Vinamilk's record 'overseas export' and the story of Vietnamese brand's fame abroad

Vietnamese brands shine in the world

According to the latest information Vinamilk has just announced, the company's export revenue reached VND1,740 billion in the second quarter of 2024, up 37% over the same period, helping Vinamilk record record revenue in the past two years. The international market contributed 18.5% of the consolidated revenue of Vietnam's largest dairy company in the second quarter.

A Vinamilk representative said that in the context of the world still being volatile, the company continuously improves its products and maintains close relationships with partners in key export markets. This is also the basis for the company's growth in the last four quarters.

Vinamilk milk is sold at supermarkets in Singapore (Illustration photo)

In addition to promoting traditional markets, Vinamilk is pursuing a new trend - supplying global chains. Specifically, in addition to the familiar markets of China and some Asian countries, the company is also actively bringing its products to many places in Oceania, Africa, South America, etc.

It is known that Vinamilk has been “bringing bells to strike foreign lands” for many years and has achieved positive results. Since 2016, Vinamilk has also been honored to become one of the first enterprises to be prioritized by the Ministry of Industry and Trade to self-certify the origin of goods – a very important step for enterprises to be proactive and shorten administrative procedures in export. Of course, to obtain this important “passport”, Vinamilk must prove its capacity with impressive export figures, as well as demonstrate its quality and reputation in the international market.

Along with Vinamilk, many Vietnamese products have affirmed their position and created a solid foothold in foreign markets thanks to successful brand building. The story of Trung Nguyen continuously expanding its distribution system in the most bustling cities in China and the United States has recently made many consumers proud of Vietnamese brands that are famous in foreign markets.

Or, on July 28, 2023, VinFast started construction of an electric car factory in the US, then listed on the US stock exchange as a publicly listed company with global stature, the Vietnamese brand with the largest capitalization value of more than 23 billion USD. This not only brings VinFast's brand to the world, but also brings the name of Vietnamese enterprises to friends around the world.

Entering the world with its own brand, it is impossible not to mention ST25 rice, which won first prize in the World's Best Rice 2019 contest and has gradually become popular with consumers in many places. In 2022, Tan Long Group will introduce ST25 rice products under the A An brand to the Japanese market. This is the first time a Vietnamese rice brand has successfully exported and distributed in the land of the rising sun, one of the markets with the highest quality standards in the world.

Persistent efforts

Of course, to achieve this result is not easy, but it is a strong and persistent investment of the enterprise for decades. According to Associate Professor, Dr. Nguyen Quoc Thinh - Head of Brand Management Department (University of Commerce), Chairman of the Advisory Board of the Institute for Brand Strategy and Competition Research, to build a Vietnamese product brand, there must be methodical steps and wise strategies. Products need to meet regulations and standards on environment, society, sustainable development, and at the same time be suitable for the culture, trends, and usage needs of the market.

Returning to the story of Vinamilk, this is a typical success story of understanding market requirements well and not being afraid to invest in sustainable development factors. Vinamilk representative shared that currently, most of Vinamilk's partners in developed market groups have mentioned requirements related to sustainable development and Vinamilk has made efforts to invest to meet these requirements.

For example, in New Zealand and Australia, where environmental requirements are high, Vinamilk aims to have all products exported to these two markets using HDPE packaging (easily recyclable packaging) by 2025. Currently, products exported to New Zealand and Australia do not have plastic straws and have easier-to-open lids to reduce plastic waste in the environment.

The early recognition and assessment of the importance of sustainable development factors has helped Vinamilk achieve relatively positive initial results. The Australian market has seen sales growth of more than 10% per year, Vinamilk's products are being distributed in major supermarket chains: Costco, Woolworths, Coles, Aldi, Foodstuff... and there are continuous projects to develop new products for this market.

According to the Global Food and Beverage Report 2023, recently announced by Brand Finance, Vinamilk is the only representative of Southeast Asia in the top 5 most sustainable dairy brands globally (according to the Sustainability Perceived Value index - SPV).

Mr. Ngo Chung Khanh - Deputy Director of the Multilateral Trade Policy Department - Ministry of Industry and Trade commented that building a brand is not easy, not only requiring businesses to have a certain amount of capital and investment, but it is also a story of a methodical strategy. However, in return, the price that businesses receive is not small. It is not only the value measured in money, but also the value of the business brand. Further, it is the value of the Vietnamese national brand.

Building brands for businesses both domestically and internationally has become a more urgent issue than ever as many “doors” to the world market for businesses are being opened through free trade agreements. Taking advantage of the “support” from tax reduction policies from FTAs ​​to build brands is a long-term solution for Vietnamese goods to increase their value, maintain market share in export markets, and contribute to gradually building and making Vietnamese brands famous in the international market.

Source: https://congthuong.vn/vinamilk-xuat-ngoai-ky-luc-va-cau-chuyen-rang-danh-thuong-hieu-viet-nam-o-nuoc-ngoai-336325.html