Marketing strategy for clinical express service in TNT express in Vietnam market

MINISTRY OF EDUCATION & TRAINING UNIVERSITEÙ LIBRE DE BRUXELLES
HO CHI MINH CITY OPEN UNIVERSITY SOLVAY BUSINESS SCHOOL

MBMM PROGRAM




TRAN MINH HAO


MARKETING STRATEGY
FOR CLINICAL EXPRESS SERVICE
IN TNT EXPRESS IN VIETNAM MARKET





FINAL PROJECT
MASTER IN BUSINESS & MARKETING MANAGEMENT




TUTOR: DR. NGUYEN THANG



Ho Chi Minh City

2007




i

COMMITMENT

I am bound that my final project titled “Marketing Strategy for Clinical
Express Service in TNT Express in Vietnam market” was developed by
myself. I am responsible for all the data and arguments in the thesis.



ii
ACKNOWLEGEMENT

To finish this project, I would like to express my sincere thanks and
appreciation to MBMM1 professors who have facilitated and helped me with all
their kindness and assistance.
My special thanks to Doctor Nguyen Thang, Marketing Manager of
Nokia, has encouraged and given me a lot of advice on doing this thesis. Without
Doctor Nguyen Thang's advice, a lot of difficulties would surely arise during my
process on this task.
My greatly appreciation to Ms. Tran Thi Xuan Dung, Special Service
Manager, TNT Express Co., who has supplied me with valuable data and
information for this project. There were lot of support also from all TNT & DHL
Express Country Manages, Managers, Supervisors, and sales executive groups
who created favorable conditions, gave me relevant data even stayed on my

behalf during the time I was busy with this research dissertation.
Last but not least, my family has encouraged me always, made me
confident and delighted to finish this research dissertation.
As all data concerning TNT Vietrans Express Vietnam & DHL VNPT
Express business must be kept confidential for at least 3 years from the time of
the hand-in of the thesis (2007), so I am regretted that I can not put this report in
the library Ho Chi Minh City Open University for reference at this time being.
Once again, all assistance helping me with this thesis is greatly
appreciated.





iii
EXECUTIVE SUMMARY

Clinical Trial is an important part of the R&D process of new drugs,
initiated by pharmaceutical companies. In Asia, the clinical trial market is
booming. The pharmaceutical market grew by seven per cent on a global level to
US$600 billion in Asia, while the Asia Pacific region is expected to grow by up
to 12 per cent annually.
To support the growth of the clinical trials sector in Asia, TNT Vietrans
Express launched Clinical Express Service, which started in Vietnam in 2004.
How to market its services to customers successfully in a keen competition
market is being a great issue for TNT Vietrans Express. Within this thesis, we
will draw out the marketing strategy for TNT Express Vietnam to develop its
Clinical Express (CE) product.
The qualitative methodology by using in-depth, open-ended interviews,
direct observations and written documents is mainly used in this thesis combined

with quantitative methodology through surveys, existing business reports, and
business statistics. Further more, services marketing can be combined with
marketing mix as mentioned by Adrian Buckley in his book of "The Essence of
Services Marketing", Prentice Hall Europe 1993 to be suggested to apply in the
case of TNT Express Vietnam.
With a proper services marketing strategy, we can drive our company in
the right direction to win our competitors in the market where fierce competition
always exist in all field of business, including clinical express industry.



iv
TABLE OF CONTENTS
Page

AKNOWLEDGEMENT i
EXECUTIVE SUM MARY ii
TABLE OF CONTENTS iii
LIST OF TABLE iv
LIST OF FIGURE iv

PART 1: INTRODUCTION

1.1 INTRODUCTION 01
1.2 PROJECT OBJECTIVE 02
1.3 SCOPE AND LIMITATION OF PROJECT 03
1.4 METHODOLOGY 04
1.5 FINAL PROJECT STRUCTURE 05

PART 2: SITUATION ANALYSIS

2.1. EXTERNAL ENVIRONTMENT ANALYSIS 06
2.1.1 Vietnam’s medicine expense 06
2.1.2 Clinical Industrial Analysis 07
2.2. INTERNAL ENVIRONTMENT ANALYSIS 13
2.2.1 TNT Express Worldwide Profile 13
2.2.2 Survey results and analysis 14
2.3 SWOT ANALYSIS OF TNT CLINICAL EXPRESS SERVICES (CE) 16




v
PART 3: MARKETING STRATEGY FOR CLINICAL EXPRESS
SERVICE IN TNT EXPRESS IN VIETNAM MARKET

3.1. TNT CE OBJECTIVES FOR THE YEAR 2010 17
3.1.1 The overall objectives 17
3.1.2 The specific objectives 17
3.2 CE MARKETING STRATEGY 18
3.2.1 Market Segmentation and Targeting 18
3.2.2 Pricing Strategy 21
3.2.3 Marketing Communications Mix 22
3.2.4 Logistics and other aspects 24


CONCLUSIONS 25
BIBLIOGRAPHY 26
APPENDICES 27

vi
LIST OF TABLES

Table 1: GDP - INCOME – MEDICAL EXPENSE 2006-2010 6
Table 2: CE PRODUCT REVENUE 9
Table 3: THE COMPARISON OF PRICE OF CE SHIPMENT 10


LIST OF FIGURES

Figure 1: CHART OF RESEARCH FRAMEWORK 4
Figure 2: PERCEIVED MARKET SHARE OF TOTAL CE SHIPMENTS 10
Figure 3: THE RATIO OF CUSTOMER WOKING DAY/WEEK 14
Figure 4: THE RATIO OF TESTS FOR PATIENTS/DAYS 14
Figure 5: THE REASONS FOR SELECTION OF LAB AND SERVICE 15
Figure 6: THE FACTORS MAKE CUSTOMERS LIKELY TO USE LAB 15
Figure 7: SWOT ANALYSIS OF TNT CLINICAL EXPRESS SERVICE 16
Figure 8: MARKET SEGMENTATION AND TARGETING 19

vii
ABBREVIATION
ABC
AF
AFC
AP
ASEAN
AWB
CAGR
CLF
CRO
CTN
DOX
DHL
EMS
EU
FDI
FedEx
GDP
LMP
R&D
SQ
TNT
UPS
WTO
Air Business Corporation
Air France
American Forwarding Corporation
Asia Pacific
Association of Southeast Asian Nations

Airway Bill
Compound Annual Growth Rate
Cost, Insurance and Freight
Clinical Research Organization
Clinical Trial Network
Documents Express
Dalsey, Hillblom, Lynn
Express Mail Service
European Union
Foreign Direct Investment
Federal Express
Gross Domestic Products
General Statistics Office
Research and Development
Singapore Airlines
Thomas Nationwide Transport
United Parcel Service
World Trade Organization



1
PART1: INTRODUCTION

1.1 INTRODUCTION
A Clinical Trial is an important part of the R&D process of new drugs,
initiated by pharmaceutical companies. In general, a new drug R&D process
comprises of three main phases: (1). Body fluid samples (diagnostic specimen)
taken from patients are sent to central laboratories; (2). Doctors are responsible
for taking samples and shipping them to the laboratory; (3). Laboratory takes

care of analyzing the samples. TNT is mainly involved in phase 3 trials, where
drugs are tested on human patients: the transportation of testing kits to doctors
carrying out the trials, as well as blood and urine samples to the laboratory
following the successful administration of drugs to patients.
TNT started Clinical Trial Logistics in 1993 worldwide. Till now, as the
Established Market Leader, TNT has global partnership with major clinic
research organizations
and pharmaceutical companies around the world and is
now Clinical express service provider for many international hospitals &
pharmaceutical company and government institutes.
In Asia, the clinical trial market is booming. Recent revisions to the
pharmaceutical industry’s regulatory laws as well as improved patent laws in
countries such as Japan, China and India, have led to the burgeoning clinical
trials market in Asia. The pharmaceutical market grew by seven per cent on a
global level to US$600 billion while sales in Asia grew by about nine to ten per
cent. Looking forward for the next five years, the Asia Pacific region is expected
to grow by up to 12 per cent annually.
To support the growth of the clinical trials sector in Asia, for Viet Nam,
TNT launched Clinical Express (CE) service, a suite of logistics services for the



2
clinical trial logistics market in April 2004. Targeted at pharmaceutical
companies, central laboratories and contract research organizations engaged in
clinical research and drug development.
The biggest achievement TNT Vietnam got was with 22
nd
Seagames (5-
13, Dec 2003) when it did collect and moving thousands of urine specimen of

22
nd
Seagames Athletes from 33 locations all over country and deliver to the
Beijing laboratory within 36 hours at minus 20 degree for purpose of doping test.
For the development of CE service, TNT not only recognizes the
importance of clinical trial logistics but also is well positioned to meet the growth
and challenges presented by the sector through the innovative solutions and
ability to sustain and develop the services. However, there is not yet a proper
marketing strategy for CE Service in Vietnam market at the time being. This
research dissertation aims to do that: to provide an understanding of the theory
and practices in the development and execution of services marketing strategy
for the TNT Clinical Express Service (for the period to the year 2010).
1.2 PROJECT OBJECTIVE
The main objective of this research study is to find out the situation of services
marketing strategy for Clinical Express Service of TNT Express in Vietnam
market at this time being.
The specific objectives are: Concerning the research objectives, at least there
are four specific objectives which should be achieved in this research as follows:
- To have an overview of Vietnam Market in a World chain market which
impacts on CE service, especially on TNT Clinical Express in Vietnam.
- To analyze and understand the current external environment aspects.
- To analyze and understand the current internal environment aspects.



3
- To recommend relevant and proper services marketing strategies composed
of target customers, pricing policy, distribution channels and integrated
marketing communication campaign for Clinical Express product.
Other specific objectives are: to find out SWOT (Strengths - Weaknesses -

Opportunities-Threats) of CE Service; to understand customers' needs towards
TNT CE service; to find out the position of TNT CE service among its
competitors on the market-oriented economy in Vietnam at this moment.
1.3 SCOPE AND LIMITATION OF PROJECT
Due to the limitation of time and study of the assigned task, this thesis is
made to present the current business operation of TNT Express in the sense of
services marketing strategy only. The main concentration is to examine its CE
services and to compare with other competitors. Based on this concentration, the
development of Clinical Express (CE) service would be considered to yield more
revenue and to serve customers better and its services marketing strategy is set
for a three years' period from 2007 to 2010.
The valuable position of this research is that is the first time a services
marketing strategy to be carried out and some specific recommendations can be
considered to help TNT Express to compete with its competitors in supplying
Clinical Express service to customers.
Of course extra hypotheses can be though of in a fast changing world. For
example, with the change of Vietnamese government's policy and law, negative
or positive affection will arise accordingly. International economic fluctuation is
also a factor to be accounted.






4
1.4 METHODOLOGY
The research methodology is applied to carry out this research study is
mainly the qualitative method combined with quantitative method. In order to
obtain primary data, surveys had been made through questionnaires, phone

contacts, depth-interviews. For secondary data, we can take such as information
available on the internet, articles from different journals and magazines,
different kinds of business reports and statistics reports as well.
Theoretical framework:
Figure 1: CHART OF RESEARCH FRAMEWORK
=



Conclusion
Strategy formulation & recommendations
Internal & External Environment Analysis
Situation analysis
Theoretical review
Research Objectives







5
1.5 FINAL PROJECT STRUCTURE
This res
duction of the topic, rational of the
he situation analysis with both external and
st section is the conclusions to make a brief summary of the results
the end of this project, we can get other
earch study is structured as follows:

Part 1- The introduction gives us the intro
research, problem statement, objectives, scope and limitations, value position,
assumptions of research study, the brief research methodology with research
framework, and the thesis structure.
Part 2 – Situation analysis gives us t
internal environments analysis. Moreover, the survey results from the market
through which we can get the clients' needs towards TNT CE service as well.
Some major findings are also pointed out in SWOT analysis of TNT CE service.
Part 3 – The marketing strategy
supplies the marketing strategy for TNT CE
service in Vietnam market to meet TNT CE objectives for the period to the year
2010.
The la
achieved. Based on the research, the services marketing strategy for TNT
Express CE service are highlighted.
Moreover, through the appendices at
information illustrating TNT Express CE's business operations.



6
PART 2 : SISTUATION ANALYSIS

2.1 EXTERNAL ENVIRONMENT ANALYSIS
2.1.1. Vietnam’s medicine expense

The year 2006, the pace of economic growth is recorded to reach 8.2%,
and it is estimated to remain stronger in 2007 (

Vietnam's GDP is expected to grow at approximately 8% per annum for the next

5 years, driven by robust industrial output and continuing economic
liberalization. Here after we have some estimation:
Table 1: GDP -INCOME – MEDICAL EXPENSE 2006-2010
Key indicators 2006 2007 2008 2009 2010
Real GDP growth (%) 8.2 7.9 7.8 7.9 8.0
Income / capita (USD)
551 595 638.7 682,6 726.5
Medicine expense / capita
11 12,6 14,3 16,2 18,4
(Source: )
To 2005, the income per capita has increased significantly to 551 USD. It
is estimated to reach 726.5 USD by 2010.
Together with the development of economy, the medicine expense per
capita also has increased by 52.0% for 2000-2005. According to the Central
Institute for Medical Science Information, the expense is estimated to be nearly
doubled to 18.4 USD per capita to the year 2010.
From the aspect of market size and market potentiality: Vietnam currently
has 876 hospitals, 75 Medical treatment areas and over 1000 clinics. Just in 5
years recently, there’re 5 big hospitals and 7 clinical healthcares were opened
with foreign investment
(Source:
They all are unexplored
market for CE service. Although there is not yet any real CE market research,
however, it is estimated that the market size is about 1-2 Mil USD in Vietnam.



7
Being a member of WTO, doing business in the integration in the region
and in the world, strong growth of international trade is expected to continue,

particularly once Vietnam becomes a member of the WTO. This bring about a
good chance for TNT CE service, for it deals with special international shipment.
2.1.2 Clinical Industrial Analysis
2.1.2.1 Asia Clinical Express Industry Overview
As CE Vietnam is allocated in the Asia region, we shall look at CE of TNT
Vietrans Express in the conjunction with Asia Clinical Express Industry.
Since the late 1990s, Asia has increasingly been
considered an upcoming
hotspot by the
pharmaceutical industry when focusing on future global research
and development (R&D) activities.
The clinical trial market in Asia is booming. The pharmaceutical market
grew by seven per cent on a global level to US$600 billion while sales in Asia
grew by about nine to ten per cent. Looking forward for the next five years, the
Asia Pacific region is expected to grow by up to 12 per cent annually
(1)
To this end, It is estimated a corresponding growth of 20 per cent in the
clinical trial market. Recent revisions to the pharmaceutical industry’s regulatory
laws as well as improved patent laws in countries such as Japan, China and India,
have led to the burgeoning clinical trials market in Asia.
Increasing globalization and digitalization of business has brought into
prominence the importance of global logistics and multi-modal logistics. As global
organizations become more involved in research in the Far East there is a need for
increased awareness of the problems they face when it comes to logistics.

(1)
Pharmafocusasia, August 2006,

8
The full service logistics companies, on the other hand, can offer distinct
cost advantages by consolidating shipments, particularly non-infectious specimens,
which can travel at normal temperatures. TNT Express is of these companies, have
even set up a delegate team that deals specifically with diagnostic shipments. By
putting in place a dedicated monitoring process, they can achieve a similar service
performance at a fraction of the cost.
A recent study shows that around 60% of diagnostic specimens currently on
the move within Asia are managed by such companies. TNT still, however, is
dominating the market share.
2.1.2.2 Clinical Express Development in Vietnam
Although CE service has just been launched in Vietnam since 2004, it has
achieved a significant development and occupies a position in TNT’s product
range, particularly TNT’s special service. Some quoted estimations as below:
- The Target Market: Pharmaceutical /Clinical Research Sector/Hospitals Health
institute.
- Pharmaceutical R&D Market size:
Global: US$ 48 Billion in 2005, up 8%
Asia: Up to US$ 2 billion, up 12%
- Factor of Growth in VN and Asia:
Asia is one of the fast growing Pharmaceutical markets in the world.
Clinical trials are increasingly required for drug registration in Asia.
Asia offers ethic diversity for clinical trials.
Viet Nam also have much ethic diversity.
- Clinical Trial Logistic
The Role: Up to 60% of the cost of clinical trials.
The Market Size: Estimated US$ 50 Mil in Asia & 1-2Mil in VN

9
The Growth: +20% year-on-years
2.1.2.3 CE Product Revenue
Based on the annual statistics report we can recognize the tendency of the
increasing of CE product. This product occupies relevant revenue among total
revenue of TNT Express.

Table 2: CE PRODUCT REVENUE
Product 2005
(€ 000's)
2006
(€ 000's)
%
growth
Documents
2,276.9 2,779.7 22.1
Express Parcels
4,014.4 4,493.8 11.9
Express Freight
- -
Economy Express
161.3 324.2 101.0
Economy Freight
242.3 196.4 -19.0
EMS
- -
Domestic
133.1 138.9 4.3
Special Service

495.3 721.6 45.7
Clinical Express
330.2 519.7 57.4
Total
7,653.6 9,174.4 19.9
Source: TNT Monthly Business Review, December 2006

Through the result of the three consecutive years of CE product, we see that
the revenue of the year 2006 increased
57.4% in comparison with the year 2005.
2.1.2.4 Clinical Express Perceived Usage Share of Total Shipments
TNT is still the leader on the market of CE in terms of perceived usage
share total shipments. In the year 2006, TNT occupied 76% of the total CE
shipments on the market based on TNT country business review. The figure
below gives us a look at the comparison:



10
Figure 2: PERCEIVED MARKET SHARE OF TOTAL CE SHIPMENTS OF YEAR 2006







CE Market Share (%)
World
Courrier

12% DHL
Express
9%
TNT
Express
76%
Fedex
3%

Source: Clinical Express Breakdown Report, December 2006
2.1.2.5 Five forces analysis
- Rivalry: A prime source of competition in CE industry exists among
competitors. TNT Express is doing its business with main competitors: DHL,
FedEx, World Courier, together with forwarders on the market.
At the time being, with the early investment in the industry, TNT takes
steps in advance in providing customer with more suitable service and much
more competitive price. These all make TNT a leading company in CE industry
(account for more than 75% of market share). The table below would show that
sample of the quoted price (in USD) between TNT and a strong competitor –
World Courier.
Table 3: THE COMPARISON OF PRICE OF CE SHIPMENT

World Courier TNT
1st kg 520 50
addional Kg* 45 5
10 kg Ambient Non-infectious 925 160
Frozen/Infectious 150 200
Dry Ice 80 45
10 KG Frozen Infectious 1155 405

11
However, there will be difficulty for TNT Express to continue to gain the
market growth and dominate the market share in a severely competitive situation
of course when other competitors are going to diversify their products by
launching CE service. Then there will be more options for customers to choose.
- The threat of new entrants: At this time being, the situation of new entrants
arising being a great concerned because it seems that big express players in
Vietnam are interesting in this service business (CE) already. World Courier, a
US company who experienced Bio-medical transportation since 1984, is
competing with TNT and is putting more investment for CE product. The other
one is DHL Express Vietnam would be one of the main threats as DHL will
lauch CE service in Quarter 4 in 2007.
- Bargaining power of buyers: The customers of TNT Express exert pressures
that can affect the degree of competition within express service industry. There
are 63 major TNT Customers who have strong bargaining power (Appendix 4,5).
- The threat of substitutes: TNT CE service sometimes is substituted by its
competitors because of the quality incidents, pricing policy or sometimes one
customer may use two express service players at the same time. Other customers
may define their needs of sending shipments by using different players with
different pieces.
2.1.2.6 Competitors of TNT Vietnam
Based on information currently available an overview of the main service
providers used and their respective share of wallet, the main competitors of TNT
Vietnam within the CE industry are World Courier, DHL and FedEx. An
overview of the main strengths and weaknesses of the competitors for the Life

Sciences Global Accounts can be summarized as follow:



12
World Courier
Strengths
- Brand awareness is very strong in shipping diagnostics specimens in
global and regional;
- High market share in express industry and CE industry in global and
regional;
- Nominated for clinical logistic and supply chain from international clinical
project owner;
- Excellent relationship with pharmaceutical companies and international
organization (WHO, UN);
- World Courier has known as the specialist in the clinical service
especially in infectious sample.
- World Courier offer fully package services that meet the requirements of
customers (procedures, packaging, dry ice, labeling).
- Strong market share with pharmaceutical companies.
- Have good relationship with Airline (Thai Airline, Lufthansa).
Weaknesses
- Have agent in Vietnam via MC Trans (49 Truong Son, Tan Binh);
- Totally dependent on third party suppliers or agents to offer the door-to-
door services.
- Do not have door-to-door express network.
- Present in more than 40 countries.
- Very high price level
- Losing market share to TNT.
DHL, FedEx

Strengths
- Owner Private Airline in Vietnam so they can accept infectious and non
infectious.
- Depending on global express and logistics network in EU, US and Asia.



13
- Strong global marketing campaigns in CE industry in global and Asia
regional.
- Brand awareness is very strong in global, regional and local.
- High market share in express industry and CE industry of Pharmacy
companies.
- Dedicated as shipping company for the Clinical Project’s Decision Maker
by USA and Europe.
- Good relationship with the international CE, labs and pharmacy
companies.
Weaknesses
- Have not launched official Clinical Services in Vietnam.
- Do not have dedicated CE team in Vietnam.
- Do not offer one-shop stop solutions that match the requirement of
customers.
- Do not offer fully package service for shipping diagnostics specimens.
- Customer service is not good compared to TNT.
- Losing market share to TNT.
To realize the strengths and weaknesses of those competitors is vital. This
will help to form strategy in marketing for CE service in more proper way.
2.2 INTERNAL ENVIRONMENT ANALYSIS
2.2.1 TNT Express Worldwide Profile
- TNT set foot in Vietnam since 1991. In 1997, a join-venture company

between TNT & Vietrans Co., was established. This is also a point that TNT
Vietrans developed to a higher business level.
- Scope of business: JV TNT Viettrans was licensed for Express, Logistics and
Domestic services;
- To the year 2006, TNT has 238 workers with annual revenue 12 mil Euro and
growth per annum 12%.



14
2.2.2 Survey results and analysis
A questionnaire of 13 questions was designed and delivered to 60
customers combining with face to face interviews (appendix 1). Only 45
questionnaires have been feedback. The SPSS program is used for the analysis
of this survey. From the survey analysis, we discover the main factors as follow:
2.2.2.1 Customer’s normal working operating hours
Figure 3: THE RATIO OF CUSTOMER WOKING DAY/WEEK

normal operating hours
20.0%
60.0%
20.0%
6.5ds/w
7 ds/w
6 ds/w
The result of the survey is 60%
customers works 7 days / week,
the rest works at least 6 days/
week.

1.2.2.2 Average test ordered for patients
Figure 4: THE RATIO OF TESTS FOR
PATIENTS/DAYS
Tests for patients
20.0%
40.0%
20.0%
20.0%
+21 tests
11-15 tests
6-10 tests
1-5 tests
The result of the survey is 40%
customers order 11-15 tests for patient/day;
20% order more than 21 tests. Both account
for 60% in total.






15
2.2.2.3 Frequency of sending samples to labs
The result of the survey is 100% customers send sample to labs from 1-2
times per day.
2.2.2.4 The reasons for selection of lab and service

Figure 5:
THE REASONS FOR SELECTION OF LAB AND SERVICE





The result of the survey is 33% customers select lab according to the
speed of returned results and reporting.
2.2.2.5 The factors that make customers likely to use lab
Figure 6:
THE FACTORS THAT MAKE CUSTOMERS LIKELY TO USE LAB






The result of the survey is: 27% customers preferred faster turn-around on
testing and reporting.
We did benefit a lot from the survey. In general, the results & analysis
support the strategy towards: (1). Potentiality of CE service; (2). One-stop-shop
CE; (3). Express link logistic. Then the mentioned results will be reflected in the
SWOT analysis of TNT clinical express service as below.



16
2.3 SWOT ANALYSIS OF TNT CLINICAL EXPRESS SERVICES
Synthesizing from all the information, from the external & internal

environment analysis, from the market survey results & analysis, by using
SWOT analysis we can make the summary of strengths, weaknesses,
opportunities and threats of Clinical Express Services on the market.

Figure 7: SWOT ANALYSIS OF TNT CLINICAL EXPRESS SERVICES.


Strengths

- Depending on the global Express
Network;
- Market Leadership in Europe;
- Dedicated Global and Regional Life
Science Team expertise in Life
Science;
- Can handle infectious and non
infectious shipments;
- Brand awareness after 22
nd

Seagames;
- Setting up the dedicated CE team and
SOP in VN;
- Mostly meet the needs &
requirements of customer.

Weakness
- Relationship with the Airline;
- Limited Airlines accept ship
infectious samples;

- Supporting from Marketing are not
strong;
- Inbound shipments face some
difficulty in procedures due to the
customs requirements are not clear;
- Lack of man power, equipments for
handling CE shipments;
- Lack of practical Experience in
handling CE shipments;
- Lack of knowledge in life science
field;
- Haven't got dedicated Operation team
master in Outbound and Inbound to
support the customer's requirements.






17
Opportunities

- Open up the capability of carrying
diagnostics shipments from Airline;
- No official competitors in Life
Science fields;
- Clinical Project from regional
involved in Vietnam;
- Expand the CE service to the country

market;
- Offering full service: dry ice supply,
packaging, handling, and consultancy.
Threats

- Brand awareness of DHL, FedEx is
very strong with the International
Hospital, Labs, Pharmaceutical
Company.
- DHL, FedEx will be officially
launching CE service in VN soon.
- World Courier, Marken expanding
market to Vietnam;
- International project that involved
VN nominated WC, DHL or FedEx.

PART 3: MARKETING STRATEGY FOR CLINICAL EXPRESS
SERVICE IN TNT EXPRESS IN VIETNAM MARKET

3.1 TNT CE OBJECTIVES 2007-2010
3.1.1 The overall objectives:
- Grow the CE revenue by 20%/year to 1 Mil Euro in 2010.
- Market CE a leading branch in Vietnam.
3.1.2 The specific objectives
- Achieve profitable revenue growth through volume acquisitions at optimized
pricing.
- Focus on product performance and improve cost effectiveness.
- Ensure quality in all key areas.
- Secure outstanding levels of customer satisfaction.
- Develop leading-edge support technologies that provide added value for

customers: Develop a comprehensive range of packaging solutions for clinical