Government joins hand with businesses to boost branding

Building brands

Vietnamese businesses have been increasingly aware of building brands, the Ministry of Industry and Trade’s Vietnam Trade Promotion Agency Director Bui Huy Son said. His conclusion bases on an increase in the number of businesses meeting criteria in the Vietnam Value program, from 30 in 2008 to 63 in 2014. Nearly 1,000 businesses have registered to participate in this year’s program, confirming the interests of the Vietnamese business community in building brands.

In addition to changes in awareness, businesses such as Vinamilk, Ton Hoa Sen, BIDV, Vinacafe and VietinBank have spent several trillions of Vietnamese dong to develop their brands.

Thanks to the Vietnam Value program, prestige with customers and partners, especially consumers have increased. Despite facing many difficulties, businesses have achieved positive results in revenue growth.

Total revenues of 63 businesses winning the Vietnam Value in 2014 reached about VND180 trillion, a nearly five-fold increase compared to 2012. Their export value also stood at more than US$1 billion, while contributions to the state budget totaled nearly VND80 trillion. Vinamilk, Casumina, Tan A-Dai Thanh and Viglacera are seen as famous Vietnam Value names.

However, according to Bui Huy Son, building and developing brands have still faced many challenges and difficulties. The number of businesses winning the Vietnam Value remains small due to their small scale and limitations in financial resources and knowledge.

Violations of intellectual property rights continue to be a stinging issue, negatively affecting businesses’ efforts in building their brands. In many cases, foreign companies have registered and accounted for the rights to exploit Vietnamese famous brands such as Trung Nguyen Coffee, Vinataba, Ben Tre Coconut Candy and Buon Me Thuot Coffee.

Strengthening support

In the context of deeper international economic integration, building and developing brands is necessary. To overcome difficulties and successfully build brands, the government has actively accompanied businesses. In addition, relevant agencies have mobilized all resources in the society to develop strong brands.

While big businesses have not many difficulties in building and developing brands, small and medium sized enterprises need supports to do that. “Businesses must be aware of the importance of building and developing brands in order to ensure their sustainable development. In addition, the core value to build and develop brands lays in product quality, customer services and business performance. Businesses must be faithful to their quality commitments, including new product lines. They need to build brands in a basic manner with strategies from brand positioning to building and developing,” Bui Huy Son said.

Businesses also need to pay attention to protecting their brands and understanding more about legal documents related to intellectual property rights.

Promoting links between businesses in building and developing brands and participating in prestigious forums and seminars such as the Vietnam Value to improve administration skills are needed. The participation in these forums will help businesses bring their brands to new heights.

Phuong Lan