UNIVERSITY OF ECONOMICS HO CHI MINH CITY

SCHOOL OF INTERNATIONAL BUSINESS – MARKETING

FINAL EXAM REPORT

COURSE TITLE: PRINCIPLES OF MARKETING

TOPIC: AN ANALYSIS ON COCOON BRAND

LECTURER: Mrs. LÊ THỊ HỒNG MINH (Ph.D.)

COURSE ID: 24C1BUS50307014
STUDENT’S FULL NAME: TRẦN KHÁNH HƯNG
STUDENT’S ID: 31241026421

HO CHI MINH CITY, DECEMBER 2024

Priciples of Marketing – Final Exam Report Lecturer: Lê Thị Hồng Minh

LECTURER’S FEEDBACK

.......................................................................................................................................................
.......................................................................................................................................................
.......................................................................................................................................................
.......................................................................................................................................................
.......................................................................................................................................................
.......................................................................................................................................................
.......................................................................................................................................................
.......................................................................................................................................................
.......................................................................................................................................................
.......................................................................................................................................................
.......................................................................................................................................................
.......................................................................................................................................................
.......................................................................................................................................................
.......................................................................................................................................................
.......................................................................................................................................................
.......................................................................................................................................................
.......................................................................................................................................................
.......................................................................................................................................................
.......................................................................................................................................................
Lecturer’s signature

Mrs. LÊ THỊ HỒNG MINH (Ph.D.)

Trần Khánh Hưng - 31241026421 Page i

Priciples of Marketing – Final Exam Report Lecturer: Lê Thị Hồng Minh

Table of Contents
I. Business Overview..................................................................................6
1.1. Cocoon’s background.........................................................................6
1.2. Marketing objectives..........................................................................6
II. SWOT Analysis.....................................................................................6
2.1. Strengths.............................................................................................6
2.2. Weaknesses.........................................................................................6
2.3. Opportunities......................................................................................7
2.4. Threats................................................................................................7
III. Market Segmentation, Target Customer & Brand Positioning......8
3.1. Market Segmentation..........................................................................8
3.2. Target Customer.................................................................................8
3.3. Brand positioning...............................................................................8

Trần Khánh Hưng - 31241026421 Page ii

Priciples of Marketing – Final Exam Report Lecturer: Lê Thị Hồng Minh

Trần Khánh Hưng - 31241026421 Page iii

Priciples of Marketing – Final Exam Report Lecturer: Lê Thị Hồng Minh

LIST OF FIGURES

Trần Khánh Hưng - 31241026421 Page iv

Priciples of Marketing – Final Exam Report Lecturer: Lê Thị Hồng Minh

I. Business Overview
1.1. Cocoon’s background
Cocoon is one of Viet Nam’s pioneering vegan cosmetics brand, established in 2013 by parent
company Nature Story Cosmetic Co., Ltd – Vietnam (Asia Circles, 2024). Cocoon dedicates itself
on producing authentic vegan products that utilize cruelty-free ingredients, leveraging the potential
of Viet Nam’s diverse and indigenous agricultural plants and fruits (Cao, 2023).

1.2. Marketing objectives

Cocoon’s marketing strategies aim to convey a crucial message to its consumers, that its products
are always at the highest quality with 100% vegan ingredients and no harmful chemicals in the
production process, with the view to maintain and enhance public health (Nguyen, 2024).
Additionally, Cocoon focus entirely on the vegan and green cosmetics lines, emphasizing humanity
by refraining from testing its products on animals (Cocoon Vietnam, 2023). Furthermore, Cocoon
also conducts campaigns to raise awareness about evironmental protection of its consumers,
promoting sustainability and eco-friendliness (Bách , 2022).

II. SWOT Analysis

2.1. Strengths
Cocoon has successfully developed its brand identity revolving around several aspects that have
gained considerable traction over the years. The company established itself as a vegan cosmetics
brand that offers vegan beauty products, showing great commitment to natural ingredients in the
production process. Furthermore, Cocoon is proud to be Leaping Bunny approved (Tuoi Tre Online,
2020), believing that beauty products should be cruelty-free, with no experiment conducted on
animals. With the state’s policy of “Vietnamese people use Vietnamese goods” (Thai, 2024).
Cocoon also embraces the market of beauty products domestically.
2.2. Weaknesses
Despite the brand’s promising foundation, Cocoon inevitably comes across some challenges. First,
its potential market reach is limited, due to its product ranges being restricted to skincare and beauty
segment. Second, because Cocoon’s committed to using natural and sustainable ingredients, and
maintaining the supply of high-quality local produces is fairly expensive, causing higher production
costs and lower the profitability of Cocoon. Furthermore, the effectiveness of its products is not
immediate, as vegan products require consistent use to show results, which can cause dissatisfaction
in customers (Bách , 2022).
2.3. Opportunities
As the standard of living increases and people are becoming more conscious of the wellfare of the
environment, the demand for natural and green cosmetics alternatives increases too. Cocoon has
become a pioneering brand in Viet Nam that produces authentic vegan beauty products, completely
refraining from experimenting on animals. In addition, the rise of e-commerce and online shopping
platforms provide a wider range of audiences as well as forming partnerships with beauty bloggers,
influencers and KOLs to enhance brand’s exposure and credibility (Feedforce Vietnam Co., Ltd,
2024).

Trần Khánh Hưng - 31241026421 Page 1

Priciples of Marketing – Final Exam Report Lecturer: Lê Thị Hồng Minh

2.4. Threats
Cocoon has to compete with other established strong players that holds a large amount of market
share in the cosmetics industry, such as Dove, Lush and The Body Shop. Cocoon also face
problems in product sourcing, pricing and promotional campaigns. Furthermore, Cocoon also finds
it difficult to attract Vietnamses consumers, due to the fact that they have quite a higher preference
for foreign goods.
The products’designs propose a threat to Cocoon as well, with the main argument being it is
plausible to counterfeit the packaging, allowing cheap knock-off products to roam the market.
Another problem is that some products come in large jars or bottles, causing inconvinience for
travelling.

Cocoon Vietnam informing consumers about the existence of counterfeits (Cocoon Vietnam, 2022)

III. Market Segmentation, Target Customer & Brand Positioning

3.1. Market Segmentation
Demographic: While demand for beauty products is universal, Cocoon primarily focus on
female customers, ranging from the adolesence to middle-aged age group (16-18 to 35-40) who
traditionally invest more in the cosmetics industry, having middle to upper-middle income level
(Hanoi Campus, 2024).
Geographic: Urban and suburban areas like Ho Chi Minh city, or rural areas where the
demand still exists but not as much (Pham, 2022).
Psychographic: Customers who care about hair and skin beauty, having a fond of beauty
products, and prefer natural or green ingredients in their products. They expect products that are
high in quality and fit their budgets.
Behavioural: They have a demand for skincare products as well as awareness about the
environment. They buy these products for their personal use, and are often affected by beauty
bloggers and influencers promoting green and healthy cosmetics products that originated from Viet
Nam (Bách , 2022).

Trần Khánh Hưng - 31241026421 Page 2

Priciples of Marketing – Final Exam Report Lecturer: Lê Thị Hồng Minh

3.2. Target Customer

It can be concluded that the main consumer group of Cocoon consists of female consumers, Gen Z
and Millennials, with decent level of income, living in urban and semi-urban areas. They have a
preference for green cosmetics, and are looking for chemical-free beauty products. They regularly
purchase goods onlune, using social media platforms for clues and information about the products
and other people’s opinions as well. They tend to participate in evironmental protection activities
thus they prioritize products that promote the health benefits of natural ingredients (Brade Mar,
2022).
3.3. Brand Positioning
Let’s use Cocoon’s Hau Giang Lotus Soothing toner, for the brand positioning.
3.3.1 Positioning Statement
For environmentally conscious consumers seeking a harmony between nature and skincare,
Cocoon’s Hau Giang Lotus Soothing toner offers a variety of features that aims to deliver a calming
and hydrating sensation combined with Hau Giang’s meticulously nutured and harvested lotus
flowers. Created upon the principle of the vegan lifestyle and preserving sustainability, Hau Giang
Lotus Soothing toner embodies gentleness and authenticity, offering an experience that emphasizes
the your skin and your commitment to nature (Cocoon Vietnam, 2023).
3.3.2. Perceptual map and NPS score

Hau Giang Lotus Soothing Toner 310ml

For the price of 295,000 VND, other competitors within the same price include:
 Klairs Supple Preparation Unscented Toner (180ml) – 288,000 VND (discounted)
 Toner for Acne skin Decumar advanced (150ml) – 205,000 VND
 L'Oréal Paris HydraFresh Exfoliating & Moisturizing Toner (250ml) – 340,000 VND
 The Body Shop Tea Tree Skin Clearing Mattifying Toner (250ml) – 399,000 VND
 Anua Heartleaf 77% Soothing Toner (250ml) – 365,000 VND

Trần Khánh Hưng - 31241026421 Page 3

Priciples of Marketing – Final Exam Report Lecturer: Lê Thị Hồng Minh

Analysis was conducted on two criteria that participants concern the most about:
- The toner’s ability to perfrom deep facial cleanse,
- The ability to hydrate and balance skin condition after use.
Data was collected through Google form, with a total of 40 participants.

Perceptual map of Cocoon toner and several competitors of the same price range

The Net Promoter Score (NPS) concluded from this survey is displayed as below

Survey results
Detractors (scored 1-6) 4
Neutrals (scored 7-8) 13
Promoters (scored 9-10) 23
Total 40

The NPS score calculated is 47,5 – indicating a strong level of satisfaction and loyalty of the
customers.

IV. Integrated Marketing Mix Strategy

4.1. Pricing Strategy
4.1.1. Value-based Pricing
Cocoon prices many of its products based on the value perceived by its consumers. Cocoon is
known to be wholeheartedly transparent with the whereabout of its production components, with its
products are made from high quality, authentic and locally sourced ingredients. Therefore Cocoon
represents itself as an authentic, high quality and honest manufacturer of beauty products for
environmentally conscious consumers that are willing to pay for natural products and help improve
the locals financially.

Trần Khánh Hưng - 31241026421 Page 4

Priciples of Marketing – Final Exam Report Lecturer: Lê Thị Hồng Minh

Most of its products are available at mid-to-premium pricing tier, relatively more affordable
compared to some of its competitors like Klairs or The Body Shop, who price their products on
higher ends, or some domestic brands like Decumar or Thorakao, who offer their products at more
affordable price ranges.

Origin Product variety Price range

Cocoon Viet Nam Moderate to Extensive Affordable to mid-range
Offers a variety of beauty products Averages around
such as cleansers, toners, serums, 150,000 VND – 450,000 VND
moisturizers and facial masks.
Klairs Korea Limited to Moderate Mid-range to above
Klairs offers a minimalist and focused Averages around
line of products, so its range is not 200,000 VND – 600,000 VND
vast.
The Body Korea Extensive Mid-range to premium
Shop The brand offers a wide range of 200,000 VND – 1,000,000 VND
products for different skin & body
types.
Decumar Viet Nam Limited Relatively cheap and affordable
Decumar’s main priority is to make 80,000 VND – 300,000 VND
products for acne treatment and skin-
care related concerns
Thorakao Viet Nam Moderate Relatively cheap and affordable
The brand offers a relatively smaller Averages around
selection of products, mostly body 50,000 VND – 250,000 VND
lotions and skincare products

Cocoon and several competitors

4.1.2. Competition-based Pricing

In order to compete with other international competitors in the natural cosmetic industry, Cocoon
intentionally sets the prices of its products slightly lowers than its competitors such as Klairs or The
Body Shop. This approach makes Cocoon appears as an attractive choice for price-sensitive
consumers in Viet Nam, who might seek for alternatives to foreign brands that are not only
affordable but also high in product quality.

1.
Trần Khánh Hưng - 31241026421 Page 5
Priciples of Marketing – Final Exam Report Lecturer: Lê Thị Hồng Minh

The Body Shop’s toner products Klairs’ toner product

Cocoon’s Hau Giang Lotus Soothing toner

Huỳnh Lâm Quốc Thành – 31241024463 Page 6

Priciples of Marketing – Final Exam Report Lecturer: Lê Thị Hồng Minh

Figure 8. Haribo USA Facebook Account Figure 9. Haribo’s Other Products’ Twitter
Accounts

Figure 10. Haribo UK Twitter Tagging Ellie Goulding, An Endorser of the Brand

4.3. Distribution
4.3.1. Channels
Haribo maintains a very robust distribution network, that ensures its products reach customers
globally. With operation in over 120 countries and over 16 manufacturing facilities across the
world, retail distribution to convenience stores and supermarkets is easily manageable. And with
e-commerce platforms like Amazon, the brand is increasing its leverage in the market with high
internet penetration (See Figure 11).

Huỳnh Lâm Quốc Thành – 31241024463 Page 7

Priciples of Marketing – Final Exam Report Lecturer: Lê Thị Hồng Minh

26
Figure 11. Amazon Page for Haribo Products
4.3.2. Strategy
With its current position and channels, the brand is ensuring a more efficient distribution and
reduced transportation costs, and possibly cutting the middleman by utilizing its rising e-commerce
power.

4.4. Product
4.4.1. Components
• Core Benefits: Haribo synonymous with delicious gummy treats, with high-quality
ingredients ensuring consistent flavor and texture; With the shapes and colors, the
brand evokes strong feeling of nostalgia and joy.
• Actual Product: Haribo’s recognizable logo, bright yellow packaging, and Goldbears
mascot reinforce its strong image and identity. The brand also emphasizes premium quality
through strict manufacturing standards and careful ingredient sourcing.
• Augmented Product: Haribo provides accessible information about ingredients, allergens,
and dietary options through its website and packaging. Regional adaptations, like Halal-
certified products or unique flavors, augment the product offering to suit local markets.

4.4.2. Product Mix

Haribo’s product portfolio reflects its dedication to creating high-quality gummy and confectionery.
The brand’s breadth and depth highlights the diverse product lines within its portfolio.
Breadth:

• Classic Gummies: Products like Goldbears and Happy Cola, which serve as the foundation
27
of Haribo’s brand identity.

26 Retrieved, amazon.com
27“Goldbears” haribo.com

Huỳnh Lâm Quốc Thành – 31241024463 Page 8

Priciples of Marketing – Final Exam Report Lecturer: Lê Thị Hồng Minh

• Themed and Mixed Gummies: Includes Starmix, Tangfastics, and seasonal or

28
event-specific products.
29
• Licorice: Ropes, rolls, and filled licorice variations for traditional candy lovers.
• Snack Packs: Single-serve options that provide convenience and portion control for on-the-
30
go snacking.
Depth:

• Goldbears: Multiple flavors (classic fruit, sour, berries) and sizes (small pouches,
family packs).
• Thematic Products: Seasonal items like Christmas-themed gummies or Halloween
31
candies featuring unique shapes and packaging.
• Licorice: Traditional licorice products alongside flavored twists to suit varied preferences.

4.4.3. Strategy
Haribo, despite being a confectionary brand, had conducted co-branding with other established
brand, some of which are not confectionary-related, examples includes the fashion designer Vans
and massive retailer Target (See Figure 12 and 13). The brand is also currently expanding its
reach, both digitally, through e-commerce, and locally, through specific exclusive flavor and
regional advertisements.

32
Figure 12. A Fashion Collection, Which Includes Shoes, Hoodies, as Part of the Collab

28 “Starmix” haribo.com
29“Köstliches Lakritz von HARIBO online bestellen!” onlineshop.haribo.com
30“HARIBO unveils sweetest Valentine’s range for 2024 – featuring iconic share bag and limited-edition gift box”
grocerytrader.co.uk
31 “Trick or Treat” haribo.com
32“Vans x Haribo” vans.com

Huỳnh Lâm Quốc Thành – 31241024463 Page 9

Priciples of Marketing – Final Exam Report Lecturer: Lê Thị Hồng Minh

33
Figure 13. The “Haribo X Target Special Edition Mix” Which Includes The Target Mascot

V. Conclusion
This report highlights Haribo’s robust marketing strategies that drive its global success in the
confectionery market as whole. By leveraging its already strong brand positioning, innovative
product development, a diversified pricing strategy, and efficient distribution channels, Haribo
has cemented its place as the leading gummy candy producer.

To sustain growth, Haribo should expand its health-conscious product range, enhance
sustainability initiatives, strengthen its digital presence, and localize more with its niche audience.
Focusing on emerging markets and aligning with evolving consumer preferences will ensure
Haribo remains competitive and beloved worldwide./.

33 Retrieved, target.com

Huỳnh Lâm Quốc Thành – 31241024463 Page 10

Priciples of Marketing – Final Exam Report Lecturer: Lê Thị Hồng Minh

REFERENCES

Cocoon Vietnam: A Case Study in Eco-Friendly Success. (2024, June 18). Asiacircles.co.
https://asiacircles.co/cocoon-vietnam-a-case-study-in-eco-friendly-success/

Cao, V. (2023, October 12). Cocoon và hành trình đưa mỹ phẩm Việt ra thế giới. Vietcetera.
https://vietcetera.com/vn/cocoon-va-hanh-trinh-dua-my-pham-viet-ra-the-gioi

Nguyen, N. (2024, May 31). Cocoon Vietnam pursues harmony with nature. The Saigon
Times. https://english.thesaigontimes.vn/cocoon-vietnam-pursues-harmony-with-nature/

Cocoon Vietnam. (2023). Cocoon Original Vietnam - Mỹ phẩm 100% thuần chay - Website
chính thức. Cocoonvietnam.com. https://cocoonvietnam.com/trang/cau-chuyen-thuong-hieu

Bách , T. (2022, June 27). Xu hướng mỹ phẩm thuần chay làm thay đổi thị trường làm đẹp.
Nhịp Sống Kinh Tế Việt Nam & Thế Giới. https://vneconomy.vn/xu-huong-my-pham-
thuan-chay-lam-thay-doi-thi-truong-lam-dep.htm

ONLINE, T. T. (2020, December 12). Cocoon - Mỹ phẩm Việt đầu tiên không thử nghiệm
trên động vật. TUOI TRE ONLINE. https://tuoitre.vn/cocoon-my-pham-viet-dau-tien-
khong-thu-nghiem-tren-dong-vat-20201212130513037.htm

Thai, D. (2024, August). Vietnamese people use Vietnamese goods. Đài Phát Thanh và
Truyền Hình Thái Nguyên; Đài PT-TH Thái Nguyên. https://thainguyentv.vn/vietnamese-
people-use-vietnamese-goods-105660.html

Feedforce Vietnam Co., Ltd. (2024). Cosmetics Market Insight in Vietnam E-commerce
2024 - How to win 2024.
https://sinhvien.dinhtienminh.net/wp-content/uploads/2024/09/Cosmetics-Market-Insight-
in-Vietnam-E-commerce-2024-How-to-win.pdf

Cocoon Vietnam. (2022). Cocoon Vietnam. Facebook.com.

https://www.facebook.com/share/p/Cpwwqtcxzh5E5GqM/

Hanoi Campus. (2024). Cliffsnotes.com. https://www.cliffsnotes.com/study-notes/12809260

Pham, C. (2022, August 9). Vietnam’s Cosmetics Industry: Strong Potential for Growing
Market. Vietnam Briefing News. https://www.vietnam-briefing.com/news/vietnams-
emerging-cosmetics-industry-strong-potential-growing-market.html/

Brade Mar. (2022). Khách hàng mục tiêu của Cocoon | Brade Mar. Brade Mar.
https://brademar.com/khach-hang-muc-tieu-cua-cocoon/

Asia, A. (2023, November 1). COCOON | APEA - Asia Pacific Enterprise Awards.
INSPIRATIONAL BRAND CATEGORY.
https://apea.asia/vietnam/hall-of-fame-vn-2023/inspirational-brand-vn-2023/cocoon-vn-ib-
2023/

Huỳnh Lâm Quốc Thành – 31241024463 Page 11

Priciples of Marketing – Final Exam Report Lecturer: Lê Thị Hồng Minh

Huỳnh Lâm Quốc Thành – 31241024463 Page 11