MAKING MARKETING PLAN TO EXPORT FISH
SAUCE PRODUCTS INTO PARIS - FRANCE
THANH HA SEAFOOD EXPLORING & FISH SAUCE PROCESSING
I. SUMMARY OF PRODUCT
1. Overview of products
1.1 Overview of products
Product name: Nuoc Mam La Mer
Company name: THANH HA SEAFOOD EXPLORING& & FISH SAUCE PROCESSING
Address: Dong Duong, Phu Quoc, Kien Giang
Telephone number: (84-77) 3846139
Fax: (84-77) 3846845
Thanh Ha Phu Quoc fish sauce is produced in Phu Quoc Island under a closed
process from catching material to processing under Vietnamese traditional method kept in
wood barrels during 12 months to packaging the final product. Ha Thanh Phu Quoc fish
sauce has contributed significantly in bringing Vietnamese noun "fish sauce" in World
1.2 Product Quality and Awards:
Manufacturing process of Thanh Ha fish sauce follows strict requirements,
provisions of the quality management program under HACCP standards of the EC and
the FDA the U.S (Hazard Analysis and Critical Control Points) and GMP (Good
Thanh Ha Fish Sauce is the only and first manufacturing fish sauce unit
certificated rank A by National Agro, Forestry and Fisheries Quality Assurance
Department (MOFI before), being eligible for export to the EU market with code: NM
139 in 1998. There are only 05 Vietnamese enterprises that have this code to be
exported fish sauce to EU market.
Golden rice Awards – 2012
Gold Medal for 400 fish sauce in 2006
Page | 1
Gold Medal at VietFish Fair in 2006, 2005
Prestigious Business 2005 Certificate
Certification of satisfying food hygiene and safety requirements in fishery
processing in 2010
2. Target market
- Stage 1: Customers are Vietnamese and Asian who live in Paris-France
- Stage 2: The customers are French who have known and used fish sauce.
- Stage 3: Customers are French who have never heard or ever heard about fish sauce
but haven't used it.
3. Competitive advantages
- Fish sauce with guaranteed quality, fresh, delicious taste.
- Produced by modern technology.
4. Declaration: "Vietnamese fish sauce flavor"
5. Anticipated revenue, profit and market share
Although the group of target customers is overseas Vietnamese and Asians living in
Paris for the first years, the long term goal of Thanh Ha Company is going to gain 45% of
fish sauce market share in France.
Revenue by market
Revenue by volume of
customers want to get
sales sold out
II. TABLE OF SWOT ANALYSIS
The formation of Thanh Ha trademark has a history of hundreds of years, from a
family traditional fish sauce work through many ups and downs, changing with the
country's history. Manufacturing process of Thanh Ha fish sauce follows strict
requirements, provisions of the quality management program under HACCP standards of
the EC and the FDA the U.S (Hazard Analysis and Critical Control Points) and GMP
(Good Manufacturing Practice).
Page | 2
Thanh Ha Fish Sauce is the only and first manufacturing fish sauce unit certificated
rank A by National Agro, Forestry and Fisheries Quality Assurance Department (MOFI
before), being eligible for export to the EU market with code: NM 139 in 1998. Foreign
customers who visited the facility and production processes of the company were very
pleased with the production conditions and the hygiene standards of food safety that the
company is taking to create products that ensure quality.
Thanh Ha has dedicated responsible and highly skilled human resources with
many years' experience. Fishing vessels with a capacity of 200 horsepower gains output
up to 01 million liters/01 year.
Products of Thanh Ha have been very popular in countries like Japan, South
Korea with assurance quality that is proven and price is lower than other competitors.
Product quality: Phu Quoc fish sauce production technology is not too hard but it
can’t be done in short time. Foreign fish sauce companies and makers can only
overcome it by luring processing talents of the fish sauce island with attractive
incentives in order to cover up the weakness of professional and initial executive
processes in the use of the technological secret of fish sauce manufacturing.
Technology process: Principle of fish sauce production is fermentation technology
from animal protein, and it is not too strange for processing experts, food manufacturers
in Europe and America. Of course, there are other technical minutiae but they play an
important role in the formation of products. Currently this is the biggest advantage of
Phu Quoc fish sauce brand in general and Thanh Ha in particular.
First, distribution channels: Thanh Ha currently has no distributors in the French
market. This needs a quick solution because, as described above, Vietnamese companies
when coming into the French market, they need to find an available distributor to attack
the market strongly and safely.
Products of Thanh Ha in particular and Phu Quoc fish sauce in generally have quite
high protein and stronger flavor than its rivals. Weaknesses require Thanh Ha to capture
the tastes of consumers in France and change products to suit with the market.
The product models are not beautiful. Thanh Ha brand is currently only suitable for
the Vietnamese, unsuitable for the French, who always require high aesthetic products.
There is no strategy that inculcates brand in the minds of consumers. There is no
setting up an effective professional product distribution system as well as strengthening
Page | 3
strategic linkages to think about if they want to survive, it hasn’t talked about similar level
competition with fish sauce companies Thailand.
Thanks to the natural conditions that Phu Quoc owns special long-jawed anchovy,
there are many kinds of Phu Quoc Anchovy, but the best types are Spined anchovy,
Stolephorus tril, white anchovy, red anchovy. This type of fish has soft body, secreting
higher protein than anchovies which live in other areas with harder body, lower protein
level. Phu Quoc fish sauce in general, Thanh Ha fish sauce in particular is famous
worldwide thanks to its special, delicious, pure, tasty, nutritious flavor. That is why the
drops of Phu Quoc fish sauce make many people have to remember although they enjoyed
only one time.
Phu Quoc fish sauce has been granted PDO certificate to protect origin and is the
first product of Vietnam certified to export to the European countries.
Besides, France is a potential market with a stable economy; Vietnam items are very
popular in France. The Frenchman hailed Phu Quoc fish sauce as their champagne. The
Pasteur Institute of France still keeps the bottles of Vietnamese fish sauce more than a
dozen years ago (Vietnam was colonized by France from 1884 to 1954). The strict cuisine
of the French is a challenge for all types of food but it is a significant opportunity for
special products like Thanh Ha fish sauce that may exist and be developed here.
Especially habits of enjoying fresh food and drinking sauces of French will be conditions
for Vietnam fish sauce going into this market.
Economic, political relations between Vietnam and France have been good in recent
years; Vietnam has received a lot of favors from France. Volume of goods exports to
France from Vietnam has always highly grown from 30 -40 % and turnover over $01
billion in recent years.
In addition, the number of Vietnamese people currently living in France is nearly
500,000 people; it also creates a certain number of advantages for Vietnam's goods
entering the French market from demand aspects. At the same time, many overseas
Vietnamese entrepreneurs in France have supported to distribute Vietnamese goods for
overseas Vietnamese community as well as for the whole market in this country.
Page | 4
The first challenge comes from the inner. Despite abundant material resources, in
recent years they are being overexploited. Thanh Ha is one of 30 businesses with 200 fish
sauce processing facilities operating in Kien Giang province. A detailed plan for the
acquisition and exploitation of raw materials should be studied carefully as this will
directly affect output and prices.
Secondly, the strict requirements from market demands Thanh Ha always to ensure
the required standards as food safety, label format, documentation, delivery time. It should
actively grasp market requirements, understanding its own rules, more focusing on brand
and technology, from which increase the value of exports and create differentiated value
for the product, in accordance with consumption trends of the market. Tastes, consumer
style of each country is different, while goods entered the EU market are circulated in all
28 countries. Thus, the creation of a product, bringing products to a country and adapting
to the remaining 27 countries is a significant challenge for the company.
Thirdly, France is a potential market but the current market pie most belongs to
Thailand. Consumers and distribution systems have already been familiar with Thai fish
sauce so finding the output is very difficult to find. Consumers are still hesitant to use new
spices and strong flavors like fish sauce. Like most Europeans, the French do not require a
high-protein level fish sauce, but they are interested in products with creative colour and
lighter flavor. This is a big challenge.
III. ANALYSIS OF TARGET CUSTOMERS AND MARKET SEGMENTS.
1. Market segments
- Stage 1: Customers are Vietnamese and Asian who live in Paris-France.
- Stage 2: The customers are French who have known and used fish sauce.
- Stage 3: Customers are French who have never heard or ever heard about fish
sauce but haven't used it.
2. Overview of market
France now has more than 65 million people. In the inner Paris, there have about 2.5
million people. If accounting Paris metropolitan, there are over 12 million people, among
the highest rank in Europe. The number of Vietnamese people currently living in France is
about 300,000 people concentrated in urban areas and mainly in Paris. People coming here
mostly to live and study. With a crowded population, it is clearly a potential market for
Vietnam seafood exporters.
Like other countries in the EU, France has very strict regulations for the importation
of agricultural products. Food safety is the most important element in the EU. This has led
Page | 5
to the introduction of numerous regulatory issues related to hygiene and traceability,
stressed the importance of measures to ensure the safety of the entire distribution chain
(from farm to table) with the goal of ensuring that all food sold and consumed in the EU is
As one of the cradles of European culture, French culture was built and developed
over thousands of years along with the development of the country's history for hundreds
of years BC. Massive, unique culture is still preserved and kept carefully by French. The
French love to eat the dishes that are decorated meticulously, and they pay attention to
creating attraction to diners right from the first glance. They are fussy in the way of
cooking, particularly interested in the sauce that came with the dish. France has rich
culinary arts. The fame is not based on a long tradition but in continuous change. The
French often use canned food and frozen dinners or weekend but use fresh food for dinner.
Except the Jews and Muslims abstain from pork, almost all French like Vietnamese
dishes. Many people invite family and friends to eat Vietnamese rice. In Asian restaurants,
many French people call “pho” automatically instead of waiting for a friend offered to
Noon when they are busy, meatloaf under Vietnamese style is bought by many
buyers. Spring rolls, egg rolls, stuffed pancake, shrimp dumpling are sold in every
supermarket, food counters. Someone asks Vietnamese friends to teach how to cook.
Food imported from Vietnam is particularly favored by customers. Vietnamese fresh
vegetables cleared by French customs are already sold out for three or four days.
Vietnamese frozen goods including shrimp, fish, fruits are already peeled and cooked
In the Asian groceries, frozen goods cabinets have almost products produced in
France and Vietnamese goods. Lunar New Year season and Mid-autumn have a lot of
candy and jam from Vietnam. However, the current Vietnamese food also faces
competition from other countries such as China and Thailand.
Although the brand has become famous, product is exported to many countries; most
businesses have acknowledged Vietnam's fish sauce is overshadowed by Thailand. The
volume of fish sauce exports in Vietnam is only one fifth compared with Thailand.
According to cuisine experts, Thai fish sauce protein levels is lower than Phu Quoc
fish sauce (from 5 ÷ 10 degrees), but it has more light and mild flavor. This is entirely
consistent with the other countries, especially European countries and the U.S., which do
Page | 6
not require fish sauce to have high protein as Vietnamese consumers. In choosing fish
sauce, consumers tend to buy to try brands and often based on protein level, the
appropriate price. The next factor that is chosen is color. Some likes fish sauce with brown
color, but others like to have a bright yellow fish sauce. About the smell, the current trend
does not accept fish sauce with too strong smell. So the little smell fish sauce is still
preferred. Consumers also do not accept too salty fish sauce, so the current fish sauce
products are made up. Thailand has shifted into industrial production for a long. However,
because Vietnam was absent in the international market over several decades, and it has
just exported back in recently, it has not caught the change of consumer tastes. Even
overseas Vietnamese in foreign countries have adapted to the Thai fish sauce.
Furthermore, the distribution system is already familiar with Thai products, finding the
consumers for Phu Quoc fish sauce is very difficult.
4. Features of target market segments
4.1. Customers are Vietnamese and Asians who live in Paris-France
- Income: Average income of society.
- In Vietnamese community in France with strong link
- Having habits and cuisines combined a nation, easily to enjoy and paying money
for products dade in Vietnam.
4.2. The customers are French who have known and used fish sauce
4.3. Customers are French who have never heard or ever heard about fish sauce
but haven’t used it
IV. GENERAL AND SPECIFIC OBJECTIVES
1. Mission statement
“Bring consumers a clean product and a healthy diet”
2. General objectives
"After one first year, company’s product is covered and exhibited 80% on the system
of retail stores and supermarkets in Paris-France."
3. Specific objectives
Net profit = 349.440 – 58.800 = 290.640€.
Page | 7
(Output (thousand liters)
1. Price strategy:
Pricing strategy is deciding factor of market entry strategy and relates to the
management decisions as determining selling price (set the price), product costing (cost)
and change according to market demands.
The high pricing will not lose market share because France is a developed country
with high living standards whether the product should be priced higher or not, they still do
not hesitate if they feel what they earn is truly worthy with the money they spent. The
French always take care of their health, so if products are goods for their health, they will
accept high prices, it means that they will pay attention to product quality than its price.
Reduce target profit in the first year to prioritize affordable price, in line with the
market. Currently, the market price for Vietnam is only about 6,000 to 30,000 VND / 01
bottle. Proposed price in the French market (can change after company researched
market). Currency unit: Euro
2. Product strategy
Company selected fish sauce with present moderate-protein level in the company's
product line to develop. The product is centralized to deploy including:
35N fish sauce
25N fish sauce
Bottled format: Glass Bottle.
Volume of 250ml
Volume of 682ml
Building product brand: New La Mer fish sauce products (de poisson sauce)is a
special fish sauce product line of the company dedicated to existing French market and
Europe in the near future, "Product this brings a special flavor of the sea, reducing the
fishy smell as using as spices for food from the sea but not reduce purity, increase the
attractiveness of the dish, and very tasty when you enjoy.”
Company brand: Thanh Ha – Phu Quoc – Viet Nam
Branding motto: Vietnamese taste of French.
2.2. Distribution channel (Place):
Page | 8
1st class agents
Market, retail stores
Product distribution will be done in 02 step.
Step 1: In the first 02 years, the company distributed through Unilever. Unilever is
a distributor for many products of Vietnam in France. This is a well-known brand on the
French market. The distribution by Unilever will help to increase the trust of consumers
for new products. It will be made the company lose 40% of every order but it is essential
for entering market and building brand.
Step 2: Establish a representative office in France. Currently, there is not a
Vietnamese representative office in France. Building representative office not only is an
important step in helping the company take the lead in developing market here and
enhancing brand, representative office can also help company to be proactive in the
signing and distributing products for purpose of separating from the dependence on
Unilever. Representative office will be opened after 02 years the company penetrates the
market for consumers to get familiar with product brand. When direct contracting and
finding distribution sources, the Company will directly distribute to the consumers.
Representative offices also helps the company capture market needs and tastes of
consumers more quickly and capture the changes in food hygiene and safety rules and
import and export laws of the European Europe aiming at the features and specifications
of products actively.
2.3. Trade promotion and sales support strategies (Promotion)
Using viral marketing method. The spread of product brand will be made by 02
ways. First, bring products to the French overseas Vietnamese. From Vietnamese people
Page | 9
introduce to the French ones. Second, the choice of chefs who are famous and have
influence in France and hire them as representative for the product. When chefs use the
product, it will cause effects for the native.
Combine direct and indirect advertising programs
Conduct product brand promotion while doing market research. The survey
participants are the future customers as well as factors in viral marketing method.
2.4. Implementation strategies
a. Market research plan:
Time: 01 month
Deployment scale: Over 2000 people in which: 1000 Vietnamese overseas, 1000
natives and about 20 chefs
Personnel: 05 people (outsourcing student forces who are studying and living in
France) Plan objective: Provide criteria for the product including:
- Aesthetics: color of water, bottled format, label
- Volume: Users love to use big or small volume
- The salty: apply how much salt of fish sauce
- Flavor: increase, decrease or remain the heavy / light flavor.
b. Plan to promote products : Include detailed plans
Design product logo
Conducting trademark registration for new product La Mer
Advertising message: Vietnamese flavor of French
- Discount program at supermarket combined with distributors Unilever. This
program can apply product introduction policy by integrating new products as a
complementary product into the food products that are currently distributed by Unilever in
- Develop own website product (in French) to introduce products and a list of stores
selling products, introducing dishes that use fish sauce in particular and Vietnam
specialties in general (using images, processing instruction clip, presenting specified
- Sponsor program: Sponsor for the cooking competition, raw material for cooking
programs on television. Sponsor product for the contest: Please select the correct price
under the French version.
Page | 10
- Viral Marketing: For Vietnamese, select Vietnamese people living in France and
rent them to use the product and recommend to other Vietnamese people and the French.
Benefits they are entitled is the wages and free product usage. For well-known chefs, rent
them at attractive costs for them bring new products of the company into cookery
programs or introduce their dishes. This method is very good effects for consumers.
Estimated cost: Unit: Euro
Types of costs
Market research costs
Product promotion costs
Cost of labor performed (05 people)
Promotional product costs
In words: Forty-seven thousand Euros
VI. Budget and control
1. Expected sales:
There are about 300,000 Vietnamese people in the capital Paris - France, if the
average 4 people/1 household, we will have the equivalent of 75,000 households.
Assuming the maximum desired market share is 95% (67,500 households)
Vietnamese households in France use fish sauce for daily meals (meals of Vietnamese)
and use about 250ml for eating and 500ml fish sauce for food processing. According to
statistics, over 95% of the families in Vietnam use fish sauce for everyday meals, perhaps
Vietnamese people in France too. Assuming consuming the amount posed with whole
desire market share for market of 75,000 households is at 100%, desirable market share
that is considering is 40 % in 1 first year making the marketing strategy.
Each 250ml fish sauce bottle (fish sauce for eating) is 10€.
Each 682ml fish sauce bottle (fish sauce for cooking) is 8€.
(Price strategy is not effective in building brand phase). This strategy will be
reviewed in details when many competitors appear at the same time.
If the maximum market share reaches 40%, the amount collected in 1 month is:
[67.500 x (10+8)]*40%= 486.000 € (1 month)
Exports equivalent ((250ml + 682ml)/2)*67.500 = 31.455 liters
Expect number of minimum inventory at retail systems and supermarket is at least 3
sales weeks. (Make sure some inventory to sell waits times for the next shipment besides
the objective cause during shipping, customs clearance ...)
Page | 11
Thus, the volume of goods imported for the first time to display in stores and
supermarkets needs to
31.455 *3 = 94.365 liters
Assuming all of the following expenses have been accounted for in the price:
- Cost of distribution channels
- Transport costs, insurance
- Import and export costs, administrative procedures
- Costs of production, storage
- Labor costs
- Technology costs:
- Costs of handling inventory and destruction
After deducting all costs, unallocated profit of the manufacturer is 40% equivalent to
486.000 * 40% = 194.400 €.
2. Estimated cost for Marketing
- Stage 1: Not apply to advertise on TV because there's no revenue to invest.
This phase focuses on retail display system, introducing products in supermarkets.
• For retail stores : Buy 1 barrel ( 24 bottles ) type of 250ml and 1 barrel, type of
682ml (12 bottles ) and display 3 bottles of each type on the counter, get 3 bottles of the
same type. In addition, the retailers also gain 10 % profit compared to the retail price
printed on the bottle.
• For supermarket : Buy 5 barrels ( 24 bottles ) type of 250ml and 5 barrel type of
682ml (12 bottles) and display 10 bottles of each type on the counter, get 4 bottles of the
same type. In addition, supermarkets also get 10 % profit compared to the retail price
printed on the bottle. Each supermarket will have 1 PG to introduce home specialty
products to the customers intending to buy products sold in the spice area.
Based on the marketing plan, we will calculate the Marketing cost for Retail system
= ((number of retail store * (3 bottles 250 + 3 bottles 682ml)) + number of
supermarket * ((20 bottles 250 + 20 bottles 682ml)+ PG staff’s salary).
For example, the entire Paris capital has 800 retail stores and 40 supermarkets. Cost
for each PG is 300eu. Expected Marketing cost/month would be equivalent to:
=800* 54 + 40*90 + 40*300
= 43.200 + 3.600 + 12.000 = 58.800€.
Page | 12
= 800*(3*24*10 + 3*12*8) + 40 *(5*24*10+5*12*8)
Net profit = 873.680*40% = 349.440€
Hence, if the marketing strategy above is successful, even in the early years, the
company’s products covere and display 80% on the system of retail stores and
supermarkets. Net profit = 349.440 – 58.800 = 290.640€
Marketing cost will include the cost of building additional advertising on pay TV
system. However, sales will increase as advertising is on television system.
Page | 13