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BỘ GIÁO DỤC VÀ ĐÀO TẠO

TRƯỜNG ĐẠI HỌC KINH TẾ QUỐC DÂN


KHOA MARKETING


BÀI TẬP NHÓM


MÔN: Tiếng anh ngành marketing

Đề bài: Lập kế hoạch marketing cho sản phẩm


Sài Gòn Coffee Infused Beer của Sabeco

➢ Nhóm: 3
➢ Lớp học phần: Tiếng anh ngành
marketing 03
➢ Giảng viên : ThS. Đỗ Minh Diệp

Hà Nội – T11/2023
THÀNH VIÊN NHÓM 3 :

STT Tên MSV

1 Lê Hải Yến 11216369

2 Nguyễn Ngọc Khánh 11217259

3 Nguyễn Quang Đạt 11217232

4 Đào Văn Nam 11217276


MỤC LỤC

I. Introduction..................................................................................................1

II. Marketing environment ............................................................................2

1. The macro environment ............................................................................2

2. The micro environment ............................................................................5

3. SWOT .......................................................................................................6

III. The current issues of the business and future forecasts. ..........................8

IV. Product selection for marketing planning ................................................9

V. Segmentation- Targeting - Positioning ......................................................10

1. Market segmentation................................................................................10

2. Target Market (Saigon Coffee Infused Beer) ..........................................11

3. Positioning ...............................................................................................11

VI. Marketing strategy proposal ...................................................................12

1. Product ......................................................................................................12

2. Price ..........................................................................................................13

3. Place ..........................................................................................................14

4. Promotion..................................................................................................15

VII. Estimated budget ......................................................................................17


I. Introduction
Company full name: Saigon Beer – Alcohol – Beverage Corporation.
Company short name: SABECO
a, Overview
Saigon Beer is the leading brand name in the Vietnam beer industry with about
140 years of development. Saigon Beer is recognized as a National Brand and also
honored to be the 351st member in Berlin Beer Academy – one of the cradles of
global beer culture.
The unique taste of Saigon Beer is the inspiring taste combined with the spirit
of Saigonese’s generosity and the richness of the Southern land, making it an
indispensable part of everyday life.
At first “Bia Sài Gòn Nguyễn Chí Thanh” factory was a little and an old French
workshop since 1875 belonged to BGI Brewery. After the revolution of Southern
Vietnam, the factory was managed by the Southern Brewery Company and
renamed itself as BSG Factory in 1977 and then officially named as Saigon Beer
Company in 1993.
b, Vision-Mission
VISION 2025:
Develop SABECO to become the leading beverage group in Vietnam, having a
firm foothold in regional and international markets.
MISSION:
• Develop Vietnam’s beverage industry to keep pace with the world.
• Promote the culinary culture of Vietnamese people.
• Improve the quality of life by providing high quality, safe and healthy
beverages.
• Bring practical benefits to shareholders, customers, partners, employees and
society.
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• Satisfy and meet the needs of beverages under the international food safety
standards “Food hygiene and safety and environmental protection”.
• Fulfill obligations to the State on the basis of transparency in business.
• Actively participate in community activities.
• Ensure the development towards international integration.
Products catalog:

Beer BEVERAGE

• Bia Saigon Special • Soft drink Sarsaparilla


• Bia Saigon Lager • Soft drink with Orange flavor
• Bia Saigon Chill • Soft drink with Strawberry flavor
• Bia LacViet • Soft drink with Mint flavor
• Bia Saigon Export Premium • Cream Soda soft drink
• 333 • Soda soft drink
• Bia Saigon Gold • Nha Dam Non-gas beverage
• Chuong Duong bottled pure water

II. Marketing environment


1. The macro environment
a, Demographics
According to the deputy chief of the Health Strategy and Policy Institute under
the Ministry of Health, 80% of young people in Vietnam drink beer and alcohol,
with women accounting for 36%. Sabeco could take this opportunity to create some
special packaging and make drinks that can attract more women.

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Moreover, the percentage of the Vietnamese population that is well-educated
and professional has slightly increased. According to Euromonitor (2015), the
number of people who aged over 15 and reached tertiary education grew from 6.9%
to 7.3% in 2009- 2014 period. Therefore, more and more people know that drinking
too much beer affects their health badly as they can get certain cancers, liver and
heart diseases. As a result, more people tend to decrease the usage amount and
frequency, which may cause a fall in beer revenues.
b, Political environment
According to the policies of the Government of Vietnam, the tax rate for beer
had been 75%. In fact, only the drink that had been taxed while containers had not
been taxed yet. However, since 2010, some taxation rates have been applied to the
beer packages as well. The government has exempted bottle consumption from
taxes because bottles can be utilized again, while cans cannot. Therefore, bottled
beer has a lower price than that of canned beer. As a result, consumers may turn to
more bottled beer, thus boosting Sabeco’s beer revenues because bottled beer is its
main product.
On the other hand, since Vietnam has joined the WTO, Vietnam has to
compete with strong international companies such as Budweiser. This can result in
not only a decline in market share but also a rise in costs of advertisement.
However, WTO participation gives us more benefits as it can stimulate trade. It
removes trade barriers through negotiation, thus prices of things and production
cost can be decreased. This is good news for all businesses, including Sabeco.
c, Cultural environment
Vietnamese people have changed their habits of drinking alcoholic beverages.
In the past, they used to be more interested in home-made wine, but now they
convert to drink beer because of some specific causes such as health problems

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(alcohol rate in wine is more than in beer), quality and convenience. Therefore,
now beer drinking is a very common act in families in Vietnam.
Secondly, in some traditional holidays, particularly in Tet’s holiday, there is
a steep increase in beer utilization. It is estimated that drinkers used up 7.000
billion VND for buying beer in Tet’s holiday in 2009 (Mai Hai Au, 2015). These
holidays supply the company with chances to promote sales.
In today’s society, more people are interested in going to the bar or pub,
especially the young. According to The Statistics Portal (n.d), “about 42% of the
sales of the bar and nightclub industry is made up of beer and ale sales' '. This
interest also contributes to a growth in beer sales.
d, Technology environment
Nowadays, the evolution of the Internet has led to the increasing interactions
between companies and consumers because all of us can interact conveniently with
each other through this great invention. More people in Vietnam are using social
networking sites such as Facebook, Twitter and official websites of the companies
to look for important news and write personal feedback to the companies. There are
many businesses having famous online marketplaces which have quick
development in business deals. These websites are seen to be the business’s
important tools to get accessed with Vietnamese customers and boost sales. This is
an opportunity for Sabeco to join this online market to boost its revenues.
e, Economic environment
In Vietnam, the economy is on the way of improvement and it is becoming
integrated into the world economy. There was a significant increase in Vietnamese
employees’ income in the period of 2015- 2020. Based on the speech of Deputy
Minister of Planning and Investment Nguyen Thi Phuong (Vietnam net Bridge,
2015), the per capita income of the Vietnamese grew by 15% in the 2014-2015
period.
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The GDP per capita of Vietnamese has increased these years. Beer demand
also increases when people’ wages are higher since it is a convenience product. The
amount of money spent on beer is more likely to rise because of their better
salaries.

2. The micro environment


a, Competitor
One of the biggest challenges is the competition from foreign beer and wine
brands with strong financial potential and extensive experience. These companies
are continuing to invest heavily in marketing and sales activities to increase market
share. In addition there is also competition from local companies and fake products
on the market.
b, Customer
With over 300 beer factories, an output of over billion liters per year, and with
the presence of other world-famous beer brands… So the customers have many
choices. This has created huge competitive pressure for beer companies.
c, Marketing intermediaries
The retail market in Vietnam is growing strongly. Many large foreign brands
are investing heavily in Vietnam such as AEON mall, Lotte, Circle K,... In
addition, convenience stores are appearing more and more. That is an opportunity
for Sabeco to make beer more accessible to customers.
d, Suppliers
With main raw materials mainly imported from abroad, this is a quite big
weakness of SABECO. And having to pay additional import taxes, shipping costs...
also causes product prices to increase
e, Publics

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Faced with spending cuts this year, if there is need, customers will tend to
consume cheaper beer. This could be an opportunity for domestic companies such
as Habeco and Sabeco.
Vietnamese people's spending habits are on a decreased trend, and spending on
healthy products will increase after Covid 19. At the same time, Vietnamese
people's preference for foreign goods will also be a big challenge with beer
companies

3. SWOT
a, Strengths
• Long-standing brand (1875): Up to now, Sabeco has been in existence and
developed for over 148 years. It is considered the oldest brand pioneering in
the beer, alcohol, and beverage industry in Vietnam. Therefore, Sabeco has
captured the hearts of customers and affirmed the enduring power of a
traditional brand.
• Product diversity: Sabeco has long been trusted and known by consumers for
prominent brands such as Saigon Special, 333 Export, Saigon Export (Saigon
"red"), Saigon Lager (Saigon "green")... In particular, Sabeco continues to
diversify its product lines to cater to customer needs, introducing high-
alcohol beers for festivals or low-alcohol options to align with the general
trend in Vietnam…
• Large market share in the industry: According to a report by MBS, the four
major companies, Heineken, Sabeco, Carlsberg, and Habeco, accounted for a
staggering 94.4% of the Vietnamese beer market in 2021. Specifically,
Heineken and Sabeco alone held a combined market share of 78.3%,
dominating the other two companies.
b, Weaknesses
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• Distribution system: The distribution system of Sabeco is not strong in the
northern region of Vietnam, as it mainly focuses on the central and southern
regions.
• The communication campaigns have not been truly effective: In the third
quarter of 2022, Sabeco achieved a profit of nearly 5,500 billion Vietnamese
dong. However, in 2023, the business performance of Sabeco declined.This
indicates that the communication campaigns of Sabeco have not been truly
effective.
c, Opportunities
• The beer market in Vietnam is highly promising: Vietnam ranks second in
Southeast Asia and third in Asia in terms of average alcohol consumption per
capita (vtv.vn).
• Impact of tourism: The beer industry in general, and Sabeco specifically,
will continue to recover thanks to the opening of activities and the
government's encouragement of tourism. This will be a great opportunity to
stimulate consumption.
• Changes in customer consumption trends: Given the pressures of inflation
and reduced spending this year, customers may tend to consume cheaper
beer options if needed. This could be an opportunity for domestic enterprises
like Sabeco.
d, Threats
• Unstable laws and policies in Vietnam: The unpredictable legal and policy
environment in Vietnam can pose challenges for Sabeco in terms of planning
and decision-making.
• Increasing fuel prices and high delivery costs: Rising fuel prices can result
in higher transportation costs for Sabeco, impacting its overall expenses and
profitability.
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• Competition with international brands: Sabeco has to compete with well-
established international brands such as Budweiser, Heineken, and Carlsberg
in the Vietnamese market. This competition requires continuous efforts to
differentiate and market its products effectively.
• Natural disasters affecting raw materials: Natural disasters can have a
significant impact on the availability and quality of raw materials used in
beer production, which can disrupt Sabeco's supply chain and production
processes.
• Shifting consumer preferences towards healthier products: such as green
tea, bird's nest drinks, and fruit juices. This changing consumer preference
poses a challenge for Sabeco to adapt and diversify its product offerings to
cater to these trends.

III. The current issues of the business and future forecasts.


Sabeco is one of the long-standing and reputable brands in the Vietnamese
beer market. With over 148 years of establishment and development, Sabeco has
affirmed the endurance of a traditional brand in the beer industry in the S-shaped
country.
However, it is necessary to acknowledge that Sabeco still has several areas
that need improvement. Sabeco's distribution system has not been strongly
developed in the Northern region, focusing mainly on the Central and Southern
regions. Another issue to consider is the effectiveness of Sabeco's communication
campaigns. Despite investing in communication campaigns, Sabeco's profits have
declined.
Looking into the future, Sabeco still has potential for development. The beer
market in Vietnam is growing strongly and has significant potential. The recovery

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from the positive impact of tourism and changes in consumer trends can create new
opportunities for Sabeco.
Other companies in the beer industry are also diversifying their product
portfolios to expand the market, target different consumer groups, meet diverse
consumer needs, and increase brand recognition. The development of a unique
coffee-flavored beer product is also a potential opportunity for Sabeco.

IV. Product selection for marketing planning


The team has chosen Sabeco's new product launch (in August 2022): Saigon
Coffee-Infused beer.
Saigon beer proudly brings a unique and refreshing experience - Saigon
Coffee-Infused Beer. This beverage combines two familiar ingredients: carefully
selected coffee beans from the Central Highlands region and the legendary taste of
Saigon beer, which has been deeply rooted in the hearts of generations of
Vietnamese people as the "national beer" brand. For the first time in Vietnam, these
two sources of pride come together with the message of "Familiar in the beginning,
extraordinary in the end."

Reasons for the selection:


• This product is a unique combination of two of the most popular drinks in
Vietnam: beer and coffee. New and different products often attract attention
and curiosity from customers, increasing the ability to access new markets
and attract potential customers.
• Moreover, with the development of coffee culture and the popularity of
diverse beer types, this product targets a diverse customer base, including
modern young consumers and those who love new experiences.

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• This is still a relatively new product with limited marketing activities to
attract the target customers.

V. Segmentation- Targeting - Positioning


1. Market segmentation
Vietnam is currently a young country with about 33 million people aged 20-
40 - The age with the highest percentage of beer consumption. Vietnam's
beer production is expected to grow by 12-13% per year in the coming years.
Including the shift from cheap beer to mid-range beer due to increased
income
There are two type of segmentations
• Geographic segmentation: city and countryside
• Demographic segmentation ( income + age)

Income Original beer segment the working class at an affordable price

Canned and bottled focus on the middle class


beer

premium beer (The at a relatively high price: focus on the upper -


smallest segment) middle class

Age 15 - 22 people who go to school, just started drinking


beer, so they can't drink much

22 - 59 who in working- age, they need establish the


relationships so they drink more often

beyond 49 The frequency of drinking beer decreased

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significantly

2. Target Market (Saigon Coffee Infused Beer)


Geographic:
• Primarily focused on the South region (then expanding to other provinces).
• Targeting major cities with dense populations.
Demographic:
• Age: Mainly targeting individuals aged 20-35 (young adults).
• Gender: Mainly targeting males.
• Income: Moderately average (product price around 20,000 VND per can).
Psychographic:
• Energetic, passionate, and enthusiastic about exploring new experiences.
• Preference for the taste of coffee.
• Concerned with quality and brand.
Behavioral:
• Open to trying new and unique products.
• Frequent social gatherings with friends, family, or business negotiations and
transactions.
• Consumes both beer and coffee, making it easier to attract their interest and
purchase by combining both in one product.
• Influenced by social media activities and online reviews.
3. Positioning
When introducing this new product line (Saigon Coffee Infused Beer), Saigon
Beer believes that it will bring about innovation in the beer culture of Vietnamese
consumers.

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The uniqueness of this new beer line lies not only in its captivating flavor but
also in its youthful packaging design, combining red and black colors to
specifically target the current young generation - a dynamic, passionate, and
adventurous generation who are enthusiastic about exploring new experiences.
The brewing ingredients are carefully selected, including water, hops, barley,
grains, along with the natural coffee extracts sourced from the vast Tây Nguyên
region. All of these ingredients are produced using state-of-the-art technology to
deliver the highest quality products to consumers, while also reaffirming the
brand's stature and expertise in brewing beer, built over 147 years of development
in Vietnam.

VI. Marketing strategy proposal


Marketing objective
• Increase social media presence and raise overall brand awareness for Sabeco,
particularly for Saigon Coffee Infused Beer.
• Enhance the value and brand image of Sabeco.
• Become the top-of-mind brand for customers in the beer industry.
• Become the number one brand in terms of market share in the beer industry.
• Boost sales of Saigon Coffee Infused Beer and other products offered by
Sabeco.

1. Product
Product Description:Saigon Coffee Infused Beer - Saigon Coffee Flavor Beer
with high-quality malt and Robusta & Arabica coffee beans from the Central
Highlands of Vietnam as the main ingredients. A beverage that combines two very
familiar elements for the younger generation, now coming together in a unique beer
flavor that is available for the first time in Vietnam.
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Product Packaging: The packaging is designed with a youthful combination of
red and black, directly targeting today's young, dynamic, passionate generation who
enjoy exploring new and exciting things.

2. Price
SABECO has implemented a penetration pricing strategy for the Saigon
Coffee-Infused beer product.
Penetration pricing is a marketing strategy used by Sabeco to attract customers
to the Saigon Coffee-Infused beer product by offering a lower price compared to
the market in the initial sales phase. Specifically, the introductory price for the
Saigon Coffee-Infused Beer is only 119,000 Vietnamese dong per case.
Lower prices help Saigon Coffee-Infused beer penetrate the market and attract
customers away from competitors. The goal of the penetration pricing strategy is to
draw in customers to try the new product and secure a larger market share, with the
hope of retaining customers once prices return to normal.
The target audience for Saigon Coffee-Infused beer includes middle-class and
lower-income consumers. Therefore, the pricing of Saigon Coffee-Infused beer is

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set at an average level compared to competitive offerings. Currently, Saigon
Coffee-Infused beer is sold at an average retail price of approximately 19,500
Vietnamese dong per 330ml can, while a 12-pack of Saigon Coffee-Infused beer in
330ml cans is priced between 211,000 VND and 235,000 VND per case.

3. Place
a. Distribution Channel Structure:
The company classifies its retail customer system into two distinct groups to
provide appropriate care and support:
• Indirect Consumer Group: These are consumers who purchase the beer
products and take them elsewhere for consumption.
• Direct Consumer Group: These are consumers who directly consume the
beer products at the point of sale.
Specifically:
• Company agents
• Wholesalers: convenience stores, mini-supermarkets, and large water
distributor outlets.
• Retailers: the BIG C, COOPMART supermarket chains, small grocery
stores, and more.
Coverage Level:
• Currently, SABECO's distribution network spans across all three regions of
the country. The Saigon Beer Alcohol Beverage Corporation (SABECO) has
invested in establishing ten joint-stock trading companies in strategic
locations.
• Additionally, SABECO has placed its Saigon Coffee Infused Beer in various
supermarkets and convenience stores such as Mega Market, BigC, Vinmart,
Circle K, and traditional local grocery stores. This approach is aimed at
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reaching a wide range of customer segments and increasing its market
coverage.
b. Channel Flow Management:
• Firstly: For the product line, they implement a specific point-of-sale delivery
support to wholesalers.
• Secondly: They employ a system for tracking and ordering via the internet
and use technology to monitor distributor sales, enhancing professionalism
among channel members and the company.
• Thirdly: They closely monitor information related to price increases, support
programs, and market rumors to determine the appropriate course of action.
• Additionally, the company should utilize its website as the primary
electronic information portal and disseminate necessary information.

4. Promotion
Proposal for the IMC (Integrated Marketing Communications) strategy for the
Saigon Coffee Infused Beer product is as follows:
a. Insight:
• Truth: Male customers (aged 20 - 35) enjoy beer for socializing and
gatherings with family and friends.
• Tension: But they also have a habit of drinking coffee and appreciate the
flavor of coffee.
• Motivation:
• The desire to enjoy two beverages in one - to have a refreshing beer
while still experiencing the taste of coffee.
• A need for unique experiences and a fondness for novelty.

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b. Big Idea: "Saigon Coffee Infused Beer - Expanding the Boundaries of
Enjoyment"
b. Key Message: "Blending the flavors of coffee and beer, Saigon Coffee
Infused Beer brings a fresh and unique experience to beverage enthusiasts.
Explore the perfect combination of your two favorite drink worlds!"
b. Activity
Advertising:
• Advertising Objectives:
o Increase awareness of the company's product
o 60% of the target customers see the advertisement and have a
favorable impression
o The conversion rate from awareness, recall, liking, and purchase
behavior is 30%
• Television Advertising: Sabeco will air short advertisements on popular
television channels with a large viewership, such as VTV1, VTV3, with the
main message being "Expand your enjoyment limits, discover the perfect
blend of your favorite beverages!"
• Internet: The campaign can use popular social media platforms such as
Facebook, Instagram, Youtube, Twitter, Tiktok, to directly interact with
customers and publish posts, videos, and images about the product. This
helps create an online community interested in health and non-alcoholic
products, creating a unique interaction between the brand and customers.
• The Press: Sabeco can advertise its new products in newspapers with high
circulation and popularity such as Tuổi trẻ, Thanh niên, Tiếp thị gia đình,
Người lao động, Thể thao, Văn hóa...
Promotion:

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Lift-and-Win Program: For every customer aged 18 and above who uses
Saigon Coffee Infused Beer, there is a chance to win.
• 20 Grand Prizes: 01 iPhone 15 Pro 256GB each
• 5,000 Second Prizes: 200,000 VND each
• 20,000 Third Prizes: 100,000 VND each
• 1,300,000 Encouragement Prizes: 01 can of Saigon Coffee Infused
Beer 330ml each.

Special Discount Programs: Sabeco can introduce special discount


programs for customers buying their non-alcoholic beer products, such as
discounts when purchasing 6 bottles of beer or when buying beer along with
snacks, cookies, and other light foods. Additionally, Sabeco can offer
discounts for women on International Women's Day (March 8) or for office
workers on weekends.
Gifts: Sabeco can give free gifts to customers purchasing their non-
alcoholic beer products. Examples include porcelain mugs, hand towels, and
office-related items like water bottles, laptop bags, notebooks, sticky notes,
and tote bags.
Commission Rates Based on Sales During the Promotion Period
Product Samples

VII. Estimated budget


Estimated quantity: 30,000 cans in the last two months of 2023

Data (VNĐ)

Unit price 20 000

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Estimated revenue 600 000 000

Estimated profit 300 000 000

Marketing budget 60 000 000

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