Vinamilk has the capacity to meet all market needs.

- What is the highlight of Vinamilk's business activities last year, sir?

- At the end of 2021, in the context of consumer demand and supply chains in Vietnam as well as globally affected by Covid-19,Vinamilkstill achieved a record consolidated revenue of 61,012 billion VND. However, we do not only evaluate achievements through revenue and profit figures. During the 45 years since its establishment, what Vinamilk truly values ​​is the trust and affection of Vietnamese and international users.

In 2021, Vinamilk leads the "Most Chosen Brands" ranking ofDairy Industryand Dairy products (according to the Brand Footprint report - Kantar WordPanel). This is also the 10th consecutive year we have been honored in this position. 10 years for a business is not too long, but to maintain the number one position in the hearts of consumers throughout the decade is not a simple matter.

It can be said that 9 out of 10 Vietnamese families use at least one Vinamilk product. Many product lines are familiar to many generations of Vietnamese people such as Ong Tho condensed milk, yogurt, Vinamilk fresh milk. These are our greatest successes and pride.

Mr. Nguyen Quang Tri – Marketing Executive Director of Vinamilk. Photo: Tien Quyet

- Why do businesses have products that are decades old, but also have brands that constantly change?

- Product changes depend a lot on consumer demand. For example, the flavor of Ông Thọ condensed milk is quite unique and popular, so we are loyal to the original formula. Familiar but still innovative, today's products have more modern packaging, launching new lines to meet the needs of mixing, baking...

For products such as yogurt, ice cream, fruit juice, etc., which are typically younger customers, the need for change is always present. To be successful, manufacturers must catch the flow of demand and innovate their products. This is why we spend a lot of budget on R&D activities to develop more advanced formulas and technologies, discover new consumer needs and proactively launch new products.

There is also a story I would like to share. More than 10 years ago, most Vietnamese people preferred to use foreign and imported formula milk products. At that time, our problem was: to make products that meet international standards, are suitable for the physical condition of Vietnamese children, and have reasonable prices. Currently, Vinamilk has almost a full range of products and applies many of the world's most advanced formulas and scientific achievements. Our efforts have been well received by users as for many years, Vinamilk's infant formula milk has always been the leader in the Vietnamese market in terms of output.

- General orientation of VinamilkWhat is in product development?

- The fast-moving consumer goods industry is characterized by constant change. Our approach is the same: products are developed and continuously improved to meet consumer needs; while brand identity is maintained thanks to core values ​​revolving around quality and reputation.

Leading and creating trends is also the criterion we are loyal to.Vinamilk does not ignore any consumer needs. Why choose only one when we can do all well? Vinamilk has the capacity to meet the most advanced segments, needs, and nutritional trends to bring health care products to Vietnamese people.

- From the popular group to high-end customers, what do businesses do to harmonize these different needs?

- With the K-shaped economic model during and after the pandemic, consumer demand is increasingly differentiated. Besides a significant segment with unstable income and reduced purchasing power, there is also a large group of consumers with high income, demanding products and services with higher values, leading to an increasingly strong trend of premiumization.

Vinamilk's strength is its rich product portfolio of 250 varieties. We continue to research and develop to provide consumers with comprehensive nutritional solutions, improving both physical and mental health, applying world scientific achievements.

I also emphasize the message stated above, Vinamilk expanding the high-end segment does not mean launching expensive products or aiming for profit. Instead, we want to add more “added value” to each product.

Vinamilk Green Farm - a high-tech farm model combined with sustainable development introduced by Vinamilk in 2021. Photo: Only

Vinamilk Green Farm - a high-tech farm model that goes hand in hand with sustainable development. Photo: Duy Nhat

Vinamilk's premium products that have recently appeared on the market have been well received by consumers. This product group includes Green Farm fresh milk, Organic fresh milk and powdered milk, fresh milk containing bird's nest, Love Yogurt, Yoko powdered milk for children and nutritional drinks for young children, Kenko Haru medical nutritional products for the elderly and people needing to recover their health...

- Occupymarket sharebiginIs Vietnam considered an advantage or an obstacle by Vinamilk?

- We are well aware of the fact that businesses in the same industry are competing more and more fiercely. If we stand still and do not move, the risk of falling behind and losing market share is inevitable. Innovation and creativity are the tireless efforts that help us grow rapidly, not only maintaining our leading position in the dairy industry but also contributing to the development of the Vietnamese dairy industry in a modern direction, bringing increasingly higher value to consumers. The continuous introduction of a series of new products is the result of those efforts.

-On what platforms does this innovation take place?

- Vinamilk currently possesses a huge production and supply capacity. For many years, Vinamilk has followed the international standard orientation, for farms, factories and in all stages related to product quality. For example, in 2007, we had the first Global GAP-certified farm, or in 2017 Vinamilk opened the first European Organic farm in Vietnam. Vinamilk has also built a system of 13 dairy farms, 13 factories nationwide that meet the world's most stringent standards... At the same time, we invest in R&D activities, cooperate with scientists, and the world's leading nutrition research institutes to produce high-quality nutritional products, meeting the needs of comprehensive development and suitable for the taste and physical condition of Vietnamese people.

Another advantage of ours is our understanding of Vietnamese consumers with over 45 years of association, this is a "priceless asset" of Vinamilk.

-Attendnewspaperyouraboutdemandof the marketmilkin the near futureWhat is that?

- Although the growth rate of the milk market in recent years has slowed down due to some objective factors, it will develop sustainably again. The Vietnamese milk market still has a lot of room for growth as the average consumption per capita is still quite far behind that of neighboring countries (23.2 kg per person per year compared to 31.7 kg in Thailand and 43.7 kg in Korea).

Approximately one million babies are still born each year. In addition, the increasing awareness of health care and protection, especially among middle-aged and older people - who are more economically stable - is also a major growth driver for the dairy industry.

A popular trend today is convenience. In addition to the development of convenient shopping channels such as supermarkets and online shopping sites, product formats must also be more convenient for users. For example, the breakthrough growth of ready-to-mix infant formula, which is increasingly encroaching on powdered formula, is a typical example of the convenience trend in the dairy industry.

Vinamilk Green Farm fresh milk product was launched in 2021.Photo: Vinamilk

Vinamilk Green Farm fresh milk products,Photo: Vinamilk

Another perspective on the young generation (Gen Z), the group that is determining future consumption trends with the characteristics of being well-educated, promoting a green lifestyle, actively interacting socially on high-tech platforms... Serving this group requires dairy businesses to be more dynamic, sophisticated and sincere when bringing to the market nutritional solutions that are truly good for health, of natural origin, environmentally friendly and have highly interactive communication activities.