Bui duong 4168-ap1

ADVERTISING AND PROMOTION _ ASSIGNMENT 1
A.INTRODUCTION

Marketing communication plays significant role in achieving overall marketing
success. People who work in marketing and promotions industry cannot perform well without
clearly understand about it. Besides, clear understanding of advertising-one important part of
the marketing communication can not be ignored. Two main parts of this report are used to
make these points more clearly.
Part one will cover the understanding the scope of marketing communication. Firstly, I
will explain the communication process that applies to advertising and promotion. Then
different parties involved in advertising and promotions industry also are interpreted clearly
through their roles and structures as well as how those parties corporate to each other to have
appreciated campaign. Next, I will assess how promotion is regulated and examine current
trends in advertising and promotion, including the impact of ICT.
In the second part, the understanding the role and importance of advertising is showed
through the explanation of the role of advertising in an integrated promotional strategy for a
business or product as well as the creative aspects of advertising. Besides, branding and how
it is used to strengthen a business or product is also explained. Finally, I will examine ways of
working with advertising agencies.

B.CONTENT
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Bui thi Thuy Duong-4168 Page

I. UNDERSTAND THE SCOPE OF MARKETING COMMUNICATION
1.1. Explain the communication process that applies to advertising and promotion
Marketing communication plays an important role in the influence to customers’ buying
behavior of one business organization and then it will affect its overall marketing success. In
order to understand the communication process, communication process of Schramm 1995 is
used.

Sender Encoding Message Decoding Receiver

Media

Noise

Feedback Response

Figure 1: Communication process of Schramm 1995
(Source: “Marketing and Sales strategy”, BTEC HND, 2004)
The marketing communication has four elements: Sender, Receiver, message and
communication channel. In this process, the Sender (or the communicator/the source) send
the message and the Receiver (or the audience/the destination) is the one who receives that
message. The message moves from Sender to Receiver through the communication
channels which are called Media. It is important for the senders to understand clearly about
the purpose of the message before they encode the message through transmitting its meanings
into symbolic forms such as words, sounds, signs, etc. In next step- decoding, the receiver
will convert these symbolic forms into a form that makes sense to him. The advertising is
success only when the message is decoded by the receiver or in other words, the receiver has
to understand the message. Once the message is decoded, receiver will react to it through their
responses. They also can show their respond through feedbacks. It is successful

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advertisement if receiver can decode the message correctly, then they will give the response
and feedback to the sender. However, the receiver may have misunderstood or may not
receive the message because of failing in decoding process or even if the encoding process is
not successfully.
In both encoding and decoding process, the message is transformed can be affected by
other factors which are called “Noise”- which can be defined as all factors which prevent the
decoding of message by the receiver in the way intended by sender. This can result in
inaccurate interpretation of meaning. These factors can be languages, economic, social-
cultural, legal and regulatory conditions and competition. Therefore, in order to communicate
effectively, the sender not only have to have a clear understand of the purpose of the message
but also have to understand clearly about the audience to be reached as well as how this
audience will interpret and respond to the message. If they are not, the communication
process will be failed. Besides, the sender also has to determine the most effective
communication media through which to reach the audience and then use up it. In addition, to
find out the receiver’s response to the message, effective feedback channels should be
established.

1.2. Explain the organization of the advertising and promotions industry
Advertising and promotions industry has a relatively complex structure. There are
thousands of company are involved in this industry. However, they are divided into four
principle parties: Advertising agencies, client companies Advertisers, media supplier and
suppliers of promotional materials. Each party has its own roles and between them, there are
close relationships. Structure of communications industry is shown in the following figure:

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Figure 2: Structure of communications industry
(Source: “Marketing and Sales strategy”, BTEC HND, 2004)
a. Advertising agencies: They are any organization or individual distributing an
advertising product to consumers. The main activities of advertising agencies consist of
planning advertising and promotional campaigns; scheduling and buying of media; buying
and integration of other promotional material. Therefore, the advertising agency will help
advertisers to select suitable media channels and then contact with them to buy the media.
They also calculate and purchase other promotional materials with are necessary for the
advertising and promotional campaign. Beside that, advertising agencies has responsibility for
designing creative components. This is very important role, in order to differentiate from the
competitors, attract customer and persuade the targeted groups to buy products. In addition,
advertising agencies also have responsibility for the implementation of the campaigns and for
the monitoring and evaluation of the results as well as the administration and accountancy for
the process. It means that they will prepare the time scale, calculate the budget and monitor
them during the campaign. From the result of the whole process, they will evaluate whether
this campaign is successful or not and how effective the money and other resources are used
for the campaign.
Advertiser select and hire an advertise agency to work for their advertising and
promotional campaign. Once an advertising agency is delegated all the campaign, this agency
has right to contract with media suppliers to advertise for their client- advertiser- through
these media channels. The agencies earned money through commission on media space
purchased for their clients. The posters, brochures, flyers can be prepared by the advertising
agency themselves. However, if this agency can not prepare them or if they want to save time,
they will hire suppliers of other promotional materials to prepare for them.
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Currently, there are more than 3000 marketing communication agencies in Vietnam
market. This brings a numerous of choice for any company who want to advertise for its
product, service or its own company. The number of foreign advertising in Vietnam is very
small; however, they hold mostly proportion of the market share. Some famous ones are:
JWT, DDB, Leo Burnett, Ogilvy, Saatchi, Daiko, BatesAsia, Grey, etc. Besides, some famous
Vietnamese Companies are Golden Communication group, LOWE Vietnam, Y&R Vietnam,
and so on. Choosing suitable agencies is very important, and it affect directly to the
effectiveness of the work and the budget of the client.
There are many types of advertising agencies:
• Full-service agency (or one-stop shop)
• Creative hot shops
• Media independents
• In-house
• Marketing agency
• À la carte
Client can choose full-service agency- which one provides a complete advertising
services: planning, creating, production, placing and media planning and buying. The full
service also may also provide research services (market research, consumer research), other
communication services such as direct marketing, public relations or sales promotion. In other
hand, different from full service agency, “à la carte” agency allows greater flexibility when
client can choose different providers available o share out their communication tasks. In some
cases, the combination of a “Creative hot shops” and “Media independent” can be a great
idea. While “Creative hot shops” specialize in creative ideas and solutions; “Media
independents” specialize in planning and buying media. In conclusion, there are many choices
for advertiser to select suitable agencies for them. The way to work with each type of agency
is different from others. Therefore, it is necessary for the advertiser to understand clearly
about characteristic of the chosen types to achieve business objectives and marketing
communications strategies.
b.Client companies Advertisers: They are known as “advertised”. They are the party
who has demand on advertising and promoting of their products, services and brand. They can
build the advertising and promotion plan themselves through using the employees within the
company or hire advertising agency do it for them. Therefore, their role is providing the
original need for the campaign; Selecting and briefing the agency. When the agency is hired,
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the client has to show and explain their needs, wants and requirements to the agency. The
success of agency’s work partly depends on how detail the requirement is. After that, they
enjoy the discussion to build campaign plans and have responsibility for agreement with the
plan. If the client finds something they are not satisfied in the campaign plan, they can require
the agency change or improve it in order to fit with their purpose and requirements. Besides,
clients play an important role in integrating the promotional planning into marketing planning.
During the campaign, they have to evaluate and control this campaign and financing the
whole process. The purpose of this is to ensure the quality and effectiveness as well as the
budget of the campaign.
c. Media suppliers: Media is fast and useful tool for advertising and it is also the
channel to make benefit for both media suppliers and their clients. The media suppliers can
earn money from their media supply. In other side, their clients’ products and brand are
advertised wider through media channels. Today, when one business organization wants to
find one effective media channel for advertising, they have a variety of choices. They can
choose one or some of the followings: commercial television companies, commercial radio
companies, newspaper and magazine owners, poster companies, etc. Each different media
channel has its own advantages and its limitation. Therefore, it is necessary for the advertising
agency to calculate and choose suitable media suppliers for client’s campaign as well as how
use these media channels effectively. The successful advertising campaign not only bring
benefits for their clients, credit for advertising agency and revenue for the media suppliers,
but also make this media channel become more attractive. Therefore, media supplier also
wants quality and interesting advertisements are broadcasted through their channel. For
example, comparing with the past, “Hoa Hoc Tro”- a magazine for Vietnamese student only
contained stories and interviews; now this magazine becomes much more attractive. The
reason is that it has advertisement for fashion shops, mostly are shops for teenage- the target
customer of “Hoa Hoc Tro”. Therefore, Hoa Hoc Tro’ s viewers always can up date new
fashion trend. That makes this magazine become more attractive. In conclusion, a successful
advertisement brings benefits for both advertisers and media suppliers.
d.Suppliers of the other promotional materials: They are the partiers who carry out
additional activities for advertising campaign. They are printers, promotional gifts suppliers,
exhibition organizations, co-coordinators of corporate hospitality and so on. Each party has
each own role. For example, the exhibition organizer has responsibility for informing place,
information and price of product exhibition for the company. However, all activities of these

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suppliers contribute for the advertising and promotional purpose of the company and the flow
of work is carried out under the contract between the company and these suppliers.
1.3. Assess how promotion is regulated in Vietnam
It is necessary for any business organization and individual understand clearly about the
law in which market they do business. This part will cover the law of Vietnamese
government.
There are many degrees, ordinances or decisions related to advertising and promotion in
Vietnamese law. However, in this topic I only discuss and assess two representative one:
Decree 37/2006/ND-CP and Ordinance 39-2001-PL-UBTVQH10.
Decree 37/2006/ND-CP issued by Vietnamese government: “Detailing the Commercial
Law regarding trade promotion activities” also provides details the implementation of the
Commercial Law regarding a number of trade promotion activities, including sales promotion,
commercial advertising, trade fairs and exhibitions.
Besides, since 1 May 2002, all advertising activities in Vietnam are governed by
Ordinance 39-2001-PL-UBTVQH10 passed by the Standing Committed of the National
Assembly on 16 November 2001. This ordinance is named “Ordinance on Advertising”.
Detailed regulations for implementation of the Ordinance on Advertising were issued by the
Government on 13 March 2003 under Decree 24-2003-ND-CP (“Advertising Decree”) and
became effective as of 18 April 2003.
The main points of these Decree and Ordinance will be covered in order to show how
promotion is regulated in Vietnam.
a. Decree 37/2006/ND-CP
 Sales promotion:
The Decree regulates the principles of Sales promotion, maximum value of goods and
services used and maximum discount rate for promoted goods and services. All trade
promotion activities have to follow these principles. According to this, “Sales promotion
programs must be conducted in a lawful, honest, public and transparent manner and must not
harm legitimate interests of consumers, other traders, organizations and/or individuals.”
(Decree 37/2006/ND-CP, Article 4)
All promotion programs which does not follow the law, dishonest and harm legitimate
interest of other individuals and organizations are not allowed. However, in market, there are
some advertising and promotion programs break this law. For example, in the “ Spring
promotional program” for Enfa Mama- a kind of milk for pregnant women- Coop Mart
Nguyen Kiem supermarket-Ho chi Minh city- told to customer that “Anyone who purchases
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2 Enfa Mama (type 400g) will be gifted one special DVD which teach the way to care babe”.
However, customer does not receive any DVD after purchasing enough amounts. This makes
customer very angry. (According to http://vietbao.vn/Kinh-te/Khuyen-mai-thieu-trung-
thuc/20053024/87/). An other example is the “Tôn vinh hoa hồng” (Nguyen Dinh Chieu, 3
district, Ho Chi Minh) promotion program. The trader gives customer promotional gifts
which has very poor quality. This makes customer loose their belief on the sales promotional
programs. (http://www.sggp.org.vn/thitruongkt/2011/8/266105/)
Two above examples showed that some business organizations in Vietnam still do not follow
the law, still using dishonest information in promotion programs. According to the law, all
breach will be punished. However, it is necessary to have more detailed laws in this issue.
Followings are prohibited in all sales promotion programs:
• Discriminatory treatment of customers participating in the same sales promotion
program.
• Conducting sales promotion while abusing customer’s trust and take advantage
of ignorance or inexperience of customers.
• Using curative medicines for human use in promotion programs.
In addition, Article 4 of this Decree also regulates that “Sales promotion must not be
conducted in a way that creates direct comparisons between one's goods and/or services and
those of other traders, organizations or individuals for the purpose of unfair competition”.
This means that direct comparisons with other brands is not allowed in Vietnam. It is different
point comparing with the advertising and promotion law in American and some European
countries. For example, in American, Pepsi can use Coca-Cola in its advertisement and shows
that Pepsi is better, more delicious than Coca-Cola. However, in Vietnam, this type of
advertising is prohibited.
Further more, this Decree also regulates the responsibility of promoting trader is
securing favorable conditions for prize-winning customers to receive prizes; clearly and
quickly settle for complaints about their sales promotion programs; guaranteeing the quality
of promoted goods and services.
While Article 4 regulates the principles for promotion programs, Article 5 of Decree
37/2006/ND-CP shows the maximum value of goods or services used for sales promotion and
the maximum discount rate for promoted goods or services, both of them must not exceed
50% of this product or service.

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Forms of sales promotion also regulated clearly in this Decree. According to this, when
receiving sample, customers shall not have to make any payment; and the samples given must
be those which traders are selling or going to sell in the market. The trader also has
responsibility to provide customer about the information related to the samples and ensure the
quality of those.
 Commercial advertisement
The Decree regulates the contents and forms of commercial advertisement products.
According to this, the law protects the intellectual property rights in commercial
advertisement activities. Besides, the Decree also protects children through strict laws.
Children are protected through the prohibition to take advantage of children’s ignorance and
inexperience to incorporate in advertisement products. For example, the advertisement which
may abate the confidence in family and society of children or which directly suggest children
to ask their parents or others to purchase advertised product are not allowed in Vietnam.
Further more, Vietnam governments also regulates clearly about commercial advertisement
for goods or services related to healthcare. This will protect customer when ensuring they
have the right information about healthcare products and services.
b. Ordinance 39-2001-PL-UBTVQH10
This Ordinance regulates details of law for Advertising in Vietnam market. The
contents, forms, language of advertisements and preconditions are demonstrated clearly
through this Ordinance. According to this, information that is provided through advertising
must be true, accurate and clear, and must not cause loose and damage to producers, business
persons and consumers. However, there are still some advertisements which break this law.
For example, the advertisement of “Ozon machine” of Thien Minh Ngoc Uy Company. The
company advertises about the special function of its ozon machine to attract customer,
however, this machine does not have this function. (According to http://laodong.com.vn/Tin-
Tuc/Danh-mat-long-tin-cua-khach-hang/44534). When this problem is discovered, the
company is punished and does not allow to continuous using this advertisement.
The Ordinance also pointed out acts which are strictly prohibited in advertising
activities. All advertising discloses State secrets, or which harms national independence and
sovereignty, defense and security or the safety of society; or use national flag, the flag of
Party, the national emblem, and national melody, portraits of leaders or of Vietnamese dong
of, image of traffic notices or signals are all banned. Advertising also does not allow to
contrary to traditions, history, culture, ethics or fine customs of the Vietnamese people are
banned; For example, too sexy and seminude images or violence are not suitable with
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Vietnamese culture and they are not allowed to used in advertising. Further more, the
misleading advertising, advertising for goods and services which the law prohibits to be
traded or advertised, such as heroin and cigarette also are interdicted. It can be said that,
currently, advertising in Vietnam market follow this role rather well.
Last but not least, the Ordinance showed the rights and obligations of organizations and
individuals who conduct advertising such as advertiser, media supplier, advertising agency,
etc. and the contract procedure. This provides a clear guide for involved parties and to ensure
all parties will follow the law.
In conclusion, the law still has some limitation such as complicated procedures, the
police for punishment are not strict enough and the management of advertising place is still
not good. Some business individuals and organizations still break the law. However, through
these Degree and Ordinance, the efficiency of State administration towards advertising and
promotion is improved; the lawful rights and interest of consumers, organizations and
individuals on advertising activities are protected. Further more, they also contribute to the
development of Vietnamese socio-economic and bring a fair environment for advertising and
promotion activities to grow.

1.4. Examine current trends in advertising and promotion, including the
impact of Information communication technology (ICT) in Vietnam
Nowadays, the living standard of people is much improved along with the more using of
machine with high tech in their life and work, such as computer, laptop, and digital and
interactive TV and so on. It is remarkable that the development in telecommunications,
electronics and computing bring great opportunities for marketing communication. Applying
technological development in advertising and promotion becomes the trend in over the whole
word as well as in Vietnam market.
• Advertising through television :
Although advertising on television is very expensive, many organizations still choose
television as the main channel to advertise their products or service. In Vietnam, almost
families have one or more televisions, so the television is the fast and easy way to
communicate with a large audience. One trend in advertising on television today is hiring
stars to appear in the advertisement. It helps to raise the effectiveness of that advertisement
because that make audiences feel fashionable and improve the guaranteed of products, so may
lead to the increase in sales volume of products or service which are advertised. The
frequency of advertisement of any brand on the television can affect the purchase-decision of
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customer. If one product has never appeared on the television, customer may not know it and
they may do not believe on the quality of the product, and then they do not want to buy this
product. Comparing with one brand is appeared frequently on the television, every one has
known this brand, and of course customer prefers the well-known one to the unknown
product.
When we mention to advertising through television, we can not ignore the innovation of
digital TV and the impact of this development. Digital TV brings more number of services
which can be delivered to audiences; brings viewers more choices of how and when they
watch and so on. Therefore, this also brings a greater opportunity for advertising industry.
Advertisements can appear in many different TV channels at different time, with the better
quality of sounds and images.
Besides, some recent years, television channel also provide “Home-shopping”. There
are some special channels on television which not only advertise for products but also provide
hot-line for views to ask further information, to order and purchase product without going out.
In Vietnam, we can mention to “TV Shopping”, “Saigon TV home-shopping”, “SCTV5-
Shopping TV”, “SCTV10-Home Shopping” as some famous TV channels which are rather
successful in this field.
In conclusion, television is one of effective choice for any company to inform, remind,
and persuade customers to buy its product.
• Internet + website: Nowadays, access to Internet is easier and cheaper comparing
with the past and it becomes familiar with a large portion of population. Therefore, Internet is
an easy channel for one company to interact with their customers and advertising through
Internet becomes popular method in some recent years. The company can choose some
websites has large number of viewers to advertise for their products and brand. They also can
use the company its own website for this purpose. Some websites are suitable for
advertisement in Vietnam market as vnexpress.net, dantri.com, 24h, youtube.com, enbac.com,
etc.
Significantly, some recent years, customers are attracted by the discounted price which
they can receive if they access on and order products and services in some websites such as
http://muachung.vn/ , http://www.nhommua.com/ , http://phagia.com.vn/ . This is an effective
way to increase the sale volume and promote for the product and brand to the large amount of
customers. Some company has great sales promotion for the members of these websites,
sometimes up to 50%-70% the price of product or service.

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It can be said that a great opportunity to develop relationships is provided through ICT:
business-to-business and business-to-consumer. The development of ICT allows a quickly
and mass way to communicate to large audience. Now people can access on internet every
time and everywhere because of the innovation of USB 3G and wifi. Besides, computer no
longer is the only machine which allows us to access internet. Laptop, mac-book and mobile
are already for internet access and multi-media. This make advertising through internet seems
to be very potential channel. ICT brings benefits not only for advertiser and advertising
agencies but also for the audiences. They can get the information and can react it as well as
can join some promotional campaigns very quickly.
• Social networks: Social networks are more and more popular and this bring a
numerous of benefits for online advertisers. An online community is built from a social
network which collect many people who share interest, share their ideas and thinking, and
even and their activities. The latest generation of social networks we can mention to as
YouTube, MySpace, Facebook and Twitter. Since late 2009, Facebook become a
phenomenon in Vietnam and through Facebook, information is shared widely. Therefore,
many business organizations, especially small and medium companies, have used Facebook
as one effective channel to advertise and promote for themselves. Through the widely
connection of Facebook, the up-dated information of the company, of its promotional
activities is fast communicated to viewers. Besides, Youtube also is a social network which
can advertise and promote for one product widely and fast. The videos of advertisements are
public and viewers can enjoy them every time and every where through this social network. In
conclusion, the development of social networks brings better communication and quicker
information sharing and then leads to the significant development of online advertisers.
Certainly, social networks still continuous contribute great benefits to advertising and
promotion.
• Outdoor advertising
Outdoor advertising is rather popular today and this type is forecasted to continue to
develop in the future. Outdoor advertising focused on marketing to customers when they are
“on the go” in public places, in transit, waiting or in specific commercial locations. The main
types of outdoor advertising are advertisement on billboards, street furniture, transit
advertising, and alternative advertising and so on. In big cities of Vietnam such as Ha Noi and
Ho Chi Minh city, especially in highways or main streets and main roads, advertising in
billboard is more and more popular. The street furniture is the advertising which placed in bus
shelters, mall kiosks and so on. In addition, in Vietnam, it is popular to advertise on buses.
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The alternative advertising includes advertisement in stadiums, rest area, etc. Everyday people
go out; those advertisements naturally inform and remind customers about companies’
products or services In general, outdoor media is quite effective. It can attract customer by the
short message and repetition. This channel should be used up, however, the government also
need to have the effective police to manage this channel.

II. UNDERSTAND THE ROLE AND IMPORTANTCE OF ADVERTISING

In this part, the understanding the role and importance of advertising will be interpreted
through the explanation of the role of advertising and the creative aspects of advertising.
Besides, branding and how it is used to strengthen a business or product is also explained.
Finally, I will examine ways of working with advertising agencies. We will look at the case of
GTEL Mobile with brand name “Beeline VN” to make this subject more clearly.
Firstly, the overview about “Beeline VN” will be showed:
OVERVIEW OF BEELINE VN

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The Vietnamese telecom market is now considered to be fiercely competitive with a
high penetration level and participation of many new network operators. However, it is still a
potential market to invest in. The leading integrated telecommunications operator in Eastern
Europe & Central Asia –VimpelCom also wants to invest in this market. In July 2009,
VimpelCom co-operated with a Vietnamese telecommunication company, GTel
Telecommunications to open a new mobile phone network in Vietnam, named Beeline
Vietnam. GTEL Mobile use “Beeline VN” as the brand-name to launch in the Vietnamese
Telecommunications market. The company is not only a business enterprise purely but also
the international combination aiming to bring Vietnamese peoples a new trend and style in
telecommunications industry.
Currently, 3 great telecom suppliers -Viettel, Mobifone and Vinaphone have nearly the
whole share market and advantageous factors to develop a mobile network such as
infrastructure, rate and so on are thoroughly exploited by other mobile networks. In addition,
Beeline is still a new comer in Vietnam market. Therefore, the company needs to invest much
more in advertising and promotion to attract more customers. However, it is important for the
company to choose the suitable promotion tools to have the best result. The below
explanation will focus on advertising and the comparison with other tools of the promotional
mix in order to have the best choice in this situation.
2.1. Explain the role of advertising in an integrated promotional strategy for a
business or product
The tools of the marketing communication consist of advertising, sales promotion,
public relations, personal selling and direct marketing. Each tool has its own characteristics.
Among all above tools, advertising can be considered as indispensable tool in order to create
awareness, motivation, and trial and provide information. It is the way to get the message to
the desired audience. An effective advertising can lead to increased sale volume and then
increased market share for the advertisers, as well as can bring higher profitability. We can
look at the case of Beeline VN to understand more clearly about the role of advertising in an
integrated promotional strategy for a business or product.
a. The key functions of advertising:
The first important function of advertising is “Inform”. Advertising makes customer
aware of new products, informs them about specific brands. Further more, advertising is used
as a tool to educate public about particular product features and benefits. From this, customer
can find solution for their demand. 1 month before launching in Vietnam market, Beeline VN
had had very attractive advertisement in television and internet. The advertisement did not
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show the product or service of Beeline, but just focused on pointing that “There is something
very interesting in next some days”. This makes people feel curious: they wanted to know
what is coming and they had to wait to discover it. Along with the message “Coming soon” is
the image and colour of this brand: Lovely chicken-black and yellow. The frequency
apparition of the advertisement brings awareness to customer. Then, the next part of Beeline’s
advertisement is introduced, not only through television but also through other media
channels. This show Beeline VN’s pack with fully features: logo, symbol, price, bonus, etc.
The public now are informed about “Beeline VN” brand, and they are also educated that:
Beeline is a mobile network, with cheap price; attractive mobile services and a lot of
preferential policies for customer.
After informing people, advertising persuade them. Beautiful advertisements of Beeline
VN with attractive information about benefits and functions of its product and service are
used to persuade customers to try this mobile network. Especially, advertising reach target
audiences of Beeline VN- the teenage and the youth. The demand for “cheap mobile network”
is created. With cheap price and a lot of bonus, surely it is attractive characteristic to persuade
target group to use this mobile network. Beside, advertising also persuade other groups to try
it. Therefore, advertising can help increase uses of a product and reduce sales fluctuations.
A successful advertising also can offset competitors’ advertising and so it is used as a
tool to compete. However, if advertising is not frequent, customer can forget this brand.
Therefore, advertising also is used to remind and reinforce customer, create top-of-mind
awareness.
Besides, advertising also add value. The competition between different companies who
offer the same types of product or service requires the innovation, both in design and
functions. This also leads to the requirement for improving quality and can alter consumer
perception. Currently, Beeline VN focuses on the youth and teenage- two groups often are
attracted by new things and by new trend. Therefore, the company invests a lot of design
lovely images to present for the brand in its advertising and promotional activities.
Last but not least, advertising also assists other effort such as: Delivering sales
promotions assist sales representatives, pre-sell products, provide salespeople with valuable
introduction.
b. The tools of marketing communication that Beeline has focused on:
Currently, Beeline VN has focused on advertising, sales promotion and public
relation. Beeline VN uses different ways to advertise and promote their products such as
advertising on T.V, magazines, website, etc. This will help inform customer about the
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products and services of Beeline, persuading customer to use services of VN Beeline and so
on. Furthermore, Beeline VN use company image in procedure present for customer, or for its
promotion staff. At the special time, we can see many beautiful young people wear dress and
rice motor which contain Beeline logo and image in almost main road in big cities. It makes
customer really attractive and makes Beeline VN become more familiar with mobile
customer.

Picture 1: Using promotion girls to advertise for Beeline VN
Beeline VN continuously has sales promotion activities to increase sale and to
competitive with other mobile network suppliers. Besides cheap price for using, Beeline
frequently gives their customer bonus; double money in customer’s account; free calling, etc.
The latest sale promotion activity of Beeline VN is “Lucky Tuesday” or “Every Tuesday,
100% bonus” and “Win a full package to Old Trafford”. This brings opportunity for Beeline
VN user to watch very famous football match. Especially, Beeline VN has a lot of lovely gifts
for its loyal and lucky customers, such as pens, T-shirts, hats, bags, balls, ect. All of them are
very lovely and contained images and logos, colours of Beeline VN. These gifts can make
customer more satisfy with the mobile network they chosen; increase awareness and interest
amongst target audiences, as well as indirectly advertise for Beeline VN brand.

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Picture 2: Free gifts-one of promotion activities of Beeline (Source
http://manutd.beeline.vn/thong-bao/34/qua-tang)

Public relations (PR) are also focused on by Beeline VN. PR can be utilized to
communicate with external public, media and it is also one effective way helps “Beeline VN”
becomes closer with the public. Scholarship Beeline gives for poor students in “Beeline tiep
suc den truong” campaign is an example of its public relations.

Picture 3: Public relation activity of Beeline VN
(Source: http://123.30.50.129/Trangchu/tin_tu_diaphuong/00691c.aspx)
c. Comparing between advertising and other tools of promotion mix:
Beeline VN now still has a small market share, so the company spends a lot for
advertising and sales promotion.
Adverting has disadvantage as the cost is high and it requires a big size of investment
and the level of wastage is also high. Because advertising is expensive, especially advertising
through television, any company who want to choose advertising also has to calculated
carefully the budget and choose the suitable channel and suitable time for their advertisement.
In addition, the ability to deliver a personal message and level of interaction of advertising is
still low, comparing with other tools such as personal selling or direct marketing.
However, while personal selling can not be used to reach a large audience and that
ability of sales promotion, public relations and direct marketing is still at medium level,
adverting is the most effective tools to reach a large audience; gain their awareness and attract
them to come with the company’s products. It is very important characteristic of advertising
that make adverting is always chosen, although whether other tools are use or not.
Advertising helps Beeline VN reach large audiences in a cost-effective way. As I have

17

mentioned in the previous parts, Beeline VN still a new comer in Vietnam market and its
market share is still very small, it is necessary for the company invest more in advertising and
promotion to get higher awareness of public, make “Beeline VN” becomes popular to
everyone. Continuousness of advertising also is necessary to remind and reassure customers.
Other benefits of advertising are effective targeting, low unit cost and reach mass audiences
quickly.
2.2. Explain branding and how it is used to strengthen a business or product in
Vietnam
According to Jobber, 2007 “Branding is the process by which companies distinguish
their offerings from their competition. By developing a distinctive name, packing and design,
a brand is created.”
When “Brand” is mentioned, the followings are concerned:
• Brand
• Brand name
• Brand mark
• Trade mark
• Trade name
• Brand equity
We will use the case of Beeline VN to demonstrate more clearly this aspect. Beeline is
international joint-venture mobile network and it has a strong brand name in the world with
more than 16 years of experience and over 60 million customers in Easter Europe. In 2009,
the brand name “Beeline” was valued at 8.9 billion USD. It not only is one of the 100 costliest
brand names in the world, but also is one of the 10 costliest brand names in the
telecommunications market. In the Vietnam market, Beeline VN is still a new comer.
However, Beeline VN can use up the brand name in international market as a competitive
advantage of its own.

18

Picture 1: Beeline logo and sologan
Firstly, brand name refers strictly to letters, words or groups of words which can be
spoken. When “Beeline” is mentioned, we immediately think of an international joint-venture
mobile network, with cheap price, lovely images and suitable for teenage and the youth. On
other hand, “the brand mark is a design element, such as a symbol (e.g., Nike swoosh ), logo
(e.g., Yahoo! graphic), a character (e.g., Keebler elves) or even a sound (e.g., Intel inside
sound), that provides visual or auditory recognition for the product.” (According to
http://www.knowthis.com/principles-of-marketing-tutorials/product-decisions/brand-names-
and-brand-marks/). Brand image is the first thing comes up in mind when customers think
about one particular company. The brand image should be easy to look back and able to go
deeply in customers mind. The name Beeline comes from “Bee”- one lovely animal which
has the small body with two colours: yellow and black. Therefore, their two main colors of
Beeline logos are black and yellow and the company. Besides, the company has used chick
image and the fish image for BigZero pack and Big& Cool pack. It is very attractive for
customer, especially for the youth and teenage groups- target customers of Beeline VN. In
addition, two colours are also very suitable with the brand name. The brand is formed from
the combination between the brand name and the brand mark, and it becomes the link
between marketing activities of Beeline and the customer’s perception.

Picture 2: Beeline use images of chicken and fish with two coulors-black and
yellow-to present for its two packs.
19

In entire promotional activities, the company image is used up and this make
customer have strong awareness about the company brand. At the special time, we can see
many beautiful young people wear dress and rice motor which contain Beeline logo and
image in almost main road in big cities. It makes customer really attractive and makes brand
of Beeline VN become more familiar with mobile customer.

Picture 3: Black and yellow colour are used on entire marketing and
promotional activities of Beeline to present for the brand.
(Source: http://my.opera.com/beelinekingdom/blog/?startidx=10)
Some years ago, in Vietnam market, Beeline seemed to be an unknown name with many
people. However, through strong marketing and promotional campaigns and the
representational attractive image and coulors, Beeline has already existed in customer’s mind.
This shows that the Beeline- brand equity or the value of this brand has increased. In
different words, Beeline now has higher brand loyalty, name awareness, perceived quality,
etc.
It is said that “Branding build the market shares”, and brand is very important and
powerful tool for any organization to communicate and attachment. It plays very significant
role to differentiate a product or service of one company to others as well as to help their
customer to single out their product above the noise made by competitors. Today the market
is crowed with numerous of products which have similar in terms of benefits and quality, so
this brings difficulty to customer when they have a lot of choices and they do know which
product of which company they should choose. Brand is created to resolve this problem.
Brand names tell the buyer about the quality of the products, alert consumers to products that
might benefit them and it increases shopper efficiency. Moreover, brand also is effective tool
to strengthen a business or product. A strong brand will give customers certain believe in the
quality of its products and services, so they tend to purchase and repurchase these products or
services as well as advice their familiars to use them. Therefore, brand brings its owner a lot

20

of benefits such as price premium opportunities, growth, legal advice, and increased brand
loyalty and so on.
Although in Vietnam market, Beeline VN is still a new comer and it still is not strong
brand. However, Beeline VN can use up the advantages of valuable and famous brand name
in international market as a competitive advantage of its own. In addition, to strengthen its
brand in Vietnam market, the company should invest more in advertising and promotion to
attract more customers, persuade them to use this mobile network in order to get higher
market share. Further more, Beeline VN also needs to improve the quality of its products and
services, invest in innovation to get the best products and services to serve customer.

2.3. Review the creative aspects of advertising for targets audience in Vietnam
Advertising plays an important role in creating the image of product or service in
customer mind. The development of telecommunication, electronics and computing brings the
great opportunity for the development of advertising industry. However, the rapid
development also leads to the harsh competition in this industry. The advertisement of one
company, for one product line, has to be different from the ones of other companies and have
to be better in both form and content. In addition, a numerous of advertisement on different
media channels sometimes makes people feel tired with them. Advertisements appear
everywhere and some advertisements seem similar to others. That is so boring for people who
do not want to see the same type of advertisement day by day. Those are the reasons why
advertising should be creative. It is said that the creative aspects may be the vital element for
the success of advertising as well as the whole campaign.
Advertising needs to inform remind and persuade the target customer. Therefore, to
have an adverting campaign with creative aspects while still ensure all above elements, the
company and advertising agency need to work together to define a series of related
advertisement such as:
• Advertising message
• Advertising theme
• Advertising style
• Graphic design
• Visual aid (pictures, illustrations, cartoon, etc.)
• Type style
• Use of language
21

The company needs to define clear objectives to help agency has a guideline to follow.
The purpose of advertising is to achieve set objectives, so if the set objectives are not
achieved, the advertising is unsuccessful. After the objectives are set, agency identifies
product benefits, develop advertising appeals and execute the message. The purpose of these
activities is creating differentiated advertising, which can inform, remind and persuade the
target customer. For example, the objective of Beeline VN with the advertising campaign of
“Billionaire” pack is to raise awareness of people about one very profitable mobile pack for
customer, persuade them to use this pack and to gain higher market share. The target customer
of Beeline VN in this campaign is the youth and the teenage. Therefore, its advertisements
should send the message “profitable, cheapest mobile pack” to audiences. This message also
persuades audiences to purchase this pack.
The Beeline VN targets to the youth and teenage, so its advertisements should be
colorful. This is why yellow and black colors are chosen in advertisement of Beeline VN. To
be effective, any advertisement has to have a main theme or angle, within which the selling
points can be conveyed. Selling points are the features of products or services which are new
or which differentiate those products or services from competitors. Each selling point and
benefit of product and service will be expressed as a “benefit”. Then, the ones which can most
effectively persuade the customer to buy the product or use service will be selected. They can
be attractive price, good quality, convenience, environment friendly, fashion; beautiful
design, etc. Those benefits will be the company’s selling proposition, or main selling theme.
For example, in case of “Big zero” advertisement of Beeline VN, attractive price is focused
on, while in Vinamilk’s advertisement, good quality and delicious taste is the main key.
After identifying product’s benefits, advertising appeals need to developed and
evaluated. This will help identify the advertising style will be chosen. These appeals may be
profit, health, love and romance, fear, admiration, convenience, fun and pleasure, vanity and
egotism or environmental consciousness. Type of appeal depends on the benefits of products
that the company wants to show, the message they want to send and the target customer they
want to reach. Currently, in Vietnamese advertisement, profit, health, fun and pleasure,
convenience, love and romance are used a lot. For example, “Big Zero” advertisement of
Beeline VN emphasizes on products saves and protects money of customers. In other hand,
the advertisements of cosmetics and perfumes such as IZZI, Romano, and My time are focus
on “Love and romance”. “Fun and pleasure” appeal is used to advertising vacation and beer.
“Fear” such as old age, losing health also used to advertising for health service, beauty service

22

and for medicine and products which good for health. However, in Vietnam, because of the
influence of social-culture, the “shock” advertisement and “sex” appeal is not often used.
The next step is executing message. The advertising message’s purpose is to attract the
attention, hold the attention and persuade the reader to make action. Here, the graphic design,
use of colour and typestyle all make an important contribution to effective advertising. One
good design should have suitability. This means it should be appropriately related to the
message and surroundings. It also has to ensure consistency, tension, continuity and unity.
Therefore, the design should just give one dominant impression, and ideally have one
dominant visual feature. The colour must be impact and interest, emphasis, organization,
mood, and more important, it must able to reflect or reinforce the message.
Further more, visuals are used in advertising because visuals are clearer, more impactful
and memorable than text.
Last but not least, it is important to evaluate campaign results. This will helps marketers
adjust objectives for future campaigns.
2.4. Examine ways of working with advertising agencies to achieve business
objectives and marketing communications strategies
Agencies have earned their money through commission on media space purchased for
their clients. Agencies play an important role throughout the marketing and promotional
campaign and the effectiveness of advertising agency’s work affect directly to the whole
result. Therefore, it is important to choose suitable advertising to help the company carry out
the campaign. There are many types of advertising agencies:
• Full-service agency (or one-stop shop)
• Creative hot shops
• Media independents
• In-house
• Marketing agency
• À la carte
There are many types of advertising agencies, so it is important for the company to
choose suitable agencies to work for them. For example, client can choose full-service
agency- which one provides a complete advertising services: planning, creating, production,
placing and media planning and buying. The full service also may also provide research
services (market research, consumer research), other communication services such as direct
marketing, public relations or sales promotion. In other hand, different from full service
23

agency, “à la carte” agency allows greater flexibility when client can choose different
providers available o share out their communication tasks.
The agency selection process is carried out under the strict requirements and must be
based on following criteria:
• Services offered: Planning, creative, research, integrated, international?
• Agency size: How many clients, is it part of a group?
• Quality of work: Past and present, any creativity or effectiveness awards?
• Relevant experience: In market sector and promotional discipline?
• Competing accounts: Are there any current or potential clashes or conflicts of
interest?
• Cost: What is the likely cost and method of remuneration?
• Location: Is the agency conveniently located for meeting?
• Reputation: Track record, working relationships and success?
(According “Marketing and Sales strategy”, BTEC HND, p.11 & p.12)
The selection of advertising agency is based on these criteria and the certain
requirements of the company. The decision-making process has to begin with an initial search
for suitable agencies candidates. The company seeks information about some potential
advertising agencies and then they base of above criteria to evaluate which ones are the most
suitable choices. Then, credentials presentation is organized and during this presentation,
agencies has opportunity to present their organizational details in order to persuade a potential
client to short-list them. After a short-list of three or four agencies is determined, the “Client
brief” is hold to provide advertising agencies the relevant background information, the
marketing communication objectives, target markets, budget and time considerations, etc.
This step is very important to provide basic information and requirements of clients for
advertising agencies. Then, these agencies will compete with other by showing their creative
ideas and its response to a client’s brief through “the pitch”. The final selection will be taken
carefully, and based on the evaluation of the whole process.
Once one agency is hired, the client has to show and explain their needs, wants and
requirements to the agency. The more detail the requirement is, the better campaign the
agency can design and conduct. It is also very important that the client has to provide all
necessary information for the agency because the process requires agencies to gain detailed
understanding which products, which company they will make advertising for and what kinds
of customer the company want to focus on. After that, both client and agency will enjoy the

24

discussion to build campaign plans and the client will decide whether or not they agree with
that plan. If the client finds something they are not satisfied in the campaign plan, they can
require the agency change or improve it in order to fit with their purpose and requirements.
However, the client should enter the process with open mind. In addition, the agency also
expects their client to have clear idea about what they want to accomplish in their advertising
campaign. The client should show their target and the sales goals they would like to achieve.
Only when the client clearly communicates their goals to the agency, the agency can help
their client to meet these goals. The client will provide a budget for adverting agencies to
carry out the work and bases on this budget and the objectives, the agencies will decide the
media channels with are most suitable and effectiveness in each different periods. Then the
advertising campaign will be implemented. Besides, to ensure the quality and effectiveness as
well as the budget of the campaign, client has to evaluate and control the campaign and
financing the whole process. The agencies also have to join the control and evaluation
process. Solutions or alternative plans should be prepared in case of any significant problem
during the campaign.
In short words, to achieve business objectives and marketing communications strategies,
the relationships between client and advertising agencies must be ensured. Besides, each party
in the promotion industry have to support to each other while still perform well its roles.
RECOMMENDATION FOR BEELINE VN’S CASE
The report has mentioned on Beeline VN case. Therefore, I will give some
recommendation to have Beeline VN has good promotion campaigns. Currently, Beeline VN
can apply some advertising and promotional methods bellows:
• Continue using advertising through television, internet.
• Continue using street advertisements to make customer see Beeline VN’s image
every where, but they should be usually changed and modified to be different.
This method is very effective and does not spend too much money. Beeline VN
should focus on using posters, banners at entertaining place (Vincom plaza,
Parkson Plaze,etc…), advertisement at bus-stop,etc. They also can hire “Big TV”
in streets to show their attractive advertising video.
• Continue give available presents just for Beeline’s customers (such as clothes,
helmets, etc.). Young people always find modern and unique in their choices to
differentiate from others. Thus, if Beeline design special and unique present just
for its customers, it will attract a large amount of young people and can become
a new trend. The colour and image of Beeline VN now is very lovely and
25

attractive. The company can use up its in designing special gifts, makes Beeline
image and colours become more and more familiar to the public.

26

C. CONCLUSION

In conclusion, through two main parts, this report has covered the understanding the
scope of marketing communication and focus on the understanding the role and importance of
advertising. In the first part, the communication process, the advertising and promotions
industry, current trends in advertising and promotion in Vietnam including the impact of ICT
were interpreted. The Vietnamese law related to advertising and promotion also was pointed
out. In the second part, the role of advertising in an integrated promotional strategy, creative
aspects of advertising, branding aspect and how it is used to strengthen a business or product
was also make more clearly through detailed explanation and representative examples. Last
but not least, I also point out the ways of working with advertising agencies to help business
organizations and individuals have the most effective results in their advertising and
promotion campaigns.
The fact the consumer always wants to see exciting, professional and relevant
promotion. The well promoted brand may attract more customers. Therefore, it is necessary
for any business organization to have a good plan with creative aspects in order to get the best
results in advertising and promotion campaign.

27


D.REFERENCE
1. Book sources:
BPP, BTEC HND Program, Marketing and Sales strategy, part A.

2. Internet sources:
• No author, Element of the communication process, [Online], Available at
http://www.mbaknol.com/business-communication/elements-of-the-communication-process/
[Assessed on 20th , October,2011]
• No author, (2008), Role and functions of advertising agencies, [online]. Available
from: http://www.mbaknol.com/marketing-management/role-and-functions-of-advertising-
agencies/ [Assessed on 22nd, October,2011]
• No author, (2011), Working with an advertising agencies [online]. Available
from:http://www.gaebler.com/Advertising-Agencies.htm [Assessed on 22nd, October,2011]
• No author, List of advertising agencies in Vietnam, [Online], Available from
http://www.vietnamtradefair.com/dn/kt_qctk.htm [Assessed on 22nd, October,2011]
• Know this, Brand names and brand marks, [Online]. Available at
http://www.knowthis.com/principles-of-marketing-tutorials/product-decisions/brand-names-
and-brand-marks/). [Assessed on October 29th, 2011]
• No author, Các hiểu biết cơ bản về ngành Quảng cáo. [Online], Available from
http://www.mait.vn/tin-tuc/tin-kinh-te/242-cac-hieu-biet-co-ban-ve-nganh-quang-cao
[Assessed on 22nd, October,2011]
• Nguyen Tu, Limitation in administration of advertising and promotion in Vietnam,
[Online], Available from http://vietbao.vn/Kinh-te/Nhieu-bat-cap-trong-quan-ly-hoat-dong-
quang-cao/30136313/87/ [Assessed on 27nd, October,2011]
• Degree 37/2006/ND-CP, Detailing the Commercial Law regarding trade promotion
activities, [Online], Available from
http://www.vinhphuc.gov.vn/sotmdl/sotmdl/vbpq/0406nghidinh372006cp.html [Assessed on
29nd, October,2011]
• Ordinance 39-2001-PL-UBTVQH10, Ordinance on advertising, [Online], Available from
www.vietnamlaws.com/.../O39na16Nov01Advertising[XV789].pdf , [Assessed on 29nd,
October,2011]

28

• Provision for advertising law, [Online], Available from
http://danluat.thuvienphapluat.vn/du-thao-luat-quang-cao-thieu-chieu-sau-xa-thuc-te-
49733.aspx [Assessed on 29nd, October,2011]
• No author, Xu hướng quảng cáo trực tuyến ở Việt Nam hiện nay, [Online], Available
from http://giaiphapseo.com/hoi-dap-tiep-thi-dien-tu/xu-huong-quang-cao-truc-tuyen-o-viet-
nam-hien-nay [Assessed on 24th , October,2011]
• Tuan Diep, BeeLine cùng với Ngành giáo dục huyện Tiên Yên tiếp sức trẻ em nghèo
đến trường, [Online], Available from:
http://123.30.50.129/Trangchu/tin_tu_diaphuong/00691c.aspx [Assessed on 26th ,
October,2011]
• Nghia Huynh. Xu hướng Quảng cáo thế giới và những định hướng phát triển tại Việt
nam. [Online]. Available at http://www.mait.vn/tin-tuc/tin-kinh-te/243-xu-huong-quang-cao-
the-gioi-va-nhung-dinh-huong-phat-trien-tai-viet-nam [Assessed on October 29th, 2011]
• Prv.Tnd., Quảng cáo và xu hướng của thị trường Việt Nam trong năm 2011, [Online],
Available at http://www.saga.vn/Marketing/Chienluoc/22202.saga [Assessed on October 29th,
2011]
• Vietbao, Khuyến mại thiếu trung thực, [Online], Available at http://vietbao.vn/Kinh-
te/Khuyen-mai-thieu-trung-thuc/20053024/87/), [Assessed on November 4th, 2011]
• Bich Huong, Đánh mất lòng tin của khách hàng, [Online], Available at
http://laodong.com.vn/Tin-Tuc/Danh-mat-long-tin-cua-khach-hang/44534 [Assessed on
November 4th, 2011]
• Mai Thi, Bán hàng khuyến mại kém chất lượng , [Online], Available at
http://www.sggp.org.vn/thitruongkt/2011/8/266105/, [Assessed on November 4th, 2011]
• Beeline, Beeline promotional gift, [Online], Available at
http://manutd.beeline.vn/thong-bao/34/qua-tang [Assessed on November 4th, 2011]

29

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