The history of formation and development of the brand
History of formation:
Highlands Coffee is a very familiar name for coffee or fast food enthusiasts in Vietnam, especially young
people or those who have worked. Highlands Coffee was established in 1999 by an overseas Vietnamese
businessman named David Thai with a strong love for his homeland, ready to leave his family in the US
to return to Vietnam to establish a business.
Viet Thai Group was founded by David Thai and is also the owner of Highlands Coffee. By 2008, David
Thai's Viet Thai Group had served more than 4 million cups of coffee and 2 million meals to 5 million
customers. This is an extremely respectable number for established coffee and fast food brands in
Vietnam
In 2009, Viet Thai Group opened up to 80 sales points in the provinces of Hanoi, Ho Chi Minh City, Da
Nang, Dong Nai and Vung Tau. In 2011, Highlands had 50 stores and also bought Pho 24 chain for 20
million USD.
Highlans Coffee's main products are beverages (including soft drinks, coffee and fruit juices, ..) and fast
food (including bread and meat).
-Development of the brand
In 1999, Highlands Coffee was built in Hanoi by Viet Kieu businessman – David Thai
In 2000, Highlands started with packaged coffee products in Ho Chi Minh City. Hanoi
In 2002, the first Highlands store in Ho Chi Minh City was opened at Metropolitan, opposite Notre Dame
Cathedral. A week later, the first Highlands Coffee in Hanoi was also born, marking the company's
continuous development steps.
In 2006 reached 25 stores
In 2011 reached 50 stores in 4 big cities
In 2012, this year, the "big man" in the Philippines' restaurant business, Jollibee, only $ 25 million to buy
49% of the shares of the biggest turning point of the Highlands Coffee brand.
In 2013, after Jollibee's contribution, the way to manage and operate the Highlands Coffee coffee chain
quickly changed and expanded the chain at lightning speed. Provide customers with 3D modern service
style
2016 broke the record of the first coffee and tea chain in Vietnam to reach 100 stores
In 2018, in just 6 years of operation of Jollibee, this coffee chain has reached the milestone of 280 stores
In 2019, Highlands has reached 300 store points
Up to now, with more than 300 stores in 26 provinces, Highlands Coffee
One of the leading coffee and tea chains in Vietnam and has become an indispensable highlight in the
Vietnamese lifestyle.
Meaning of Logo and Brand Slogan
-Meaning: Old Highlands Coffee LOGO
Highlands logo associated with the product they aim for. There are many meaningful messages in the
logo that Highlands Coffee wants to send and express
Affirmation of product origin: On the Highlands Coffee logo in the center, there is an image of
mountains, land and flow in the middle. The brand has very cleverly affirmed the origin of natural coffee,
the real coffee that they are using to serve customers. With only these 3 very simple images, they have
contributed to conquering customers through "standard" Vietnamese coffee cups.
Colors to show products: On the Highlands logo, red, brown and white are used. It is no coincidence that
Highlands Coffee chooses these as the 3 main colors that represent the value of a big brand.
If red is the color of explosive passion, stimulating the taste buds of people who enjoy it, brown is the
characteristic color of delicious coffee beans that have been processed to purity, bringing sophistication in
feeling.
Completeness of coffee flavor: Marking the perfection of flavor is located in the circle surrounding the
entire image, color, .. This is the shape that brings the feeling of fullness and completeness original and
harmonious
The Highlands Coffee logo brings a positive message when it shows both the Vietnamese cultural
identity and the modernity of international integration. Along with the daily construction process, this has
helped Highlands Coffee become a popular coffee brand that is not inferior to the "big man" Trung
Nguyen.
Highlands Coffee logo is bold Vietnamese ethnicity. But what is more important is how the company
builds the brand so that customers are more and more memorable.
And importantly, they already own their own customer groups, which are constantly developing and
expanding. It's a long journey that's not just about the brand name or the brand logo.
New Highlands Coffee LOGO:
On November 23, 2022, Highlands Coffee announced its brand orientation towards the community
through the logo refresh:
The Geometric Shapes logo trend has once again reappeared in the new identity of Highlands Coffee. The
new logo of "Vietnamese coffee chain hegemon" is designed based on the spirit of inheriting the
quintessence and core values of the old version. Highlands Coffee's predecessor logo consists of two oval
outlines shaped like coffee beans, and the inner drawing includes three modern elements of mountains,
plains and rivers for the highlands of Vietnam. However, in this latest version, it can be seen that the
above elements have been simplified, streamlined and much softer. Besides, the renewed logo of
Highlands Coffee is also in harmony with the philosophy of Yin and Yang Ngu Hanh in the concept of
East Asia.
The new point lies in the brand color set. The previous logo's color set of Red, Coffee Brown, and Earth
Brown has been converted into a single color layer, with the main elements in red on a transparent
background. Highlands Coffee.
Previously, the old logos of Highlands Coffee contained many colors such as Red, Brown Dat, Brown
coffee, now, Highlands Coffee has changed its logo to only one red color on a transparent background.
According to Highlands Coffee, the red color shows both patriotism, passion, appreciation of Vietnamese
coffee beans and the brand's dedicated spirit of serving customers. And yet, streamlining the colors on the
logo also makes it easy to customize Highlands Coffee on different color backgrounds, representing the
integration into the community - the philosophy that Highlands Coffee has been and will be pursuing.
-Slogan: “HIGHLANDS COFFEE® IS OUR” – MESSAGE TO THE COMMUNITY.
Along with the rebranding, Highlands Coffee also wants to convey the message "Highlands Coffee® Is
Ours" based on the four-factor value system "Passion - Friendship - Dignity - Support" :
Towards a new mission in the next journey, Highlands Coffee does not simply connect the community to
spread coffee culture but wants to become a part of the community's life. Highlands Coffee will always
accompany every customer, bringing people closer together through a shared love of coffee, tea and
delicious cakes because the community is always the foundation, the heart of the brand. The "we" factor
also affirms that Highlands Coffee is ready to integrate, for the community to decide on a colorful
Highlands Coffee they want to belong to, a Highlands Coffee compatible with each community.
“The modern world offers many opportunities for people to access new things and express their
individual identities. However, I believe that the element of community and cohesion still exists in the
mind of each of us Vietnamese. Therefore, when setting out the message "Highlands Coffee® Is Ours",
the brand wants each Highlands Coffee store not only to sell coffee but also to be a place for people to
connect and bond with each other. each other through common passions, interests or simply having the
same love for coffee, tea and delicious cakes”, added Mr. David Thai.
3. Highlands' vision and mission
Vision:
Proud of Vietnam and sharing the community: During the process of formation and development,
Highlands always strives to spread "Vietnamese pride" further to all Vietnamese through practical
activities throughout the system. Highlans Coffee system nationwide. Thereby affirming the company's
commitment in the journey to improve Vietnamese life.
Passion: Highlands Coffee was born out of love and passion for coffee and nurtured the desire to elevate
Vietnam's longstanding coffee heritage. Therefore, 100% of the company's coffee and tea are purchased
directly from the Central Highlands of Vietnam.
Respect and integrity: in order to contribute to keeping our trust with customers, employees, restaurants,
suppliers, etc., Highlands always respects and keeps integrity in the business process.
Team spirit and cooperation: everyone together shows a positive spirit and constantly supports each other
to develop the business.
Customer care: Highlands customers are always provided with the best experience when they come to
the store. The guests will always be attentively received, and enjoy the drinks in a happy mood, relaxing
both visually and by smell in the most cozy space of the restaurant.
For Highlands Coffee, the aspiration is to elevate the development of Vietnam's long-standing coffee
heritage and spread the proud spirit that blends tradition and modernity. The hand-selecting and refining
of clean, quality coffee beans brings the most authentic taste.
Mission:
Build valuable employees for more customer satisfaction
Highlands understands that its mission is to create the core value of services through professional real
estate consultants, build trust and reputation with customers Highlands are always aware of their role to
build a team of enthusiastic, dedicated staff, firmly grasp the knowledge of Legal - Market - Finance to
bring prosperity to customers, towards the values Truthfulness - Compassion - America.
4. Analysis of Marketing Mix
Product:
Products are always the core of every business, and a good product needs to meet the needs and desires of
customers, otherwise it will be lost market share by competitors or even eliminated from the market.
Regarding Highland Coffee's product development strategy, it can be clearly seen that this brand divides
the menu into two distinct parts: Drinks and food.
First of all, drinks, it can be seen that Highlands' beverage line is divided into 3 main groups:
⦁ Group 1: Café (Café, Phindeli, Cafe Espresso) with Phin Sua Ice as the main product
⦁ Group 2: Tea (Lotus tea, fruit tea & green tea) with Golden Lotus Tea as the main product
⦁ Group 3: Freeze with Freeze Green Tea as the main product
⦁ Group 4: Highland Coffee thermos and ceramic cups
In addition to these three groups, the company also serves a number of other drinks, but these are not the
main products, so they will not be discussed.
We can easily see that 3 key products representing each group are always favored by this brand, and
appear in most advertising campaigns.
So why these 3 drinks and not the other?
Simply because these 3 products account for the largest revenue of Highlands Coffee, becoming the 3
products that bring the success of Highlands up to this point. Moreover, the appearance of these 3
products gives consumers more alternatives.
Next is food, in this product group Highlands is divided into 2 main lines: Bread and cakes.
In addition to the popular choice in modern cafes for cakes, the chain also adds bread to its menu as a
leading product.
So why bread?
It can be seen that banh mi is considered the "national spirit" of Vietnam, it is also the most popular street
food. Bread can be eaten at any time (morning, noon, afternoon or evening). This is also a wise product
strategy of Highlands, when bread is a dry food and easily causes thirst. Therefore, every time a customer
orders bread, the company also sells water.
Highland Coffee's products also have canned coffee or roasted coffee, making it accessible to customers
from afar. Moreover, this brand also launches fashionable water bottles and cups that attract young
people. At the same time, encourage customers to bring water cups to reduce waste into the environment.
Price:
Price is one of the four important components of the marketing mix. It plays a decisive role in consumer
buying, and for the company, price plays a decisive role in the competition in the market. Having a
pricing strategy in marketing is important to businesses because it directly affects the sales and profits of
the business.
Coffee prices of Highlands Coffee are currently ranging from 30,000 to 60,000 VND. This is a price that
is not considered appropriate in the Vietnamese market - where the world's fifth largest exporter of coffee.
Compared to the common ground, this price is not low, however, for target customers who are middle-
class people who have stable income, this is an acceptable price.
On the other hand, for a big brand like Highlands, the cost to make a cup of coffee is not only input
materials, but also many other costs such as premises, promotional activities, etc.
Distribution:
Through the right use of distribution channels, a company can increase sales and maintain positive
metrics for a longer period of time. This means a larger market share and increased sales and profits.
Precise positioning is an important activity that is focused on reaching the right target customers at the
right time.
Currently, Highland Coffee has more than 300 stores spread across 24 provinces in Vietnam. This brand's
chain of stores is located in the most prime locations in the city center, making it easy for everyone to
access.
In addition, with the expansion strategy through franchising, the brand can reduce the cost of opening an
exclusive store, on the other hand, it also has a stable source of income from franchise fees. Through
franchising, Highland Coffee can scale up its presence quickly with low risk.
Not only selling directly at the store, Highland Coffee's distribution channel also brings its packaged
products to supermarkets or convenience stores. At the same time, the company also cooperates with food
delivery units such as Shopee Food, Baemin, GoFood, Grab ... to help customers order at home without
going to the store. Especially in the context that the Covid-19 pandemic is still breaking out and there is a
potential risk of infection, it is also a solution to help Highlands sell goods during the epidemic season.
Promotion activities:
Promotion is a necessary business activity to keep pace with the consumer market. One of the popular
channels to promote products or campaigns of Highlands cannot fail to mention a social networking
platform like Facebook with more than 1.1 million followers.
As a big brand, Highlands does not appear to be an outsider in promotions. Although it has a strong
foothold in the beverage industry, this does not mean that this brand is indifferent to promotions, on the
contrary, this is also the brand that launches many of the best promotions. Prominent programs can be
mentioned such as buy 3 get 1 free, savings combos, free upsize, etc.
Previously, despite being a big brand with a high segment positioning, Highlands still used plastic cups to
serve customers even when sitting at the shop. This makes the brand criticized for releasing too much
plastic into the environment. In recognition of all comments, on May 24, 2019, Highlands launched a
campaign "Green Arms" encouraging customers to bring their own reusable cups or bottles when ordering
at Highland Coffee to receive Free for all Traditional Coffee, Tea, and Freeze products.
This is a very smart move of Highlands Coffee, because at that time the problem of plastic waste was
more concerned than ever. With this campaign, Highlands can completely erase previous criticisms, and
at the same time show concern for society and the environment.
Along with the heat of plastic waste at that time, the campaign received a lot of attention, as evidenced by
Highland Coffee's announcement post on the fanpage quickly becoming viral with more than 10,000
likes and 2,300 shares.
[Link] Analysis
Strength ⦁ Good Brand Reputation
⦁ Large market share
⦁ Large store system, beautiful location
⦁ In addition, with the success of the franchise strategy, the
number of stores is not limited to Hanoi and Ho Chi Minh
City but also spread across 24 provinces in Vietnam.
Weakness ⦁ The price is quite high compared to many classes of
customers
⦁ Still using plastic to serve customers.
⦁ The store system is mainly located in the center of the
cities, so it has not been able to reach the customers in
more remote areas..
Opportunity ⦁ The market has a lot of potential for development
⦁ Vietnamese consumers have a habit of enjoying coffee
⦁ Great potential customers
⦁ As a local brand, Highlands Coffee understands the local
culture.
Challenge ⦁ High competitive pressure from big domestic and
foreign brands such as The Coffee House, Trung
Nguyen, Starbuck, etc.
⦁ In addition, another group of formidable
competitors are street cafes and coffee shops.
Various substitute products, besides coffee, people
have many other options such as milk tea, soft
drinks, lemon tea, etc.
6. Outstanding Marketing Campaign
HIGHLANDS COFFEE WITH THE IDEA “BLUE BLACK Cage” LIGHT LIGHT THE GREEN Mid-
Autumn Festival FOR MORE THAN 700 CHILDREN
In order to contribute to bringing a warm Mid-Autumn Festival and convey a meaningful message with
the "Green Arms" campaign, the Highlands Coffee team recently handed over hundreds of gifts including
confectionery, books, etc. and especially the "green lanterns" made entirely from recycled plastic to more
than 700 children in disadvantaged areas in Bac Giang, Ben Tre and at the City Cancer Hospital. Ho Chi
Minh
“Green Lantern” – Childhood ticket from a unique idea
With the desire to "light up" a meaningful Mid-Autumn Festival for disadvantaged children and spread a
green lifestyle in the community, this year's Mid-Autumn Festival, Highlands Coffee in collaboration with
Ikachi Solution Gifts has brought a unique idea called "green lantern".
Accordingly, from the cups at the shops nationwide, the staff of Highlands Coffee gathers every day. After
that, going through a rigorous process, thousands of lanterns with funny, colorful shapes, ... were created
to bring joy, laughter and light up a "Green Mid-Autumn" season for the children. small across the
country.
The journey to "light up" the Mid-Autumn Festival dream for children
From that unique idea, the "green lanterns" are not only a gift for a warm Mid-Autumn Festival, but also
with Highlands Coffee send meaningful messages about solutions to plastic using one visits to millions of
loyal customers of Highlands Coffee and especially future generations.
At the store, "green lanterns" are given away free of charge by Highlands Coffee to customers for each
bill of only 80,000 VND or more, thereby the message of plastic reuse and plastic reduction. One-time
use is cleverly conveyed.
SPECIAL, on this occasion, Highlands Coffee has conducted a series of volunteer activities in especially
difficult areas such as Noi Hoang Commune, Yen Dung District, Bac Giang or Ba Tri District, Ben Tre
Province, and especially at the Oncology Hospital in Ho Chi Minh City. Ho Chi Minh.
With more than 700 "green lanterns" and thousands of other gifts sent to more than 700 children in
difficult circumstances, orphans, children unfortunately suffering from cancer, Highlands Coffee was
really bring priceless and meaningful memories to them. Thereby, a "Green Mid-Autumn Festival" was
really lit up so that Highlands Coffee could continue its mission of connecting, spreading and contributing
to bringing good and sustainable Vietnamese values to the community.
Not only a short-term program, but in the near future, Highlands Coffee will bring a series of meaningful
activities at Highlands' stores nationwide to affirm the brand's commitment in the journey to raise the bar.
Vietnamese life.
