General introduction of Acecook and HaoHao noodle line 1.1 Company overall description Acecook Company was established on December 15, 1993 and Officially put into operation in 1995, af
General introduction of Acecook and HaoHao noodle line
Company overall description 5
Acecook Company was established on December 15, 1993 and
Founded in 1995, Acecook Vietnam Joint Stock Company has evolved into a leading comprehensive food company in Vietnam, renowned for its high-quality and nutritious instant food products With years of successful operation, it has established a strong market presence.
Acecook focuses on producing processed foods (instant foods) with © manufacturing factories, spread across Vietnam
Since the early 2000s, Acecook Vietnam has established a comprehensive production system that adheres to ISO 9001 quality standards and ISO 14001 environmental management standards, positioning itself in the previously unregulated Vietnamese instant food market.
HACCP food hygiene and safety control system
The company offers a wide range of products, both domestically and internationally, including popular items like instant noodles, instant vermicelli, and instant pho Notable brands include Hao Hao, Thai Hot Pot, De Nhat, and Phu Huong, which are well-known for their quality and taste Additionally, the product line features De Nhat cooking oil and De Nhat fish, catering to diverse culinary needs.
Acecook Vietnam Company is committed to a comprehensive management policy aimed at enhancing product quality, ensuring food safety, and promoting environmental protection The company embraces a philosophy of continuous learning and improvement, striving to establish itself as a leading food manufacturer in the industry.
Vietnam and in the world
The company has achieved many achievements: High Quality
Vietnamese Products, Vietnam Gold Star Award, 3rd Class
Labor Medal, is a member of the World Noodles Association
Message of Acecook 5 2N, m
“Providing high quality products/services
HEALTH - SAFETY - PEACE OF MIND for customers”
Always use the mission as your compass when developing
Acecook Vietnam prioritizes product quality and fosters a culture of knowledge sharing To guarantee consumer safety and comfort, the company provides accurate, scientific information about its instant noodle products By enhancing the value of these products, Acecook aims to meet the needs and expectations of its customers.
Vietnam has recently concentrated on products that fulfill both health and new consumer needs
“Becoming the leading food manufacturing enterprise ¡in
Vietnam have enough administrative capacity to match the process globalization"
This is both the slogan and the value of Acecook company, which is expressed with 3 words HAPPY as follows:
Acecook Vietnam will always strive to serve customers and users and using Acecook products will make they feel happy
The company is committed to delivering delicious and authentic products that prioritize quality and safety, ensuring peace of mind for customers To achieve this, we will focus on three key goals that align with meeting customer needs effectively.
-Ensure use of safe materials
-Using advanced Japanese production techniques, quality machinery and equipment and strict management of the production process
-Monitor the distribution and preservation process of products on the market and requirements
Acecook Vietnam is dedicated to enhancing the well-being of its staff and employees, fostering a supportive family atmosphere The company prioritizes creating beneficial policies and an optimal working environment while actively caring for the professional and personal lives of its workforce.
Acecook Vietnam always strives to make the whole society feel happy
Phuc.The company always contributes to the development of the instant noodle industry in particular and the industry of
Vietnam's economy in general, supporting suppliers to improve quality Besides, the company actively sponsors and organizes charity and charity activities to contribute to an increasingly better Vietnamese society
Hao Hao noodles are the brand of Acecook Vietnam Co., Ltd
Acecook is a long -standing instant noodle producer in Japan
This brand pioneered investing in the Vietnam market in the early 1990s and then associated with a food company to establish Acecook Vietnam Co., Ltd today
In a competitive market featuring over 60 instant noodle brands, Hao Hao has distinguished itself by introducing the first spicy sour noodle variety, capturing the attention of consumers since its launch 19 years ago.
Hao Hao demonstrates a deep understanding of the market by offering a wide variety of noodles, including perfect chicken, satay, sweet and sour shrimp, and delicious fried noodles with shrimp, onions, or Hao Hao's signature vegetable mushrooms This diverse selection caters to the rich culinary tastes of the Vietnamese people.
A perfect noodle package typically contains squeezed noodles, an oil pack, and a spice pack The range of flavors includes spicy sour shrimp, purple onion, yellow chicken, fried garlic ribs, vegetable mushrooms, and kimchi Additionally, there are fried noodle options featuring onion shrimp, sweet and sour shrimp, as well as cup noodles.
The macro environment 7
Hao Hao instant noodles are distributed to reseller markets, including local convenience stores and larger supermarket chains throughout Vietnam Most of these reselling markets are situated in major towns and cities, primarily in urban areas As of 2021, Vietnam's urban population stood at 38 percent, with projections indicating that this proportion will continue to rise by 2069.
7 of people living in cities will overtake that in rural areas
Because of the country’s economic reforms and infrastructure development, as well as higher living standards In spite of this, as of 2022, Vietnam's poverty rate was 4.2% (Statista
Research Department, 2023) It is creating opportunities for
Acecook, growth in the urban population will help to enlarge their customer equity due to there being a larger market of potential buyers available in cities
Figure 1: Viet Nam urban population in thousands
(Source: Statista Research Department, Sep 8, 2023) This will also be simultaneously benefitted by the changes in
As of 2022, Vietnam's population was estimated at 99.46 million, reflecting an increase of 955,500 from the previous year, according to the General Statistics Office (GSO) Currently, the population stands at 99.045 million and is expected to rise to 104.64 million by 2028.
Hao Hao has the opportunity to target a broader range of consumer segments due to the increased population of potential buyers, making these new segments more substantial and valuable for marketing efforts.
Figure 2: Population of VietNam in millions
In today's fast-paced Vietnamese lifestyle, individuals prioritize modern living alongside family care and personal health, actively engaging in sports and social activities As a result, there is a growing demand for quick and convenient food options Hao Hao noodles is well-positioned to meet these consumer needs, paving the way for successful development and profitability.
Vietnam's economy is experiencing steady stabilization and growth, fostering a conducive environment for various domestic sectors, particularly the fast food industry, to meet the rising demands of its population and society.
Vietnam's GDP growth in the first half of 2023 was only 3.7%, a significant decline from 6.5% during the same period in 2022, largely due to lower-than-expected global economic growth and decreased aggregate demand While inflation has cooled, it remains high, and tighter monetary policies have been implemented amidst rising global public debt Compounding these challenges are the ongoing military conflict between Russia and Ukraine, geopolitical instability, food security issues, and the impacts of natural disasters and climate change Despite these obstacles, there has been a notable recovery in domestic tourism.
In the first half of 2023, Vietnam experienced an 11% increase in retail sales, signaling a boost in consumption Economic growth is projected to rebound to 6.5% in 2024, aided by a gradual decline in domestic inflation This positive outlook will be further reinforced by the swift recovery of major export markets, including the US and Eurozone.
Vietnam’s economy heavily relies on exports, contributing to 110% of its GDP, which positions Hao Hao noodles to benefit from favorable external economic conditions in key export regions (Jason Yek & Michael Langham, 2020) This reliance indicates a significant potential for growth in the instant noodle sector, both domestically and globally, creating ample opportunities for Hao Hao to expand its market presence.
Vietnam's expanding middle class is shifting consumer preferences, posing challenges for Hao Hao noodles As more Vietnamese people attain higher economic status, they are less likely to prioritize the affordability and convenience of instant noodles Instead, they may opt for more expensive and nutritious food options that align with their elevated lifestyle.
In 2022, Vietnam leads the world in per capita instant food consumption Accordingly, each Vietnamese person eats about
With an average consumption of 85 packs of instant noodles per person per year, equating to one pack every four days, the country ranks third globally in total instant noodle consumption, totaling 8.48 billion packages annually, according to World statistics.
Instant Noodles Association (WINA, May 2023) Before 2020, this index fluctuated fluctuates at 4.5-5 billion packages/year
This is one of the favorable conditions for the development of the instant noodle industry now and in the future
Nhu cầu mì ăn liền toàn cầu giai đoạn 2016 — 2020 (ĐVT: triệu gói)
STT Quốc gia / Khu vực Năm 2016 Năm 2017 2 Năm 2018 Năm 2019 Năm 2020
Figure 3: World demand for instant noodles in the period 2016-
Thị trường mì ăn liền tiếp tục tăng trưởng
(Đơn vị: tỷ khẩu phần)
Figure 4: Instant noodle market in the period 2017-2022
Vietnam has seen a significant rise in fast food consumption, according to food industry consultants Despite this trend, Vietnamese cuisine remains a vital part of the culture, celebrated for its health benefits and balanced ingredients Often recognized as one of the healthiest cuisines globally, it emphasizes fresh vegetables and locally sourced seafood in its dishes However, this cultural richness faces challenges amid the growing popularity of fast food.
Acecook's Hao Hao instant noodles cannot replicate the taste and quality of freshly made noodles, which affects their cultural perception Furthermore, there is growing concern about the role of instant noodles in contributing to malnutrition among Vietnamese children, highlighting the need for awareness regarding their nutritional value.
Hao Hao filling up children but lacking the essential nutrients needed for growth (VIR/VOV 2019) Further knowledge about this will decrease customer value, making the product more occasionally bought
Vietnam's distinctive geography and history contribute to its unique consumer landscape, characterized by two major cities that, despite being over 1,100 kilometers apart, are comparable in size These cities serve as significant consumption centers for Hao Hao, yet their differing climates lead to varying consumer preferences and behaviors To effectively cater to diverse customer demands, Hao Hao offers a wide range of product lines tailored to meet the tastes of its consumers.
According to the Fitch Solution Group (2020), Vietnam's political risk factors indicate a predicted score of 83 on a scale where 100 signifies political stability This high score suggests a strong likelihood of political stability in the short term, which is advantageous for Hao.
Hao's positive trajectory is supported by stable politics, which play a crucial role in enhancing the economy, boosting employment, and facilitating the export trade of Hao.
The microenvironment 12
Ingredients to make spice packs The factory produces
‘| oil packets, vegetable Packaging supplier A packets, soup packets
Equipment and technology from Japan
, 11 manufacturing ằ plants ằ ~ South: 7 factories imported from ằ - Central region: 1 factory
Palm oil imported : ° Automation rate from Malaysia
25 different types of Service partner:
Figure 5: Acecook supply chain model in Vietnam
Spice ingredients, real ingredients: made from fresh ingredients with carefully controlled, reputable imported sources, guaranteed according to specific standards from the company
Acecook sources its raw materials for noodles and vermicelli primarily from Australia and Canada, while other ingredients like vegetable oil are imported from Malaysia Currently, few Vietnamese companies supply input materials, with Tien Hung Joint Stock Company being the sole local provider of raw materials for Acecook's fine extractors Additionally, Acecook's packaging is designed for both domestic and international markets, ensuring that products meet the stringent regulations of the European Community.
Acecook Vietnam's machinery system and production technology are transferred directly from Acecook Japan These are all modern, automatic lines, all the equipment used are modern technical equipment
Indulge in the exquisite taste of Omachi beef noodles stewed in wine sauce, featuring chewy egg noodles and golden potatoes that harmonize perfectly in a rich stew made with 100% real meat Each pack of Omachi Special Potato Noodles with Beef Stew in Wine Sauce (92g) offers an irresistible flavor experience, making it a favorite among many Simply add hot water, wait three minutes, and enjoy fragrant, delicious noodles Priced at just 7,400 VND per pack, these noodles provide a quick and satisfying meal option.
Omachi has recently launched a groundbreaking product: cold noodles with applesauce, introducing a unique flavor that has never been seen in the market before This innovative offering marks the beginning of a new generation for the Omachi brand.
Omachi apple sauce noodles are a unique twist on traditional Korean cold noodles, made from potatoes instead of the usual buckwheat Unlike typical cold noodles served with broth, Omachi noodles feature a vibrant, sweet, and sour sauce that adds a delightful flavor Priced at approximately 10,000 VND per package, this innovative product is currently gaining popularity in the Vietnamese noodle market.
In 2019, Vietnam had over 50 instant noodle brands (Thi Ha
In 2019, the company consistently achieved higher profits than its competitors, yet it remains vigilant about two key rivals: Masan Consumer and Asia Food Masan Consumer's brands, Omachi and Kokomi, significantly boost their revenue, with a strategic focus on high-end market segmentation The effective use of celebrity endorsements for Omachi and Kokomi has led to widespread consumer trials and positive reception of these brands (VietnamBiz, 2020).
15 there are some indirect competitors with different instant products such as Gau Do instant porridge of Asia Food
Thi phan mi an lién Viét Nam 2022
Figure 6: Vietnam instant noodle market share in 2022
Some competitors of Hao Hao:
Compa | Main Overview of competitors ny competi tive product
Asia Gaudo Asia Foods has effectively implemented successful market positioning strategies, securing a notable presence in the instant noodle market within just three years of its establishment With a market share of 12.1%, the company ranks third, following industry leaders Acecook at 52.5% and Massan at 16.5%.
Masan Omachi, a brand under the Massan company, represents the high-end segment of the noodle market Since its market debut, Omachi noodles have gained significant popularity, establishing a strong reputation with their compelling messaging.
"Noodles are not afraid of heat" And the noodle product made _ from potatoes makes this brand quickly
In the Vietnamese market, Omachi noodles have gained recognition among large consumers; however, their high price point limits accessibility for most Vietnamese shoppers, hindering the expansion of the Omachi noodle segment.
Vifon Hoang, a state unit established before 1975, has made efforts to enhance technology, improve staff qualifications, and invest in research and development However, its product categories remain limited and lack diversity, with monotonous designs Furthermore, the company's marketing activities have not received adequate investment, resulting in underdeveloped marketing strategies and low business efficiency that does not reflect its extensive experience.
Acecook Enterprise primarily targets pupils and students while also catering to housewives and office workers The company aims to satisfy the demand for delicious, nutritious, affordable, and quick meals To achieve this, Acecook offers a diverse range of products with various flavors, ensuring broad market coverage while focusing on the student demographic Additionally, the launch of new products helps to attract and retain customers.
- Organizational customers Wholesale distributors, retailers, stores, GO supermarkets, shopping centers, wishing and ready to distribute Acecook products
Acecook is a competitive player in the food industry, constantly navigating challenges posed by alternative products and services Among these alternatives are traditional Vietnamese food items, which present significant threats to the company's market position.
Sticky rice, bread, vermicelli, and pho, along with packaged products like cereal powder and ready-to-eat bread, offer the convenience of instant preparation without compromising on nutritional value Many consumers perceive these alternatives, similar to instant noodles, as having fewer preservatives and a richer nutrient profile However, the high cost and time required for product research when switching to these alternatives pose a significant barrier Consequently, manufacturers must carefully consider pricing strategies across different market segments, as competition from various convenient and nutrient-rich products continues to grow.
3.SWOT analysis of Hao Hao instant noodle
The employees work with responsibility
Goods fulfill strict quality requirements
Well-built systems and line equipment satisfy production demands
Weaknesses Following the purchase payment processing is lacking
The packaging is unattractive and uninteresting
Distribution networks do not align with the target market's orientation
Marketing initiatives are not effective
The GDP increased The income of people is rising
The most ideal conditions for companies to emerge from the market crisis and be more proactive in production and business practices are created by the new Enterprise Law
Technology advancements have greatly increased the convenience of production for
Threats The noodle industry is seeing an increase’ in intense competition
Numerous rivals own substantial assets and funds
Over time, consumer purchasing habits have changed to seek out greater novelty and variety
Consumers are significantly affected by advertisements
Hảo Hảo noodles are widely distributed across various provinces and cities in the country, with a significant export market The primary target for Hảo Hảo's market strategy is large urban areas, which present lucrative opportunities due to their diverse customer demographics As population density increases and industrialization progresses, the demand for fast food continues to grow, creating a challenge for those seeking vegetarian options This trend highlights a prime market opportunity for Hảo Hảo to explore and cater to the evolving consumer preferences.
The company has segmented the market of Hao Hao instant noodle products to mainly serve the popular market segment - the market that employs up to 80% of our country's population
Vietnamese’s population size is 98,186 Millions people in 2023
Distribution density: Concentrated mainly in big cities such as Ho Chi Minh city, Ha Noi capital, Da Nang city
Gender Including both men and women, however, male customers have more demand for Hao Hao noodles than female customers
Age All customers in need can use Hao Hao noodles However, the customers that the product targets are teenagers, people aged 16 and up
The customers that Hao Hao noodles target are students, office workers, housewives, and
Income Suitable for customers with income from
1-3 = million/month Customers use Hao Hao noodles because of the convenience of the product with a reasonable price, but the product is suitable for the taste of many people
Behavioral Reasons to buy the product:
Product elements: Cheap price, eye-catching packaging, present in most of the wholesale and retail stores, large supermarkets, many advertisements on TV,
Psychological factors of buyers: Instincts such as hunger and thirst, craving for salty food, craving for hot food,
Cultural factors: Vietnamese culture’ is associated with noodle dishes such as noodles, vermicelli
In Vietnam, the fast-paced lifestyle, particularly among the youth, often results in limited time for meal preparation, leading many to opt for fast food and processed options.
Acecook Vietnam, known for its Hao Hao brand, employs a Differentiated Marketing Strategy to address various market segments by launching new product lines such as ramen, rice noodles, and vermicelli noodles, specifically designed to meet customer needs Recently, the company has focused on college students, a demographic eager for new experiences and prioritizing a carefree lifestyle These young adults often struggle to maintain self-care due to their busy social lives, leading them to choose convenient and affordable instant noodle packages as a practical meal option.
Figure 7: Map of Vietnam Instant noodles positioning