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    The Body Shop Place Strategy in Vietnam

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    Quynh Nguyen

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    The Body Shop Place Strategy in Vietnam

    Uploaded by

    Quynh Nguyen
    325 views2 pages

    Original Title

    the body shop place strategy in vietnam

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    Copyright:

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    325 views2 pages

    The Body Shop Place Strategy in Vietnam

    Uploaded by

    Quynh Nguyen

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    of 2

    ● Vertical MKT Network: Contractual VMN

    - TBS (VN) is the sole franchisee for TBS business in Vietnam (The
    Body Shop, n.d.)
    - TBS has been running the “Community Fair Trade” program for
    decades. They have contracts with 25 smallholder farmers in 21
    developing countries, benefit over 300,000 people. TBS offers them
    fair prices and guarantees stable demands. (Brücher 2016)

    Physical stores
    ● There are 38 stores located in 5 cities which are the most densely populated and
    developed in Vietnam
    ❖ North Region:
    - Hanoi: 12 stores (8,3 million)
    - Haiphong: 1 store (2 million)
    ❖ Central region:
    - Danang: 2 stores (1,1 mil)
    ❖ South region:
    - HCM City: 22 stores (8,9 mil)
    - Binh Duong: 1 store (2,4 mil)

    Online distribution channels


    - Customers can make online purchases via TBS website:
    https://www.thebodyshop.com.vn/
    - Due to Covid 19 pandemic, social distancing is regularly implemented. Hence, there
    is an ongoing change in consumer buying behavior when most purchases during this
    period of time are made via e-commerce sites like Shopee and Lazada.
    - TBS also has its online shops on these two sites, with 50,1k followers on Shopee and
    34,6k on Lazada. 98% of customers respond positively on Shopee and 93% of
    comments on Lazada are favourable feedbacks

    Evaluation
    - Stores are opened in developed cities, where TBS can easily access its target
    customers, those who are well educated and have a stable income.
    - Most of tbs physical outlets are located in shopping centers, airports, and crowded
    streets like Hang Bong, Kim Ma => appealing positions that gain attention from
    potential customers
    - Products sold on e-commerce websites are not sufficient. There are only 3 out of 15
    products in the line Spa of the World sold on Lazada (Ethiopian green coffee cream,
    African Ximenia Body Scrub, Hawaiian Kukui Cream), and only 1 product in this line
    is found on Shopee, which is Japanese camellia cream

    Recommendations:
    - TBS should diversify its products on e-commerce sites to fulfill more customer needs
    => boost sales and enhance customer experience
    - Implement TBS At Home in Vietnam. TBS At Home is a direct selling channel of Tbs
    in the UK, US, and Australia. (The Body Shop, n.d.) Customers can register for being
    TBS Independent Consultants, who will use their own network such as families and
    friends to resell TBS products and gain profits. By investing 49 pounds, they will
    receive a starter kid worth 220 pounds to start their own business. These
    entrepreneurs earn 25-30% commission on their sales. (The Body Shop, n.d.) This is
    a good way to raise brand awareness and attract more potential customers as people
    tend to have positive attitudes towards products introduced by their relatives and
    acquaintances.
    - Tbs can also distribute their product line Spa of the World into spas and beauty
    clinics throughout Vietnam to increase their market share.

    Ref:

    Become A Consultant | The Body Shop At HomeTM 2021, Thebodyshop.com, viewed 26


    August 2021, <https://www.thebodyshop.com/en-gb/consultant-at-home>.

    Brücher, M 2016, The Sustainable Supply Chain of The Body Shop and the Company’s
    Approach to the Complexity of Fair Trade, Academia.edu, viewed 26 August 2021,
    <https://www.academia.edu/26253545/The_Sustainable_Supply_Chain_of_The_Body_Shop
    _and_the_Companys_Approach_to_the_Complexity_of_Fair_Trade>.

    Fair Trade in Beauty | Community Fair Trade | The Body Shop® 2019, Thebodyshop.com,
    viewed 26 August 2021, <https://www.thebodyshop.com/en-gb/about-us/brand-
    values/community-fair-trade/a/a00009>.

    How Does The Body Shop at Home Work? | The Body Shop® 2021, Thebodyshop.com,
    viewed 26 August 2021, <https://www.thebodyshop.com/en-gb/help/company-
    information/how-does-body-shop-at-home-work>.

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