CREATING a MARKETING PLAN FOR HNK’S NEW PRODUCT – CHELSEA BOOT IN THE PERIOD 122021 – 122022

THE FINANCIAL
UNIVERSITY OF FINANCE - MARKETING

Class: CLC_20DMA09

CREATING A MARKETING PLAN FOR
HNK’S NEW PRODUCT – CHELSEA BOOT
IN THE PERIOD 12/2021 – 12/2022

Majors: MARKETING
Specialized: MARKETING MANAGEMENT

Ho Chi Minh city, 2021

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THE FINANCIAL
UNIVERSITY OF FINANCE - MARKETING

Class: CLC_20DMA09

CREATING A MARKETING PLAN FOR
HNK’S NEW PRODUCT – CHELSEA BOOT
IN THE PERIOD 12/2021 – 12/2022

Majors: MARKETING

Specialized: MARKETING MANAGEMENT

Instructors: Master Đặng Huỳnh Phương
Student Implementation:
Name
Trương Quốc King
Nguyễn Hoài Nam
Trần Hữu Huy
Huỳnh Trọng Nghĩa
Nguyễn Phúc Bảo Khang

Ho Chi Minh city, 2021

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TEACHER’S COMMENTS
Student Implementation:
Name
Trương Quốc King
Nguyễn Hoài Nam
Trần Hữu Huy
Huỳnh Trọng Nghĩa
Nguyễn Phúc Bảo Khang

(This part is for teachers to directly guide and comment on students)

Score in numbers

Teacher signature

(Score in numbers)

(Teacher signature)

MAJORS MARKETING

MASTER ĐẶNG HUỲNH PHƯƠNG

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EXECUTIVE SUMMARY................................................................................................................. 3
CHAPTER 1: HNK COMPANY OVER VIEW.......................................................................... 4
1.1.

INTRODUCTION.................................................................................................................. 4
Vision.............................................................................................................................. 4
Core values.................................................................................................................... 4
Mission............................................................................................................................ 4
Business philosophy..................................................................................................... 4

1.1.1.
1.1.2.
1.1.3.
1.1.4.

1.2.

STRATEGIC OBJECTIVES............................................................................................... 5

1.2.1. Marketing Objectives..................................................................................................... 5
1.2.2. Brand Objectives........................................................................................................... 5
1.2.3. Financial Objectives...................................................................................................... 5

CHAPTER 2: SWOT & MACRO – ENVIROMENT ANALYSIS........................................6
2.1.

SWOT OF COMPANY......................................................................................................... 6

2.2.

THE SITUATION OF LEATHER SHOES MARKET IN VIETNAM............................. 7

2.2.1. Size and growth rate of Vietnam's leather shoes market.......................................... 7
2.2.2. Trends of Vietnam's leather shoes market................................................................. 7
2.2.3. Competition in the Vietnamese leather shoes market............................................... 8

2.3.

SWOT OF PRODUCT......................................................................................................... 8

2.4.

COMPETITORS.................................................................................................................. 10
Direct competitors................................................................................................... 10
Indirect competitors................................................................................................ 10

2.4.1.
2.4.2.

CHAPTER 3: STP STRATERGY............................................................................................... 11
3.1.

SEGMENTATION............................................................................................................... 11

3.2.

TARGETING........................................................................................................................ 12

3.3. POSITIONING.......................................................................................................................... 12

CHAPTER 4: MARKETING MIX STRATEGIES..................................................................14
4.1.

PRODUCT STRATERGY................................................................................................. 14

4.1.1. Product mix.................................................................................................................. 14
4.1.2. Product Value............................................................................................................... 15
4.1.3. Packaging........................................................................................................................ 15
4.1.4. Style and Design............................................................................................................ 15
4.1.5. Product support service................................................................................................ 16

4.2. PRICE STRATEGY................................................................................................................. 16
4.2.1. Valuation target.............................................................................................................. 16
4.2.2. Pricing strategy.............................................................................................................. 17
4.3. DISTRIBUTION STRATEGY................................................................................................ 18
4.3.1. Distribution chanel......................................................................................................... 18
4.3.2. Distribution channel management............................................................................... 19
4.4. MARKETING COMMUNICATION STRATEGY................................................................ 19
4.4.1. Advertising: Online advertising only............................................................................ 19
4.4.2. Public relation (PR)........................................................................................................ 20
4.4.3. Promotion........................................................................................................................ 20

CHAPTER 5: ACTION PLAN...................................................................................................... 21
CHAPTER 6: FINANCE............................................................................................................... .22
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CONCLUSION ................................................................................................................24

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EXECUTIVE SUMMARY
HNK is a start-up company from 2021 specializing in the production of
European-style leather shoes with the leading product of chelsea booths and its
variations. Our brand name is HNK which is inspired by our shareholders in order to
partly appreciate the enthusiastic contribution from the company's shareholders (K:
Khang, King – H: Huy – N: Nam, Nghia). Today, there are really few communities for
Vietnamese men to express their individuality. With the current trend of globalization,
when cultures are imported from abroad, "beauty" is no longer only for women, men
also have needs in this regard. Understanding that, HNK was established to bring
classic European-style thick leather shoes, creating a playground for Vietnamese men
who are passionate about classic style. Therefore, the topic “Creating a marketing plan
for HNK's new product, Chelsea boot for the period 12/21 - 12/2022" will be discussed.
The structure of the thesis consists of 6 main chapters:

Chapter 1: HNK Company Overview
Chapter 2: SWOT & Macro Analysis - Environment Analysis
Chapter 3: STP Strategy
Chapter 4: Marketing - mix Strategies
Chapter 5: Action plan
Chapter 6: Financial

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CHAPTER 1: HNK COMPANY OVER VIEW
1.1. INTRODUCTION
In the era of global open trend, elegant, stylish and luxurious dress styles are
increasingly popular. Therefore, with the desire to bring Vietnamese people to stand
shoulder to shoulder with other countries in the world, we are constantly trying to
create leather boots with the best design and quality to accompany "Children of the
fairy and dragon" in every way. That’s the reason why HNK was established.

1.1.1. Vision
Towards the goal of sustainable development and becomes a leading shoe
manufacturing and distribution company in the Vietnamese market. Enhancing the
influence of the brand with the number 1 goal in Vietnam. Not only developing
strongly in the country but also promoting international integration, stepping into
potential markets in Asia.

1.1.2. Core values
Providing quality finished leather shoes with outstanding design and
elegance in classic style for Vietnamese men so they can shape their own style.

1.1.3. Mission
HNK always upholds the bravery of men, does not hesitate or falter in the face of
difficulties and challenges. HNK takes two core factors to develop products and brands:
•

Customers are all our friends: We do not consider customers as gods, but

here they are close friends. We understand them, ready to share all thoughts and
feelings with each other. And as a friend, we will strive to bring out the best for our
friend

•
Innovate and creative: Always ready to accept and lead change, seek
to learn and not be afraid of failure, always improve, be creative in everything
and create breakthroughs for the benefit of customers.

1.1.4. Business philosophy
Let us make you happy. Get “Quality, Prestige, Service” to bring the feeling of being
worth the money spent by customers. We put the quality of each product first, machining
and finishing to near perfection to provide the best user experience. Reputation is one of the
deciding factors for the brand and service that will help customers to solve any problems.

In addition, there are three factors that form the foundation of the corporate
culture “Đổi - Nhiệt - Đồn”.
•
“Đổi” means always innovating not only the product but also the
working style, must change to adapt to the changing environment.
•
“Nhiệt” means Enthusiasm, blood is always hot, burning
wholeheartedly with everything, enhancing the youthful spirit of the whole
company.
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•
“Đoàn” means unite. There is an old saying in Vietnam that "one tree

can't be young, three trees together make a high mountain". The solidarity of
all members of the company is the decisive factor for its success.

1.2. STRATEGIC OBJECTIVES
1.2.1. Marketing Objectives
With the current capital and expertise, HNK will increase the number of target
customers knowing about the product with the number of people accessing the
media channels looking for information about the product reaching 20000 visits in 3
months to enhance brand value in the mind of consumers.

1.2.2. Brand Objectives
Enhancing brand value for customers so that when it comes to stylish,
personalized, quality and affordable leather shoes, HNK will appear in the minds of
consumers. Aiming to build HNK to become one of the leading leather shoe
manufacturers in Vietnam within 2 years.

1.2.3. Financial Objectives
•

Reaching a total revenue of about 50000 USD ~ 1.1 billion VND in the first 1

year.
•

Maintain growth of at least 10% a year

Maintaining marketing and promotion costs about 10-15% of the total
cost of the business.
•

•

Increasing product purchases boosts sales and helps businesses thrive.

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CHAPTER 2: SWOT & MACRO – ENVIROMENT ANALYSIS
2.1. SWOT OF COMPANY
Strengths
•
The staff is young, dynamic, enthusiastic and full of enthusiasm at work.
Having knowledge and understanding about Vietnamese fashion today brings
many new things about fashion trends to hit the right psychology of customers.

•
HNK is always aiming for men with fashionable and creative dressing
style, this is also a new market of the Vietnamese shoe market. Giving our
customers creative ways to dress and bring more style to them, is something
that few Vietnamese shoe brands can do today.

Weaknesses
•

The research team does not have much experience in product demand, so the

design changes are slow compared to the needs, especially the young customers who
always want to change their appearance, prefer shoes. style, rich colors, youthful.

•
As a new enterprise in the market, it has not been able to gain the trust
of many customers in the domestic market.
•
Lack of funding is what HNK enterprises are currently facing, as a
business with little experience in the market.

Opportunities
•
A young and potential enterprise that promises to bring freshness to
the Vietnamese shoe market in general and Vietnamese fashion in particular
with the development of design and reasonable prices.
•
In recent times, consumers are gradually tending to "Vietnamese
people use Vietnamese goods" because Vietnamese products have had
many changes, confirming that the quality is not inferior to products from
abroad.
•
Many Vietnamese companies process and export the leather industry,
but few brands focus on the domestic market.

Threats
•
In addition, in the domestic footwear and footwear market, the main
competitors for HNK's shoes are the following companies: The Wolf, Rowan,
JOG4 ... they have the advantage of having a wide variety of designs and

appearing on the market sooner.

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•
The theft of copyrights, designs and industrial designs that are
common in our country also causes many difficulties in the company's
production.
•
Fashion trends are volatile and constantly changing. Since HNK is an
enterprise with a young and inexperienced design team, this is a big challenge
for HNK.

2.2. THE SITUATION OF LEATHER SHOES MARKET IN VIETNAM
2.2.1. Size and growth rate of Vietnam's leather shoes market
According to statistics from the General Department of Customs (2020),
Vietnam's footwear export turnover in the 2016-2020 period will grow at an average
rate of 7% per year. Footwear export turnover increased continuously in the period
2016 - 2019. In 2020, due to the influence of the Covid-19 epidemic, the export of
footwear of all kinds reached USD 16.8 billion, down 8% compared to 2019, but up
29.2% compared to 2016. In the first half of 2021, Vietnam's footwear export
turnover reached 10.4 billion USD, up 27.7% over the same period in 2020.
Footwear is one of the industries with high export turnover of Vietnam, but
export turnover is mainly from foreign direct investment (FDI) enterprises. The

competitiveness of domestic enterprises is still lower than that of FDI enterprises in
the export segment. Vietnam's footwear enterprises are still mainly processing and
producing shoes for foreign enterprises. Therefore, this is an opportunity for
domestic enterprises to develop their own footwear brands.

2.2.2. Trends of Vietnam's leather shoes market
In a research result of the Journal of Industry and Trade, it was said that: "The open door
policy and deeper integration into the regional and world economy have been bringing positive
impacts to the footwear manufacturing and exporting industry. Thanks to participating in many
free trade agreements, the market is increasingly expanding, Vietnam's footwear export industry
is going through a fairly good growth period. With export turnover to each market area increasing
steadily every year. Currently, Vietnam has exported footwear products to more than 100
countries ... For that reason, Vietnam has been missing a huge aspect that is supplying products
to its domestic market. It can also be said to be an opportunity for businesses in leather shoes to
start investing in the domestic market.

In an interview with 10 men between the ages of 18 and 35 (3 people 18 years
old, 3 people 20, 2 people 25, 1 person 30 and 1 person 35), the results are surprising
when there are 2 young people. 18 years old, 2 people 20 and the other 4 people all
tend to have minimal fashion, using fashion colors mainly black and white combined
with some simple colors such as gray or brown. Today, with the trend of globalization,
when appearance is enhanced. Today's beauty is not only a word to describe a woman,
but a man also has a need for his own beauty. Fashion is also known as a cycle, the old
trends of the last decade have reappeared in the 21st century.

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2.2.3. Competition in the Vietnamese leather shoes market
Vietnam is the second largest footwear exporter in the world (after China), but at
home, Vietnamese shoe businesses face many difficulties in the long run. Specifically, in
2019, Vietnam exported all kinds of footwear with a turnover of 18 billion USD, but the
domestic market had to import over 100 million pairs of footwear, worth up to 1 billion USD,
accounting for 60% of the demand. Imported footwear group, in addition to the popular
segment, also has a series of world famous brands such as Adidas, Nike, Puma, Vans,
Converse ... And middle-class consumers in Vietnam do not hesitate to spend money for
foreign shoes but ignore Vietnamese goods which are not outstanding. In addition, the
reduction of import tax to 0% for goods circulated within ASEAN and between ASEAN and
China has paved the way for these countries to boost footwear exports to Vietnam. In
addition, the appearance of giants such as Adidas and Nike is also increasing competitive
pressure on Vietnamese products in the domestic market.

Back to the time before 2017, the products of famous Vietnamese enterprises
such as Vina Shoes, Thuong Dinh, Hong Thanh, Biti's ... are still just old-fashioned
sandals, leather shoes, sponge sandals, canvas shoes, usually only meet for middleaged customers, office workers, students. Meanwhile, entrepreneurs and young people
in the entertainment industry in Vietnam have rapidly changed the way they access to
fashion footwear. So gradually, young, dynamic sneakers, associated with world famous
sports stars are gradually becoming popular. The domestic market has become a place
for two groups of high-end imported brand shoes and cheap goods. Grasping the new
consumer trend and taking advantage of the familiar Vietnamese brand, Vietnamese
shoe businesses have begun to change direction and focus on investing in the
production of new product lines to please domestic customers. Pioneering the most
famous brand is Biti's, with the introduction of the new product line Biti's Hunter, along
with the image promotion strategy with singers Son Tung M TP, Soobin Hoang Son, ...
create a breakthrough in the look of high-end Vietnamese shoes.

To affirm their position in the domestic market, Vietnamese shoe businesses
have oriented "where the customer is, we are there". On the market today, Vietnamese
shoe products are available in all segments from affordable to high-end, not only with
suitable designs but also with quality and price that also meet customer needs.

2.3. SWOT OF PRODUCT
Strength
S1: The company provides products with classic, elegant and luxurious
styles that help men shape their own style. From there, creating a play about the
classic, luxurious and elegant style of men in Vietnam.

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S2: Although it is a newly developed business, HNK always tries to bring
diversified leather footwear products in order to meet the unique needs of each
customer group, which is also the core value that HNK is aiming for.
S3: HNK brings products with quality commensurate with the price, which will
not lose the brand value as well as protect the interests of "friends", this is also the
second core value of HNK.

Weaknesses
W1: The customer group that HNK targets are only Vietnamese men who want to
pursue a classic style. This is only a small niche in the fashion market in general and the
footwear market in particular, so the number of consumers of HNK is not very diverse.

W2: As a new enterprise in the market, HNK's products can be said to be not
completely excellent products, so the occurrence of product defects is something
that HNK may encounter.
W3: Professional knowledge, as well as creativity in product design, are all
included in my own experience, because there is no professional design team.
Therefore, HNK's products will face many risks in the first months.

Opportunities
O1: Industry 4.0 helps to produce high-quality leather shoes but significantly
reduces input costs. Leather shoes are considered to become the most noticeable trend
in 2021 because of their elegance, elegance, versatility and never out of fashion.

O2: Minimalist fashion style is increasingly popular. So leather shoes are the
first choice in coordinating clothes. Therefore, the demand for leather shoes is
increasing day by day.

Threats
T1: Although never out of fashion, fashion trends are always volatile and
unpredictable, easily leading to large sales fluctuations.
T2: The uses are not as diverse as the sports shoes that go out, work and play sports

T3: The design is simple and has little variation, so almost a customer will only buy
one pair to two pairs of leather shoes to use.
T4: The design is simple and has little variation, so almost a customer will
only buy one pair to two pairs of leather shoes to use.
T5: The hot and humid climate in Vietnam is one of the conditions that make
leather shoes easily damaged and difficult to maintain.

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SO - ST - WO - WT Strategies
SO Strategies
S1+O2: Promote communication channels, create a community for vintage
style enthusiasts.
S3+O1: Create products with lower prices than the market average but still
ensure quality.

ST Strategies
S1 + T1,T2,T3,T4,T5: Together with the KOLs, create clips on social
networking sites such as facebook, tiktok, youtube, ... to orient consumers in the
preservation of leather shoes, guide to create matching outfits with shoes.
S3 + T3,4: Focusing on investing in production, constantly updating trends to
create breakthrough products for consumers.

WO strategy
W3 + O1: Use capital from reduced input costs to boost the design team.

WT strategy
W3 + T1: Research to create new products.

2.4. COMPETITORS
2.4.1. Direct competitors
When it comes to gaining a foothold in the market, HNK has to compete directly with
brands specializing in Chelsea shoes with the same target market as middle-class
Vietnamese men with a simple lifestyle. elegant and care about her appearance.

Specifically, HNK has to face domestic rivals such as: The Wolf; Rowan; JOG4... Besides,
domestic enterprises all have a diverse product portfolio, have many branches, and
distribute strongly from the North to the South, so it will create a lot of pressure on HNK.

2.4.2. Indirect competitors
In addition to domestic brands specializing in Chelsea shoe products, HNK also
faces the clothing market in general and the footwear market in particular. In the
footwear market in Vietnam, in addition to imported fake products, it is impossible not to
mention the big men in the footwear industry from abroad, which can be named as: Dr.
Martens; H&M; Zara; Vindi …All of them have a long-standing name, and have great
purchasing power in the international market and the Vietnamese market.

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CHAPTER 3: STP STRATERGY
3.1. SEGMENTATION
HNK divides the Vietnam market into 3 segments: 18-25 years old, 25-35
years old and 35-40 years old Each segment has its own characteristics.

Geographic

Demographic

Psychographic

Personality: Cheerful,
ambitious and inquisitive.

Behavioristic

Personality: Careful, calm,

peaceful.

Personality: Quiet, stable.

Motivation: high need for

Motivation: Express

Motivation: Serving

self-expression, dynamic.

yourself, serve daily needs.

personal needs, hobbies.

Reason for purchase: Buy to
use, buy to give away.

Reason for purchase: Buy to

Reason for purchase: Buy
to use, buy to give away.

use, buy to give away.


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3.2. TARGETING
HNK always creates suitable leather shoes for all segments. Each product is
changed to suit the needs and preferences of each customer.
However, our target market is men between the ages of 18 and 40. They
always want to have quality leather shoes and eye-catching designs, but at the
price of foreign brands, it is difficult for a Vietnamese person to easily buy.
For the age group from 25 to 40, at this age men have formed their own fashion style
and have their own personality, so the choice of shoes is extremely thoughtful. So leather
shoes help Vietnamese men to define their own fashion style and express themselves.
About young people from 18 to 25, outstanding design is for young people who love
strong and brave style. This is an extremely potential market for product development.

3.3. POSITIONING
There are many famous brands of leather shoes on the market today. They offer
quality products but with very high prices and no design breakthroughs. It is very difficult to
reach young people with middle incomes. HNK positions itself as a quality product but the
price is still very suitable for all men to help young people can own the shoes they want.

Positioning on quality: With the desire to bring to Vietnamese consumers
products made by Vietnamese themselves with perfection, design and durability
comparable to products from abroad.
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Price positioning: Price is always a problem for those who have a taste for leather
shoes. Understanding this, the company has tried to reduce all possible costs to create
leather shoes that are affordable. The price is suitable for everyone to own and experience.
Although HNK offers quality products that are comfortable to use compared to
competitors, it has a cheaper price to meet all men's needs for a pair. Quality leather shoes.

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CHAPTER 4: MARKETING MIX STRATEGIES
4.1. PRODUCT STRATERGY
4.1.1. Product mix
The HNK Chelsea boots will have many different variations but they always
have the following common characteristics:

•
Height more than or equal to the ankle.
•
The toe of the shoe is often pointed, it is also possible to vote.
•
Just like the oxford or derby shoes, the Chelsea has a captoe or brogue
design or is simply made of two separate pieces of leather: the front and back.
They will be assembled and met at the ankle position and connected by one or
two pieces of stretchy material such as elastic band or vulcanized rubber.
•
Low or high heels.
Some chelsea boots products that HNK will aim to produce
Product’s

name

Classic
Chelsea

Short ankle boots.
The shoes have
elastic on both sides

running from the
ankle down.

be a little over. Rounded toe.
Low heel 1-3cm. The body of
the shoe is made of only two
separate pieces of leather. The

two parts of the shoe are
connected by two pieces of
elastic on the side of the shoe.
This stretchy piece runs from
the collar to near the bottom of
the shoe, 3 4cm from the sole.

The Commando sole is the

Commando

It's a kind of military

shoe.

A
ct

Jodphur

produ

specifically for horse

riding..

A zip-up shoe with
padding at the ankle.
It will definitely help
the boys become

more "dusty" and
"personal".

Zip

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classic rubber sole for hiking or
working boots. Characteristic of
this type of sole is the plusshaped protrusions of the shoe.
Compared to many other types
of soles, Commando soles are
usually larger to create better
grip in all terrain and weather
conditions …
Similar in construction to the
traditional Chelsea shoe design.
However, they are wraparound
belts instead of elastic skin. Like
variations of Chelsea shoes, the
simpler the better and the better.
Considered the most modern
variation, less influenced by the
classical style. However, they are
still very flexible in all situations.
That's thanks to the buckle part.

In addition, they are


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somewhat more formal and
elegant than traditional
Chelsea boots.
The highlight of the Brogue
shoe is the perforations used
as decoration on the shoe. Due
to the harsh terrain conditions
in the past, these holes played
a role in providing ventilation.
They make it possible for men
to use in different harsh
terrains, especially wet places.

Broguing

4.1.2. Product Value
•
A man's class is made up of many factors, including fashion style. To
honor the beauty of a man, it is impossible not to mention the boots.
•
Exuding an elegant and luxurious style for men.
•
The shoes designed by HNK are suitable for guys who like simplicity,
sophistication but no less luxury in the way they dress.
The benefits that HNK boots bring
•

When walking, you will feel the quality of the shoes through the feeling of

softness, comfort, flexibility and especially protect your feet in the most effective way.

•
Choose the right quality leather shoes that are worth your money.
•
Exuding an elegant and luxurious style for men.
•
Owning a pair of quality HNK men's leather shoes will show off your
own fashion sense.

4.1.3. Packaging
When buying HNK products, they will be put in boxes made of Carton material with 2
outstanding colors: skin color and black so that consumers can reuse it many times with
HNK logo printed and equipped. eye-catching design. The box is designed to be the most
square so that the buyer can hold the lightest and help honor the beauty of the shoes.
In addition, there will be a small cloth bag made of good materials that can be used
many times and also helps to protect the environment to be able to store the shoe box.

4.1.4. Style and Design
Produce boots with simple designs that are easy to match but still have a
classic, elegant and luxurious look.
With many different colors for buyers to choose their favorite color. Usually,
the Boots have specific colors such as: Black, Brown. Tan (black rose-brown),
Burgundy (wine red) and non-traditional colors (green, blue, yellow...).
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