A comprehensive and productive market research is the key for a foreign enterprise to have a successful business investment plan in Vietnam. A bright research outcome requires businesses to carefully prepare information, sources, and clear goals of their investment in Vietnam market. You should count on some basic steps as defined below before charting your way into this market.
Step 1: Preliminary prospecting
Preliminary prospecting should be carried out prior to a literal market research, so that you can get an overview of the market before collecting data. You need to understand how this new market works, where your rival products come from, and how customers behave.
A business targeting Vietnam should, before taking expensive research efforts such as focus group meetings or survey questionnaires, learn the local culture, economic situation of certain industries, laws and regulations of Vietnamese government. Enterprises may also refer to a number of available questionnaires and industry market reports to gain an inclusive view and pinpoint their target. Preliminary market prospecting also helps businesses identify headlines, sort out information as well as establish background knowledge before reaching out to stakeholders in the subsequent steps.
At this stage, enterprises should gather as much secondary information as possible. Since secondary data is less expensive and accessible via internet, the research team can crawl and scrape online.
Step 2: Develop market survey questionnaires
For an enterprise about to import products into a new market, the following factors should be taken in consideration for the questionnaires:
- What is the potential market size?
- What similar countries are using your products?
- Who are your competitors? Competitors include domestic rivals and other imported products. How is the competitor’s market share?
- What are mandatory standards or certifications for your products?
- Should your products be kept intact or changed to the model, package or brand when they enter the new market?
- What are other applicable obligations, taxations and charges? How much is shipping cost and profit margin?
- Pricing strategy for products in the new market
- Distribution channels for the market
Step 3: Diversify the data sources
Data sources are momentous for Vietnam market research. At this step, enterprises need to find resources that support them in collecting primary information. The data are obtained through overseas market researches and surveys. Clear-cut data and information specific to the enterprise’s products are in line with the specific objectives and based on secondary information as mentioned in step 1.
The basic principle of market research is not to rely on a single data source. Enterprises need several sources of information to confirm the reliability of obtained data. Most of available sources are incomplete and for reference only. Those seeking for a market research worksheet should get in touch with some professional information providers. It is recommended to reach out to reputable market researchers or those richly-experienced in your business sector. Keep in mind to gather more than one data source for purpose of comparison, since single-sourced data can be biased.
Step 4: Develop a Vietnam market research plan
When adequate preliminary information and sources of information have been made available, enterprises should establish a complete market research plan. This plan should outline specific steps of action, sources, in-charge unit, methodology, data to be collected, expected outcomes, etc.
A clear plan will help to review the steps of survey and to reconfirm the expectations and desired outcomes of the survey before entering Vietnam market. Sometimes, to be insightful of the market and gain productive survey findings, foreign businesses must go with recourse to consultancy service. Local consulting firms will provide information per request in a more accurate and time-saving manner. Viettonkin is a prestigious consultant who has successfully advised more than 2,000 investment projects and provides comprehensive supports for pre-market entry researches and surveys of businesses.