RMIT University

Digital Marketing Strategy and Planning

L'OCCITANE VIETNAM
Strategic Plan and Implementation

Lecturer:
Luu Thi Minh Nghia

Present by:
Nguyen Duc Anh
Nguyen Gia Minh
Le Minh
Le Anh Tu

Next slide
Table of Content

Situation Analysis

Business Goals &

Marketing Objectives

Business Level Strategy

Implementation Plan
01
Situational
Analysis
ABOUT THE COMPANY

• An international retailer of cosmetic products operating over 65 countries around the world
with the base in Manosque, France (L'OCCITANE, 2020).
• One of the biggest cosmetic companies in the world with the total revenue of 1.3 billion Euros in 2017
(L'OCCITANE, 2017)
• Main products: Fragrances, Cosmetics, Color (Make- up), Capillary products, Toiletry products
• Famous for the use of natural ingredients

CURRENT SITUATION

• Weak presence in social media

• Online performances are low
• Low brand awareness and recognition
COMPETITORS
Marketing
Effectiveness Weight L'OCCITANE YVES ROCHER BOTANI

Hand Cream Variety 15% 8 10 1

Product Size Availability 10% 9 6 3

Other Product Variety 5% 8 8 6

Number Of Ongoing
5% 2 10 2
Promotion
Promotion

Beneficial To Customers 20% 3 8 5

Affordability Of Hand
Price 15% 6 8 6
Creams

Store Accesibility 15% 8 9 6

Place City Coverage 10% 6 10 2

Number of Store 5% 3 10 1

Sum 100% 5.9 8.15 3.85

 DIGITAL
Marketing
Effectiveness Weight L'OCCITANE YVES ROCHER BOTANI

Learnability 5% 8 8 8

Memorability 5% 8 8 8

Website Usability Efficiency of Use 5% 9 8 7

Errors 5% 8 7 6

Subject Satisfaction 5% 8 8 6

Website Visits 15% 6 8 4

Website Performance
Organic Search 10% 2 8 6

Omni-Presence 25% 2 10 5

Social Media Customer Interaction 15% 4 9 2

Paid Ads on Facebook 10% 0 8 2

Sum 100% 4.1 8.6 4.7

DEMOGRAPHICS
• An Gender: Female
• Age: 18-30
• Marital Status: Single or married
• Education: University, College or Post Guaduated
• Geographic location: Urban and Suburban areas
PSYCHOGRAPHICS
• Desires to be a contributor to, or an advocate for, the
greater of society
• Empowered, compassionate, caring, health conscious
• Love for beauty products
• Value service and experience over savings
DEMOGRAPHICS
• Participates in a beauty regimen at least once daily
• Purchases beauty or health products at least twice a week
• Talks about beauty or health with others
• Active on at least two social media networks daily
• Uses social media to talk about products, services of cosmetic brands
• Seeks out and/or shares opinions about beauty products on social media
• Has made a purchase in the past month based on a recommendation
found social media
• Uses social media for research at least once a week
• Uses social media or digital media to learn about current events at least
2 - 3 a week
CUSTOMER PERSONA

• Tran Hai Anh is an 25 year old RMIT graduated Bachelor of Digital Marketing.
• She work as Media Executive at Marcom Mate And
• Owner of : KLASE - Menswear clothing store and Khan Boutique - Accessories store.
• Her personality is a Friendly, easy going person, cares about the environment, loves
making social networks.
• The kind of customer who will go out on rainy Sunday to buy fresh vegetables from the
street market.
• Added to that, she won't miss an occasion to buy and eat organic food from time to time.
CUSTOMER PERSONA

• Working with clients as Anh currently plays a vital role at an advertising agency so her appearance needs to be at her best image in her
both real life and social media.
• She works long hours at the office with the air conditioner in the summer and heater in the winter and doesn't have a long ritual for skin
care routine.
• Her skin is dry and she is looking for products which can tackle her skin. May prefer to purchase products online but sometimes she will
enter to physical stores.
• Her decisions are affected of how the stores decorate and salesperson behavior.
• Prefer to buy products from brands with multiple purchasing options.
• he influencers/KOLS that she is following on Facebook/ Instagram play an important position that affect her buying decisions.
COLLABORATORS

• L'OCCITANE has only 1 distributor in Vietnam – HANS Group

• The business has dealing with e-commerce websites but all closed at the end of 2019.
• The business is also dealing with premium malls but is not come to an agreement yet.

CONTEXT

• Vietnam have low barrier of entry in the cosmetic market

• Many competitors in the same field
• Threat of substitutes is high
• Buyers powers is high
 MARKETING OBJECTIVES

BUSINESS GOALS

EXPAND- EXPAND- INCREASE- KEEP-

THE GROUP OF TARGET ON E-COMMERCECHANNELS 15% AWARENESS NUMBER 1 LEADER POSITION

CUSTOMERS 8% TRIAL RATE ON HAND CARE

(FROM 18 TO 30 YEARS OLD) ON HAND CARE CATEGORY

HAVING MID – HIGH INCOME

02
BUSINESS
LEVEL STRATEGY
ANSOFF MATRIX
EXISTING
NEW PRODUCT
PRODUCT

EXISTING MARKET PRODUCT

INCREASING RISK
MARKET PENETRATION DEVELOPMENT

MARKET
NEW MARKET DIVERSIFICATION
DEVELOPMENT

INCREASING RISK
MARKET PENETRATION
INCREASE MARKET SHARE AMONG ALREADY EXISTING CUSTOMERS

• First entered into Vietnam market since 2007

• List all of the existing products and highlight new ones
• Provide certain news and messages to the audiences (mostly current customers)
• Encourage customers to “Save the youth”; “Renew the beauty”; “Take care of dry hand”
• “Promote” customers eager to purchase products from L'OCCITANE
PRODUCT DEVELOPMENT
CREATES NEW PRODUCTS FOR ALREADY EXISTING MARKETS

• Continue to add new products to meet the demands of customers

• Customers want to enjoy both inner and outer well-being
• Focuses on different areas to bring complete serenity:
• Hair care
• Face care
• Body care
• Fragrances
• Products for men, women and home
SITUATIONAL ANALYSIS
ANALYZATION BASED ON PORTER’S FIVE FORCES

• Threat of new entrants

• Threat of Substitute Products
• The Bargaining Power of Buyers
• The Bargaining Power of Suppliers
• Competitive Rivalry
THREAT OF NEW ENTRANTS
ANALYZES THE EASE WITH WHICH COMPANIES AND BRANDS MAY ENTER INTO THE MARKET

• Barrier of entry for this market is low

• The need for economies of scale for new entrants is insignificant
• The government set no minimum capital requirement
• The substantial amount of capital required to enter the market is low
• No policy which restrict the number of cosmetic distributors
• The brand loyalty among Vietnamese consumers is low (Warc, 2019)
• Half of Vietnamese consumers are likely to try new brands than they were five years ago (Warc, 2019)
• Consumers across Asia Pacific are more open to switching brands than anywhere else in the world (Price is not a reason)
• Anyone can list and sell products at uncontrollable quality and quantity of products on the market.
(Vietnamese authority does not fulfill the requirement for registrations, licenses to sell products for commercial purposes)
THREAT OF SUBSTITUTES
ANALYZE THE THREAT OF SIMILAR PRODUCTS FROM COMPETITORS WHICH SATISFY THE MARKET NEEDS

• Types of product can be manufactured by other firms

• Huge number of competitors and distributors in the market.
• These types of products are available almost everywhere (retail stores, drug stores, e-commerce,…)
• Buyer propensity to switch brands is high - low switching cost
 BARGAINING POWER OF …
B THE PRESSURE CONSUMERS CAN EXERT ON BUSINESSES TO GET THEM TO PROVIDE HIGHER QUALITY PRODUCTS

U • Vietnamese consumers in big cities attach symbolic meanings to Western brands

Y • High bargaining power:

• Substitutes are available
E • Buyer switching costs are low
R • Distribution channels are well developed and accessible.

SUPPLIER
NO NEED TO WORRY ABOUT

• Low bargaining power

COMPETITIVE RIVALRY
• The cosmetic market of Vietnam is quite intensive
• The competitive balance exists
• Monopolistic competition is not presenting
• The differentiation between brands is built on:
• Competitive strategy
• Advertising
• Sustainable Competitive Advantages,
• and more…
SCORE THE MARKET
The overall score is high
• A competitive industry
• A downfall in prices, and
the overall profitability of the industry.
 MISSING
• MARKET DEVELOPMENT STRATEGY
• DIVERSIFICATION STRATEGY

CURRENT STRATEGY

EVALUATION SHORT-TERM
• Insignificant problems

LONG-TERM
• Failure to connect with the target audience
• Failure to create an effective sales funnel
• Lack of authenticity and transparency
• Unable to compete against competitors
• LOSING CUSTOMER AND MARKETSHARE
RECOMMENDATION

MARKET
DEVELOPMENT
EXPAND THE MARKET FOR MORE AWARENESS

THINK OF A
LOCATION
03
IMPLEMENTATION
PLAN
 ”Đừng quên chăm sóc đôi bàn tay…”

HIDDEN MEANING USABLE HASHTAG

“The ”remember' at the beginning of the name acts as a warm #TayDepVoiLOCCITANE

reminder – this type of phrase is usually from a very close #CauChuyenDoiBanTay
person: a bestie, a family member, or a lover, at the end of the #DoiTayDepNhat
conversation to remind someone not to forget about an #CungToiDiKhapMoiNoi
important thing”
EMOTIONAL ASPECT
“Our hands have always been taking care of us, it's time to return the favor.
Focus on how the hands help us deal with almost every little thing in our daily
routines: typing the keyboard, writing, cooking, even when having fun with the
phone. But very little do we care for our hands.
During the recent Covid-19 situation, public places such as schools and
workplaces require hand sanitizing upon entrance. Most instant hand
sanitizers contains high alcohol levels which may result in hand dryness.
L'OCCITANE hand creams offer a fast-acting solution with natural ingredients
and scents – a lovely way to treat your hand”
RATIONAL ASPECT
When it comes to appearance boosting, people tend to pay most attention to
their facial and hair care. But apart from our torsos and limbs which are often
covered in clothing, our hands are as usually exposed as our faces. Hence, in
order to elevate confidence and leave better overall impressions on other
people in all occasions, whether it is business, casual, or even dating, hand
care is also crucial.
TRIGGER PHASE
MAIN TASK: To inform and gain initial attention

PLATFORM 2 - SOCIAL MEDIA: Using the image of beauty KOLs who put extra efforts into
their appearance but realize an issue that their hands have not been taken care of enough.

SUGGESTION: Man Tien – 24 years old - Instagram KOL

• 1M followers – beauty, make ups, and skincare as her main type of contents
• Her followers are teens and females in their twenties having the same interests
• Man Tien's posts will direct her audience to L'OCCITANE offline store and newly
developed e-commerce pages
TRIGGER PHASE
MAIN TASK: To inform and gain initial attention

PLATFORM 2 – OFFLINE STORE: Encourage store visitors to try out hand cream
free samples

PLATFORM 3 – E-COMMERCE:
• Start listing products on popular e-commerce sites such as Shopee/Lazada
• Preparing these platforms for further phases
ENGAGEMENT PHASE
MAIN TASK: Spread user-generated contents on social media: Facebook and Instagram

MINIGAME: L'OCCITANE Photo Contest

FORMAT: Social media users will take part in a creative photo contest.
Their posts are required to feature L'OCCITANE products.
PRIZES: IPHONE, AIRPOD, BRAND VOUCHERS

To spread the words, we use a group of smaller KOLs to participate in the contest
as the starting point of a network effect.
SUGGESTION: Thao Vu - MC on VTV and Garena - 25k followers @thaovuu_ on
Instagram
AMPLIFYING PHASE
• Creating a viral TIKTOK dance using the hands (tutting)
• L'OCCITANE can get a professional dancer to create a small and easy tutting routine
• Have TikTok influencers perform the dance to promote the challenge

• SUGGESTION:
• MK.Tutting - previously collaborated with VSMART
• Music: 2 bàn tay của em (Re-written version)
• ORGANIZE A 2ND MINIGAME: Dancing challenge with the prizes
• TIKTOK INFLUENCER EXAMPLE: thunglongfamily in TikTok with 400k+ followers
 ”
At this stage, many target audience would have been familiarized with L'OCCITANE products. To direct buyers into
e-commerce channels, as well as tracking the performance of each KOL, the brand will give each KOL a personalized
promo code to include in their post. Then, customers can enter the codes on e-commerce sites to get 10% off their
purchases.
“
PR AND SOCIAL MEDIA SEEDING

• To assist each phase reach further audiences:

• Kenh 14 will publish articles along with the phases to help promote the minigame
• Popular Facebook groups/fanpages among youngster will upload official posts and seeding
posts (to engage/discussion) about the minigames as well as L'OCCITANE products.
BRAND WEBSITE FANPAGE

• Due to the fact that website purchase SFCC system of L'OCCITANE Vietnam won’t be ready for almost another year, this campaign will
not focus on improving website performance or driving traffics. Instead, those outcomes will be included in the longer strategy (3 years)
after the system is ready. Suggestable methods would be omni-channel synchronization, SEO building with quality contents and
backlinks, or reference scheme utilizing family/friend relationship
• L'OCCITANE fanpage will upload mixed contents about the mini games and educational theme on how to properly care for the hands.
The fanpage will also act as the hosting platform for mini game final voting. The audience’s comments and shares will accumulate
significant amount of online impression
PAID ADS

• Instagram Story Ads: The main focus of ads will be placed on Instagram stories, where the ads are very interactive, 100% auto-play, and
fills up the whole screen.
• E-commerce penetration also requires investing into different categories of ads. At the first stage, L'OCCITANE should focus on all 3 then
gradually reduce once the customer base on e-commerce are steady

Reproduced from Shopee (2020)

CAMPAIGN FRAMEWORK
ĐỪNG QUÊN CHĂM SÓC ĐÔI BÀN TAY
TIMING TRIGGER (1 MONTH) ENGAGEMENT (2 MONTHS) AMPLIFYING (3 MONTHS)

• Raise awareness about hand care product.

OBJECTIVES
• Increase trial rate and develop ecommerce channels

• KOL photo post/ YouTube video • E-commerce promotion

• 1 big minigames
• Trial placement at stores • 1 smaller minigame
KEY ACTIVITIES • KOL share
• Listing products on ecommerce • Nano KOL photo post
• PR
channels

Our caring hands deserve more

KEY MESSAGE Take care for your hands Proper hands caring routine
attention

Promotion: Giving samples of hand Promotion: KOL share code to use

E-COMMERCE Listing products
care product while buying others on ecommerce/ website

SOCIAL CHANNEL PAGES Always-on contents

BUDGET ALLOCATION

E-COMMERCE 2,000

IRM (INFLUENCER MKT) 8,000

DIGITAL MARKETING 10,000

PR 2,000

MINIGAME 8,000

TOTAL $30,000
BUDGET ALLOCATION
E-COMMERCE INFLUENCER MARKETING

PROMOTION $1,500 KOL PHOTO POST $6,000

E-COMMERCE ADS $500 YOUTUBE REVIEW VIDEO $1,000

COMMUNITY PAGES/ GROUP

SUM $2,000 SEEDINGS $500

PR $500

SUM $8,000
DIGITAL ADS

FACEBOOK & INSTA $5,000 MINIGAME

YOUTUBE $2,000 KEY MINIGAME $5,000

GDN $3,000 SECONDARY MINIGAME $3,000

SUM $10,000 SUM $5,000

KPI
THANK YOU FOR
YOUR ATTENTION
REFERENCES
RERFERNCES

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