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MARKET OVERVIEW
The Confectionery industry plays an important part in people’s diet. In 2020, the
revenue of the Global Confectionery segment was $961,360 million USD and it
is expected to grow annually at a CAGR of 2.24% over the next four years (2021
– 2025). The study has shown that Asia-Pacific has accounted for the highest
share in the industry in 2020.
In Vietnam, Processing and Manufacturing industries have the hightest weight in
Index of Industrial Production (increased to 8% in the first quarter of 2021
compared to the same period last year) which has made a great contribution to
the economic growth of the country. Food Processing industry has the highest
proportion (19.1%) among Processing and Manufacturing industries. Despite the
impact of the COVID-19 pandemic, Confectionery industry in Vietnam still
remains a potential market with revenue in 2020 was $5,808 million USD and it
is predicted to increase to $6,116 million USD in 2021.
Now, there are approximately a hundred small-and-medium to large enterprises,
over 3,000 small and medium-sized businesses (SMBs) and other import – export
enterprises on the market in Vietnam. Thanks to signing Free Trade Agreements
(FTAs) and the increase in snacking demand during the pandemic, Confectionery
segment has become a lucrative market for businesses. And the market is
expected to grow by 8.92% per annum (CAGR 2021 – 2025).

ORION OVERVIEW
Orion Corporation established in 1956 as Tongyang Confectionery Corporation,
is one of the top confectionery companies in Korean at present. Products
produced by Orion include biscuits, cookies, crackers, gum, snacks, chocolate,
candy and Choco Pie - known as the nation’s beloved snack.
Orion appeared in Vietnam with the first product was Choco Pie in 1995. In
2006, Orion Food Vina Co,.Ltd was established which is a completely Korean-
owned company, specializing in producing confectionery. Orion’s Vietnamese
subsidiary built its first factory in Ho Chi Minh city in 2006 and in the next 3
years, the second factory was built in Ha Noi.
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Orion Food Vina Company is known as one of the leading confectionery

company in Vietnam with many well-known products such as Choco Pie, Custas,
O’star, Marine Boy, Goute, Toonies… After over 25 years of development,
Orion has become an integral part of the daily lives of Vietnamese people. Its
products are common treats for children, gifts for visits and altar offerings. Orion
now have 2 factories and 6 branches with over 3,000 employees spreading from
North to South in Vietnam. The sales of Orion Food Vina reached $247.4 million
USD and its operating profit was $54 million USD in 2020.
Even admist the global COVID-19 pandemic situation, Orion’s Vietnamese
subsidiary continues to grow steadily based on a strong product lineup including
Choco Pie. Orion Food Vina aims to become a total food company that provides
food and beverage (F&B) beyond just confectionery under the philosophy of
“supplying good-quality products at reasonable prices”. Orion plans to
strengthen the brand competitiveness by adding more new products which is
suitable for the Vietnamese market, where there are many young consumers and
new distribution and e-commerce are expanding.
Orion Food Vina has been received a lot of awards, certification voted by
consumers and prestigious organizations as “Vietnamese High-Quality Goods”,
“Top 500 largest Vietnamese enterprises”… Orion’s products are now distributed
to over 65 countries all over the world.

CHOCO PIE OVERVIEW

Choco Pie is a snack cake consisting of two small round layers of cake with
marshmallow filling and a chocolate covering. The term originated in America
but is now also used widely in other countries, especially South Korea, Japan.
Vietnamese consumers got their fisrt taste of Choco Pie in 1995. Thanks to the
deliciousness and novelty of the chocolate-covered pastry, Orion made a big
splash and profited enormously from selling Choco Pie.
According to Orion Group, Orion Vina has the monopoly on the Pie market with
holding a market share of 67% (as of 2020). Orion’s all-time bestseller - Choco
Pie sold $80.9 million USD worth, equivalent to 600 million pies beating sales at

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its home. It was the largest since the pie snack first entered the Southeast Asian
country in 1995. Vietnam has become the second country after China, where
Choco Pie is consumed more than in Korea.
Orion successfully captured the Vietnamese consumers’s heart with the small
round chocolate-covered snack filled with marshmallow inside by launching the
“Tinh” campaign in 2008. Tinh means amicability, affection and empathy among
people. Orion has used the similar marketing scheme as in Korea. The message
of the campaign was full of love and meaningfulness by sharing a sweet piece of
Choco Pie with your beloved. Orion has made use of the concept throughout the
promotion and adverting programs and Vietnamese people feel empathetic with it
because it is suitable for Vietnamese tradition.
“Not only is it a delicious snack, but it is also popular as a small gift that
expresses affection between loved ones”. Choco Pie now keeps being one of the
most popular snacks in Vietnam.

COMPETITORS OVERVIEW
Besides Orion Food Vina, there are many confectionery enterprises on the market
competing for the higher market share. Admit that Choco Pie has brought Orion
such a big success, on the other hand, same products as Choco Pie coming from
oldest brands, are going to appear on the market with more affordable and
competitive than Orion’s.
There are numerous products on the market competing directly with Orion Choco
Pie such as Lotte Choco Pie, Oreo Socola-pie, Omeli Chocolate Pie, Pham
Nguyen Choco PN, Bibica Chocolate Pie, Biscafun Sweet Pie, Richy Peppie…
Not to mention others who indirectly compete with Orion Choco Pie as Kinh Do,
Vinabico, Huu Nghi, Trang An, Hai Ha Kotobuki… Despite having different
products, it is still potential competitors of Orion Choco Pie because it can be a
substitute for Choco Pie.
Although there are numberless enterprises producing Choco Pie, it still struggles
them to be confronted with Orion – a brand which has been dominating the Pie
market for over 20 years.

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MARKETING ENVIRONMENT
1. MACRO-ENVIRIONMENT
a) Demographic environment:
Based on the age structure from early 2017, there are about 24 million
children in Vietnam which account for over 25% of the population.
The total fertility rate has grown steadily since 2000 (from 2.01 to
2.05). It means children have been making up the majority of the
society. And most of them have a sweet tooth. So, this is a suitable
segment for Choco Pie which is still a main target segment of its.
Orion has been researching into Vietnamese population structure to
meet the needs of the local customers. Besides children, Choco Pie
attracts people of all ages, gender, occupations, especially students and
workers. They can take Choco Pie as a quick snack during breaks.
b) Economic environment:
From one of the poorest countries in the world, Vietnam has become
into a lower middle-income country. Regardless of the impact of the
ongoing pandemic, Vietnam is one of the countries that has positive
growth rate in 2020. GDP per capital in 2019 was $2,715 USD and
reached $3,521 USD, ranked 6th in ASEAN in 2020. Vietnam is
experiencing a period of “golden population structure”, which is
forecast to last until 2034. More workers, more income leading to the
increase in purchasing power. When living standard rises, people start
to care more about quality of products that they consume. Choco Pie
affords both price and quality. With affordable price, it can attract
more potential customers and develop the quality of its without
worrying about purchasing power.
c) Natural environment:
Choco Pie is famous for the chocolate coating so cacao is one of the
indispensable raw materials. In Vietnam, cacao cultivation has

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declined dramatically since 2012 (from 25,700 hectare to 5,028

hectare). The reasons for the decrease are the price fluctuation of
cacao, the unsuitable area for planting, climate change and the
limitation of planting techniques and support policy of State.
The shortage of cacao can make the cost of input materials rise leading
to the growth of Choco Pie’s price.
d) Technological environment:
Orion Food Vina has been cooperating with companies such as Dong
Vang, especially OKS which has Good Manufacturing Practices
(GMP) certification. Using modern food packaging technology,
synchronous and automatic production line, semi-automatic and
automatic control to meet higher and higher demand of consumers.
Orion annually costs millions of dollars to upgrade its production line
system, equipment, machines to improve production capacity.
Nearly 70% of Vietnamese population is using Internet, so marketing
become a familiar tool to make the product more well-known. The
power of media brings the product closer to the customers. And Orion
has succeeded in stealing people’s hearts through their marketing
campaigns such as “Tinh”, “Giving is Receiving”…
e) Political environment:
For Food industry, having certificate of Food Hygiene and Safety is a
must before launching a product to ensure consumer’s health, gain
their trust and boost sales. Besides that, there are Industrial property
rights, Intellectual property law, labelling requirements… to protect
user’s rights and companies from fake products. Orion Vina is one of
the companies that meets the requirements. Unexpectedly, Choco Pie
becomes favorite snack of locals.
Due to signing Free Trade Agreements (FTAs), Choco Pie can be
exported to many countries with less trade barriers, lower tax burdens,
expand the market, attract investments and increase sales volume.

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f) Cultural environment:
Orion has their own strategy on the Vietnamese market which focuses
on Vietnamese culture. Vietnamese people always show respect to
others, especially elders. This is why Choco Pie turns as a premium
gift used in special occasions such as Tet holiday, Vu Lan festival,
Moon worship…
Vietnam is considered to be hospitable, sociable, friendly country
because the way Vietnamese people receive guests. “Khach den nha
khong tra cung banh” – it means guest comes if not drink then eat, so
having many snacks at home is normal in Vietnamese family.
Especially in holidays, snack becomes more essential so consumption
of Choco Pie in these days is remarkable.
2. MICRO-ENVIRIONMENT
a) The company:
● Top management
To accomplish the goals, a large corporation as Orion has applied
the divisional structure – people are grouped together based on the
product or service they provide. It means Choco Pie has its own
team of accountants, salesman, marketers… to develop the product
as well as possible.

Besides that, Orion Food Vina has used Systems, Applications and
Products in Data Processing (or SAP Business One) deployed by

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VinaSystem. SAP Business One provides accurate and

multidimensional information by integrating and synchronizing
data of accounting, buying, selling, logistics, producing and
customer relations.
● Facilities
Because of modern producing equipment, Orion can create more
high-quality products to afford demand of customers.

● Finance
Orion Food Vina’s net sales has increased year over year.

Net Sales of Vietnam (Unit: USD million)

b) Suppliers:

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In Production and Business activities, Orion has paid much

attention to its worker’s quality of life. The company performs well
regimes as insurance, payment… according to regulations. It also
has remuneration policy to attract highly qualified workers. Besides
that, Orion Food Vina organizes year-end party, gifts present for its
employees. Thanks for that, Orion and its workers become fond of
close-knit and never have things such as strike phenomenon, labor
shortage…
Orion Food Vina’s processing materials are all imported from
Australia, Netherlands, France… to ensure quality assurance. But
the impact of coronavirus disease on the global trade may affect the
price trends of Orion’s key inputs and delivery time.
c) Marketing Intermediaries:
● Resellers
Middlemen distributors of Orion are wholesalers, retailers, agents
such as supermarkets, agencies, groceries… whose main function is
to bring product to customers. It creates favorable conditions for
Orion to display Choco Pie without breaking the bank and also
contributes to promote the product. On account of resellers, Orion
Food Vina has reduced the cost of opening retail showrooms.
● Marketing services agencies
Since 2016, Orion Food Vina has been a partner of Cheil Vietnam
– a marketing agency to create interactive promotion campaign for
Tet season. And Cheil Vietnam was received gold award of mobile
promotion category for Orion Choco Pie in 2017.
d) Competitors:
There are two types of competitor:
● Direct competitors are the businesses that sell a similar product
or service in the same category.
For instance:

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PRODUCT STRENGTH WEAKNESS

Lotte Choco Pie - Also comes from Korea. - Less advertising and
- Different flavors. promotion.
- Texture of product is
a bit dry.
Oreo Socola-pie - Comes from well-known - New product so brand
company. awareness as market
- Competitive price. share is still low.

Pham Nguyen - A Vietnamese brand. - Cheap packaging.

Choco PN - Half-price of Orion - Doubt about the
Choco Pie. quality.

● Indirect competitors are the businesses that sell a product or

service in the same category but it is different enough to act as a
substitute.
For instance: Kinh Do biscuit, Huu Nghi cookies, Hai Ha
Kotobuki layer cakes… or evenly bakery industry.
Even if being a national snack as Choco Pie can be replaced by
other substitute products because customers always find and
want to try new products instead of sticking with only one
product.
e) Customers:
Orion has three types of customer markets:
● Consumer markets: individuals and households buying product
for personal consumption.
● Reseller markets: buying product to resell at a profit such as
supermarkets, agencies, groceries…

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● International markets: buyers in other countries, including

consumers, resellers. Orion Food Vina has exported its products to
over 60 countries all over the world.

Pressures from customers:

- Bargaining power of buyers: resellers as supermarkets purchasing
large volumes of standardized product from the seller are able to
leverage their circumstances to strike more desirable deals.
- Price sensitivity.
- Product differentiation.
- Availability of substitute products.
- Customers purposes.
f) Public:
Orion Food Vina has its own fanpage Facebook called “Chocopie
Vietnam” created for Choco Pie user community. Chocopie
Vietnam has reached over 460,000 likes and followers in total. It is
used as a main channel to approach customers, introduce and
advertise new Choco Pie’s products.
Orion Food Vina use the fanpage for organizing minigames, raising
customer’s knowledge, answering customer’s questions and
advoiding risk.

STP
1. Segmentation
SEGMENT Demographic Psychographic Behavioral Geographic
characteristics characteristics characteristics characteristics
Children and Age: 4 – 19. Social class: Depends Occasion: Every time Location: Urban and

Teenagers Gender: Both. on family income. going out, meeting suburban areas.
Income: No income, only Personality: Simple- friends.
pocket money. minded, curious. Loyalty status: High.
Family size: 3 – 4 Lifestyle: Love sweets

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members. and snacking.

Workers Age: 19 – 30. Social class: Low- Occasion: Break time, Location: Urban and
Gender: Female. middle to upper-middle. paying a visit to suburban areas.
Income: Low to high. Personality: Hard- someone’s house,
Family size: 1 or 3 – 4 working, accountable, worshiping, having
members. high purchasing power. dessert.
Lifestyle: Busy, social, Loyalty status: Medium
tend to skip meals, to high.
prefer quick snack.

Housewifes Age: 27 – 40. Social class: Middle to Occasion: National Location: Urban and
Gender: Female. upper-middle. holidays, worshiping, suburban areas.
Income: Middle. Personality: Motherly, treating kids.
Family size: 3 – 4 thrifty, health and price Loyalty status:
members. conscious. Medium.
Lifestyle: Busy, have to
meet the demands of all
family members.

Seniors Age: Above 40. Social class: Middle to Occasion: Worship, Location: Urban and
Gender: Both. upper-middle. treating kids, national suburban areas.
Income: Low to high. Personality: Health holidays.
Family size: 2 members conscious, peace-loving. Loyalty status: Medium
or above 2. Lifestyle: Love to high.
spending time with
grandchild or family
members, enjoy
entertainment activities
for

2. Targeting
Children and teenagers have been the main target segment of Choco Pie for
years. In every Choco Pie’s television commercial, it always revolves around
children, close-knit family with full of humanity. Due to the increase in
Vietnam’s GDP, GDP per capital of Vietnamese people reached $3,521 USD in
2020. Workers have more income, children and teenagers get more snacks, more

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money pocket and because of the changing in snacking habits, Choco Pie has
more potential customers becoming regular ones with strong loyalty.
Recently, Choco Pie has reached students through the cooperation with Noo
Phuoc Thinh, Hoang Yen Chibi, Khoi My, Midu… and especially Lee Kwang
Soo to introduce their limited edition of Choco Pie with the slogan “You can do
it” to cheer up the candidates – who participating in nation high school
graduation exam. On Orion’s YouTube channel, there are many advertising
campaigns which have proven that the primary target segment is children,
teenagers and housewives such as “Tinh”, “Send Heart Give Love”, “Giving is
Receiving”…
3. Positioning

Choco Pie’s positioning strategy based on quality and product’s benefit bringing
to consumers. The value proposition of Choco Pie applying is “more for the
same”. Can’t deny that the price of Choco Pie compared to others is a bit higher.
But if take it into consideration, the weight of each Choco Pie (33 grams) is way
heavier so its price can be said that it is not too high.

MARKETING MIX (4Ps)

1. Product
Orion Food Vina has a large product portfolio which provides many
different choices. Choco Pie – most popular and highest selling product, is
the most favorite among it.

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And Choco Pie is a convenient product because it is bought immediately

without great comparison between other options and placed in locations
where consumers can easily purchase its.
a) Packaging:
Packaging is an object containing product whose role is becoming
quite significant. Packaging is commonly used for physical and barrier
protection, information transmission, security, convenience and
marketing.
Choco Pie’s packaging has three layers:
- 1st layer is the layer directly containing product. It is made of
polyethylene (PE). The product’s information such as logo,
name, ingredients, weight, manufacturing date expiry date… is
printed on the container.
- 2nd layer is the paper box made of duplex paper. It protects and
conserves the product and is also used for marketing purpose.
This layer will be discarded when using the product. The box
has the outstanding red as a color of victory and the information
printed on this layer is more detailed than the 1st one.
- 3rd layer is the protective layer that is intended as storage,
delivery. It is called cardboard box.
Orion has had its strong foothold on the Vietnamese Pie market since it
first appeared. Despite that, there are many products on the market
having the same packaging as Choco Pie which easily gets customers
confused. Although it impacts on Choco Pie’s sales, Orion has not had
plans against it.
b) Branding:
Trademark is a sign that identifies and distinguishes the source of the
goods of one party from those of others. Orion Corporation has
constantly built and developed its brand from the very beginning to
prove its product quality.
● Brand name: ORION
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● Brand logo: (insert ảnh)

● Brand symbol: (insert ảnh)

Symbol is a visual representation that inclusively symbolizes Orion’s

image and corporate identity (C.I). Furthermore, it is a communication
tool that allows the company to express its concept, which cannot be
fully described by language or attitude.
Orion’s symbol includes the earth and the stars. The earth represents
globalization and the stars that become larger imply Orion’s future as
global company.

Color is an element that plays the most important role in making

Orion’s image. There are two corporate colors: the main color and the
sub color.
The main color is Orion Red (Red/DIC 157) considered as a color of
victory. Corporate colors require accurate color unification for the
consistency of Orion’s visual image.

Logo and symbol are important elements that visually represent Orion
Group and its subsidiary companies.
● Orion Choco Pie:
Choco Pie was the first Orion’s product to appear in Vietnam.
Whenever mentioning Orion Food Vina, customers always remember
the slogan “Orion is Choco Pie, Choco Pie is Orion”. Thus, it has help
Orion become buyer’s top of mind when mentioning Choco Pie.

c) Choco Pie’s Quality Standards:

All of Orion’s technological equipment meet international standards as
ISO:9001, American Institute of Baking (AIB) and Hazard Analysis
and Critical Control Point System (HACCP).

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Orion’s products have a certificate of Food Hygiene and Safety of

Ministry of Health.
Orion Food Vina has been received a lot of awards, certification voted
by consumers and prestigious organizations as “Vietnamese High-
Quality Goods”, “Top 500 largest Vietnamese enterprises”…

d) Nutritional Information:
Choco Pie is made from wheat flour, sugar, corn syrup, shortening,
hydrogenated vegetable oil, cocoa powder, whole milk powder,
sodium bicarbonate, ammonium bicarbonate, pork/beef gelatin, salt,
calcium phosphate, soya lecithin, vanillin, milk protein, whole egg.
Allergens are milk, wheat, egg and soy.
Every Choco Pie provides 130 calories so customers can take Choco
Pie as a small dessert or a snack to quickly boost energy.

e) Customer’s Review:
Through customer’s response from E-Commerce platforms such as
Shopee, Tiki, Lazada… and online shopping sites, Choco Pie always
receive positive feedbacks from its customers. Most of consumers are
quite satisfied with the quality, design, and value of the product.

f) Product Depth:
Original Choco Pie (1995) is the most popular and best-selling product
of Orion. It is a soft sponge cake dipped in melted chocolate and
marshmallow filling inside. Because Original Choco Pie is flagship
product, so it has 4 different sizes: 66gram, 198gram, 396gram,
660gram.

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Choco Pie Dark (2017) is a new choice for customers who love the
intensity of chocolate. It has 3 different sizes: 60gram, 180gram,
360gram.

Choco Pie Sakura (2019) is a special edition. Inside it has a signature

pink with sweet and sour peach lava. This is considered as a brand
innovation which mainly target to women and children. It only has 1
size: 360gram.

Choco Pie Yogurt (2020) is a different choice for customers who love
yogurt and have health-conscious. It only has 1 size: 360gram.

Choco Pie Matcha Red Bean (2021) is a new edition that has just
launched recently. Matcha has been become popular these days for its
benefits. As Choco Pie Sakura, it has a red bean lava inside the pie. It
only has 1 size: 360gram.

2. Price
Pricing is one of the most daunting yet most crucial parts. The goal of
strategic pricing is to maximize profit, but it’s a lot more complicated
than raising product’s price or increasing profit margin.
a) Internal Factors:
● Marketing Objective:
Orion’s objective is to increase consumption of Choco Pie by
launching more different flavors. Original Choco Pie is widely used
in Tet holidays for worshiping, displaying… But recent years,
Orion has released various flavors such as Choco Pie Matcha Red
Bean for being luckier in examinations, Choco Pie Yogurt for a
better digestion… Orion Food Vina wants to increase customer’s
using frequency instead of only using in special occasions.
● Manufacturing cost:
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Applying the most advanced and developed machines and methods

in manufacturing. Orion Food Vina annually pays millions of
dollars to modernize its production line system, equipment,
machines to improve production capacity.
All most processing materials are exported from Devondale Murray
Goulburn (Australia), Kerry Bio-Science B.V (Netherlands),
Nutribio (France) to ensure quality assurance.
Aside from the costs mentioned above, Orion Food Vina has to pay
for labor, delivery and overhead cost.
b) External Factors:
● The market and demand:
Pie market is now a perfect competition. Except Orion Choco Pie,
there are many same products with same color packaging from
copycat companies.
Unlike traditional Choco Pie, the price of flavorful Choco Pie is
always higher and constantly sold-out. It is because of the law of
demand states that a higher price leads to a lower quantity.
● Competitors’ strategies and prices:
PRODUCT STRATEGY PRICE
Lotte Choco Pie Premium pricing 55.000 – 65.000 VND
Oreo Socola-pie Penetration pricing Before: 49.500 VND
Now: 56.000 – 60.000 VND
Pham Nguyen Choco PN Economy pricing 20.000 – 25.000 VND

● Customer’s price sensitivity and demand:

Customer always concerns about the price as well as the quality of
the product. Vietnamese people always say: “You get what you pay
for” so people tend to seek for a quality product with comfortable
and affordable price. Depend on purpose, they have different
considerations before purchasing.

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Orion Choco Pie was the first product on the Vietnamese pie
market. As it always ensures that the product quality comes first,
hence a valued-based pricing strategy. Despite the price fluctuation,
Orion Food Vina still remains price stability. And its competitors
tend to keep their products’ price close or lower than Orion Food
Vina’s.

3. Place
Orion Food Vina’s distribution network is a competitive advantage
compared to others. Because it has used intensive distribution strategy, it
has a wide distribution network which can easily bring its products to
customers. There are two types of marketing channel:
● Direct marketing channel:
Orion Food Vina has its own website to sell its product. On website, it
mainly sells Tet gift sets.

Website: https://quatetorion.vn/
● Indirect marketing channel:
Orion Food Vina has many products that are available in 63 provinces of
Vietnam. Customers can buy from supermarkets, grocery shops, local
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stores, online shopping site and E-Commerce platforms. However, not all
products are available in all stores or online.

Agent/
Broker

Orion Food
Distributor Customer
Vina

Wholesaler/
Retailer

Orion Food Vina’s indirect distribution channel is classified into three

types:
One-level channel (Manufacturer  Retailer  Customer): Retailers buy
product from manufacturer and then sell it to the customers.
Two-level channel (Manufacturer  Wholesaler  Retailer 
Customer): Wholesalers buy the bulk from manufacturer, breaks it down
into small packages and sell them to retailers who eventually sell it to the
end customers.
Three-level channel (Manufacturer  Agent  Wholesaler  Retailer
 Customer): Agent stands in front of the wholesaler and retailer who
assists in selling goods. These agents come handy when goods need to
move quickly into the market soon after the order is placed.

With the advent of the Internet, E-Commerce marketplaces are now used
as intermediaries to reach to final customers.

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● Orion Food Vina’s Vertical Marketing System (VMS):

Orion Food Vina has been applying Administered Vertical Marketing
System. There is no contract involved between production and distribution
channel.
MM Mega Mall Market, Co.op Mart or BigC (now Tops Market) are
massive kinds of retailer available in the market that usually have their
terms and conditions to the company. Orion Food Vina can obtain strong
trade cooperation and support from resellers regarding displays, shelf
space, promotions and price policies. In turn, larger retailers can exert a
strong influence on manufacture that supply the products.
Even big company such as Orion maybe struggles with opening its own
retail showroom or mart. Thus, applying Administered VMS can help it
increase the profit, expand brand image, enhance customers’ need, keep
things organized and eliminate the conflict.

4. Promotion
Promtion is the most special strategy in marketing mix strategy of Orion
Choco Pie.
a) Advertising:
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In 2010, Orion Food Vina released 2 television commercials (TVC)

revolving around love message: “Tinh is Choco Pie”. Orion has clearly
identified its main target segment – children and teenagers. This is
reason why children are always the main character of Choco Pie’s
TVC as Mr. Lee Kyung Jae once said. Not only because of the product
quality, what makes Orion Choco Pie has become successfully in
Vietnam is the human value shown in the advertisements. Orion Food
Vina has skipped the message about Choco Pie’s quality and partly
focused on the sentimental value of the product. The advertisements
has contributed to educating children on moral values which is suitable
to Vietnamese tradition.
The key of successful marketing is to catch the brand keyword – Tinh
= Choco Pie. Thanks to Orion Choco Pie “Affection” marketing
campaign that has attracted attention as a successful marketing case.
Besides that, Orion Food Vina has booked news page to write an
advertorial or editorial; contracted with celebrities or KOLs to promote
its products as well as possible.
b) Public Relation:
Orion Food Vina usually participates in corporate social responsibility
(CSR) actively.
During the ongoing pandemic, Orion Food Vina cooperated with
Vietnamese Fatherland Front in donating 32,000 boxes of Choco Pie
with “Khoe” message for medical staff and military to encourage
them.

When floods occurred in Central Vietnam, Orion Food Vina quickly

delivered over 1,000 barrels of mineral water and Choco Pie to succor
the locals.

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Through World Vision – an international organization, Orion has

sponsored the campaign “Lop Hoc Vui – Chung tay phong chong bao
luc truong hop” with 4.9 billion has been budgeted.

Orion Food Vina has perfectly combined push strategy with pull
strategy. Through advertising campaigns, it has successfully promoted
brand recognition with customer engagement and visibility while
spreading its products and making available on the market.

References:
1. Orion (n.d.). ORION INTRODUCTION. Accessed June 24, 2021.
http://www.orionworld.com/ENG/main.asp
2. Orion (2021). ORION BROCHURE. Accessed June 23, 2021.
http://www.oriongroup.co.kr/images/company/
ORION_2021_brochure_eng.pdf
3. Statista (n.d.). CONFECTIONERY - WORLDWIDE. Accessed June 23,
2021.
https://www.statista.com/outlook/cmo/food/confectionery-snacks/
confectionery/worldwide
4. The World Bank (n.d.). THE WORLD BANK IN VIETNAM. Accesed
June 24, 2021.
https://www.worldbank.org/en/country/vietnam/overview
5. Tổng Cục Thống Kê (2021). INFOGRAPHIC CÔNG NGHIỆP QUÝ I
NĂM 2021. Accessed June 23, 2021.
https://www.gso.gov.vn/du-lieu-va-so-lieu-thong-ke/2021/04/infographic-
cong-nghiep-quy-i-nam-2021/
6. Tổng Cục Thống Kê (2021). TRIỂN VỌNG TƯƠI SÁNG CỦA NGÀNH
CÔNG NGHIỆP SẢN XUẤT, CHẾ BIẾN THỰC PHẨM. Accessed June
23, 2021.
https://www.gso.gov.vn/du-lieu-va-so-lieu-thong-ke/2021/05/trien-vong-
tuoi-sang-cua-nganh-cong-nghiep-san-xuat-che-bien-thuc-pham/

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Suggestion

STRENGTHS WEAKNESS
- High-quality product. - Aggressive competition with copycat companies.
- Dominant market share. - Perceived as unhealthy product.
- Effective marketing strategy. - High consumption only in special occasions.
- Great brand association and customer loyalty. - Depend on imported materials.
- Widespread distribution. - Packaging problem has not been solved yet.
- Fully invested by foreign company.
OPPORTUNITIES THREATS
- Low-cost country sourcing. - Substitute and low-cost products.
- Increase customers’ purchase frequency. - The huge shift in food industry such as eating
- Flavor diversification. organic and healthy trend…
- Expand E-Commerce. - Increasing health consciousness.
- Increase healthy options.

1. Business Objective:
- Increase revenue and productivity.
- Push the flagship product to maintain the monopoly power.
- Improve profit margins by diversifying options, launching seasonal
flavors.
- Reduce manufacturing costs by making use of local materials instead
of importing.

2. Marketing Objective:
- Increase consumption:
+ Reduce product weight, make it smaller to increase dosage.
Customers will consume more than a cake instead of one.
+ Introduce new flavors and add more healthy options to increase
frequency.

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- Penetrate deeply into the market by selling sample Choco Pie box
with different flavors.
- Add value to product through creating premium Choco Pie product
line targeting to higher segment of the market.
- Improve Orion Food Vina reputation through Corporate Social
Responsibility (CSR) activities.
- Inform customer discount through fanpage Facebook, advertising
through social media or booking KOLs.
- Remind customer of Choco Pie as the brand of Tet holiday, affection,
family.
- Improve customer loyalty such as building a community to interact
closely with customer, persuading customer to realize Choco Pie’s
strengths as what makes it different.
- Minimize marketing, advertising, delivery costs.
- Train and manage sale-teams, production teams methodically.

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