Báo cáo cuối kỳ môn quản trị sản phẩm final term report subject marketing channel management

Acecook Vietnam Joint Stock Company with nearly 30 years of establishment and development, Acecook brand is constantly growing to become a leading general food company, always standing f

UNIVERSITY OF ECONOMICS AND FINANCE

HO CHI MINH CITY

FINAL TERM REPORT SUBJECT: MARKETING CHANNEL MANAGEMENT

LECTURER: NGUYEN DANG HUY VU

GROUP 8

Ho Chi Minh, December 30th, 2022

GROUP WORK PEER EVALUATION FORM

Course 1B Group 8

NO

Full

name

Team Role

KPI

1

Vuong

Van

Hieu

2

Tran

Khanh

Linh

3

Hoang

Long

4

Nguyen

Thi Kieu

My

5

Doan

Viet

Tung

Part 1/Final Report

Acknowledgments

We would like to express our deep gratitude to the University of Economics and Finance in Ho Chi Minh City HCM, especially the Faculty of Marketing has included Distribution Channel Management in the curriculum and training The department has given the group a lot of useful knowledge and is the foundation for the group to continue learning and practicing the next set of modules in the school's training program

And above all, the group would like to thank the lecturer of the subject – Mr Nguyen Dang Huy Vu, who directly teaches, imparts useful experience and knowledge to the group He facilitated and assisted the team in completing this end-of-term report Thank you very much for your enthusiasm

Thank you for the companionship of the team members – students of Ho Chi Minh City University of Economics and Finance HCM

Distribution Channel Management is a very good subject, highly useful, ensuring knowledge and meeting practical needs for students This is also a great baggage for the group to be more stable on the path of each team member However, there is no denying the difficulty of the subject, but the group's understanding is still limited, so this report will inevitably be flawed, I hope you will consider and comment to make the group's report more complete

Thank you!

I wish you a lot of health and a more brilliant teaching career in the future

1 Introduction

1.1 About Acecook

1.1.1 Acecook Overview

Established on 15/12/1993 and officially put into operation since 1995 Acecook

Vietnam Joint Stock Company with nearly 30 years of establishment and development, Acecook brand is constantly growing to become a leading general food company,

always standing firm in the Vietnamese market

Currently, there are more than 50 instant noodle manufacturers in Vietnam with 70% market share belonging to Acecook Vietnam, Masan and Asia Food In particular,

Acecook Vietnam has always led the market share with about 50% in urban areas and 43% across the country

Acecook's products are now available at supermarkets, retail stores, grocery stores across 63 provinces and cities across the country and exported to about 40 countries around the world, including countries famous for strict and strict food safety such as America, Japan, Australia, Canada, Germany, France, Korea

1.1.2 History and development

1993: Established Vifon Acecook joint venture company (12/15/1993)

1995: Officially sold the first product is High-class brand in Ho Chi Minh City

1996: Entered the US export market and established Can Tho branch 28/02/1996

1999: Achieved the title of High Quality Vietnamese Goods for the first time

2000: Hao Hao flavored sour and spicy shrimp was born A new breakthrough created

the company's leap into the market

2003: Completed the factory system from North to South

2004: Officially changed its name to Acecook Vietnam Co., Ltd Relocate the factory

to Tan Binh industrial park

2005: Entered the ready-to-eat rice market Built a factory in Vinh Long, launched Pho

Xua & Nay

2008: Renamed to Acecook Vietnam Joint Stock Company (18/01/2008) Official

member of the World MAL Association

2012: Inauguration of Ho Chi Minh 2 factory in Southeast Asia

2015: Acecook Vietnam Joint Stock Company Change the new brand identity

2018: Hao Hao is confirmed as a Guinness Vietnam Record as a product with the

most sales volume in Vietnam in 18 years (2000 – 2018)

2020: Acecook has 7 branches with more than 300 agents nationwide and exports to

more than 40 countries

1.1.3 Vision and Mission

Acecook Vietnam's business philosophy is "Through the culinary path to contribute to Vietnamese society" With this philosophy, Acecook has contributed to improving and developing Vietnam's food industry by producing and trading high-quality ready-to-eat foods In addition, they also actively export products that bring Vietnamese culture to the world during the 27 years since their establishment to be able to transform

themselves to the world, maintaining their position in the hearts of consumers

The mission of "Providing high quality products/services brings Health – Safety – Peace of Mind to customers" along with the vision of "Becoming the leading food

manufacturer in Vietnam, with enough management capacity to adapt to the

globalization process"

1.1.4 Cook Happiness – Core Values

Happy Customers: Acecook Vietnam will always strive to make customers and users

of Acecook products feel happy

Happy Employees: Acecook Vietnam always strives to make Acecook employees and

their families feel happy

Happy Society: Acecook Vietnam always strives to make the whole society feel

happy

1.2 About Hao Hao Noodles

1.2.1 History

In September 2000, Hao Hao Noodles was officially launched with the first two

flavors, chicken and mushroom By July 2002, the sour and spicy shrimp flavor of the noodles was released and became popular

1.2.2 Development process

First appeared on the market in 2000 by Acecook Vietnam, after 20 years of

continuous efforts to improve quality, Hao Hao has successfully maintained the leading position in "The most chosen instant noodle brand" (2012 – 2019) In addition, Hao Hao also created more flavors, many new models to meet the expectations and needs of consumers

So far, Hao Hao has produced many different flavors such as pork chops, sweet and sour fried shrimp with a price of only 3,500 VND, very suitable for the budget but still ensures minimal nutrition for consumers

1.2.3 Core Values

"Japanese quality for delicious meals" – The slogan is taken by Hao Hao as the motto

of the brand in particular and Acecook in general At the heart of all activities As a core value in the production and trading of safe and high-tech products and foods that meet the needs of consumers

2 Marketing Channel Analysis

2.1 What are the available segments for your chosen product/service?

Segment 1: Student

Segment 2: Rural/city consumers (usually families)

2.2 What is the structure of channel your chosen product or service currently using? Acecook's supply chain is built in a closed system, optimized in overall management from raw material import operations, finished product production, semi-finished products

to distribution and retail

The company cooperates with many shipping service providers to build warehouse management systems, order management, distributors, human resources

Acecook has created a nationwide marketing and distribution system with more than

700 tier 1 agents through 7 main business branches, spread throughout the country Each area has a representative office/branch in big cities such as Hanoi, Ho Chi Minh, Can Tho

For its product distribution strategy through retail channels, Acecook has sold Hao Hao Noodles products at supermarkets and retail stores to distribute directly to

consumers

Figure 2.1 Acecook's Hao Hao Noodle distribution model

2.2.1 Distribution model of “Hao Hao Noodle”

Hao Hao Noodles has chosen many different forms of distribution channels to bring products to consumers, but mainly still distributes according to the dealer system

(wholesale), the business selects many wholesalers (Level 1 agents) and the task of these wholesalers is to distribute to subordinate wholesalers and then cover retail

stores When customers have a need, the above stores will notify wholesalers, and this business will provide products in the form of sell-offs

The advantage of this model is that the investment capital is not high, suitable for strong brands favored by the market However, if there are any problems with the

product (such as product quality problems), then surely the manufacturer's ability to push the goods down to the distribution levels will be affected On the other hand, due

to distribution according to demand, products reaching consumers will be fast and slow

at times

In addition, the distribution channel "Manufacturer → Retailer → Consumer" is also focused by Acecook company to consume Hao Hao Noodles

2.2.2 Member selection

Due to today's general consumption trend of Vietnamese people is getting closer and closer to modern distribution channels such as supermarket, buffet shop Therefore, Hao Hao has implemented a strategy of distributing its products through these retail channels Products are delivered to consumers through just one retailer

Specifically, Hao Hao is sold at retail supermarkets such as Big C, supermarket chain Co-op Mart, Maximax system These supermarkets distribute products directly to the end user, by allowing consumers to choose their favorite and suitable items and product lines This distribution channel is focused on the end consumer, consumed in small but frequent quantities

Thus, the distribution strategy of Hao Hao Noodles is to expand the market, expand agents, gradually increase the quantity and quality of distribution channels

2.3 Does the firm operate through a multi-channel strategy? How the firms allocate channel functions?

2.3.1 Advertisement: Online Advertisements

In order to bring the product to the most visible consumers, Acecook has put its products advertised on TV channels such as HTV7, HTV9 and radio In addition, businesses also invest heavily in advertising in posters on the street or website

Typical promotions such as "Eat Hao Hao, crazy rich", "Billionaire Hao Hao", have received positive feedback from consumers

Acecook regularly organizes social activities such as "Tet reunion", activities to support people in the Central region affected by floods,

2.3.2 Supermarkets, retail outlets, traditional markets

Specifically, Hao Hao will be sold at supermarkets and retail stores to distribute products directly to consumers Here customers can freely choose the items and product lines that they love and are most suitable

2.4 How well does this channel system could to meet target customer segments' demands for channel benefits?

This analysis is based on the two customer groups we mentioned above:

2.4.1 Student

Demand:

Bulk breaking → High Spatial convenience → High Waiting time → High

 The channels that serve this customer base are local retailers (grocery stores, convenience stores, ) Acecook's distribution system has high coverage

nationwide, meeting the needs of this group of customers quickly and

conveniently

2.4.2 Rural/city consumers (Usually families)

Demand:

Bulk breaking → Medium

Spatial convenience → Medium

Waiting time → Medium

Customer service → Medium

 This group of customers usually buys 1 carton at a time and buys monthly This group often buys goods at supermarkets, groceries with the desire for a good price Acecook's distribution system has low-end agents, supermarkets and groceries across the country that can ensure the needs of this group of

customers

3 Suggested Improvements

3.1 Advantages

The company's current distribution channel system is generally quite reasonable, taking into account the market's size, the nature of the product, and the company's financial resources Sales have risen steadily as a result of the active and efficient activities of channels like promotions and lucky draws held on special occasions The main market share has also been developed, and the target market has been secured Mining pepper commands the majority of the market At the moment, the business is working to increase the depth and breadth of its distribution channel system ng The business enjoys a positive rapport with both you and your friends who are channel members

3.2 Disadvantages

After several decades of operation, the company has seen remarkable success, and its products are available in the majority of provinces and cities, but there is still a

problem with its distribution strategy that needs to be resolved Conflicts between

channel participants are a common problem in the distribution of goods The company must deal with new members entering the lung distribution network Such an

occurrence lowers the effectiveness of distribution activities, which harms the

company's reputation Conflicts over prices and business locations are the most

frequent Additionally, some agents continue to have poor management capabilities and operations, which makes it difficult to distribute products made of chalk

3.3 Solution

The distribution system management team must be an experienced team that handles situations skillfully in many cases

There are many flexible discount policies for each member with different

characteristics

Expanding distribution channels but not rampant → carefully filtering points of sale based on the following criteria: Population level; Naperture; Consumer

microaggressions

Encourage channel members to operate productively with the support of many benefits from the manufacturer

4 Conclusion

In the course of business activities, Acecook Vietnam Joint Stock Company has made many contributions to the Vietnamese economy The products Acecook provides to consumers are of high quality at a low price

Facing today's integrated and developed economy has opened up many opportunities for the company, besides still full of difficulties that Acecook needs to face, need to come up with appropriate strategies to survive and develop One of the best ways to do that requires improving the quality of the distribution channel system

Through the analysis, it can be seen that the company's distribution channel system

in the present has many advantages, but also reveals the limitations encountered Therefore, the issue of completing the company's distribution channel system in this period is necessary, in accordance with the current economic situation

The stage of completing the company's distribution channel system to meet the needs

of the market in the coming period is very difficult, long-term and costs a lot, requiring a lot of effort of all members of the company and members of the channel Therefore, Acecook needs to have plans and preparations to do this well to improve the

consumption of its products, contributing to helping the company stand firm in the

market and grow stronger

Bibliography Acecookvietnam [Online] https://acecookvietnam.vn/

Wiki [Online] Hao Hao Noodles https://vi.wikipedia.org/wiki/Hảo_Hảo