Corporate Positions Uplifted by Vietnam National Brand

10:01:17 AM | 29/12/2020

The Vietnam Value Program is the Government-backed long-term sole trade promotion program designed to build and develop the National Brand through product branding. Joining the program is an opportunity for Vietnamese businesses to improve their competitiveness and build their brands methodically and effectively.

What benefits will businesses get?

Enterprises that have products certified Vietnamese National Brand are allowed to use the Vietnam Value Logo and the Vietnamese national brand identity system according to the Regulation on management and use of the Vietnam Value Logo issued by the Ministry of Industry and Trade. Vietnam Value products are selected every two years, with very strict processes as specified in the Regulation to ensure legality, fairness, publicity and transparency for businesses.

In nearly 17 years, the number of companies with National Brand-labeled products has continuously increased, from 30 in 2008 to 124 in 2020. These figures confirm the increasingly improved quality of Vietnamese goods and services. Vietnam Value-certified companies have increasingly asserted their position in the domestic and international markets although they face numerous difficulties and challenges.

In 2020, the National Value Program certified 124 companies with a total of 283 Vietnam National Brand products, 27 companies more than in 2018. In particular, 124 Vietnam Value-certified businesses in 2020 had impressive business performance. In 2019, their revenue totaled VND1,430 trillion (US$62 billion) and their export value was VND137 trillion (US$6 billion). They contributed greatly to social security.

This year's program brought together some popular brands such as PAN, VnPay, MobiFone, Richy, Saigon Newport, BRG, TH True Milk and Cholimex. It also attracted a number of corporations and their subsidiaries to join, including Hoa Phat, GELEX and BRG.

Mr. Vu Ba Phu, Director of the Vietnam Trade Promotion Agency (Vietrade) under the Ministry of Industry and Trade, affirmed that the Vietnam Value certification is not an award but it is a beginning. The Government does not act for businesses but will stand for them to guarantee quality and reputable brands to help them build a strong foothold in the domestic market and boost their brand development to the world.

Not only enhancing the value of businesses in particular, the Vietnam Value Brand Program also raises the national brand of Vietnam as a whole. According to Brand Finance, the Vietnam brand value rose 29% to US$319 billion in 2020 from US$247 billion in 2019. Its standing climbed nine places to No. 33 from No. 42 in 2019. Vietnam had the fastest-growing national value in the world.

Coupled with the growth of the Vietnam Value Program, the brand value of Vietnamese businesses has also picked up dramatically. According to Forbes Vietnam, the total value of Top 50 Vietnamese brands was about US$9.4 billion.

New journey of Vietnam Value

From 2020 to 2030, the Vietnam Value Program will have many changes in its goals and approaches to match new domestic and international developments. According to Deputy Minister of Industry and Trade Do Thang Hai, the program aims to build an image of Vietnam as a creditworthy country with high quality goods and services, increase the pride and appeal of Vietnam and its people, promote foreign trade development and enhance national competitiveness.

To carry out the Program in the new phase, the Prime Minister signed Decision 30/2019/QD-TTg on the Regulation on development, management and implementation of the Vietnam Value Program and Decision 1320/QD-TTg approving the Vietnam Value Program in the 2020 - 2030 period. Accordingly, the program has set the goal of building an image of Vietnam as a creditworthy country with high quality goods and services, increase the pride and appeal of Vietnam and its people, promote foreign trade development and enhance national competitiveness.

Mr. Hai said, the program will focus on consistently implementing product and service export and import strategies and keeping the growth of National Brand-certified products higher than the country’s average. The specific goal is increasing the value of the Vietnam National Brand by an average of 20% a year, rated by prestigious rating agencies in the world. Over 1,000 products will be certified Vietnam Value.

In the next 10 years, the Vietnam Value Program will also aim to have 10% more companies listed as the most valuable brands. 90% of companies nationwide are aware of the role of branding in production, trading and investment. In terms of promotion support, 100% of National Brand-labeled products are promoted in domestic and key export markets.

By Huong Ly, Vietnam Business Forum