MondelezKinh Do - Undisputed Snacks Leader in Vietnam
With a goal of becoming the best snacking company in Vietnam, MondelezKinh Do is now building the “muscle” of brand, people and distribution system.
Before inking the deal of giving birth of MondelezKinh Do, Kinh Do has run a very successful business, providing high quality products at affordable price plus an effective distribution system. While Mondelez has been the world’s famous snacking company which brings joy to approximately 165 countries, it is also a world leader in biscuits, chocolate, gum, candy and powdered beverages.
The combination of Mondelez and Kinh Do is simply the best of both with an unchanged goal of offering Vietnamese consumers the best portfolio for both local and international brands with the highest quality.
As part of Mondelez International family of companies since July 2015, MondelezKinh Do has combined a series of leading snack brands from Vietnam and around the world including Kinh Do mooncakes, biscuits, Cosy, Solite, Slide, Cadbury, AFC, Lu, Oreo Ritz, Toblerone, Trident, etc.
In the first 02 years of the deal, MondelezKinh Do has posted a gain of nearly two percentage points in biscuit and cake market share in Vietnam. To maintain this momentum, the company will continue making its business stronger and expanding its portfolio of local and international brands.MondelezKinh Do’s products have been available in more than 300, 000 outlets across Vietnam. It is the company’s plan to reach many more in the future through supporting its distributors and retailers with strong programs.
The combination has reinforced Mondelez’s leading position in its core snacking categories not only in Vietnam but across Asia Pacific region. It also provides a unique opportunity for Mondelez to invest in Vietnam as well as to promote its growth strategy in Asia. With a population of over 93 million people, Vietnam is a very potential market for MondelezKinh Do, the company has seen its business expanding beyond expectations thanks to the strong snack market growth rate. In a period of 2 years since the combination, MondelezKinh Do has become an undisputed snacks leader in Vietnamese confectionery market.
Although the average biscuit and cake consumption of Vietnam is lower than that of other Asian and European countries, but this market offers MondelezKinh Do a big opportunity to invest due to its 50% of population under 30. Vietnam’s snack category is also growing faster than its GDP rate and consumer goods growth rate. MondelezKinh Do is now targeting the daily consumption of nutritional snacks and expanding into luxury segment with LU cookies. This is a premium gifting option to serve local high demand for Tet gifting.
During Tet holidays, biscuit and cake in particular and consumer goods in general are favorite gifts. MondelezKinh Do is now carrying out its core marketing campaign called “see Kinh Do, feel Tet”. To meet various needs of consumers during Tet holidays, MondelezKinh Do is now launching new products such as LU, Cosy and Solite. The categories of MondelezKinh Do are ready to serve various consumers from premium to mainstream with affordable price. Typically, MondelezKinh Do (MKD) has officially launched the "Joy Schools" program, which aims to promote balanced nutrition and an active lifestyle for school-aged children. The initiative is part of Mondelēz International’s program in South East Asia that focuses on three core pillars: Nutrition Education, Active Lifestyle, and Access To Fresh Food.
It is expected that MondelezKinh Do will achieve a double-digit growth in sales for the biscuit category based on its three pillars: growing core business, entering into new attractive business segments and developing distribution system. In addition, the company will accelerate the business by broadening its presence not only in Vietnam but also in ASEAN region and others.
In the near future, MondelezKinh Do will invest in upgrading its factories as well as expanding its capacity, including its new workshop in Hung Yen province with new Halal certified production line. Currently, the standards of its two factories have been upgraded such as automation, control, quality and safety of workers.
At the same time, the company also pays a special attention to development of high quality human resource, giving top priority to career development of local talents, strengthening resources and discipline of a global organization combined with the speed and agility of a local business.