Le Hoang Diep Thao: 'If you want to overcome the storm, you must fly at a higher level'

For Ms. Le Hoang Diep Thao - CEO of King Coffee, when flying at the top floor, the business will not be exposed to storms below.

In 2020, amid global economic fluctuations due to Covid-19, King Coffee still recorded significant achievements. This brand was honored as the "Fastest Growing Coffee Brand in the World" by Global Brands Magazine, while CEO Le Hoang Diep Thao became the only female businesswoman from Vietnam to receive the "Leader" award. Global Inspirational Leader 2020". In November, she was also elected Vice President of the Vietnam Coffee and Cocoa Association.

Ms. Le Hoang Diep Thao shared with VnExpress about her efforts to help businesses "find opportunities in danger" in the past year and her wishes for the new year.

Ms. Le Hoang Diep Thao - CEO King Coffee. Photo: Quynh Tran.

- How has King Coffee experienced the year with the unforeseen fluctuations of Covid-19?

- In 2020, Vietnam made great decisions to control the epidemic, and business travel conditions were much more favorable than many countries in the world. From this luck, we turned a risk into an opportunity right at a time when everything was very bad.

When the outbreak disrupted the global supply chain, I implemented many new ideas to accelerate growth. In particular, the key strategy is to diversify distribution channels through the world's largest e-commerce platforms such as Amazon, Ebay, Alibaba... and the Global Agent Network initiative to promote the global agent system. .

With the Global Agent Network, King Coffee links with organizations and individuals that have existing networks in many countries around the world but are having little work due to the pandemic to become our distribution agents. Thanks to that, the number of agents globally increased rapidly. King Coffee has expanded its market from 61 countries to more than 120 countries in just a few months. International market growth in 2020 is up to 200%. In particular, the Russian market and surrounding regions grew by 350%.

In 2021, we will develop those markets in depth, stronger and more stable. My plan is to divide the markets into 7 different regions based on similar cultures and geographical locations, from there we will establish offices and a sales distribution chain that are methodically invested, operating from offline to online.

- How is King Coffee's entrepreneurial spirit specifically expressed?

- When King Coffee started, it was in trouble. So Covid-19 is just another challenge we face. I determine that spirit is very important, it is necessary to correctly assess situations, risks and opportunities to determine direction. We cannot change the wind but must turn our sails to adapt and find a way to break through.

In 2016, when I started building the King Coffee brand, I chose the logo as the symbol of two eagles put together. When a storm is about to come, the eagle will spread its wings and fly high, and because it flies at a high altitude, the rain and storm will stay below. I have determined this principle and applied it correctly. In a short time, TNI King Coffee must develop quickly to reach the upper floors. And in fact, from 2016 until now, we have only had 5 years of development but have achieved results that many other brands needed 20 years to achieve.

Ms. Le Hoang Diep Thao said that the King Coffee logo takes the image of two eagles assembled, expressing the spirit of overcoming storms to rise. Photo: Quynh Tran.

- Specifically in the incident, how did King Coffee turn danger into opportunity?

- First of all, it is the spirit of leadership that is always strong, leading the business to overcome all challenges and the spirit of Entrepreneurship is always present in every King Coffee "warrior".

Increase the internal strength of your own organization, and at the same time need to think about the common to get the unique. I am thinking about solutions to help our country's economy revive after overcoming the Covid-19 pandemic. In foreign markets, as mentioned, I implemented the Global Agent Network initiative, doubling the market at the most difficult time due to the pandemic.

In Vietnam, I developed a project called "Women Can Do" to create a network of 100,000 women startups based on 4.0 technology. In the early stages, I used King Coffee as a solution for women to step out of their "safety zone", become financially independent, and take control of their work. Using the mobile application platform, women not only have the opportunity to start a business or have a side hustle, but also work together in a community where there is a leader to guide them, receive training, and advice. counseling, loans, installment payments... I hope the support from the Women Can Do project will help women have both financial independence and time to take care of their families.

- Why did you choose this as the time to launch this project and what is the message of this project?

- I think, when the economy is difficult, entrepreneurs must shoulder social responsibility. Therefore, this is the most suitable time for us to create new solutions for society, especially livelihood solutions for women.

The message of Women Can Do exudes from the project's name. I want to spread the fire so that all women work together to create something truly worth doing in life.

In addition, during the development of the Women Can Do project, we will increase other product lines to support women's online and offline sales channels. That means, King Coffee creates a platform for other businesses to participate to introduce products to the market.

Ms. Do Thi Thu Thao - Vice President of the Vietnam Women's Union and King Coffee CEO Le Hoang Diep Thao discussed the implementation of the Women Can Do project in the national project "Supporting women to start a business in 2017 -2025". Photo: King Coffee.

- Besides the Women Can Do project, as Vice President of the Vietnam High Coffee Association, how do you solve the problem of increasing the value of Vietnamese coffee?

- The entire world coffee industry is worth more than 200 billion USD, of which green coffee accounts for a very low percentage of about 8-10%, the rest accounts for more than 90%.

Vietnam is the second largest coffee exporter in the world, exporting 1.6 million tons a year but earning about 2-3 billion USD is very low. Let's compare a kilogram of green coffee costs about 30,000 VND, while a cup of coffee can cost up to 60,000 VND.

These telling numbers point to a huge opportunity for Vietnamese companies to develop the next stage of the value chain, i.e. deep processing. Vietnam has the best robusta coffee beans in the world with the largest output in the world. Therefore, we should invest in deep processing to add value to the industry, for example making instant coffee products to push the value higher.

Besides, branding, packaging, marketing, building cultural identity, developing the F&B industry... are also important. Let's look internationally, there are 279 markets that are rich and ready to consume coffee, regardless of religion or culture. Wherever there are people, there are people who drink coffee. So why don't we make standard coffee products, put our hearts into making the products great, preserve our reputation as people to create sustainable development for the business? as well as for Vietnamese brands?

- After King Coffee's efforts to promote Vietnamese coffee in the past year, in your opinion, how has the position of Vietnamese coffee in the world changed?

- More than 20 years ago, when participating in an event promoting coffee around the world, many foreigners asked me if Vietnam was still at war, some had even never heard of Vietnam.

But now it's different, Vietnam's position is growing very clearly in the region and the world. I have attended more than 200 conferences around the world, at every event I try to promote Vietnamese coffee. I see that there is a lot of opportunity for Vietnamese coffee in that value chain of more than 200 billion USD, because one-third of it is fresh coffee (roasted coffee beans), one-third is instant coffee. There are many types of instant coffee such as three in one, two in one. collagen coffee, Ready to Drink (instant coffee), Capsule (tablet coffee).

Clearly, the needs and potential of the market are so rich that we can completely dominate with many product lines, not just raw exports. From more than 20 years in the coffee field and researching the needs and tastes of domestic and foreign consumers, I built a rich product range for King Coffee. In addition, what I am most confident about is that the quality and taste of the product are both outstanding. As a result, King Coffee has appeared in the most demanding sales systems such as Costco, Walmart, and a series of leading e-commerce channels in the world such as Amazon, Ebay, Alibaba...

- So in your opinion, how can Vietnam become a coffee powerhouse?

- Firstly, there must be a strategy. We have the first foundation as the second largest coffee exporting country in the world. What we need to do now is to maximize the value brought to the coffee industry. To do this, the Government, ministries and people need to consider coffee as a national strategic industry to join hands to help the coffee industry breakthrough and become the number one coffee power in the world.

Second, increasing domestic consumption is the key to the development of Vietnamese coffee. Because when we have autonomy and retain higher domestic consumption, as Brazil did by raising domestic consumption up to 30%, Vietnamese coffee will have a high position, not being forced. price, loss of value.

We have the right to dream that one day, the whole world will know that Vietnamese coffee is delicious. So we can make this dream come true.
 

Ms. Diep Thao hopes to turn Vietnam into a world coffee power. Photo: Quynh Tran.

- There are many opportunities, but the problem is how to take advantage of that opportunity, how to compete in very demanding markets and with many stronger, more experienced coffee brands?

- Regarding infrastructure, currently, tools, conditions, connections, technology... are all available for us to exploit. For example, an open social networking platform with a very low cost. If we know how to take advantage of smart ways to promote our brand and find partners through connection platforms, we can shorten a 20-year journey to just 5 years.

In terms of policy, the Vietnamese Government has opened the door for the agricultural industry in general and the coffee industry in particular to make a breakthrough in 2021. The Vietnam - EU Free Trade Agreement (EVFTA) takes effect from January 1. August 2020, the Free Trade Agreement between Vietnam and the United Kingdom (UKVFTA) was also just signed by the Government of Vietnam on December 29, 2020 ... helping agricultural products, including agricultural products Coffee products are exported to this market with zero tax and no quota.

These are agreements that can help Vietnam surpass Thailand to export to those large markets. Therefore, businesses need to see this as an opportunity to access the market, especially agricultural products, clean agriculture, and coffee.

But the important thing is that no matter how much it develops, the essential thing is still the reputation of the brand. I always remind my team over and over that we must maintain our reputation like preserving our own people. When working with big partners, we must be in a worthy position.

- During a difficult period like Covid-19, a period that many people call "wartime", what is your daily mindset like to have strong energy?

- I have faith as well as love in my work. Every morning when we wake up and see the sun rise, we know we have to keep going and go up. Unless the sun no longer rises, then there is no chance. As long as you're alive, you still have to do good things for people and your family.

- As for the weaker people, how do you inspire them to overcome the difficulties of 2020?

- I hope we all keep a positive mindset. Difficulties and challenges are for training, helping us look back and move forward more carefully and correctly. Difficulties and challenges cannot be barriers to force us to stop.

I believe everyone in society has the opportunity to excel, regardless of your background. We are all born with a mission. Therefore, decide that you accept the opportunity to do the best in your life, create value and shine.

- What is your wish for the new year?

- This year, taking the opportunity of owning a distribution network to more than 120 countries, I will bring King Coffee deeper into international markets.

Using King Coffee's development platform and global opportunities, partners will buy franchises to take the brand further. Thus, consumers around the world will see Vietnamese coffee brands present in famous locations such as shopping centers, airports, and the world's largest e-commerce platforms...

As for Women Can Do, outside of Vietnam, I hope the project will spread and inspire women in neighboring countries such as the Philippines, Malaysia...

I think this is the time for the elites, intellectuals and leaders to see this as an opportunity to unite to take practical actions to help elevate the nation and the coffee industry. Coffee industry entrepreneurs and the community need to join hands to support Vietnamese brands, to soon have a Vietnamese brand of global stature.

We have a good brand, good coffee quality and good conditions. Therefore, support for Vietnamese brands will help Vietnamese coffee develop globally faster and stronger.