Brand analysis1.Portfolio analysis (BCG analysis)1.1 StarsThe biggest Star of Vinamilk is Liquid Milk products including fresh milk and drinking yogurt. This is the largest product line of the company as it contributed 34.6% of total sales. Its market share in the domestic market is very high at 55.4%. Meanwhile, although it has appeared in Vietnamese market for a long time, the growth rate of this segment is still very high at 47.8%. The competition is quite intensive mainly from domestic competitors and some imported brands. Powdered milk and infant cereals of Vinamilk are also considered Stars by the company. This product line consists of several brands such as Dielac (powdered milk for various age groups) and Ridielac (cereal). These are the key products for export, especially to the Middle East. According to the Vinamilks annual report of 2009, these products have contributed 20% to the local sales. The growth rate of this product line was also very high at 32.5% compared to the year 2008. However, it is facing fierce competition from imported product and heavy investment is required.1.2 Cash cowsCondensed milk has been the companys traditional product since its launching in 1976. Until now it is still considered one of the companys leading brands. In 2009, with only two brands namely Longevity and Southern Star, this product contributed 25% to the companys local sales and it also grew at the rate of 13.3% compared to 2008. The growth rate of this product line is decreasing according to the development strategy of Vinamilk.1.3 Question marksThe first product group in this category is Vinamilks yogurt, ice-cream and cheese. In 2009, this group contributed only 17.2% to the companys local sales. However, this group is regarded by the executive board of the company as high potential after taking into account the Vinamilks dominant position in domestic market and the groups high growth rate of 51.7% compared to 2008. The second product group that should be regarded as question mark is group fruit juice and soy-bean milk. In 2009 this group contributed a small portion to the companys revenues but it is still considered to be one of the companys future products.1.4 DogsIn 2008, Vinamilk invested 2 million dollars for the promotion of Moment Coffee. The promotion campaign was further strengthen with a contract with Arsenal- a famous English football club- to use its logo and images of players. However, despite heavy investments, this coffee brand remained unsuccessful and production was eventually stopped 2009. 2. Current marketing strategy2.1 Product marketing strategyVinamilk is one of the most successful companies in Vietnam in terms of product strategy. First, the company invested heavily on improving the packaging so that it would be more appeal to customers. This cost was about 10% of the companys total cost. However, according to Mr Tran Bao Minh Vice President of Vinamilk, this change helped increasing sales significantly right after its launching (Chau, 2007).Secondly, Vinamilk has continuously improved the quality of their products. The company is applying the ISO 9001:2000 quality control system. It also cooperated with National Institute of Nutrition to guarantee the safety of its products for customers.Thirdly, the company also launch a lot of new products to meet the increasing demand. For example, when realizing the concerns of obesity in the society, the company quickly launched a new brand of low-fat milk named Flex and this product has received very warm welcome from the public. The company also tried to launch some others product such as beer and coffee but they were not successful. For coffee, after the failure of Moment Coffee, a new brand of coffee named Vinamilk Coffee was launched in its place to take advantage of the plants and equipments (Minh,2009). The company hopes that they can use their strong reputation and distribution system to establish a strong position for this brand.2.2 Pricing strategyAlthough the price of materials was decreasing, most of the milk companies increased its price from 7-15%. However, Vinamilk regarded the demand in Vietnam as weak and kept their low price level. This strategy keeps the consistency of the companys price policy. Meanwhile, the company also tries to reduce the cost for materials by changing the price according to seasons and the current world market situation. 2.3 PlacementVinamilk distributes its product through a system of agency. The company has some certain priorities to their agencies. However, if the contracts are violated by them, the company will reject them as illustrations for other agencies.With good administration strategies, Vinamilk has been able to develop to wide network of agencies throughout the country. For example in the North of Vietnam, each province has its own agency, some provinces even has 7 agencies of Vinamilk. The company also has a large system of more than 140,000 shops and more than 80% of the companys product is distributed through this channel.2.4 PromotionThe company has made good use of advertising as an effective promotion tool. Their commercials are becoming more and more professional. They used cartoon cows and music to illustrate the core values of the company which is very effective. The advertisement was very popular and memorized by many of its customers. Vinamilk also launched various PR events. To continue their tradition of contributing to the society, the company spent 17 billion VND on charity, including bringing 6 million cups of milk for poor children. In 2008, it also spent 3.1 billion on the companys scholarship for outstanding pupils for the sixth consecutive year.

Referencewww.vinamilk.com http://nld.com.vn/209909P0C1014/bao-bi-nganh-kinh-doanh-trieu-do.htm