In today’s competitive marketplace, brands must consider multiple factors to effectively sell their products. Understanding the various selling factors that influence consumer behavior is essential for brands to develop effective marketing strategies that attract and retain customers. It is also critical for brands to stay ahead of the curve and prioritize the factors that matter most to their target market. In this article, we’ll explore five selling factors in Vietnam that brands should consider when selling their products.
1. Good product quality
When global brands want to sell their products in Vietnam, product quality is a crucial factor that must be considered. Vietnamese consumers place a high value on quality and are willing to pay more for products that meet their expectations. According to a survey conducted by Nielsen, 68% of Vietnamese consumers are willing to pay more for products that offer better quality, and 54% of consumers are willing to pay more for products that are environmentally friendly. Furthermore, a study by the Vietnam E-commerce Association found that product quality is the most important factor for consumers when making online purchases. Therefore, brands must ensure that their products are of high quality and meet the standards expected by Vietnamese consumers.
Example
Amway is a global health supplement brand that has been successful in selling its products in Vietnam by prioritizing product quality. Amway has established a strong reputation for quality and safety by using high-quality ingredients and adhering to strict manufacturing processes. In addition, Amway has a team of scientists and researchers who conduct extensive testing and research to ensure that their products are safe and effective. This brand also prioritizes transparency in its product labeling and provides detailed information on the ingredients and benefits of each product. This helps to establish trust with Vietnamese consumers, who are increasingly concerned about the safety and efficacy of health supplement products.
To achieve this, brands must conduct thorough research on the local market and understand the preferences and expectations of Vietnamese consumers. They should also consider local regulations and requirements for product quality and safety.
Moreover, brands should prioritize consistency in their product quality, ensuring that their products meet the same standards in Vietnam as they do in other countries. This will help to establish trust with Vietnamese consumers and build a positive brand reputation.
In addition to meeting quality standards, brands can also differentiate themselves by offering unique features and benefits that appeal to Vietnamese consumers. For example, incorporating traditional Vietnamese materials or design elements into products can help to establish a connection with local consumers and create a sense of authenticity.
2. Loved by celebrities
In Vietnam, the impact of celebrities on consumer behavior is significant because Vietnamese consumers are highly influenced by the endorsements of celebrities, especially in the areas of fashion, beauty, and entertainment. This can be seen in the popularity of products endorsed by Vietnamese celebrities on social media platforms, such as Instagram and Facebook.
Example
One example of a successful celebrity endorsement campaign in Vietnam was the launch of the Anessa sunscreen product in 2021. Anessa partnered with actress Lan Ngoc to promote this product on social media platforms, with Lan Ngoc sharing her personal experience of using the products and endorsing their effectiveness. This celebrity endorsement campaign generated a significant amount of interest and buzz among Vietnamese consumers, with the Anessa Whitening UV sunscreen gel selling out in many stores.
Benefits
Brands can benefit from this factor by partnering with popular Vietnamese celebrities to endorse their products. This can help to increase brand visibility and credibility among Vietnamese consumers, as well as boost sales. For example, the Vietnamese actress Ninh Duong Lan Ngoc has endorsed a range of products, including beauty products, fashion items, and consumer goods. Her endorsements have helped to increase sales for these brands and establish her as a trusted influencer in the market.
Another benefit of celebrity endorsements is the ability to reach a broader audience. By partnering with a well-known celebrity, brands can access the celebrity’s fan base and followers, who may be more likely to purchase products endorsed by their favorite celebrities. Additionally, celebrity endorsements can help to differentiate a brand from competitors and establish a unique brand identity.
Drawbacks
However, it’s important for brands to choose the right celebrity partner for their products. The celebrity’s values, image, and reputation must align with the brand’s message and target audience. Additionally, brands must ensure that the celebrity is a credible spokesperson for the product and can provide a genuine endorsement that resonates with Vietnamese consumers.
3. Have strong Word-of-mouth
Word of mouth is a powerful selling factor in Vietnam, where personal recommendations from friends, family, and acquaintances are highly valued. In this context, word of mouth refers to the sharing of personal experiences, opinions, and recommendations about products and services between individuals.
Examples
One example of the impact of word of mouth on selling products in Vietnam is the success of the ride-hailing service Grab. Grab has been successful in leveraging word of mouth to gain traction and grow its user base in Vietnam. The company encourages users to refer their friends and family to the service, offering discounts and incentives for successful referrals. This has helped to generate a significant amount of positive word of mouth about the service, as users share their positive experiences and recommendations with others.
Benefits
The benefits of word of mouth as a selling factor in Vietnam include increased credibility and trust among consumers, as personal recommendations are seen as more trustworthy and reliable than traditional advertising methods. Word of mouth can also be a cost-effective marketing strategy, as it relies on the natural sharing of information between individuals rather than expensive advertising campaigns.
Drawbacks
However, there are also some drawbacks to relying solely on word of mouth as a selling factor in Vietnam. The impact of word of mouth can be difficult to measure and track, making it challenging for brands to evaluate the success of their marketing efforts. In addition, negative word of mouth can spread quickly and damage a brand’s reputation, highlighting the importance of providing high-quality products and services to avoid negative reviews.
4. Popular on Social media
Social media is a crucial selling factor in Vietnam, where more than 60% of the population uses social media platforms regularly. Platforms such as Facebook, Instagram, and TikTok are popular among Vietnamese consumers, who use these platforms to stay informed about the latest products, promotions, and trends. Brands can leverage social media to connect with their target audience and build a loyal following by creating engaging content and participating in conversations. Particularly, the rise of social commerce in Vietnam, where consumers can purchase products directly through social media platforms has also contributed to the effectiveness of this factor. Online venues such as Facebook Marketplace or TikTok Shop allow brands to sell their products directly to consumers through social media, making it easier for consumers to browse and purchase products online.
Example
An example of a global brand taking good advantage of social media influence in Vietnam is Senka, a Japanese beauty brand, which has built a strong presence on social media platforms like Facebook and Instagram, using targeted advertising and influencer partnerships to reach a wider audience. They also regularly post educational content about skincare and beauty tips, engaging with their followers and building a community around their brand. As a result of their social media strategy, Senka has gained a loyal following in Vietnam, with many customers sharing their positive experiences with the brand on social media and recommending it to others. This has helped to increase brand awareness and drive sales for Senka in the competitive FMCG market in Vietnam.
Benefits
Not only does social media provide a platform for brands to reach a large and diverse audience but it also helps brands increase their visibility and reach a wider audience in Vietnam by creating engaging content and using targeted advertising. Besides, social media allows brands to engage with customers in real time, responding to comments and messages quickly and efficiently. This can help to build trust and credibility among customers, leading to increased loyalty and repeat business.
Drawbacks
However, the competition for attention on social media can be very intense, with many brands vying for the same audience. This can make it challenging for brands to stand out and gain traction on social media platforms in Vietnam. Social media can also expose brands to negative feedback and criticism, which can damage their reputation and credibility among customers. As a result, brands need to be prepared to respond to negative feedback and address any issues quickly and efficiently.
5. Featured in viral Videos
Last but not least, video is an effective selling factor that can help brands to engage with customers, showcase their products or services, and increase brand awareness. In Vietnam, video has become an increasingly popular marketing tool, with many brands using platforms like YouTube and TikTok to reach a wider audience. According to a survey by Kantar, 84% of consumers in Vietnam have been convinced to make a purchase after watching a brand’s video about its products and services.
Examples
Video content can be used for a variety of purposes, including product demos, brand storytelling, and customer testimonials. Brands can use video on their websites, social media channels, and other digital platforms to increase engagement and drive sales. For instance, in the food industry, the brand Knorr has used video to showcase their products and provide cooking inspiration to consumers. They created a series of recipe videos featuring popular local dishes that can be made using Knorr products. These videos have been very popular on social media and have helped to increase brand awareness and sales. Another example comes from a beauty brand that has effectively used video to sell their products in Vietnam – Innisfree. They have a YouTube channel where they post a variety of content, including makeup tutorials, skincare routines, and product reviews. These videos often feature popular beauty influencers who showcase Innisfree’s products and share their honest opinions and experiences.
Benefits
One of the main benefits of video is increased engagement. Video content is highly engaging, capturing viewers’ attention and keeping them interested in the brand’s message. This can lead to increased brand awareness and loyalty. By using video, brands can showcase their products and services in a way that resonates with consumers, building emotional connections and making it easier to establish trust. What’s more important is that video can improve conversion rates. Research shows that consumers are more likely to make a purchase after watching a product video. This is because video allows consumers to see the product in action and get a better sense of how it works, which can increase their confidence in the product and reduce their likelihood of returning it.
Drawbacks
While video has many benefits for brands looking to sell their products in Vietnam, there are also some drawbacks that should be considered. Firstly, creating engaging video content requires a significant investment of time, resources, and money. Brands must be willing to invest in high-quality cameras, lighting, editing software, and a professional crew to ensure that the final product is of high quality. This can be a barrier to entry for smaller brands with limited budgets. Moreover, video content may not be well-suited to all audiences. Some consumers may not be interested in watching long videos or may prefer to get information about products through other channels like text or images. This means that brands may need to supplement their video content with other forms of marketing and advertising to ensure that they reach their target audience.
Conclusion
Overall, brands that take the time to understand the Vietnamese market and adapt their strategies to meet the needs and preferences of consumers are likely to be successful. By focusing on these key factors and continually innovating and adapting, brands can build strong, long-lasting relationships with their customers in Vietnam. Learn more about 5 best ways to sell in Vietnam with us:
Searching for a tailored marketing approach to sell your products in Vietnam? Contact us!
