(Tiểu luận) marketing plan projectvinamilk

Executive Summary Objectives of the report: The report will analyze Vinamilk''''s situation and SWOT analysis, to provide a brief discussion of the proposals.Brand information: Vietnam Dair

BỘ GIÁO DỤC VÀ ĐÀO TẠO HO CHI MINH CITY OPEN UNIVERSITY

1.Execu琀椀ve Summary 3

3 Situa琀椀on Analysis 4

3.1 Company analysis 4

3.2 Market analysis [Customers] 5

3.3 Compe琀椀tor analysis 6

3.4 Analysis of the macro environment 7

4 SWOT analysis (about 2 pages) 9

1 Strengths (S) 9

2 Weaknesses 10

3 Opportuni琀椀es (Opportuni琀椀es) in the SWOT matrix model of Vinamilk 10

4 Challenges in Vinamilk's SWOT matrix model 11

5 Segmenta琀椀on, Targe琀椀ng and Posi琀椀oning 13

5.1 Segmenta琀椀on 13

5.2 Targe琀椀ng 14

5.3 Posi琀椀oning 14

6 Goals and Objec琀椀ves: Where do we want to be? 17

7 Recommenda琀椀ons for Marke琀椀ng Tac琀椀cs (Mix) 17

1 Vinamilk's product strategy – (Product) 17

2 Vinamilk's pricing strategy – (Price) 18

3 Vinamilk's distribu琀椀on system strategy – (Place) 18

4 Vinamilk's promo琀椀on strategy (Promo琀椀on) 19

5 People 20

6 Process (Process) 21

8 Implementa琀椀on and control plan 22

9 Conclusion 23

1 Executive Summary

Objectives of the report: The report will analyze Vinamilk's situation and SWOT analysis, to provide a brief discussion of the proposals.

Brand information: Vietnam Dairy Products Joint Stock Company (English name is Vietnam Dairy Products Joint Stock Company), other name: Vinamilk

The leading enterprise in the field of dairy products production in Vietnam Distributed evenly throughout 63 provinces and cities across the country with 220,000 points of sale, exported to 43 countries around the world Vinamilk milk brand, with more than 40 years of establishment and development, increasingly asserts its position as the number 1 fresh milk brand in Vietnam, with fresh milk products not only trusted by domestic users but also exported to domestic markets exports to the most demanding foreign markets.

Being the largest dairy enterprise in Vietnam with a market share of 37%, of which it holds 45% market share in liquid milk market, 85% market share in condensed milk and yogurt Therefore, Vinamilk has the ability to set the selling price in the domestic market.

But not yet able to control the source of raw materials, along with the participation of many strong competitors in the market and the customer's preference for foreign milk.

Therefore, after the analysis process, it was found that Vinamilk needed a meaningful campaign to hit the customer's psychology, helping them to trust more when using Vinamilk milk.

2 Introduction

The topic of this report is to learn and analyze Vinamilk's brand, thereby pointing out strengths and weaknesses, assessing competitive

advantages and the strategies that Vinamilk is currently pursuing to develop the brand This comes to a variety of domestic customers and is

increasingly growing abroad.

This report will clearly present the marketing strategies that Vinamilk is using, analyze the market and company of the brand, and then come up with a new strategy This strategy team took the idea of a previous campaign and developed it Because since the Covid epidemic took place until now, when "sharing difficulties" is essential, this campaign will also clearly affirm Vinamilk's commitment to many essential activities real With this campaign, the group hopes to help Vinamilk increase revenue by 7% this year and expand its retail systems.

3 Situation Analysis 3.1 Company analysis

About the company's product line:

Vinamilk company currently has over 200 dairy products and dairy products such as: condensed milk, powdered milk for children and adults, nutritional powder, fresh milk, drinking yogurt, soy milk, ice cream, cheese, etc fruit juices, biscuits, purified water, coffee, tea All products must meet international standards.

Recent company background related information:

Established on August 20, 1976 with the beginning as a state-owned enterprise, now Vinamilk has become the leading company in Vietnam in processing and supplying dairy products, ranked in the top 10 strong brands Vietnam ( in 2010 ).

Brand and scale compared to competitors:

According to Euromonitor, Vinamilk was the leading dairy producer in Vietnam for the three years ending December 31, 2007 Since its inception in 1976, the Company has built the widest distribution network in Vietnam and leveraged to introduce many of its product lines The company owns a large distribution network across the country, which is a favorable condition for us to bring our products to a large number of consumers Most of the Company's products are supplied to the market under the brand name "Vinamilk", this brand is voted as a "Famous Brand" and is one of the 100 strongest brands voted by the Ministry of Industry and Trade in 2018 2006 Vinamilk was also voted in the group of "Top 10 High Quality Vietnamese Goods" from 1995 to 2007 The Company's products are mainly consumed in the Vietnamese market and also exported to foreign markets such as Australia, Cambodia, Iraq, Philippines and USA.

Vinamilk's customer segments:

All ages and subjects are suitable for Vinamilk Vinamilk's product lines are developed for children and teenagers because this age group has a great demand for milk and consumption of dairy products is the largest Vinamilk divides target customers into two groups:

Group of individual customers: are consumers who have a need to buy and are willing to pay to buy products

Organizational customer group: are distributors, wholesalers, retailers, shops, supermarkets,

In addition to the two main target customer groups, Vinamilk's other product lines are also suitable for all ages

3.2 Market analysis [Customers]

Vinamilk's target market is consumers of fast-moving dairy products in Vietnam, especially in the affordable price segment.

Even Vinamilk's organic products are cheaper than other brands and do not have too much difference in taste, still meeting the needs of users With 3 criteria:

- Geographic criteria: Urban and rural market segments have different consumption capacity Consumers in urban areas will have other options besides Vinamilk, but rural consumers will not have as many choices - Demographic criteria: The taste of customers will change according to age The children will love the fruity, sweet milk flavors; Adults or the elderly will be interested in organic dairy products, nut milks and unsweetened milk In addition, if only individuals use it, they will often buy milk in bags or batches, but when buying according to households, they can buy individual boxes for storage or 1 liter bottles.

- Criteria of buying behavior: Customers will base on their feelings, personal habits, and personal health status to choose to buy Vinamilk products.

Product strategy

With the company's large resources and high degree of product diversification, Vinamilk liquid milk has chosen a strategy of focusing on the entire market, with each market segment, each customer having suitable products For children under 6 years old, there is a 110ml box of milk, for children from 6 years old and an adult, there is a box of 180ml, 200ml.

There are many ways to pack such as paper boxes, paper bags for convenience when traveling, easy to carry

Ordinary people can use many types such as pasteurized milk,

pasteurized milk with sugar, no sugar, strawberry flavored milk, chocolate flavor

People who are malnourished or the elderly should use pasteurized milk rich in calcium

People with diabetes and obesity should use low-fat flex milk without sugar, pasteurized without sugar.

However, the target customers that Vinamilk's liquid milk is targeting are children and the middle-class market.

3.3 Competitor analysis

According to market research firm Kantar Worldpanel, liquid milk is currently less competitive than powdered milk, because domestic firms will have a supply advantage In this segment, Vinamilk continues to lead, accounting for 55% of the market share However, with some potential forecasts of the liquid milk market, especially the fresh milk market, it only meets 35% Meanwhile, the rest is mainly dependent on imports, causing other businesses to find ways to penetrate this segment Vinamilk's domestic competitors in this segment include:

TH true Milk

Since its establishment, TH true Milk has set a goal to account for 50% of the fresh milk market by 2020 This group has withdrawn $1.2 billion in

"wallet" as well as a lot of human resources to build a website project Asia's largest dairy farm and the largest dairy processing factory in Southeast Asia.

Focusing on new product lines has helped TH true Milk develop many steps Only 5 years after the launch of the first product, by 2015, TH true Milk is the enterprise that owns the largest dairy herd in Vietnam with a herd size of up to 45,000 heads With a farm area of up to 8,100 hectares, concentrated in Nghe An.

In addition to focusing on the powdered milk segment, following consumer trends along with the brand's pedestal, Nutifood has been targeting the liquid milk segment with many bold plans, including cooperation with Hoang Anh Gia Lai (HAGL) to build a pure fresh milk material area with nearly 120,000 dairy cows, capable of providing up to 1.2 million liters of milk/day.

However, up to the present time, the above cooperation program has not been as expected, leading to a rather limited amount of fresh milk sold by Nutifood, the reason is because the company's cow farming area has only reached a few thousand cows, which is low much more than other

Other businesses

In addition to strong competitors such as TH true Milk or Nutifood, the liquid milk segment is also attractive to many businesses such as Nestle, International Dairy Joint Stock Company (IDP) and Moc Chau.

Invested by VinaCapital Fund, led by the "marketing wizard" who is general director Tran Bao Minh, IDP is currently focusing on building a big brand in the country and has a vision towards the international market This company has heavily spent money on promoting fresh milk products on television channels, especially channels for children.

3.4 Analysis of the macro environment materials can help improve milk quality Challenge:

According to Dairyvietnam.com, more than 95% of Vietnam's dairy herds are now scatteredly raised in smallholder households, with low

professionalism, limited feed resources, 80% of dairy herds have to be imported (cow breeds) , food, pasture).

Cost pressure is great, quality is not ideal, can only meet 22-25% of raw material needs, causing difficulties for businesses (according to the introduction of the General Secretary of the Vietnam Dairy Association)

Economic environment

Globalization and international economic integration are deepening, especially when Vietnam joins the WTO, many businesses have many opportunities to cooperate with foreign partners, including dairy products Prices of dairy products in the world tend to increase, creating favorable price competition conditions for Vietnam's dairy industry to open up foreign markets At the same time, domestic dairy companies have the opportunity to be exposed to new and more advanced technologies and have the opportunity to constantly improve and perfect themselves in a highly competitive environment.

Economic growth maintained at a relatively high level, in 2014, the economic growth rate of Vietnam was estimated at 5.4% by the World Bank, the average income of the people increased, the consumption demand increased , foods including milk rose.

Despite the ability to compete on price, Vietnamese dairy companies face difficulties in product quality compared to foreign companies Many Vietnamese consumers accept the price of imported milk 200% higher Vinamilk's macro environment through government, law, and politics Chance:

Vietnam's political background is relatively stable, the policy of reducing import tax to 0% helps foreign investment, support learning and development feel more secure.

The milk consumption policy is stable and the regulation system is gradually improving

State agencies also loose control of market prices The enforcement process against unfair competition is not really effective

The inspection of the dairy industry is still lax, focusing only on food safety inspection, and has not been able to control the content of difficult-to-active substances in dairy products.

Natural condition

Vinamilk's macro environment Chance:

Vietnam's climate has humid monsoon conditions, but there are temperate climates such as Tuyen Quang, Lam Dong, Ba Vi, etc., which are especially suitable for growing quality pastures and raising high-yield dairy cows.

Challenge: Unfavorable climate in storage and processing affects milk quality

Demographic environment

As of November 21, 2020, the population of Vietnam is estimated at 97,646,974 people, an increase of 1,184,868 people compared to 2019 – 2020 The natural population growth rate is positive because the number of births exceeds the number of people died, was 945,967 people Due to migration, the population decreased.

increasing day by day, creating opportunities for manufacturing companies In 2019, the proportion of workers with upper secondary school degree or higher was 39.1%, an increase of 13.5 percentage points compared to 2009; workers with qualifications and certificates (primary level) accounted for 23.1% The literacy rate of the population aged 15-60 in the whole country is 97.85% There are still more than 1.49 million people in the country who are illiterate.

4 SWOT analysis 1 Strengths (S)

-Strong brand

Vinamilk milk brand, with more than 40 years of establishment and development, increasingly asserts its position as the number 1 fresh milk brand in Vietnam, with fresh milk products not only trusted by domestic users but also exported to domestic markets exports to the most demanding foreign markets.

-Product quality

Diverse products, there are many leading dairy products in Vietnam: Ong Tho condensed milk, Sao, Dielac, Yogurt Vinamilk

High quality products but lower prices than imported products of the same type and owns the largest market share in Vietnam among suppliers of similar products.

- Wide distribution network

Vinamilk's dairy product distribution network stretches across the country and also exports to foreign markets, combining many modern and traditional distribution channels.

Vinamilk now has a wide distribution network across 64 provinces, more than 250 distributors and more than 135,000 points of sale nationwide Multi-channel distribution system: Present at all shelves in supermarkets and shops Even users can easily order online on websites or e-commerce sites.

-Invest in modern, high-quality equipment and technology

All Vinamilk's dairy factories are invested in modern and advanced technology, imported from European countries such as Germany, Italy, and Switzerland to apply to the production line Vinamilk is the only company in Vietnam that owns a system of machines using spray drying technology developed by Niro of Denmark, ensuring quality dairy products to consumers.

-Quality natural milk source, farm meets international standards The company invests in building organic dairy farms according to international standards, supporting dairy farmers to be proactive about input materials

Vinamilk's milk factories are located at strategic locations near the farm, allowing Vinamilk, in addition to maintaining and strengthening relationships with suppliers, also ensures the purchase of fresh milk of good quality.

Vinamilk consumes more than half of domestic production of raw raw milk, this is also an enterprise capable of navigating the price of milk in the Vietnamese market.

-A methodical and professional marketing strategy

With a large corporation with a long history of achievements like Vinamilk, the advertising, PR, and Marketing programs are very methodical and professional, highly humane, touching the hearts of users, such as programs School milk, Tall Vietnam Dairy Fund, the campaign "One million green trees in Vietnam" campaign

Besides, Vinamilk has a strong product research and development department

-Financial strength

While many businesses are facing difficulties because of loan interest rates, Vinamilk has a fairly safe capital structure and good financial autonomy In addition, the indirect acquisition of Moc Chau milk also contributes to improving and expanding the company's financial capital.

2 Weaknesses

-Not yet self-sufficient in raw materials

Due to the increasing demand for fresh milk of users, domestic raw materials only meet about 30% of production needs, and 70% are imported from New Zealand, the US, the EU and Japan Therefore, input costs increase and product prices also increase However, Vinamilk is also