Presentation

1/ INTRODUCTION
1/BRIEF HISTORY
Hello! My name is
A Japanese scientist
Minoru Shirota.
Found the
Lactobacillus casei Shirota The founder of Yakult
bacteria (LcS) in 1930.
Hi! I’m Yakult! I was born on 1935.
And I’m
Dr.Shirota’s
invetion!
Yakult’s first form was the glass bottle. In 1968, changed in to plastic bottle.
Came to Vietnam’s market

in 2007.
1.2/ CEO
Yakult’s CEO
Dr. Minoru Shirota
Yakult’s founder
Carlos Kasuga Osaka

Yakult’s current CEO
Vietnam representative:
Toshihiko Haramoto
1.3/ YAKULT’S FUNCTION,
FEATURES, DESIGN,
MARKET SHARE
Hi! It’s me again.
 Feature:
o Prevent digestive disorders such as  Function:
diarrhea and constipation. o LcS increases the number of good
o Help build immunity; enhance bacteria in the intestine
digestive system o Lcs decreases the number of
o Contains 50 calories/bottle;11 grams harmful bacteria in the intestine.
of sugar.
o No fat. No cholesterol. No  Market share:
preservatives. No gluten. No high o Start operating in August 2008.
fructose corn syrup. No aspartame. o Have retail stores throughout
o Sweetened with Sucrose. Vietnam such as Big
C, Co.op Mart,…
 Design: o Provide door-to-door delivery service
o One-size serving bottle. in most countries in Vietnam (Ho Chi
o 5 bottles/packaging. Minh city, Ha Noi, Hai Phong,...)
Brand awareness:
o Global leader of probiotic products using Lactobacillus casei strain Shirota
(LcS) and Bifidobacterium breve. (Yakult website)
o Ranked 31th in “Japan’s Best Global Brands” (Interbrand, 2018).
o Ranked 47th in The Brand Footprint Global Ranking Top 50” (Kantar
Worldpanel, 2019).
o Yakult is the most online mentioned brand in the probiotic products field,
take up to 70% of total in Vietnam. (vn.trangcongnghe.com, 2019)
(yakult.co.jp n.d)
1.4/ YAKULT’S MISSION
Contribute to the health and
happiness of every person
globally.
Push forward with new quest for

possibilities for probiotics in the
industrial and scientific fields.
A price that anyone can afford.

2/ OBJECTIVES
 An objective is an aim which is measurable, that is, we have some means of
knowing that we achieved the objectives.
 Objectives are the building block of strategy
 The basis for determining future direction, consistency, motivation and

measurement of performance.
MARKETING OBJECTIVE: ACCELERATE SALES ACTIVITIES IN RETAIL IN
THE HOPE OF INCREASING DAILY CONSUMPTION OF BOTTLES.
 Specific: Give rise to CARG (Compound Annual Growth Rate) by 2.0% from
15.3% in 2019 to 17.3% at the end of 2020.
 Measurable: Actions are taken to measure both the outcome and
the expenses:
→Expenses: retailing channels: 63.5% sales composition.
 Yakult put more effort in balancing the proportion of network sales

between retail stores and Yakult ladies home delivery.
→Outcome: Staff are trained under the concept: “an organization

which promotes sales”.
 Average daily bottle sales in Viet Nam is at 377,000 bottles per day.
(yakult annual report)
 Average daily bottle sales in Viet Nam is at 377,000 bottles per day. (yakult
annual report)
(Yakult Honsha Co Ltd, Annual Report 2019)

 Achievable: VietNam: Dramatic increase in the number of annual average
bottle sales/day and trained Yakult ladies in 9 years.
 2007: 25 thousands bottles consumed daily & 100 people of workforce. 2010:
377.000 bottles consumed daily & 606 Yakult Ladies. (Yakult Honsha Co Ltd,
Annual Report 2019).
-> By the end of 2020: 427.000 bottles sold per day and take in around 10% more
of the Yakult ladies.
 Realistic: the total cost of expenses on training staffs, employees’
salary payment, and commission for sales activities on various
channels mustn’t exceed the total sales of the product.
 Time boundary: One year:
 To maintain the steady growth of network sales
 To gain more competitive edge in comparison to powerful brands like Vinamilk
(Country Report 2019)

3/ CUSTOMER
POSITIONING
Housewives
(Young housewife woman baking cookies at home in the

kitchen n.d)
(Country Report 2019)

Happy family
(Marta’s house & apartment cleaning n.d.)
 Exclusive beneficial bacteria (Yakult 2018)

 Scientific evidence (Yakult Science n.d)
Yakult positioning
High Calories
TH True Yogurt
Betagen
Probi
Yakult
Affordable
Premium
Calpis
Low Calories
 Maintain Yakult position

4/ 4PS STRATEGIES:
4.1/ PRODUCT LEVEL
 Core:
o Probiotic drink that improve digestion and boost the immune system
 Actual:
o Suitable bottle size
o Has high quality level
o Simple and impressive packaging and labeling
 Augmented:
o Free door-to-door delivery
o Free exchange
o Customer information security
o Flagship customer service
4.2/ BRANDING STRATEGIES
 Brand positioning: Yakult is the global leader in probiotic drinks market.
(Yakult history, Yakult homepage)
 Brand name: The name Yakult is derived from "JAHURTO"
 Brand development strategy: Line extension → Yakult and Yakult light.
 Yakult is a convience product

4.3/ PRODUCT LIFE CYCLE
 Yakult Vietnam is on growth stage now
(Figure 1: number of yakult bottles sales per day in 2016-2019)

 New competitors will enter the market
4.4/ PERFORMANCE
 Good:
 Prevent digestive disorders such as diarrhea and constipation.
 Help build immunity.
 Gluten-free
 Yakult are working very well on the product quality →Yakult is a global
product (Yakult worldwide, Yakult homepage)
 Bad:
 Not suitable for who allergic or intolerant to milk.
 Yakult don’t have many flavour.
 Recommendation:
 Add more flavors (fruit flavor)
PRICE
 23.000 vnd (official) per pack included VAT.
 Changes’ price depend on time and promotion.
 Follow the Shirots’s philosophy – Shirota-ism.

COST-BASED PRICING
 Design a good product
 Selected and culticated the Lactobacillus casei Shirota bacteria. (Yakult n.d)
 5 years of research to find the right food medium for

bacteria. (Yakult n.d)
 Yakult
 Determine and select the price
 Apply the philosophy of Shirota in Price.
 Convince buyers of the product’s value
 Convince the customers through FANTOUR
 Using KOL to more convincing
 Open FANTOUR in university
 Yakult lady
→ To persuade the customer about the price

PERFORMANCE
 Smart in choosing the target customers.
To ensure this we can make a little calculation.
Income per household: 5.000 USD-15.000 USD
A pack of Yakult in Vietnam: 1 USD/ 5 bottles / day
Price for a year: 1 x 365 = 365 USD
 Increase of price through 10 years in acceptable range.
 From 17.500 VND in 2007 to 23.000 VND in 2019
 Not suitable for all classes in the society – Not follow the
philosophy of Shirota.
5/ PLACE
 A processing plant in Binh Duong
province ( September 2007).
 Numerous retail stores throughout

Vietnam.
(Yakult.vn n.d.)
TYPE OF CHANNEL: MULTICHANNEL
 Direct  Indirect (traditional and modern trade)
Plant  Intermediaries Consumers

Plant Agency  Yakult Ladies
Consumers (Yakult.vn n.d)
CHANNEL DECISION: BASED ON TARGETED CUSTOMER
Right
Health maintain Affordable
Product
Right
Widely distribution
Location
Right Time Convenience stores

CURRENT EVALUATION:
 Using: Administered VMS  Channel Intermediaries:
 Intensive number of intermediaries  Both traditional and modern trade:

small groceries, grocery retailers, retail
stores, supermarket or hypermarket,
Drawback: limited availability on
online market.
online market.
(Famima.vn) (Bsmartvina.com) (Ministop.vn)
(Mmvietnam.vn) Channel
intermediaries
(co-opmart.com.vn) (BigC.vn)
ONLINE MARKET:
(Yakult.vn n.d)
CURRENT EVALUATION:
Retail stores
attribute double
proportion than
home delivery.
(Yakult’s annual report 2019)

RECOMMENDATION:
Reproduce from: Passport database n.d

Passport database
RECOMMENDATION:
 Invest in modern grocery retail: Hypermarket
and Supermarket
 The firm’s booth at distribution places.
 Invest in online market.
Available on famous internet retailing website

(Tiki, Lazada)
Reproduce from: Passport database n.d Reproduce from: Passport database n.d
6/ PROMOTION
THE MAIN 3 METHODS OF PROMOTION USED
BY YAKULT VIETNAM ARE
 Advertising
 Sales promotions
 Public relations
ADVERTISING:
 Yakult vietnam website – Provide features of product, company profile and
hotline for ordering customer service.
(Yakult.vn 2019)
 Yakult’s facebook page: advertises events and promotions
(Yakult VietNam Facebook Homepage 2019)

YAKULT VIETNAM’S YOUTUBE PAGE POSTS VIDEO
ADVERTISEMENTS.
 Broadcast/ TV advertisements - The same advertisements that are available
on Youtube; used to capture more audiences
 Yakult Vietnam uses persuasive advertising which emphasizes the benefits

of Yakult and encourages consumers to buy the product. Example: “Yakult
family” ads
 The ad : <https://www.youtube.com/watch?v=IdMpDenuvAo > (ads)

 This ads had attracted many kids
so they force their parents to buy
the drinks for them then lead to
increase yakult sales

 AR technology application is considered a vital milestone for Yakult Vietnam
Company pioneered making use of AR in promotion to delivery remarkable
experience to customers (VN Express 2017)
(Yakult successfully applied AR technology in their promotion 2017)

SALES PROMOTIONS - SAMPLES
 Offering a product sample is effective
(Google image n.d.)

 Consumer Promotion Tools – Minigames on Facebook Homepage
 Given the high rate of usage of Minigames (around 51.5%), Yakult frequently
run Minigames on their Facebook Homepage as part of the promotional
campaign.
(Means of Promotional tools most frequently used 2019)

(Yakult VietNam facebook Homepage 2019)

PUBLIC RELATIONS
 Pink Hat Day
 Consumers moral appeal
 Raise awareness and build understanding of breast cancer in Vietnam.
 Express genuine concern to the community  A positive image for Yakult.
 Highly successfull - total funds raised 324,948,000VND ; 230 sets of hair donated
directly, 50 wigs gifted to Nghe An Oncology Hospital by Yakult Director…
 Changed their packaging in October 2017 → aware of the Breast Cancer Network in
Vietnam.
(Yakult’s packaging in Oct 2019 – Responding to Pink Ribbon Month 2019)
CELEBRITIES
 Celebrity endorsements – partnered with Nha Phuong & My Tam. → The use
of celebrities captivate more audiences.
< https://www.youtube.com/watch?v=YcLT3flW6tU> (ads)
(Yakult VietNam Facebook Homepage 2019) (Yakult VietNam Facebook Homepage 2019)
SPECIAL EVENTS
 For Example: Yakult worked alongside the Tu Du hospital to organize the
“Nutrition for pregnant women and breastfeeding” event. → the event took
place at Tu Du Hospital on 7 December 2019 from 7.30 to 10.00.
 An informative seminar for pregnant women. → lead to increase in sales,

create a positive image, build customer loyalty. (Yakult India Twitter 2017)
(Yakult India Twitter 2017) (Yakult facebook homepage 2019)
(Yakult VietNam facebook Homepage 2019)

INTEGRATED MARKETING COMMUNICATIONS
 Positive experiences could lead to these students’ strong brand
awareness and the potential customer loyalty. → Plant tours for
students (IBS and SIU).
(old.isb.edu.vn, 2019) (siu.edu.vn, 2013)

PULL STRATEGY
 Focus on attracting customers and creating brand loyalty.
 This strategy is effective since Yakult is very well-known, have many loyal
customers and can gain more through their advertising and sales promotions.
 Using different methods to increase brand awareness → implementing the

sampling program in supermarkets, giving combo sales promotion.
 Gaining public relations through factory tour.

EVALUATION
 The current promotions used by Yakult Vietnam seem to be effective as sales as of
2018 were 275,000 per bottle which was an increase of about 50,000 since the
previous year. (Yakult annual report 2017 & 2018).
 Since Yakult is a product that caters to the whole market rather than a specific
segment, the use of advertising, sales promotions and public relations seem to be the
best methods.
 Focus on social media advertising and PR.
 Sales promotions run frequently to attract more customers (like sampling at

supermarkets and minigames online.)
 However, mostly target at women and children.
 For example Yakult’s event held for pregnant women as well as the system of
“Yakult lady” and the 2 female celebrities that represent the brand may
attract a female audience.
 Target at Children and the young: The bright colors and animations used in
Yakult’s promotions and the use of social media.
→ This leaves space for Yakult to also focus on attracting male customers – its
potential market segment.

(Yakult Viet Nam Facebook Homepage 2017) (Yakult Facebook Homepage 2019)
(Yakult Facebook Homepage 2019) (Yakult Facebook Homepage 2019)

RECOMMENDATIONS
 Implement outdoor advertising -. Billboards (pleasant visual ->
effectively raising brand-awareness. Using image of celebrities for
billboard to gain more interest from the public.
 By combining advertising and public relations in an outdoor
advertisement, Yakult may be able to increase sales even more
than 2018 by the end of 2019.
→ Given the statistic data from the Vietnamese Technology site,
customers decisions for purchasing are mostly influenced by
Advertising.
(Factors affect the purchase decision 2019)
 Focus more on online channel like Youtube and Facebook. E.g:
Videos of Customers feedback, scientific seminar, community
meeting.
(Ranking of interested Probiotics drink on Platforms 2019)

7/ REFERENCE LIST
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1/ INTRODUCTION

Came to Vietnam’s market

Carlos Kasuga Osaka

Push forward with new quest for

A price that anyone can afford.

 Objectives are the building block of strategy

 The basis for determining future direction, consistency, motivation and

→Expenses: retailing channels: 63.5% sales composition.

 Yakult put more effort in balancing the proportion of network sales

→Outcome: Staff are trained under the concept: “an organization

(Yakult Honsha Co Ltd, Annual Report 2019)

 To gain more competitive edge in comparison to powerful brands like Vinamilk

(Country Report 2019)

(Young housewife woman baking cookies at home in the

(Country Report 2019)

(Marta’s house & apartment cleaning n.d.)

 Exclusive beneficial bacteria (Yakult 2018)

 Maintain Yakult position

 Brand name: The name Yakult is derived from "JAHURTO"

 Brand development strategy: Line extension → Yakult and Yakult light.

 Yakult is a convience product

(Figure 1: number of yakult bottles sales per day in 2016-2019)

 Prevent digestive disorders such as diarrhea and constipation.

 Help build immunity.

 Not suitable for who allergic or intolerant to milk.

 Yakult don’t have many flavour.

 Changes’ price depend on time and promotion.

 Follow the Shirots’s philosophy – Shirota-ism.

 5 years of research to find the right food medium for

 Determine and select the price

 Apply the philosophy of Shirota in Price.

 Convince buyers of the product’s value

 Convince the customers through FANTOUR

 Using KOL to more convincing

 Open FANTOUR in university

→ To persuade the customer about the price

To ensure this we can make a little calculation.

Income per household: 5.000 USD-15.000 USD

A pack of Yakult in Vietnam: 1 USD/ 5 bottles / day

Price for a year: 1 x 365 = 365 USD

 Increase of price through 10 years in acceptable range.

 From 17.500 VND in 2007 to 23.000 VND in 2019

 Numerous retail stores throughout

Plant  Intermediaries Consumers

Right Time Convenience stores

 Intensive number of intermediaries  Both traditional and modern trade:

(Yakult’s annual report 2019)

Reproduce from: Passport database n.d

 The firm’s booth at distribution places.

 Invest in online market.

Available on famous internet retailing website

(Yakult VietNam Facebook Homepage 2019)

 Yakult Vietnam uses persuasive advertising which emphasizes the benefits

 The ad : <https://www.youtube.com/watch?v=IdMpDenuvAo > (ads)

(Yakult VietNam Facebook Homepage 2019)

(Yakult successfully applied AR technology in their promotion 2017)

(Google image n.d.)

(Means of Promotional tools most frequently used 2019)

(Yakult VietNam Facebook Homepage 2019)

 Consumers moral appeal

 Raise awareness and build understanding of breast cancer in Vietnam.

 Express genuine concern to the community  A positive image for Yakult.