Tên: Nguyễn Vũ Tân.

MSSV: SE140480
Individual assignment.
Option 2: Analyze a chosen marketing campaign, social media campaign…

Currently, the increasing trend of dairy consumption has helped the dairy industry thrive in
recent years. According to the General Statistics Office, the average growth rate of the dairy
market from 2000 to 2009 reached more than 9% / year, the per capita milk consumption
increased by 7.85% per year. However, according to Mr. Hoang Kim Giao - Director of the
Department of Livestock Production under the Ministry of Agriculture and Rural Development,
the current production capacity of the domestic livestock industry can only produce 3.2 kg of
milk per person per year per capita, equivalent to 28% of consumption demand. Therefore, the
Government has a plan to invest in dairy farms and milk processing technology to increase
domestic fresh milk production, and loosen dependence on imported milk powder. Foreseeing
the above problems, Vinami Ik Company has continuously diversified its products and expanded
many dairy farms nationwide. As a result, in the current dairy market in Vietnam, despite fierce
competition with many strong competitors such as Abott, Dutch Lady, Lothamilk ... but Vinamilk
still holds 35% of Vietnam's dairy market share.
About the Vinamilk company:
● The Company was established on August 20, 1976, so far Vinamilk has become the leading
company in processing and supplying dairy products, ranked in the Top 10 strong brands in
Vietnam. Vinamilk not only occupies 75% of the domestic dairy market share but also exports
its products to many countries around the world such as the US, France, Canada, ...
● Operating for more than 10 years in the subsidy mechanism, like many other companies only
produce according to plan, but when entering the market economy, Vinamilk quickly seizes
opportunities, constantly innovates technology, investment in infrastructure, product
diversification to prepare for a new journey.
● Continuously expanding production, building more factories across the country (currently 5
more factories are continuing to be built), Vinamilk's revenue is more than 6,000 billion VND /
year, contributing to the state budget each. year over 500 billion.
● Vinamilk 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, soymilk,
ice cream, cheese, fruit juices, biscuits, purified water, coffee, tea ...
● Currently, the company has more than 180 distributors, more than 80,000 retail points
nationwide.
● If in 2001, the Company had 70 agents transferring fresh milk, until now it has 82 agents
nationwide, with the amount of milk purchased about 230 tons / day. These transfer agents are
systematically organized, widely and reasonably distributed to help farmers deliver milk in the
fastest and convenient way.
● Vinamilk has also invested 11 billion VND in building 60 milk tanks and a preliminary
workshop with equipment to preserve fresh milk. Vinamilk's technical staff regularly come to
farms and households to inspect and advise on high productivity and quality dairy cow breeding
techniques.
● Thanks to reasonable support measures, incentive policies, and incentives, Vinamilk has
created jobs for thousands of rural workers, helping farmers to stick with the company and with
dairy farming, contributing to change rural appearance and improving living standards; raising
the total number of dairy cows from 31,000 to 105,000.
● Commitment to International Quality and Quality Vinamilk has affirmed the goal of
conquering people regardless of national borders of the brand name of Vinamilk. Actively
integrating, Vinamilk has prepared from human resources to facilities and business capabilities
to steadily enter the markets of WTO countries with a mark of Vietnam Brand name. 2. Vision:
"To become the number one belief symbol in Vietnam about nutritional and health products
serving human life". 3. Mission: “Vinamilk is committed to bringing the community the best and
best quality nutrition with respect his love and high responsibility for human life and society ".
4. Core Values: "To become the leading symbol of belief in Vietnam about health and nutrition
products serving human life". 5. Company size:
• Vinamilk has 10,000 employees, with more than 30 member units all over the country and its
subsidiaries, factories and farms located outside. Setting the target strategy of bringing
Vinamilk into the Top 30 largest dairy companies in the world, for many years, this enterprise
has started to build a team of talent for itself.
• Over 43 years of establishment and development, from the first three next factories, up to
now, Vinamilk has expanded its scale to 40 units including branches, factories, dairy farms, and
logistics and subsidiaries, affiliates both at home and abroad.
Vinamilk is very ingenious when it comes to the 4Ps marketing strategy. That has helped
Vinamilk succeed in the dairy market in Vietnam.
4Ps strategy definition: 4P in marketing (also known as marketing mix) is a set of marketing
tools including: product, price, place, promotion. The marketing mix strategy is used by the
business to achieve the marketing focus in the target market.
Following is vinamilk 4Ps strategy:
•Product:
As of late, Vinamilk has invested a lot of energy to grow the Company's image to address the
issues of clients from babies, kids, teenagers, grown-ups, and furthermore individuals with
uncommon necessities. Other than the items with principle brand name as "Vinamilk", the
Company likewise claims the brand name "Dielac" for its powder milk product offering, and
"Vfresh" for the results of drink line.

In present, Vinamilk possesses an item portfolio with an enormous number of product

offerings. The product offerings of Vinamilk that recorded in the Company's yearly report 2013
include: powdered milk and sustenance powder, improved dense milk, fluid milk, yogurt, and
drink. Among such assortments of product offerings, the center lines of Vinamilk are fluid milk,
yogurt, powdered milk, and consolidated milk. Until the finish of 2013 in Vietnam's dairy, fluid
milk, yogurt, and consolidated milk results of Vinamilk have driven the piece of the pie with
roughly 60%, 70%, and 90 percent separately. The control of these items in the absolute income
of Vinamilk in 2013 is appeared in Figure 8 underneath.
• Price:
Other than product offerings of yogurt and consolidated milk, which overpower the
homegrown dairy market, different items lines of Vinamilk face the exceptional rivalry with
other homegrown dairy makers. In that situation, estimating is viewed as one of the essential
qualities of Vinamilk in the opposition with its adversaries. The item costs of Vinamilk are very
little unique contrasting with its rivals', particularly in the fluid milk area. For instance, in a
general store situated in a region of Ho Chi Minh City, Vinamilk's cost of a 1-liter new milk box is
about VND 33 300, while a similar item sort of different organizations (TH True Milk, Love'in
Farm, Lothamilk, or Dutch Lady) range from VND 27 600 - 34 000. From the start of April 2012,
Vinamilk had partaken in the responsibility of balancing out costs for a few items like some fluid
milk items, powdered milk for kids, seniors, and patients. Despite the fact that the world's milk
crude materials had persistently expanded more than 20% from the center of 2012, Vinamilk
actually kept the costs stable for the entire year.
• Place:
During the past few years, the distribution network of Vinamilk has continued to be
consolidated and strongly grown in both domestic and international market. Due to the
research scale, the author only focuses on the domestic distribution system in this part.
• Promotion
Exceptionally putting resources into ads
In 2013, Vinamilk spent around VND 885 billion for promotions, and the sum was likewise
anticipated to surpass VND 1000 billion (~US$ 46.9 million, Bloomberg, 2014) in 2014.
Concurring late 46 insights in the principal half of 2014, the costs for promotions of Vinamilk is
about VND 462 billion and involves one-fourth in complete expense of deals.
Besides focusing on the advertising strategies, Vinamilk also perceives the importance of
actions that bring sustainable values to the society and the community. The most typical ones
are: the Scholarship Fund “Vinamilk - Nurturing Vietnamese young talent”, the “Vietnam Never
Stops Growing” Milk Fund, and the “One million green trees for Vietnam” fund.
This is what Vinamilk has done and achieved when applying the concept of marketing mix 4Ps
to become the largest dairy company in the Vietnamese dairy market today.