(TIỂU LUẬN) FINAL EXAM ASSIGNMENT VINAMILK’S BLACK SUGAR PEARL LOVE YOGHURT MARKETING PLAN

13Picture 6.1: Marketing plan timeline for the Black sugar pearl Love Yoghurt of Vinamilk ..... Vinamilk has produced many types of yoghurt products over the years, and in those yoghurt

YOGHURT MARKETING PLAN

Course Name: Marketing Management Course’s code: 2021702006006

Team’s members names and IDs: Trần Trọng Hiếu – 1921005431

Huỳnh Ngọc Anh Thư – 1921005676 Lương Ngọc Mai – 1921005518

Team’s Class: CLC_19DMA06

Table of Contents

TABLE OF FIGURES 4

TABLE OF PICTURES 4

1 EXECUTIVE SUMMARY 5

2 INTRODUCTION 6

2.1 Company introduction 6

2.2 Mission Statement 6

2.3 Strategic Objectives 6

3 S.W.O.T & MACRO-ENVIRONMENT ANALYSIS 7

3.1 S.W.O.T Analysis 7

3.1.1 Strengths 7

3.1.2 Weaknesses 8

3.1.3 Opportunities 8

3.1.4 Threats 8

3.2 Possible Strategies 9

3.3 Macro-environment Analysis 10

3.3.1 Political environment 10

3.3.1.1 Opportunities: 10

3.3.1.2 Threats: 10

3.3.2 Economic environment 10

3.3.2.1 Opportunities 10

3.3.2.2 Threats: 10

3.3.3 Social environment 11

3.3.3.1 Opportunities 11

3.3.3.2 Threats 11

3.3.4 Technological environment 11

3.3.4.1 Opportunities 11

3.3.5 Enviromental condition 11

3.3.5.1 Opportunities 11

3.3.5.2 Threats 12

3.4 Competitors 12

4 S.T.P ANALYSIS 12

4.1 Segmentation 12

4.2 Targeting 12

4.3 Positioning 13

5 MARKETING MIX STRATEGIES 14

5.1 Product activities 14

5.2 Price activities 15

5.3 Place activities 15

5.4 Promotion activities 15

6 ACTION PLAN 16

7 CONCLUSION 17

7.1 Marketing Plan Summary 17

7.2 Control Plan 17

7.3 Further growth of the company 17

8 LIST OF REFERENCES & ORGINALITY 18

9 APPENDIX 19

9.1 Financial 19

9.2 Expense budget 20

10 APPENDIX: MEMBER’S GROUP WORK ASSESSMENTS 21

TABLE OF FIGURES

Table 3.1: S.W.O.T Analysis & Strategies 9Table 9.1: Break-even analysis table 19Table 9.2: Marketing Plan Milestones 20

TABLE OF PICTURES

Picture 2.1: Vinamilk’s Logo 6Picture 4.1: The perceptual map of yoghurt product line in Viet Nam market 13Picture 6.1: Marketing plan timeline for the Black sugar pearl Love Yoghurt of Vinamilk 16

1 EXECUTIVE SUMMARY

In this modern busy life, when people have to work continuously, they have to study to prepare for the incoming event in their life, for their family, friends, etc especially in the recent Covid-19 pandemic, where the economic suffered greatly, living condition are getting worse to every family, etc But in the end, health are the only thing that matters the most in every person’s life If a person is not in a good condition, their immune systems are weak, physical strength is not enough to move themselves, etc then it is very dangerous for them because of the variety of diseases, especially in these days, where Covid-19 could kill people For that reason, we must prepare ourselves a planned diet, we must choose our food carefully and drink water daily to enhance our health With that in mind, one the best food to improve our health is yoghurt A product made from milk, which was fermentated to create bacteria that support the digestive systems, supplementing zinc and calcium for humans This product have been produce and used all over the world since a very long time ago, it has been created under many kinds of styles, flavour, etc from a large variety of dairy companies in this world And in Viet Nam, there is a company specializing in manufacturing and trading milk with other dairy products as well as related equipment and machinery that existed for a long time and was trusted by a large amount of people in Viet Nam It’s the Vinamilk company Vinamilk has produced many types of yoghurt products over the years, and in those yoghurt products we see a potential product that can greatly help Vinamilk grow in the future, which

is the Black sugar pearl Love Yoghurt In this report, we will focus on providing: an overview

of the company, the mission statement of this marketing plan, specific objectives to implement in the first year, then we will conduct a S.W.O.T with macro-environment analysis, followed by an STP analysis, marketing mix, and a specific action plan with a clear timeline and a financial forecast The final section will be summarizing the whole plan and discuss on the control plan for the first year

Picture 2.1: Vinamilk’s Logo

Vinamilk has business activities in processing, manufacturing and trading dairy products These products are not only sold domestically but also in some other countries in the world market such as Cambodia, Philippines, etc

2.2 Mission Statement

Increase sales of the Love Yogurt product line by 1.5% through the Black sugar pearl Love yogurt of Vinamilk from 23rd June, 2021 – 23rd June, 2022

2.3 Strategic Objectives

- Maintain positive, strong growth each month

- Deliver the best quality to the customer with many offerings

- Improve products based on customer feedback

- Increase product recognition after improvement

- Create a TVC that captures the attention of potential customers

3 S.W.O.T & MACRO-ENVIRONMENT ANALYSIS

3.1 S.W.O.T Analysis

3.1.1 Strengths

- Famous brand: Vinamilk is a company that has existed for 34 years in Vietnam

and is well known in Vietnam and many countries around the world

- Marketing is highly effective: Advertising, PR, and Marketing programs are

highly effective

- Great and experienced leadership and management: Vinamilk has a strong,

experienced and ambitious leadership team proven by sustainable business profits

- Leader in pricing products in the market: In Vietnam, Vinamilk holds a large

market share of 37%, of which 85% is in condensed milk and yogurt

- A wide diversity of products: There are 8 types of yogurt for people with different

interests: in addition to Vinamilk Yogurt, there are Ong Tho condensed milk, Pasteurized drinking yogurt,

- Low price but high quality products: Product price is cheaper than imported

products of the same type, but still retains high quality

- Nationwide distribution network: Vinamilk now has a wide distribution network

in 64 provinces, more than 250 distributors and more than 135,000 sales points nationwide This large network helps Vinamilk capture a large number of customers and ensure the introduction of new products and effective marketing strategies across the country

- High production capacity:

 All Vinamilk's milk factories are imported from European countries such as Germany, Switzerland, and Italy to be used in production lines

 The company has input materials that meet international standards and are safe In addition, the company also invests in building Organic dairy farms to support milk production

 Vinamilk has a fairly safe capital structure and high financial autonomy In 2020, Vinamilk achieved a total revenue of VND 59,723 billion (the highest revenue in the Vietnamese dairy market)

3.1.2 Weaknesses

- The source of raw materials still depends on foreign countries: domestic raw

materials only meet about 30% of production needs, while 70% are imported from New Zealand, the US, the EU and Japan Therefore, input costs increase and product prices also increase

3.1.3 Opportunities

- Support from the government: According to the policy of WTO, import tax on dairy

materials is reduced, this is an opportunity to reduce production costs while imported milk powder sources account for 75%

- High consumer demand: Along with economic development, consumers are more

interested in health, and dairy products are consumed more The dairy industry is in a growth phase, so Vinamilk has a lot of potential for development

- High potential customer force: The trend of "Vietnamese people use Vietnamese

products" to help dairy products be promoted first has increased the competitiveness

of domestic dairy companies, including Vinamilk

- Impact of the Covid-19 epidemic: With the Covid epidemic, people will buy a lot of

food such as noodles and milk for storage This will be an opportunity for Vinamilk to accelerate dairy products

3.1.4 Threats

- Many Competitors in the market: The force of domestic competitors is increasing,

in addition, Vinamilk also has to compete with big brands in the world such as Nestle, Dutch Lady,

- Unstable input materials: The dairy industry in Vietnam is currently mainly

households, not earning much profit, but also being pressured by raw material buyers Raw materials are mainly imported from abroad

3.2 Possible Strategies

Table 3.1: S.W.O.T Analysis & Strategies

S.W.O.T Analysis for

Vinamilk

Strength: S1: Famous brand S2: Marketing is highly effective

S3: Great and experienced leadership and management S4: Leader in pricing products in the market

S5: A wide diversity of products

S6: Low price but high quality products

S7: Nationwide distribution network

S8: High production capacity

Weaknesses: W1: The source of raw materials still depends on foreign countries

Opportunities:

government

O2: High consumer demand

O3: High potential customer

S4,5,6+O2,3,4: Offer a price

to support customers during the epidemic

transportation, preservation technology

W1+T2: Invest from Organic farms to be more proactive in sourcing raw materials

3.3 Macro-environment Analysis

3.3.1 Political environment

The EVFTA Agreement will reduce the import tax on dairy products from Europe to 3.5%

- 0% within the next 3-5 years (effective from August 2020) This makes the dairy market more competitive as milk from Europe benefits, but also pushes domestic dairy companies to increase their capacity to provide better quality dairy products to the market

- In 2020, the covid pandemic has stunted the growth of the dairy industry

- GDP increased by 2.91% (the lowest increase in the period 2011-2020) Consumer demand was negatively affected by the epidemic and the average income of workers decreased by 2.3% (GSO) Accordingly, the FMCG industry recorded a decrease of 7% in value, and the dairy industry alone decreased by 6%

3.3.3 Social environment

- With a large population, a fast growth rate of -1.2%, in 2013, the trend of domestic consumption increased => is a potential and developing market According to the Ministry of Industry and Trade, by 2015, the domestic market will consume about 1.3 billion liters of liquid dairy products, equivalent to 15 liters/person/year

- People's intellectual level is increasingly improving => towards refreshment and nutrition products, health care, with beauty effects

3.3.5 Enviromental condition

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

3.3.5.2 Threats

The climate is unfavorable for storage and processing which affects milk quality

3.4 Competitors

- Yakult

- TH True Yogurt of TH True Milk

- Black pearl yoghurt of NutiMilk

4 S.T.P ANALYSIS

4.1 Segmentation

Our team segments the market by the life cycle, buying decisions and mainly by age Ages from 5 to 14: this is the age when children enter the development stage, this age needs a lot of food and drinks to supplement nutrition for the body, serving the process of learning and playing

Age 15-25: at this age, consumers will mostly be autonomous in their purchasing decisions, they will choose the right product lines for themselves, usually vibrant and youthful

Age 25 and up: They will tend to use nutritional products, supplement calcium for the body In addition, they also use yogurt to improve the digestive system and take care of beauty

not need to go through too many stages of searching to buy the product In addition, some customer groups will prefer to use yogurt products for health care and they are often very active online on social media Therefore, the demand for black sugar pearl yogurt products at this age will be extremely appropriate compared to other ages

4.3 Positioning

Now group will present the perceptual map of the yogurt line in the Vietnamese market The position of each brand is positioned through two dimensions: price and quality The size

of each logo will be equivalent to the market share captured

Picture 4.1: The perceptual map of yoghurt product line in Viet Nam market

With the above positioning map, it can be seen that Vinamilk brand holds the largest market share in the Vietnamese yogurt market Along with that, Vinamilk's yogurt products are in the higher price segment compared to Yakult and TH True Yogurt and lower quality than Acti-V of NultiMilk and Yakult However, with Vinamilk's current position, users will still trust the product thanks to its reputation and quality from past to present

5 MARKETING MIX STRATEGIES

5.1 Product activities

Product’s name: Black sugar pearl Love Yoghurt, was first introduced to the Viet Nam market in 9th April, 2021 Product’s ingredients include of milk (71%), black sugar pearls (12%) and other additives to ensure the great taste of the black sugar pearl and consumers’ health Yoghurt gas a shelf life of 45 days since the manufacture date and is packed in 1 pack

of 4 boxes with a weight of 400g This product contained in a special HIPS plastic container for food and meets food hygiene and safety requirements according to QCVN 12-1:2011/BYT In addition, the product has been tested for medical safety at the Institute of Public Health in Ho Chi Minh City on March 30, 2021

The Black sugar pearl Love Yogurt will provide customer with these outstanding features:

 Smooth yogurt blends with delicious black sugar flavor

 Naturally fermented yogurt, using a healthy strain of Bulgaricus yeast

 Modern enamel technology from Europe

 Yogurt brightens the skin, hydrates the skin to help it stay healthy

 The soft, flexible pearls make it enjoyable to chew

With those amazing feature of the product and the characteristics of our targeted segment ranging the age between 15 and 25, who love to explore new things and love to enjoy the experiences, the Black sugar pearl Love Yoghurt will definitely provide the best experience to the customer Not only that, with the growing trend of teenagers consuming bubble milk tea recently, this product will help diverse the scale of the milk with sugar pearls on the market However, after Vinamilk has introduced on the market for 2 months, it seems like not many consumer come to take interest in this product As this result in the low profit of the product to the company After doing some research discovered that the Black sugar pearl Love yoghurt had some issue with the taste and quality not reaching the standards of the customer Specifically, in some reviews, customers have complaints about the unscented scent, sharp sweetness and some products appear water separation, negatively affecting the quality promised by the product bring to consumers