Phân tích chiến lược marketing của nhà máy bia đông nam á e

After analyzing its market and Marketing strategy recently, South East Asia Brewery.Ltd identifies that: firstly, HALIDA beer is in saturation phrase; secondly, the factory is a business

Chiến lược Marketing của nhà máy bia Đông Nam Á

Marketing Strategy of South East Asia Brewery.Ltd

Table of Content

Preamble

1 Introduction of the Enterprise 3

1.1 Establishment and Development Process 3

1.2 Characteristics of products of South East Asia Brewery.Ltd 4

2 Target market of South East Asia Brewery.Ltd 4

2.1 Market segmentation and criteria of segmentation 4

2.2 Target market 5

2.3 Location plans 8

3 Introduction of Marketing Mix strategy of the factory 9

3.1 Factors of product 10

3.2 Price policy 13

3.3 Distribution policy 13

3.4 Promotion policy 18

References 20

In the condition of a volatile economic market, any business which identifies the right direction, is dynamic and sensitive, catchs the opportunities, and on that basis, researches and applies Marketing Mix effectively to aim to adapt, occupy, protect and develop product market, will survive and win South East Asia Brewery.Ltd is one the businesses which realize that soon

After analyzing its market and Marketing strategy recently, South East Asia Brewery.Ltd identifies that: firstly, HALIDA beer is in saturation phrase; secondly, the factory is a business unit which is in the cell containing question mark of BCG matrix, it means it’s in a market with high growth rate but with low market share (7% of market share); thirdly, due to increase in the scale of market is higher than that in consumption, production scale is not large enough to serve the target market while there are more and more companies which joint in this industry to exploit market, the factory’s market share

is decreasing gradually Therefore, research about Marketing Mix strategy is very necessary for South East Asia Brewery.Ltd to adapt, occupy, protect and develop product consumption maket

1 Introduction of the Enterprise

1.1 Establishment and Development Process

South East Asia Brewery.Ltd – SEAB is a company cooporating between Viet Ha Brewery and Internation CARLSBERG Brewery (Danbrew), and the industrialization fund for developing countries of Danmark Government which is located in 167B Minh Khai street, Hanoi and acts on the basis of capital contribution and joints in running together:

- Investment capital of SEAB: 14.475.000 USD

- Legal capital: 14.475.000 USD

Viet Ha Brewery contributed 5.790.000 USD equivalent to 40% of that capital Danbrew and the industrialization fund for developing countries of Danmark Government contributed 8.685.000 USD equivalent to 60%, SEAB is a business unit which is independent in accounting and finance, has legal status and private seal in transaction, exchange, and is allowed to open accounts of Vietnamese and foreign currency in domestic and foreign banks

Operation duration of the cooporation is 30 years On August 12th, 1995, SEAB officially runs with the capacity 25.000.000 liter/year and gradually increases the capacity

up, recently it’s 50.000.000 liter/year

1.2 Characteristics of products of South East Asia Brewery.Ltd

Beer of South East Asia Brewery.Ltd includes two types as HALIDA and CARLSBERG which is bottled and canned, including HALIDA 330-milliter canned beer; HALIDA milliter bottled beer; HALIDA 640-milliter bottled beer; HALIDA 330-milliter bottled beer exported to France; CARLSBERG 330-330-milliter canned beer; CARLSBERG 330-milliter bottled beer; and CARLSBERG 640-milliter bottled beer South East Asia Brewery.Ltd is a joint venture enterprise with high prestige in Vietnamese Beer Industry, although the capacity is not high, reputation of quality is reinforce, demand and a number of people who prefer HALIDA and CARLSBERG beer increases day by day Cooporate South East Asia is equipped by the most modern equipment imported from well-known manufactures in the world

Investment in using the lastest technological scientific achievements ensures that products of the factory are made in a modern, advanced closed producing technological cycle, and the quality of the products are always strictly control following international standard, confirm the leading position of HALIDA and CARLSBERG in markets

2 Target market of South East Asia Brewery.Ltd

2.1 Market segmentation and criteria of segmentation

Beer and beverage production is one of the industries bring relatively high profit and turnaround capital quickly Therefore, there are many facilities in our countries and cooporate with foreign countries to create capital, technological knowledge, modern machines ,etc, to produce and market high-quality beer products to serve consumers’ increasing requirement

In the beer market today, there are nearly 30 brands of beer, the war for occupying market is increasingly vibrant Beside a competition with exported brands of beer, enterprises also have to deal with kinds of beer which is without labels, low-quality, imitation of famous brands of beer, and fake in the market However, failure is very little

because signigicantly increasing amount of beer is still not enough to supply for consumers Nowadays, with the consumer classes which is luxurious and have high income, a competition of occupying the market still mainly take place among Heineken, Sanmingel, Carlsberg, ,etc These companies continuously use exciting advertising campaigns with high cost Feature of these companies’ products is that target market is mainly directed at high-grade restaurants, hotels, and bar ,etc With middle-class consumers, their liking products are still Hanoi and Halida beer Suitable price and effective contribution channel are efficient competition tools

With market analysis, the brewery realizes that the market is still in growth impetus, its recent competitors is increasingly expanding their scale, there are more and more potential competitors appear, and the brewery has a few opportunity to protect its market share Therefore, by Marketing effort, the brewery will create its own self-defence barrier and self-filling holes to prevent from capturing its market share of any brewery

2.2 The target market

Overall market includes a very big number of customers with different requirement about buying and finance There are no company for all potential customers On the other hand, the brewery doesn’t have itself in the market It has to face to many competitors with challenges and methods to attract customers Each company often has its own strength in one aspect to satisfy the market’s demand Market segmentation and target market identification actually concentrate its effort on the right market, build an individual, strong, evident and consistent status to exploit its inherent ability effectively

To facilitate identification of Marketing-Mix strategy for each kind of customers, the company divides customers according to their liking and low-income customers of Halida and high-income customers of Carlsberg Recently, the customers of Hanoi Beer have many type of liking but in common, they can be classified to groups as follows:

Group 1: Including the people who like a kind of beer with mild concentration which

is easy to drink and can drink much with no matter They are the people who can drink a little, mostly women They mainly drink beer on holidays, Tet holiday and parties

Group 2: Including the people who like a kind of beer with moderate concentration They just drink to refresh and create more appetite for meals

Group 3: Including the people who like a kind of beer with heavy and much alcohol They are mainly beer drinkers but they drink not much

Figure 1: The market (groups of customers)

Halida Carlsberg

Product network/ market With market segmentation following criterion, it also has many advantages but not without certain shortcomings The company will not grasp the scale and form of consumption of each customers, it will be very easy to fall into not specific generic and ineffective situation

By understanding this, the company also classifies customers following its serving object If it classifies following this way, the company will be easy to determine different product policies, price, and communication policies for each kind of customers

The customers who are divided following this criterion including:

(1) Group of hotels, restaurants, and bars

Realizing that serving object of this group is the people who have much money, their consumption doesn’t care about price, they just care about quality as well as fame of products and services of employees Consumption is mainly Carlsberg bottled and canned beer, Halida canned beer is a little Therefore, the company enhances service conditions for this group and has rational promoting communication policies

(2) Group of retail stores

This group often buy to retail to consumers Their characteristics is often small scale, big amount, diversified business with goods including goods of their competitor This is a group of patron which evenly use both Carlsberg and Halida Theoretically, the company should promote these customers to care more about selling its products by promise about a high profit rate for them when they sell many products

(3) Group of level-2 agents and the major wholesalers

Serving objects of this group is foodshops, retail outlets in the region, and the people who are in remote provinces coming to Hanoi to buy goods This group often has a small number but large scale, big volume and especially cares about price They are considered

as a member of the contribution channel and very effective on price regulation

(4) Group of pubs and cafes

Customers of this group is the people who have middle income, they drink popular kinds of beer such as “bia hơi”, bottled beer, premium kinds of beer are hardly sold With this group, Halida’s products are fully exploited, especially bottled beer, and it has an acute competition with Hanoi beer, “bia hơi”, and other beverages

After classifying, the company identifies that the target market of Halida’s products is directed at ordinary consumers with low and middle income, the company should pay attention to group 4 Carlsberg’s products is mainly directed at high-income customers who prefer connoisseur, customers in group 1 was particularly noticeable For both Halida

and Carlsberg’s products, customers ín the groups 2 and 3, in fact, are the distribution network of the company, it should pay special attention to improve distribution efficiency The company also defines the target market of both types are located in cities and towns These are concentrated residential areas which have diversified service network, including hotels, restaurants, entertainment areas, etc In which consumerscan drink beer and other beverages as well Besides, in the cities and towns, people have good income, people's living standard is relatively high

 For the Northern Market

The target market of Halida’s products is urbans in the North such as Hanoi, Hai Phong, Quang Ninh, Nghe An, and other towns and cities The target customers have middle and quite middle as well as high income at the age 25 – 35

 For the Southern Market

There are some strong competitors such as Sai Gon Brewery with some prestigious products (such as Sai Gon and 333 beer) from pre-1975, Vietnam Brewery with Tiger and Heineken beer These competitors have advantage of transpotation fees in the region, in addition, there are some elements of hobby and quality – those are limitation of outside businesses

Carlsberg’s product has high quality and relatively high price, the company determine that the target market of the products is high-income consumers such as managers, entrepreneurs, foreigners, etc The products is consumed mainly in big cities such as Hanoi, Hai Phong, Quang Ninh, Ho Chi Minh City, Vung Tau, etc and in hotels, restaurants, and tourism centers, target hotels which have high average income (more than

1 million); and people who are at the age 35 – 60 (with Vietnamese) and 25 – 65 (with foreigners)

2.3 Location plans

For Carlsberg’s product, this is the product for the high-class people, associated with its well-known brands in the world, the domestic production facilities are not major competitors Particularly, Halida’s product is a domestic product, and in an abundant period, so that rivals become to be the main competitors With the its capacity to be able to continuously increase market share, the company has to increase its scale and its consumption speed higher than that of the sector This is very difficult for a business with not strong financial resources However, the company has much ability of Marketing, and

an abundant period of product is mainly based on effectiveness of marketing activities Therefore, a goal which the company set is to protect its market share, especially maintain market share of Halida’s product, and strive to further expand and develop consumption market.

3 Introduction of Marketing Mix strategy of the factory

Currently, the company accounts for 8% market share in beer market, about canned beer market alone, it accounts for 50% (Halida’s canned beer accounts a large proportion) However, its market share tend to decrease, and to maintain its market share and protect its recent business, besides improving marketing strategy, the company always have to oppose offensive of competitors, fill holes, and not let competitors occupy its market share By analysis of inside and outside elements, the company analyzes strength, weakness, opportunities and potential risks to propose a response strategy to achieve its goal

SWOT matrix

Opportunity (O)

1 Increasing requirement

of payment ability of consumer

2 Increasing the role of state management

Risk (T)

1 Substitute and fake

2 Potential competitors and increasingly technological innovation

Strength (S)

1 High-quality products

2 Personnel

3 Good knowledge about

marketing

Coordination of S/O Good knowledge about marketing

High-quality products Increasing requirement

of payment ability

Coordination of S/T High-quality products Competitors and technological innovation

Weakness (W)

1 Weak financial ability

2 Low production capacity

3 Products are in saturation

phrase

Coordination of W/O Weak financial ability Increasing requirement

of payment ability

Coordination of W/T Weak financial ability Competitors and technological innovation

Furthermore, the company tries to coordinate with 4 elements:

 S – Good knowlege of Marketing and high-quality products

 W - Products are in saturation phrase

 O - Increasing requirement of payment ability

 T – New technology

Under this type of coordination, the company pursue strategy of using its marketing system to meet a requirement of the target market in the best way The company decides to take the effectiveness of marketing strategies to overcome its weaknesses, bring into play its strengths and seize the opportunities Although the company’s consumption capacity is increasing, it is still smaller than increase of the market’s scale, and its market share is

being narrowed So using effectiveness of Marketing-Mix to stablize its market share becomes to be a frequent strategy of enterprises in the company

Concentrated growth strategy, development in depth is the most appropriate strategy for the company In this strategy, the company focuses on two main strategies such as market penetration and market expansion.

3.1 Factors of product

- Brand is an important factor and a premise to create a significant difference of a product So labeling for each types of product is very necessary Due to characteristics of establishment process of the company, two types of product have brands of different owners The Halida beer which is produced by Viet Ha Brewery before, is still produced

by South East Asia Brewery today with right quality standard of available brand Carlsberg’s product is produced based on quality standard, style and brand as requirement

of the Carlberg Name selection for the product as Halida has advantage is that it’s not limited by geographical scope as Saigon Beer and Hanoi Beer, etc, or in other word, with that name, the product is easy to consume in different region in Vietnam With Carlsberg’s product, the name is difficult to read but this product is very popular in the world, it is not much difficult to penetrate the market Both brands of two products are separate brands

- Packing plays an important role to beer product Because beer is liquid, it should have containing items (packing) Moreover, due to chemical and microbial characteristics, beer could not keep its quality when exposing in the air and light Packing is also a means of advertising to attract the attention of consumers Packing is not only introduction of product and the company but also creates impression of luxury and comfortability when using Therefore, packing of Halida and Carlsberg’s products ensures technoligical standards Furthermore, packing of Halida’s product is printed a symbol as an elephant, with the meaning is “a serious rivals which is willing and able to defeat all competitors in the market” And in packing of Carlsberg’s product, it’s printed a symbol as a crown to confirm its top quality

The company uses entirely plastic tanks for bottled beer, and cartons for canned beer The color of the tanks is very specific with yellow for Halida beer and dark green for Carlsberg beer, is very easy to distinguish from other types of beer Its form and texture is good and easy to transport A tank contains 24 bottles of 550ml and 12 bottles of 640ml, and a carton contains 24 cans Another advantage is that it prints letter “Halida” or

“Carlsberg” on 4 sides of tanks and cartons The use of this model has been promoting the role of packing in the widespread propaganda for brand of products of the company

In addition, with the current way of packaging, packing has not been turned into effective tool for assistance to encourage consumption Type of packing and monotonous designs don’t make difference from other types of beers and don’t meet some specific requirement such as buying canned beer with less than a bin

To prevent counterfeiting, the company pays a special attention to bottle and can management Most bottles and cans are imported from Indonesia, and are embossed letter

“Halida” and “Carlsberg” After bottling, all of them are twined about their bottleneck to avoid counterfeiting After the sale of products are completed, agents must be responsible

to recover bottles This is also a positive measure for the company to reduce production price

- Product categories:

The company currently maintains two types of products aimed at two different target markets The product structure is kept at a stable level:

Halida beer accounted for 70% of total production, with canned beer is 51 to 52% Carlsberg beer accounted for 30% of total production, with canned beer is 30 to 32% The company produces three types of beer: Halida beer, Carlsberg beer and fresh beer Each type of beer has its distinct characteristics and aims to target different markets

Fresh beer is a type of fresh product and contains a big amount of nutrients, because its price is the most expensive in beer market, it is only suitable to people with high and stable income This types of beer recently appears in Hanoi and Ho Chi Minh City and is preferred by consumers because of its high quality With recent high price, fresh beer has a few chance to penetrate to the market but with trend of the world development, fresh beer will become to be a familiar beverages such as “bia hơi”, canned beer and bottled beer Bottled beer is a type of beer which contains big amount of nutrients, can maintain for

a long time, transport far away, and has ability to preserve longer because it has been sterilized before being transported to consume, but it convenience is poor

Canned beer has high content of nutrients, can maintain for a longer time than bottled beer, transport far away easier, and has convenient shape to use Halida canned beer accounts for the highest consumption rate and largest market share in canned beer market

in Hanoi (50%)

Size: About Halida beer, formerly Viet Ha Brewery only produced canned beer of 330ml, South East Asia continues to produce with right quality standard, remain the brand and expand more about packing, size, bottled beer of 330ml and 640ml Recently, by researching consumption situation of Halida beer, the company realizes that customers like small bottle which is suitable to drinking demand, and the kind of consumers accounts for

a big number The company has been giving out the market bottles of 500ml and 450ml for Halida to meet this requirement

Carlsberg beer is produced following different technological process, and with standard, style, and the brand by requirement of Carlsberg Bisides the size of 640ml, Carlsberg also give out the market bottles of 500ml and 450ml embossed with the word

“Carlsberg” around the world

- Decision on customer care: Customer care is a constituent element of fully-constituted goods The company chooses a form of contribution service as delivering beer

to customers’house for Halida’s products, and for type of 500ml, it hire this service of Magic Flame Company

3.2 Price policy

Decision on price is is an important job, so the Board of the Company will have to deliberate during the financial year-end session and that price will be applied in the next year In some special cases, the General Manager can dicide to adjust the price To get an effective decision on price, the company should deliberate carefully the phases of the operation cycle of Halida and Carlsberg’s products, financial resources of the company and the competitors, the relationship between price and volume, and other opportunities of the company

Target of valuation must be suitable to overall goal of the company, it must be determined by a very scientific method In other words, valuation of price is inseparable from the production cost

3.3 Distribution policy

The content of distribution policy is designing a distribution channel In the early stage

of giving out Halida’s product to the market, Viet Ha Brewery has faced a major difficulty

is that there is no system of distribution channels So this company faces to many difficulties in controlling the price and consumption situation Until the establishment of South East Asia Brewery, it gradually creates and improve the distribution system The company focuses on creating distribution system which is due to several advantages as follows:

+ Beer consumers live in wide areas, so the places where consumers can buy must be

in densely populated areas

+ Distribution through intermediaries is very effective, their work is professional, and they have more experience and relationships in the field of distribution and consumption + They are the people who are exposed to many customers and they know what customers want

Currently, South East Asia Brewery is striving to improve its consumption channel so that the company's products are brought to consumers quickly and efficiently The goals of the distribution which the company set to are supplying the right goods, right quantity and quality in the right place, right time with minimum cost

Consumption map of SEAB

Proportion of consumption Comsumption rate (%)