Topic: Marketing strategy of Unilever Vietnam

Topic: Marketing strategy of Unilever Vietnam

NOW

1.1 Unilever Corporation

- Unilever is one of the world’s leading fast-moving consumer goods companies

During the second half of the 20th century, the company increasingly diversified from being a maker of products made of oils and fats, and expanded its operations worldwide.

Part 1: The general overview of Unilever

1.1 Unilever Corporation

1.2 Unilever Viet Nam

Part 2: Marketing strategy of Unilever Vietnam

2.1 SWOT analysis

2.2 Marketing strategies of Unilever Vietnam

“Helping people to look good, feel good and get more out of life”

_the vision of Unilever Corporation_

HISTORY OF UNILEVER

- 1929: Lever Brothers, the operations of British soap maker, and Margarine Unie, a Dutch margarine producer, merged into one company, Unilever.

- More than 400 brands

- 14 brands with sales of over 1 billion euros

Promotion strategy

Production strategy

- Applies international quality to products to satisfy needs of Vietnamese customers

- Strongly invest in marketing and advertising activities

- Localizes products to adapt to Vietnamese customers’ perception

-Run termly discount or giving gift activity to boost product sale

Distribution Strategy

Pricing strategy

- Creates a countrywide distribution channels with more than 200,000 retailers

- Apply area sales come to retailers to introduce and sell products to retailers

- Provides retailers their own designed shelf cases to introduce Unilever’s products

- Reduces prices to adapt to customers’ income

- Localize its production system through using local suppliers’ services -> reduce cost to import raw materials

People strategy

- Through intensive training, there are many major position now is taken over by Vietnamese staff rather than foreign staff.

-Concerns about Corporate Social Responsibility (CSR)

Part 5 :

Unilever Vietnam’s marketing strategies

SWOT ANALYSIS

STRENGTHS

- A strong brand name.

- Stable financial condition and modern technology

WEAKNESSES

- Most of senior manager position is foreigner

- Some technology can’t applied in Vietnam because of high cost -> have to import -> expensive and not made full use of abundant labor resources in Vietnam.

- Some products are relatively expensive to compare with income of rural people and easily substituted.

Competitive price together with high quality products

Strong corporate cultural environment:dynamic, challenging, supportive, respectful and meaningful

Focus on relationship with

the public

Increasingly high competitiveness

UNV human resource policy:

+ Recruit and retain the best people

+ Provide employee with the necessary training and knowledge

+ Many initiatives to help individuals and teams strengthen their leader ship skills and take more

control of their own careers

- 60% had graduated university or obtained higher degrees

- 27 % are medium skilled workers.

- Average age: 33

2179 employees

744 employees

1995

2015

Effective “hunting people” policy

Michel Dallemagne, says:

- Unilever leads the ranking of the most chosen brand owners in Rural.

- The deepest market penetration - more than 99%

-Top 3 brands in both Health & Beauty and Homecare : P/S, Clear, Lifebuoy, Omo, Sunlight, Comfort

“Like all businesses, people are our best asset.”

Climate:

Commercial law:

Not suitable for products originating from Europe

Creates disadvantageous conditions for foreign investors (Tariff policy, high taxes)

P/S Protects Vietnamese smile

Geography:

Relatively favorable position

Domestic market:

variety of forms:

- Wholesale

- Retail

- Multilevel selling

- Door – to – door selling

2005

2010

Hand-washing with soap for a healthier Vietnam

1996

South-East Asia

Unilever Bestfoods was established

Human resources:

safety

Abundant young labours

environmental protection standards.

Cu Chi West-North Industry Zone

2005

1996s

2010

2009

1.2 Unilever VietNam

1995s

1997s

Opportunities

2009

1997

We established Elida P/S to expand the business into Oral Care Products.

OMO White Shirts for disadvantaged pupils

Grand Opening of Unilever Homebase

Foreign investment:

THREATS

Politics

Attracts lots of foreign investment, especially from transnational companies and multinationals (Unilever, Cocacola, Pepsico,…)

- Stable politics

- Freedom in religion and beliefs

=> Create advantageous conditions for the distributrion and advertising of products.

VISION

4 main areas:

- create a better future every day

- help people feel good, look good and get more out of life

-Health and Hygiene with Ministry of Health;

-Education and Children development with Ministry of Education & Training;

-Women Empowerment with Vietnam’s Women Union;

-Sustainable Tea Development with Ministry of Agriculture & Rural Development.

-inspire people to take small everyday actions that can add up to a big difference for the world.

-develop new ways of doing business

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