Executive summary
This thesis aims to address the inadequate advertising efforts of VIB, as evidenced by the bank's declining revenue in recent years When compared to three other banks with similar chartered capital, VIB's revenue performance highlights the need for improved marketing strategies to enhance its financial outcomes.
Based on a comprehensive literature review, the author identified four key factors that significantly influence corporate revenue: advertising activities, product innovation, product quality, and staff capabilities Utilizing in-depth interviews and secondary data from VIB, the analysis revealed that VIB excels in product innovation, quality, and staff capabilities However, the bank's advertising efforts are lacking, as customers struggle to grasp and engage with new programs being launched Consequently, the author concluded that ineffective advertising is the primary issue affecting VIB's revenue To address this challenge, solutions were proposed based on the literature review, VIB's current situation, secondary data, and customer feedback from follow-up interviews The proposed solutions include two main strategies, with the first encompassing three smaller initiatives and the second consisting of two additional recommendations.
The problem identification
Company introduction
Since 1990, the Vietnamese banking system has been divided into two levels: Central Government banking and Commercial banking, leading to significant growth in the industry From 2007 onwards, the turnover in the banking sector has increased at an impressive rate of 19.47%, which is three times higher than the average GDP growth rate of the Vietnamese economy during the same period The structure of Vietnam's banking sector comprises four major state-owned commercial banks (SOCBs), thirty-one joint stock banks (JSBs), six joint venture banks, and six wholly foreign-owned banks.
Since Vietnam became an official member of the World Trade Organization (WTO) in 2007, it has ushered in a new era filled with both opportunities and challenges for its economy and various sectors As part of its WTO commitments, Vietnam has seen the establishment of foreign trading banks with 100% foreign capital, enhancing its international commercial landscape.
Stock Bank, abbreviated as Vietnam International Bank (VIB), was founded on 18 th
Since its establishment in 1996, VIB has consistently enhanced product quality in response to international integration challenges Over eighteen years, it has evolved into a leading commercial joint stock bank in Vietnam, offering a diverse range of products For individual customers, VIB provides savings, loans, and insurance, while organizational clients benefit from cash management, e-banking, loans, and trade finance solutions This research aims to analyze the issues faced by VIB, focusing on both individual and organizational customers.
VIB aims to be Vietnam's most innovative and customer-centric bank, enhancing effectiveness across all operations The bank tailors its missions to different stakeholders: for individual and organizational customers, VIB delivers innovative, customer-focused solutions; for employees, it fosters a high-performance culture that promotes entrepreneurship and openness; and for shareholders, it ensures sustainable and attractive returns while supporting community development Additionally, VIB emphasizes five core values: customer focus, excellence, honesty, teamwork, and discipline.
In banks, key departments include Sales, Marketing, Investment, Human Resources, Accounting, and Risk Management, with the Marketing and Brand Department primarily responsible for customer engagement and brand promotion The Marketing team's core responsibilities encompass planning credit card marketing strategies, fostering partnerships with merchants for advertising campaigns, analyzing market trends to refine marketing strategies, and leading innovative business initiatives Additionally, they collaborate with sales to develop strategic partnerships and work with various departments to generate product interest This research particularly emphasizes the importance of advertising activities in addressing marketing challenges.
Symptom and real problem
Since Vietnam joined the World Trade Organization in 2007, it has experienced numerous opportunities and challenges that have significantly impacted its economy This membership has intensified competition among banks in Vietnam, presenting both hurdles and prospects for growth in the financial sector.
VIB, a commercial bank in Vietnam, faces intense competition from both local and foreign banks in the market Its primary competitors, including AB Bank, Shinhan Vietnam Bank, and Nam A Bank, share a similar chartered capital level, positioning them as peers in terms of size and financial capacity.
The four banks, each with over twenty years of experience in the Vietnamese market, have achieved significant milestones and received numerous prestigious awards Their financial performance is detailed in Table 1, showcasing results ranging from VND 4,000 to 4,800 million.
2.2.1Business situation of VIB and other banks in recent years
As mentioned in the above part, the three selected banks having the same chartered capital with VIB for comparison include AB Bank, Shinhan Viet Nam Bank and Nam A Bank.
Table 1 Chartered Capital of the four banks in 2015 (Unit: VND Billion)
Bank VIB Bank AB Bank
Shinhan Viet Nam Bank Nam A Bank Chartered
Between 2012 and 2014, various banks experienced differing income levels from their products and services, reflecting their unique capabilities The table below illustrates the revenue generated from business activities by four banks during this three-year period.
Shinhan Viet Nam Bank Nam A Bank
Table 2 Revenue from business activities of four banks in Viet Nam in the past three years
Year VIB Bank AB Bank Shinhan Viet Nam Bank Nam A Bank
(Source: Official Financial reports of banks in the website)
In recent years, VIB has experienced only a modest increase in revenue from its business activities According to data sourced from the VIB website, the revenue growth rate over the past three years has been relatively slow.
2012 to 2014) is so small (just from 3% - 8% in 2012-2014 duration) In comparison with other competitors, VIB does not have a very good level of revenue in the market.
Figure 1 Revenue from business activities of four banks in Viet Nam in the past three years
The chart indicates that VIB's revenue is relatively low compared to three similarly sized banks in the Vietnamese market, surpassing only Nam A Bank and falling short of the other two This situation raises concerns about VIB's future business prospects, especially as competition intensifies with the emergence of new banks The low revenue reflects underlying issues that VIB must address, prompting an in-depth interview with ten customers to explore potential reasons behind this financial performance.
2.2.2The first in-depth interview
Low revenue in corporations can stem from various factors To pinpoint these issues, qualitative research will involve gathering insights from customers regarding fundamental problems across different areas Numerous studies have demonstrated that these problems significantly impact corporate revenue The following is a list of issues that directly affect revenue.
Table 3 List of studies investigated the antecedents of revenue
No Author Antecedents Outcomes Research findings
Advertising, physical attributes, pricing, friends’ and colleagues’ recommendation
Please see the explanation below the table
Physical attributes is the most significant factor, next are pricing, colleagues’ recommendation, advertising
2 Olson and Bokor (1995) Planning process, product innovation
Product innovation is the most significant factor, next is planning process
External environment, resources and finance, customer and market, product quality, SMEs characteristics
Customer and market, SMEs characteristics, resources and finance, external environment are the most significant factors, next is product quality
Product quality, price, place, advertising
Product quality is the most significant factor, next are place, price and advertising
Brand image, brand attachment, environment effects
Brand image is the most significant factor, next are brand attachment and environment effects
Product quality, supplier selection, marketing strategies, influencers
Product quality is the most significant factor, next are marketing strategies, supplier selection and influencers
7 Napompech and Product quality, price, Product quality is the most significant factor, next are
Kuawiriyapan (2011) advertising advertising and price
Advertising cost, sales revenue, R&D cost
Advertising cost is the most significant factor, next are R&D cost and sales revenue
Product and service quality, price, reference group, advertising
Product and service quality are the most important variable, the next important ones including reference group and advertising, finally is the price.
Value identification, lifestyle, price, customer service, accurate information, brand familiarity
Value identification, lifestyle and customer service are the most influential factors, next are price, accurate information and brand familiarity
Several factors influence a corporation's revenue, and low revenue often leads to poor overall performance across all departments within the organization.
Low revenue can hinder a firm's ability to invest in business expansion and improve the quality of its human resources As noted by Hand (as cited in Simanjuntak et al., 2011), generating revenue is crucial for enhancing a company's performance Key issues impacting revenue include advertising, product quality, product innovation, and customer service To address these concerns, an in-depth interview was conducted in Ho Chi Minh City with ten participants, including five long-term VIB customers and five customers from other banks This approach aimed to gather diverse opinions on VIB's advertising strategies, product innovation, product quality, and staff capabilities The interviewees, aged between twenty and thirty, represent the young, professional demographic that VIB targets The findings from the first interview are detailed in the Supporting Information section on page 50.
A recent interview with five long-time customers of VIB revealed significant insights into the brand's recognition, product innovation, and service quality Notably, when asked about the VIB logo and main colors, only one participant could recall the logo's color, indicating a lack of brand awareness among the others Similarly, customers struggled to remember recent advertising campaigns, highlighting a potential issue that may contribute to VIB's declining revenue According to Romaniuk and Sharp, effective advertising plays a crucial role in influencing consumer purchasing decisions Furthermore, when questioned about product innovation, all customers expressed that VIB lacks distinct features compared to other banks, which further hampers brand recall during purchasing decisions Gjerde et al emphasize that customer demand increases with expectations of innovation, suggesting that VIB must enhance its brand image and product offerings to improve its market position.
Customers rated the quality of VIB products as average, with neither complaints nor notable praise, which may contribute to the bank's low revenue If customers perceive better quality at competing banks, they are likely to switch Research by Ackaradejruangsri (2012) highlights that reliability, functionality, and durability significantly influence consumer buying decisions regarding product and service quality In contrast, customers expressed positive feedback about the hospitality and support provided by VIB staff, appreciating their assistance in addressing inquiries However, when asked about recommending banks to relatives, customers favored other banks over VIB.
Vietcombank, Sacombank, Agribank, etc because of their familiarization and good quality of products and services.
Five customers from other banks were interviewed regarding VIB's advertising programs, as they are not current customers and cannot assess the bank's product quality or customer service During the interviews, various VIB advertising initiatives were highlighted, such as Tet holiday promotions and preferential loans for home and car buyers However, most interviewees were unaware of these campaigns, expressing that they primarily focus on the advertising of their own bank Some indicated that they would pay attention to attractive and relevant ads from other banks, leading them to compare offerings based on price, quality, and reputation before making a purchasing decision Therefore, for VIB's advertising to effectively attract new customers, it must be engaging and delivered through appropriate channels.
2.2.3Possible reasons of low revenue of VIB
Low revenue is a clear indicator of underlying issues within a corporation, necessitating effective solutions for growth This article analyzes the potential causes of low revenue at VIB to pinpoint the root problems and propose targeted strategies for improvement.
Advertising serves as a crucial communication tool aimed at persuading consumers to engage with a corporation's products or services (Kumar & Raju, 2013) Ineffective advertising can significantly impact consumer buying decisions, leading to decreased revenue (Keller, as cited in Tsuji et al., 2009) Tsuji et al (2009) highlight that brand awareness, defined as the consumer's ability to recognize and recall a brand, positively influences decision-making and indirectly boosts corporate revenue For consumers to consider purchasing a brand, they must first be aware of it (Rossiter & Percy, as cited in Macdonald & Sharp, 2003) In the case of VIB, advertising ineffectiveness stems from limited promotional activities, primarily conducted during major holidays, which are infrequent and of short duration A report from April 2015 revealed that 18.18% of surveyed customers felt that promotional programs were not frequent enough, contradicting the notion that repeated advertising enhances brand recall and consumer decision-making (Macdonald & Sharp, 2000) Additionally, in-depth interviews with current customers indicated a lack of recognition regarding VIB's logo and advertising, further diminishing brand effectiveness Keller (as cited in Fianto et al., 2014) emphasizes that brand image shapes consumer perception and memory, which are essential for product usage and referrals Ultimately, ineffective advertising is identified as a key factor contributing to VIB's low revenue, as consumers must be aware of a brand before considering it for purchase (Rossiter & Percy, as cited in Macdonald & Sharp, 2003).
Product and service innovation is essential for addressing customer needs and creating value for both customers and companies (Kotelnikor, as cited in Hamid, 2012) An analysis of VIB's low revenue reveals that customers perceive a lack of innovation compared to other banks, which significantly influences their purchasing decisions Hamid et al (2012) highlight that effective innovation can enhance market size and corporate revenue growth In interviews, customers expressed a preference for recommending banks like Vietcombank, Sacombank, and Agribank due to their innovative products, underscoring the critical role of innovation in driving customer trust and attraction, and ultimately contributing to VIB's revenue challenges.
Cause and effect diagram
The analysis of VIB's low revenue in recent years revealed four key factors impacting its financial performance: advertising activities, product innovation, product quality, and staff capability Through a combination of literature reviews, current data from VIB, and in-depth interviews with ten customers, it was determined that product innovation, quality, and staff capabilities were not problematic However, significant issues were identified in VIB's advertising activities, which emerged as the primary cause of the bank's declining revenue The accompanying diagram illustrates the cause-and-effect relationship of these findings.
Capability of staf Product Innovation
Figure 2 Cause and effect diagram of Low revenue
Insufficient advertising activity is a common challenge faced by many corporations A study conducted by Huang and Lai (2011) focused on brand management in small and medium-sized enterprises (SMEs) to identify effective strategies for developing strong brands within this sector.
In 2011, it was recommended that the Board of Directors enhance their understanding of brand management to better analyze customer demand Additionally, companies should invest in long-term strategies aimed at building and developing brand recognition A key focus should be on improving the quality of products and services, as these elements significantly influence brand awareness Furthermore, effective advertising activities play a crucial role in promoting brand visibility.
In 2011, it was emphasized that companies need to implement effective marketing strategies to engage their target customers and capture their attention, as a larger customer base translates to increased revenue and a competitive edge This challenge is prevalent across various corporations For VIB, considering the current circumstances of the organization, the author will propose essential and effective solutions to enhance advertising efforts.
Solutions
Alternative two: Electronic word of mouth
Second alternative is electronic word of mouth (E-WOM) According to Shojaee and Azman
E-WOM, or electronic word-of-mouth, emerged with the rise of computers and the internet in 2013, facilitating communication between unknown senders and receivers online Its impact on communication is significant due to the vast number of participants and the rapid dissemination of information across various channels According to Shojaee and Azman (2013), E-WOM is effective not only for sharing genuine user experiences but also for its cost-efficiency, allowing marketers to save substantial budgets Jansen et al (as cited in Shojaee and Azman, 2013) noted that, similar to traditional word-of-mouth, consumers tend to trust messages from fellow customers who have experienced a product or service over promotional content from companies.
According to Azman (2013), electronic word-of-mouth (E-WOM) serves as a powerful and cost-effective method for brand promotion, offering a faster and wider reach compared to traditional marketing channels To effectively generate E-WOM, it is essential to consider the behaviors of Vietnamese consumers and the growth of social networks Consequently, two key activities have been identified for promoting E-WOM: utilizing viral marketing through email campaigns and engaging with customers via Facebook fan pages.
To effectively leverage E-WOM through viral marketing, VIB marketers will design engaging online promotional programs using email Rather than relying solely on text-heavy emails, they will incorporate visually appealing elements such as images, vouchers, and interactive games to capture customer interest Insights from in-depth interviews reveal a consensus among participants that they prefer sharing useful information via email with their contacts Thus, incorporating valuable content into advertising emails is essential for successful outreach.
VIB should prioritize using engaging visuals, such as pictures and banners, in their emails to capture customer interest, as lengthy text can be off-putting Incorporating humorous images and attractive offers not only promotes products but also incentivizes customers with coupons for sharing the email with others This strategy enhances information dissemination, as recipients are more likely to engage with emails forwarded by trusted contacts To further leverage this psychology, VIB can host mini-games with appealing prizes, encouraging participants to forward the email to their network, thereby accelerating message sharing and expanding reach.
Currently, VIB lacks robust customer communication through email, which should be integrated into its advertising strategy, given the proven effectiveness of this channel A survey by the Direct Marketing Association reveals that email marketing yields an average ROI of over 4,300% for businesses Additionally, emails are nearly 40 times more effective than popular social media platforms like Facebook, Instagram, and Twitter in acquiring new customers.
To enhance the effectiveness of VIB's advertising activities, an in-depth interview was conducted to gather customer opinions on marketing channels The findings revealed that customers place significant trust in information shared by friends and relatives For instance, Ms My Nu highlighted her busy schedule, which limits her ability to meet friends in person, leading her to rely on email communication This indicates that email is an effective tool for engaging customers online Additionally, other valuable platforms such as popular social media networks—Facebook, Twitter, LinkedIn, and Instagram—should also be considered for customer outreach.
Social media platforms like Facebook and Instagram represent a powerful channel for VIB to enhance its advertising efforts According to Dooley (2013), Web 2.0 platforms, which include social networking sites, facilitate two-way communication, allowing users to share information freely This marks a significant shift from the one-way communication model of traditional Web 1.0 Dooley's qualitative research indicates that interviewees prefer Web 2.0 channels due to their popularity and user-friendliness compared to earlier Internet platforms Additionally, the viral nature of Web 2.0 enables efficient sharing of documents and information, fostering seamless communication between participants and between companies and customers.
To enhance communication with current and potential customers, VIB's Facebook fanpage will undergo significant renovations The fanpage manager will implement three key strategies: updating essential banking information, organizing engaging mini-games with attractive prizes, and sharing entertaining content Regular updates will include exchange rates, credit card application processes, and loan procedures, ensuring customer inquiries are promptly addressed Mini-games, such as quizzes about VIB's birthday, will reward participants with branded merchandise, fostering a deeper connection with the brand Additionally, the fanpage will feature humorous images and inspiring stories to provide customers with a relaxing escape from their daily routines.
To enhance customer awareness of VIB, it is crucial to prioritize the development of the fanpage while keeping the time investment minimal Every advertising medium, including the website, banners, and leaflets, should prominently feature the fanpage link to increase visibility Currently, the VIB fanpage lacks presence on the official website, and its content is limited to basic product information without engaging activities This oversight results in customer neglect and diminishes the effectiveness of advertising efforts.
To enhance the visibility of VIB on Facebook for potential customers, hiring a Facebook advertising agency can effectively promote VIB content in the news feeds of targeted audiences The cost is incurred only when users click on the ads, with the average market rate being approximately VND 1,500 per click This strategy is widely adopted by major corporations, particularly in the Fast Moving Consumer Goods sector Additionally, integrating the Facebook fan page with the website is crucial, as the fan page introduces products to users, who can then click through to the website for more information and purchasing options Conversely, visitors to the website can easily access the fan page through the "Contact" section, allowing them to engage with the company's online activities.
To maximize advertising effectiveness, it is essential to simultaneously focus on both the fanpage and website Creating engaging content for each advertising campaign is crucial for attracting customers Insights from in-depth interviews reveal that customers are particularly drawn to appealing and meaningful marketing campaigns Campaigns offering practical gifts garner more attention, as consumers increasingly value tangible benefits over superficial advertising Further examples of effective marketing campaign content will be detailed in the Implementation section.
VIB's current digital marketing efforts are underwhelming, with limited online campaigns primarily focused on advertising on financial websites and a lack of direct customer engagement Although VIB maintains a Facebook fan page, its content mainly promotes new programs and products, resulting in a one-sided interaction that fails to engage customers effectively Furthermore, the fan page's address and information are not prominently displayed on the bank's website or other promotional materials, hindering customer awareness As a result, VIB has yet to demonstrate the potential of social media as a powerful marketing tool It is crucial for VIB to enhance its social media advertising strategies to boost customer interaction and improve overall marketing effectiveness.
Advertising on social media has become essential, as highlighted by various reports ComScore Vietnam indicates that approximately 41 million people, or 45% of the population, are internet users in Vietnam, with around 30 million actively engaging on social networks A recent Facebook study confirms that 30 million individuals use the platform, with 27 million accessing it via mobile devices for entertainment, information, and business purposes According to a 2014 Nielsen report, the average person spends about 2 hours daily online, accounting for 31.5% of total media consumption, a figure that is expected to rise, particularly among younger demographics Social networks are trusted by consumers, significantly influencing purchasing decisions, with 69% of users acknowledging this impact These statistics demonstrate that platforms like Facebook are invaluable for businesses aiming to broaden their reach.
This solution offers a cost-effective approach to advertising, primarily requiring a budget for hiring a Marketing Executive to manage online marketing initiatives across social media platforms.
While the position requires few personnel, it is essential for the marketer to possess extensive knowledge and skills in digital marketing The bank can hire a candidate with significant experience and proven achievements in this field, offering a monthly salary ranging from VND 10 million to 12 million based on experience Additionally, VIB will incur costs for vouchers, coupons, or small prizes to incentivize customer participation in online campaigns, as well as expenses for boosting content on Facebook Overall, this strategy allows the corporation to significantly reduce costs compared to traditional marketing tools, as sending emails, creating fan pages, and engaging with customers on social media are free for everyone.
Choosing best solution for VIB
in the whole marketing duration to get the highest effectiveness in advertising activities of VIB.
Implementation
In 2016, VIB will launch a new advertising strategy, starting with an experimental phase in the first two quarters of the year The results will be collected and analyzed to assess the effectiveness of the advertising efforts, focusing on the Return on Investment (ROI) metrics Insights gained from this initial implementation will inform necessary adjustments for subsequent campaigns in the latter half of 2016 The advertising activities will encompass print media, LCD displays in buildings, and electronic word-of-mouth (E-WOM) through emails and Facebook, all managed by the Marketing and Communication team.
Department of VIB This team will assign the tasks for each team member to ensure the success and effectiveness of the four works during the two quarters.
The advertising campaign will begin with the staff contacting editorial offices of selected newspapers to obtain detailed quotations, which will be signed off by the Leaders for a two-quarter contract Next, the team will identify at least three advertising agents for LCD displays to compare prices and select the most cost-effective supplier High-traffic buildings in Ho Chi Minh City, such as Centec Tower and Sai Gon Trade Center, will be targeted for advertising placements Online advertising will focus on email and Facebook to engage customers, with the Customer Care Service Department collaborating with the Marketing Communication team to collect email addresses from current and prospective clients These emails will be integrated into VIB's customer database for future communication strategies Additionally, a Facebook agency will be hired to promote VIB's fanpage to targeted customers, with a budget of VND 10 million aimed at generating approximately 5,000 engaged views, thereby increasing visibility among potential future customers.
To effectively set up the four advertising channels, VIB must prioritize the creation of engaging and diverse content that evolves regularly Staff members should develop comprehensive materials that can be deployed simultaneously across all platforms, ensuring that at least one new program is introduced each month Insights gathered from in-depth interviews have led to innovative advertising strategies that can be implemented to attract new customers Here are three practical examples of advertising activities that VIB can adopt to enhance customer engagement.
The VIB promotional program offers exclusive gifts to the first one hundred customers whose names start with the letters V, I, or B This initiative targets individuals with names such as Vu, Van, Vi, Viet, Isaac, Iris, Binh, Bich, and Bao, providing them with special benefits like free money transfer services, new MasterCard openings, and delightful gifts including books, handbooks, and phone cases This appealing offer aims to attract both Vietnamese and international customers, encouraging them to participate and share the opportunity widely.
VIB is launching a special birthday program that offers gifts to customers who purchase any products during a marketing campaign With young people increasingly interested in horoscopes, as highlighted by Psychologies Magazine, VIB aims to tap into this trend Research by Dr Margaret Hamilton reveals that 70% of horoscope content is positive, making it appealing to readers Each of the twelve horoscopes corresponds to specific birth dates, allowing VIB to tailor its campaign effectively For instance, customers born under the Leo sign (July 23 to August 22) will receive a valuable gift—a handbook featuring the VIB logo and their horoscope symbol—when they shop at VIB This initiative targets young consumers' interests and personal connections to their birthdays, enhancing engagement and attracting VIB's target audience.
VIB is launching a customer feedback program aimed at enhancing product quality by gathering insights from current customers with relevant experiences Participants can submit suggestions for improvements, with the top thirty opinions rewarded with valuable gifts, including a complimentary master card package for a friend or relative This initiative not only seeks to refine VIB's offerings based on customer expectations but also provides an opportunity to introduce VIB products to potential new customers through referrals, thereby expanding its customer network.
The budget allocated for each program is VND 30 million By implementing four similar programs across four quarters in a year, the total advertising cost will amount to approximately VND 7.33 billion, remaining within the estimated budget.
To maximize outreach, VIB should disseminate its advertising content across various channels, including newspapers, magazines, LCD screens, email, and Facebook These platforms have been identified as the most effective means to engage with VIB's target customers based on thorough analysis.
Conclusion
Advertising is a critical concern for corporations, as it plays a vital role in launching products and attracting customers to increase revenue Current research indicates that VIB faces challenges in its advertising activities, which need to be addressed to enhance revenue growth By implementing the clearly defined and feasible solutions identified in this study, VIB can significantly boost its revenue potential Each proposed solution has its own set of advantages and disadvantages; however, the key lies in fostering creativity during implementation to maximize strengths and minimize weaknesses The author is confident that, based on the in-depth analysis conducted, VIB is poised for substantial revenue growth in the future.
Supporting Information
Research methodology
Two qualitative research studies were conducted to identify the issues faced by VIB and explore potential solutions, utilizing in-depth interviews as the primary technique The first study took place in Ho Chi Minh City, yielding valuable insights into the challenges and opportunities for improvement.
The study involves interviews with ten customers, consisting of five current VIB clients who will discuss their experiences with VIB products, and five customers from other banks who will provide insights on VIB's advertising efforts.
- Age of interviewees: The age of interviewees is from twenty to thirty years old because they are young people and office staffs who are the target customers of VIB.
- Place: University of Foreign Trade and D&D Company in Ho Chi Minh City.
This qualitative research aims to investigate the underlying issues faced by VIB by gathering insights on key factors influencing revenue, such as advertising efforts, product innovation, product quality, and the capabilities of VIB's staff.
- Report of the first qualitative research:
A survey conducted with five current customers of VIB revealed several insights about their perceptions of the bank Firstly, respondents were unaware of VIB's current advertising programs, logo, and main colors They noted a lack of innovation in VIB's products compared to other banks, describing the quality of VIB's offerings as average—neither particularly good nor bad However, customers expressed satisfaction with the attitude of VIB's staff and the quality of customer care service, highlighting the friendliness and enthusiasm of the employees Ultimately, when asked to recommend a bank to relatives, they preferred established names like Vietcombank, Sacombank, and Agribank, which are more familiar to the general public.
A survey of five customers from different banks revealed that none were aware of VIB's current advertising activities They indicated that their interest in bank advertisements is primarily driven by the relevance of the programs to their immediate needs Consequently, advertising initiatives from other banks significantly influence their purchasing decisions.
The second qualitative research was conducted with the following information:
In a recent survey involving five customers from various banks, including VIB, participants shared their insights on the key factors that capture their interest in advertising programs The feedback highlights that customers from all banks can provide valuable perspectives on what makes advertising effective and engaging.
- Age of interviewees: The age of interviewees is from twenty to thirty years old because they are young people and office staffs who are the target customers of VIB.
- Place: at the living places of interviewees in Ho Chi Minh City.
This qualitative research aims to identify the key factors in advertising and its channels that capture customer interest By engaging customers in discussions about the elements of advertising programs that influence their attention, the study seeks to understand how these factors ultimately affect their purchasing decisions.
- Report of the second qualitative research:
In a recent interview, customers expressed a strong interest in advertising programs that feature engaging and meaningful content, along with useful mini-gifts such as vouchers, stationery, and special banking benefits They recommended that VIB incorporate these elements into their advertising efforts Additionally, interviewees highlighted their preferred channels for banking information, predominantly online platforms like Facebook and email, while noting that they seldom engage with television advertisements.
In this report, secondary data from reliable sources in below table have been used to support identifying problem of VIB and finding solutions.
Table 7 List of sources of secondary data
No Sources of secondary data Description
1 Comscore Vietnam Global media measurement and analytics company
2 Direct Market Association National trade organizations that seek to advance all forms of direct marketing
4 Kantar Media Vietnam Research, data and insight company
Dedicated to educating professionals in the areas of Digital Media and Internet Marketing to promote career growth in the Digital Media global job market.
6 Nielsen Holdings Global measurement company with leading market in marketing and consumer information, television, online intelligence and mobile measurement
The women’s magazine that seeks to enrich emotional life by gathering the most compelling thinking and translating it into personally insight and guidance.
8 Vina Research A Vietnamese online research company
Result of the first qualitative research
6.2.1Interview five current customers of VIB in the first in-depth interview Table 8.The answers of current customers of VIB
No Name Ms Ngoc Ms
Ms Vy Ms Ngoc Mr Hien
1 Do you remember the logo or main colors of VIB?
“Yes, I do They are blue and orange”
“No, I do not remember exactly the logo and main colors of VIB”
“They are yellow and blue”
“No, I do not remember exactly the logo and main colors of VIB”
2 Do you know about the last and present advertising programs of
“I also remember one recent advertising program of VIB but I do not remember exactly”
“No, I do not remember and know about the advertising programs of VIB because it is not advertised widespread”
3 Do you see the innovation in
“I feel products of VIB are so normal and I also do not see any innovation in VIB products in compare with other banks”
4 How do you feel about quality of VIB?
“I feel quality of VIB products is normal, not bad but also not very good”
5 Were you satisfied with attitude of VIB staffs?
“I am satisfied with attitude of VIB staffs When communicating via phone, they are very friendly, support and willing to solve my confuses”
6 Do you introduce VIB for your relatives?
“No, I will introduce another bank”
“At present I am not sure about that”
“No, I think I will introduce other banks like Vietcombank, Sacombank,
Agribank because their brand names are familiar with many people”
6.2.2Interview five customers of other banks in the first in-depth interview
Besides five current customers of VIB, author also interviewed five customers of other banks to investigate their knowledge about advertising program of VIB
Place: 102 AB Cong Quynh Street, District 1, HCMC
Type of interview: In-depth interview
In this interview, Nhat Linh, an MBA student at ISB Institute of University of Economy, seeks insights on advertising programs as part of their thesis focused on enhancing the effectiveness of advertising activities for Vietnam International Bank (VIB).
Please spend a little bit of your time for sharing your opinions to this topic Firstly, tell me your name and current job?
Ms Huyen: My name La Dieu Huyen and I am a Sales Executive.
Interviewer: At present, do you use products of any bank?
Ms Huyen: I am using product of Vietcombank
Interviewer: Ok You are customers of Vietcombank but now I would like to ask you something about another bank Do you know some advertising activities of VIB in recent times?
Ms Huyen: I do not know about it.
Interviewer: In case of seeing advertising programs of VIB in somewhere, do you pay some attention to it?
Ms Huyen typically does not focus heavily on banking; she mainly seeks to expand her knowledge about specific banks When she has a need for certain products or services, she pays closer attention to relevant advertising programs from those banks and considers using their offerings.
The interviewer highlights that the key factors influencing attention to a bank's advertising program include the quality of the content and its relevance to the individual's current needs.
To effectively attract customers, advertising content must be engaging and appealing Additionally, it is essential to align the promotional message with the current demand for the product being advertised, prompting potential customers to consider trying it.
Interviewer: So, the advertising programs also really affect your purchasing decision on condition of including the two above factors, right?
Ms Huyen: That is right.
Interviewer: Thank you for your sharing I will use your opinions in my thesis
Place: 102 AB Cong Quynh Street, District 1, HCMC
Type of interview: In-depth interview
In this interview, Nhat Linh, an MBA student at ISB Institute of University of Economy, discusses his thesis focused on improving the effectiveness of advertising strategies for Vietnam International Bank (VIB) He aims to gather insights on the bank's advertising programs to enhance their overall impact.
Please spend a little bit of your time for sharing your opinions to this topic Firstly, tell me your name and current job?
Mr Hung: My name is Hung and I am working for Mobifone Company.
Interviewer: At present, do you use products of any bank?
Mr Hung: I am using product of Vietcombank.
Interviewer: Ok You are customers of Vietcombank but now I would like to ask you something about another bank Do you know some advertising activities of VIB in recent times?
Mr Hung: I do not know about it.
Interviewer: In case of seeing advertising programs of VIB in somewhere, do you pay some attention to it?
Mr Hung actively monitors banking programs as he prefers using banking cards for shopping, avoiding the need to carry cash His habit of relying on cards makes him attentive to various offerings from banks.
Interviewer: You used products of many banks So why do you want to continue studying about other banks?
Mr Hung emphasizes the importance of product convenience and, despite being a customer of certain banks, he actively researches and compares the products and services of other banks to ensure he selects the best benefits for himself.
Interviewer: So, the advertising programs of other banks also really affect your purchasing decision, right?
Mr Hung emphasizes the importance of evaluating advertising programs from various banks and engaging with their marketing staff He dedicates time to research and compare different banking options before making a final purchasing decision.
Interviewer: So, the advertising programs of other banks really make you have purchasing decision to change into a different bank if necessary, right?
Mr Hung: Yes, that is right.
Interviewer: Thank you for your sharing I will use your opinions in my thesis
Place: 102 AB Cong Quynh Street, District 1, HCMC
Type of interview: In-depth interview
Nhat Linh, an MBA student at the ISB Institute of University of Economy, is currently conducting research for a thesis focused on improving the effectiveness of advertising strategies for Vietnam International Bank (VIB) In this interview, Nhat Linh aims to gather insights related to the bank's advertising programs.
Please spend a little bit of your time for sharing your opinions to this topic Firstly, tell me your name and current job?
Mr Phat: My name is Phat and I am working for a Construction and Engineering company.
Interviewer: At present, do you use products of any bank?
Mr Phat: I am using product of HD Bank, BIDV, Techcombank, Agribank, Vietcombank.
Interviewer: When you were customer of a certain bank, do you often pay attention on advertising programs of other banks?
Mr Phat: I also pay attention and have comparisons between them but it is not very often At present, I have banking cards of HD Bank, BIDV, Techcombank, Agribank, Vietcombank and
I just often pay attention on advertising programs of these banks, not other bank.
Recently, VIB has implemented several advertising initiatives to enhance its brand visibility and attract new customers Their campaigns focus on innovative banking solutions and customer-centric services, showcasing the bank's commitment to meeting the diverse needs of its clientele.
Mr Phat: I do not know about it.
Interviewer: In case of seeing advertising programs of VIB in somewhere, do you pay some attention on it?
Mr Phat: It depends If on duration of advertisings, I have demand of products that are advertising, so I will pay attention on them.
Interviewer: So, the advertising programs of other banks also really affect your purchasing decision, right?
Mr Phat acknowledged that advertising programs from other banks significantly influence his purchasing decisions, especially when he has a need for the advertised products, prompting him to pay closer attention to those promotions.
Interviewer: When paying attention on a certain advertising program of a bank, what do you often do?
Mr Phat emphasizes the importance of thorough research when evaluating advertising programs from various banks He takes the time to analyze marketing efforts from different institutions and compares their offerings online, ultimately leading to an informed decision in his banking choices.
Interviewer: Thank you for your sharing I will use your opinions in my thesis
Place: 102 AB Cong Quynh Street, District 1, HCMC
Type of interview: In-depth interview
Nhat Linh, an MBA student at the ISB Institute of University of Economy, is currently working on a thesis focused on improving advertising effectiveness for Vietnam International Bank (VIB) In this interview, Nhat Linh seeks insights related to the bank's advertising programs.
Please spend a little bit of your time for sharing your opinions to this topic Firstly, tell me your name and current job?
Ms Tien: My name is Tien and I am Human Resources Staff for a Construction and Engineering company.
Interviewer: At present, do you use products of any bank?
Ms Tien: I am using product of HD Bank, Agribank.
Interviewer: When you were customer of a certain bank, do you often pay attention on advertising programs of other banks?
Ms Tien: No, I do not often pay much attention on them.
Interviewer: Why do not you pay attention on them?
Ms Tien focuses solely on using bank services for receiving payments from her company and transferring money to her family, showing little interest in other banking products or services.
Interviewer: Do you know some adverting programs of VIB in recent times?
Ms Tien: I know VIB, but I don’t know its advertising programs As I said, I do not care about this.
The interviewer questions whether the individual is interested in bank programs, emphasizing that their primary focus is on transfer services They inquire if advertising specifically related to transfer services would capture the individual's attention.
Ms Tien: Yes, I do If a bank advertises programs regarding to transferring services at the time
I am having demand, I also feel interest in them.
Interviewer: So, the advertising programs of other banks also really affect your purchasing decision but they should be appeared at your right time when having demand, right?