Kem Tràng Tiền

I. Introduction
1. Company

Kem Trang
Tien was
established in
1958 and was
also the name of
the business
where the ice
cream was first
produced and
distributed. n.d.
(Kem Trang Tien).
After many transactions, Trang Tien Ice Cream is presently owned by Trang Tien
Ice Cream Joint Stock Company (Huyen Thu 2014). Products from Trang Tien
now extent kind of product from ice cream to mochi (Kem Trang Tien n.d.). Trang
 Tien's brand share, calculated by Euromonitor International (2021), is 4.1%,
ranking it sixth on the graph, and it is on the decline.

Figure 1: sourced by Euromonitor International 2022

As one of the 8 varieties, the cacao ice cream bar is Trang Tien's brand symbol. Sugar,
condensed milk, butter, milk powder, and artificial flavors are all present in the ice cream
bar's ingredients. The shelf life
of this product is six months
after manufacturing (Kem
Trang Tien n.d.). The primary
component is chocolate,
which is paired with flavorful,
fatty eggs and the refreshing
scent of coconut. together to
create enduring memories for
customers.

(Kem Trang Tien n.d.)

II. SWOT analysis and

TOWS matrix
1. Marketing environment
Micro-environment:
 Marketing intermediaries
Resellers: Trang Tien has a network of sales representatives in more than 30
rural and urban areas around the nation, making it simple for customers to locate
and buy their ice cream (Kem Trang Tien n.d.).
 Physical distribution companies: Shopee Food, Grab Food, and Baemin are just
a few of the well-known delivery services that Trang Tien has collaborated with.
(Kem Trang Tien 2021)
 Publics
Public Media: Reputable digital media like VTV.vn and Vnexpress have written
about Trang Tien ice cream. The brand's innovation has been praised by many
reputable magazines, yet it hasn't changed from its original identity. The public
perception of the Trang Tien brand will be greatly impacted by this. For instance,
how to distinguish between real and fraudulent Trang Tien Ice Cream, or the new
look of Trang Tien (Minh Nguyet 2020). (Truong Thinh n.d.).

General: During COVID-19, Trang Tien sent over 4,000 milk bottles and 1,500
pastries to the front-line people in Hanoi (OGC Group 2021). Trang Tien also
planned a solemn memorial service to remember and lament the loss of patients
Who died in COVID-19 pandemic and front-liner (Kem Trang Tien 2021).
Macro-environment
 Demographic
Vietnam is anticipated to reach 15 million GenZers by the year 2025, the next
wave of consumers (Mah 2019). Trang Tien may completely capitalize on
chances from this big consumer base by using sensible techniques. Trang Tien
Ice Cream has redirected their marketing efforts to target youngsters and young
adults as a result of realizing this (Minh Nguyet 2020). However, given that the
prevalence of pediatric obesity in Vietnam is increasing, there is a health issue
addressing obesity (Anh Kiet 2021).
 Economic
Vietnam will have a real GDP per capita of over $3,300 in 2021, according to
Statista (2021), making it a lower-middle salary nation. Furthermore, it is
anticipated that between 2020 and 2025, Vietnam's real GDP would grow by 7%.
(2021 Statista). Additionally, sales of ice cream and other frozen desserts in
Vietnam reached more than 4,000 billion VND, and during the following five
years, they are predicted to rise by almost 2,000 billion VND (Euromonitor
International 2022).
 Figure 2: By Euromonitor International, consumption of ice cream and other
frozen dessert in Vietnam in 2021
 Natural
Ice cream consumption rises during the hot months of May through August as a
result of people wanting to eat to stay cool (Th Trn 2018).

Figure 3: The consumption of ice-cream in 12 months

Source: General Statistics Office

 Technology
Because of Covid-19, there has been a change in how people buy items;
currently, 58.49% of customers buy products online (Statista 2021). In addition,
the top three e-commerce websites with the most users are Shopee, Tiki, and
Lazada (Statista 2021). Online consumers predict that food would be the most
popular online buying category in 2020. (Statista 2021). Trang Tien's capacity to
reach more customers can be facilitated by working with e-commerce websites
and putting an emphasis on social media advertising.
 Figure 4: source: Statista, 2021,

Figure 5: Source: by Statista, 2021

2. SWOT analysis and TOWS matrix

STRENGTHS OPPORTUNITIES

Marketing Intermediaries: Thanks to the Economic & Demographic: The expected

cooperation of distribution partners in more than
20 rural and urban areas as well as the shipping
app, Trang Tien Ice Cream may grow its sales
with these apps.
Public: Trang Tien has been a well-known brand
since 1958 with all Vietnamese, specially people
in Ha Noi city and thanks to media mass, their
Covid-19 social events as well as the facility's
innovation have improved the brand's reputation.
increase in GDP and ice cream sales, along
with the change in buying power, are proof
that people would spend more money on
Trang Tien's products.
Technology: Social media and shopping
online platform users are increasing,
therefore Trang Tien will be able to boost
revenue by learning how to use these tools
as effectively as possible.
Natural: If Trang Tien can meet customer
needs, its earnings will rise over the
summer.

SO strategy: Due to the agency's extensive retail storefronts and online outlets on food delivery
apps, Trang Tien ice cream is more approachable to clients of all ages and genders than other
brands. Trang Tien can be capable of accommodating the increased ice cream demand all
summer long consequently, increasing revenue.

III. Target consumer

The primary demographic for Trang Tien is gender-neutral youngsters and teens
who like delectable treats. Those between the ages of 6 and 35 make up the majority
of the demographic segmentation and will continue to grow over the next five years
(Statista 2021). All consumers may afford the cacao ice cream bar items because to
their low pricing of 10.000 VND. Psychographic segmentation also includes middle-
class people with active, inquisitive dispositions. The ice cream must have a tasty
flavor and recognized packaging to be desirable. Due to the fact that this market
 sector accounts for 13.09% of the Vietnamese population in 2019, it enjoys strong
levels of consumer loyalty and usage (Nguyen Tuan Anh 2020). This population
resides in provinces and cities of Vietnam, including Hanoi, Saigon City, etc.

IV. Differentiation and Positioning

1. Differentiation:
 Image
The Trang Tien box's background depicted Hanoi's streets and was painted a neutral
shade of brown that made Hanoi think of the city's history (Kem Trang Tien n.d.). So,
Trang Tien's tastes and packaging may
readily set it apart from other brands.
Vietnamese green rice, a taste not seen
in other brands, is one of Trang Tien ice
cream's most well-known characteristic
flavors. Other varieties include coconut
milk, chocolate, and other exotic flavors.
Customers have continued to patronize
them for 60 years despite changes
because they can connect with their
recollections (Thu Mo 2021).

Figure 6 to 8: Trang Tien’s products

 Distribution:
In grocery shops, convenience stores, and neighborhood markets, Trang Tien products
are uncommon. Trang Tien sells its goods through both its franchise stores and its
official retail locations. Only physical storefronts and delivery applications are available
to consumers to make purchases. Because of the prevalence of imitation Trang Tien
frost dessert, this safeguards the frozen treat's high standard and originality, which is
crucial.
 Figure 9 to 13: the major Trang Tien Ice Cream stand in Hanoi

Figure 14 to 16: Trang Tien collaborates with transport software (Shopee Food, Grab
Food, and Baemin).
2. Positioning
 Trag Tien Wall’s Merino Celano Binggrae

Cost (VND) 10.000 12.000 14.000 20.000 24.000

Weight (g) 75 73 68 70 70
Figure: Cost and mass of various brands according to websosanh.com

The cost and map of the brand's cacao ice cream bar are shown on the placement map
above. Trang Tien tops the list of rival brands for both lowest price and most volume.
Value Proposition: For the last 60 years, Trang Tien's goods have been cheaper than
those of other brands while still being of superior quality. Consuming Trang Tien ice
cream may also make buyer feel like back to their childhoods, where they will find
satisfaction.

V. Current Marketing Mix performance

1. Place
Since it is a handy food, Trang Tien ice cream has a sophisticated business
model. With agent networks in 20 cities and provinces, Trang Tien Ice Cream has
over 100 agencies spread out over Vietnam. As a result, there will be an increase
in impulse purchases in addition to an increase in sales and customer
identification (Hosseinpour 2016).
 Moreover, As evidenced by the availability of several advertising networks, The
distribution method now used by Trang Tien Ice Cream is multi-channel.
According to Kotler and Keller, a multi-channel advertising online platform has
been able to reach a larger place of the market and lower channel costs (2009).
The franchise networks that Trang Tien is known for can help increase sales and
brand recognition (Lauckner 2020).

Picture 18: Trang Tien’s multi-advertising networks

Evaluation: Trang Tien Ice Cream can reach a larger audience thanks to multi-
platform distribution in Vietnam than 20 rural and urban locations as well as the
delivery app. Given the prevalence of counterfeit Trang Tien goods, it is
imperative for Trang Tien to ensure that its frozen desserts are of the highest
quality and that its customers are able to enjoy genuine Trang Tien ice cream.
2. Promotion
 Promotion mix tools:
1. Online marketing: Trang Tien agency uses a number of online channels to
sell their products.
 Figure 19: Kem Trang Tien’s multi-online channel
2. Public Relations:
- A Trang Tien Ice Cream salesperson visited the hospital in the Hoan
Kiem neighborhood in August 2021 and presented them with kind gifts
(OGC Group 2021).Around 15th of November 2021, Trang Tien worker
participated in the event known as "Tắt đèn, thắp nến" to honor the front-
line troops who lost their life as a result of COVID-19 (Kem Trang Tien
2021).

Figure: OGC Group presents the front-liners to the representative of Trang

Tien Ice Cream, 2021
Figure: Kem Tràng Tin's "Tắt đèn, thắp nến" event, 2021
- Buzz marketing: A promotional film for Trang Tien Ice Cream was
released by YouTuber, Tiktoker such as Schannel ( nearly 3.5 million
subscribers) and VTV’s MC Ha Thu (3,7 thousand followers), VTV24, etc.

- Special events: Trang Tien’s new look ceremoney(Quang Vu 2020).

Figure: Trang Tien new look’s ceremony by kenh14.vn

 3. Sale promotion:
 Coupons/Vouchers: Trang Tien and Grab, Shopee food, Gojek, …etc worked
together to provide clients with e-Vouchers for discount or event gift (Kem Trang
Tien 2021)
 Contest: On their social media platforms, Trang Tien frequently produces
interactive minigames.
 Specials/Price Packs: Trang Tien also provided a variety of specials and
discounts to customers at fair pricing.

Evaluation: Because of several effective initiatives to boost their image, Trang Tien has
garnered hot KOLS with sizable fan bases, which has helped them with their image
marketing. This raises community awareness of Trang Tien's brand.

VI. Marketing Objective

SMART goal: Within a year, brand shares for Trang Tien will rise by 0.2%, bringing the
company's market share to 4.3% at the end of the year. Increase brand market share,
specifically
Measurable: a 0.2% rise
Possibility: under picture
Relevant: Trang Tien's brand share, which represents 4.1% of all brand shares, is in the top
six, as shown in Figure 1. Additionally, it is expected that ice cream sales would increase
significantly during the next five years. As a result, there are plenty of chances in the ice
cream sector.
depending on time: within a year.

VII. Marketing Recommendations

1. Place
The majority of Trang Tien's sales are made through official stores or
agencies, with well-known supermarkets and convenience stores in malls
playing a significantly smaller role. The company should link to its existing
Facebook fan page on Facebook, which has a large following and lots of
interactions, and have an official online store in different shopping platform
for Vietnamese to purchase online more conveniently.
2. Promotion
Despite being appropriate for all ages, Trang Tien continues to market to
children and teenagers. The company should create a Tiktok account, a
popular app among Gen Z, to gain more exposure. TikTok is the most
downloaded app all over the world in 2021. So that tiktoker can create a
trending content in order to increase reputation of Trang Tien ice-cream to
not only the Vietnamese elder, but also young people in Vietnam or even
people all over the world
 VIII. References
Anh Kiet 2021, ‘Vietnam records increasing child obesity in big cities, Hanoi Times, 3 October,
viewed 15 May 2022, <https://hanoitimes.vn/vietnam-records-increasing-child-obesity-in-big-
cities-318870.html>. 
Euromonitor International 2021, Ice Cream and Frozen Desserts in Vietnam, country report,
Euromonitor International, viewed 15 May 2022, Passport database. 
Hitachi Cooling & Heating, ‘Tác động của nhiệt độ không khí đến trải nghiệm mua sắm của
khách hàng’, Hitachi, viewed 16 May 2022, <https://www.hitachiaircon.com/vn/vi/tin-tuc/the-
shopping-experience-and-the-impact-of-in-store-ambience>.
Hosseinpour, A 2016, ‘The Analysis of Intensive Distribution Approach’, Shiraz Journal of
System Management, vol.4, no.2, pp.70-73
Huyen Thu 2014, ‘Đại Dương đã chi 500 tỷ đồng mua cổ phần Kem Tràng Tiền’, Tiên Phong, 4
April, viewed 15 May 2022, <https://tienphong.vn/dai-duong-da-chi-500-ty-dong-mua-co-phan-
kem-trang-tien-post682301.tpo>. 
Kem Trang Tien 2020, [MINI GAME] BẮT TRONG KHOẢNH KHẮC - LƯU GIỮ NIỀM VUI,
Facebook, 31 December, viewed 15 May 2022,
<https://www.facebook.com/kemtrangtiensince1958/posts/723079895002974>. 
Kem Trang Tien 2021, Đặt online thảnh thơi - kem ngon giao tận nơi, Facebook, 7 November,
viewed 15 May 2022,
<https://www.facebook.com/kemtrangtiensince1958/photos/a.263325170978451/89602947770
8014/>. 
Kem Trang Tien 2021, Kem Tràng Tiền ngay - Ưu đãi liền tay, Facebook, 26 June, viewed 15
May 2022, <https://www.facebook.com/kemtrangtiensince1958/posts/817174742260155>. 
Kem Trang Tien 2021, Tưng bừng ưu đãi mua 10 tặng 1 , Facebook, 26 July, viewed 15 May
2022,
<https://www.facebook.com/kemtrangtiensince1958/photos/a.263325170978451/83449611386
1351/>. 
Kem Trang Tien 2021, Tưởng niệm đồng bào tử vong và chiến sỹ hy sinh trong đại dịch Covid-
19, Facebook, 7 November, viewed 14 May 2022,
<https://www.facebook.com/kemtrangtiensince1958/posts/903201996990762>. 
Kem Tràng Tiền n.d., Kem Tràng Tiền fanpage, Facebook, viewed 16 May 2022,
<https://www.facebook.com/kemtrangtiensince1958>. 
Kem Trang Tien n.d., Lịch sử hình thành kem Trang Tien, Kem Trang Tien, viewed 12 May
2022, <https://kemtrangtien.vn/gioi-thieu/lich-su?m=166>.
Kem Trang Tien n.d., SẢN PHẨM, Kem Trang Tien, viewed 12 May 2022,
<https://kemtrangtien.vn/san-pham/cau-chuyen-p81?m=155>. 
Kotler, P & Keller, KL 2009, Marketing Management, Pearson, New Jersey.
Lauckner, S 2020, Advantages and Disadvantages of Franchising, Nerdwallet, viewed 15 May
2022, <https://www.nerdwallet.com/article/small-business/advantages-of-franchising>. 
Mah, K 2019, ‘Vietnam’s New Age Consumers: Generation Z’, Vietnam Briefing, 25 October,
viewed 16 May 2022, <https://www.vietnam-briefing.com/news/vietnams-new-age-consumers-
generation-z.html/>.
Minh Nguyet 2020, ‘Lột xác với diện mạo mới - sự thay đổi có cần thiết với thương hiệu kem
Tràng Tiền ?’ Vietnam Business Insider, 22 June, viewed 16 May 2022,
<https://vietnambusinessinsider.vn/lot-xac-voi-dien-mao-moi-su-thay-doi-co-can-thiet-voi-
thuong-hieu-kem-trang-tien-a6230.html>. 
My Linh 2019, ‘Kem Tràng Tiền - đặc sản kem riêng có của thủ đô Hà Nội’, VOV TV, 16 August,
viewed 13 May 2022, <https://truyenhinhdulich.vn/am-thuc/kem-trang-tien-dac-san-kem-rieng-
co-cua-thu-do-ha-noi-9160.html>. 
Nam Nguyen 2022, ‘Những số liệu thống kê về TikTok cho Marketer năm 2022’,
MarketingTrips, 17 March, viewed 16 May 2022, <https://marketingtrips.com/social/nhung-so-
lieu-thong-ke-ve-tiktok-cho-marketer-nam-2022/#:~:text=TikTok%20l%C3%A0%20%E1%BB
%A9ng%20d%E1%BB%A5ng%20%C4%91%C6%B0%E1%BB%A3c,s%E1%BB%91%20m
%E1%BB%99t%20v%E1%BB%81%20l%C6%B0%E1%BB%A3t%20t%E1%BA%A3i.>.
Nguyen Tuan Anh 2020, ‘Dân số trong độ tuổi thanh niên ở Việt Nam – Những vấn đề đặt ra’,
State Management review¸ viewed 15 May 2021,
<https://www.quanlynhanuoc.vn/2020/12/22/dan-so-trong-do-tuoi-thanh-nien-o-viet-nam-nhung-
van-de-dat-ra/>.
OGC Group 2021, Kem Tràng Tiền góp sức chia sẻ cùng lực lượng tuyến đầu, OGC Group,
viewed 15 May 2022, <https://oceangroup.vn/?p=3385>. 
Phuong Lam 2020, ‘Hiệu kem Tràng Tiền thay đổi diện mạo với 10 tỷ đổng’, Zing news, 28 May,
viewed 15 May 2022, <https://zingnews.vn/kem-trang-tien-thay-doi-dien-mao-voi-10-ty-dong-
post1089242.html>. 
Quang Vu 2020, ‘Dường như cả Hà Nội đều đang đổ về phố Tràng Tiền ăn kem, check in với
tàu điện xưa’, Kênh 14, 13 June, viewed 16 May 2022, <https://kenh14.vn/duong-nhu-ca-ha-
noi-deu-dang-do-ve-pho-trang-tien-an-kem-check-in-voi-tau-dien-xua-
20200613165341355.chn>. 
Statista 2020, 'Change in online purchase behavior during Coronavirus (COVID-19) among
respondents in Vietnam in 2020', Statista, viewed 16 May 2022,
<https://www.statista.com/statistics/1128314/vietnam-change-of-online-purchase-behavior-
during-coronavirus/>.
Statista 2021, Demographic in Vietnam, country report, Statista, viewed 15 May 2022,
<https://www.statista.com/topics/5991/demographics-in-vietnam/#dossierKeyfigures>. 
Statista 2021, E - commerce in Vietnam, country report, Statista, viewed 16 May 2022,
<https://www.statista.com/study/63723/e-commerce-in-vietnam/>. 
Statista 2021, Vietnam 2021, country report, Statista, viewed 15 May 2022,
<https://www.statista.com/study/48374/vietnam/>. 
Statista 2019 viewed 16 May 2022, <https://www.statista.com/topics/5321/e-commerce-in-
vietnam/>.
The Tran 2018, ‘MỨC TIÊU THỤ KEM LẠNH CỦA NGƯỜI VIỆT?’,The Krem Solutions, 3
January, viewed 16 May 2022, <https://gelatosupply.com.vn/muc-tieu-thu-kem-lanh-cua-nguoi-
viet/>.
Thu Mo 2021, ‘Kem Tràng Tiền Hà Nội - hương vị của mối tình đầu vấn vương’, Lu Hanh Viet
Nam, 23 August, viewed 16 May 2022, <https://luhanhvietnam.com.vn/du-lich/kem-trang-tien-
ha-noi.html>. 
Tran Yen 2021, ‘Cả nước có hơn 2.000 trẻ em mồ côi do Covid-19: Làm gì để có giải pháp hỗ
trợ lâu dài ?”, Quân đội nhân dân, 17 October, viewed 15 May 2020, <https://www.qdnd.vn/xa-
hoi/tin-tuc/ca-nuoc-co-hon-2-000-tre-em-mo-coi-do-covid-19-lam-gi-de-co-giai-phap-ho-tro-lau-
dai-674486>. 
Truong Thinh n.d., ‘ Chọn và mua Kem Tràng Tiền since 1958 “chuẩn xịn” của Hà Thành như
thế nào ?’, Dân Trí, viewed 15 May 2022, <https://dantri.com.vn/doi-song/chon-va-mua-kem-
trang-tien-since-1958-chuan-xin-cua-ha-thanh-nhu-the-nao-20200622152734480.htm>.