from vietnam to the world - can viet brands make it?
TRANSCRIPT
FROM VIETNAM TO THE WORLD CAN VIET BRANDS MAKE IT?
Phi Nguyen
August 2014
CONTENT
THE INFLATED VIEW
THE HARD TRUTH
REALITY
THE WAY FORWARD?
THE INFLATED VIEW
4
THE TRUTH - VIETNAM IN REGIONAL CONTEXT
Global
• It also makes Vietnamese brands less competitive with other brands that were to
enter Vietnam in the future.
0%
20%
40%
60%
80%
100%
Malaysia Singapore Indonesia Philippines Thailand Vietnam GLOBAL
50% 58%
32%
47% 46%
75%
50%
7%
5%
1%
2% 3%
2%
8% 3%
5%
2%
3% 2%
1%
10%
40% 32%
65%
48% 49%
23% 32%
"UNDISCLOSED VALUE" DISCLOSED GOODWILL DISCLOSED INTANGIBLE ASSETS (exc GOODWILL) TANGIBLE NET ASSETS
• Vietnam’s composition of enterprise value is NOT in line with the global average.
• Vietnam has a very high % of tangible value making it the least intangibles or least
brand driven market in the ASEAN region.
• This is extremely worrying for the Vietnamese brands as it hugely limits their ability
to compete in the region.
5
TOP 10 VIET BRANDS
Rank
2014Brand
Brand Value
2014
Brand Rating
2014
Enterprise
Value
Brand Value
/ Enterprise
Value (%)
1 Viet Nam Dairy P 637 A+ 5,111 12%
2 Fpt 193 A 685 28%
3 VietinBank 117 A+ 2,947 4%
4 Viettel Telecom 95 A N/A N/A
5 JSC Bank CenterCredit 80 A+ 2,943 3%
6 Vinaphone 44 A- N/A N/A
7 Military Commerc 41 A+ 672 6%
8 Sacombank 38 A 915 4%
9 Mobifone 32 A- N/A N/A
10 Asia Commercial 31 A 681 5%
• The brands are relatively weak in Brand Strength. A+ is
the highest brand rating
Date of valuation “ 31st December 2013”
• The Brand values are not very high. Outside the top 3, the
rest are all under US$100mil.
6
VIETNAM DIARY PRODUCTS
Brands Value 2014
631 Enterprise Value
5,111
12%
7
FPT
Brands Value 2014
193 Enterprise Value
685
28%
8
VIETINBANK
Brands Value 2014
117 Enterprise Value
2,945
4%
9
VIETTEL TELECOM
Brands Value 2014
95 Enterprise Value
N/A
N/A
10
VIETCOMBANK
Brands Value 2014
80 Enterprise Value
2,943
3%
11
VINAPHONE
Brands Value 2014
44 Enterprise Value
N/A
N/A
12
MILITARY COMMERCIAL
Brands Value 2014
41 Enterprise Value
672
6%
13
SACOMBANK
Brands Value 2014
38 Enterprise Value
915
4%
14
MOBIFONE
Brands Value 2014
32 Enterprise Value
N/A
N/A
15
ASIA COMMERCIAL
Brands Value 2014
31 Enterprise Value
681
5%
FOOD FOR THOUGHT…
$78.7bil
$2.2bil
$424mil
$348mil
$3.1bil
$104.6bil
REALITY
STRENGTH • DISTRIBUTION
WEAKNESSES • PRODUCT
• PRICE
• PROMOTION
• SOURCE OF FINANCE
• CORPORATE GOVERNANCE
• TECHNOLOGY
• R&D
• MANPOWER
WHERE TO FROM HERE?
FTAs TPP
WTO
Health Check Vision &
Purpose
Business
Objectives &
Strategy
Organizational &
People Strategy
70% fail in the transformation process, 85% of which due to leadership John P. Kotter - Havard Business Review
TRANSFORMATION OR…?
FROM VIETNAM TO THE WORLD CAN VIET BRANDS MAKE IT?
SOME ARE ON THE WAY!
OTHERS? SERIOUSLY! ONLY THE
OWNERS KNOW!!!
