Realme Marketing Plan Đại học Mở TPHCM

Nguyen Hoang Thien • Nguyen TrfTh6ng• Le Tuong Vi• Ooan Th1,1y Vy• Nguyen Th! Tuong Vy

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TABLE OF CONTENT
I/

BusinessSummary.....................................................................................................2
1)
2)

Overview...........................................................................................................................2
SurveySummary................................................................................................................3

II/ BusinessbackgroundandInitiatives..........................................................................3
1)
2)
3)

Initiatives1:Brandawareness............................................................................................3
Initiatives2:Increasemarketshare....................................................................................4
Initiative3:Consolidatecustomerrelationship..................................................................4

III/ Analysis.....................................................................................................................5

1)
2)
3)
4)
5)

Industryanalysis................................................................................................................5
Consumeranalysis...........................................................................................................10
Targetmarket..................................................................................................................11
PESTModel:.....................................................................................................................13
SWOTanalysis..................................................................................................................14

IV/ MarketingMix.........................................................................................................15
1)
2)
3)
4)

Product............................................................................................................................15
Price.................................................................................................................................16
Promotion........................................................................................................................17
Place................................................................................................................................17

V/ Planning...................................................................................................................17
1)
2)
3)
4)
5)

Objectives:.......................................................................................................................17
Strategies:........................................................................................................................18
Tactics:.............................................................................................................................18
Budget.............................................................................................................................20
Schedule(3PHASES)........................................................................................................21

VI/ Conclusion...............................................................................................................22
1)
2)

Evaluation........................................................................................................................22
Recommendation.............................................................................................................22


I/ Business Summary
1) Overview
-

Realme, a technology brand that specializes in providing high quality
smartphones, is an emerging smartphone brand. The headquaters are located in
China and India, whilst Realme manufacturer is placed in Shenzhen, China.

-

Realme was born as a sub-brand of OPPO and was founded by its then Global
VP, Sky Li, established on 4th May, 2018. Realme was split from Oppo to
become separate brand on July 30th, 2018. Within a year of establishment,
Realme had already entered the markets of India, Indonesia, Vietnam, Thailand,
Phillipines, Malaysia, Singapore, Myanmar, Pakistan, Nepal, Bangladesh,
United Arab Emirates, Egypt, Italy, Spain, France, England, Russia and China.

-

Realme has won the wide recognition for its “Power” and “Style”, affirmed
vigorously its slogan “Proud to be Young”. With the brand recognition is more
and more widespread, Realme has become one of the most desirable brand in
the segment of mid-range.

-

Logo:

-

•

On November 15, 2018, Realme introduced a new logo.

•

Realme indicated that the new logo was an artistic and impactful
representation of both the Realme brand identity and its vision of being
‘Proud to be Young’ by which the brand hoped to become a symbol of youth
culture of all around the world.

Mission: To let more young people enjoy the happy life brought by beauty of
technology.
2

-

Vision: To become a healthy and sustainable enterprise.

2) Survey Summary
-

We realize the popularity of smartphones in industry 4.0, especially is the
smartphones equipped with special features and modern models. Therefore, we
decided to conduct an online survey joined by more than 100 respondents so as
to investigate the demands and expected functions in mid-range smartphone. (57 millions).

-

57.9% of female and 42,1% of male participating in our survey were with the
ages of under 18, 18-22, 23-28, 29-40 and above 40. Apart from basic functions
including voice calls, 90,7% respondents revealed that they used smartphones
to take pictures, update information and read news. Besides, the number of
people who used smartphones with the aims of taking pictures, playing games,
working and entertaining were 62.6%, 51.4%, 46.7%, 6.5% respectively.

-

Users tended to purchase smartphones which meet their demands. Through the
survey, smartphones with powerful configuration and high resolution attracted
80.4% of customers. In addition, 71% and 61.7% of buyers gave prominence to
long-life battery and camera quality. Demands including eye-catching design
and others occupied 41.1% and 22.2% respectively.

II/ Business background and Initiatives

Launching in Vietnam in October, 2018, up to now, Realme has accounted for
2.45% of the market share in Vietnam. In past years, Realme took on lots of PR
and marketing plans to develop in mobile phone market in Vietnam. Realme
got wide recognitions from Vietnamese (accounted for 56.1% in survey).

PercentageofRealme
awareness

Yes

No

1) Initiatives 1: Brand awareness
-

Description: In the next 4 months, we will carry out marketing plan to build
brand awareness in cities and urban areas of Vietnam
3


-

Goal of initiative: Increase recognition from public

-

Metrics to measure success: 5,000 will visit Realme fanpage per month, and get
10,000 clicks from Google Display Network (GDN)

2) Initiatives 2: Increase market share

-

Description: executive marketing strategy for new product (Realme X) and
reinforce customer relationships

-

Goal of initiative: Raise market share and sales volumes of Realme products
(especially Realme X)

-

Metrics to measure success: Increase by 1% - 2% of market share in mobile
mid-range segment in comparison with a half-year.

3) Initiative 3: Consolidate customer relationship.
-

Description: Build and keep up with customers using Realme products

-

Goal of initiative: Strengthen connection with clients to have loyal customers.

-

Metrics to measure success: expand Realme fans’community and gain loyal
customers by customer service.

Overview Realme X

-

After the success of Realme 3 Pro in Vietnam, we are going to launch new
product called Realme X. This product offers a lot of new features which are
trendy in 2019.

-

Realme X has a Super AMOLED of 6.5-inch Full HD+ 2340x1080 pixels
display that offers rich and vibrant colors, plenty of sharpness and excellent
viewing angles. This new product possesses trending features such as notchfree screen, pop-up camera and dual camera.

-

Moreover, Realme X comes with an optical in-display fingerprint sensor that is
quick to register and unlock the device. This smartphone is powered by a
Snapdragon 710 chipset which is extremely fast and snappy and helps Realme
X perform well.

-

Besides, Realme X comes with VOOC technology 3.0, which supports rapidly
in charging up the battery from 0-100% in just 80 minutes. It will be available
in two variants: 6GB of RAM/64GB of ROM and 8GB of RAM/128GB of
ROM. And Realme X comes in two space-inspired 3D colors: Space Blue and
Polar White will amaze the eyes at first sight.

4

III/

Analysis

1) Industry analysis
-

According to global market research company GfK, by the end of November
2017, total smartphone shipments in Vietnam reached more than 13.5 million,
an increase of 3.1 per cent over the same period of previous year. Compared to
last year, smartphone's growth this year is not high

-

Vietnam smartphone market is said to reach saturation point and the level of
competition in the industry becomes higher and higher when there are nearly 20
phone brands sold in Vietnam.

-

However, major players of this field are still foreign brands and three brands
including Samsung, OPPO and Apple account for up to 75 per cent of market
share of which only South Korea's Samsung holds 46.5 per cent.

5


-

Chinese mobile phone brands only had to spend five years to grab a high market

share in the Vietnamese mobile phone market. In the past in Vietnam, Chinese
mobile phones meant low-quality products which imitated the designs of Nokia
and Sony. But now, as Nokia has sold its brand, and Sony is considering
stopping making smartphones, Chinese brands such as Huawei, Xiaomi and
Realme have emerged as a new power.

-

Commenting on the findings, Associate Director, Tarun Pathak said, “Even
though the Vietnamese smartphone market is increasing at a healthy pace, the
local players are facing stiff competition from Chinese and Global counterparts,
favorite the Chinese brands, which now hold around 39% of the market in
Vietnam.”

6


-

The report noted that Xiaomi had only 1 percent of the market share in the
second quarter of 2017, but it surged to 5 percent a year later. Overall, Chinese
brands had a market share of around 39 percent in the form of Oppo (22 percent),
Xiaomi (5), Huawei (5), another smaller names.

-

Two Asian brands - Samsung and OPPO - retained their leading positions in
Vietnam’s smartphone market in the fourth quarter of last year, according to the
latest report from IDC Indochina.

7


-

More than 15 million smartphones were purchased in the country in 2018.

-

Samsung led in terms of volume, with a market share of 34.5 per cent, followed
by OPPO with 23.6 per cent then Huawei with 6.9 per cent. Samsung and OPPO
have been locked in competition over recent years to secure even higher market
shares. The competition really heated up last September, when Samsung
officially launched the Galaxy J7 Prime to compete directly with the OPPO F1s
in the mid-end segment of around VND6 million ($265).

-

The Galaxy J7 Prime and OPPO F1s contributed significantly to growth in sales
at the two major mobile retailers in 2016. “Vietnamese consumers are persuaded
by the trendy functions of the two products, including selfie cameras, fingerprint
sensors, fashionable design, and competitive prices,” said Mr. Tran Nguyen
Truc, Head of Telecom & Mobility Category at the Mobile World JSC (MWG).

a) Samsung
-

Samsung is a South Korean multinational conglomerate headquartered in
Samsung town, Seoul. Samsung was founded by Lee Byung-chul in 1938 as
8

a trading company. Over the next three decades, the group diversified into other
areas including food processing, textile, insurance, security, and retail. Samsung
entered the electronic industry in the late 1960s and the construction and
shipbuilding industries in the mid-1970s.

Samsung headquarters
-

In Vietnam, not only selling phones, Samsung also built its ecosystem that
manufactures and assembles smartphones in Vietnam through cooperation with
South Korean and Japan's suppliers.

b) Oppo
-

Guangdong OPPO Mobile Telecommunications Corp., Ltd, commonly referred
to as Oppo, is a Chinese consumer electronics and mobile communications
company headquartered in Dongguan, Guangdong, in China. Oppo was the top

9


smartphone brand in China in 2016 and was ranked No. 8 worldwide.

2) Consumer analysis
-

-

Vietnam has a significant amount of young and middle-class consumer, along
with high digital media consumption, as well as mobile gaming habit. Any
enterprises who wish to tap into Vietnam should develop mobile-friendly
websites, videos, pictures, apps, etc.
•

72% of the Vietnamese people own Smartphone.

•

68% of the Vietnamese come online via smartphone more often than
computer.

•

25% of the Vietnamese are frequent mobile internet users, engage in all
online mobile-related activities.

•

Many Vietnamese people own more than two Internet-connected devices,
as the national average is 1.7%.

•

69% of The Vietnamese watch video and listen to music on their phone
every day

•

Smartphone plays an essential part in the Vietnamese daily life. A vast
amount of the Vietnamese checks their mobile phone right after waking up
and spend over 2 hours a day on their phone.

Smartphone now exists everywhere in Vietnam, penetrate most parts of the
country. In major cities such as Hanoi, Ho Chi Minh city; The average adoption
rate of smartphones is 6.5% per years.

10


-

The Vietnamese are moving away from “big screen” and shifting towards
smartphones. This can be explained by the rise of on-the-go lifestyle of
Vietnamese people, demanding for a more convenient device. Furthermore, a
smartphone is far more accessible than a TV or any other personal computers.

3) Target market
-

Through the survey, which we collected from 107 people (57.9% female, 42.1%
male), most participants are from 18 to 22 years old with 44.9% and only 0.9%
in the group above 40 years old. Therefore, it shows the mission of Realme “To
let more young people enjoy the happy life brought by beauty of technology”.

11

GroupofAge

23 -28

29 - >4040
5%1%

< 18
31%

18%

18 - 22
45%

< 18
-

18 - 22

23 -28

29 - 40

> 40

As we can see, 71% responders are students and 25.2% are working, in that
about 56.1%, which means 60 people out of 107 people know about Realme.

Occupation

PercentageofRealme
awareness

Other
Tobein
work

Student

Student

Tobeinwork

Other

Yes

No

In conclusion, we have 3 target groups of consumers:
-

-

-

Group 1 (<18 years old): Students who don’t have ability to earn money and
still rely on parents. These consumers are interested in having trendy phones,
low-budget, good quality for selfies, play games, listen to music and surf social

media, etc.
Group 2 (18 – 22 years old): College students as well as. Consumers in this
group have the need to have stylish, low-budget, yet effective smartphones that
can help with daily works.
Group 3 (>28 years old): middle age consumers that have disposable income as
well as take care of their children. Consumers in this group might not be an end12


user but demand having a stylish smartphone with high quality performance for
their children as well as a second smartphone with reasonable price for their
work.

4) PEST Model:
a) Political
-

-

-

It is noticeable that the political environment in Vietnam is highly conductive
for smartphone industry to develop.
However, smartphones produced in foreign countries and imported into
Vietnam have to pay import tariff. Therefore, the phenomenon that smartphones
produced in overseas countries and imported illegally into Vietnam with an aim
of tax avoidance becomes relatively popular.
Recently, in the supportive document for the program of expanding tax base
and opposing to the loss of national budget of the Finance Department, People’s
Committee of Ho Chi Minh city has proposed to impose tax on many of special
products such as smartphones, beauty products and perfumes.

With an increasing in the FDI investments in this industry, Vietnam determines
considerable influence in the map of smartphone industry of all over the world.
And through the US-China trade war, some global smartphone corporations
intend to move to Vietnam in order to avoid the tariff barriers.

b) Social
-

-

In Vietnam, smartphone is considered one of the most popular products.
However, the percentage of people who do not have smartphones is still high.
Vietnamese people are willing to pay the price.
Based on the statistical results of IDC, in the first quarter of 2017, Vietnamese
people consumed up to 3.6 million smartphones. In consequence, with this
quantity of smartphones, Vietnamese people had no hesitation to spend more
than 19.800 billion dongs, increased by 2000 billion dongs in comparison with
2016.
Despite the expensive prices, Vietnamese people chose to pay by instalments
in order to get it.

c) Economical
-

-

According to the analysis of GfK, in November of 2017, the total number of
smartphones purchased in Vietnam was more than 13,5 million, increased by
3.1% compared with the same period of 2016.
The smartphone industry of Vietnam is now on top of the South East Asian

(with Indonesia and Thailand) not only in terms of quantity, but also consumed

13


-

value. The smartphones in moderate price (<10 million dongs) are still hugely
consumed.
Vietnam is one of the markets of Southeast Asia in which the smartphone
industry competes intensely. There are about 20 brands coming from overseas,
and the market shares are mainly hold by international corporations.

d) Technological
-

If we take a look at the development of smartphone industry, it’s not difficult to
realize the sensitiveness of the manufacturers. They always change, renovate
the technology, utilize the technological progress in order to enhance the
productivity and raise immense benefits. When the profits rise, they stimulate
the manufacturers to develop new more products. It is really fundamental trend.
As a result, the supply will go up.

-

Recent users have gradually imposed heavy demands on screen experience.
Subsequently, there is a trend in which pop-up camera is utilized in order to
provide customers with valuable experience. Unintentionally, a technological
race is created amongst corporations, later, not only is the technology similar,
but also the appearance.

5) SWOT analysis

a) Strengths
- Realme is a mid-range smartphone brand but has a stunning design with high
display performance. As a result, Realme has offered a lot of handsets with
different designs and kept up with the youth trend.
-

Realme has placed customer service centres across nearly Vietnam. This not
only helps the customer easily approach after-sales service but also foster better
relationship with Realme’s community.

-

Up to now, Realme has entered the markets of more than 18 countries such as
China, India, Indonesia, Vietnam, Thailand, Malaysia, Pakistan, Egypt, etc. In
May 2019, we’ve launched in the Europe regions.

b) Weaknesses
- No diversity in the model: Since Realme has just publicized 6 products in total
so far, it could be the choice limitation for the customers.
-

Not having our own operating system: Realme has so far launched phones
running on ColorOS as the company has been sharing resources with our parent
company Oppo.

-

Latest version of Realme called Realme X is equipped with Snapdragon 710
SoC which result in overheating in long-duration use.

c) Opportunities
14


-

Vietnam has been at the high places in quality as well as quantity smartphone
consumption in the Southeast Asia market, together with Indonesia and
Thailand. Mid-range smartphone segment, which the price is lower than 10
million VND, has the most consumption.

-

According to an analysis of International Data Corporation (IDC), there were
about 3.5 million smartphones with the average price from 5 to 7 million VND
contributed to Vietnam market only in the second quarter of 2018. Mid-range
smartphone segment used to account for 27.3% of Vietnamese total smartphone
sales in 2017

-

Realme is contributed by Thegioididong, FPT and VienthongA which are
having enormous retailer chains throughout the country. As a result, despite
being a new-comer contributing in this market in Vietnam, Realme has reached
2.45% in the market share after nearly one year, according to data by global
market research company Gfk.

-

Realme Community in Vietnam (namely Realfans) are growing day by day in
Vietnam. There have been many beneficial activities for the community not
only to foster the relationship with the customer but also to strengthen the
prestige and the position in this competitive market.

d) Threats
- Mid-range smartphone segment is profoundly potential with high demand, so
there has been a race among mid-range smartphone brands. As a consequence,
smartphone in this segment normally has many similarities not only in the
design but also the feature technology innovation.
-

IV/

Recently, in the supportive document for the program of expanding tax base
and opposing to the loss of national budget of the Finance Department, People’s
Committee of Ho Chi Minh city has proposed to impose tax on many of special
products such as smartphones, beauty products and perfumes.

Marketing Mix

1) Product
-

The product portfolio of Realme is quite rich in designing. We only focus on
smartphone and invest a lot in research and development of our designs,
committed to offering powerful performance, stylish design and and catching
trend.

15


-

Equipped with pop-up camera and Full HD+, Realme X has a large and notchfree screen (6’53 inch), quick fingerprint and face recognition. All of them will
be appreciated and appealed by spec lovers. The back design using
polycarbonate makes it premium and not easily scratch.

-

We are well-performed in after sales service.

2) Price
-

As the number of competitors is gradually increasing in the mid-range
telecommunication industry, Realme follows a competitive pricing strategy in
products. Realme always focuses on providing the best-quality products to
customers as prices are the same or even lower compared with competitors. That
Realme provides good quality products at affordable prices for customers
attracts more attention and pursues them to make purchases.

-

Realme sometimes follows elastic pricing policy and gives a discount mostly
on e-commerce products.

16

-

With the new product Realme X will be priced between 5 million VND - 7
million VND.

3) Promotion
-

Flash sales of various products (or new product) have been appreciated by
consumers. People tend to buy through online site and maximise the online
promotional activities of Realme.

-

Issac has been appointed as the brand ambassador for Realme in Vietnam. Some
of the other celebrities have appeared in online ads for Realme products.

-

Realme engages in sponsoring various events like The Voice, Music Video,
Mobile Legends Bang Bang VNG as an executive sponsor.

-

Realme is also active on social media platforms for resolving customer’s issue
and better connectivity with people to increase brand awareness.

4) Place

-

Realme company has it presence more than 18 countries.

-

It is a global company, its network and business operations are spreading more
over 18 countries. The brand has also struck long term partnerships with TGDD,
FPT Shop, Viettle Store and VienthongA for O2O (offline to online) method.

V/ Planning
1) Objectives:
-

Increase brand awareness of Realme and affirm the brand name in Vietnamese
mid-range segment smartphone.
17


-

Increase by 1% - 2% of market share in mobile mid-range segment in
comparison with a half-year.

-

Strengthen connection with clients to have loyal customers.

2) Strategies:
-

Gaining more traffics/ followers by using all media platforms.
Motivating new customers to use Realme X by launching users trial events in
big cities.
Attracting the media attentions and the public’s notice through brand activities
in the local areas.
Creating/Organizing some entertaining events for Realme ’s adorer community.

3) Tactics:
Objectives
1. Increase
brand
awareness of
Realme and
affirm the
brand name
in
Vietnamese
mid-range
segment
smartphone.

Strategies
a. Gaining more
traffics/ followers
by using all media
platforms.

2. Increase by b. Motivating new
customer to use

1% - 2% of
Realme X by
market share
launching users trial
events in big cities.
in
mobile
c. Attracting the
mid-range
media attention and
segment
in
the public’s notice
comparison
through brand
activities in the
with a halflocal area.
year.

Tactics
Social media: Run advertisement on
Facebook, Instagram, television,
Youtube.
• Offline: Press Release, leaflets,
brochures, etc.
• Roadshow.
•

Organizing Launch Event for Realme
X.

• User Trials: opening showroom to
introduce to consumers and they can
use Realme X, it helps them feel
exactly the product before deciding to
buy goods.
• Accessory for customers buying at the
event (Realme Tech Backpack)
• Promotional material for participating
(play Lucky spin: T-shirt, cup, helmet,
tote bag)
• Invite influencers and celebrities.
• Direct Mailing: Using customer
database list acquired from their
previous purchased products to send
mail directly to introduce their
products while informing them that if
•

18


we have any discount because they are
loyal customers.
• KOLs.
• In cooperation with advertising
companies in order to introduce brand
name through magazines or brochures.
• Sending Realme X to the reviewers
(Schannel).
• Cooperating with some television

show organizations such as “Chạy đi
chờ chi” (Running Man)
• Advertising indirectly in videos such
as MV of illustrious singers,
successful films, inspirational clips of
famous businessmen.
• Composing a brand theme song.
• Distributing promotional materials:
cups, T-shirt, brochures, helmets,
eco-friendly bottle, notebook to
donate and support Vietnam
Association for Conservation Nature
and Environment.
=> writing and publishing
advertorials.
• In moon festival, presents will be
distributed for poor children and
homeless ones.
=> writing and publishing advertorials.
d. Creating/Organizing
3. Strengthen
some entertaining
connection
events for Realme ’s
with clients
adorer community.
to have loyal
customers.

• Providing an introducing background

attracting customers to take pictures
and then posting on their Facebook or
Instagram attached a hashtag. There is
an equivalent voucher for the offered
number of hashtags.
• Placing pop-ups at shopping fair: get a
voucher for buying items at the fair
(Hello Weekend, The Box Market).

19


Realme’s promotion materials and accessories

4) Budget

20


5) Schedule (3 PHASES)

Phase 1
21


Phase 2

Phase 3

VI/

Conclusion

1) Evaluation
After operating this campaign, our brand awareness is estimated to increase by 20%
compared to the result of the survey. Realme’s market share will account for 4% in
Vietnamese mid-range smartphone segment. Realme community is estimated to rise
double in comparison with last year.

2) Recommendation
In addition, Realme need to have a product innovation plan for their back design of the
phone as well as creating their own operating software instead of using Oppo’s
one. Realme’s products should have more trendy color options since it just has about
two hue variants for each product range.

22