Case Study on Nguyen Kim Shopping Center Marketing 1

Case Study on Nguyen Kim shopping center
Marketing
1

1. Introduction to Nguyen Kim shopping center and purpose of the report
Source: Nguyen kim, 2021
Nguyen Kim Trading Joint Stock Company was a precursor from a store specializing in
wholesale and retail electronic and refrigeration products that was officially operated in 1992. In
1996, this store was expanded and developed under the legal entity, Nguyen Kim Tien Service
and General Trading Limited company, the function of the Company was expanded to other
fields such as: trade, service, real estate business and electronic products assembly. Also at this
time, the Electronic Store was developed, transformed and more complete under the new
transaction name Saigon - Nguyen Kim Shopping Center on January 19, 2001. In Ho Chi Minh
City, there appeared a first center specializing in wholesale and retail distribution of Electrical
products, Refrigeration, Electrical appliances, Digital and Mobile phones. November 2001, the
Center Shopping Saigon - Nguyen Kim was officially certified by VBQI ISO9001 and Nguyen
Kim was recognized as the first electronics center established with a large scale and high
2

professionalism. Joint Stock Company and its full name is Nguyen Kim Trading Joint Stock
Company. Head office: 63-65-67 Tran Hung Dao, District 1, Ho Chi Minh City.
 Vision
“We commit to contribute to Viet Vietnam's prosperity and to enhance the quality of life of the
people.”
 Mission
“We make customers' lives easier thanks to our empowered & passionate people who collaborate
and interact well in a start-up mentality.”
 Philosophy
“All for customers, Customers for all!”
 Main product
With more than 50,000 items in 6 categories for sale such as: electronics, refrigeration, home
appliances, computer equipment, telephones, entertainment equipment.
I am applying for the role of Marketing Manager within Nguyen Kim shopping centre.
Therefore, to the best of my knowledge, the roles of marketing are meet the needs and wants of
consumers, ensuring the survival, growth and branding of the business, provide better products
with the accordingly price, increase economic growth and competition. However, the precise
responsibilities and activities will be determined by the company's size and structure. Moreover,
marketing manager is an important part of a company's growth strategy. They ensure that the
company's message is effective in attracting new customers and retaining existing ones. If I were
the marketing manager of Nguyen Kim, I would be in charge of the company's planned and
unplanned photograph, print or video advertisement, public speaking engagements and
endorsements. In my opinion, to improve effective marketing activities, Nguyen Kim should
3

create budget champion and goal, conducts research that has an impact on SEO and the last is
survey, listen and learn.
2. The concept of marketing
Concept Focus Means Objectives Drawback
The production
concept
Production
orientation
- Production in
large scale
- Low cost
Profit from efficient
production
Price is not
enough to make
much
differrences
The product
concept
Product quality
orientation
- High quality
- Performance
- Innovation
Profit from quality
and modern product
High and
impossible price
The selling
concept
Seller need
orientation
- Promotional
practices are
rampant.
Profit from high
volume of sales
Difficult for sale
The marketing
concept
Customers need
orientation
- Integrated
marketing
Profit from the
fulfillment of
customer demand
and satisfaction
Hard to
implement
because of
seeking to
change
organization’s
behaviour to fit
customers
The relational
marketing concept
Life time value of
customers
- Enhance customer
loyalty and
establish long-term
relationships.
Make money by
establishing and
sustaining
relationships
need time to be
effective and the
new customers
are possiblely
4

ignored
The societal
marketing concept
Social and
responsibility
orientation
- Responsible for
social and ethical
issues
Profit from
customers and the
well-being of the
community.
Need to balance
three factors:
Company,
customers and
society
2.1 The production concept
The basic proposition of the production concept is that customers will choose the available and
low-cost goods and services. Therefore, the company's primary objective is to manufacture as
many units as possible. By focusing on manufacturing large quantities, such an organization
hopes to boost profits by taking advantage of economies of scale. Requiring suppliers to
minimize production costs as demand grows in order to increase supply. However, Price is not
all, it is not enough to make much differrences (Martin, 2020).
2.2 The product concept
In comparison to a standard product, the product concept implies that consumers prefer products
with higher quality, efficiency, and features. The price and availability have no bearing on their
purchasing decision. As a result, the company creates a higher-quality and innovate product,
which is generally more expensive (Shaw, 2020).
2.3 The selling concept
The Selling concept states that unless they are persuaded to do by sales campaigns, consumers,
individuals or organisations will not purchase enough products of the company. Organizations
should join in the sale and promotion of their goods to achieve marketing efficiency. Customers
are generally apathetic, and they must be persuaded to purchase by converting their apathetic
into a buying motive by persuasion and sales tactics. However, this concept has some
disadvantages as it is difficult to do in practice and good sales skills are needed (Nitu, 2021).
5

2.4 The marketing concept
According to morden marketers, customers are wise enough to understand what they need, they
can recognize value for money when they see it, and will not buy from the company again if they
do not get value for money. A company's goal is to comprehend a customer's needs and desires.
From product conception to sales, it implements a marketing plan based on market research.
However, it is hard to implement because of seeking to change organization’s behaviour to fit
customers (Bhasin, 2018).
2.5 The relational marketing concept
Relational marketing is concerned with building stronger and more meaningful relationships
with consumers in order to ensure that both the business and the consumer profit from the
connection, as well as promoting a fruitful and long-term relationship. However, this concept
need time to be effective and company sometimes ignores the new customers when focusing on
the current customers (Pardo, 2018).
2.6 The societal marketing concept
The social marketing principle states that an organization's role is to assess the needs, desires,
and interests of target markets and to offer desired satisfactions more effectively than rivals
while maintaining or enhancing the well-being of both customers and society. However, this
concept need to balance three factors: Company, customers and society (Juneja, 2019).
 Current and future trend of marketing concept
Currently, the production concept, the product concept and the selling concept are out of
date and most of organisations and companies are use the marketing concept. This is probably
due to the fact that it is difficult to sell something today without understanding and appealing to
the target audience. This is the reason why this marketing philosophy puts a high value and
importance on the customer's desires and needs. In the future, all of companies will apply the
relational and socital marketing concept because businesses want to tackle major societal
issues such as environmental pollution, resource scarcity, population growth, injustice, and social
disruption by developing better goods that make the better planet.
6

Nguyen Kim shopping centre is following both marketing concept and relational marketing
concept Marketing concept
 Product
As the largest chain of electronic shopping centers today, Nguyen Kim system provides a wide
variety of products with over 50,000 items on display including many unique items such as the
world's biggest LCD TV, refrigerator, new computer models, and digital camera. With one the
product system is so diverse that shoppers can consult, find out information, operational
techniques for their shopping needs at the stores.
With a considerate warranty, Nguyen Kim also makes a commitment to the highest product
quality and customer care when providing a 5-day trial service, and a return policy to ensure that
you are fully pleased with the purchase decision.
 Price
Nguyen Kim has developed an appropriate and competitive pricing policy. Price policy always
complies with genuine requirements as well as regularly updating prices in order to bring the
best benefit to customers. More over, flexible, pesonal pricing and diversified payment
methods of Nguyen Kim create favorable conditions for all subjects in purchase and sale
transactions, widely applied as installment and deferred payment
 Place
Nguyen Kim's shops are often located in urban centers and in shopping centers. There is retail
channel directly to consumer hand including 5 main stores: Electronic Store, Refrigeration Store,
Household Store, Digital Store, Mobile Phone Store and General business channel: Serving
7

specific customers such as projects, companies, hotels, restaurants, installment payments;
equipped with model house system in luxury apartments such as Sagon Pearl with the form of
distribution: Delivery according to customers' request "door to door".
In addition, Nguyen Kim uses omni-channel which refers to adopting strategies, multiple
engagement tools, and a seamless approach to the consumer experience through all accessible
shopping channels including multifunction mobile internet device, computer, traditional store,
TV, radio, direct mail. This not only helps customers to be flexible and has many approaches in
choosing channels, but also helps increase the company's sales.
 For Retail
 Personel
Nguyen Kim's people policy prioritizes consumer and employee satisfaction. Customers'
views of the company are very important to the company, and they are always handled with
respect. From the moment consumers communicate with the company's car parking workers to
the sales consultant, this is clearly illustrated. Furthermore, the company often refers to corporate
discounts as "support" rather than the more widely used "discount." This is a subtle
improvement, but it will make the consumer feel more friendly and as if the business is reducing
income for the customer rather than purchasing inventory.
Electronic commerce necessitates a great deal of guidance from the center's sales workers.
Therefore, from the beginning, Nguyen Kim has cided that the sales staff will be the company's
face, and that they must be carefully hired and trained, as they will be the ones in direct
communication with consumers, informing them, and receiving feedback on the company's
services. Furthermore, in order to achieve optimum business efficiency, it is important to have a
smooth coordination of all departments in the organization while operating a successful
apparatus. To accomplish this, Nguyen Kim has developed a very good and competent personnel
policy, with a strong emphasis on employee preferences.
8