Segmentation: divided to market into smaller segment

Targeting: select yhe segment or segment to enter

Marketing segmentation

Example :
Target segment :¿ whom
 busy women 30±45 ,
 Beauty−concerned
Brand is Omachiinstant noodle
Differentiation :made ¿ potatoes , less oil , delicious
Target segment:

 teenager, young guys, busy teenagers 18-25+

 Students,
 Concern energy

Brand: Vinamilk

Differentiation: có thịt, have meat, nutritions

Tien vua advertisement

Target segment: nutritrion, health-concern safe, families: kid, parents

Brand is: tien vua instant noodle

Differentation: no transfat oil, healthy instant noodle

Cổ điển, all people past and present

Brand Hảo Hảo

Differentiation: variety, affordability

Brand: Vinamilk

Differentiation: có thịt, have meat, nutritions

Tien vua advertisement

Target segment: nutritrion, health-concern safe, families: kid, parents

Vinamilk also focuses on expanding and adding new product categories. Vinamilk has 12 main
product categories such as Vinamilk liquid milk, Vinamilk yoghurt, Longevity sweetened condensed
milk, Southern Star Sweetened Condensed Creamer, Dielac powdered milk, Vfresh Fruit Juice, etc

1. Fresh milk & nutritious milk

2. Product for Pregant & Infant
3. Baby food
4. Nutrition Product for adults
5. Spoon Yogurt
6. Yogurt drink & Juicy milk drink
7. Condense milk
8. Plant-based milk
9. Beverage
10. Ice cream
11. Sugar
12. Chese

By producing a diverse product line including Vinamilk low sugar and Vinamilk skimmed fresh milk
for dieters, adding more flavors and creating Vinamilk 100% Organic for high-end customers,
Vinamilk has maintained its position as the leading brand in the diversified fresh milk market
(Vinamilk 2020).

Super Nut: A plant-based milk alternative that won the Best Dairy Alternative 2023 award,
showcasing Vinamilk's innovation in catering to health-conscious consumers.

Organic Fresh Milk: This product meets international organic standards, appealing to the growing
market of health-conscious and environmentally aware consumers.

Vinamilk Green Farm Fresh Milk: Sourced from eco-friendly farms, this product emphasizes
sustainability and high quality, reinforcing Vinamilk's commitment to environmental protection.

Low-Sugar and Fat-Free Lines: These products cater to the increasing demand for healthier options,
aligning with current market trends and consumer preferences.

Branded Yogurt Products: Vinamilk's yogurt range, which includes various flavors and formulations,
has established a strong market presence, particularly in urban areas.
Condensed Milk: A staple in Vietnamese households, Vinamilk's condensed milk products maintain a
leading position in the market, showcasing the brand's heritage and consumer trust.

Liquid Yogurt: This product line has gained popularity for its nutritional benefits and convenience,
further solidifying Vinamilk's leadership in the dairy sector.

Baby Formula: Vinamilk's baby formula products are designed to meet the nutritional needs of
infants, contributing to the company's stronghold in the dairy market.

Product differentiation

 Internationally recognized for quality and production process

 Global certifications: BCR, HACCP, Global G.A.P.

 Wide range of products:

 Low sugar and diabetic-friendly options

 New flavors and organic products for high-income customers

Image Differentiation

 Familiar imagery of happy dairy cows in clean environments.

 Iconic logo with blue and white colors, symbolizing purity, innocence, desire, and belief
 "100% fresh milk every day" slogan and dancing cow image
 Logo represents Vinamilk's ambition to be a secure and trusted dairy organization in Vietnam

Quality Differentiation

 Modern Production Technology: Utilizes advanced production and packaging technologies in

all factories.

 European Technology: Imports cutting-edge technology from Germany, Italy, and Switzerland

 Utilizes European production technology and international standards (ISO 50001:2011,

HACCP

Distribution Differentiation

 Agent Network: Over 1,500 primary agents and more than 5,000 smaller retail agents ensure
product availability.
 Strong distribution network and dairy farm facilities
 Encourages local agents and stores to expand brand reach

Vinamilk's differentiation strategy

Product differentiation: Vinamilk stands out in producing high-quality dairy products by
operating many large-capacity processing plants. The company has built clean raw material
areas that meet technical standards, allowing for effective product quality control and
competition with other manufacturers in the market (Vinamilk Annual Report, 2023).

Image differentiation: Vinamilk has built a deeply familiar image in the minds of Vietnamese
consumers. The image of dairy cows raised with modern technology in a clean environment, along
with the image of happy cows on green pastures with children, has become iconic. This image is
deeply imprinted in the minds of consumers, especially children (Nguyen, 2022).

Quality differentiation: Vinamilk applies advanced European production technology, complying with
international standards such as ISO 50001:2011 and HACCP. The company's machinery and
equipment are imported from countries such as Italy, Switzerland and Germany, ensuring high
product quality and fast production. Notably, Vinamilk is the only manufacturer in Vietnam using
Niro spray drying technology from Denmark (Le & Tran, 2023).

Distribution differentiation: Currently, Vinamilk has a domestic distribution network of over 430
"Vietnamese Milk Dream" chain stores and more than 251,000 retail points, supermarkets, and
convenience stores across the country. Such a wide distribution network allows for the fastest and
most convenient delivery of products to customers. (Vinamilk Annual Report, 2023).

2. Vinamilk's Positioning Map

Vinamilk is positioned towards the right side of the perceptual map, indicating that the brand is
perceived as a high-quality brand. However, the brand is also in the mid-range price category, making
it a more affordable option compared to some of its high-quality, high-priced competitors such as
Nestle. Vinamilk’s unique positioning near the high-quality segment combined with its mid-range
price point suggests that the brand strikes a balance between quality and affordability.

The high quality of Vinamilk products is demonstrated by various factors:

Advanced Production Technology: Vinamilk applies European production technology

and complies with international standards, such as ISO 50001:2011 and HACCP. The machinery and
equipment the company uses are imported from Italy, Switzerland, and Germany,
ensuring a good quality of the products (Vinamilk Annual Report, 2023).
Establishing clean raw material areas to meet technical standards allows Vinamilk
to exert control over the quality of products from the very source.

Vinamilk is the only manufacturer in Vietnam that uses Niro spray drying technology from
Denmark, an aspect that contributes highly to the higher quality of its dairy products (Le & Tran,
2023).
In general, underlines the strategic approach by Vinamilk in offering quality dairy products at
competitive prices, hence making them affordable to a wider market while maintaining a strong
reputation for quality.

Positining statement

For families and health-conscious consumers, including children, adolescents, adults, and the elderly,
Vinamilk is the trusted provider of high-quality milk and dairy products. It offers superior nutritional
benefits tailored to every stage of life, supporting overall health and well-being. Thanks to its
advanced production processes and commitment to natural, high-standard ingredients, Vinamilk
ensures both exceptional taste and nutritional value, making it the ideal choice for individuals and
families who prioritize health and quality in their daily diet.