other costs such as premises, promotional activities, and
so on.
Place
Precise positioning is an important activity that is focused on reaching the right target
customers at the right time.
Currently, Highlands has more than 300 stores spread across 24 provinces in Vietnam. The
chain of stores of this brand is located in the most prime locations in the city centre, making
it easy for everyone to access.
Moreover, with the expansion strategy through franchising, the brand can reduce the cost
to open an exclusive store, on the other hand, it also has a stable source of income from
franchise fees. Through franchising, Highlands can scale up its presence quickly with low
risk.
Not only selling directly at the store, but Highlands also brings its packaged products to
supermarkets or convenience stores. At the same time, the company also cooperates with
food delivery units such as Shopee Food, Baemin, GoFood, Grab, and so on to help
customers place orders at home without going to the store. Especially in the context that the
Covid-19 pandemic is still breaking out and there is a potential risk of infection, it is also a
solution to help Highlands sell goods during the epidemic season.
Promotion
Promotion is a necessary business activity to keep pace with the consumer market. One of
Highlands's popular product or campaign promotion channels cannot fail to mention a social
networking platform like Facebook with more than 1.1 million followers.
As a big brand, Highlands does not appear to be an outsider in promotions. Despite having
a strong foothold in the beverage industry, this does not mean that this brand is indifferent
24
to promotions, on the contrary, this is also the brand that launches many of the best
promotions. Prominent programs can be mentioned such as buy 3 get 1 free, savings
combos, and free upsize.
People
Highlands Coffee's staff is rated as always friendly to customers and serving in the best
condition. Along with that, the staff is also selected and trained through a rigorous process.
To become an employee at this coffee chain, whether it is a part-time or full-time position or

any position, one must meet high requirements for working style as well as service style to
be able to work. bring the best quality to customers. In addition, Highlands also regularly
recruits young, dynamic, and enthusiastic staff to help customers always feel new when
entering the store.
Physical Evidence
Highlands is always in the top brands investing in space rental as well as store decoration.
Most of the stores are divided into two types: indoor and outdoor.
The indoor space is luxurious and cosy, which is suitable for customers who prefer privacy
and quiet. At the same time, soft music is also a suitable choice for this space. In contrast,
the outdoor space gives a feeling of closeness to nature, suitable for those who like
dynamism and bustle.
Highlands' logo is also eye-catching with two main colours, red and brown, representing a
sunny and windy highland coffee growing area. And this hill is surrounded by the words
"Highlands Coffee" in an oval symbol for coffee beans. If brown is the colour of the earth,
the oval is the shape of a coffee bean, then the white text on a red background shows the
sophistication and enthusiasm for the spirit of Vietnamese coffee.
Not only that but the Vietnamese spirit is also reflected in the yellow decorative lights made
from bamboo and rattan, creating a familiar and cosy feeling for customers when entering
the store. In modern commercial centre such as Vincom, Parkson, Highlands Coffee shop
becomes even more prominent with wooden floors, different from the rest of the stores next
door.
Process
25
For every business, helpfulness and timeliness are important, it makes doing business
easier. Making sure a business has a good process in place also saves time and money,
and improves its efficiency and service standards. This is also an important factor to build
the brand's reputation, as well as building customer loyalty.
The processes at Highlands are very simple to help customers save time and facilitate
purchases. When coming here, right after ordering, customers will receive a pick-up devicn
addition, Highlands also added many payment methods other than cash such as cards, or
e-wallets to help customers have more choices as well as optimize the payment process.
5. ACTION PROGRAM AND BUDGET
No Activity Time Department Expected cost Supervisor

in charge
1 Advertising on TV 12 month Marketing 8.000.000 VND PPC
Department
2 Advertising on 12 month Marketing 5.000.000 VND PPC
social media Department
3 Discounts and -01/04/2022 – Sale 8.000.000VND Sale
promotions 15/05/2022 Department manager
-26/08/2022 –
10/09/2022
4 Other costs 1.500.000
VND
Total 22.500.000
VND
5.1. Advertising on TV
Because of the Covid-19 pandemic, most individuals are currently spending the majority of
their time indoors, and watching TV is the first choice for home entertainment. Highlands
Coffee saw this circumstance and proceeded to advertise their goods on television. For the
current environment, this is one of the most appropriate kinds of promotion. Because of this
because the product's demand and target clients are so diverse, the corporation chose to
launch it prominent television networks such as VTV, HTV, SCTV, and others. These are
television stations that it is convenient for promoting products such as since it always attracts
the most followers and views. Consumers are served Highlands coffee. The marketing
department will be in charge of this duty. Under the supervision of the Director of Marketing
for a period of twelve months, from Q4 2021 to Q3 2022. Because television advertising is
the most popular and effective kind of marketing, it accounts for the majority of the estimated
costs in the campaign to sell the new product Highlands coffee. More precisely, most
individuals are limited to going out due to the Covid-19 pandemic's influence, and viewing
TV is considered a source of entertainment at home. Given this situation, marketers have
prioritized spending the majority of the estimated cost of the Highlands coffee product
promotion strategy on television advertising, with an annual budget of 8,000,000 VND.
26
Inviting a well-known character to be a brand ambassador and shoot advertising costs

500,000 VND. In addition, the cost of designing the commercial scene and employing the
camera crew is approximately 1,000,000 VND. The remaining funds will be used to pay for
broadcasters' advertising.
5.2. Advertising on social media
Besides advertising on TV, Highlands Coffee has also chosen to market the new product
through social media. The company's decision to advertise on social networking platforms
is now seen as a wise one. Everyone is restricted from going out due to the impact of the
Covid-19 pandemic. As a result, individuals watch TV or use their smartphones to pass the
time. Because the majority of people nowadays utilize social media, advertising new
products on social media platforms will be quite beneficial. Highlands coffee advertisements
on social media don't have to be long; they may be as short as 10-15 seconds on prominent
sites like Facebook, Youtube, Instagram, and others. These are social networks that are
popular among young people and people of all ages. As a result, the corporation will be able
to promote the new product more broadly and promptly. The process will be completed on
popular social networking sites from the fourth quarter of 2021 to the third quarter of 2022.
The duty will also be handled by the marketing department, which will be overseen by the
Vice Director of Marketing. Highlands Coffee's marketing group chose social media
advertising because it is a method that is steadily gaining popularity and is well suited to the
current shape of the company. Because of the Covid-19 pandemic, practically everyone,
particularly the younger age, spends more time on social media sites like Facebook,
Youtube, Instagram, and other similar sites. As a result, the anticipated cost of this action,
which is 5.000.000 VND, is relatively expensive. Marketers will spend 1.00.000 VND to invite
celebrities to be brand ambassadors and film four 15-second promotional clips, as follows.
Aside from that, designing the advertisement background, preparing the props, and hiring
the camera crew costs around 1.200.000 VND. The remaining funds will be used to
advertise on famous social media platforms like Facebook, Youtube, and Instagram, among
others.
5.3. Discounts and promotions
Product discounts and gift giving will be offered while purchasing products. The second and
third quarters of 2022 will be completed. Three holidays will be observed in the second
quarter of 2022. Commemoration of the Hung Kings. The day the South was fully liberated
was April 10th (April 30). From the beginning of April to the middle of May, we will provide a
15% DISCOUNT to everybody who uses the service. Highlands coffee will be available in
the third quarter of 2022. When you purchase the above item, you will receive a 20%
discount National Day is a national holiday (September 2). From August 26 until September
10, the program will run for 15 days. These two initiatives will be handled by the sales
department, which will be overseen by the Business Manager. The total budget for these
two programs is anticipated to be 8,000 million VND. After that, we'll spend 70% of the entire
expenditure on the show in Q2 2022, and the remaining 30% on the program in the third
quarter of 2022.
5.4. Other cost
In addition to the money spent on the three events listed above, we also spent roughly
1.500.000 VND on other jobs. To begin, we will print posters and billboards promoting
Highlands coffee goods at supermarkets and shopping malls. Additionally, that money is
27
used to print signs and adverts featuring Highlands coffee goods on buildings. Furthermore,
a portion of the budget will be allocated to psychological methods such as bait, scarcity, and
FOMO.
6. CONTROL
For the marketing strategy to be effective, we must closely control the marketing plan in
order to grasp the circumstances and make timely adjustments for it to be effective. When
developing a marketing strategy for Highlands coffee, we will use three different
approaches. Control over marketing, control over operations controlling the situation
strategically.
6.1. Marketing control
The marketing department's duty of marketing control is crucial. It is required for the efficient
operation of the marketing department, the timely achievement of marketing objectives, and
ongoing development. Controlling mechanisms (or systems) can help avoid mistakes and
correct them if they do arise. It guarantees that everything is running well and that the
organization is on track to meet its goals. (yourarticlelibrary, 2021). We have 4 steps for
performance control including setting standards and performance, measurement of
performance, analyzing variances, and taking corrective actions.
Setting standards of performance
Performance indicator Standards
Highlands coffee revenue 5.500.000 VND
Profit after tax 1.050.000 VND

Customer satisfaction rate 90%
Measurement of performance
Accounting, reporting, and communication systems are used to make measurements.

Measurement of actual performance is a topic that interests. A marketing manager cannot
exercise control unless we have information about current operations and actual
performance. It's the case actual performance, which will be compared to performance
standards in order to make a decision about taking action Highlands Coffee will produce a
monthly report on metrics linked to this step to complete this step. This approach reflects
the current condition in terms of income, profit, and customer happiness when compared to
the original goal.
Analysing variances
The public may have access to data, graphs, charts, written reports, and personal
observations. To keep them up to date on the department's progress, we should contact the
marketing manager. The marketing department's performance is compared to the industry
average to check if it's on track. Highlands Coffee will compare and analyze the actual
28
implementation progress against the expected one after the departments report on the
pertinent numbers on sales, profit, and customer satisfaction rate.
Taking corrective actions
No action is necessary after comparing actual performance to established standards and

deciding that performance is equal to the standard but, if there is a discrepancy, corrective
action is required, and standards are adjusted if they appear to be too high or too low or
conditions have changed. Highlands Coffee will make changes to their marketing plan to
align with the objectives they've set for themselves.
6.2. Operating control
Operational control systems are designed to ensure that day-to-day actions are consistent
with established plans and objectives. It focusses on events in a recent period. Operational
control systems are derived from the requirements of the management control system. The
following are four important tools used in the marketing control including Sales Analysis,
Market Share Analysis, Financial Analysis, Customer Attitude Tracking.
Seles Analysis
This method compares individual sales against sales targets set for each salesperson to
measure salesperson effectiveness. From the beginning, Highlands Coffee has set
particular sales goals for the sales department as part of its marketing strategy planning so
that the department head can delegate specific responsibilities to each salesperson The
objective of Over the same time period, the plan increased revenue and profit by 10% and
5%, respectively. As a result, the sales manager must set goals for each person to achieve.
Make a plan. At the same time, they must monitor each employee's monthly sales in order
to meet the company's goals make the necessary changes.
Market Share Analysis
To assess competition, managers must first determine the product's market share. Many
other competitors are currently threatening Highlands' market share. As a result, Highlands
Coffee will develop a strategy to enhance its market share by continuing to deliver services
to Ca Mau marketplaces. Managers must keep track on Highlands coffee's market share in
this market on a regular basis in order to alter the strategy to fit the situation and initial goals.
Finance Analysis
Management must be able to effectively manage the company's finances. Through financial
analysis methods, it should evaluate the reasons and factors affecting profitability, financial
leverage, and asset return in the organization. This is an extremely useful tool for marketing
control. Highlands Coffee's management board will examine the company's financial status
in order for marketers to devise proper plans and avoid circumstances that could result in
the company's capital loss.
Customer Attitude Tracking
Consumer satisfaction has long been seen as a critical metric for assessing an
organization's effectiveness. The goal of this strategy is to achieve a customer satisfaction
rate of 90%. It's also the component that Highlands Coffee usually prioritizes when it comes
to marketing strategy. Highlands Coffee will implement a customer survey method to
29
determine customer satisfaction levels. The goal of this strategy is to achieve a customer
satisfaction rate of 90%. The managers of each department will then make changes to
increase customer satisfaction with Highlands coffee.
6.3 Strategic control
Strategic controls are intended to steer the company towards its long-term strategic
direction. After a strategy is selected, it is implemented over time so as to guide a firm within
a rapidly changing environment. Strategies are forward-looking, and based on management
assumptions about numerous events that have not yet occurred. (yourarticlelibrary,
Strategic Control: Meaning, Types, Purpose, Process, Role, Participants in Strategic
Control, Barriers and a Few Others, 2021). Highlands Coffee has to analyze fluctuations in
demand and client satisfaction in the regular market to regulate the services approach. At
the same time, we conduct an audit of the data on the factors that can affect the strategy in
order to address the plan's flaws and implement relevant remedies.
7.CONCLUSION
Vietnam has the potential to grow as a service market. We assessed and critically viewed
our strengths, prospects, and obstacles after bringing the service to market. We've been
working on a marketing strategy to bring Highlands coffee to the Ca Mau market since then.
We intend to enhance Highlands coffee sales with this technique. Profits following a difficult
period due to Covid-19's impact, as well as client satisfaction surveys when using the
service. At the same time, the goal of this plan is to ensure the future of Highlands coffee in
order to preserve its position in comparison to competitors.
30
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sao?. [online] Cafebiz.vn. Available at: < https://cafebiz.vn/chuoi-ca-phe-lon-nhat-viet-nam-
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tăng trưởng mạnh trong khi The Coffee House, Trung Nguyên thêm phần lỗ. [online]
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content/uploads/2021/05/Nien-giam-TC-2021.pdf?fbclid=IwAR2gjDF6Hdrp3x-
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ĐẤT VIỆT. [online] Available at: < https://www.highlandscoffee.com.vn/vn/highlands-coffee-
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ASSIGNMENT 2 FRONT SHEET

Qualification BTEC Level 4 HND Diploma in Business

Unit number and

Submission date 30/12/2021 Date Received 1st submission

Re-submission Date 7/1/2022 Date Received 2nd submission

Student names & codes Final scores Signatures

1. Tran Trong Quy – GBC200108 Tran Trong Quy

2. Nguyen Thi Tuong Duy – GBC200085 Nguyen Thi Tuong Duy

4. Tran Minh Anh – GBC200048 Tran Minh Anh

Class GBC0903 Assessor name

Description of activity undertaken

Assessment & grading criteria

How the activity meets the requirements of the criteria

Description of activity undertaken

Assessment & grading criteria

How the activity meets the requirements of the criteria

Description of activity undertaken

Assessment & grading criteria

How the activity meets the requirements of the criteria

Description of activity undertaken

Assessment & grading criteria

How the activity meets the requirements of the criteria

Description of activity undertaken

Assessment & grading criteria

How the activity meets the requirements of the criteria

Grade: Assessor Signature: Date:

Internal Verifier’s Comments:

Signature & Date:

Assignment Brief (RQF)

Unit Number and Title: Unit 2 - Marketing Essentials

Academic Year: 2020-2021

Unit Assessor: Dang Son Tung

Assignment 2 - Marketing Plan with the application of

Submission Date: 30/12/2021

Internal Verifier Name:

Assignment Brief and Guidance:

The content of your marketing plan should include:

6/ Budget (Your anticipated operational costs)

Learning Outcomes and Assessment Criteria:

LO3 Develop and P4 Produce and M4 Produce a

2.1 Marketing Environment and the impact on Business Activities

The company's survival is dependent on competition. Competitors are similar-product-

The macro-environment has an impact on the company's overall performance. Demographic

2.2 Marketplace Information

2.2.1 Industry research

2.2.2 Market trend

Competitor Strengths Weaknesses

Dedicated service Few ads

Anni Coffee ( Ca Mau ) Reasonable price Few ads

Diverse menu Only focus on young

Modern spacious space

2.4 Customer Analysis

2.4.1 Customer Segmentation

2.4.2 Consumer trend

2.5 Company’s internal capabilities

2.5.1 SWOT analysis

Highlands coffee is located in a beautiful No innovation in-store decoration

Highlands coffee launches regularly new

Abundant foreign investment Competitive price

Large and potential markets

Opponents are slow, weak

2.5.2 Competitive advantages