FROM VIETNAM TO THE WORLD CAN VIET BRANDS MAKE IT?
Phi Nguyen
August 2014
This slideshow is from a presentation at the M2 Marketing & Media events in Ho Chi Minh City, Vietnam organized by ITV-Asia.com and VietnamBusiness.TV
To see videos from the events, interviews with speakers and
to get information on upcoming M2 - Marketing & Media Network events Please visit VietnamBusiness.TV
BACKGROUND
Was:
• GM - Asia, Gloria Jean’s Coffees Int’l
(GJCI)
• Head of Global Development - GJCI
Is:
• Managing Partner - China & Indochina,
World Franchise Associates (WFA)
• Managing Partner - N&A Spa Int’l JSC.
• Chairperson – Nguyen Phu Invest JSC.
• Global Development Advisor – GJCI
CONTENT
THE INFLATED VIEW
THE HARD TRUTH
REALITY
THE WAY FORWARD?
THE INFLATED VIEW
6
THE TRUTH - VIETNAM IN REGIONAL CONTEXT
Global
• It also makes Vietnamese brands less competitive with other brands that were to
enter Vietnam in the future.
0%
20%
40%
60%
80%
100%
Malaysia Singapore Indonesia Philippines Thailand Vietnam GLOBAL
50% 58%
32%
47% 46%
75%
50%
7%
5%
1%
2% 3%
2%
8% 3%
5%
2%
3% 2%
1%
10%
40% 32%
65%
48% 49%
23% 32%
"UNDISCLOSED VALUE" DISCLOSED GOODWILL DISCLOSED INTANGIBLE ASSETS (exc GOODWILL) TANGIBLE NET ASSETS
• Vietnam’s composition of enterprise value is NOT in line with the global average.
• Vietnam has a very high % of tangible value making it the least intangibles or least
brand driven market in the ASEAN region.
• This is extremely worrying for the Vietnamese brands as it hugely limits their ability
to compete in the region.
7
TOP 10 VIET BRANDS
Rank
2014Brand
Brand Value
2014
Brand Rating
2014
Enterprise
Value
Brand Value
/ Enterprise
Value (%)
1 Viet Nam Dairy P 637 A+ 5,111 12%
2 Fpt 193 A 685 28%
3 VietinBank 117 A+ 2,947 4%
4 Viettel Telecom 95 A N/A N/A
5 JSC Bank CenterCredit 80 A+ 2,943 3%
6 Vinaphone 44 A- N/A N/A
7 Military Commerc 41 A+ 672 6%
8 Sacombank 38 A 915 4%
9 Mobifone 32 A- N/A N/A
10 Asia Commercial 31 A 681 5%
• The brands are relatively weak in Brand
Strength. A+ is the highest brand rating
Date of valuation “ 31st December 2013”
• The Brand values are not very high. Outside the top 3, the
rest are all under US$100mil.
8
VIETNAM DIARY PRODUCTS
Brands Value 2014
631 Enterprise Value
5,111
12%
9
FPT
Brands Value 2014
193 Enterprise Value
685
28%
10
VIETINBANK
Brands Value 2014
117 Enterprise Value
2,945
4%
11
VIETTEL TELECOM
Brands Value 2014
95 Enterprise Value
N/A
N/A
12
VIETCOMBANK
Brands Value 2014
80 Enterprise Value
2,943
3%
13
VINAPHONE
Brands Value 2014
44 Enterprise Value
N/A
N/A
14
MILITARY COMMERCIAL
Brands Value 2014
41 Enterprise Value
672
6%
15
SACOMBANK
Brands Value 2014
38 Enterprise Value
915
4%
16
MOBIFONE
Brands Value 2014
32 Enterprise Value
N/A
N/A
17
ASIA COMMERCIAL
Brands Value 2014
31 Enterprise Value
681
5%
FOOD FOR THOUGHT…
$78.7bil
$2.2bil
$424mil
$348mil
$3.1bil
$104.6bil
REALITY
STRENGTH • DISTRIBUTION
WEAKNESSES • PRODUCT
• PRICE
• PROMOTION
• SOURCE OF FINANCE
• CORPORATE GOVERNANCE
• TECHNOLOGY
• R&D
• MANPOWER
WHERE TO FROM HERE?
FTAs TPP
WTO
Health Check Vision &
Purpose
Business
Objectives &
Strategy
Organizational &
People Strategy
70% fail in the transformation process, 85% of which due to leadership John P. Kotter - Havard Business Review
TRANSFORMATION OR…?
FROM VIETNAM TO THE WORLD CAN VIET BRANDS MAKE IT?
SOME ARE ON THE WAY!
OTHERS? SERIOUSLY! ONLY THE
OWNERS KNOW!!!
This slideshow is from a presentation at the M2 Marketing & Media events in Ho Chi Minh City, Vietnam organized by ITV-Asia.com and VietnamBusiness.TV
To see videos from the events, interviews with speakers and
to get information on upcoming M2 - Marketing & Media Network events Please visit VietnamBusiness.TV