PHILIPS AIRFRYER

TEAM 6
Nguyen Thanh Hong Duyen – s3891438 – Leader
Ngo Thi Lan Anh – s3891848
Duong Anh Kiet – s3877044
Truong Hoang Anh – s3911628
Pham Long Hoan – s3893369
 TABLE OF CONTENT

I. INTRODUCTION................................................................................................................................................................................. 2
1. Company description.................................................................................................................................................................. 2
History................................................................................................................................................................................................. 2
Mission Statement............................................................................................................................................................................ 3
Vision Statement............................................................................................................................................................................... 3
Philips’ CEO (present)...................................................................................................................................................................... 3
2. Product description:.................................................................................................................................................................... 3
Features and Function..................................................................................................................................................................... 3
Design.................................................................................................................................................................................................. 3
Brand Awareness.............................................................................................................................................................................. 3
II. MARKETING ENVIRONMENT......................................................................................................................................................... 4
1. Micro Environment....................................................................................................................................................................... 4
1.1. Company............................................................................................................................................................................... 4
1.2. Supplier................................................................................................................................................................................. 4
1.3. Marketing Intermediaries..................................................................................................................................................4
a. Resellers............................................................................................................................................................................... 4
b. Maketing Services Agencies............................................................................................................................................4
c. Physical distribution firms...............................................................................................................................................4
1.4. Customers............................................................................................................................................................................ 5
1.5. Competitor (Direct)............................................................................................................................................................. 5
2. Macro Environment:.................................................................................................................................................................... 5
Demographic...................................................................................................................................................................................... 5
Economic............................................................................................................................................................................................ 6
Political................................................................................................................................................................................................ 6
Natural................................................................................................................................................................................................. 6
Cultural................................................................................................................................................................................................ 6
Technology......................................................................................................................................................................................... 6
III. SWOT ANALYSIS......................................................................................................................................................................... 7
IV. STDP................................................................................................................................................................................................ 8
1. Segmentation................................................................................................................................................................................ 8
2. Targeting...................................................................................................................................................................................... 10
V. CONCLUSION................................................................................................................................................................................... 12
VI. REFERENCES............................................................................................................................................................................. 12
VII. APPENDICES:............................................................................................................................................................................. 16

1
 I. INTRODUCTION
1. Company description
Philips (full name: Koninklijke Philips N.V. or Royal Philips) is a world-leading Dutch electronics
corporation in bulb manufacturing and medical technology. Headquartered in the Netherlands, Philips
has about 117,000 sales and service employees in more than 100 countries and territories around the
world. This company has sales reaching EUR 19.5 billion in 2010 (Annual Report 2020, p.26, para.1)
(ref.1). Besides, they had spent 130 years innovating and focusing on people. That means they have a
lot of expertise in enhancing human health and contributing to positive results through the entire
healthcare process, from well-being to diagnosis, recovery, and home health care.
History
1890s and 1900s - Establishment and the early stages of growth
- Was established in 1891 in Eindhoven, the Netherlands by Frederik Philips and his son, Gerard.
- The first product being an electric light bulb.
- Over 2,000 workers, Philips is the largest private employer in the Netherlands.
- Gerard and his brother Anton invested in housing, healthcare, and sports.
1910s to 1940s - Innovation in product, technology, and design
- In 1914, the first Philips research laboratory – known as ‘Philips Nat Lab’
- Interest with health science began with technological breakthroughs in X-ray tubes.
- Has recognized the importance of consistent and effective design.
- They introduced:
+ Philips radio
+ The well-known waves-and-stars shield
+ The Philishave, a pioneering rotary electric razor
+ The mass-market television

1950s - “From products to experiences”

- The first multinational corporation to be given its own pavilion at the 1958 World's Fair.
- In this Expo, Philips provided unique 'ambient' environment. It is a precursor to Philips Ambient
Experience.
1960s to 1980s - Development of sound, image, and the digital world
- Launched:
+ The first Compact Cassette audio player
+ The first Video Cassette recorder (VCR)
+ The Laser Vision Optical Disc
+ Optical telecommunication systems
+ Compact Disc (CD) – developed together with Sony. (biggest successes)
1990s and 2000s - A change of targets and new experiences
- Putting people at the center to produce "Design for Life" items.
- Putting approach to creating a Philips brand experience, providing solutions that were
professional, simple to use, and user-centered.
2010s – Leading in health science
- Continuing to develop medical technologies.

2
 - Aim until 2030: Improving the lives of 2.5 billion people every year.
(Philips, n.d.) (ref.2)
Mission Statement
They provided products and services that supported human health, as well as gave ways to accurately
diagnose, and guided the use of smart devices for patients with chronic illnesses. Moreover, they
collaborated with hospitals and health facilities to better identify their needs, offer collaborative
solutions, and participate in multi-year collaboration to increase patient outcomes. (Philips, n.d.) (ref.3)
Vision Statement
They aim to expand our strong positions across the health continuum, extend our solutions capability to
address our customers’ unmet needs. Especially, by 2030, their goal is to enhance the lives of more
than 2.5 million people every year. (Philips, n.d.) (ref.3)
Philips’ CEO (present)
Frans van Houten first joined Philips in 1986. After years of experience in business and management,
he has been CEO of Royal Philips since April 2011. He is also Chairman of the Board of Directors and
the Executive Board. Furthermore, in 2014, the influential global business magazine Fortune named the
world's top 20 business leaders, Frans was one of them. (Frans van Houten, Chief Executive
Officer, Royal Philips, n.d.) (ref.4)
2. Product description:
Features and Function
The airfryers operate in the same way as conventional electrical kitchen appliances do. That means it
can cook in many ways, including frying, baking, roasting, grilling, and reheating. Therefore, people can
cook hundreds of different dishes. Philips also offers recipe books and cooking applications. Besides,
this appliance has Keep Warm mode. It can help the users to keep food at the ideal temperature for up
to 30 minutes. In addition to the usual functions, Philips Airfryer also owns new technologies such as
Fat Remove Technology (or Twin TurboStar) and Rapid Air Technology. With Fat Remove Technology,
it helps reduce fat intake by up to 90%. With Rapid Air Technology, its airflow 7 times faster makes food
cooked 1.5 times faster than in a microwave. (Philips n.d) (ref.5)
Design
Looking at the Philips Airfryers, it is easy to see that they have a simple design with many colors such
as black, white, and silver. On the front of the product is a Digital display with 5 pre-programmed
cooking programs. It helps the users to use it easily with one-touched cooking. In the same location,
this device also has a QuickControl dial to adjust the temperature and cooking time. At the bottom of
the Digital display is Baking Master Pan with starfish style. Thanks to the starfish-style design, the food
is cooked evenly on both sides without having to stir. Plus, some XXL pan can cook a whole chicken or
a potato for 6 people. (Philips n.d) (ref.5)

Brand Awareness
In order to increase brand awareness in the Vietnam market, Philips has come up with several
marketing campaigns. In 2019, Philips launched a campaign targeting families and young Vietnamese
couples living in upcoming, luxurious apartments in Hanoi and Ho Chi Minh City. Philips designed an
interactive advertising website, which enables people to swipe and use the virtual electronic devices on
their smartphones. The result of the campaign was a huge success as their air fryer’s sales increased
by 252% compared to the previous year (“How Philips got CTRs 5x the average from a hard-to-
reach premium audience in Vietnam” 2019) (ref.6). Also, Philips’ Tet advertising campaign that won
the Best Media Orchestration Award Winner in 2019 is a spotlight for their success in getting

3
customers’ attention in the Vietnam market. The campaign was able to convey personalized messages
for different group of people, which included homemakers, young settlers, and workaholic. The
advertising campaign single handedly accounted for 2.4 billion VND of sales between December 2018
and January 2019 (Do 2019) (ref.7).

II. MARKETING ENVIRONMENT

1. Micro Environment
1.1. Company
Philips has had a presence in Vietnam since 1992, with offices in Hanoi and Ho Chi Minh City. The firm
currently employs over 100 people in the consumer products and medical solutions industries. Philips is
actively innovating in the consumer goods market to offer home and personal healthcare products to
help consumers enjoy healthier lives. Philips has installed a significant number of diagnostic imaging
equipment, angiography, ultrasound, and testing equipment in the medical solution area, adding to the
best service of hospitals and clinics in medical inspection and care in Vietnam. Our mission is to
increase the Vietnamese people's quality of life by implementing practical new technology. (“Hồ sơ
công ty” n.d.) (ref.8)
1.2. Supplier
With strategies to attract suppliers, Philips has more than 50 suppliers from countries around the world
such as China, Singapore, Japan, USA, and etc. They focus on health appliances with innovative
technology so the majority of Philips’ suppliers provide them technologies. One of prominent suppliers
of philips such as Hitachi, Sony (Japan); Huasheng (China); Dell (USA) and etc (Philips 2017, p.1)
(ref.9). Moreover, Philips regularly acquires manufacturing companies to provide products for them.
(MarketLine Company Profile: Philips Healthcare 2021) (ref.10). Therefore, even though the
company is Dutch, most of their products are from China. (Appendice 1)

1.3. Marketing Intermediaries

a. Resellers
It is easy to find Philips’ Airfryers on the shelf at every big electronics supermakets such as
DienMayXanh, NguyenKim (or DienMayChoLon). Furthermore, thanks to the development of
technology 4.0, customers also buy these products on e-commerce platforms such as Shopee, Tiki,
Lazada, and Amazon (Appendice 2). Especially, in Philips Vietnam website, the company
recommended some online shops like AeonShop or MediaMart (Appendice 3). If customers want to
buy more than 2 products with affordable prices, MegaMarket is an ideal place.
b. Maketing Services Agencies
Philips collaborated with Moblaze and InMobi which served rich-media advertising to consumers, who
use smartphone, living in upscale apartment buildings. (Advertising, Campaign Asia, 2019). They
also advertise their products through social networks such as Facebook, Twitter. Besides, Philips
Vietnam have an advertising campaign on Tet holiday in 2019 on Youtube. (Do, 2019) (ref.7)
c. Physical distribution firms
Philips does not have a retail store in Vietnam, so they often sell products through online shopping
apps like Shopee, Lazada, or Tiki. Those apps partner with several shipping companies to bring
products to consumers. For example, Shopee cooperates with J&T Express or GiaoHangNhanh
(Appendices 4). Also, if customers buy from resellers, they own the parts responsible for shipping the
product.

4
 1.4. Customers
The brand's core consumers are young people who are not afraid to try new technologies and want
innovations to make their lives simpler. Consumers who are brand loyal are those who have gained
complete confidence from Phillips. Consumers find great benefit when they find goods that are long-
lasting and of high quality. (Bhasin, 2019) (ref.11) Furthermore, in Vietnam, according to InMobi (apps
listed in the Marketing services agencies section), Philips focuses primarily on the needs and
psychology of modern young couples living in high-end apartments.
1.5. Competitor (Direct)
Philips was the first company to invent the oil-free fryer (A Brief History Of The Airfryer - Kitchen
Weapon, 2021) (ref.12). In addition, up to now, no company can surpass the philips with unique
technology. However, the price of the philips oil-free fryer is quite high, so firms like Lock & Lock, Tefal
or Sunhouse are one of Philips' competitors in the price field.
Lock & Lock is a famous household goods brand and has coverage in many countries and has a total
revenue of 508 billion won (US $454 million). In the Vietnamese market, Lock & Lock is a premium
brand that is easy to find when its coverage is widespread in most shopping areas, from popular
supermarkets such as Big C, Coopmart, Online Shopping Mall to luxury stores like Vincom Center
Shopping Mall, the Parkson (Global LOCK&LOCK, LOCK&LOCK, n.d.) (ref.13). The price of Lock &
lock is also a bit cheaper than Philips and the quality of the product is quite good. That seems quite
suitable for the demands of Vietnamese people. Lock & Lock is also a little less expensive than Philips,
and the product's quality is very high, so it seems to be a good fit for Vietnamese needs. As a result,
Lock & Lock is a well-known brand that appears in search engines and online retailers, and it was
placed in the top ten in the 2017 "Trust and Use Award," which was adjusted based on customer
confidence in 2017 (vietnamnews,2017) (ref.14). With an affordable price and the appearance in many
areas, Lock & Lock would be the largest competitor to Philips in the Vietnamese market.

2. Macro Environment:
Demographic
Population can be seen as one of the factors that affects customer’s buying behavior (Kumar, 2014)
(ref.15). Vietnam’s population, by far, is considered the most populated countries in the ASEAN region.
Based on Figure 1, the population of Vietnam in 2020 reached the number of 97.58 million people
(“Vietnam: total population 2020” 2021) (ref.16), specifying an increase by roughly three million
people compared to 2017 (Statista Research Department, 2021) (ref.17). Higher population implies a
positive sign for Phillips, as it comes with a higher demand for household appliances.
In Vietnam, the rural-to-urban migration trend has been booming over the past few years due to the
number of immigrants as well as higher living conditions. Statista Research Department (2021) showed
that Vietnam’s urbanization rate was at 36.63 percent in 2019 and has reached the number of 36.35
million people in 2020. Thanks to this trend, Philips’ air fryer has more opportunities to penetrate the
market and gain more market share as there are more household appliance sellers and retailers
located in urban cities.
Economic
After the pandemic COVID-19, Vietnam has proved itself to become a very potential market for any
foreign corporates by retaining a 2.9% growth in economy compared to previous year, while other
countries in the region were still in recession (Lee, 2021) (ref.18). Also, Vietnam’s GDP per capita has
increased by 2.7 times between 2002 and 2018, reaching the number of $2,700 in 2019 (World Bank,
2021) (ref.19). GDP growth has resulted in higher disposable income – a factor that contributes to

5
Vietnam's private consumption expenditure of over 185.37 billion U.S. dollars (Statista Research
Department, 2021) (ref.20, Figure 2). These economic factors enable Philips to gain higher market
share in this stable and developing market, especially when Phillips’ products are often in the mid-to-
high tier in the air fryer segment.
Political
Since the ascension into the World Trade Organization in 2007, Vietnam has become a promising
market for international corporations. After this event, Vietnam has been actively signing bilateral trade
agreements with many other developed countries to harden its economic power and financial security
(Shira, 2021) (ref.21). Also, the new Law on Investment, which will be effective on January 1, 2021,
“could save time for both foreign investors and licensing authorities in determining and appraising
investment proposals and applications for registration of merger and acquisition activities” (Ha, 2020)
(ref.22). Without a doubt, these arrangements could help Philips attract more domestic and
international investors.
Natural
Philips has a reputation for being a leading company in sustainability and environment protection.
Philips has taken on a set of key commitments following United Nations Sustainable Development
Goals 3, 12, and 13, which include ensuring good life for all ages, maintaining sustainability for chain
production and customer consumption, and taking actions to alleviate climate change and its impact
(Philips, n.d.) (ref.23) They focus on a circular economy which involves responsible recycling,
repurposing, refurbishing and reusing materials and products, aiming to operate with zero waste. The
company’s target is to economize not only in production, but also in energy consumption. They make
effort to prevent further global warming by reducing CO2 emissions firstly by maximizing their products’
energy efficiency during their customer’s usage period, and secondly through their energy resources.
100% of their electricity and 75% of their energy usage come from renewable resources (Phillips, n.d.)
(ref.23) – all types of carbon neutral energy including solar, wind, geothermal energy and hydroelectric
power. Philips is also aiming toward zero carbon footprint by the end 2020.
Cultural
Entering the era of technology 4.0, there is a booming trend of shopping online via ecommerce
websites such as Shoppee, Tiki, Lazada in Vietnam, especially after the pandemic. Vietnam has the
highest ecommerce growth in the region by 18%, according to Ministry of Industry and Trade. The
$11.8 billion market is accounted for 5.5 percent of total turnover from products retail (Hai, 2021)
(ref.24). This platform could significantly increase Philips’ household appliance segment revenue.
Furthermore, Vietnamese people tend to prefer using Western products to using Local and Chinese
brands in terms of consumer electronic products, even when the product tends to be more expensive
(Deloitte, 2020) (ref.25). Consuming Western brands is a perfect way to illustrate a customer's self-
image, as Vietnamese people often attach themselves to specific brands (Pham, 2015) (ref.26).
Philips, a well-known brand for product quality and durability, would be an excellent choice for a large
amount of people in this country.
Technology
People are living in the industrial 4.0, which is support many businesses to develop quickly and find
many markets. The current populations in Vietnam have approximately 98 million people. There are
68,72 million people who use the internet and 35 million people use e-commerce online that replace for
directly go to the supermarket. 60 million people spent about 3,5 hours a day on the internet. This is the
most important element that helps Philips can expand the market of the oil-free fryer and advertise the
product on social media. This firm has a home living page on Facebook and a channel on Youtube with
300,000 subscribers. Some reputation retailers are co-operating with Philips that sell oil-free fryer and
they have lots of promotions to attacks the consumers. E-commerce online is a significant market, due

6
 to the convenience of apps such as Amazon and Shoppe. The users can buy anything on the phone
and it can save more time. In 2018, consumers in Vietnam spent about US $6 billion on e-commerce
online. Philips can advertise their product on e-commercials online and make it more popular for
teenagers, elderly, and busy moms.
III. SWOT ANALYSIS

STRENGTH WEAKNESS

Feature & Function: Airfryers are an innovation. This product has a lot
of modern functions and a compelling appearance that attacks users.
The convenience of the product: adjustable temperature and timer which
help users can save time. It contains more than 4 features that consumer
can cut the cost such as frying, roasting, baking, and grilling. Good for
customers' health: Using an air fryer that replaces the oil, frying with a
tablespoon or less of oil. It can reduce more than 70% of fats. The unique
starfish shape: Due to starfish design, it makes the food cooked evenly.
Media Public: The Philips firm collaborated with Gordon Ramsay, a
Michelin-star chef that advertises for the customer and makes them have
confidence in this invention.
Design: The most disadvantage that the
oil-free fryer just runs on electric power
and it doesn’t have batteries. When home
or kitchen is a power outage, this product
can’t use as well as cooking. This product
is 4 in 1, so functions may not be available
effectively. The taste of the food couldn’t
as crispy as other regular fryers This
product has a big size. It can occupy a
huge area, and difficult to manage the
space in the kitchen.

Resellers: They are co-operating with reputation retailers (NguyenKim,

DienMayXanh, and etc), and popular e-commerce online (Shoppe,
Amazon, and etc).

7
OPPORTUNITIES THREATEN

Demographic: According to the statistics table of the population in
Vietnam, the age group from 15 to 65 make up the majority of the total. It
contains busy moms, the elderly, and students, who don’t have time that
cooking for family or preparing a meal. An oil-free fryer is the best
solution.
Competitors: Oil-free fryer becomes more
popular and trend due to the effectiveness
of the product. A lot of brands were
created that compete with Philips such as
Lock&Lock, and Tefal.

Brand Awareness: As YouGov, Philips is rated by its fans, the 4th most Economic: The price is more expensive
popular home appliances firm and the 2nd most famous. than other competitors due to the brand’s
fame. For some low-income people,
Economic: The cost of the product is separate from low to high that is Philips won’t a reasonable item. They can
satisfying for the needs of the customers. Philips usually creates many choose other brands which have the
airfryers, they make customers could have some choices that buy their durability of the product and affordable
product. prices

Media Public: Philips has a channel on Youtube titled: “Philips

Superchef” with more than 330,000 subscribers and its home living page
on Facebook.

Political: Competitors can’t know about the amount of the consumer as

well as suppliers, because Philips didn’t provide the local information on
the internet.

IV. STDP
1. Segmentation

Demographic Psychographic Behavioural Geographic

Segment
Characteristics Characteristics Characteristics Characteristics

8
Housewives - Age: 25 – 55 - Personality: More mature,
realistic reponsible and
- Income: Medium - careful.
high.
- Lifestyle: Balance
- Family size: friendship and relationships,
Economic family. attached emotionally and
physically to family.
- Marriage status:
Married. - Social class: Unidentified.
- Gender: Female. - Interest: Have great
interests in food shopping
- Education: Varies. and cooking, preparation
activities
Chefs - Age: 18 – 55 - Peronality: Enterprising
and artistic, creative and
- Income: Medium - passionate.
high.
- Lifestyle: Busy with work,
- Marriage status: focus on career, well –
Single / Married. organized, dedicated.
- Gender: Both male - Social class: Middle
and female. class.
- User rate: Heavy Urban cities.
users.
- Benefit sought:
Healthy menu and
dishes, superious design
and experience new way
of cooking.
- User status: Regular
users.
- User rate: Heavy Urban cities.
users.
- Benefit sought:
Cooking delicious and
fast dishes.
- User status: Potential.

- Education: Varies. - Interest: Like work

activities, pratical, hands –
on problems and solutions,
prefer to work outside.

Office - Age: 24 – 55 - Personality: Dedicated to - User rate: Medium Urban cities.

workers work, flexible, proactive, users.
- Income: Medium - independent, open –
high. minded, well organized. - Benifit sought:
Experience a new
- Marriage status: - Lifestyle: Busy, usually healthy and modern way
Single / Married. work indoor, prefer fast and of cooking with just a
easy made food. little time to prep.
- Gender: Both male
and female. - Social class: Middle - User status: Potential.
class.
- Education:
University, Graduated. - Interest: Cultivated
senses, needs for upsacle,
high – quality products,
services.

9
 2. Targeting
“The target market of Phillips is wide and it differs in age, culture, status, etc. With products ranging
from home appliances to beauty appliances, medical instruments. Phillips targets consumers that are
not conservative and are not skeptics” (Bhasin 2019) (ref.38). “Phillips provides products in the market
in vast ranges and the product portfolio is designed to attract the attention to vast ranges of clients. The
product ranges are so extensive that almost everyone can be a potential consumer of Phillips and
mostly those people looking for reliable products’’ (Bhasin 2019) (ref.38). Due to these reasons, we
can be assured that the company has effectively adapt the diffrentiated targeting strategy by
recognizing distinctive needs from customers and offering various line of products to them.
“Philips Airfryer was launched in 2012, is a home appliance technology that cooks by circulating hot air
around the food. It is an innovative product by Philips which cook food with 80% less oil without
compromising the taste of food. Philips Airfryer is easy to use, clean and creates less smell than fryers”
(Agarwal 2016) (ref.39). “It uses less oil than conventional fryer and it can fry several foods like
Samosa, potato chips, fries, chicken, fish or Pastries. It is a technology for new generation who
believes in living and eating healthy. It decreases the risks of certain health related disease like
hypertension, diabetes, obesity, cardiovascular disease, etc’’ (Agarwal 2016) (ref.39). From all the
information and details given above. We can clearly see that the the modern Housewives segment is
the one which the product of Philips – the Airfryer is manly aimed at, having being the reason is that
they are the one who care a great deal about the health beings of their families and loved ones, they
also have a great intersts in the ways of cooking and how food is properly done. Like past house wives,
the modern-day housewives are usually responsible for meals. Having homemade meals together is
something that can really make a house a home.While there are some services available today that
were not available years ago to a family and society, like meal subscription boxes, it is still up to the
housewife to cook the food (How To Be A Good Housewife In The Modern Era 2020) (ref.40).
Moreover, house wives and home cookers would also be delighted to have such a convenient, modern,
affordable and easy - using device in their home. All the problems above can be solved with the help of
Philips Airfryer products.
Another segment could also be aimed at by the company is the Chefs, with the advanced technology,
flexibility and mobility offered by the Philips Airfryer. It can be a great tool in the hands of the
professional chefs all over the world considering the uses and abilities in hotels, coffee shops and
restaurants’s kitchen across the seas. According to Jess Dang - chef and founder of meal-planning
service Cook Smarts: “Fat drips from the bacon and out of the basket, so the bacon ends up leaner. It's
so much less messy and requires less supervision than other cooking methods." (Mitrokostas 2020)
(ref.41). Another proof from Yankel Polak - head chef at ButcherBox stated: ‘’It’s possible to cook a
delicious steak in an air fryer, rub the steak with a little olive oil and a generous amount of salt and
pepper before cooking. The olive oil helps it get a really good sear and the salt and pepper give a
simple, yet satisfying flavor." (Mitrokotas 2020) (ref.41). Those are the evidence that the airfryer could
sastisfy the needs of best professional chefs in the world. By also giving attention this segment, it would
make the market of the product larger which would allow more revenue and then profits will follow after.
Because after all, chefs are the one who have the biggest interests in cooking and preparing dishes.
3. Differentiation:
Product differentiation

As a distinct appliance home brand for "innovation and you", Philips consistently emphasizes the
convenience and quality of its product line through constantly advancing Airfryer versions including
Daily Airfryer HD9218/51, Premium Airfryer HD 9745/90, and premium Airfryer XXL HD9860/99. They

10
use the new Twin Turbostart Technology that is a monopoly with the ability to speed up the cooking
process at home and heat up to 80% fat to avoid disease risks like diabetes and obesity (Philips, n.d)
(ref.42). According to feedback from Vietnamese customers on Philips page and dienmayxanh (ref.43),
the Philips Airfryer has mostly rated 5 stars due to high quality and extra functions such as filters the
smoke to avoid smelling and dust on the wall, adjustable timer for busy people, and multiple options for
daily healthy cooking with an extremely low amount of fat. Compared with many home appliance
brands, Philips stood out with extremely good durability for a long time and a special design with a
digital adjustment screen, which makes product differentiation for their brands. (Kichengeek, 2021)
(ref.44)

Image differentiation: 
To increase the image of the high quality of Airfryers to Vietnamese customers, Philips increased the
visibility of Airfryers on social media like Facebook, youtube and has videos to review the benefits of
daily healthy cooking. Moreover, Philips collaborates with Moblaze and Inmobi to run special ads about
premium products on mobile devices of core customer groups, which stimulates the curiosity to clink on
Philips's websites (Advertising, Campaign Asia,2019) (ref.45). This digital advertising campaign
increases brand awareness and interest, allowing Philips to outperform domestic home appliance
competitors and become a popular product for high-end customers.
A special campaign that makes a good impression on customers is the introduction of a new logo for
green products to help customers realize environmentally friendly products such as using green energy
or having sustainable materials (Philips,n.d) (ref.46). Philips also collects old products for recycling or
upgrading to increase the product lifecycle and decrease the garbage. The new slogan "Innovation and
you" makes customers happy by emphasizing continuous innovation to satisfy customers and make life
better. (Parsons Russell, Marketingweek, 2013) (ref.47)
4. Position

11
 - Posiontion map: Philips has a fairly high price range of approximately 2.5 to 12 million for each
type, which is significantly higher than the rest of the brands. However, that price is a guarantee
for product durability in the long run, including good bearing capacity, difficulty to distort, and
does not peel off the paint. Ninja and Dash Deluxe also have high prices of about 2 to 10 million
while Gowise is lower (2 to 6 million) and some of them had problems with the durable through
reviews of customers. Some examples: Gowise has an affordable price but easily peels off and
loses its no-stick coating after several uses (liveeatlearn, 2021) (ref.48), Dash deluxe may be
scratched, distorted upon impact and may cause an explosion if used for too long (cnet ,2021)
(ref.49), Ninja has noise when cooking and plastic smells (cnet, 2021) (ref.49).
 
- Value proposition: Based on data in the map below, the value proposition of Philips Airfryer is
more for more, which means more durability for more cost. Philips has always been trusted for
its long-term durability due to the use of sustainable materials and meeting the needs of its
customers. Therefore, Philips Airfryer is always located in every Vietnamese kitchen for healthy
cooking, although the price is quite high.
 

V. CONCLUSION
To conclude, Philips has earned their reputation as well as brand awareness in the Vietnamese market
by proving its high quality products and executing marketing strategies that target the right segment of
customers. Philips successfully used their unique brand’s features which include environmentally
friendly manufacturing processes and top quality products. Having been in Vietnamese market for
almost 20 years, Philips’ marketing strategy reflects their experience in this potential market. Philips
has always survived through any market fluctuations by listening to customers’ feedback and
improvising their products to keep up with the changing. Challenges are inevitable for Philips as their
competitors, such as, LG, Electrolux, Bosch, Lock&Lock,... have also proven their position and will
continue to expand in this market.
VI. REFERENCES
Introduction

(1) 2021. Innovating to address global health challenges. Annual Report 2020. pp.
https://www.philips.com/a-w/about/news/archive/standard/news/press/2021/20210223-
philips-publishes-its-annual-report-2020.html

(2) Philips. n.d. “Our history | Philips” <https://www.philips.com/a-w/about/our-history.html>

[Accessed 9 April 2021].

(3) Philips. n.d. “Vision & mission - About Philips Research - Research | Philips”
<https://www.philips.com/a-w/research/vision-and-mission.html> [Accessed 9 April 2021].

(4) Philips. n.d. “Frans van Houten, Chief Executive Officer, Royal Philips’’
<https://www.philips.com/a-w/about/executive-committee/frans-van-houten.html> [Accessed
9 April 2021].

12
 (5) Philips. n.d. “Buy the Philips Premium Airfryer XXL HD9650/96 Airfryer XXL’’
<https://www.usa.philips.com/c-p/HD9650_96/premium#see-all-benefits> [Accessed 11 April
2021].

(6) Campaign Asia. 2019. “How Philips got CTRs 5X the average from a hard-to-reach premium
audience in Vietnam | Advertising | Campaign Asia”
<https://www.campaignasia.com/article/how-philips-got-ctrs-5x-the-average-from-a-hard-to-
reach-premium-audience-in-viet/454862?fbclid=IwAR1VaNFRu8N-
uLoQ_6Ly6e3ME1B0Aojb1k0CuKZkFTCSgmzvXql8pXcnhNo> [Accessed 13 April 2021].

(7) Do, N 2019, “Winning Tết in Vietnam: 3 Lessons Marketers Can Learn from award-winning
Campaigns,” Think with Google, viewed 17 April 2021,
<https://www.thinkwithgoogle.com/intl/en-apac/marketing-strategies/video/winning-t%E1%BA
%BFt-in-vietnam-3-lessons-marketers-can-learn-from-award-winning-campaigns/>

MicroEnvironment

(8) Philips. 2021. “Hồ sơ công ty | Philips’’ <https://www.philips.com.vn/a-w/about-

philips/company-profile.html> [Accessed 11 April 2021].

(9) Philips.com. 2017 < https://www.philips.com/c-dam/corporate/about-

philips/company/suppliers/supplier-sustainability/policies/2017_Royal%20Philips%20Top
%2050%20Disclosed%20Suppliers%20List%20FY2016.pdf> [Accessed 13 April 2021].

(10) “MarketLine Company Profile: Philips Healthcare 2021, Philips Healthcare MarketLine
Company Profile, 12 January, pp. 1–36”, viewed 18 April 2021,
<http://search.ebscohost.com.ezproxy.lib.rmit.edu.au/login.aspx?
direct=true&db=bth&AN=149072605&site=ehost-live>

(11) “Bhasin, H., 2019. Marketing Strategy Of Philips - Philips Marketing Strategy.”

https://www.marketing91.com/marketing-strategy-of-philips/#:~:text=Marketing%20strategy
%20Phillips-,Segmentation%3A,the%20rural%20market%20of%20India.&text=Phillips
%20provides%20products%20in%20the,to%20vast%20ranges%20of%20clients.> [Accessed
13 April 2021].

(12) Kitchen Weapon. 2021. A Brief History Of The Airfryer - Kitchen Weapon.
<https://kitchenweapon.com/a-brief-history-of-the-airfryer/?
fbclid=IwAR2Xba4XQfzfyHxQTMZQcGNHmxBWLe5lfdV30fHptsOpod6uWuSyr7-JLSw>
[Accessed 18 April 2021].

(13) “Locknlock.com. n.d. Global Corporation | GLOBAL LOCK&LOCK | LOCK&LOCK.”

<https://www.locknlock.com/eng/Foreign/index/Vietnam%20Corporation> [Accessed 13 April
2021].

13
 (14) “Vietnamnews.vn. 2017. LOCKLOCK wins consumers’ trust yet again.”
<https://vietnamnews.vn/economy/419290/locklock-wins-consumers-trust-yet-again.html>
[Accessed 13 April 2021].

MacroEnvironment

(15) Rakesh Kumar 2018, “Impact of Demographic Factors on Consumer Behaviour - A

Consumer Behaviour Survey in Himachal Pradesh,” Global Journal of Enterprise Information
System, vol. 6, no. 2, pp. 35–47, viewed 17 April 2021,
<http://www.informaticsjournals.com/index.php/gjeis/article/view/3084>

(16) “Vietnam: total population 2020” 2021, Statista, viewed 17 April 2021,
<https://www.statista.com/statistics/1223284/vietnam-total-population/>.

(17) Statista Research Department 2021, “Vietnam: urban population 2017 | Statistic,”
Statista, viewed <https://www.statista.com/statistics/603397/vietnam-urban-population/>.

(18) Lee, YN 2021, “This is Asia’s top-performing economy in the Covid pandemic — it’s not
China,” CNBC, viewed 17 April 2021, <https://www.cnbc.com/2021/01/28/vietnam-is-asias-
top-performing-economy-in-2020-amid-covid-pandemic.html#:~:text=Vietnam%20is%20likely
%20the%20top>.

(19) “Overview” 2021, World Bank, viewed 17 April 2021,

<https://www.worldbank.org/en/country/vietnam/overview#1>.

(20) Statista Research Department 2021b, “Vietnam: private consumption expenditure 2020,”
Statista, viewed 17 April 2021, <https://www.statista.com/statistics/233161/total-consumer-
spending-in-vietnam/#:~:text=Private%20consumption%20expenditure%20in%20Vietnam
%202013%2D2020&text=In%202020%2C%20Vietnam>.

(21) Shira, D 2019, “Vietnam’s Free Trade Agreements - Opportunities for Your Business,”
Vietnam Briefing News, viewed 17 April 2021, <https://www.vietnam-
briefing.com/news/vietnam-free-trade-agreements-opportunities-for-your-business.html/>.

(22) Ha Thi, D 2020, “Some key points of Vietnam’s new Investment Law,”
vietnamlawmagazine.vn, viewed 17 April 2021, <https://vietnamlawmagazine.vn/some-key-
points-of-vietnams-new-investment-law-27361.html>.

(23) Philips “Sustainability - About,” Philips, viewed 17 April 2021,

<https://www.philips.com/a-w/about/sustainability.html>.

(24) Hai, D 2021, “Are Vietnam’s e-commerce platforms inferior to foreign competitors?,”
VietNamNet, viewed 17 April 2021, <https://vietnamnet.vn/en/feature/are-vietnam-s-e-
commerce-platforms-inferior-to-foreign-competitors-717497.html>.

14
 (25) Deloitte 2020, The Vietnam Consumer Survey An accelerating momentum, viewed 17
April 2021, <https://www2.deloitte.com/content/dam/Deloitte/sg/Documents/consumer-
business/sea-cb-vietnam-consumer-survey-2020.pdf>.

(26) Pham, HC 2015, “The Western brands in the minds of Vietnamese consumers,” Emerald
Insight, viewed 17 April 2021, <https://www.emerald.com/insight/content/doi/10.1108/JCM-
09-2014-1159/full/html?skipTracking=true>.

(27) Statista Research Department. 2020. Topic: E-commerce in Vietnam.

<https://www.statista.com/topics/5321/e-commerce-in-vietnam/> [Accessed 18 April 2021].

(28) Statista Research Department. 2020. Vietnam: number of internet users 2023
<https://www.statista.com/statistics/369732/internet-users-vietnam/> [Accessed 18 April
2021].

(29) vietnamnews.vn. 2018. Vietnamese people spend much of their time online
<https://vietnamnews.vn/economy/481777/vietnamese-people-spend-much-of-their-time-
online.htm> [Accessed 18 April 2021].

SWOT

(30) Philips. n.d. Airfryer. Oil less frying with air | Philips. <https://www.usa.philips.com/c-m-
ho/cooking1/airfryer-top> [Accessed 9 April 2021].

(31) Which?. 2021. Philips Airfryer vs Tefal Actifry - which one should you buy?.
<https://www.which.co.uk/reviews/air-fryers/article/philips-airfryer-vs-tefal-actifry-which-one-
should-you-buy-aLVyo0N2eBJv> [Accessed 9 April 2021].

(32) Proscenic.com. 2021. Reviews＆Price of 2021: Cosori vs. Philips air fryers.

<https://www.proscenic.com/blog/-b1495.html> [Accessed 9 April 2021].

(33) Medicalnewstoday.com. n.d. Are air fryers healthy? Benefits and risks.

<https://www.medicalnewstoday.com/articles/324849#adverse-effects> [Accessed 12 April
2021].

(34) Home Kitchen Fryer. n.d. 10 Benefits Of Air Frying • Home Kitchen Fryer
<https://homekitchenfryer.com/benefits-of-air-frying/> [Accessed 12 April 2021].

(35) Yougov.co.uk,nd. Philips. <https://yougov.co.uk/topics/utilities/explore/brand/Philips>

[Accessed 12 April 2021].

(36) Danso.org. 2021. Dan so viet nam. < https://danso.org/viet-nam/> [Accessed 13 April
2021]..
(37) Dan so va tong dieu tra dan so.
<https://vietnam.opendevelopmentmekong.net/vi/topics/vietnams-population-and-census>
[Accessed 13 April 2021].

15
Segmentation + Targeting

(38) Bhasin, H., 2019. Marketing Strategy Of Philips - Philips Marketing Strategy.

<https://www.marketing91.com/marketing-strategy-of-philips/> [Accessed 9 April 2021].

(39) Agarwal, M., 2016. How Philips Promoted Its New Launched Airfryer On Digital Platform.
[online] Digital Vidya. Available at: <https://www.digitalvidya.com/blog/how-philips-promoted-
its-new-launched-airfryer-on-digital-platform/> [Accessed 9 April 2021].

(40) Regain.us. 2020. How To Be A Good Housewife In The Modern Era | ReGain. [online]
Available at: <https://www.regain.us/advice/how-to/how-to-be-a-good-housewife-in-the-
modern-era/> [Accessed 13 April 2021].

(41) Mitrokostas, S., 2020. Chefs share 16 of the best foods to make in an air fryer. [online]
Insider. Available at: <https://www.insider.com/best-things-to-cook-in-air-fryer-according-to-
chefs> [Accessed 16 April 2021].

Differentiation + Positioning

(42) Philips. 2021, Airfryer, viewed 17 April 2021,< https://www.philips.com.ph/c-m-

ho/cooking/airfryer-top > Philips.2021, premium airfryer XXL, viewed 16 April
2021,<https://www.philips.com.sg/c-p/HD9860_91/premium-airfryer-xxl>

(43) Dienmayxanh.com.2021, “Nồi chiên không dầu Philips HD9200/90 2.4 lít “, viewed 16
April 2021,< https://www.dienmayxanh.com/noi-chien-khong-dau/philips-hd9200-90-24-lit>

(44) Kitchengeek. 2021, Philips Airfryer Review – Healthy and Tasty Food in a Seconds!,
viewed 16 April 2021,<https://kitchengeek.com/philips-airfryer-review/>

(45) Campaign Asia. 2021. ‘How Philips got CTRs 5X the average from a hard-to-reach
premium audience in Vietnam’ | Advertising | Campaign Asia, viewed 10 April
2021,<https://www.campaignasia.com/article/how-philips-got-ctrs-5x-the-average-from-a-
hard-to-reach-premium-audience-in-viet/454862?
fbclid=IwAR2Vm9JB218BTI8yIbpzcXbWPngTE6sa8q9BMuMieINZAj7VMwhVCG3ZhzY>

(46) Philip.com.2021,’sustanable innovation by design’,viewed 10 April 2021,<

https://www.philips.com/a-w/about/sustainability/ecodesign.html>

(47) Parsons Rusell, 13 Nov 2013, ‘Philips introduces ‘innovation and you’ strap in marketing
overhaul’, viewed 10 April 2021, <https://www.marketingweek.com/philips-introduces-
innovation-and-you-strap-in-marketing-overhaul/?
fbclid=IwAR15NVBBBKYntFQQDT12sMScX6GXhxtQWWi6u4rRy3Hu2F0DZWg5_1Ch63s>

16
 (48) Sarah, 08 Jan 2021,’Best Air Fryers of 2021’, liveeatlearn,<
https://www.liveeatlearn.com/best-air-fryers/?
fbclid=IwAR1ln899QFQCRhcXygKa8t6AIyUFjLOQSzUVDg1xNKXEuQCVxWo_SCY9G1U>

(49) Brian Bennett,17 March 2021,‘Best air fryer for 2021: Ninja, Philips, Dash,
Cosori and more’, cnet,< https://www.cnet.com/home/kitchen-and-household/best-air-fryer/?
fbclid=IwAR2AU73W-OVb_JLMkHE5DJMmnrPjo9ioc0sqAy8DcdlbdjaaWJRc4zc5-wU>

VII. APPENDICES:

Appendice 1 (https://www.nguyenkim.com/noi-chien-khong-dau-philips-4.5-lit-hd9745.html)

Appendice 2 (https://shopee.vn/search?
keyword=philips%20airfryer)

17
Appendice 3 (https://www.philips.com.vn/c-p/HD9650_91/premium-airfryer-xxl)

Appendice 4 (https://shopee.vn/-M%C3%A3-ELRE1TR-gi%E1%BA%A3m-6-%C4%91%C6%A1n-
200K-N%E1%BB%93i-chi%C3%AAn-kh%C3%B4ng-d%E1%BA%A7u-Philips-HD9218-4.5L-H
%C3%A0ng-ch%C3%ADnh-h%C3%A3ng-i.284593651.4962652077)

18
Appendice 5 (https://www.statista.com/statistics/1223284/vietnam-total-population/)

19
 Figure 1. Total population in Vietnam from 2017 to 2020 (in millions)

Appendice 6 (https://www.statista.com/statistics/233161/total-consumer-spending-in-
vietnam/#:~:text=Private%20consumption%20expenditure%20in%20Vietnam
%202013%2D2020&text=In%202020%2C%20Vietnam)

Figure 2.
Private consumption expenditure in Vietnam from 2013 to 2020

Appendice 7

20
Appendice 8 (New logo of Philips for green product)

Appendice 9 (Some fearture of Airfryer Philips vesions)

21
Appendice 10 (https://www.youtube.com/watch?
v=sbUT5HUzj_g&list=RDCMUCgZneuDnLKItwzVkXLI_rUA&index=3)

22