1st GRAND PRESENTATION

GROUP 2TRUNG HIẾU - HOÀNG LÂN – PHƯỢNG TƯỜNG – PHÚ CƯỜNG– NGỌC TRÂM

AGENDA1. PROJECT BACKGROUND

2. FINDING INSIGHTS2.1 Research brief 2.2 Research tasks/what to do 2.3 Potential insights2.4 Recommended/selected insight with the rationale why

3. BRAND IDEATION3.1 Review & Analysis (competition review, category/product truth, brand truth)3.2 Proposed insight3.3 Brand Positioning Statement3.4 Brand Key

4. COMMUNICATIONS BIG IDEA

PROJECT BACKGROUND

ABC company is a young company with strong financial status. They decide to invest & penetrate to the coffee market for domestic consumer. In case of you are a Brand Manager of ABC company , ABC require that you have to develop a coffee brand for Vietnamese youth.

TARGET CUSTOMER :

- Youth , 15 – 30 years old. - Living in urban at HCMC & HN- Drinking coffee at least 3 times/week

THE NEEDS & CONSUMPTION HABITSOF THE YOUTH TO COFFEE IN HCMC & HN

Brief number: RB – 01-2013 Date: December 27th 2013

Client Group: No Name company Client Contact: Level 10 AB Towel, Nguyen Hue Boulevard, District 1, HCMC

Description This research is used to explore & measure the needs and consumption habits of the youth (15-30 years old) to coffee who live in urban areas of the 2 biggest cities in Vietnam: Ho Chi Minh City & Hanoi.

Referent brands Local: Highlands, Trung Nguyen, Phuc Long, Vinacafe.International: Starbucks, The Coffee Beans & Tea Leaf, Gloria Jeans, Nestcafe

Market The market of 4 main types of coffee: Coffee pack, Instant Coffee, Coffee-to-go & Coffee shop.Market location: Ho Chi Minh City & Hanoi.

Consumer segment Divided into 3 segments:a. 15 – 18: high-school studentsb. 19 – 22: under-graduated studentsc. 23 – 30: white collar (young officers, young businessmen,…) – Client’s recommendationLive in urban areas in HCMC and Hanoi, both male & female.Drink coffee at least 3 times/ week.

Background ABC company is a young company with strong financial status. We decide to invest & penetrate to the coffee market. Our target consumer is the youth, from 22-30 years old, who lives in the urban areas of key cities (HCMC & Hanoi). Our vision is to create a coffee brand that gain love from target consumers (can be smaller or niche if research agency give reasonable & convincing recommendations) – and our strategic business model is at least ¾ types of coffee business models (Coffee pack, instant coffee, coffee-to-go and coffee shop). We are seeking for a conceptual product that meets at least ¾ above coffee business models. The coffee we offer is authentic and high-quality, but not excellent.

FINDING INSIGHTRESEARCH BRIEF

Project Objective Prepare to launch coffee brand for consumer specially from 22-30. We have some recommendation to research to:- Identify the potentiality of coffee market (with domestic consumption, market trends and growth, key impact, functional benefit, general emotional benefit native of coffee competitors in target consumer’s mind,…) give recommendations/ opportunities directions- Identify the Customer’s behavior and attitude (daily concerns, trend, love, attracted, tension, dream, brand coffee all of Vietnamese youth care) to have an overall understanding of them. - Identify the potentiality of coffee market to the competitors (analyze key relevant competitors’ business, vision,… to have an overall view of the coffee market)- Find out why they love brand faithfully or why they easy to switch to other brand ( for example between 2 brand similar why they choose this brand

why they don’t choose the other. )- Define the suitable Coffee concept for target customers.Action Standard - At least 100 sample for Quantitative research- Focus Group ( 4 brands, at least 3 people/brand – 5 unbranded customer )- At least 3 recommended insights.- Dig in at least 1 most potential insight to develop 1 brand concept 

Presentation/ reporting requirements An Executive Summary that covers each of the objectives and contain summary conclusions shall be included in the final report. Reports are to be written in plain English with one hard-copy and one soft-copy.A presentation of the findings is also required.

Respondent Requirement(1) Not work in marketing/ research/ communication field(2) Not work in any coffee business(3) Active respondents: Easy to share, to discuss. (4) Meet the requirement of target consumers. 

Stimulus materials

Timing From December 22th 2013 to December 27th 2013 (5 days).

Brief Acceptance  Sign: ------------------------------------- Sign: -------------------------------------

THE NEEDS & CONSUMPTION HABITSOF THE YOUTH TO COFFEE IN HCMC & HN

FINDING INSIGHTRESEARCH REPORT

RESEARCH METHODS OVERVIEW

DESK RESEARCH

- The potentiality of the domestic coffee market in VN

- The potential customer segmentation in VN for our product – define & describe

QUALITATIVE RESEARCH(Focus Group)

- Include 2 main group: Branded consumer (5 respondents) and Unbranded consumer (3 respondents for each group of brand: Phuc Long, Highlands, Coffee Bean & Tea leaf, Gloria Jeans)

- Define the concern, the behavior & attitude of TC

- Find out the gap between loyal and non-loyal, what can make them become loyal

INSIGHT

QUANTITATIVE RESEARCH(Survey)

- Confirm percentage of the groups of target customer to segment.

- Check the representative of the key finding, how it relevant to the crowd of TC

FINDING INSIGHTDESK RESEARCH REPORT

OVERALL MARKETPotential Market – Market Growth

Market of coffee domestic consumption is still growing and potential.

WE ARE FULL OF FAVORABLE CONDITIONS FOR THE CHANCE TO JOIN THE DOMESTIC COFFEE MARKET IN VIETNAM.

1. OUTSIDE ENTERTAINMENT OF VIETNAMESE FROM 20 – 29 YO, 2012 (SOURCE: FTA)

2. FORCAST COFFEE PROFIT FROM 2008 - 2016

DRINKING COFFEE RANK 2ND

PROFIT KEEPS GROWING SO FAST

67%

33%

COFFEE MARKET SHARE IN VIETNAM

Roasting coffee Instant coffee

Source: BRANDSVietnam

FINDING INSIGHTDESK RESEARCH REPORT

OVERALL MARKETPotential Market - Market Share

Roasting coffee has more space than orther. Instant coffee market in VN is strong then tough. As a small & fresh coffee business, shouldn’t jump into INSTANT MARKET. THE BIGGER PART IS ROAST AND GRIND COFFEE WITH LOTS OF POTENTIALITY, EVEN FOR THE FRESH ONE IF WE CAN FILL THE GAP.

38%

35%

25%

2%

INSTANT COFFEE MARKET SHARE IN VIETNAM 2012

Trung Nguyen Vinacafe Nestle Other

The age of “22 – 30 years old” consists ~20% Viet Nam’s population in 2013

HIGHLY POTENTIAL

The number 1 concern of TC are job & career

MATCH BOLD WITH COFFEE FUNCTIONAL BENEFIT( TC want to focus on their works to get promotion & higher salary)22 – 30 TC can manage their life

and they can manage their finance , they do not depend on family

finance

THEY ARE DIRECT CONSUMER WHO DECIDE TO BUY

FINDING INSIGHTDESK RESEARCH REPORT

OVERALL MARKETPotential Target Consumer Suggestion

1.

2.

3.

HIGHLYRECOMMENDTHE TARGETFROM 22-30YEARS OLDBECAUSE:

(Source: FTA, N=600)

FINDING INSIGHTDESK RESEARCH REPORT

OVERALL MARKETPotential Target Consumer – About

CAREER OF VIETNAMESE FROM 20-29 YO, IN KEY CITIES

MOST OF THEM ARE STAFF IN THE OFFICE, OR OWN SMALL BUSINESSES

PROFILE OF VIETNAMESE FROM 20-29 YO

BETWEEN HCMC & HN

FINDING INSIGHTDESK RESEARCH REPORT

Vietnam

Youth’sTension

Journey:Unsatisfied Imagine Dream Expectation Tension

Always move forward

Missing specially moments because youth living so fast , they try to moving forward but sometimes,

they regret about things they have not done . They wish they had

slower to enjoy the special moments

1Be themselves, be

uniqueYouth caring too much about “the

others think” ( what should they do, why they should do,…) : May be in

the next 20 years , they realize they are not relevant with the persons they used to care too much about

their thinking so much

2

Feel lostSo nervous: The same as a song lyric“ All of things

I nervous are things seldom happen”

3

http://m.tapchi.guu.vn/10-ly-do-tai-sao-khong-ai-biet-minh-dang-lam-gi-o-do-tuoi-2x-18pUdOPD9O4su.htmlhttp://doisong.vnexpress.net/tin-tuc/gioi-tinh/nhung-dieu-tre-khong-lam-gia-hoi-tiec-2927420.htmlhttp://news.zing.vn/Nhung-so-thich-thu-vi-cua-gioi-tre-hien-dai-post263944.htmlhttp://yume.vn/news/doi-song/gioi-tre-hien-dai-ho-thich-gi.35A97154.htmlhttp://gomtin.com/news/nhipsongtre/2013/12/zone-9-dong-cua-giai-ma-dam-me-cua-gioi-tre/

Youngster and their interestYouth interest : Travel, taking photos , Bet Coffee / Chatting Lemon tea,

sharing points of view on social media,…

OVERALL MARKETPotential Target Consumer - About

FINDING INSIGHTQUALITY RESEARCH REPORT

CONSUMERS STICK TO ONE BRAND

Profile- Urban Youth, 22-30 years old- Class ABC- White collar- Live in HCMC, HN- Only loyal to a single coffee brand

Life style & habit- Take care of their own

image- They wanna be

independent and stand out.

- Appreciate brand quality and reliability.

- Trends in selected popular brands and are willing to pay high for brand reputation.

Life concern- Concerns about the work and goals in work.- Looking for a good life, stable family & ideal job with high salary.- Love studying & experience more to prove themselves and get more of life.- They care about belonging to a group in their life

Role of Coffee to them- Consume Coffee for working.- Express their class and their personal style.

CONSUMERS STICK TO NO BRAND

Profile- Urban Youth, 22-30 years old- Class ABC- White collar- Live in HCMC, HN- Have no loyalty to any coffee brand

Life style & habit- Love enjoying life and experience the new things- They decide their consumption by value not image.- Spend most of their time to relax after work: film-watching, listen to music, social activities...

Life concern- They’re looking for enjoyment and experience in life- Worry about new career, they don’t know how to get more experience to get more of life.- They care about belonging to a group in their life

Role of Coffee to them- Coffee generate an enviroment to communicate, to satisfy their social needs.- Coffee brings them creativity.- Sanity & the stimulus to complete their work.

FOCUS GROUPTarget Groups Portfolio

By the behavior of consuming coffee, we divided target customers into 2 main groups:

FINDING INSIGHTQUALITY RESEARCH REPORT

FOCUS GROUPKey Observation

Key observation

Key finding

1. TC biggest & prior concern is about job/ career (second is love/ family,…)2. TC are easily impacted by other ones, but they don’t want this. They want to be different, to maintain their own identity.3. TC think drinking coffee is to maximize effectiveness of their MIND, by giving them sanity & stimulus.4. When they get stuck in the busy work , they are “straighten out” and looking for the way to help them step out of this stuck for their own zone. However, it raise a tension and they cannot release it because they have to move forward to be a better one.

- TC biggest & prior concern is about job/ career (second is love/ family,…)- TC are easily impacted by other ones, but they don’t want this. They want to be different, to maintain their own identity.- Coffee make them feel perky to focus on their works.- TC link coffee to maximize effectiveness of their MIND, by giving them sanity & stimulus- Drinking delicious coffee in a nice space makes them feel relaxing.- Cost is the most impact on the reason they choose a coffee brand. Next impact is quality, location, fast service. - They don’t need people call them “Coffee expert”, via drinking coffee, they’d love to express themselves by their own style, own gouté,… more than their coffee knowledge.- To TC, coffee means START, RELAX, SANITY, STIMULUS, HABIT, ADDICTED, LIFE STYLE, CONNECT, CONVERSATION,…- When they get stuck in the busy work , they are “straighten out” and looking for the way to help them step out of this stuck for their own zone. However, they cannot release it because they have to move forward to be a better one.

18.000%

82.000%

Coffee Brand Choice Ratio, VN - 2013

Branded customer Un-Branded customer

*Self-survey, N = 175, 22-30 years old, HCMC

High percentage

More chance to impact because they don’t have a loyal brand.Existed brand did not satisfy enough their need

Small and it’s pretty hard to impact their choice – because they already like a brand, that fix their expectationLow percentage, and KEY PLAYERS COMPETE not potential

TARGET CUSTOMERSEGMENTATION

Reason to choose unbranded customers- Large , they don’t have any loyal brand and we can impact them base on their need and insight- When people have a brand they like, they have slow motivate to switch.- In the future, we can switch them into branded customers (by loving our brand, or by when they go mature (over 30) they have a habit to stick to the brand they love – switching brand is low.

- Find the gap and fill the gap will convince them: This coffee brand must stand for youth’s career, reasonable price, doesn’t consume time to buy or to make.- They still not have the bold same beat with any coffee brand.- They still not get the relevant with the others coffee brand

FINDING INSIGHTPOTENTIAL INSIGHTS

“Pressure is always there!”. Youngster realize that and they know, for sure, that pressure is good for their own development, that can force them to move forward and bring them closer to success. However, when they have to face pressure in reality (work, life…), they become tired and just want to release it. Tension raised!

FACTGood career is the root for satisfying

life

There are so many advises and recommendations on one’s career path. Seniors tell you this, Media tells you that, Friends show you whole different ways. You become confused and lost in the world of “should or shouldn’t”

“I want to be relaxed but still stimulated to live with the TENSION OF ALWAYS MOVING FORWARD, because tension makes me to be a greater me.”

I want something to motivate me doing what I believe is best

suitable for me

Best way to achieve one’s career peak is by standing out from the “same same” zone. Showing your differentiation in a extraordinarily positive manner is the key.

I want something that can stimulate me to work

effectively and creatively

What they say

Why they do

Why they say

What they do

“Despite knowing “pressure makes diamond” but when facing so many pressure/ anxiety/ stress that drive me crazy, I just want to release it.”

Pressure is what they easily feel and suffer, what goodness it brings about is somewhere far to be found. Then they don’t like pressure/ anxiety/ stress.

But they accept pressure/ anxiety/ stress unwillingly & keep moving.

Because they have no choice else to reach their dream - to be a greater them.

What is tension?

You A greater you

Tension

Pressure Anxiety Stress

FINDING INSIGHTRECOMMENDED INSIGHTS

What is the attitude & behavior of TC to tension?

CONSUMER TRUTHThey don’t like the tension, but they still accept

it because they have no choice else.

INCONVENIENT TRUTHLove tension because tension makes you to

be a greater you.

PRODUCT TRUTHSedate but stimulate people’s mind.

INSIGHT“I want to be relaxed but still stimulated to live with the TENSION OF ALWAYS MOVING FORWARD, because tension makes me to be a greater me.”

FINDING INSIGHTRECOMMENDED INSIGHTS

FINDING INSIGHTIs It Strong Insight?

“I want to be relaxed but still stimulated to live with the TENSION OF ALWAYS MOVING FORWARD, because

tension makes me to be a greater me.”

Fundamental truthSedate but stimulate people’s mind.

Category specificAuthentic inspiration Personal

Match with different situations of many individuals

Deep emotional driverTension is “must have” factor, instead of suffering, turning it into a positive part of your life

AUTHENTICITY

INDULGENTSPACE

“The Finest Coffees & Teas in The World

Authentic haritage of Coffee

Feel like home

Creativity Inspiration for

Businesses

Enjoying business sphere in your own ways

Great Passion, Best Quality

The Third Place of Top International Lifestyle

Lifestyle

International Authentic coffee expert

Inspiration

BRAND IDEATIONCOMPETITION REVIEW

BRAND IDEATIONBRAND ESSENCE

BRANDESSEN

CE

CategoryTruth

Brand Truth

ConsumerTruth

Functional: Focus, Release, StimulateEmotional: Masculinity, Authenticity Lifestyle, InspirationKey drivers: Authenticity, Inspiration, Space, Price, Brand Image

- Authentic coffee- Inspire people to think/feel positively about pressure- Value for money

“They don’t like the tension, but they still accept it because they have no choice else.” Inconvenient truth: Love tension because tension makes you to be a greater you.

BRAND IDEATIONBRAND POSITIONING STATEMENT

those from 22-30, lives in urban area, who are 1st jobbers or on the way to make the names for themselves

X-press Coffee is the…

brand of Authentic coffee

authentically sedates and then stimulates you to work, to move you forward to become the better you

• Authentic coffee that brings about authentic effects (sedate and stimulate)

• We deeply understand what is the youth’s tension through a process off research and double-check

BRAND IDEATIONBRAND KEY

BRAND IDEATIONCOMMUNICATION IDEA

Youth’s Best friend is Tension