Thai Thi Huong Giang Understanding Advertising Media

S 3117184 GRAP 24131

Royal Melbourne Institute of Technology,

Vietnam

GRAP2413 – Understanding
Advertising Media

INSTRUCTOR: Ms SUPANIDA CHANTARIN

GROUP 1

Main Assignment : Media Plan Stage 1

Date: 18 November 2009

STUDENT: Thai Thi Huong Giang - s3117184

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Table of content
I. Background research and marketing situation analysis………………. 1
1. Product…………………………………………………………….….1
2. Marketing mix…………………………………………………….….2
a. Price
b. Place
c. Promotion
3. Target audience...……………………………………………….……4
a. Demographic
b. Geographic
c. Psychographic
d. Motivate
4. Competitor analysis……………………………………………….….5
5. Marketing situation analysis……………………………………..…..6
Global Yoplait
Vietnam Milk market
6. Marketing objective & communication subjective…….….…….….14
7. SWOT………………………………………….…………………….14
II. Creative Concept……...……………………………………………...15
1. Key messege…………………………………………………………15
2. Key visual,,,……………………………………………………….…15
3. Visual style………….……………………………………………….16
4. Tone of voice…………..…………………………………………….16
5. Media…………………….…………………………………….…….16

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I. Background research and marketing situation analysis

1. Product:

Yoplait smoothie is a healthy refresher of the US and is purchased popularly because of

reasonable price and high quality. Yoplait smoothie will introduce 2 kinds of product in
Vietnam market
 Yoplait smoothie frozen: unmixed smoothie. It’s bag of fresh fruit and yogurt that
needs few more steps before use.
 Yoplait smoothie: already mixed smoothie. It’s ready for use.

a. Core benefit:

 Yoplait smoothie brings a good health and beautiful skin for users that build up the
confidence in life and success in business

b. Quality:

 All fresh ingredient

 Nutrition product for both normal people and diet people
 Good flavor

c. Feature:

 Completing more vitamin C for resistant strain

 Reinforcing more vitamin for skin,
 Strengthening digestion system by adding more mineral
 Many flavors: strawberry, triple berry, peach and banana.
 Two kinds of choice including regular or light for diet and mixed and frozen.

d. Style and design

 Fashionable and youthful cover

 Two kinds of package including plastic bag or plastic bottle

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e. Package:

 Small and convenient

 Eye catching with bright color
 Useful information and fact nutrition on the package cover

f. Brand:

 Yoplait is famous brand of yogurt and smoothie in the US

2. Marketing mix (The 4 P's of Marketing)

a. Price:

Yoplait is new brand in Vietnam market and its target group is big, so Yoplait concerns
about affordability of customers. Therefore, Yoplait tries to produce at least cost and set a
reasonable price for customers in order to increase number of sale and extent market share.
The price of Yoplait smoothie is set based on two kinds of feature:
 Yoplait smoothie frozen in plastic bag: 18000 vnd/ bag
 Yoplait smoothie in plastic bottle: 5000 vnd/ bottle (27000 vnd/ pack 6 bottles)
The price is equivalent with the price of other’s competitive products to compete with them
in the market. Yoplait tries to bring imported quality with domestic price to the customers,
so the price of Yoplait is set up as cheap as possible.

b. Place:

Because Yoplait wants to give convenience to customers when buying Yoplait smoothie,
Yoplait has built a strong distribution system in Ho Chi Minh City and Cantho city. Yoplait
products will be distributed to dairy retailers, supermarkets, convenient stores, markets,
vending machines.
Its objective is to make sure that when customers need its products, they can find them easy
and fast. Locating vending machines in schools, offices and parks aims at providing the
best products for students, officers and others because they still have cold smoothies after

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lunch without fridge.

Yoplait
smoothie

All target Officers &

customers students

Dairy Convenient Vending

retailers
Supermarket
stores
Markets machines

c. Promotion:

To achieve the objectives in the current competitive dairy market, Yoplait needs following
the marketing communication mix which combining advertising, sale promotion, public
relation tools. Direct marketing and personal selling are not suitable for campaign’s budget.
 Sale promotion: using trade objective approach to increase the number of sale. For
example: buy a pack of Yoplait smoothie (12 bottles), customers will get 1 free
Yoplait smoothie bag.
 Public relation: using sponsorship approach to increase brand image and awareness.
Sponsorship for selected game shows and programs that catch attention of target
customers. Moreover, point of sale is a good approach by building the booths giving
samples in the supermarkets in order to increase awareness as well as speed up
purchasing power.
 Advertising: strengthening advertising activity to reach the objectives. However, it
needs a careful and rational plan that maximum the effect and minimum the cost to
keep a stable and reasonable price.
 Promotional product marketing: For new product that want to increase brand
awareness and brand recall, promotional product advertising is the best choice.
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Coffee mug that can keep cool and hot drink (can use for travel) will be the gifts for
the customers who buy a given number of products. On the body of coffee mug will
be the product of slogan, logo and images. Customers can bring it along with them to
the offices, travel or picnic, etc, so the images on the coffee mug can be seen by many
people.

3. Target audience:

Pie chart of segmentation by age

6%
14% 26% <15

15 - 24

25 - 34

35 - 44
15%
45 - 64

+ 65
22%
17%

CIA World Factbook 2008 /Euromonitor/ National Statistic 2007

a. Demographics:

This product is suitable for everybody but Yoplait focuses on women who are from 15 to 45
years old because at this range of age, people normally pay more attention to their health
and beauty as well as their families’. In addition, the company aims to officers, workers,
students and house wife who have income in class D (about 3-4 millions VND per month)

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or teenagers whose parents earn equivalent salary. This portion occupies high rate in
Vietnam population, so it’s potential market for Yoplait.

b. Geographic:

Ho Chi Minh City and Can Tho city will be the target locations because they are two
biggest cities in South of Vietnam that have strong economic development. Generally,
number of youth generation hold about 60% in total people living in Ho Chi Minh (‘Dân số
TP.Hồ Chí Minh 1999-2004 phân theo nhóm tuổi’, 2004). Moreover, location of HCM city
and Can Tho is convinient for product distribution that save the cost in transporting goods.

http://www.pso.hochiminhcity.gov.vn/an_pham/dansotphcmqua2cuocdieutra1999_2004/thaptu
oi

c. Psychographics

Target customers are busy people but they care about health and beauty. Target customers

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are confident and active so they tend to use the products that keep them healthy, beautiful
and confident. However, they don’t have much time for the foods that need plenty of time
to prepare and carry out. Thus, convinient healthy products are the things they are looking
for.

d. Motivation:

Firstly, to be successful in work, it requires a good health. Secondly, beautiful skin and well
– proportioned body bring confidence. These consequences will increase user rate of the
product.

4. Competitor analysis

Yoplait smoothie is the unique packed smoothie in Vietnam market, thus, Yoplait smoothie
doesn’t have direct competitors. However, their big competitor is Yomost which is yogurt
drink product with youthful design and has same target customers. In addition, Yomost also
owns big marketshare and it is old brand in the market that is prestige and has good brand
loyalty.

5. Marketing situation analysis

Global Yoplait

According to Wiki, Yoplait is the second best selling brand in dairy products which is
owned by two French holdings, SODIAAL and PAI Management since 1965. In 1969,
Yoplait has the first franchise in Switzerland. Since then, Yoplait is presented in almost 50
countries in the world such as USA, Canada, Mexico, Korea and Portugal. In 2002,
SODIAAL, a group of dairy cooperatives, sold 50% of the firm to PAI Management, a
private equity fund. Yoplait US is popular; it's recognized through many community’s
activities.

a. Size & market share

According to ‘Nestlé LC1’ (2005).

Within the industry of yogurt, there are many players in the market. The most dominant
brand name players inside the United States are Dannon, Stonyfield Farm, and Yoplait.
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Yoplait belongs to General Mills Group, is the leading yogurt company in the United
States, owned 37% of the market share. Stonyfield Farm owns 6% of the market share, and
Dannon is right behind Yoplait taking 31% of the market share.

Marketshare of yogurt in US

Yoplait
26%
37%
Dannon

Stonyfield Farm

6% others

31%

General Mills has six different strategic business units within their company. Lastly, the
yogurt division runs Yoplait, the number one yogurt within the industry and Colombo.
Yoplait has carried the company through some rough times within the last year. Thus,
Yoplait has become the star brand for General Mills, becoming the new core business for
the company.

In 2004, Yoplait’s unit volume grew 10%, which is five times more then the Big G division,
who used to be General Mills core division

b. Sale history, cost and profit of Yoplait yogurt under General Mills Group.

According to ‘General Mills posts top profits and positive outlook’ (2009) and ‘General
Mills profit jumps on strong demand’ (2009)

General Mills Group is the maker of Cheerios cereal and Yoplait yogurt. According to some
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reports, Yoplait is a core division General Mill that help it rising the revenue. Its fiscal first-
quarter profit surged 51 percent on lower ingredient costs and strong demand for its
products. Annual net income edged up to $1.3 billion ($3.80 per share) from $1.29 billion
($3.71 per share) in fiscal 2008. Annual sales climbed 8% to $14.69 billion from $13.65
billion.

The company earned $420.6 million ($1.25 per share) for the quarter, up from $278.5
million (79 cents per share), a year ago.

General Mills raised its 2010 adjusted profit to a range of $4.40 to $4.45 per share, up from
$4.20 to $4.25.

c. Use of advertising and creative strategies

 Yoplait has mainly aimed their products specifically at women, children, and dieters
with inovative and diverse products. Yoplait, for the most part, focuses on health to
appeal to their consumers, and has been successful at it.
 Yoplait Healthy Heart was introduced in February of 2005 during women’s heart
health month. Since then, Yoplait build up all their concepts that stick with the idea of
people’s healthy life (its benefit)
 Yoplait offers their customers a way to live a healthier lifestyle through their
products. Yoplait is the leading brand, which has the largest amount of Vitamin D
offerings in their yogurt compared to any other yogurt brand. They also offer ways to
lose weight, the lower your cholesterol, and how to keep your heart healthy.
Moreover, Yoplait has effectively positioned their products as being portable and
convenient, having a number of different health benefits, and the flexibility to eat
yogurt any time of the day.
 Recently, they are launching the campaign “Save lids to save live” which donate at
least $50,000 to The Celebrating Life Foundation, a leading foundation in promoting
breast cancer. Using pink lid implying breast cancer and image of the women licking
and giving the lid after use the products are the key visual of the advertising for the
capaign.

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TVC (Breast cancer campaign)

Print ad (Breast cancer campaign)

Because Yoplait is too familiar with people through many community activities, therefore,
most of Yoplait advertisings are simple just to remind about the brand with funny and
entertaining tone as well as its aim (people’s healthy lives). Normally, they are full page
colorful ad, showing young and dynamic people either enjoying outdoor activities or

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playing sports.

Moreover, Yoplait builds up a website (www.yoplait.com) which provides detailed

information of Yoplait products such as kinds of product, available flavours, nutrition fact
and healthy recipes as well as the commercials on television.

d. Media plan, media stratgies and competitive media expenditure

Yoplait as well as other competitors use TVC, newspaper, OOH magazine and website to
attract customers. However, Yoplait focuses on TVC and internet which help them provide
more information to customers.

As the famous brand on the market, Yoplait doesn’t have to spend too much budget for
advertising. They just make rational media plans to keep brand recall and brand loyalty.
The frequence of Yoplait advertising is average. Thus, cost of production reduced that leads
to competitive price for Yoplait.

They spend a lot of budget for PR activities which participates many community activities,
especially the capaigns of breast cancer. This strategy brings brand image and reputation
for Yoplait.

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Vietnam milk market

Vietnam milk industry is a young business that has developed for about 20 years. Thus,
Vietnam milk market seems to be a potential market in the future. Nowadays, market of
milk industry is very simple that doesn’t have separate markets for different category of
milk products such as fresh/sterilized milk, yoghurt for eating and yoghurt for drinking,
powder milk, and condensed milk. Moreover, milk market is oligopoly market in which a
market is dominated by a small number of firms which own more than 40% of the market
share. In the market, fresh milk and powder milk are the main products that develop
strongest whereas yogurt is still in the beginning steps with less diverse of products even
the rate of yogurt consumer is high.

a. Size and market share of other competitors

19% V inamilk

35%

Dutc h L ady

Imported milk
22% (MeadJ ohns on, A bbot,
Nes tle
O thers (Hanoimilk,
Nutifood)
24%

Milk Market share in Vietnam (http://forum.sanotc.com/ViewTopic.aspx?

hl=vi&id=14625)

Vietnam milk market is potential market for both current brands and new brands.
According to the article “Ngành sữa Việt Nam trong những năm qua luôn duy trì được tốc
độ tăng trưởng nhanh và tỷ suất lợi nhuận cao” (2009) milk market will develop strongly

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because milk consumption per capita of Vietnam is currently still low. Average milk
consumption in Vietnam reached only about 11.2 kg per year, lower than the standard of
Europe countries. “In the coming years, the milk market is predicted to be still eventful due
to the rising demand of milk product in rural market and increasingly fierce competitions
between producing and trading milk enterprises.” (VIETNAM MILK SECTOR IN THE
FIRST QUARTER 2009, 2009) A representative of the Netherlands-based Dutch Lady
Vietnam Company said Vietnam's dairy market is becoming increasingly competitive, said
these brand are increasing the quality of materials to quality of end product incessantly
(Dairy producers try to milk market share, 2006)

According to Webmaster (2009) 55% of households have family asked that chose to use
Fresh Milk - UHT most often. Eat yogurt and milk powder for children turn up rate was
19.9% and 11.9%.

Vinamilk and Dutch Lady are the two biggest milk companies in Vietnam that presently
own the 60% market share. 22% of the market is owned by imported products from many
different companies which powder milk is the main product. Vinamilk and Dutch Lady also
own about 72% market share of fresh milk and almost 100% market share of condensed
milk. (Ngành sữa Việt Nam trong những năm qua luôn duy trì được tốc độ tăng trưởng
nhanh và tỷ suất lợi nhuận cao, 2009)

Vinamilk is the biggest Vietnamese milk company in Vietnam, owned 35% market share. It
belongs to top ten of the best brand in Vietnam with many rewards and certifications. Based
on the statistic of Development Program United Nations, Vinamilk is 15th largest company
in Vietnam in 2007. Its distribution and retailer system develop widely with 183 distributor
and 94000 retails that spread 64 provinces of country. Furthermore, some products of
Vinamilk are exported to foreign countries such as USA, France, Canada, Poland,
Germany, Middle East and South East Asia.
Dutch Lady is the Joint Venture with Netherlands that has operated 15 years in Vietnam
milk market. Dutch Lady is the second biggest milk company in Vietnam with owning 24%
market share. It also belongs to top ten of the best brand in Vietnam.

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b. Public trend

 Because average income of Vietnamese people is still low, so people normally prefer
the domestic product because of cheap price.
 However, after series of harmful substances in milk, customers become fastidious in
choosing milk product. Hence, customers not only concern about price but also the
quality.

 Fresh milk and yogurt is beloved by housewives as well as people from different
ranges of age. They are promising product that will develop strong in the future.
(webmaster, 2009)

c. Milk market – potentiality and barrier

 Issues about food safety continue happen in different sides.

 It’s hard to re create the belief in customer for the current brands and build up the
belief in customers for new brands.
 Milk price, especial imported milk is higher than original price because products are
imported through other companies who take advantage on by increase the price. Thus,
number of sale of these products might reduce. (Vì sao giá sữa ở Việt Nam cao nhất
thế giới?, 2009)
 Worries of customers about milk and dairy products after a mass of harmful substance
in milk affected to number of sale of domestic brand as well as foreign brand. After
the crisis, milk market is restoring but it still meet some new barriers
 Reducing taxes on imported dairy policy tariff reductions in Vietnam when
Current commitments CEPT / AFTA and ASEAN's commitment to the World Trade
Organization WTO
 Well known brand built the factory & upgrade production line => competitive price
 Brand loyalty is the big barrier for new comer in the milk market. Milk is product that
affects directly to people health, so people tend to use the brand that they are familiar
with. For example, if a customer used to use milk of Vinamilk, they tend to use yogurt
of Vinamilk too. In fact, this point doesn’t threat to Yoplait yet, but if Vinamilk also
release smoothie, brand loyalty will affects a lot on Yoplait

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6. Marketing objective and communication objective

Generally, Yoplait will run the advertising campaign for this product within one year. As a
new brand firstly launched in Vietnam market, building brand awareness of consumers
about the product is the most important. Therefore:
 It aims to create 75% awareness of target audiences in total target customers by the end
of 2010 and 10% brand recognition.
 Furthermore, Yoplait wants to create good images about the product and brand name in
customers’ thinking.
 After one year, Yoplait wants to obtain about 12% market share of the yogurt drink
industry.
 In 2010, Yoplait has strongly distribution system
These objectives are achievable and realistic because there are not high competitions in the
market share as well as advertising campaign is strengthened

7. SWOT analysis

a. Strengths

 Yoplait smoothie has many new flavors

 Yoplait has various choices including frozen or regular and original or light
 Yoplait smoothie is new unique kind of nutrition food in Vietnam market
 It’s well-known brand in US market
 It’s imported product, so its quality is guaranteed
 It’s produced with fresh ingredients
 Yoplait has eyes catching design

b. Weaknesses

 The serving size is limited.

 Yoplait is new brand. It’s very strange brand name with Vietnamese people, thus its

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prestige is low.
 Yoplait is imported product, so it gets disadvantage on competitive price.
 Weak relationship with retailers

c. Opportunities

 Vietnamese people tend to use imported brands and products

 Living standard in Vietnam is improving, so people tend to care more their
appearances and beauty. As the consequence, rate of using product caring health and
beauty increases
 Awareness of health, nutrition food is increasing
 It’s a necessary product because health and beauty are desirable.
 The group of target consumers is high
 New policy takes effect from 1/1/2009 that the entrepreneurs have 100% foreign
capital can actively operate in the retailer industry of Vietnam (Thanh Hai, 2008).

d. Threats

 Yoplait has strong indirect competitors such as Yomost and Yomilk.

 Current competitors can release the same kind of product in the future and become
Yoplait’s direct competitors.
 There might have new local competitors and foreigner competitors in the future.
 Inflation and economic crisis affect on the price of product and purchasing power.

II. Creative Concept

Mineral and vitamin in Yoplait smoothie bring good health and beautiful appearance which
help users confident and successful.

1. Key message

Yoplait - healthy, beautiful, confident and successful

2. Key visual:

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Image of beautiful, active and full of energy business woman using and giving bottle of
Yoplait to another’s hand. Next, image of healthy and happy family using Yoplait together
after they just won a prize in sport competition for family. Then, they give the Yoplait
bottle to another hand. So, the image of active teenager girl who is beloved in music
contest using Yoplait bottle as microphone and after that using it. Next, images of Yoplait
bottle being passed from hand to hand. Finally, all the characters appear together (everyone
hold a bottle of Yoplait and all of them are happy and full of energy) and the slogan (key
message) is showed. It’s better if there are speech brief about their own comments about
the product from these characters.

Image of business women implies success; image of family stands for happyness and
healthiness; image of teenager girls is for beautiful and confident. Image of Yoplait bottle
being passed hand to hand implies Yoplait’s purpose which is to want to bring healthy live
for community through Yoplait product.

3. Visual style:

Advertising images should be bright color as well as show dynamic, youth and vitality.
Green, pink, blue and white should be used.

4. Tone of voice

Friendly, active, joyful and persuasion is elements in the advertising.

For persuasion purpose, using celebrities or well-known people is also good approach.

5. Media:

a. TVC:

30s – 40s clip will be broadcast at the prime time, after or middle of movie time. At this
period of time, most of people are in front of TV watching movies. Moreover, choosing
channels is also important because it affects strongly to the success of the campaign.
Choosing wrong channels does not only waste money but also miss communicate with
target audiences.

b. Outdoor:

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Billboards will be showed near the market areas, near the food counters in the plaza or
malls and in the central areas where a lot of people pass by everyday. The areas of sports
and outdoor activities are also the good location for banners or print billboards. In addition,
in-store media such as posters on stores pillar, lift and drop down are used in the
supermarkets and retails. Its role is to aware the customers about the product as well as
impulse purchase.

c. Website:

Banners and pop up are used to advertise Yoplait because internet is used popularly by
students and officers. Today, Students, teenagers spend most of their time in front the
computer and officers are in front of computer almost during their working time. Thus,
websites and social network are good way to communicate with them

d. Magazine:

Women tend to read magazines about fashion and woman world such as Tiep thi gia dinh,
the gioi phu nu that will be used in Yoplait advertising campaign. This kind of media is
good choice because it can take attention of consumers about the products and it’s effective
in spreading and price

e. Event:

Sampling activity in supermarkets is the feasible event because it’s a good way to build up
customers’ belief for new product of new brand. Customers have chance to use the product
and qualify the quality of the product themselves. As the consequence, purchasing power is
improved. Beside that, for a given quantity of product is purchased, customers will receive
a suggestion nutrition meal that provides all information to have healthy meals including
effective usage of the product in daily meals. Everybody really care about their health, so
this event will attract their interests.

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III. Reference

Thanh Hai, 2008, ‘Từ 1-1-2009, thị trường bán lẻ: Được đầu tư theo hình thức 100% vốn nước
ngoài’, Phap Luat Newspaper, viewed on 3 January 2009,
<http://www.phapluattp.vn/news/kinh-te/view.aspx?news_id=238137>

‘Dân số TP.Hồ Chí Minh 1999-2004 phân theo nhóm tuổi’, 2004, statistical office HoChiMinh
city, viewed 5 November 2009.
<http://www.pso.hochiminhcity.gov.vn/an_pham/dansotphcmqua2cuocdieutra1999_2004/thaptuoi

‘VIETNAM MILK SECTOR IN THE FIRST QUARTER 2009’, 2009, Agro info, viewed 7
November 2009
<http://www.agro.gov.vn/news/chitietbaocao.aspx?ID=98>

‘Ngành sữa Việt Nam trong những năm qua luôn duy trì được tốc độ tăng trưởng nhanh và
tỷ suất lợi nhuận cao’, 2009, Sanotc forum, viewed 7 November 2009
<http://forum.sanotc.com/ViewTopic.aspx?hl=vi&id=14625>

Nhu Minh, 2009, ‘Vì sao giá sữa ở Việt Nam cao nhất thế giới?’, cafef, viewed 7 November 2009
<http://cafef.vn/20090626064452909CA33/vi-sao-gia-sua-o-viet-nam-cao-nhat-the-gioi.chn>

‘Dairy producers try to milk market share’, 2006, VN Express, viewed 7 November 2009.
<http://english.vietnamnet.vn/biz/2006/06/579455/>

‘Nestlé LC1’, 2005, castelar article, viewed 15 November 2009

<http://articles.castelarhost.com/nestle_competitor_profile.htm>

‘General Mills posts top profits and positive outlook’, 2009, Ustoday, viewed 15 November 2009
<http://www.usatoday.com/money/companies/earnings/2009-07-01-general-mills_N.htm>

‘General Mills profit jumps on strong demand’, 2009, msnbc, viewed 15 November 2009
<http://www.msnbc.msn.com/id/32981147/ns/business-earnings/>
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‘Yoplaid ad’, 2009, [image], heartlessdoll, viewed 15 November 2009

<http://www.heartlessdoll.com/2009/09/10_worst_crimes_currently_being_committed_against.php
?page=2>

‘Save lid to save live’, 2009, [image], Kinston organization, encblog website, viewed 15
November 2009
<http://scampbell.encblogs.com/?s=yoplait>

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