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Diep Thi Phuong Thao (2011). The Effect Some Marketing Mix Elements On Brand Awareness And Brank Image . Msc. Thesis, Ministry Of Education And Training University Of Economics Ho Chi Minh City.


About the branch/transaction office network




Transaction location


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Diep Thi Phuong Thao (2011). The Effect Some Marketing Mix Elements On Brand Awareness And Brank Image . Msc. Thesis, Ministry Of Education And Training University Of Economics Ho Chi Minh City.

Regarding the network of operations, MB currently has 1 Head Office, 1 transaction office, 1 branch in Laos, 1 branch in Cambodia, more than 200 branches and transaction points in 30 provinces/cities nationwide, helping MB to access and provide fast and convenient financial services to many different customer groups. In Ho Chi Minh City alone, there are 34 branches and transaction offices, accounting for 16.3% of the country.

MB's network growth rate in recent years has been quite fast, however, compared to other banks, MB has a smaller branch network. However, with the current number of branches/transaction offices, MB has gradually made a good impression on customers, increasingly enhancing its reputation and good association for the brand.


About advertising costs


Advertising is the most effective form of marketing communication. MB always pays attention to advertising activities in many different forms to increase brand image such as: brand building advertising focuses on building recognizable features of the bank such as slogan, logo, staff uniforms... Advertising the bank's image so that more people know about the bank with the slogan "always with you" with the image of chairs printed with the bank logo, for example, is a way to create an impression for customers. In addition, advertising through media such as: television, radio, newspapers, internet... and through these media, MB has become more known to many people.


However, MB's advertising activities should be conducted quite frequently and more attractively to attract more target customers. This means increasing advertising costs even more.


About promotional price


In 2013, MB launched 55 promotional programs, but most of the promotional programs were aimed at individual customers using specific cards, 45 programs (81.2%), very few promotions were aimed at customers depositing money and borrowing capital. Of those 55 programs, only 2 were for organizations (accounting for 3.6%). The first was the "interest rate incentive program for small and medium enterprises". This is an interest rate incentive program for loans with a maximum term of up to 5 years. Thus, with this program, in 2013, MB was the first joint stock commercial bank to widely announce the implementation of a credit incentive program with a longer term for businesses on a large scale. The second program is "additional capital source of 700 billion VND with super incentives from MB", this is a super incentive credit package of 700 billion VND to meet capital needs for production and business during the year-end holiday season. This is the first incentive program designed by MB specifically for medium-sized enterprises operating in Vietnam.

In general, MB's promotional programs have met most of the capital needs of enterprises, from short-term, medium-term, long-term capital needs, or suitability of business characteristics based on revenue scale, capital flow, or industry characteristics. Notably, the series of uninterrupted incentive programs "MB joins hands with small and medium-sized enterprises" is being implemented until January 31, 2013, the 1,500 billion VND medium-term credit incentive package, the Business Solution Package for Pharmaceutical enterprises... MB also issued separate policies to support small-scale enterprises to easily access credit, facilitate capital procedures as well as speed up disbursement progress...


Based on the level of loyalty and transaction turnover, MB has preferential policies on interest rates, fees, etc. suitable for all customer groups. In addition, with the policy of competing on fees combined with increasing service fee revenue while simultaneously raising

In order to improve service quality, MB has also researched and issued a competitive fee schedule to further enhance brand association with institutional customers.

5.2.3 Implications for marketing managers


A joint stock commercial bank is known as a financial institution with the primary activities of being a payment agent, receiving, keeping and lending. Until now, these activities are still considered the backbone activities of a bank. That means a bank can only operate if there are customers who trust to deposit money and establish transaction relationships. From there, people ask the question: why do customers choose this bank and not another bank to deposit money and establish transaction relationships? The answer here is that brand association will determine this choice. A bank brand with good association is a reputable brand, creating trust and familiarity for the target customer group. Reality has proven that an association brand will be an inseparable treasure for banks. Especially when the financial market develops and is fiercely competitive as it is today, this is a decisive factor in choosing a bank to stick with for any individual or organization in the economy. Thus, marketing managers of the Military Commercial Joint Stock Bank need to look back to have reasonable marketing mix policies to enhance brand association, some implications for managers are drawn after this study as follows:

Regarding the network of branches and transaction offices: According to research, this is the most important factor and has a positive impact on brand association (with Beta of the network of branches/transaction offices = 0.317). This means that increasing the network of branches and transaction offices will increase brand association the most, thereby contributing to expanding the market share.


and increased barriers to foreign banks wanting to enter the market.

Domestic. However, increasing the network of transaction offices should be considered.

Because if there are too many branches and transaction offices, it will lead to negative impacts due to excess resources, ineffective operations and unhealthy competition between branches and transaction offices.

Branch and transaction office image: According to research, this is the second most important factor and has a positive impact on brand association (Beta of branch/transaction office image = 1.68). Therefore, when marketing managers impact this factor, it will increase brand association. Banks should focus on the image of branches and transaction offices by researching the needs, preferences, and habits of customers to design branches and transaction offices to suit customers. At the same time, banks should build a team of young, dynamic, enthusiastic staff with a professional service style... to create a beautiful branch and transaction office image in the eyes of customers.

Regarding advertising spending and promotional prices: Advertising spending and promotional prices also have a positive impact on brand association (with Beta advertising spending = 0.167 and Beta promotional price = 0.162). Therefore, if marketing managers increase advertising spending on mass media and increase promotional prices, it will increase customers' brand association.


On the other hand, if the Military Commercial Joint Stock Bank wants to increase brand association in the context of limited time and resources, marketing managers will prioritize increasing the network of transaction branches, then increase costs in creating a beautiful image of transaction branches and finally increase advertising spending and promotional prices.


5.3 LIMITATIONS AND FUTURE RESEARCH


5.3.1 Limitations


As with many studies, this study has some limitations.


The study was conducted on customers representing organizations that are transacting with the Military Commercial Joint Stock Bank in Ho Chi Minh City with a convenient sampling method for analysis, so the representativeness is not high. Although the results of this study and previous studies basically show consistency with the content of the results. However, the generalizability will be higher if it is repeated at organizations that are transacting with the Military Commercial Joint Stock Bank in other cities in Vietnam and with a more representative sampling method, with a constrained sample and population ratio.

In addition, the study has not examined all marketing mix elements (7P) but only conducted on certain elements, so the study can only explain 35.5% of brand association when independent variables change. The rest will be explained by the remaining variables in the 7P model and other elements.

5.3.2 Future research directions


From the above limitations, the following research directions are proposed:


Re-test the study with a larger sample size and a more representative sampling method. A different scale than the proposed one could be used to re-evaluate the impact of the “promotional price” factor.

Expand the research direction with the remaining marketing mix elements of the 7P model or by group using loan or deposit services.


In addition, it is possible to develop a broader research direction such as studying the influence of marketing mix on brand equity instead of just studying a small area of ​​brand association.


REFERENCES


I. LIST OF VIETNAMESE DOCUMENTS


1. Hoang Trong Chu and Chu Nguyen Mong Ngoc (2008). Analyzing research data with SPSS. Hanoi: Hong Duc Publishing House.

2. Nguyen Thi Canh (2007). Methods and methodology of economic research .

3. Nguyen Dinh Tho (2011). Scientific research methods in business . Ho Chi Minh: Social Labor Publishing House.

4. Nguyen Dinh Tho and Nguyen Thi Mai Trang (2011). Scientific research in business administration. Hanoi: Statistical Publishing House.

5. Kotler, Philip (1994). Basic Marketing. Hanoi: Statistical Publishing House.


II. LIST OF ENGLISH DOCUMENTS


1. Aaker, DA 1991. Managing Brand Equity. Capitalizing on the Value of Brand Name . New York: FreePress.

2. Alireza Amini, Mahdi Darani, Minoo Afshani, Zahra Amini (2012). Effectiveness of Marketing Strategies and Corporate Image on Brand Equity as a Sustainable Competitive Advantage . Interdisciplinary journal of contemporary research in business. Vol. 4(7).

3. Balachandran, V. and Gensch, Dennis H. (1974). Solving the marketing mix proplem using geometric propgraming . Management Science, 21, October, 160 – 71.

4. Blattberg, Robert C. and Kenneth J. Winniewski. 1989. Price-Induced Patterns of Competition . Marketing Science 8 (Fall): 291-309.


5. Cobb-Walgren, C.J.; Ruble, C.A. & Donthu, N. (1995). Brand Equity, Brand Preferences, and Purchase Intent . Journal of Advertising, 24(3), 25- 40.

6. Diep Thi Phuong Thao (2011). The effect of some marketing mix elements on brand awareness and brand image . MSc. thesis, ministry of education and training university of economics ho chi minh city.

7. Dodds, William B., Kent B. Monroe, and Dhruv Gmwal. (1991). Effects of Price, Brand, and Store Information on Buyers' Product Evaluation .

8. Ferris, P.; Oliver, J. & Kluyver, C. (1989). The Relationship between Distribution and Market Share. Marketing Science, 8(2), 101-127.

9. Grace, D. and A. O'Cass (2002). Brand associations: looking through the eyes of the beholder . Qualitative Market Research: An International Journal, vol. 5, no 2, pp. 96-111.

10. Keller, K.L. (1993). Conceptualizing, measuring, and managing consumer based brand equity . Journal of Marketing, 57, 1-22.

11. Philip Kotler (1991). Marketing Management. Analysis, Planning, and Control , 7th ed., Prentice-Hall, Englewood Cliffs, NJ.

12. Philip Kotler, Gary Armstrong, Prof Veronica Wong, Prof John Saunders (2008). Principles of Marketing. Journal of Marketing Research , 28 (August): 307-319.

13. Yoo, B., Donthu, N. and Lee, S. (2000). An examination of selected marketing mix elements and brand equity . Journal of the Academy of Marketing Science, Vol. 28(2), 195-221.

14. Yoo, B., & Donthu, N. (2001). Developing and Validating a Multidimensional Consumer-Based Brand Equity Scale. Journal of Business Research, 52(1), 1-4.

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