1.

Product
Invested sterile production line
-Vinamilk has invested sterile production line is considered to be the best. Responding
the rigorous standards of ISO 9001 for example, the standard of food safety and hygiene.

Description of products and packaging

-Consumer trends currently are focus on design and packaging. Although after a
campaign, they might lose advantage of the sale price, but in return, revenue will increase
and consumers will remember the brand.
-Packaging vinamilk are simple, beautiful, convenient, so it caught the attention of
consumers. Besides, is the image of the dairy cow funny, cute, healthy, full of life. It is
characteristic for each fresh milk products of Vinamilk .

Product Development
- Based on the analysis of the needs, demands for fresh milk. VNM has developed two
products, Vinamilk 100% pasteurized milk and UHT milk 95% (5% sugar). Vinamilk
understanding the consumer needs, nutritional needs .
Vinamilk will release the products to meet those needs. Expressed by the product:
-VINAMILK 100% PASTEURIZED MILK ==> Responding nutrient needs from 6 to 12
years old.
- UHT milk fortified with micronutrients (Vinamilk ADM+) has been researched and
developed in accordance with the physical demands of Vietnamese children, aiming at
enhancing their potential

2. Price
High quality is accompanied by high price
Vinamilk always improves the quality of their fresh milk products with more and more
nutrition value than their previous ranges. In the mind of consumers, the high quality of
products interprets the reasons why the price of Vinamilk's fresh milk is increasing more
and more.

Keep the price but higher quality

Once fresh milk quality of other competitors is evaluated lower than Vinamilk's, the fact
of stable price will attract and satisfy consumers' demand. Although the world price of
raw milk is decreasing, but from the beginning of July, 2008 till now many dairy
companies in Vietnam market have increased their prices from 7-15%. In this increase of
price, only two firms are Nutrifood and Vinamilk still keep remaining their prices (Saigon
Marketing, No.209, 2010)

Purchase price policy of raw fresh milk

Vinamilk is pursuing the policy:
Towards the rural area where there are many grasses with good breeding, no urbanization
but far transport, they will purchase raw fresh milk in low price to balance the cost of
other ranges
Furthermore, they always adjust price according to seasonal nature and external market.
They also have built a great size of farm to decrease the burden in purchasing input.

3. Placing
An extensive distribution network located nationwide and continued being
expanded over time allows Vinamilk to bring its core products to
consumers in a fast and effective way.
A range of modern factories located along Vietnam that helps to reduce
transportation expenses. With being improved and expanded system that helps to
ensure the output products meet the international standards.
Vinamilk supports favors for agents to become close friends, loyal to their products. Until
now, the company has 220 independent distributors and 14,000 retail outlets distributing
80% products of the company. The Products distributed to the supermarkets and Metro
systems.

4. Promoting
In mixed promotion strategy, advertisement is considered as a strategic path to achieve or
maintain a competitive advantage in the market. Vinamilk has promoted its products to
consumers widely across the mass media, television, magazines, internet, poster

Constantly changing content, new forms of advertising draw attention and interest of
consumer. Marketing multimedia Campaign helps consumers understand the benefits
"fresh, pure, coming directly from nature". Make the big promotions for clients such as
increased milk volume but the price still remain the same. They even have bonus toys,
gifts for valued clients on holidays, birthdays... Following tradition and activity for
community benefit, Vinamilk always donates large sums for charitable activities of
community.
One of the important steps in Vinamilk promoting strategy is to offer free samples of
new products in order to take customers feedbacks.