The Hanoitimes - The market for food & beverage (F&B) is considered to have high potential for development in period 2017 – 2018. According to experts, despite the stagnation in recent years, F&B industry has recovered and is growing steadily.
As such, the Business Monitor International (BMI) forecasted, the growth rate of F&B industry will be at 10.9% annually for period 2017 – 2019, thanks to high income level of customers and the growing trend of purchasing high value products. Meanwhile, recent statistics from the General Statistics Office showed, in the first 9 months, food production and processing grew 6.6%, beverage production up 5% compared to the same period of last year.
According to the list of top 10 F&B Companies in Vietnam in 2017 announced by Vietnam Report, the top brand in food industry is Vietnam Dairy Products JSC (Vinamilk). After that is well-known brands to Vietnamese customers such as Masan Consumer Corporation, Acecook Vietnam JSC, Nestle, Kido, C.P Vietnam Livestock Corporation, Vissan JSC and others.
The report revealed leading brands with credibility among Vietnamese customers in food industry in Vietnam are Vinamilk, Masan Consumer Corporation and Acecook Vietnam JSC. In a worthy note, Vinamilk is currently highly regarded by almost all consumers and experts in the selection and review process with regard to brand recognition, at the same time, the company also have a strong network coverage and media influence in the country.
Saigon Beer Alcohol Beverage Corporation (Sabeco) is leading in list of top companies in beverage industry, staying behind are Heineken Vietnam Brewery Ltd., Co, Suntory Pepsico Vietnam Beverage Co., Ltd, Hanoi Beer Alcohol and Beverage JSC (Habeco), Tan Hiep Phat Trading – Service Co., Ltd. In the group of beverage companies, Sabeco, Heineken and Pepsi are three leading companies with the most credibility in Vietnam’s market. In difference to the group of food companies, beverage companies are more limited in advertising products in media.
Top 10 leading companies in food industry.
Companies in the list are evaluated and ranked based on 3 main criteria as follow: (1) Financial capabilities based on the most recent accounting report (total assets, total revenue, net profit, efficiency in capital utilization) (contributing to 30% of the total score); (2) Credibility to the media based on media coding measure – coding articles advertised for companies in influential media channels (contributing to 30% of the total score); (3) online survey on brand recognition and customers’ satisfaction on products and services quality of companies., survey on the status of the company in each respective field, and survey on companies conducted in September with regard to market scale, labor force, capital and revenue growth rate, profit, action plan in 2017 (40% of the total score).
Top 10 leading companies in beverage industry.
With population of more than 90 million, and the rapid growth rate of tourists in recent years, F&B market in Vietnam is considered to be an attractive destination for investment from both domestic and foreign investors. In the coming time, the state divestment of some leading companies in F&B market such as Vinamilk, Sabeco, and Habeco will open new doors for foreign companies to join the F&B market in Vietnam. Not long ago, many Thailand’s companies have attracted attention when acquiring the BigC super markets in Vietnam and cooperating with Masan for strategic development, while the State Capital Investment Corporation (SCIC)’s decision to divest shares from Vinamilk is expected to signal fierce competition in F&B Vietnam’s market in the coming time.