86
Currently, there are foreign currency options transactions, but this number is still very modest and accounts for a very small proportion compared to spot transactions.
Table 2.3: Currency option exercise turnover in 2006-2007
Classify
2006 | 2007 | |
Currency options | 4,160,000 | |
Sell foreign currency call options | 1,100,000 | |
Sell foreign currency put options | 1,100,000 | 2,200,000 |
Buy foreign currency call options | 1,100,000 | |
Buy foreign currency put options | 960,000 | 1,100,000 |
Currency options | 71,450,000 | |
Sell foreign currency call option/VND | 71,450,000 | 5,475,000 |
Maybe you are interested!
-
![Mobile Phone Usage in Hanoi Inner City Area
zt2i3t4l5ee
zt2a3gsconsumer,consumption,consumer behavior,marketing,mobile marketing
zt2a3ge
zc2o3n4t5e6n7ts
- Test the relationship between demographic variables and consumer behavior for Mobile Marketing activities
The analysis method used is the Chi-square test (χ2), with statistical hypotheses H0 and H1 and significance level α = 0.05. In case the P index (p-value) or Sig. index in SPSS has a value less than or equal to the significance level α, the hypothesis H0 is rejected and vice versa. With this testing procedure, the study can evaluate the difference in behavioral trends between demographic groups.
CHAPTER 4
RESEARCH RESULTS
During two months, 1,100 survey questionnaires were distributed to mobile phone users in the inner city of Hanoi using various methods such as direct interviews, sending via email or using questionnaires designed on the Internet. At the end of the survey, after checking and eliminating erroneous questionnaires, the study collected 858 complete questionnaires, equivalent to a rate of about 78%. In addition, the research subjects of the thesis are only people who are using mobile phones, so people who do not use mobile phones are not within the scope of the thesis, therefore, the questionnaires with the option of not using mobile phones were excluded from the scope of analysis. The number of suitable survey questionnaires included in the statistical analysis was 835.
4.1 Demographic characteristics of the sample
The structure of the survey sample is divided and statistically analyzed according to criteria such as gender, age, occupation, education level and personal income. (Detailed statistical table in Appendix 6)
- Gender structure: Of the 835 completed questionnaires, 49.8% of respondents were male, equivalent to 416 people, and 50.2% were female, equivalent to 419 people. The survey results of the study are completely consistent with the gender ratio in the population structure of Vietnam in general and Hanoi in particular (Male/Female: 49/51).
- Age structure: 36.6% of respondents are <23 years old, equivalent to 306 people. People from 23-34 years old
accounting for the highest proportion: 44.8% equivalent to 374 people, people aged 35-45 and >45 are 70 and 85 people equivalent to 8.4% and 10.2% respectively. Looking at the results of this survey, we can see that the young people - youth account for a large proportion of the total number of people participating in the survey. Meanwhile, the middle-aged people including two age groups of 35 - 45 and >45 have a low rate of participation in the survey. This is completely consistent with the reality when Mobile Marketing is identified as a Marketing service aimed at young people (people under 35 years old).
- Structure by educational level: among 835 valid responses, 541 respondents had university degrees, accounting for the highest proportion of ~ 75%, 102 had secondary school degrees, ~ 13.1%, and 93 had post-graduate degrees, ~ 11.9%.
- Occupational structure: office workers and civil servants are the group with the highest rate of participation with 39.4%, followed by students with 36.6%. Self-employed people account for 12%, retired housewives are 7.8% and other occupational groups account for 4.2%. The survey results show that the student group has the same rate as the group aged <23 at 36.6%. This shows the accuracy of the survey data. In addition, the survey results distributed by occupational criteria have a rate almost similar to the sample division rate in chapter 3. Therefore, it can be concluded that the survey data is suitable for use in analysis activities.
- Income structure: the group with income from 3 to 5 million has the highest rate with 39% of the total number of respondents. This is consistent with the income structure of Hanoi people and corresponds to the average income of the group of civil servants and office workers. Those
People with no income account for 23%, income under 3 million VND accounts for 13% and income over 5 million VND accounts for 25%.
4.2 Mobile phone usage in Hanoi inner city area
According to the survey results, most respondents said they had used the phone for more than 1 year, specifically: 68.4% used mobile phones from 4 to 10 years, 23.2% used from 1 to 3 years, 7.8% used for more than 10 years. Those who used mobile phones for less than 1 year accounted for only a very small proportion of ~ 0.6%. (Table 4.1)
Table 4.1: Time spent using mobile phones
Frequency
Ratio (%)
Valid Percentage
Cumulative Percentage
Alid
<1 year
5
.6
.6
.6
1-3 years
194
23.2
23.2
23.8
4-10 years
571
68.4
68.4
92.2
>10 years
65
7.8
7.8
100.0
Total
835
100.0
100.0
The survey indexes on the time of using mobile phones of consumers in the inner city of Hanoi are very impressive for a developing country like Vietnam and also prove that Vietnamese consumers have a lot of experience using this high-tech device. Moreover, with the majority of consumers surveyed having a relatively long time of use (4-10 years), it partly proves that mobile phones have become an important and essential item in peoples daily lives.
When asked about the mobile phone network they are using, 31% of respondents said they are using the network of Vietel company, 29% use the network of
of Mobifone company, 27% use Vinaphone companys network and 13% use networks of other providers such as E-VN telecom, S-fone, Beeline, Vietnammobile. (Figure 4.1).
Figure 4.1: Mobile phone network in use
Compared with the announced market share of mobile telecommunications service providers in Vietnam (Vietel: 36%, Mobifone: 29%, Vinaphone: 28%, the remaining networks: 7%), we see that the survey results do not have many differences. However, the statistics show that there is a difference in the market share of other networks because the Hanoi market is one of the two main markets of small networks, so their market share in this area will certainly be higher than that of the whole country.
According to a report by NielsenMobile (2009) [8], the number of prepaid mobile phone subscribers in Hanoi accounts for 95% of the total number of subscribers, however, the results of this survey show that the percentage of prepaid subscribers has decreased by more than 20%, only at 70.8%. On the contrary, the number of postpaid subscribers tends to increase from 5% in 2009 to 19.2%. Those who are simultaneously using both types of subscriptions account for 10%. (Table 4.2).
Table 4.2: Types of mobile phone subscribers
Frequency
Ratio (%)
Valid Percentage
Cumulative Percentage
Valid
Prepay
591
70.8
70.8
70.8
Pay later
160
19.2
19.2
89.9
Both of the above
84
10.1
10.1
100.0
Total
835
100.0
100.0
The above figures show the change in the psychology and consumption habits of Vietnamese consumers towards mobile telecommunications services, when the use of prepaid subscriptions and junk SIMs is replaced by the use of two types of subscriptions for different purposes and needs or switching to postpaid subscriptions to enjoy better customer care services.
In addition, the majority of respondents have an average spending level for mobile phone services from 100 to 300 thousand VND (406 ~ 48.6% of total respondents). The high spending level (> 500 thousand VND) is the spending level with the lowest number of people with only 8.4%, on the contrary, the low spending level (under 100 thousand VND) accounts for the second highest proportion among the groups of respondents with 25.4%. People with low spending levels mainly fall into the group of students and retirees/housewives - those who have little need to use or mainly use promotional SIM cards. (Table 4.3).
Table 4.3: Spending on mobile phone charges
Frequency
Ratio (%)
Valid Percentage
Cumulative Percentage
Valid
<100,000
212
25.4
25.4
25.4
100-300,000
406
48.6
48.6
74.0
300,000-500,000
147
17.6
17.6
91.6
>500,000
70
8.4
8.4
100.0
Total
835
100.0
100.0
The statistics in Table 4.3 are similar to the percentages in the NielsenMobile survey results (2009) with 73% of mobile phone users having medium spending levels and only 13% having high spending levels.
The survey results also showed that up to 31% ~ nearly one-third of respondents said they sent more than 10 SMS messages/day, meaning that on average they sent 1 SMS message for every working hour. Those with an average SMS message volume (from 3 to 10 messages/day) accounted for 51.1% and those with a low SMS message volume (less than 3 messages/day) accounted for 17%. (Table 4.4)
Table 4.4: Number of SMS messages sent per day
Frequency
Ratio (%)
Valid Percentage
Cumulative Percentage
Valid
<3 news
142
17.0
17.0
17.0
3-10 news
427
51.1
51.1
68.1
>10 news
266
31.9
31.9
100.0
Total
835
100.0
100.0
Similar to sending messages, those with an average message receiving rate (from 3-10 messages/day) accounted for the highest percentage of ~ 55%, followed by those with a high number of messages (over 10 messages/day) ~ 24% and those with a low number of messages received daily (under 3 messages/day) remained at the bottom with 21%. (Table 4.5)
Table 4.5: Number of SMS messages received per day
Frequency
Ratio (%)
Valid Percentage
Cumulative Percentage
Valid
<3 news
175
21.0
21.0
21.0
3-10 news
436
55.0
55.0
76.0
>10 news
197
24.0
24.0
100.0
Total
835
100.0
100.0
When comparing the data of the two result tables 4.4 and 4.5, we can see the reasonableness between the ratio of the number of messages sent and the number of messages received daily by the interview participants.
4.3 Current status of SMS advertising and Mobile Marketing
According to the interview results, in the 3 months from the time of the survey and before, 94% of respondents, equivalent to 785 people, said they received advertising messages, while only a very small percentage of 6% (only 50 people) did not receive advertising messages (Table 4.6).
Table 4.6: Percentage of people receiving advertising messages in the last 3 months
Frequency
Ratio (%)
Valid Percentage
Cumulative Percentage
Valid
Have
785
94.0
94.0
94.0
Are not
50
6.0
6.0
100.0
Total
835
100.0
100.0
The results of Table 4.6 show that consumers in the inner city of Hanoi are very familiar with advertising messages. This result is also the basis for assessing the knowledge, experience and understanding of the respondents in the interview. This is also one of the important factors determining the accuracy of the survey results.
In addition, most respondents said they had received promotional messages, but only 24% of them had ever taken the action of registering to receive promotional messages, while 76% of the remaining respondents did not register to receive promotional messages but still received promotional messages every day. This is the first sign indicating the weaknesses and shortcomings of lax management of this activity in Vietnam. (Table 4.7)
div.maincontent .s1 { color: black; font-family:Times New Roman, serif; font-style: italic; font-weight: normal; text-decoration: none; font-size: 14pt; } div.maincontent .s2 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 14pt; } div.maincontent .s3 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 14pt; } div.maincontent .p { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 14pt; margin:0pt; } div.maincontent p { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 14pt; margin:0pt; } div.maincontent .s4 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 9.5pt; vertical-align: 6pt; } div.maincontent .s5 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 14pt; } div.maincontent .s6 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 14pt; } div.maincontent .s7 { color: black; font-family:Times New Roman, serif; font-style: italic; font-weight: normal; text-decoration: none; font-size: 14pt; } div.maincontent .s8 { color: black; font-family:Times New Roman, serif; font-style: italic; font-weight: bold; text-decoration: none; font-size: 14pt; } div.maincontent .s9 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 14pt; } div.maincontent .s10 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 12pt; } div.maincontent .s11 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: normal; font-size: 14pt; } div.maincontent .s12 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 14pt; } div.maincontent .s13 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 14pt; } div.maincontent .s14 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 13pt; } div.maincontent .s15 { color: black; font-family:Times New Roman, serif; font-style: italic; font-weight: normal; text-decoration: none; font-size: 9.5pt; vertical-align: 6pt; } div.maincontent .s16 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 5.5pt; vertical-align: 3pt; } div.maincontent .s17 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 8.5pt; } div.maincontent .s18 { color: black; font-family:Times New Roman, serif; font-style: italic; font-weight: bold; font-size: 14pt; } div.maincontent .s19 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: bold; font-size: 14pt; } div.maincontent .s20 { color: black; font-family:Times New Roman, serif; font-style: italic; font-weight: normal; text-decoration: none; font-size: 13pt; } div.maincontent .s21 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 14pt; } div.maincontent .s22 { color: black; font-family:Courier New, monospace; font-style: normal; font-weight: normal; text-decoration: none; font-size: 14pt; } div.maincontent .s23 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 13pt; } div.maincontent .s24 { color: black; font-family:Times New Roman, serif; font-style: italic; font-weight: normal; text-decoration: none; font-size: 13pt; } div.maincontent .s25 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 14pt; } div.maincontent .s26 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 14pt; } div.maincontent .s27 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 1.5pt; } div.maincontent .s28 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 11pt; } div.maincontent .s29 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 13pt; } div.maincontent .s30 { color: black; font-family:Times New Roman, serif; font-style: italic; font-weight: bold; text-decoration: none; font-size: 13pt; } div.maincontent .s31 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 13pt; } div.maincontent .s32 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 10.5pt; } div.maincontent .s33 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 11pt; } div.maincontent .s35 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 10.5pt; } div.maincontent .s36 { color: #F00; font-family:Arial, sans-serif; font-style: italic; font-weight: bold; text-decoration: none; font-size: 10.5pt; } div.maincontent .s37 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 10.5pt; } div.maincontent .s38 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 8.5pt; vertical-align: 5pt; } div.maincontent .s39 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 10.5pt; } div.maincontent .s40 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 7pt; vertical-align: 4pt; } div.maincontent .s41 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 10.5pt; } div.maincontent .s42 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 11pt; } div.maincontent .s43 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 7.5pt; vertical-align: 5pt; } div.maincontent .s44 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 7pt; vertical-align: 5pt; } div.maincontent .s45 { color: #F00; font-family:Arial, sans-serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 10.5pt; } div.maincontent .s46 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 7pt; vertical-align: 5pt; } div.maincontent .s47 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 11pt; } div.maincontent .s48 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 14pt; } div.maincontent .s49 { color: black; font-family:Times New Roman, serif; font-style: italic; font-weight: normal; text-decoration: none; font-size: 9.5pt; vertical-align: -2pt; } div.maincontent .s50 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 9.5pt; } div.maincontent .s51 { color: black; font-family:Times New Roman, serif; font-style: italic; font-weight: normal; text-decoration: none; font-size: 9.5pt; vertical-align: -1pt; } div.maincontent .s52 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 9.5pt; vertical-align: -2pt; } div.maincontent .s53 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 13pt; } div.maincontent .s54 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 9.5pt; vertical-align: -1pt; } div.maincontent .s55 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 10.5pt; } div.maincontent .s56 { color: #00F; font-family:Times New Roman, serif; font-style: normal; font-weight: normal; font-size: 14pt; } div.maincontent .s57 { color: #00F; font-family:Times New Roman, serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 14pt; } div.maincontent .s58 { color: #00F; font-family:Times New Roman, serif; font-style: normal; font-weight: normal; font-size: 14pt; } div.maincontent .s59 { color: #00F; font-family:Times New Roman, serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 13pt; } div.maincontent .s60 { color: #00F; font-family:Times New Roman, serif; font-style: normal; font-weight: normal; font-size: 13pt; } div.maincontent .s61 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 14pt; } div.maincontent .s62 { color: black; font-family:Times New Roman, serif; font-style: italic; font-weight: bold; text-decoration: none; font-size: 14pt; } div.maincontent .s63 { color: black; font-family:Times New Roman, serif; font-style: italic; font-weight: bold; text-decoration: none; font-size: 14pt; } div.maincontent .content_head2 { color: #F00; font-family:Times New Roman, serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 14pt; } div.maincontent .s64 { color: black; font-family:Times New Roman, serif; font-style: italic; font-weight: bold; text-decoration: none; font-size: 13pt; } div.maincontent .s67 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 9.5pt; } div.maincontent .s68 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 12pt; } div.maincontent .s69 { color: black; font-family:Times New Roman, serif; font-style: italic; font-weight: normal; text-decoration: none; font-size: 12pt; } div.maincontent .s70 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: normal; tex](https://tailieuthamkhao.com/uploads/2022/12/03/cac-nhan-to-anh-huong-den-hanh-vi-nguoi-tieu-dung-doi-voi-hoat-dong-13-1-120x90.jpg)
![Mobile Phone Usage in Hanoi Inner City Area
zt2i3t4l5ee
zt2a3gsconsumer,consumption,consumer behavior,marketing,mobile marketing
zt2a3ge
zc2o3n4t5e6n7ts
- Test the relationship between demographic variables and consumer behavior for Mobile Marketing activities
The analysis method used is the Chi-square test (χ2), with statistical hypotheses H0 and H1 and significance level α = 0.05. In case the P index (p-value) or Sig. index in SPSS has a value less than or equal to the significance level α, the hypothesis H0 is rejected and vice versa. With this testing procedure, the study can evaluate the difference in behavioral trends between demographic groups.
CHAPTER 4
RESEARCH RESULTS
During two months, 1,100 survey questionnaires were distributed to mobile phone users in the inner city of Hanoi using various methods such as direct interviews, sending via email or using questionnaires designed on the Internet. At the end of the survey, after checking and eliminating erroneous questionnaires, the study collected 858 complete questionnaires, equivalent to a rate of about 78%. In addition, the research subjects of the thesis are only people who are using mobile phones, so people who do not use mobile phones are not within the scope of the thesis, therefore, the questionnaires with the option of not using mobile phones were excluded from the scope of analysis. The number of suitable survey questionnaires included in the statistical analysis was 835.
4.1 Demographic characteristics of the sample
The structure of the survey sample is divided and statistically analyzed according to criteria such as gender, age, occupation, education level and personal income. (Detailed statistical table in Appendix 6)
- Gender structure: Of the 835 completed questionnaires, 49.8% of respondents were male, equivalent to 416 people, and 50.2% were female, equivalent to 419 people. The survey results of the study are completely consistent with the gender ratio in the population structure of Vietnam in general and Hanoi in particular (Male/Female: 49/51).
- Age structure: 36.6% of respondents are <23 years old, equivalent to 306 people. People from 23-34 years old
accounting for the highest proportion: 44.8% equivalent to 374 people, people aged 35-45 and >45 are 70 and 85 people equivalent to 8.4% and 10.2% respectively. Looking at the results of this survey, we can see that the young people - youth account for a large proportion of the total number of people participating in the survey. Meanwhile, the middle-aged people including two age groups of 35 - 45 and >45 have a low rate of participation in the survey. This is completely consistent with the reality when Mobile Marketing is identified as a Marketing service aimed at young people (people under 35 years old).
- Structure by educational level: among 835 valid responses, 541 respondents had university degrees, accounting for the highest proportion of ~ 75%, 102 had secondary school degrees, ~ 13.1%, and 93 had post-graduate degrees, ~ 11.9%.
- Occupational structure: office workers and civil servants are the group with the highest rate of participation with 39.4%, followed by students with 36.6%. Self-employed people account for 12%, retired housewives are 7.8% and other occupational groups account for 4.2%. The survey results show that the student group has the same rate as the group aged <23 at 36.6%. This shows the accuracy of the survey data. In addition, the survey results distributed by occupational criteria have a rate almost similar to the sample division rate in chapter 3. Therefore, it can be concluded that the survey data is suitable for use in analysis activities.
- Income structure: the group with income from 3 to 5 million has the highest rate with 39% of the total number of respondents. This is consistent with the income structure of Hanoi people and corresponds to the average income of the group of civil servants and office workers. Those
People with no income account for 23%, income under 3 million VND accounts for 13% and income over 5 million VND accounts for 25%.
4.2 Mobile phone usage in Hanoi inner city area
According to the survey results, most respondents said they had used the phone for more than 1 year, specifically: 68.4% used mobile phones from 4 to 10 years, 23.2% used from 1 to 3 years, 7.8% used for more than 10 years. Those who used mobile phones for less than 1 year accounted for only a very small proportion of ~ 0.6%. (Table 4.1)
Table 4.1: Time spent using mobile phones
Frequency
Ratio (%)
Valid Percentage
Cumulative Percentage
Alid
<1 year
5
.6
.6
.6
1-3 years
194
23.2
23.2
23.8
4-10 years
571
68.4
68.4
92.2
>10 years
65
7.8
7.8
100.0
Total
835
100.0
100.0
The survey indexes on the time of using mobile phones of consumers in the inner city of Hanoi are very impressive for a developing country like Vietnam and also prove that Vietnamese consumers have a lot of experience using this high-tech device. Moreover, with the majority of consumers surveyed having a relatively long time of use (4-10 years), it partly proves that mobile phones have become an important and essential item in peoples daily lives.
When asked about the mobile phone network they are using, 31% of respondents said they are using the network of Vietel company, 29% use the network of
of Mobifone company, 27% use Vinaphone companys network and 13% use networks of other providers such as E-VN telecom, S-fone, Beeline, Vietnammobile. (Figure 4.1).
Figure 4.1: Mobile phone network in use
Compared with the announced market share of mobile telecommunications service providers in Vietnam (Vietel: 36%, Mobifone: 29%, Vinaphone: 28%, the remaining networks: 7%), we see that the survey results do not have many differences. However, the statistics show that there is a difference in the market share of other networks because the Hanoi market is one of the two main markets of small networks, so their market share in this area will certainly be higher than that of the whole country.
According to a report by NielsenMobile (2009) [8], the number of prepaid mobile phone subscribers in Hanoi accounts for 95% of the total number of subscribers, however, the results of this survey show that the percentage of prepaid subscribers has decreased by more than 20%, only at 70.8%. On the contrary, the number of postpaid subscribers tends to increase from 5% in 2009 to 19.2%. Those who are simultaneously using both types of subscriptions account for 10%. (Table 4.2).
Table 4.2: Types of mobile phone subscribers
Frequency
Ratio (%)
Valid Percentage
Cumulative Percentage
Valid
Prepay
591
70.8
70.8
70.8
Pay later
160
19.2
19.2
89.9
Both of the above
84
10.1
10.1
100.0
Total
835
100.0
100.0
The above figures show the change in the psychology and consumption habits of Vietnamese consumers towards mobile telecommunications services, when the use of prepaid subscriptions and junk SIMs is replaced by the use of two types of subscriptions for different purposes and needs or switching to postpaid subscriptions to enjoy better customer care services.
In addition, the majority of respondents have an average spending level for mobile phone services from 100 to 300 thousand VND (406 ~ 48.6% of total respondents). The high spending level (> 500 thousand VND) is the spending level with the lowest number of people with only 8.4%, on the contrary, the low spending level (under 100 thousand VND) accounts for the second highest proportion among the groups of respondents with 25.4%. People with low spending levels mainly fall into the group of students and retirees/housewives - those who have little need to use or mainly use promotional SIM cards. (Table 4.3).
Table 4.3: Spending on mobile phone charges
Frequency
Ratio (%)
Valid Percentage
Cumulative Percentage
Valid
<100,000
212
25.4
25.4
25.4
100-300,000
406
48.6
48.6
74.0
300,000-500,000
147
17.6
17.6
91.6
>500,000
70
8.4
8.4
100.0
Total
835
100.0
100.0
The statistics in Table 4.3 are similar to the percentages in the NielsenMobile survey results (2009) with 73% of mobile phone users having medium spending levels and only 13% having high spending levels.
The survey results also showed that up to 31% ~ nearly one-third of respondents said they sent more than 10 SMS messages/day, meaning that on average they sent 1 SMS message for every working hour. Those with an average SMS message volume (from 3 to 10 messages/day) accounted for 51.1% and those with a low SMS message volume (less than 3 messages/day) accounted for 17%. (Table 4.4)
Table 4.4: Number of SMS messages sent per day
Frequency
Ratio (%)
Valid Percentage
Cumulative Percentage
Valid
<3 news
142
17.0
17.0
17.0
3-10 news
427
51.1
51.1
68.1
>10 news
266
31.9
31.9
100.0
Total
835
100.0
100.0
Similar to sending messages, those with an average message receiving rate (from 3-10 messages/day) accounted for the highest percentage of ~ 55%, followed by those with a high number of messages (over 10 messages/day) ~ 24% and those with a low number of messages received daily (under 3 messages/day) remained at the bottom with 21%. (Table 4.5)
Table 4.5: Number of SMS messages received per day
Frequency
Ratio (%)
Valid Percentage
Cumulative Percentage
Valid
<3 news
175
21.0
21.0
21.0
3-10 news
436
55.0
55.0
76.0
>10 news
197
24.0
24.0
100.0
Total
835
100.0
100.0
When comparing the data of the two result tables 4.4 and 4.5, we can see the reasonableness between the ratio of the number of messages sent and the number of messages received daily by the interview participants.
4.3 Current status of SMS advertising and Mobile Marketing
According to the interview results, in the 3 months from the time of the survey and before, 94% of respondents, equivalent to 785 people, said they received advertising messages, while only a very small percentage of 6% (only 50 people) did not receive advertising messages (Table 4.6).
Table 4.6: Percentage of people receiving advertising messages in the last 3 months
Frequency
Ratio (%)
Valid Percentage
Cumulative Percentage
Valid
Have
785
94.0
94.0
94.0
Are not
50
6.0
6.0
100.0
Total
835
100.0
100.0
The results of Table 4.6 show that consumers in the inner city of Hanoi are very familiar with advertising messages. This result is also the basis for assessing the knowledge, experience and understanding of the respondents in the interview. This is also one of the important factors determining the accuracy of the survey results.
In addition, most respondents said they had received promotional messages, but only 24% of them had ever taken the action of registering to receive promotional messages, while 76% of the remaining respondents did not register to receive promotional messages but still received promotional messages every day. This is the first sign indicating the weaknesses and shortcomings of lax management of this activity in Vietnam. (Table 4.7)
div.maincontent .s1 { color: black; font-family:Times New Roman, serif; font-style: italic; font-weight: normal; text-decoration: none; font-size: 14pt; } div.maincontent .s2 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 14pt; } div.maincontent .s3 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 14pt; } div.maincontent .p { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 14pt; margin:0pt; } div.maincontent p { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 14pt; margin:0pt; } div.maincontent .s4 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 9.5pt; vertical-align: 6pt; } div.maincontent .s5 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 14pt; } div.maincontent .s6 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 14pt; } div.maincontent .s7 { color: black; font-family:Times New Roman, serif; font-style: italic; font-weight: normal; text-decoration: none; font-size: 14pt; } div.maincontent .s8 { color: black; font-family:Times New Roman, serif; font-style: italic; font-weight: bold; text-decoration: none; font-size: 14pt; } div.maincontent .s9 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 14pt; } div.maincontent .s10 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 12pt; } div.maincontent .s11 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: normal; font-size: 14pt; } div.maincontent .s12 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 14pt; } div.maincontent .s13 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 14pt; } div.maincontent .s14 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 13pt; } div.maincontent .s15 { color: black; font-family:Times New Roman, serif; font-style: italic; font-weight: normal; text-decoration: none; font-size: 9.5pt; vertical-align: 6pt; } div.maincontent .s16 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 5.5pt; vertical-align: 3pt; } div.maincontent .s17 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 8.5pt; } div.maincontent .s18 { color: black; font-family:Times New Roman, serif; font-style: italic; font-weight: bold; font-size: 14pt; } div.maincontent .s19 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: bold; font-size: 14pt; } div.maincontent .s20 { color: black; font-family:Times New Roman, serif; font-style: italic; font-weight: normal; text-decoration: none; font-size: 13pt; } div.maincontent .s21 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 14pt; } div.maincontent .s22 { color: black; font-family:Courier New, monospace; font-style: normal; font-weight: normal; text-decoration: none; font-size: 14pt; } div.maincontent .s23 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 13pt; } div.maincontent .s24 { color: black; font-family:Times New Roman, serif; font-style: italic; font-weight: normal; text-decoration: none; font-size: 13pt; } div.maincontent .s25 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 14pt; } div.maincontent .s26 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 14pt; } div.maincontent .s27 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 1.5pt; } div.maincontent .s28 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 11pt; } div.maincontent .s29 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 13pt; } div.maincontent .s30 { color: black; font-family:Times New Roman, serif; font-style: italic; font-weight: bold; text-decoration: none; font-size: 13pt; } div.maincontent .s31 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 13pt; } div.maincontent .s32 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 10.5pt; } div.maincontent .s33 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 11pt; } div.maincontent .s35 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 10.5pt; } div.maincontent .s36 { color: #F00; font-family:Arial, sans-serif; font-style: italic; font-weight: bold; text-decoration: none; font-size: 10.5pt; } div.maincontent .s37 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 10.5pt; } div.maincontent .s38 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 8.5pt; vertical-align: 5pt; } div.maincontent .s39 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 10.5pt; } div.maincontent .s40 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 7pt; vertical-align: 4pt; } div.maincontent .s41 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 10.5pt; } div.maincontent .s42 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 11pt; } div.maincontent .s43 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 7.5pt; vertical-align: 5pt; } div.maincontent .s44 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 7pt; vertical-align: 5pt; } div.maincontent .s45 { color: #F00; font-family:Arial, sans-serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 10.5pt; } div.maincontent .s46 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 7pt; vertical-align: 5pt; } div.maincontent .s47 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 11pt; } div.maincontent .s48 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 14pt; } div.maincontent .s49 { color: black; font-family:Times New Roman, serif; font-style: italic; font-weight: normal; text-decoration: none; font-size: 9.5pt; vertical-align: -2pt; } div.maincontent .s50 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 9.5pt; } div.maincontent .s51 { color: black; font-family:Times New Roman, serif; font-style: italic; font-weight: normal; text-decoration: none; font-size: 9.5pt; vertical-align: -1pt; } div.maincontent .s52 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 9.5pt; vertical-align: -2pt; } div.maincontent .s53 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 13pt; } div.maincontent .s54 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 9.5pt; vertical-align: -1pt; } div.maincontent .s55 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 10.5pt; } div.maincontent .s56 { color: #00F; font-family:Times New Roman, serif; font-style: normal; font-weight: normal; font-size: 14pt; } div.maincontent .s57 { color: #00F; font-family:Times New Roman, serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 14pt; } div.maincontent .s58 { color: #00F; font-family:Times New Roman, serif; font-style: normal; font-weight: normal; font-size: 14pt; } div.maincontent .s59 { color: #00F; font-family:Times New Roman, serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 13pt; } div.maincontent .s60 { color: #00F; font-family:Times New Roman, serif; font-style: normal; font-weight: normal; font-size: 13pt; } div.maincontent .s61 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 14pt; } div.maincontent .s62 { color: black; font-family:Times New Roman, serif; font-style: italic; font-weight: bold; text-decoration: none; font-size: 14pt; } div.maincontent .s63 { color: black; font-family:Times New Roman, serif; font-style: italic; font-weight: bold; text-decoration: none; font-size: 14pt; } div.maincontent .content_head2 { color: #F00; font-family:Times New Roman, serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 14pt; } div.maincontent .s64 { color: black; font-family:Times New Roman, serif; font-style: italic; font-weight: bold; text-decoration: none; font-size: 13pt; } div.maincontent .s67 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 9.5pt; } div.maincontent .s68 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 12pt; } div.maincontent .s69 { color: black; font-family:Times New Roman, serif; font-style: italic; font-weight: normal; text-decoration: none; font-size: 12pt; } div.maincontent .s70 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: normal; tex](data:image/svg+xml,%3Csvg%20xmlns=%22http://www.w3.org/2000/svg%22%20viewBox=%220%200%2075%2075%22%3E%3C/svg%3E)
Mobile Phone Usage in Hanoi Inner City Area
zt2i3t4l5ee
zt2a3gsconsumer,consumption,consumer behavior,marketing,mobile marketing
zt2a3ge
zc2o3n4t5e6n7ts
- Test the relationship between demographic variables and consumer behavior for Mobile Marketing activities
The analysis method used is the Chi-square test (χ2), with statistical hypotheses H0 and H1 and significance level α = 0.05. In case the P index (p-value) or Sig. index in SPSS has a value less than or equal to the significance level α, the hypothesis H0 is rejected and vice versa. With this testing procedure, the study can evaluate the difference in behavioral trends between demographic groups.
CHAPTER 4
RESEARCH RESULTS
During two months, 1,100 survey questionnaires were distributed to mobile phone users in the inner city of Hanoi using various methods such as direct interviews, sending via email or using questionnaires designed on the Internet. At the end of the survey, after checking and eliminating erroneous questionnaires, the study collected 858 complete questionnaires, equivalent to a rate of about 78%. In addition, the research subjects of the thesis are only people who are using mobile phones, so people who do not use mobile phones are not within the scope of the thesis, therefore, the questionnaires with the option of not using mobile phones were excluded from the scope of analysis. The number of suitable survey questionnaires included in the statistical analysis was 835.
4.1 Demographic characteristics of the sample
The structure of the survey sample is divided and statistically analyzed according to criteria such as gender, age, occupation, education level and personal income. (Detailed statistical table in Appendix 6)
- Gender structure: Of the 835 completed questionnaires, 49.8% of respondents were male, equivalent to 416 people, and 50.2% were female, equivalent to 419 people. The survey results of the study are completely consistent with the gender ratio in the population structure of Vietnam in general and Hanoi in particular (Male/Female: 49/51).
- Age structure: 36.6% of respondents are <23 years old, equivalent to 306 people. People from 23-34 years old
accounting for the highest proportion: 44.8% equivalent to 374 people, people aged 35-45 and >45 are 70 and 85 people equivalent to 8.4% and 10.2% respectively. Looking at the results of this survey, we can see that the young people - youth account for a large proportion of the total number of people participating in the survey. Meanwhile, the middle-aged people including two age groups of 35 - 45 and >45 have a low rate of participation in the survey. This is completely consistent with the reality when Mobile Marketing is identified as a Marketing service aimed at young people (people under 35 years old).
- Structure by educational level: among 835 valid responses, 541 respondents had university degrees, accounting for the highest proportion of ~ 75%, 102 had secondary school degrees, ~ 13.1%, and 93 had post-graduate degrees, ~ 11.9%.
- Occupational structure: office workers and civil servants are the group with the highest rate of participation with 39.4%, followed by students with 36.6%. Self-employed people account for 12%, retired housewives are 7.8% and other occupational groups account for 4.2%. The survey results show that the student group has the same rate as the group aged <23 at 36.6%. This shows the accuracy of the survey data. In addition, the survey results distributed by occupational criteria have a rate almost similar to the sample division rate in chapter 3. Therefore, it can be concluded that the survey data is suitable for use in analysis activities.
- Income structure: the group with income from 3 to 5 million has the highest rate with 39% of the total number of respondents. This is consistent with the income structure of Hanoi people and corresponds to the average income of the group of civil servants and office workers. Those
People with no income account for 23%, income under 3 million VND accounts for 13% and income over 5 million VND accounts for 25%.
4.2 Mobile phone usage in Hanoi inner city area
According to the survey results, most respondents said they had used the phone for more than 1 year, specifically: 68.4% used mobile phones from 4 to 10 years, 23.2% used from 1 to 3 years, 7.8% used for more than 10 years. Those who used mobile phones for less than 1 year accounted for only a very small proportion of ~ 0.6%. (Table 4.1)
Table 4.1: Time spent using mobile phones
Frequency
Ratio (%)
Valid Percentage
Cumulative Percentage
Alid
<1 year
5
.6
.6
.6
1-3 years
194
23.2
23.2
23.8
4-10 years
571
68.4
68.4
92.2
>10 years
65
7.8
7.8
100.0
Total
835
100.0
100.0
The survey indexes on the time of using mobile phones of consumers in the inner city of Hanoi are very impressive for a developing country like Vietnam and also prove that Vietnamese consumers have a lot of experience using this high-tech device. Moreover, with the majority of consumers surveyed having a relatively long time of use (4-10 years), it partly proves that mobile phones have become an important and essential item in people's daily lives.
When asked about the mobile phone network they are using, 31% of respondents said they are using the network of Vietel company, 29% use the network of
of Mobifone company, 27% use Vinaphone company's network and 13% use networks of other providers such as E-VN telecom, S-fone, Beeline, Vietnammobile. (Figure 4.1).
Figure 4.1: Mobile phone network in use
Compared with the announced market share of mobile telecommunications service providers in Vietnam (Vietel: 36%, Mobifone: 29%, Vinaphone: 28%, the remaining networks: 7%), we see that the survey results do not have many differences. However, the statistics show that there is a difference in the market share of other networks because the Hanoi market is one of the two main markets of small networks, so their market share in this area will certainly be higher than that of the whole country.
According to a report by NielsenMobile (2009) [8], the number of prepaid mobile phone subscribers in Hanoi accounts for 95% of the total number of subscribers, however, the results of this survey show that the percentage of prepaid subscribers has decreased by more than 20%, only at 70.8%. On the contrary, the number of postpaid subscribers tends to increase from 5% in 2009 to 19.2%. Those who are simultaneously using both types of subscriptions account for 10%. (Table 4.2).
Table 4.2: Types of mobile phone subscribers
Frequency
Ratio (%)
Valid Percentage
Cumulative Percentage
Valid
Prepay
591
70.8
70.8
70.8
Pay later
160
19.2
19.2
89.9
Both of the above
84
10.1
10.1
100.0
Total
835
100.0
100.0
The above figures show the change in the psychology and consumption habits of Vietnamese consumers towards mobile telecommunications services, when the use of prepaid subscriptions and junk SIMs is replaced by the use of two types of subscriptions for different purposes and needs or switching to postpaid subscriptions to enjoy better customer care services.
In addition, the majority of respondents have an average spending level for mobile phone services from 100 to 300 thousand VND (406 ~ 48.6% of total respondents). The high spending level (> 500 thousand VND) is the spending level with the lowest number of people with only 8.4%, on the contrary, the low spending level (under 100 thousand VND) accounts for the second highest proportion among the groups of respondents with 25.4%. People with low spending levels mainly fall into the group of students and retirees/housewives - those who have little need to use or mainly use promotional SIM cards. (Table 4.3).
Table 4.3: Spending on mobile phone charges
Frequency
Ratio (%)
Valid Percentage
Cumulative Percentage
Valid
<100,000
212
25.4
25.4
25.4
100-300,000
406
48.6
48.6
74.0
300,000-500,000
147
17.6
17.6
91.6
>500,000
70
8.4
8.4
100.0
Total
835
100.0
100.0
The statistics in Table 4.3 are similar to the percentages in the NielsenMobile survey results (2009) with 73% of mobile phone users having medium spending levels and only 13% having high spending levels.
The survey results also showed that up to 31% ~ nearly one-third of respondents said they sent more than 10 SMS messages/day, meaning that on average they sent 1 SMS message for every working hour. Those with an average SMS message volume (from 3 to 10 messages/day) accounted for 51.1% and those with a low SMS message volume (less than 3 messages/day) accounted for 17%. (Table 4.4)
Table 4.4: Number of SMS messages sent per day
Frequency
Ratio (%)
Valid Percentage
Cumulative Percentage
Valid
<3 news
142
17.0
17.0
17.0
3-10 news
427
51.1
51.1
68.1
>10 news
266
31.9
31.9
100.0
Total
835
100.0
100.0
Similar to sending messages, those with an average message receiving rate (from 3-10 messages/day) accounted for the highest percentage of ~ 55%, followed by those with a high number of messages (over 10 messages/day) ~ 24% and those with a low number of messages received daily (under 3 messages/day) remained at the bottom with 21%. (Table 4.5)
Table 4.5: Number of SMS messages received per day
Frequency
Ratio (%)
Valid Percentage
Cumulative Percentage
Valid
<3 news
175
21.0
21.0
21.0
3-10 news
436
55.0
55.0
76.0
>10 news
197
24.0
24.0
100.0
Total
835
100.0
100.0
When comparing the data of the two result tables 4.4 and 4.5, we can see the reasonableness between the ratio of the number of messages sent and the number of messages received daily by the interview participants.
4.3 Current status of SMS advertising and Mobile Marketing
According to the interview results, in the 3 months from the time of the survey and before, 94% of respondents, equivalent to 785 people, said they received advertising messages, while only a very small percentage of 6% (only 50 people) did not receive advertising messages (Table 4.6).
Table 4.6: Percentage of people receiving advertising messages in the last 3 months
Frequency
Ratio (%)
Valid Percentage
Cumulative Percentage
Valid
Have
785
94.0
94.0
94.0
Are not
50
6.0
6.0
100.0
Total
835
100.0
100.0
The results of Table 4.6 show that consumers in the inner city of Hanoi are very familiar with advertising messages. This result is also the basis for assessing the knowledge, experience and understanding of the respondents in the interview. This is also one of the important factors determining the accuracy of the survey results.
In addition, most respondents said they had received promotional messages, but only 24% of them had ever taken the action of registering to receive promotional messages, while 76% of the remaining respondents did not register to receive promotional messages but still received promotional messages every day. This is the first sign indicating the weaknesses and shortcomings of lax management of this activity in Vietnam. (Table 4.7)
div.maincontent .s1 { color: black; font-family:"Times New Roman", serif; font-style: italic; font-weight: normal; text-decoration: none; font-size: 14pt; } div.maincontent .s2 { color: black; font-family:"Times New Roman", serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 14pt; } div.maincontent .s3 { color: black; font-family:"Times New Roman", serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 14pt; } div.maincontent .p { color: black; font-family:"Times New Roman", serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 14pt; margin:0pt; } div.maincontent p { color: black; font-family:"Times New Roman", serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 14pt; margin:0pt; } div.maincontent .s4 { color: black; font-family:"Times New Roman", serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 9.5pt; vertical-align: 6pt; } div.maincontent .s5 { color: black; font-family:"Times New Roman", serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 14pt; } div.maincontent .s6 { color: black; font-family:"Times New Roman", serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 14pt; } div.maincontent .s7 { color: black; font-family:"Times New Roman", serif; font-style: italic; font-weight: normal; text-decoration: none; font-size: 14pt; } div.maincontent .s8 { color: black; font-family:"Times New Roman", serif; font-style: italic; font-weight: bold; text-decoration: none; font-size: 14pt; } div.maincontent .s9 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 14pt; } div.maincontent .s10 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 12pt; } div.maincontent .s11 { color: black; font-family:"Times New Roman", serif; font-style: normal; font-weight: normal; font-size: 14pt; } div.maincontent .s12 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 14pt; } div.maincontent .s13 { color: black; font-family:"Times New Roman", serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 14pt; } div.maincontent .s14 { color: black; font-family:"Times New Roman", serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 13pt; } div.maincontent .s15 { color: black; font-family:"Times New Roman", serif; font-style: italic; font-weight: normal; text-decoration: none; font-size: 9.5pt; vertical-align: 6pt; } div.maincontent .s16 { color: black; font-family:"Times New Roman", serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 5.5pt; vertical-align: 3pt; } div.maincontent .s17 { color: black; font-family:"Times New Roman", serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 8.5pt; } div.maincontent .s18 { color: black; font-family:"Times New Roman", serif; font-style: italic; font-weight: bold; font-size: 14pt; } div.maincontent .s19 { color: black; font-family:"Times New Roman", serif; font-style: normal; font-weight: bold; font-size: 14pt; } div.maincontent .s20 { color: black; font-family:"Times New Roman", serif; font-style: italic; font-weight: normal; text-decoration: none; font-size: 13pt; } div.maincontent .s21 { color: black; font-family:"Times New Roman", serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 14pt; } div.maincontent .s22 { color: black; font-family:"Courier New", monospace; font-style: normal; font-weight: normal; text-decoration: none; font-size: 14pt; } div.maincontent .s23 { color: black; font-family:"Times New Roman", serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 13pt; } div.maincontent .s24 { color: black; font-family:"Times New Roman", serif; font-style: italic; font-weight: normal; text-decoration: none; font-size: 13pt; } div.maincontent .s25 { color: black; font-family:"Times New Roman", serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 14pt; } div.maincontent .s26 { color: black; font-family:"Times New Roman", serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 14pt; } div.maincontent .s27 { color: black; font-family:"Times New Roman", serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 1.5pt; } div.maincontent .s28 { color: black; font-family:"Times New Roman", serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 11pt; } div.maincontent .s29 { color: black; font-family:"Times New Roman", serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 13pt; } div.maincontent .s30 { color: black; font-family:"Times New Roman", serif; font-style: italic; font-weight: bold; text-decoration: none; font-size: 13pt; } div.maincontent .s31 { color: black; font-family:"Times New Roman", serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 13pt; } div.maincontent .s32 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 10.5pt; } div.maincontent .s33 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 11pt; } div.maincontent .s35 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 10.5pt; } div.maincontent .s36 { color: #F00; font-family:Arial, sans-serif; font-style: italic; font-weight: bold; text-decoration: none; font-size: 10.5pt; } div.maincontent .s37 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 10.5pt; } div.maincontent .s38 { color: black; font-family:"Times New Roman", serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 8.5pt; vertical-align: 5pt; } div.maincontent .s39 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 10.5pt; } div.maincontent .s40 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 7pt; vertical-align: 4pt; } div.maincontent .s41 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 10.5pt; } div.maincontent .s42 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 11pt; } div.maincontent .s43 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 7.5pt; vertical-align: 5pt; } div.maincontent .s44 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 7pt; vertical-align: 5pt; } div.maincontent .s45 { color: #F00; font-family:Arial, sans-serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 10.5pt; } div.maincontent .s46 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 7pt; vertical-align: 5pt; } div.maincontent .s47 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 11pt; } div.maincontent .s48 { color: black; font-family:"Times New Roman", serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 14pt; } div.maincontent .s49 { color: black; font-family:"Times New Roman", serif; font-style: italic; font-weight: normal; text-decoration: none; font-size: 9.5pt; vertical-align: -2pt; } div.maincontent .s50 { color: black; font-family:"Times New Roman", serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 9.5pt; } div.maincontent .s51 { color: black; font-family:"Times New Roman", serif; font-style: italic; font-weight: normal; text-decoration: none; font-size: 9.5pt; vertical-align: -1pt; } div.maincontent .s52 { color: black; font-family:"Times New Roman", serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 9.5pt; vertical-align: -2pt; } div.maincontent .s53 { color: black; font-family:"Times New Roman", serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 13pt; } div.maincontent .s54 { color: black; font-family:"Times New Roman", serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 9.5pt; vertical-align: -1pt; } div.maincontent .s55 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 10.5pt; } div.maincontent .s56 { color: #00F; font-family:"Times New Roman", serif; font-style: normal; font-weight: normal; font-size: 14pt; } div.maincontent .s57 { color: #00F; font-family:"Times New Roman", serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 14pt; } div.maincontent .s58 { color: #00F; font-family:"Times New Roman", serif; font-style: normal; font-weight: normal; font-size: 14pt; } div.maincontent .s59 { color: #00F; font-family:"Times New Roman", serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 13pt; } div.maincontent .s60 { color: #00F; font-family:"Times New Roman", serif; font-style: normal; font-weight: normal; font-size: 13pt; } div.maincontent .s61 { color: black; font-family:"Times New Roman", serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 14pt; } div.maincontent .s62 { color: black; font-family:"Times New Roman", serif; font-style: italic; font-weight: bold; text-decoration: none; font-size: 14pt; } div.maincontent .s63 { color: black; font-family:"Times New Roman", serif; font-style: italic; font-weight: bold; text-decoration: none; font-size: 14pt; } div.maincontent .content_head2 { color: #F00; font-family:"Times New Roman", serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 14pt; } div.maincontent .s64 { color: black; font-family:"Times New Roman", serif; font-style: italic; font-weight: bold; text-decoration: none; font-size: 13pt; } div.maincontent .s67 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 9.5pt; } div.maincontent .s68 { color: black; font-family:"Times New Roman", serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 12pt; } div.maincontent .s69 { color: black; font-family:"Times New Roman", serif; font-style: italic; font-weight: normal; text-decoration: none; font-size: 12pt; } div.maincontent .s70 { color: black; font-family:"Times New Roman", serif; font-style: normal; font-weight: normal; tex -
![Pre-tax Profit of Bidv Tien Giang in the Period 2011-2015
zt2i3t4l5ee
zt2a3gsnon-credit services, joint stock commercial bank
zt2a3ge
zc2o3n4t5e6n7ts
At that time, the Branch had to set aside a provision for credit risks, which reduced the Branchs income.
Chart 2.2. Pre-tax profit of BIDV Tien Giang in the period 2011-2015
Unit: Billion VND
140
120
100
80
60
40
20
0
63.3
80.34
89.29
110.08
131.99
2011 2012 2013 2014 2015
Profit before tax
(Source: Report on the implementation of the annual business plan of the General Planning Department of BIDV Tien Giang [24])
However, through chart 2.2, it can be seen that BIDV Tien Giangs profit is still increasing continuously, and its operating efficiency is currently leaking. This is a contribution of non-credit services, and this service segment will be increasingly focused on growth by BIDV Tien Giang to ensure the highest profit safety because credit activities have many potential risks. At the same time, focusing on developing non-credit services is consistent with one of the contents of restructuring the financial activities of credit institutions in the project Restructuring the system of credit institutions in the period 2011-2015 approved by the Prime Minister in Decision No. 254/QD-TTg dated March 1, 2012 [14]: Gradually shifting the business model of commercial banks towards reducing dependence on credit activities and increasing income from non-credit services.
2.2. Current status of non-credit service development at BIDV Tien Giang.
2.2.1. BIDV Tien Giang has deployed the development of non-credit services in recent times.
Along with the development of the Head Office, BIDV Tien Giangs products and services are constantly improved and deployed in a diverse manner to ensure provision for many different customer groups in the area: individual customers, corporate customers, and financial institutions. Typical services are as follows: Payment services, treasury services, guarantee services, card services, trade finance, other services: Western Union, insurance commissions, consulting services, foreign exchange derivatives trading, e-banking services,...
2.2.1.1. Payment services:
In accordance with the Prime Ministers Project to promote non-cash payments in Vietnam [15], banks in Tien Giang province have continuously developed payment services to reduce customers cash usage habits through card services and electronic banking services such as: salary payment through accounts, focusing on developing card acceptance points, developing multi-purpose cards, paying social insurance by transfer, paying bills through banks, etc.
Chart 2.3. Net income from payment services in the period 2011-2015
Unit: Million VND
6000
5000
4000
3000
2000
1000
0
3922 4065
4720 5084 5324
2011 2012 2013 2014 2015
Net income from payment services
(Source: Report on the implementation of the annual business plan of the General Planning Department of BIDV Tien Giang [24])
Along with the technological development of the entire system, BIDV Tien Giang has a payment system with a fairly stable transaction processing speed, bringing many conveniences to customers. The results of observing chart 2.3 show that the income from payment services that the Branch has achieved has grown over the years but the speed is not high and the products are not outstanding compared to other banks. Domestic payment products such as: Online bill payment, electricity bills, water bills, insurance premiums, cable TV bills, telecommunications fees, airline tickets, etc. bring many conveniences to customers. Regarding international payment, this is an indispensable activity for foreign economic activities, BIDV Tien Giang is providing international payment methods for small enterprises producing agriculture, aquatic food and seafood that have credit relationships with banks in industrial parks in Tien Giang province such as: money transfer, collection, L/C payment.
2.2.1.2. Treasury services:
BIDV Tien Giang always focuses on ensuring treasury safety and currency security, always complies with legal regulations, and minimizes risks in operations such as: counting and collecting money from customers, receiving and delivering internal transactions, collecting from the State Bank (SBV) or other credit institutions, receiving ATM funds, bundling money, etc. BIDV Tien Giangs treasury service management department is always fully equipped with modern machinery and equipment such as: money transport vehicles, fire prevention tools, money counters, money detectors, magnifying glasses, etc. to ensure absolute safety in treasury operations, immediately identifying real and fake money and other risks that may affect people and assets of the bank and customers. In addition, implementing regulation 2480/QC dated October 28, 2008 between the State Bank of Tien Giang province and the Provincial Police on coordination in the fight against counterfeit money, in the 3-year review of implementation, BIDV Tien Giang discovered, seized and submitted to the State Bank of Tien Giang province 475 banknotes of various denominations and was commended by the Provincial Police and the State Bank of Tien Giang province [17].
Chart 2.4. Net income from treasury services in the period 2011-2015
Unit: Million VND
350
300
250
200
150
100
50
0
105 122
309 289 279
2011 2012 2013 2014 2015
Net income from treasury services
(Source: Report on the implementation of the annual business plan of the General Planning Department of BIDV Tien Giang [24])
However, as shown in Figure 2.4, income from treasury operations is not high and fluctuates. Specifically, in the period 2011-2013, net income increased and increased most sharply in 2013, then in the period 2013-2015, there was a downward trend. This fluctuation is due to the fact that fees collected from treasury services are often very low and can even be waived to attract customers to use other services.
2.2.1.3. Guarantee and trade finance services:
BIDV Tien Giang, thanks to the advantages of the province and the favorable location of the Branch, has continuously focused on developing income from guarantee services and trade finance.
Chart 2.5. Net income from guarantee and trade finance services in the period 2011-2015
Unit: Million VND
14000
12000
10000
8000
6000
4000
2000
0
5193 5695
2742 3420
8889
3992
11604 12206
5143 5312
2011 2012 2013 2014 2015
Net income from guarantee services Net income from Trade Finance
(Source: Report on the implementation of the annual business plan of the General Planning Department of BIDV Tien Giang [24])
Through chart 2.5, we can see that BIDV Tien Giangs income from guarantee services and trade finance has grown over the years. The reason is: Among BIDV Tien Giangs corporate customers, the construction industry is the industry with the highest proportion of customers after the trading industry, this is a group of customers with potential to develop guarantee services. The second group of customers is corporate customers in the fields of agricultural production, livestock and seafood processing with high import and export turnover in the area.
are the target of trade finance development. In addition, BIDV Tien Giang also focuses on continuously developing these customer groups to increase revenue for many other products and services in the future.
2.2.1.4. Card and POS services:
As a service that BIDV Tien Giang has recently developed strongly, it can be said that this is a very potential market and has the ability to develop even more strongly in the future. Card services with outstanding advantages such as fast payment time, wide payment range, quite safe, effective and suitable for the integration trend and the Project to promote non-cash payments in Vietnam. Cards have become a modern and popular payment tool. BIDV Tien Giang early identified that developing card services is to expand the market to people in society, create capital mobilized from card-opened accounts, contribute to diversifying banking activities, enhance the image of the bank, bring the BIDV Tien Giang brand to people as quickly and easily as possible. BIDV Tien Giang is currently providing card types such as: credit cards (BIDV MasterCard Platinum, BIDV Visa Gold Precious, BIDV Visa Manchester United, BIDV Visa Classic), international debit cards (BIDV Ready Card, BIDV Manu Debit Card), domestic debit cards (BIDV Harmony Card, BIDV eTrans Card, BIDV Moving Card, BIDV-Lingo Co-branded Card, BIDV-Co.opmart Co-branded Card). These cards can be paid via POS/EDC or on the ATM system. In addition, with debit cards, customers can not only withdraw money via ATMs but also perform utilities such as mobile top-up, online payment, money transfer,... through electronic banking services.
In order to attract customers with card services, BIDV Tien Giang has continuously increased the installation of ATMs. As of December 31, 2015, BIDV Tien Giang has 23 ATMs combined with 7 ATMs in the same system of BIDV My Tho, so the number of ATMs is quite large, especially in the center of My Tho City, but is not yet fully present in the districts. Basic services on ATMs such as withdrawing money, checking balances, printing short statements,... BIDV ATMs accept cards from banks in the system.
Banknetvn and Smartlink, cards branded by international card organizations Union Pay (CUP), VISA, MasterCard and cards of banks in the Asian Payment Network. From here, cardholders can make bill payments for themselves or others at ATMs, by simply entering the subscriber number or customer code, booking code that service providers notify and make bill payments.
Chart 2.6. Net income from card services in the period 2011-2015
Unit: Million VND
3500
3000
2500
2000
1500
1000
500
0
687
1023
1547
2267
3104
2011 2012 2013 2014 2015
Net income from card services
(Source: Report on the implementation of the annual business plan of the General Planning Department of BIDV Tien Giang [24])
Through chart 2.6, it can be seen that BIDV Tien Giangs card service income is constantly growing because the Branch focuses on developing businesses operating in industrial parks, which are the source of customers for salary payment products, ATMs, BSMS. Specifically, there are companies such as Freeview, Quang Viet, Dai Thanh, which are businesses with a large number of card openings at the Branch, contributing to the increase in card service fees [25].
Table 2.6. Number of ATMs and POS machines in 2015 of some banks in Tien Giang area.
Unit: Machine
STT
Bank name
Number of ATMs
Cumulative number of ATM cards
POS machine
1
BIDV Tien Giang
23
97,095
22
2
BIDV My Tho
7
21,325
0
3
Agribank Tien Giang
29
115,743
77
4
Vietinbank Tien Giang
16
100,052
54
5
Dong A Tien Giang
26
97,536
11
6
Sacombank Tien Giang
24
88,513
27
7
Vietcombank Tien Giang
15
61,607
96
8
Vietinbank - Tay Tien Giang Branch
6
46,042
38
(Source: 2015 Banking Activity Data Report of the General and Internal Control Department of the Provincial State Bank [21])
Through table 2.6, the author finds that the number of ATMs of BIDV Tien Giang is not much, ranking fourth after Agribank Tien Giang, Dong A Tien Giang, Sacombank Tien Giang. The number of POS machines of BIDV Tien Giang is very small, only higher than Dong A Tien Giang and BIDV My Tho in the initial stages of merging the BIDV system. Besides, BIDV Tien Giang has a high number of cards increasing over the years (table 2.7) but the cumulative number of cards issued up to December 31, 2015 is still relatively low compared to Agribank, Vietcombank, Dong A (table 2.6).
div.maincontent .content_head3 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 14pt; }
div.maincontent .p { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 14pt; margin:0pt; }
div.maincontent p { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 14pt; margin:0pt; }
div.maincontent .s1 { color: black; font-family:Courier New, monospace; font-style: normal; font-weight: normal; text-decoration: none; font-size: 14pt; }
div.maincontent .s2 { color: black; font-family:Times New Roman, serif; font-style: italic; font-weight: normal; text-decoration: none; font-size: 13pt; }
div.maincontent .s3 { color: black; font-family:Times New Roman, serif; font-style: italic; font-weight: bold; text-decoration: none; font-size: 14pt; }
div.maincontent .s4 { color: black; font-family:Times New Roman, serif; font-style: italic; font-weight: normal; text-decoration: none; font-size: 14pt; }
div.maincontent .s5 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 14pt; }
div.maincontent .s6 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 14pt; }
div.maincontent .s7 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 13.5pt; }
div.maincontent .s8 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 9pt; }
div.maincontent .s9 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 9pt; vertical-align: -2pt; }
div.maincontent .s10 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 9pt; vertical-align: 5pt; }
div.maincontent .s11 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 9pt; vertical-align: -5pt; }
div.maincontent .s12 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 9pt; vertical-align: -3pt; }
div.maincontent .s13 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 9pt; vertical-align: -4pt; }
div.maincontent .s14 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 7.5pt; }
div.maincontent .s15 { color: black; font-family:Times New Roman, serif; font-style: italic; font-weight: normal; text-decoration: none; font-size: 14pt; }
div.maincontent .s16 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 10.5pt; }
div.maincontent .s17 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 9.5pt; }
div.maincontent .s18 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 10.5pt; vertical-align: -1pt; }
div.maincontent .s19 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 10.5pt; vertical-align: -5pt; }
div.maincontent .s20 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 10.5pt; vertical-align: -2pt; }
div.maincontent .s21 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 10pt; }
div.maincontent .s22 { color: black; font-family:Calibri, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 10.5pt; }
div.maincontent .s23 { color: black; font-family:Calibri, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 10.5pt; vertical-align: -3pt; }
div.maincontent .s24 { color: black; font-family:Calibri, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 10.5pt; vertical-align: -5pt; }
div.maincontent .s25 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 10.5pt; }
div.maincontent .s26 { color: black; font-family:Calibri, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 10.5pt; vertical-align: -4pt; }
div.maincontent .s27 { color: black; font-family:Calibri, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 10.5pt; vertical-align: -6pt; }
div.maincontent .s28 { color: black; font-family:Calibri, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 10.5pt; vertical-align: -1pt; }
div.maincontent .s29 { color: black; font-family:Calibri, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 11.5pt; }
div.maincontent .s30 { color: black; font-family:Calibri, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 11pt; }
div.maincontent .s31 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 11pt; }
div.maincontent .s32 { color: black; font-family:.VnTime, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 14pt; }
div.maincontent .s33 { color: black; font-family:Cambria, serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 10.5pt; }
div.maincontent .s34 { color: black; font-family:Cambria, serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 10.5pt; vertical-align: -4pt; }
div.maincontent .s35 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 11.5pt; }
div.maincontent .s36 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 14pt; }
div.maincontent .s37 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 13pt; }
div.maincontent .s38 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 13pt; }
div.maincontent .s39 { color: black; font-family:Times New Roman, serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 15pt; }
div.maincontent .s40 { color: black; font-family:Times New Roman, serif; font-style: normal; fo](https://tailieuthamkhao.com/uploads/2022/06/06/dich-vu-phi-tin-dung-tai-ngan-hang-thuong-mai-co-phan-dau-tu-va-phat-8-1-120x90.png)
Pre-tax Profit of Bidv Tien Giang in the Period 2011-2015
zt2i3t4l5ee
zt2a3gsnon-credit services, joint stock commercial bank
zt2a3ge
zc2o3n4t5e6n7ts
At that time, the Branch had to set aside a provision for credit risks, which reduced the Branch's income.
Chart 2.2. Pre-tax profit of BIDV Tien Giang in the period 2011-2015
Unit: Billion VND
140
120
100
80
60
40
20
0
63.3
80.34
89.29
110.08
131.99
2011 2012 2013 2014 2015
Profit before tax
(Source: Report on the implementation of the annual business plan of the General Planning Department of BIDV Tien Giang [24])
However, through chart 2.2, it can be seen that BIDV Tien Giang's profit is still increasing continuously, and its operating efficiency is currently leaking. This is a contribution of non-credit services, and this service segment will be increasingly focused on growth by BIDV Tien Giang to ensure the highest profit safety because credit activities have many potential risks. At the same time, focusing on developing non-credit services is consistent with one of the contents of restructuring the financial activities of credit institutions in the project "Restructuring the system of credit institutions in the period 2011-2015" approved by the Prime Minister in Decision No. 254/QD-TTg dated March 1, 2012 [14]: "Gradually shifting the business model of commercial banks towards reducing dependence on credit activities and increasing income from non-credit services".
2.2. Current status of non-credit service development at BIDV Tien Giang.
2.2.1. BIDV Tien Giang has deployed the development of non-credit services in recent times.
Along with the development of the Head Office, BIDV Tien Giang's products and services are constantly improved and deployed in a diverse manner to ensure provision for many different customer groups in the area: individual customers, corporate customers, and financial institutions. Typical services are as follows: Payment services, treasury services, guarantee services, card services, trade finance, other services: Western Union, insurance commissions, consulting services, foreign exchange derivatives trading, e-banking services,...
2.2.1.1. Payment services:
In accordance with the Prime Minister's Project to promote non-cash payments in Vietnam [15], banks in Tien Giang province have continuously developed payment services to reduce customers' cash usage habits through card services and electronic banking services such as: salary payment through accounts, focusing on developing card acceptance points, developing multi-purpose cards, paying social insurance by transfer, paying bills through banks, etc.
Chart 2.3. Net income from payment services in the period 2011-2015
Unit: Million VND
6000
5000
4000
3000
2000
1000
0
3922 4065
4720 5084 5324
2011 2012 2013 2014 2015
Net income from payment services
(Source: Report on the implementation of the annual business plan of the General Planning Department of BIDV Tien Giang [24])
Along with the technological development of the entire system, BIDV Tien Giang has a payment system with a fairly stable transaction processing speed, bringing many conveniences to customers. The results of observing chart 2.3 show that the income from payment services that the Branch has achieved has grown over the years but the speed is not high and the products are not outstanding compared to other banks. Domestic payment products such as: Online bill payment, electricity bills, water bills, insurance premiums, cable TV bills, telecommunications fees, airline tickets, etc. bring many conveniences to customers. Regarding international payment, this is an indispensable activity for foreign economic activities, BIDV Tien Giang is providing international payment methods for small enterprises producing agriculture, aquatic food and seafood that have credit relationships with banks in industrial parks in Tien Giang province such as: money transfer, collection, L/C payment.
2.2.1.2. Treasury services:
BIDV Tien Giang always focuses on ensuring treasury safety and currency security, always complies with legal regulations, and minimizes risks in operations such as: counting and collecting money from customers, receiving and delivering internal transactions, collecting from the State Bank (SBV) or other credit institutions, receiving ATM funds, bundling money, etc. BIDV Tien Giang's treasury service management department is always fully equipped with modern machinery and equipment such as: money transport vehicles, fire prevention tools, money counters, money detectors, magnifying glasses, etc. to ensure absolute safety in treasury operations, immediately identifying real and fake money and other risks that may affect people and assets of the bank and customers. In addition, implementing regulation 2480/QC dated October 28, 2008 between the State Bank of Tien Giang province and the Provincial Police on coordination in the fight against counterfeit money, in the 3-year review of implementation, BIDV Tien Giang discovered, seized and submitted to the State Bank of Tien Giang province 475 banknotes of various denominations and was commended by the Provincial Police and the State Bank of Tien Giang province [17].
Chart 2.4. Net income from treasury services in the period 2011-2015
Unit: Million VND
350
300
250
200
150
100
50
0
105 122
309 289 279
2011 2012 2013 2014 2015
Net income from treasury services
(Source: Report on the implementation of the annual business plan of the General Planning Department of BIDV Tien Giang [24])
However, as shown in Figure 2.4, income from treasury operations is not high and fluctuates. Specifically, in the period 2011-2013, net income increased and increased most sharply in 2013, then in the period 2013-2015, there was a downward trend. This fluctuation is due to the fact that fees collected from treasury services are often very low and can even be waived to attract customers to use other services.
2.2.1.3. Guarantee and trade finance services:
BIDV Tien Giang, thanks to the advantages of the province and the favorable location of the Branch, has continuously focused on developing income from guarantee services and trade finance.
Chart 2.5. Net income from guarantee and trade finance services in the period 2011-2015
Unit: Million VND
14000
12000
10000
8000
6000
4000
2000
0
5193 5695
2742 3420
8889
3992
11604 12206
5143 5312
2011 2012 2013 2014 2015
Net income from guarantee services Net income from Trade Finance
(Source: Report on the implementation of the annual business plan of the General Planning Department of BIDV Tien Giang [24])
Through chart 2.5, we can see that BIDV Tien Giang's income from guarantee services and trade finance has grown over the years. The reason is: Among BIDV Tien Giang's corporate customers, the construction industry is the industry with the highest proportion of customers after the trading industry, this is a group of customers with potential to develop guarantee services. The second group of customers is corporate customers in the fields of agricultural production, livestock and seafood processing with high import and export turnover in the area.
are the target of trade finance development. In addition, BIDV Tien Giang also focuses on continuously developing these customer groups to increase revenue for many other products and services in the future.
2.2.1.4. Card and POS services:
As a service that BIDV Tien Giang has recently developed strongly, it can be said that this is a very potential market and has the ability to develop even more strongly in the future. Card services with outstanding advantages such as fast payment time, wide payment range, quite safe, effective and suitable for the integration trend and the Project to promote non-cash payments in Vietnam. Cards have become a modern and popular payment tool. BIDV Tien Giang early identified that developing card services is to expand the market to people in society, create capital mobilized from card-opened accounts, contribute to diversifying banking activities, enhance the image of the bank, bring the BIDV Tien Giang brand to people as quickly and easily as possible. BIDV Tien Giang is currently providing card types such as: credit cards (BIDV MasterCard Platinum, BIDV Visa Gold Precious, BIDV Visa Manchester United, BIDV Visa Classic), international debit cards (BIDV Ready Card, BIDV Manu Debit Card), domestic debit cards (BIDV Harmony Card, BIDV eTrans Card, BIDV Moving Card, BIDV-Lingo Co-branded Card, BIDV-Co.opmart Co-branded Card). These cards can be paid via POS/EDC or on the ATM system. In addition, with debit cards, customers can not only withdraw money via ATMs but also perform utilities such as mobile top-up, online payment, money transfer,... through electronic banking services.
In order to attract customers with card services, BIDV Tien Giang has continuously increased the installation of ATMs. As of December 31, 2015, BIDV Tien Giang has 23 ATMs combined with 7 ATMs in the same system of BIDV My Tho, so the number of ATMs is quite large, especially in the center of My Tho City, but is not yet fully present in the districts. Basic services on ATMs such as withdrawing money, checking balances, printing short statements,... BIDV ATMs accept cards from banks in the system.
Banknetvn and Smartlink, cards branded by international card organizations Union Pay (CUP), VISA, MasterCard and cards of banks in the Asian Payment Network. From here, cardholders can make bill payments for themselves or others at ATMs, by simply entering the subscriber number or customer code, booking code that service providers notify and make bill payments.
Chart 2.6. Net income from card services in the period 2011-2015
Unit: Million VND
3500
3000
2500
2000
1500
1000
500
0
687
1023
1547
2267
3104
2011 2012 2013 2014 2015
Net income from card services
(Source: Report on the implementation of the annual business plan of the General Planning Department of BIDV Tien Giang [24])
Through chart 2.6, it can be seen that BIDV Tien Giang's card service income is constantly growing because the Branch focuses on developing businesses operating in industrial parks, which are the source of customers for salary payment products, ATMs, BSMS. Specifically, there are companies such as Freeview, Quang Viet, Dai Thanh, which are businesses with a large number of card openings at the Branch, contributing to the increase in card service fees [25].
Table 2.6. Number of ATMs and POS machines in 2015 of some banks in Tien Giang area.
Unit: Machine
STT
Bank name
Number of ATMs
Cumulative number of ATM cards
POS machine
1
BIDV Tien Giang
23
97,095
22
2
BIDV My Tho
7
21,325
0
3
Agribank Tien Giang
29
115,743
77
4
Vietinbank Tien Giang
16
100,052
54
5
Dong A Tien Giang
26
97,536
11
6
Sacombank Tien Giang
24
88,513
27
7
Vietcombank Tien Giang
15
61,607
96
8
Vietinbank - Tay Tien Giang Branch
6
46,042
38
(Source: 2015 Banking Activity Data Report of the General and Internal Control Department of the Provincial State Bank [21])
Through table 2.6, the author finds that the number of ATMs of BIDV Tien Giang is not much, ranking fourth after Agribank Tien Giang, Dong A Tien Giang, Sacombank Tien Giang. The number of POS machines of BIDV Tien Giang is very small, only higher than Dong A Tien Giang and BIDV My Tho in the initial stages of merging the BIDV system. Besides, BIDV Tien Giang has a high number of cards increasing over the years (table 2.7) but the cumulative number of cards issued up to December 31, 2015 is still relatively low compared to Agribank, Vietcombank, Dong A (table 2.6).
div.maincontent .content_head3 { color: black; font-family:"Times New Roman", serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 14pt; }
div.maincontent .p { color: black; font-family:"Times New Roman", serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 14pt; margin:0pt; }
div.maincontent p { color: black; font-family:"Times New Roman", serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 14pt; margin:0pt; }
div.maincontent .s1 { color: black; font-family:"Courier New", monospace; font-style: normal; font-weight: normal; text-decoration: none; font-size: 14pt; }
div.maincontent .s2 { color: black; font-family:"Times New Roman", serif; font-style: italic; font-weight: normal; text-decoration: none; font-size: 13pt; }
div.maincontent .s3 { color: black; font-family:"Times New Roman", serif; font-style: italic; font-weight: bold; text-decoration: none; font-size: 14pt; }
div.maincontent .s4 { color: black; font-family:"Times New Roman", serif; font-style: italic; font-weight: normal; text-decoration: none; font-size: 14pt; }
div.maincontent .s5 { color: black; font-family:"Times New Roman", serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 14pt; }
div.maincontent .s6 { color: black; font-family:"Times New Roman", serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 14pt; }
div.maincontent .s7 { color: black; font-family:"Times New Roman", serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 13.5pt; }
div.maincontent .s8 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 9pt; }
div.maincontent .s9 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 9pt; vertical-align: -2pt; }
div.maincontent .s10 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 9pt; vertical-align: 5pt; }
div.maincontent .s11 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 9pt; vertical-align: -5pt; }
div.maincontent .s12 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 9pt; vertical-align: -3pt; }
div.maincontent .s13 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 9pt; vertical-align: -4pt; }
div.maincontent .s14 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 7.5pt; }
div.maincontent .s15 { color: black; font-family:"Times New Roman", serif; font-style: italic; font-weight: normal; text-decoration: none; font-size: 14pt; }
div.maincontent .s16 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 10.5pt; }
div.maincontent .s17 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 9.5pt; }
div.maincontent .s18 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 10.5pt; vertical-align: -1pt; }
div.maincontent .s19 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 10.5pt; vertical-align: -5pt; }
div.maincontent .s20 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 10.5pt; vertical-align: -2pt; }
div.maincontent .s21 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 10pt; }
div.maincontent .s22 { color: black; font-family:Calibri, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 10.5pt; }
div.maincontent .s23 { color: black; font-family:Calibri, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 10.5pt; vertical-align: -3pt; }
div.maincontent .s24 { color: black; font-family:Calibri, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 10.5pt; vertical-align: -5pt; }
div.maincontent .s25 { color: black; font-family:"Times New Roman", serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 10.5pt; }
div.maincontent .s26 { color: black; font-family:Calibri, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 10.5pt; vertical-align: -4pt; }
div.maincontent .s27 { color: black; font-family:Calibri, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 10.5pt; vertical-align: -6pt; }
div.maincontent .s28 { color: black; font-family:Calibri, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 10.5pt; vertical-align: -1pt; }
div.maincontent .s29 { color: black; font-family:Calibri, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 11.5pt; }
div.maincontent .s30 { color: black; font-family:Calibri, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 11pt; }
div.maincontent .s31 { color: black; font-family:"Times New Roman", serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 11pt; }
div.maincontent .s32 { color: black; font-family:.VnTime, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 14pt; }
div.maincontent .s33 { color: black; font-family:Cambria, serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 10.5pt; }
div.maincontent .s34 { color: black; font-family:Cambria, serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 10.5pt; vertical-align: -4pt; }
div.maincontent .s35 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 11.5pt; }
div.maincontent .s36 { color: black; font-family:Arial, sans-serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 14pt; }
div.maincontent .s37 { color: black; font-family:"Times New Roman", serif; font-style: normal; font-weight: bold; text-decoration: none; font-size: 13pt; }
div.maincontent .s38 { color: black; font-family:"Times New Roman", serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 13pt; }
div.maincontent .s39 { color: black; font-family:"Times New Roman", serif; font-style: normal; font-weight: normal; text-decoration: none; font-size: 15pt; }
div.maincontent .s40 { color: black; font-family:"Times New Roman", serif; font-style: normal; fo -
Company's Business Performance Results for 3 Years (2018-2020) -
Current Status of Foreign Currency Business Development in the International Market of Vietnamese Commercial Banks -
Which of the following information channels did you get your knowledge about business management (corporate governance) from? (You can choose more than one option)
Source: [6]
2.2.2. Status of implementation and development of currency options business at Joint Stock Commercial Bank for Foreign Trade of Vietnam
On facilities and techniques for foreign exchange trading activities
Joint Stock Commercial Bank for Foreign Trade of Vietnam is a bank with a large source of foreign currency capital. In business, capital is an important factor, it helps the bank expand its business activities and dominate the market. With foreign currency capital accounting for a large proportion of total capital, it can meet the foreign currency needs of exporters and importers in the short, medium and long term. This is also a favorable condition for the bank to play a leading role in the activities of the interbank foreign exchange market, participate in the international foreign exchange market to serve customers and seek profits for the bank.
Modern banking technology is used to serve banking operations, helping to synthesize and promptly provide information for business management, quickly grasp market fluctuations to make decisions.
87
flexible, timely, avoid losses for the bank as well as seize opportunities to bring the bank large income. Currently, the Joint Stock Commercial Bank for Foreign Trade of Vietnam is the leading bank in terms of high technology level and the amount of investment in this field creates favorable conditions for foreign exchange trading activities.
About the professional qualifications of the staff
Joint Stock Commercial Bank for Foreign Trade of Vietnam has a team of highly qualified staff, who are well versed in banking operations, and are quick to handle all situations suitable for difficult and complex currency trading activities. Not only having a domestic reputation, Joint Stock Commercial Bank for Foreign Trade of Vietnam is also highly appreciated by international friends, so Joint Stock Commercial Bank for Foreign Trade of Vietnam has had a long-term traditional relationship with advanced banks in the world and other banks often share experiences with Joint Stock Commercial Bank for Foreign Trade of Vietnam in operations, especially foreign currency trading, including currency options.
The process of implementing and developing currency options
Joint Stock Commercial Bank for Foreign Trade of Vietnam started implementing currency options business since September 2005. Since then, due to the difficult conditions of the mechanism as well as the domestic financial market, the currency options business has not been developed extensively and the revenue from this business still accounts for a modest proportion of the revenue from foreign exchange business of the Bank for Foreign Trade. The number of contracts up to now has not reached double digits, the contract value is still quite small, so currently the Bank for Foreign Trade of Vietnam has not officially issued the currency options business process. This is also a limitation that the Bank for Foreign Trade of Vietnam needs to overcome soon. However, the Bank for Foreign Trade of Vietnam is also making efforts to issue the currency options business process in early 2009, this can be considered as one of Vietcombank's efforts to bring the currency options business closer to customers, helping customers understand and use
88
Apply new operations, limit exchange rate risks and bring profits to customers.
Table 2.4: VCB's year-end foreign currency status
Unit:original currency
USD | EUR | JPY | ||||
Absolute number | Compared to equity | Absolute number | Compared to equity | Absolute number | Compared to equity | |
December 31, 2002 | -21705432.00 | -30% | -1132111.00 | -1% | 18,000,000.00 | - |
December 31, 2003 | -33466070.11 | -25.38% | -4307441.82 | -3.27% | -599 650 193.06 | - 3.87% |
December 31, 2004 | -26614997.10 | -16.35% | 2919261.86 | +2.26% | -63 648 149.54 | - 0.37% |
December 31, 2005 | -50904866.97 | -27.16% | 2426464.33 | +1.54% | -425 027 526.54 | - 2.07% |
December 31, 2006 | -40904866.97 | -20.16% | 1426464.33 | +0.84% | -325 027 526.54 | - 1.07% |
December 31, 2007 | -45904866.97 | -22.16% | 1926464.33 | +1.24% | -395 027 526.54 | - 1.87% |
Source: [5]
Vietcombank's foreign exchange business results in the past three years (2005-2007) can be said to be very positive, bringing large profits to the bank (see tables 2.5, 2.6, 2.7, 2.8).
Table 2.5: Foreign currency trading turnover - VND of Vietcombank
89
2005 | 2006 | 2007 | |
Total Domestic Purchases - SGD - HCM - State Bank | 7,806 1,734 2,074 966 | 8,650 995 2,375 913 | 8,964 891 2,507 574 |
Total Domestic Sales | 7,805 | 8,513 | 8,924 |
Total Sales | 15,611 | 17,163 | 17,888 |
Source: Vietcombank
Table 2.6: Foreign currency trading turnover - Foreign currency in the international market of Vietcombank
2005 | 2006 | 2007 | |
Total Buy foreign currency sell USD - TW buy - HCM buy | 982 698 284 | 1,269 839 430 | 1,953 1,340 613 |
Total Foreign Currency Sales to Buy USD - TW for sale - HCM for sale | 706 439 267 | 1,046 621 425 | 1,485 873 612 |
Total Sales | 1,688 | 2,315 | 3,438 |
Source: Vietcombank
Table 2.7: Foreign currency trading turnover - Foreign currency in the domestic market of Vietcombank
2005 | 2006 | 2007 |
90
Total Buy foreign currency sell USD
- TW buy
- HCM buy
300 229 71 | 918 704 214 | 1.141 414 727 | |
Total foreign currency sales to buy USD - TW for sale - HCM for sale | 369 254 115 | 992 634 358 | 1,275 529 746 |
Total Sales | 669 | 1910 | 2,416 |
Source: Vietcombank
Table 2.8: Foreign currency trading turnover with the State Bank and petroleum services of Vietcombank
2005 | 2006 | 2007 | |
Selling foreign currency for petroleum services | 1,513 | 2,208 | 1,896 |
Buy from SBV | 966 | 913 | 574 |
Vietcombank self-balances | 547 | 1,295 | 1,322 |
Source: Vietcombank
However, the turnover of currency options is quite modest compared to traditional operations and other foreign exchange derivatives operations, accounting for a relatively small proportion (see figure 2.4), showing that this operation has not been developed commensurate with Vietcombank's potential and internal strength.
91
3.00%
1.00%
2.50%
93.50 %
Currency Options Futures Trading
Futures trading
Immediate delivery
Figure 2.3: Chart of Vietcombank's currency options trading turnover ratio
Source: Vietcombank
2.2.3. General assessment of the development process of currency options at some Vietnamese commercial banks
2.2.3.1. Results
Currency options are a fairly new and complicated business for Vietnamese customers, but after more than 05 years of implementation from pilot to official implementation (at Eximbank) and nearly 03 years of implementation (at Vietcombank), these banks have achieved positive initial achievements.
Firstly, from the foreign exchange trading staff who had almost no knowledge of options trading, now bank staff have access to knowledge and experience of currency options trading in the world, improving their understanding of the business and experience in dealing with customers, understanding the business strategies of this business applied by banks in other countries. Since then, the quality of foreign exchange trading staff has gradually improved.
92
Some banks have invested in software technology to calculate option fees according to international standards, thereby being able to offer reasonable fees to customers. Eximbank uses the Reuters fee calculation model while Vietcombank is currently using the Bloomberg model.
Banks have been interested in and carried out extensive propaganda and promotion to customers with the aim of helping customers understand more about the benefits of using currency options. Some banks have organized free workshops to introduce customers to the content of currency options. And so, up to now, many businesses have known about currency options as an effective risk hedging tool.
Up to now, banks have signed over 60 contracts with businesses (mainly concentrated at Eximbank), of which foreign currency option contracts account for 68% [5] . Although this is a rather modest number, it has demonstrated the continuous efforts of banks in bringing this new service closer to Vietnamese customers, helping customers in general and businesses in particular to use new, modern services of banks in the region and around the world.
Another very positive result is that the State Bank has allowed some commercial banks to deploy structured products, combining deposit operations and currency options. This is a product that is widely used and has liquidity in the international financial market. To perform this transaction, customers and credit institutions agree on a regular deposit transaction with an option contract. This transaction helps customers diversify their investment forms in the process of using temporarily idle foreign currency capital, creating opportunities to increase interest rates on USD deposits, while also being able to meet the need to pay other foreign currencies in the future at reasonable exchange rates. By implementing this transaction, commercial banks can attract more customers, increase the value and quantity of currency option contracts.
93
2.2.3.2. Existence and limitations
Foreign exchange trading in general and currency options trading in particular are relatively new operations of Vietnamese commercial banks. Although banks have focused on certain development, the proportion of profits from this business compared to the total profits of the bank is still quite small. Not only that, many risks have occurred related to this type of transaction. Some typical shortcomings and limitations of Vietnamese commercial banks can be listed as follows:
The knowledge of bank staff on professional operations to operate transactions and measure risks is still weak, and their skills in processing data using computers are not high. Moreover, banks currently only focus on buying and selling foreign currencies for the purpose of payment and lending foreign currencies, forgetting the factor of insurance against exchange rate risks , so banks play a major role as transaction intermediaries rather than market makers. That increases the risk in the foreign exchange business of banks. In addition, Vietnamese commercial banks do not have the EBS (Electronic Brokerage System) system, so the exchange rates that banks receive from Reuters or other news agencies are only reference rates, not the actual trading rates on the market . Suppose that according to that information, the transaction staff can make a profit, but when conducting actual transactions, the exchange rate is different, causing risks for the bank. Therefore, traders will face a lot of difficulties while executing currency options transactions.
On the other hand, most Vietnamese commercial banks currently do not have departments that research and predict exchange rate changes in the market, thereby determining effective business strategies and minimizing risks. Furthermore, banks are very weak in exchange rate analysis skills, especially weak in technical analysis of changes in reserve structure between foreign currencies or foreign currency trading portfolios, minimizing risks.
Currently, Vietnamese commercial banks do not have a foreign exchange trading department according to international standards. According to the standards, the foreign exchange trading department includes 3 departments: Business transaction department (Front office), Risk control department