FPT UNIVERSITY

SPRING 2024

INDIVIDUAL ASSIGNMENT

MARKET RESEARCH

(IdiM HCM Bakery)

Course Name : Consumer Behavior (MKT201)

Lecturer : Dương Thị Thanh Hằng

Class name : MKT18B02

Student’s name : Nguyễn Đức Nguyên Thái

Student roll number : DS180468

EXECUTIVE SUMMARY
Introduction:

This report explores the market landscape, customer insights, and competitive environment of iDiM DIY
Bakery in Vietnam, specifically focusing on their Ho Chi Minh City store.

Key Findings:

Market: The bakery industry in Vietnam is growing, driven by factors like rising disposable income and
urbanization. However, competition is present from traditional bakeries, online businesses, and other DIY
bakery concepts.

Customer Insights: Vietnamese customers at iDiM value freshness, quality, and variety in baking options.
Clear instructions in Vietnamese, friendly staff, and good value for price are also important factors.
Additionally, the social and communal aspect of iDiM appeals to customers seeking venues for events
and gatherings.

Competition: While iDiM occupies a unique niche, they face competition from various players, including
other DIY bakeries, traditional bakeries, and online bakery businesses. Each competitor offers distinct
value propositions and caters to different customer segments.

Marketing Mix: iDiM's marketing mix leverages social media, a central location, and a clean ambiance.
However, there's potential to explore additional promotional channels, highlight the social aspect, and
utilize data-driven marketing strategies.

Opportunities:

Expand customer base: Explore ways to attract new customer segments by highlighting the social and
event-friendly aspects of iDiM.

Refine marketing strategy: Implement data-driven marketing techniques and consider partnerships or
influencer marketing to broaden reach.

Maintain competitive edge: Continuously innovate and differentiate iDiM's offerings to stay ahead in the
evolving bakery landscape.

Conclusion:

iDiM DIY Bakery holds a promising position in the Vietnamese market with its unique experience and
focus on customer satisfaction. Understanding customer preferences, the competitive landscape, and
continuously refining their strategies will be crucial for their long-term success.

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Disclaimer: This report is based on publicly available information and may not capture all aspects of
iDiM's operations or the Vietnamese market.

INTRODUCTION
IDIM DIY Bakery is an international brand and the first Do-It-Yourself Bakery in Asia that originated in
Taiwan and is currently the No.1 DIY Bakery.

The stores are designed to provide a fun and interactive experience for people of all ages and skill levels.
Customers can choose from a variety of pre-measured ingredients and baking mixes, and then follow
along with easy-to-understand instructions to create their own cakes, cupcakes, cookies, and other treats.
The staff is also always on hand to provide assistance and answer any questions.

IDIM DIY Bakery is a great place for families, friends, and couples to bond over a shared activity. It is
also a perfect venue for birthday parties, team-building exercises, and other special occasions.

IDIM means “I Did It Myself!”. They are an out-of-the-box bakery concept where customers don’t just
buy cakes, they get to bake and decorate their own cakes. Their main theme is “Anyone Can Bake”.

Research objectives and purpose:

BODY
1. Market analysis:
a. The bakery industry:

i. The Bakery Industry: A Sweet Slice of the Food Market

The bakery industry is a significant segment of the global food industry, encompassing a
wide variety of flour-based baked goods like:

● Bread: Loaves, rolls, baguettes, bagels, etc.

● Cakes and pastries: Cupcakes, pies, tarts, croissants, donuts, etc.
● Cookies and biscuits: A diverse range of sweet and savory options.
● Other baked goods: Muffins, scones, crackers, and more.

ii. Market Size and Growth:

The global bakery market was valued at USD 397.90 billion in 2020 and is projected to
reach USD 590.54 billion by 2028, growing at a CAGR of 5.12%.

iii. Key Trends:

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 ● Rising health consciousness: Consumers are increasingly seeking healthier
alternatives, leading to a rise in demand for products made with whole grains,
organic ingredients, and natural sweeteners.
● Artisan and specialty breads: There's a growing interest in unique and flavorful
breads made with traditional techniques and high-quality ingredients.
● Convenience: Busy lifestyles are driving the demand for convenient and ready-
to-eat options, such as individually wrapped snacks and single-serve pastries.
● E-commerce and online ordering: Online platforms are becoming increasingly
popular for ordering and delivering bakery products.
● Sustainability: Consumers are becoming more concerned about the
environmental and social impact of their food choices, prompting bakeries to
adopt sustainable practices in their sourcing, packaging, and operations.

iv. Competitive Landscape:

The bakery industry is a competitive landscape, with players ranging from:

● Large, multinational corporations: They have a wide reach and brand recognition,
offering mass-produced baked goods at competitive prices.
● Small, independent bakeries: They often focus on specialty breads, artisanal
pastries, and unique offerings, catering to a niche market seeking high-quality
and locally-sourced products.
● Grocery store bakeries: They offer convenient and affordable options for
everyday consumption.

v. Future Outlook:

The bakery industry is expected to continue growing in the coming years, driven by
factors like:

● Increasing urbanization and disposable income in developing countries.

● Growing demand for convenient and on-the-go snacking options.
● Rising consumer interest in healthier and more sustainable food choices.
b. Target market:

While the traditional bakeries that sell pre-made goods, the DIY model focuses on
providing the service including the pre-measured ingredients and baking mixes, and then
follow along with easy-to-understand instructions to create customer’s own cakes,
cupcakes, cookies, and other treats.

Geographics: IDIM DIY Bakery (in Vietnam) located in 22 Raymondienne, Tan Phu,
District 7, Ho Chi Minh City, Vietnam. It is surrounded by schools, apartments,... so this

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 brand focuses on urban residents, specifically students or even tourists from foreign
countries such as Taiwan, Korea, Japan,... who want to try new experiences that they can
not get at home.

● Families: iDiM offers a fun and interactive experience that can be enjoyed by
people of all ages, making it a great option for families with children.
● Friends and Couples: The collaborative baking activity can be a fun way to bond
and spend quality time together.
● People who enjoy baking: iDiM provides a convenient and accessible way for
people to bake their own treats without having to worry about measuring
ingredients or following complicated recipes.
● Busy individuals: The pre-measured ingredients and easy-to-follow instructions
make it a convenient option for people who are short on time but still want to
enjoy the satisfaction of baking their own treats.
c. Competitor analysis:

While iDiM DIY Bakery operates in a specific niche within the bakery industry, it faces
competition from various players offering distinct experiences and catering to different
customer segments. Here's an analysis of potential competitors:

Direct Competitors:

Other DIY bakeries: These businesses offer similar concepts, allowing customers to bake
their own treats with pre-measured ingredients and instructions. They may compete on
factors like:

● Variety of baking mixes and ingredients offered.

● Pricing and value proposition.
● Ambiance and overall experience.
● Location and accessibility.

Indirect Competitors:

Traditional bakeries: These bakeries sell pre-made baked goods, competing with iDiM on
a different aspect. However, they might still be considered an option for customers
seeking readily available treats. They compete on:

● Product quality, taste, and variety.

● Brand reputation and customer experience.
● Pricing and convenience (e.g., proximity to customer location).

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 Online bakery businesses: These businesses offer delivery or pick-up options for pre-
made baked goods, potentially competing with iDiM on convenience. They compete on:

● Variety of options and customization possibilities.

● Delivery speed and efficiency.
● Pricing and overall value proposition.

Competitive Advantages of iDiM DIY Bakery:

● Unique experience: The interactive and hands-on experience offered by iDiM

sets it apart from traditional bakeries and online businesses.
● Customization and personalization: Customers have greater control over the
ingredients and decoration of their baked goods compared to pre-made options.
● Social and communal aspect: iDiM caters to group activities and provides a space
for bonding and shared experiences.
● Convenience and accessibility: Pre-measured ingredients and easy-to-follow
instructions make it accessible to people of all skill levels.

Challenges and Opportunities:

●Maintaining novelty: The DIY bakery concept might face the challenge of
maintaining its novelty in the long run.
● Competition from other DIY bakeries: As the niche grows, competition might
intensify, requiring iDiM to continuously innovate and differentiate itself.
● Expanding the customer base: While iDiM caters to a specific segment, exploring
ways to attract new customer groups could be beneficial.
2. Market mix analysis:
a. Product:
● Core product: The core product of iDiM is not simply baked goods, but rather the
experience of baking your own treats. This experience includes pre-measured
ingredients, easy-to-follow instructions, and assistance from staff.
● Supporting products: iDiM offers various baking mixes and additional
ingredients for customization, along with drinks and other refreshments.
● Product differentiation: The DIY experience, focus on customization, and
potential for social interaction differentiate iDiM from traditional bakeries and
online businesses.
● Services: The store also offers services such as assistance from staff, birthday
party packages, and space rentals for events.
b. Pricing:
● Pricing strategy: iDiM's pricing likely incorporates the cost of ingredients, staff,
rent, and other operational expenses. It should also be competitive within the

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 DIY bakery market while considering customer perception of value.
● Pricing tactics: iDiM might offer package deals for groups, discounts for first-
time customers, or promotions on specific baking mixes.
● iDiM's pricing strategy appears to be mid-range, considering the experience and
convenience they offer.
● The exact prices might vary depending on the specific baking mix or ingredients
chosen, but based on online reviews, prices seem to be generally affordable for
the target audience.
c. Placement:
● Distribution channels: iDiM operates through its brick-and-mortar stores in select
locations.
● The Ho Chi Minh City store is located in a central and easily accessible location,
which is crucial for attracting customers.
● The store's clean and modern ambiance further contributes to the overall
experience.
● Location strategy: Choosing locations with high foot traffic, easy access, and a
target audience concentration is crucial.
● Inventory management: Maintaining sufficient stock of baking mixes,
ingredients, and other supplies is essential to avoid stockouts and customer
dissatisfaction.
d. Promotion:
● Social media marketing: They are active on platforms like Facebook and
Instagram, showcasing their offerings, promotions, and customer creations.
● Online advertising: They might utilize targeted online advertising to reach their
ideal customer base.
● Public relations: Collaborations with local influencers or media mentions can
generate positive brand awareness.
● In-store promotions: Eye-catching displays, promotional offers, and loyalty
programs can encourage customer engagement within the store.

CONCLUSION AND RECOMMENDATIONS

1. Conclusion:

iDiM DIY Bakery has carved out a distinct niche in the Vietnamese bakery market by offering a
unique and engaging experience. Understanding the growing bakery industry, the diverse
customer base, and the competitive landscape is crucial for their continued success.

2. Recommendation:

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 Potential Sources of Customer Satisfaction Information:

● Online Reviews: Review platforms like Google Maps or Facebook Reviews can often
provide valuable customer feedback on factors like experience, staff helpfulness, product
variety, and cleanliness.
● Social Media Engagement: Analyzing comments and messages on iDiM Vietnam's social
media pages can reveal customer sentiment and areas for improvement.
● Customer Surveys: If iDiM conducts customer satisfaction surveys via email or in-store,
they would have direct access to valuable customer feedback.

Possible Areas Vietnamese Customers Value in iDiM DIY Bakery:

● Freshness and Quality of Ingredients: As with many Asian cultures, Vietnamese

customers often place a high value on fresh, high-quality ingredients.
● Variety of Baking Options: Offering a wide range of flavors and sweet/savory options to
cater to diverse preferences might be well-received.
● Instruction Clarity in Vietnamese: Ensuring baking instructions are clear and concise in
Vietnamese is crucial for a smooth and enjoyable experience.
● Staff Friendliness and Helpfulness: Attentive and supportive staff who can answer
questions and provide guidance in Vietnamese would be appreciated by customers.
● Value for Price: Vietnamese consumers are often budget-conscious, so ensuring the
overall experience offers good value for the price point would be important.
● Special Occasions and Gifting: Understanding if customers use iDiM for birthday parties,
celebrations, or gifting baked goods can help tailor promotions and offerings.

Additional Tips:

● Consider local Vietnamese social media platforms besides Facebook and Instagram,
where iDiM might be engaging with customers.
● Partner with Vietnamese food bloggers or influencers to get their reviews and
recommendations on iDiM's offerings.
● If iDiM doesn't conduct customer surveys, suggest they implement a system to capture
feedback directly from customers.