VIETNAM NATIONAL UNIVERSITY, HA NOI UNIVERSITY OF ECONOMICS AND BUSINESS OOOO GADAG GRADUATION THESIS Instructor : Le Minh Quang, Ph. D Student : Dang Thu Phuong Faculty : Political Economy Class : QH - 2020 - E Kinh te CLC 3 Ha Noi, 10/2023 VIETNAM NATIONAL UNIVERSITY, HA NOT UNIVERSITY OF ECONOMICS AND BUSINESS GRADUATION THESIS Analyzing customer loyalty among Hanoi students for Viettel’s telecommunications services Instructor : Le Minh Quang, Ph. D Student : Dang Thu Phuong Faculty : Political Economy Class : QH - 2020 - E Kinh te CLC 3 Ha Noi, 10/2023 ACKNOWLEDGMENT To complete the topic “Analyzing customer loyalty among Hanoi students for Viettel’s telecommunications services”. | would like to express our sincere thanks to the leadership, staff and experts of the Faculty of Political Economy, University of Economics and Business, Vietnam National University, Ha Noi for creating favorable conditions for facilities, information and guidance during the research process.
Also, the completion of this study could not have been possible without Dr. Le Minh Quang. His guidance and advice carried me through all the stages of writing this project. Last but not least, I would like to express my heartfelt gratitude to my family, friends and classmates for constantly motivating me and providing me with invaluable support while I completed the challenging task of finishing the paper.
COMMITMENTS I hereby declare that this thesis is my research work. The data and results in the topic are honest and completely objective, there is no copying from any previous topics. Reference information from the study is fully and carefully cited. If not true, I would like to take full responsibility for the content of our research topic.
Ha Noi, 30th Oct 2023 Author Dang Thu Phuong TABLE OF CONTENTS LIST OF ABBREVIATIONS. LIST OF FIGURES .:scscsssossssssssssssssosesnssssosessesssosesansssoscsnnsssonescosssoscsaosssesessonesesess Chapter 1: Literature T€VÏ€W.--s-ss tt gưưến WZ, TGSEAIGHDHDS. TDefimiion ald COMCEPIS. “Comoe pt OF Loyalty.
The role of customer loyalty. Telecommunication service CONCEP. Types ofbrand ÏOyaÏty. Levels of brand loyalty.
14 1G, The role of bramd Voy alty si. Loyalty research models from previous Studies. Research models that influence loyaÏty. Research models evaluate the level of customer loyalty.
Proposed research mOdel.--- - ¿+ + St +t#E‡EE#kekeverkrkerererkrkrrerrree 20 1. Proposed research model 1. Viettel's services contribute to increasing customer loyalty. 22 Chapter 2: Current situation of Viettel.
Introduction to Viettel. History of formation and development of Viettel 2. Field Of activity. Accomplishments and Achievements.
Viettel’s performance OV€TVICW.8 Chapter 3: Materials and methodology. Description of factors in the research model. Barriers to COnVeTSỈON. Attitude towards marketing communication activities.
‘Quantitative data amal ysis <<:::. Sample selection method and sample siZe.----- ¿+5 +e5s5+5<+ce<ec<-+ f7 Chapter 4: Results and discussions. Survey results of factors affecting the loyalty of students in Hanoi to Viettel's telecommunications S€TVÏC€S. Test the reliability of the scale using Cronbach's Alpha coefficient.
Exploratory Factor AnalySis. Test the research model using regression analysi 4. Check the scale. Loyalty measurement results of student customers using Viettel's mobile telecommunications service: .73 Chapter 5: Conclusions and suggestions.
Propose some solutions for Viettel to maintain and increase customer loyalty 77 REFERENCES LIST OF ABBREVIATIONS Abbreviations Full meaning EFA Exploratory Factor Analysis KMO Kaiser-Meyer-Olkin SPSS Statistical Package for Social Science AMA American Marketing Association LIST OF FIGURES Figure Page Figure 1.1: The brand loyalty pyramid 15 Figure 1.2: Measuring customer loyalty to mobile information services - 18 Research in Ho Chi Minh City market Figure 1.3: Proposed research model 21 Figure 2.1: Viettel’s global presence 27 |Figure 2.2: Vietnam Telecom Market Leaders 28 Figure 2.3: Revenue top telecom companies in Vietnam from 2019 to 29 2021 Figure 2.4: Profit of top telecom companies in Vietnam from 2019 to 30 2021 Figure 2.5: Viettel’s performance by business segment between 2022 31 and 2023 Figure 2.6: Financial performance by business segment between 2022 33 and 2023 Figure 2.7: Viettel’s financial performance in 2023 34 INTRODUCTION 1. Reasons for choosing the topic Our nation is experiencing notable advancements in both its economic and social sectors, largely attributable to the substantial contributions made by the telecommunications service industry. Over the past few years, this industry has witnessed remarkable growth, evolving into a fundamental component of our infrastructure and effectively facilitating progress in digital transformation, as well as the development of a digital economy and society. The market for telecommunications services has become increasingly dynamic with the presence of prominent brands such as Mobiphone, Vinaphone, and Viettel.
The intensifying competition among these providers offers customers a wide range of options, enabling them to select the products and services that best cater to their needs and yield optimal benefits. Notably, once telecommunications businesses have established a customer base, it becomes crucial for them to continually enhance customer satisfaction in order to achieve success, foster customer loyalty, improve competitiveness, and expand their market share. Howerver, telecommunications service providers face challenging tasks, as they not only need to attract new customers, but also grapple with the dilemma of maintaining and cultivating customer loyalty. Researching customer satisfaction when using mobile telecommunications services is one of the keys to the success of any providing companies.
Increasing customer satisfaction with the services provided is an important factor in retaining customers, while improving the competitiveness of the business contributes to attracting more new customers to use the service. In the past few years, the customer segment with a good income has tended to slow down. Recognizing that problem, mobile telecommunications companies have shifted their target to a potential segment - people with low incomes, limited ability to access and use mobile telecommunications services, including customer groups who are students. Therefore, a study to determine the factors and the level of impact of the factors on student loyalty to Viettel products will have practical significance for this brand in providing measures to maintain the loyalty of their customer group.
For this purpose, this study has focused on studying the loyalty of student customer groups in the Hanoi area, through investigating, synthesizing data, identifying and analyzing the impact of factors on student customer loyalty. Research objectives ¢ General objective: The study aims to understand factors affecting the loyalty of student customers in Hanoi and evaluate the level of loyalty of those customers to telecommunications services. From there, evaluate and propose solutions to improve customer loyalty to Viettel's telecommunications services. e Specific objectives: - Systematize the theoretical basis of factors affecting loyalty and evaluate the level of loyalty of telecommunications services.
- Identify factors that influence the loyalty of student customers in Hanoi to Viettel's telecommunications services. - Evaluate the level of loyalty of student customers in Hanoi with Viettel's telecommunications services. - Propose solutions to improve customer loyalty regarding to the quality of Viettel's telecommunications services w Research object and scope of the study e Research object: Loyalty of student customers in Hanoi to Viettel's telecommunications services e The scope of the study: - Time range: from 09/29/2023 to 10/11/2023 - Spatial scope: Universities in Hanoi 4. Structure of this study This study contains 05 chapters: Chapter 1: Literature review Chapter 2: Current situation of Viettel Chapter 3: Materials and methodology Chapter 4: Results and discussions Chapter 5: Conclusions and suggestions Chapter 1: Literature review 1.
Research papers The works below all do in-depth research on the effects, especially loyalty or technological improvements,. to be able to retain and expand the customer base in the telecommunications technology industry in Ha Noi specific. Domestic research (1) Research "Factors affecting customer satisfaction with Vinaphone mobile services in Tra Vinh province" by Tran The Nhan - 2020. The results show that the variables affect in the same direction as The level of influence on the dependent variable in descending order is as follows: Price structure, Creative value, Functional value, Promotional value, Corporate image, Social value, and the lowest impact is Customer Service.
The model explains 70.9% of the variation in customer satisfaction with Vinaphone Tra Vinh mobile service (2) Research by Nguyen Minh Loi and Duong Ba Vu Thi, 2020 This study was conducted to understand the impact of factors on customer satisfaction with Viettel Quang Tri's mobile telecommunications services. This research results show that there are 6 factors that affect Viettel Quang Tri customer satisfaction (3) "Factors affecting customer loyalty in the Vietnamese telecommunications industry" - Tran Hong Nguyen and Nguyen Thi Ngoc Tram — 2018. Research results indicate that service quality, price, after-sales support and prompt supplier response are important factors in building customer loyalty. (4) "Determinants of customer loyalty in the Vietnamese mobile telecommunications market" Nguyen Thi Thanh Ngan and Tran Huu Nguyen - 2016.
This essay researched on factors that shape customer loyalty in the telecommunications market mobile in Vietnam. Foreign research These studies provide insights into various factors influencing customer loyalty in the telecommunications industry, such as customer experience, price fairness, corporate social responsibility, and service recovery. They highlight the importance of understanding customer perceptions, satisfaction, trust, and commitment in building and maintaining loyal customer relationships in the telecommunications sector. (1) Kamiru's doctoral thesis (2015) explored various aspects of competition theory, development orientation, marketing orientation, Porter's strategic management, and the assessment of resource-based development capabilities within the telecommunications services industry.
The thesis specifically focused on the impact of marketing strategies in creating a competitive advantage among mobile service providers in Kenya. It also drew parallels with research conducted in Vietnam, indicating consistency in the thesis's content. The theoretical framework presented in the thesis was well-organized and comprehensive. The article addressed three primary questions: Which types of inequalities are relevant to the concept of the digital divide?; How does inequality in access and use of information and communication technologies differ from other scarce and non-material resources? And does the information society give rise to new forms of inequality or exacerbate existing ones? The research findings on the digital divide were classified into four distinct approaches: motivational, physical, skills, and usage.
There was a noticeable shift in focus from physical access to skills and usage as key factors in understanding and addressing the digital divide. (2) Research by Lai et al. (2009) "How quality, value, image and satisfaction create loyalty in the Chinese telecommunications market" by Lai et al (2009) was conducted to propose and test of a model integrated to examine the relationship among service quality, value, brand image, satisfaction and loyalty in the Chinese mobile telecoms market. Lai et al.
(2009) built a model to study the interaction among the components of value, service quality, satisfaction, and image and the impact of those components on loyalty. The study concluded that satisfaction and value are two prominent factors that directly impact customer loyalty. Satisfaction has a significant intervention effect on the relationship from perceived value, company image to loyalty. Value plays a mediating role in the relationship between service quality and loyalty, corporate image and loyalty.
At the same time, value has a great influence on customer loyalty. Service quality directly affects both perceived value and company image. Higher service quality significantly enhances a company's image thereby improving customer satisfaction and perceived value. Image also has an indirect impact on satisfaction through value; and does not directly impact customer loyalty but it also plays an important role in enhancing customer value and satisfaction.
(3) Research by Ocloo, C. (2013) Quality service has become very important in retaining customers in the mobile phone industry. With the rise of multiple mobile network providers, customers are becoming more and more sophisticated in making decisions regarding which services or products to consume. Research has been conducted to find out whether service quality has a relationship with customer retention and whether there is an interaction between customer satisfaction and retention.
Result shows that there is a relationship between service quality and satisfaction while customer satisfaction greatly influences customer retention. These findings have implications for industry executives on key areas that need attention to improve customer satisfaction to ensure customer retention. (4) "Determinants of customer loyalty in the mobile telecommunications market: a cross-cultural analysis" by A.