The strategy of CRM system development at Mega Market Vietnam

Abstract

This study aims to introduce the formation and development of MEGA MARKET CRM system. In today's market economy, the role of information management of businesses as well as customer information plays a very important role for the survival of businesses. When the needs of customers are increasingly diverse and rapidly changing, it is necessary to have a good information management system in order to take advantage of opportunities to attract customers, and at the same time to build good customer relationships. and expand markets and diversify products. Competition and customer acquisition are the most important thing in business. Managers need to have their own strategies and advantages to do that. CRM system model is the best customer information system to manage and manage business operations, attract customers, expand the market, profit and reputation. The CRM model responds to the changes that businesses are facing related to customers, markets, data storage technology, marketing functions.

Full text

International Journal of Multidisciplinary Research and Growth Evaluation www.allmultidisciplinaryjournal.com
802
International Journal of Multidisciplinary Research and Growth Evaluation
ISSN: 2582-7138
Received: 21-07-2021; Accepted: 08-08-2021
www.allmultidisciplinaryjournal.com
Volume 2; Issue 4; July-August 2021; Page No. 802-806
The strategy of CRM system development at Mega Market Vietnam
Nguyen Hoang Tien 1, Pham Thi Diem 2, Nguyen Thanh Vu 3, Vo Kim Nhan 4, Bui Xuan Bien 5, Nguyen Thanh Hung 6,
Van Thi Vang 7
1, 2 Van Hien University, Vietnam
3 Nguyen Tat Thanh University, Vietnam
4 Tien Giang University, Vietnam
5 Hanoi University of Finance and Banking, Vietnam
6 Binh Duong University, Vietnam
7 Long An Economics and Industry University, Vietnam
Corresponding Author: Nguyen Hoang Tien
Abstract
This study aims to introduce the formation and development
of MEGA MARKET CRM system. In today's market
economy, the role of information management of businesses
as well as customer information plays a very important role
for the survival of businesses. When the needs of customers
are increasingly diverse and rapidly changing, it is necessary
to have a good information management system in order to
take advantage of opportunities to attract customers, and at
the same time to build good customer relationships. and
expand markets and diversify products. Competition and
customer acquisition are the most important thing in business.
Managers need to have their own strategies and advantages
to do that. CRM system model is the best customer
information system to manage and manage business
operations, attract customers, expand the market, profit and
reputation. The CRM model responds to the changes that
businesses are facing related to customers, markets, data
storage technology, marketing functions.
Keywords: Formation, development, CRM system, Mega Market
1. Introduction
Better understand the process of formation and development of the CRM system when operating in the enterprise MEGA
MARKET has helped this business. In today's market economy, the role of enterprise information management as well as
customer information plays a very important role in the survival of the business. When the needs of customers are increasingly
diverse and rapidly changing, it is necessary to have a good information management system to exploit the opportunities to
attract customers and build good customer relationships. and expand markets and diversify products. The CRM model responds
to the changes that MEGA MARKET businesses are facing related to customers, markets, data storage technology, marketing
functions. Gradually, CRM plays an important role for MEGA MARKET by helping businesses understand and solve problems
such as:
 Changes in customers
 Changes in the market
 Changes in data storage technology
 Changes in marketing function
With the role as well as the influence of the CRM model and the management needs of the business MEGA MARKET is
currently implementing, especially in the current market economy. And it shows that it is necessary to study this topic not only
to help businesses manage their information well as well as customers' information, but also to understand the formation and
development of a CRM system to help managers. The supervisor has effective business decisions and strategies. That's why we
researched this topic.

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2. Rationale
2.1. Risk and crisis management
Risk management
The economy often fluctuates, especially in recent times, and
most of these fluctuations have objective and external factors
and are difficult to predict. If an enterprise has established
and maintains an effective risk management function, it can
identify risks early, have plans to prevent risks and limit the
impact of risks risk when it occurs according to the concept
of “prevention is better than cure”.
Crisis Management
One of the important and prerequisite tasks of the corporate
risk management function is to identify and define the
enterprise's risk portfolio, including controllable risks as well
as uncontrollable risks, and arrange risks prioritize risks and
decide on risk countermeasures. Enterprises operating in
different fields and in different periods will have different
risk portfolios. In the current period of crisis and bad
economic fluctuations, adverse factors have occurred, so
businesses need to focus on reviewing and reviewing risks or
uncertain factors that have been or are still present.
disadvantages for its operations. Accordingly, the following
types of risks can be identified: strategic risk, operational
risk, financial risk, compliance risk. In crisis conditions, the
State may introduce many monitoring policies and change
regulations to manage the economy more
effectively. Businesses must ensure how they will meet those
requirements. However, in the process of analyzing and
assessing risks, enterprises may also discover new
opportunities to adapt to the current economic environment
and accurately determine their position and position in the
market. market.
2.2. Market
Overview of market development: Vietnam's retail market is
considered to have developed quite strongly in recent years
when the total retail sales of goods and revenue from social
services have grown rapidly. In the period from 2015 to 2017,
the total retail sales of goods and social services revenue
increased from 10.5-10.9% compared to the previous
year. Meanwhile, in 2018, the total retail sales of consumer
goods and services was estimated at nearly VND 4.4 million
billion, up 11.7% compared to 2017, this is the breakthrough
and highest increase in the past 5 years.
Retail markets in cities and urban areas develop with modern
civilized organizational forms; Retail market in rural areas is
also interested in developing and expanding with a variety of
types, retail e-commerce has initially developed strongly. The
business environment in the retail market is increasingly
favorable and competition is healthy, creating favorable
conditions for participants in exchange and purchase to have
many opportunities to expand production and business
activities. Market management, traceability and food hygiene
and safety in business activities are basically guaranteed, the
quality of goods has been improved, better meeting the
increasing needs of the people. and businesses.
2.3. Operational role of CRM system in MEGA
MARKET
By aggregating data such as purchase history, keyword
patterns, customer demographics, and other relevant
information, your company can reap great benefits.
 Continue to exploit unconverted customers: Using the
data contained in CRM, the marketing department can
determine which customers have been contacted by
Sales but have not purchased products/services. Use the
details captured from those interactions to help build
personalized campaigns to continue tapping customers
who haven't converted.
 Identify revenue generated from marketing: CRM
allows you to track and report on marketing leads and
revenue, providing leadership with detailed marketing
ROI metrics.
 Don't waste time on non-potential customers:
Another benefit of CRM is that it helps you identify
contacts who barely interact with your business or whose
needs really don't fit products you offer. This gives you
time to focus on potential customers to shorten sales
closing time
 Identify innovative marketing opportunities: CRM
contains valuable renewal marketing data such as
subscription expiration dates and service call
conversations, allowing the Marketing team to build a
list of existing customers are in the non-renewing zone
to be targeted by new marketing campaigns.
 Identify gaps in the customer journey: With each
campaign being planned and having specific reporting
data, the Marketing department easily recognizes gaps
and inefficiencies in the campaign. From there, we can
improve, change actions to strengthen the customer's
experience and shopping journey.
 CRM helps drive purchases: Digital Marketing
campaigns are often designed to drive e-commerce
sales. Customer shopping habits involve researching
products, comparing prices and taking several similar
steps before making a purchase decision.
 Correct strategy adjustments: Different customers are
exposed to different forms of marketing. For example,
some customers are most likely to encounter content
marketing via social media. Others may subscribe to
your email list, while others are more likely to find
marketing content when they do relevant online
searches.
 Reduce costs: An effective marketing campaign offers a
strong return on investment. You may want to achieve
certain goals, like increasing sales or increasing brand
awareness, but you also want to be sure the revenue the
campaign brings in exceeds its costs. CRM reduces
marketing costs by offloading much of the work other
employees will have to do. With tools specifically
designed to manage and analyze customer data, your
team can focus on other tasks. This leads to a more
efficient use of time, and can even reduce the need to hire
more staff.
2.4. Impact of the Covid-19 crisis
The economic crisis caused by Covid-19 is much larger than
the 2008 crisis from the US due to the real estate bubble, or
the financial crisis in 1997 that originated in Thailand and
spread to Asia and then global. Because the "crisis of 2020"
affects the entire global supply chain. In the short term,
demand will decrease significantly, but if the epidemic
situation lasts for a long time, supply will probably be
similarly affected. March is the time when the impact of the
epidemic on companies with the domestic market most
clearly shows. In this context, there are 4 groups of general
solutions that any business can immediately start

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implementing: Pause/stop – Boost – Reduce – Create.
3. Research Methods
The research object focuses on customers who use products
and services at modern retail supermarkets, including Mega
Maket, in Ho Chi Minh City. Data were collected by non-
probability convenience sampling method through direct
interviews with questionnaires with 272 respondents who are
customers who have been to supermarkets in Ho Chi Minh
City. With this sample size, it is suitable for the EFA analysis
method (the number of samples is 4-5 times the number of
observed variables (31 variables), according to Hair et al.,
2009) and meets the conditions to implement the SEM model
(according to Loehlin, 1992) - sample size for SEM should
be at least 100 observations and preferably 200 observations).
The study uses qualitative methods to preliminary study the
customer relationship management factors affecting
loyalty. Besides, the study uses quantitative analysis method
through:
 Cronbachs alpha test;
 Exploratory Factor Analysis (EFA);
 Confirmatory Factor Analysis (CFA)
 Structural equation modeling (SEM) to measure the
impact of CRM factors on customer loyalty.
4. Conclusions
4. 1. Conclusions
As a pioneer in building a safe food supply chain and also one
of the leading supermarket systems to apply QR code
solutions to trace the origin of products, MEGA MARKET
(MM) constantly strives to efforts to realize the commitment
to bring safe food to Vietnamese consumers. Not only
ensuring a safe food source that is strictly controlled from
farming to transportation to distribution centers across the
country, at the system of 19 MM nationwide, MM has
deployed QR codes on many food items to help customers
easily trace the product origin. Just need a smartphone to
install the QR code application and a few simple steps,
customers when shopping at MM can easily trace the origin
of products. In recent years, food safety and hygiene is a
concern of the whole society, with a commitment to
sustainable development in Vietnam, MM will always be
consistent with the development strategy that puts food safety
standards first. for the goal of "customer first".
4.2. Solutions
Vietnamese consumers are increasingly interested in food
quality, safety and hygiene. Besides, due to busy life,
Vietnamese people in big cities like Hanoi and Ho Chi Minh
City like to shop in the center to save travel time. That is also
the reason why MM decided to open the first MM retail
center in Hanoi.
With the advantage of owning a safe food supply chain that
MM has built for more than 15 years in the Vietnamese
market, the company wants to bring these strengths to serve
the legitimate demand for buying clean and safe food. of
people.
The first MM retail supermarket is located in the basement of
Imperial Plaza Building, 360 Giai Phong, Thanh Xuan,
Hanoi. In addition to inheriting the strengths of the MM
system that has been operating for 17 years in the Vietnamese
market, the retail brand MM also inherits the experience of
operating nearly 1,000 Big C supermarkets in
Thailand. Therefore, in addition to safe food sources, diverse
goods, and competitive prices, customer service is also the
strong point of retail MM supermarket.
MM takes the customer as the center of development. From
this orientation, MM will constantly improve the quality of
products and services to satisfy all the diverse shopping needs
of Vietnamese consumers.
MM provides food to more than 1 million customers across
the country HORECA, MM steadfast strategy for food safety
is a top priority for 17 years of operation in Vietnam. Food
safety is one of the vital factors for hotel, restaurant and
canteen businesses (or Horeca for short). Facing the situation
that dirty food has not been strictly controlled, Horeca units
increasingly set strict criteria when choosing food suppliers,
especially fresh food items such as vegetables and fruits,
meat and fish. In order to build the trust of this professional
customer group, since 2002, when entering Vietnam, MM has
started to implement a strategy to ensure food safety through
building a food safety chain. safe food supply. Therefore, in
order to maintain the number of potential customers. In
addition to food safety and hygiene, customer care services
are being increasingly focused and enhanced.
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