FOREIGN TRADE UNIVERSITY

HCMC CAMPUS
====== 🕮 ======

GROUP REPORT
IMPACTS OF INTERNATIONAL TRADE POLICIES ON THAI BINH
SHOES GROUP EXPORTS TO GERMANY

Group member:
Name Student ID
Võ Trần Hà Nguyên 2212155154
Tạ Thị Hiền Nga 2212155135
Nguyễn Lê Yên Giang 2212155068
Thái Ngọc Linh 2212155116
Bùi Thanh Mai 2212155119
Nguyễn Thị Hằ ng Nga 2212155134

Instructor:

Ho Chi Minh City, March 2024

EXECUTIVE SUMMARY
- Briefs introduce about the industry
+ Vietnam boasts a massive and rapidly growing beer market, ranking
third in Asia for consumption. Key players like Heineken and Sabeco
control a significant share, with Heineken leading the competition.
Social media is playing a considerably big role in brand promotion. Key
trends in the beer market in Vietnam include introduction of new
products like non-alcoholic options and special editions to attract
customers. However, the industry faces challenges from government
regulations, rising costs, and potential health concerns.
- Identify competitors
+ Heineken is leading Vietnam's beer market, followed by Sabeco,
Habeco, HBL, etc. Sabeco’s direct competitor is Heineken Vietnam.
- Main contents covered
+ Vietnamese Beer Market: market growth, market share, market trend,
market challenges
+ Company & Product Introduction
+ Marketing Strategy: Target Market
+ Value Chain & Positioning
+ Marketing Mix: Product, Price, Place, Promotion
- Tools to use for analysis
+ Value Chain analysis
+ VRIO Analysis
- Findings:
+ Competitive advantages: Sabeco has the competitive advantages in
Research & Development, Brand reputation and customer loyalty,
Human resources management, Supply chain; competitive advantage
parity in Infrastructure and Procurement.
+ Proposition: Sabeco provides the society with safe and useful products
but also to stick to a sustainable and friendly environment. By utilizing
its history and long-standing Vietnamese brewing customs, Sabeco is
able to provide authentic Vietnamese-taste beers that have a flavor
profile that sets them apart from other global brands. Under its brand,
Sabeco offers a diversified selection of beers, ranging from specialized
and regional types to well-known options like Bia Saigon. This
accommodates a range of drinking circumstances and taste preferences.
Finally, Sabeco guarantees quality and consistency in its beers thanks to
its lengthy history and well-established brewing procedures.
- Conclusion:

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 Sabeco understands Vietnamese consumers well because of their lengthy
history in the country, which helps them to adapt to changing consumer
tastes and create trust. A diverse selection of beers with varying price points
and styles appeals to a wide spectrum of customers. 26 factories and over
100,000 places of sale assure widespread product availability. The "63 là 1"
collection celebrates national pride and distinguishes them from
multinational businesses.
However, there are still opportunities for development, particularly in
diminishing sales, competitiveness, and a limited international presence.
Sabeco should place more focus on the "Pride of Vietnam" idea in
marketing to increase consumer loyalty, as well as innovate and expand its
product ranges

SECTION 1: VIETNAMESE BEER MARKET

1. Market growth

In 2023, the Vietnamese beer market was valued at a substantial US$7,526.3 million,
reflecting its status as a major player. This is further reinforced by Vietnam's
impressive annual beer consumption of 3.8 million kiloliters in 2022, placing it third
in Asia for beer consumption and first in the ASEAN region, behind only China and
Japan. With a predicted market recovery and continued growth, the Vietnamese beer
market is expected to reach an estimated US$14,154.2 million in the future. This
growth is driven by factors like economic advancement, urbanization, and changing
consumer preferences, with beer often being the beverage of choice at social
gatherings.

(Source: Astuteanalytica - 2024)

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In terms of international trade, Vietnam exported $82.5 million worth of beer in
2022, with the United States, Singapore, and Thailand being the primary
destinations. Conversely, the country imported $27.4 million in beer, mainly from
Singapore, China, and the Netherlands. These figures reflect Vietnam's growing
influence in the global beer market.

2. Market share

Analysis reveals a highly concentrated Vietnamese beer market, dominated by four

major brands. Heineken reigns supreme with a commanding market share of 44.4%,
followed closely by Sabeco at 33.9%. Carlsberg (Hue Brewery) and Habeco hold the
remaining significant shares, at 8.7% and 7.4% respectively.

(Source: Euromonitor - 2022)

3. Market trend

3.1. Intense competition between the two top leading players

The Vietnamese beer market is a battleground for the two leading players, Heineken
and Sabeco. Both breweries boast well-established distribution networks and popular
brands. Heineken caters to those seeking international flavors, while Sabeco
prioritizes local preferences. As a result, marketing is expected to play a crucial role,
with both companies heavily invested in social media to drive demand.

3.2. Product innovation expected to stimulate growth

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Product innovation is another growth driver, with the introduction of non-alcoholic
options (Heineken 0.0, Suntory All-free, Tiger SOJU) and special editions with new
tastes and packaging (e.g., Saigon Special beer's 20th-anniversary edition).

4. Market challenges

The Vietnamese beer industry faces challenges from government regulations and
economic factors. The government imposes high excise taxes on alcoholic beverages
and restricts advertising to address public health concerns. Additionally, Decree
100/2019/ND-CP, which limits alcohol consumption by drivers, further impacts both
beer prices and consumption patterns. On top of these regulatory hurdles, the industry
contends with rising production material costs, including malt, hops, rice, and sugar,
putting further strain on profitability.

SECTION 2: COMPANY & PRODUCT INTRODUCTION

1. Mission and vision of Sabeco
a. Mission:

- Develop Vietnam’s beverage industry to keep pace with the world.

- Promote the culinary culture of Vietnamese people.
- Improve the quality of life by providing high quality, safe and healthy
beverages.
- Bring practical benefits to shareholders, customers, partners, employees and
society.
- Satisfy and meet the needs of beverages under the international food safety
standards “Food hygiene and safety and environmental protection”.
- Fulfill obligations to the State on the basis of transparency in business.
- Actively participate in community activities.
- Ensure the development towards international integration.

b. Vision:

Develop SABECO to become the leading beverage group in Vietnam, having firm
foothold in regional and international markets.

Sales, cost, profits in the last 3 years (in VND)

4
 2023 2022 2021

Sales 30,461,367,282,215 34,979,083,993,835 26,373,746,293,858

Cost 21,370,004,777,980 24,208,377,066,751 18,765,181,482,365

Profit 9,091,362,504,235 10,770,706,927,084 7,608,564,811,493

(SABECO Consolidated Financial Statement Quarter 4 of 2021, 2022, 2023)

2. Product: Bia Saigon - “The pride of Vietnam”

- Bia Saigon includes six sub-products: Bia Saigon Export (1985), Bia Saigon Lager
(1992), Bia Saigon Special (2000), Bia Saigon Gold (2017), Bia Saigon Chill (2020),
Bia Saigon Coffee Infused Beer (2022)
- The brand was relaunched in August, 2019
- Bia Saigon is exported to many markets all over the world, such as: the US, Canada,
Chile, Germany, Australia, China, Japan, South Korea,...

Overall, sales and costs for SABECO have been increasing year-over-year. Profit
increased from 2021 to 2022, but then the company experienced a steep drop in 2023.
This can be explained by the economic recession; the strict regulation of the
government on drinking alcohol while driving, and the increase in the cost of imported
ingredients.

SECTION 3: MARKETING STRATEGY

1. Target market
a. Customer potrait (demographics)

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Bia Saigon targets consumers in socioeconomic groups III and IV. These groups typically
have stable incomes, are forming social connections, and have a high demand for consuming
beer to affirm their positions.

- Ages: 29-49 years old

- Gender: Mostly male
- Income: above 3,000,000VNĐ/month
- Geographic: big city, town, populated places in the South
- Occupation: businessmen, officials, civil servants who regularly have social
relationships

b. Pain points

The target consumer in the process of getting rich, often needs to drink beer after
every working hour or drink beer to discuss work, sharing, and network. They like to
assert their personal ego but never forget the difficult times they have experienced and
traditional values. They prefer strong, familiar “Eastern” flavors. They know and are
aware of who they are and used to drinking Saigon beer.

c. Critical success factors

- SABECO beer products bring customers a unique new flavor compared to other
competing products. Rich, liberal flavor of the Southern people gives the drinker an
unforgettable feeling.
- SABECO beer products are always diverse from form to quality. The company
always improves designs, advertises in the media along with promotions and customer
appreciation programs to create trust with everyone who trusts and uses the product.
With many forms such as cans and bottles it is easy for everyone to use in many
places.
- Reasonable prices, stable quality with a diverse product portfolio for various segments
(price, taste,...). This helps the company easily reach many classes, especially the
popular class, to easily enjoy the flavor of Saigon Beer.
- Saigon Beer does not cause thirst or headaches after drinking, bringing a refreshing
feeling to the user, further helping SABECO assert its beer brand in the market
 Key Takeaways: Overall, SABECO positions Bia Saigon as a familiar, high-quality beer
brand for social gatherings, appealing to established professionals in Vietnam's growing
economy. The recent profit decline highlights potential challenges, but their diverse product
range and focus on customer preferences position them well for future growth.

SECTION 4: VALUE CHAIN COMPARING TO COMPETITORS

1. Value chain
Sabeco Heineken

6
 Primary ● uses raw ingredients such as
Activities wheat and hops sourced from
applies backward
regional as well as
integration to acquire
international wholesalers
Inbound pure natural ingredients:
● creates the combination of
Logistics the perfect medley of
premium barley and Robusta
malt, barley, hops and its
& Arabica for the product
own special A-Yeast
called Bia Saigon Coffee
Infused Beer

5-step process mainly

12-step process mainly contains includes cooking,
Operation grinding, cooking, fermenting, cooling, horizontally
s brewing, and packaging its beer and fermenting, lagering,
alcoholic beverages brewing and packaging
its products

● has its Saigon beer transport

joint-stock company to
● develops
provide multi-services such
reduction
as purchasing supplies,
roadmaps to
warehouse rental, etc.
Outbound optimize
● establishes and enhances
Logistics transportation
Project Sabeco Supply chain
route and
4.0 using WMS and TMS to
minimize energy
maintain continuity in the
consumption
production and supply of
commodities

Marketin - Marketing - Marketing

g & Sales ● KOL advertising: Big Daddy, ● Global
DaLab ambassador for
● music events “Mega Dem Tiger beer with
Saigon” and Chill fest Soju flavor: G-
“Runway to New Year" Dragon
● Social campaign “Together ● Emphasizes
we make Tet", etc. premium image
- Sales with global
● Net sales target in 2023: campaign “Open
40.27 trillion VND but its your world” or
revenue was lower than its annual
2022’s and expected to Countdown Party
decrease in the following - Sales
years ● Net revenue of

7
 Heineken in 2023
was totally 30,362
million euro,
increasing
compared to the
previous year's
but expected to
decrease

● uniquely provides
● provides support to its tailor-made events
customers through social service
media and a customer service ● operates B2C
hotline rapid delivery
Service ● provides advice and company in
assistance to its distributors Mexico
to ensure that its items are ● satisfies
handled and supplied customers by its
responsibly products

Secondar negotiates and sources

y ingredients where
Procurem keeps professional connections with
Activities possible to reduce
ent both local and international suppliers
manufacture cost and
Vietnamese agriculture

● invest in modern
● focuses on R&D brewing
development and apply technologies to
innovative technologies optimize
Technolog ● new-launched product Bia production
ical Saigon Coffee Infused Beer processes, reduce
developm was inspired by the waste, and
ent consumers' demand on the improve product
market consistency
● automated and information ● research to create
monitoring new flavors or
brewing methods

Human ● nearly 13,000 employees ● train employees

Resources ● promote the implementation on brewing

8
 of its performance-based
salary system across the
whole group of the company techniques,
● re-evaluate the quality control
competitiveness of salary and. responsible
managem ranges and employee benefits business practices
ent to attract and retain good ● offer competitive
talents salaries, benefit
● issue internal Human Capital packages to attract
policies to ensure a healthy and retain workers
and safe working
environment for employees

● need a robust
distribution
network to get
their beers from
brewers to
retailers and
customers, which
● 26 factories throughout involves
Vietnam warehouses,
Infrastruc
● facilities modernization for trucks,
ture
optimal performance as well partnerships, etc.
as pricing ● utilizes enterprise
resource planning
(ERP) systems
and other digital
tools to manage
inventory, track
production.

2. Core competence

Sabeco's core competence lies in the ability to adapt to every demand of the consumer.
Among its competitors, Sabeco has the longest history of beer in Vietnam, which
promotes its opportunities to gain consumer's trust when using a not-so-healthy
beverage. With its long-standing products such as Lac Viet Beer, Sai Gon Beer, Beer
333, Sabeco has gone a long way in this industry and experienced many kinds of
customer satisfaction. Therefore, Sabeco can make use of this advantage to discover
9
thoroughly the change in customers behavior for years in order to enhance the quality
of the business. Furthermore, the fact that Sabeco has achieved “National Brand” 05
times in Vietnam makes this beer brand more reliable and potential to grow bigger in
the industry.

3. Competitive Advantages

Sabeco has the competitive advantages of differentiation in the product portfolio. In

particular, Saigon Beer offers a wide range of products such as Saigon Beer Special,
Saigon Chill, Beer 333, etc. which are designed uniquely. Moreover, each product of
Sabeco will also have different prices due to sizes and ingredients used so that Sabeco
can impressively serve many types of consumers, especially those in the working age.
Since 2015, Saigon Beer has achieved lots of product awards, namely Gold Medal at
2022 World Beers Awards in UK for the Beer 333 and Beer Saigon Lager. This
appreciation can lead to the increase in customers’ belief about the high quality of the
brand and also helps Sabeco day by day reach the goal of proudly introducing
Vietnam to the whole world. Furthermore, Advanced supply chain system and the
largest number of modern infrastructure (26) encourages Sabeco to spread the impact
to the customers more efficiently.

Resources Competitive
Valuable Rare Immitable Organized
/Capability Advantage

Research & Competitive

Yes Yes Yes Yes
Development Advantage

Brand
reputation and Competitive
Yes Yes Yes Yes
customer Advantage
loyalty

Human
Competitive
resources Yes Yes Yes Yes
Advantage
management

Competitive
Supply chain Yes Yes Yes Yes
Advantage

Competitive
Infrastructure Yes No Yes Yes Advantage
Parity

Procurement Yes No Yes Yes Competitive

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 Advantage
Parity

4. Positioning
a. Points of parity
To survive and become one of the most successful companies in the Vietnamese beer
industry, Sabeco reaches customers through various essential points of parity
- All home beer brands serve the same function in the alcoholic beverage market:
they are thirst-quenching and refreshing. In addition, every beer brand tastes
nearly the same due to inherent similarities in components such as malt and
barley and manufacturing processes.
- Regarding packaging, many home beer businesses have shared similar
packaging and bottle designs which reach the demand of a wide range of
customers. Sabeco's primary source of revenue is the signature green and white
can or bottles.
- Many brands chooses sponsoring as a tool to attract and communicate to
consumers, and Sabeco has been one of the leading companies providing
significant support for many national sport teams in Vietnam, especially
football teams that join international competitions
- Beer brands usually offer affordable prices to increase product volume and
usage of consumers. Sabeco's products are sold at a price range from
10.000VND to 18.000VND
- Distribution channels of home beer brands in Vietnam are mostly similar,
including supermarkets, retailers, convenience stores, bars, etc.

b. Points of difference
Sabeco differentiates themselves in a few key ways:
- Sabeco stands out from others by its unique and limited packaging for the
collection “63 là 1”. Sabeco expresses its origin spirit through the design of the
bottle by using abbreviation and culture of 63 provinces and cities in Vietnam
as one-of-a-kind materials. This collection proves Sabeco’s leading position in
the industry as becoming the first beer packaging taking pride in Vietnamese
cultural values.
- Sabeco currently possesses 26 factories distributed all around the country, as
well as more than 100.000 points of sale, making it the giant in this industry.
- Sabeco beers are a suitable choice for a wide range of customers, especially
individuals who prefer lighter beers, especially those who are fresh workers
and experienced ones (22-49) because they typically have a lower alcohol
content (between 4 and 6%) than some multinational brands.

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 c. Value proposition

Since 1875, Saigon Beer has become a Top Of Mind in the hearts of consumers thanks
to the great benefits that it brings for people. In general, Sabeco provides the society
with safe and useful products but also to stick to a sustainable and friendly
environment. By utilizing its history and long-standing Vietnamese brewing customs,
Sabeco is able to provide authentic Vietnamese-taste beers that have a flavor profile
that sets them apart from other global brands. Under its brand, Sabeco offers a
diversified selection of beers, ranging from specialized and regional types to well-
known options like Bia Saigon. This accommodates a range of drinking circumstances
and taste preferences. Finally, Sabeco guarantees quality and consistency in its beers
thanks to its lengthy history and well-established brewing procedures.

d. Perceptual map

Lower
priced

Less More
tasty tasty

Higher
priced

Sappor
Brand Sabeco Heineken Budweiser Masan
o

Saigon Sappor
Name Beer 333 Tiger Heineken Larue Budweiser Red Ruby
Beer o

10.000- 12.000- 17.000- 17.000- 12.000- 11.000- 15.000-

Price 18.000
15.000 18000 21.000 21.5000 12.600 12.000 19.000

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Volume 330 ml

Alcoholic 4.5-
5.3% 4.3-4.9% 4.6-5% 0-4-5% 4.2-4.6% 5% 4.3%
content 5.2%

Varied,
Sweet, not
thick, refreshing, Smooth, Rich, bitter Bitter,
too bitter, sweet
suitably strong light, with savory sweet, adequately
Taste also & light,
strong for taste of uniquely flavor from refreshing strong and
suitable for smooth
men malt and bitter malt sweet
women
barley

e. Brand mantra

Having been established for nearly 150 years, Sabeco plays a crucial role in the
market of alcoholic beverages. With its aim to extend the reputation of Vietnamese
products to the world, the “Pride of Vietnam” mantra can express perfectly the power
of national beer compared to foreign competitors. Simultaneously, Sabeco defines
itself as a perfect brand for the ones having deep knowledge about this alcohol drink.

=> Key takeaways for Sabeco:

Sabeco has a deep understanding of Vietnamese consumers as their long history in
Vietnam allows them to adapt to changing consumer preferences and build trust. Also,
a wide range of beers with various price points and styles caters to a broad customer
base. 26 factories and 100,000+ points of sale ensure widespread product availability.
“63 là 1" collection highlights national pride and sets them apart from international
brands.
However, there are also areas for improvement, specifically in declining sales,
competition and limited international presence. Some recommendations for Sabeco
include further emphasis on the "Pride of Vietnam" concept in marketing to strengthen
customer loyalty as well as innovations and expansion in product lines. Furthermore,
to enhance international presence, Sabeco should explore targeted international
marketing campaigns to expand beyond Vietnam, while at the same time promoting
social responsibility initiatives to counter the "not-so-healthy beverage" perception.
By focusing on these takeaways, Sabeco can solidify its position in Vietnam while
exploring new avenues for growth and international recognition.

SECTION 4: MARKETING MIX

1. Product
a. Variety

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Up to now, SABECO has developed 7 product lines for Bia Saigon: Saigon Lager 450
bottled beer, Saigon Export bottled beer, Saigon Special bottled beer, Saigon Lager
355 bottled beer, Saigon Special canned beer, Saigon Lager canned beer, Saigon Chill
beer are fully present in the market.

Heineken Beer has slight variations, including Heineken Silver, Heineken Original,
and Heineken 0.0. The brand targets a more specific market - high income and modern
men - compared to its competitor. Heineken is said to primarily offer their standard
lager internationally.

b. Product innovation
In 2022, Sabeco relaunched its Bia Saigon Special to celebrate its 20th anniversary in
the market. The brand now has a new taste and new packaging to reflect a more
premium image.

Meanwhile, Heineken is a pioneer in introducing non-alcoholic Heineken 0.0. This

product seems to have remarkable potential, as young consumers increasingly prefer
low-alcoholic beers and the restricted law related to drunk driving. Given the early
success of Heineken, it is likely that more players will launch non or low alcoholic
beers in Vietnam.

c. Packaging
Both have diverse variations of packaging, including cans, short-neck glass bottles,
and long-neck glass bottles. Saigon Beer utilizes an iconic yellow dragon design,
fostering brand recognition and a sense of heritage, whereas there is a classic red star
with “Heineken quality” appearing on the back of the label, making its packaging
convey a more international and premium image.

2. Price
a. Sabeco
One strategy contributing to the success of Sabeco is the market-penetration pricing
strategy. Unlike the high-pricing strategy to defile the market, the company has a
relatively low pricing strategy aimed at penetrating the market in the hope of
attracting a large number of customers and gaining a large market share. For
consumers, with the aim of leading the market, Sabeco sets average and low prices
that match the income of the majority of Vietnamese, with Saigon Special being the
middle class customer and Saigon Red for the average consumer. For the dealers, the
company applies price discrimination, as they charge different prices when selling
through different channels and products:

14
 - Discount pricing: Sabeco will adjust its prices for customers who pay in
advance, buy in bulk.
- Differential pricing by product type: in this way, Sabeco products and items are
priced differently, but in proportion to their respective cost.
- Price by product type: Sabeco generally produces many types of products and
items rather than just one thing. They differ in brands, shapes, sizes, features...
so they're priced on different scales.

b. Heineken
Meanwhile, Heineken is committed to the premium pricing strategy and it focuses on
enhancing the quality and appeal of its product portfolio. The brand elevates its
products’ perceived value, justifying higher prices. The pricing strategy is suitable
with the company's target customer - high-income citizens. This strategy has led to
significant growth in premium beer sales, outperforming other segments.

Heineken Vietnam Brewery also has an outstanding advantage over Sabeco thanks to
the signing of contracts to buy raw materials in the world in a centralized manner. Up
to 50% of Heineken Vietnam Brewery's raw material purchase contracts are signed by
the parent company. This allows the company to have an advantage in terms of input
costs.

→ Having considered the value chain of two companies, it can be inferred that the
cost structure of production or business model does not have a big influence on the
price of their products. It is about how they choose their target market that impacts
their pricing strategy: If Heineken focuses mainly on the high-end segment, those with
well-off income, Sabeco focuses mainly on the affordable segment. This leads to the
price difference between Sabeco and Heineken beer product lines.

3. Place
a. Sabeco
Sabeco's distribution channels are organized according to indirect marketing
channels. With a system of breweries all the way to warehouses across Vietnam,
Sabeco's products are delivered to consumers through intermediaries and retailers
across the country, such as restaurants, bars, convenience stores, etc.
In the near future, Sabeco plans to expand its e-commerce and off-premise distribution
channels (including all retail stores). Beer is best suited for the secondary distribution
channel because it is a consumer good with a low value that is bought frequently. The
off-trade channel will be the main driver for growth, and Sabeco still has a lot of room
to improve the modern-trade channel.

15
In order to bring products to consumers across Vietnam in the safest way, maintaining
the quality of the product, Sabeco also established Saigon Beer Transport Joint Stock
Company, which plays an important role in its supply chain.

b. Heineken

Heineken has constructed eight offices and six breweries throughout Vietnam. The
two largest cities, Hanoi and Ho Chi Minh City, are home to two of each.
Heineken sells its products through two marketing channels: (1) directly through its
online website and (2) to wholesalers, who then sell to different retailers ocated all
over the country. Heineken follows an intensive marketing strategy where it tries to
include its products in as many retailers as possible. It follows an omnichannel
distribution system where it has integrated its online and offline stores to allow
customers easy access to its products. The company has a substantial amount of online
sales with frequent traffic on its websites.

However, the corporation does not have its own logistic company. Hence, in order to
run its online operations, it has partnered with numerous delivery service providers
in order to provide timely deliveries.
→ Heineken has a stronger supply chain for online stores, and its own website
generated a significant amount of sales. While Bia Saigon focuses more on
distributing to wholesalers through its nation-wide logistic infrastructure.

4. Promotion
a. Sabeco
i. Sales Promotion
SABECO has actively launched many promotional programs: “333 – Share
great joy”, “uncap of SAIGON LAGER beer” ... with a series of attractive
prizes such as Honda SH cars, Samsung TVs… Sabeco continually has various
sales promotion campaign for each of its product lines, utilizing special
occasions of VNese people such as Tet, summertime, national sport games,...

ii. Advertisement
Each year, Sabeco spends about $50,000 - $70,000 for each promotional video.
And 1000 to 2000 USD for a slogan. SABECO advertises its products on
television channels with a large number of viewers such as VTV1, VTV3, etc.
In addition, this beer company also advertises its products through billboards
on the streets or banners on websites. web.

16
 One of SABECO's successful promotional campaigns is the campaign "You
may not be tall, but others also have to look up" for the product Saigon Special.
Right after the start of the campaign, this slogan became more viral than ever,
to the point that it became a catchphrase for many people when they wanted to
encourage each other to be confident and different to express themselves.

Up to now, although Saigon Special has appeared in canned versions, the name
"Dwarf Saigon" is still widely used as a sign of consumer love for this brand.

iii. Social activities

Since 2020, Bia Saigon has continuously implemented many initiatives and
community support programmes, supporting more than VNĐ42 billion for over
27,800 beneficiaries in 63 provinces and cities in Việt Nam such as giving gifts
including necessities, lucky money and transportation tickets so that workers
and disadvantaged people could have a cozy and reunited Lunar New Year
holiday.

The most prominent of those is the "Come home for Tet" campaign in 2020,
through which SABECO wishes to affirm SABECO's national brand position,
while also contributing economically to the country and ensuring responsibility
to the community and society. At the same time, SABECO also marked the
collaboration with the band Buc Tuong to release the MV "Road to Glory"
modified to suit the context of the campaign. Throughout nearly 2 months of
implementation, the campaign has achieved many positive results.

In addition, the company is also strong with the collaboration between Saigon
Beer becoming a sponsor of Leicester City. Since the Premier League is a
tournament that attracts a lot of sports fans all over the world, the company will
reap huge revenues from fans to the field of use of its products. This strong
partnership has shown Sabeco's ambition to penetrate the international market
and increase the coverage with customers.

Heineken
The most remarkable difference in Heineken's promotion strategy is that it
doesn’t have many sales promotion campaigns. Heineken is inherently a high-
end beer brand, so having to use methods such as sweepstakes, giving gifts,
exchanging points... to attract consumers' attention is completely unnecessary.
In some cases, the reputation of beer in the subconscious of consumers can
even decrease significantly. However, Heineken Vietnam beer still has some

17
 promotions, despite very few, such as: discounts for customers who buy beer in
large quantities...

Advertising
This can be considered the most unique and important communication program
of Heineken. According to recent surveys, Heineken Beer is one of the brands
that owns many advertising clips that are highly appreciated for their
uniqueness and creativity, famous for the slogan "It can only be Heineken". It
is the touches in the advertising field that Heineken has achieved that have
created trust beyond customer expectations. The "huge" numbers in terms of
the number of products sold and profits are the results of this breakthrough.

CONCLUSION

Sabeco has a deep understanding of Vietnamese consumers as their long history

in Vietnam allows them to adapt to changing consumer preferences and build
trust. Also, a wide range of beers with various price points and styles caters to a
broad customer base. 26 factories and 100,000+ points of sale ensure
widespread product availability. “63 là 1" collection highlights national pride
and sets them apart from international brands.

However, there are also areas for improvement, specifically in declining sales,
competition and limited international presence. Some recommendations for
Sabeco include further emphasis on the "Pride of Vietnam" concept in
marketing to strengthen customer loyalty as well as innovations and expansion
in product lines. Furthermore, to enhance international presence, Sabeco should
explore targeted international marketing campaigns to expand beyond Vietnam,
while at the same time promoting social responsibility initiatives to counter the
"not-so-healthy beverage" perception.

Sabeco can solidify its position in Vietnam while exploring new avenues for
growth and international recognition.

Overall, Sabeco leverages its diverse product range, affordable pricing, and
strong distribution network to dominate the Vietnamese beer market. However,
they could benefit from strengthening their online presence and creating more
impactful advertising campaigns to compete more effectively with Heineken's
premium brand image.

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