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Place

Reappeared in Viet Nam in 1994. and built 3 bottling plants at Ho Chi Minh
City, Ha Noi and Da Nang.
Coca-Cola beverage products are produced at three bottling plants located in Ho
Chi Minh City, Hanoi and Da Nang. In 2001, the Government of Vietnam agreed to
allow three bottling plants to merge under a centralized management structure, in
which the Coca-Cola Vietnam bottling plant (CCBV) in Ho Chi Minh City played
the role of manage.

Two bottling plants in Hanoi and Da Nang are currently operating as two
branches of Coca-Cola Vietnam Company in the North and Central regions. With 3
production factories in 3 regions of the North, Central and South, the company can
expand its distribution network in all regions, providing a full range of products to
agents in these 3 regions.
Coca-Cola focuses on segmenting according to 2 main criteria:
Geographically: Coca-Cola Vietnam has tried to distribute with a dense network
from urban to rural areas, from plains to mountainous areas, from south to north.
However, the main focus is still on densely populated areas. Coca Cola's products
appear everywhere, from restaurants, large to small refreshment bars, from streets to
alleys,... stretching from North to South.
Regarding demographic characteristics: as mentioned above, cocacola in
Vietnam focuses on
young people, with a hot
youthful style and here
cocacola has been
successful according to
the survey, cocacola has
been "received" by
young people.
Although Coca-Cola
is a global company, its
products never have to
go too far to reach the
end consumer, Coca Cola transforms itself into a local company in each market it
touches. work. “Our company is a local business,” says Buffington, Vice President
of Supply Chain Development and Supply Chain Director, The Coca-Cola
Company Bottling Investment Group. Coca-Cola within a few hundred miles, it's all
about meeting the needs of customers and the tastes of local consumers in every
market."
Applying a transnational strategy, the company has continuously improved its
advertising, production, financial strategies, etc. to be able to adapt to exist with the
change of society as well as the different requirements of customers. each locality.
With marketing strategies targeting each customer, Coca-Cola's reputation has been
known in every corner. Bright red billboards with the words Coca-Cola appear
everywhere, from football fields to supermarkets, grocery stores...Because of that,
the name CocaCola became familiar to everyone.
Initially, Coca-Cola focused on market segments where the demand and

characteristics of population density were high. During the period of market


penetration in Vietnam, coacola has its headquarters in the north (Hanoi), central Da
Nang, and south (Ho Chi Minh City) and gradually expanded to neighboring cities.
For soft drinks, distribution is very important, since Pepsi entered the
Vietnamese market first, it should have more distributors than Coca-Cola, so Coca-
Cola continues to expand its distribution network through agents, coffee shops, soft
drinks, restaurants,... to attract agents by increasing support activities for agents
such as: giving umbrellas, supporting store decoration, supporting financial,…
Price
At the beginning, when it first entered and penetrated new markets, first the
domestic market, then the global market, Coca-Cola used the strategy of "sticking to
the market". That is, the product price is low in order to pursue the goal of
conquering and gaining a foothold in the market.
With this strategy, the company has successfully exploited its “economies of scale”.
Therefore, despite low prices, market share and profits are always achieved as
desired.
Thanks to the variety of commodities, the selling price of Coca-Cola is tailored
to each market segment and geography. Coca-Cola's products are priced by looking
at the buyer's perception of "quality" and not the seller's cost.
Coca-Cola always keeps the retail price, pricing based on consumer perception.
When entering the Vietnamese market, set low prices to attract customers, then
charge higher fees to customers or advertisers.

Coca-Cola products set prices based on perceived value by the buyer, who
considers the consumer's perception of value rather than the seller's cost as an
important basis of pricing.
The pricing strategy of Coca Cola to penetrate the market is different from the
strategy of high price to filter the market. Coca Cola companies choose a strategy of
relatively low product price to penetrate the market, hoping to attract gain a large
number of customers and gain a large market share.
Discount pricing: most Coca Cola businesses will adjust their own to reward
customers who pay ahead of time, buy in bulk, cash discount is a discount for
customers who buy and pay Cash now, bulk discount.
Product-type discriminant pricing: Coca-Cola products and items are priced
differently, but in proportion to their costs.
Pricing by product type: Because Coca Cola's products are different in size,
form, and features, they are priced according to different scales, suitable for each
group of customers.

Price strategy 3P:


1) Price to value: consumers are not only able to buy Coca-Cola but also benefit
from the product.
2) Pervasiveness: consumers can buy Coca-Cola everywhere.
3) Preference: make consumers not only love the product, but also ensure that
Coca-Cola is their first choice when thinking about soft drinks.

Price Strategy 3A:


1) Affordability: Coca-Cola's price is
guaranteed to be suitable for all
audiences (anyone can have it)
2) Availability: consumers must be able to
buy Coca-Cola whenever and wherever
(eg: Circle K, GS25, 7 eleven,...)
3) Acceptability: Coca-Cola must make
customers love and accept the product
(feel happy when using the product)

Coke has divided its customers into


several groups to provide products.
Based on the characteristics of
customers, they can be divided into 4
main distribution methods as follows:
1. Coca Cola distributes "directly" to consumers:
a) Coca Cola comes from a small drink shop, with the main business form selling
directly to users. After that, Coca
Cola's drink was more popular with
customers, sales quickly increased
and Coca Cola's scale also increased.
b) Since then, Coca Cola's branches have also gradually expanded. With the goal
of quickly supplying products to consumers, Coca Cola later has other
distribution strategies such as agents, supermarkets, wholesalers, etc.
2. Online sales on commercial sites:
Currently, Coca Cola is developing sales pages on Facebook, Shopee or online
shopping applications to reach consumers via the internet more flexibly.
3. Vending machine system:
Coca Cola's vending machine system is placed for sale in dining, entertainment,
hospital, school, etc. Every year Coca Cola earns billions of dollars thanks to the
"immovable" machines.
4. Selling at direct selling points:
At direct sales points, Coca Cola is increasingly adding to its menu new drinks such
as carbonated drinks, energy supplements, milk, plant-based juices, sports drinks. ,
mineral water, ready-made coffee and tea.
It is thanks to that "innovation" that Coca Cola always retains its consumers at
the point of sale and is always the first choice of customers when it comes to
"carbonated drinks"!
References:

https://tailieu.vn/doc/tieu-luan-phan-tich-chien-luoc-marketing-cua-cocacola-
1672350.html
https://en.wikipedia.org/wiki/Coca-Cola
https://ladigi.vn/phan-tich-chien-luoc-marketing-cua-coca-cola-tai-viet-nam
https://seeding.vn/chien-luoc-marketing-cua-coca-cola-tai-viet-nam/
https://www.coca-colacompany.com/company/history/history-of-coca-cola-
advertising-slogans
https://www.dichvusieuthi.com/2019/01/chien-luoc-phat-trien-he-thong-phan-phoi-
cocacola.html

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