EZZ starts selling EAORON products in Vietnam, capitalising on burgeoning middle-class
\nCompany kicked off launch of 16 products on July 6 with Southeast Asia\u2019s Guardian retail chain<\/p>\n
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Special Report:<\/em> Genomic life science company EZZ Life Science has started selling EAORON branded products in Vietnam, which it says with a burgeoning middle class presents a lucrative opportunity to expand its footprint in Asia.<\/strong><\/p>\n Along with having more than 50 EZZ-branded products EZZ Life Science (ASX: EZZ)<\/strong><\/a> has distribution rights to the EAORON brand of skin care products to pharmacies, supermarkets and specialist retailers in a number of countries, including Australia and New Zealand.<\/p>\n Chairman Glenn Cross told Stockhead<\/em> 16 EAORON products have been registered in Vietnam including the brand\u2019s best-selling EAORON Hyaluronic Acid Glutathione Essence Face Mask.<\/p>\n \u201cWe looked at the opportunity in EAORON and it looked very exciting.\u201d<\/p>\n The company kicked off the launch of its EAORON products on July 6 with the Guardian retail chain in Ho Chi Minh City.<\/p>\n \u201cThe retail chain focussed on health, beauty and wellbeing is one of the largest in Vietnam with more than 120 stores country-wide,\u201d Cross said.<\/p>\n Cross says as part of the launch the company is developing marketing strategies that resonate with local cultural values and beauty standards.<\/p>\n EZZ is investing in robust digital marketing campaigns, influencer partnerships, and a strong presence on e-commerce platforms to build brand awareness and trust.<\/p>\n EZZ is establishing strategic partnerships with leading supermarkets, hypermarkets, and specialty high-end stores to ensure widespread availability and visibility.<\/p>\n The company is also launching educational campaigns to inform consumers about the benefits of EAORON products, focusing on skincare routines and natural ingredients.<\/p>\n \u201cWe\u2019ll adopt a similar marketing approach to what we have in our other key markets,\u201d Cross says.<\/p>\n \u00a0<\/p>\n Vietnam presents a lucrative opportunity for EAORON\u2019s natural and innovative product lines.<\/p>\n \u201cThere are 100 million people in Vietnam and there\u2019s a growing middle class with disposable income,\u201d Cross said.<\/p>\n \u201cExpert Market Research reported that the skincare segment was projected to reach US$1.2bn in 2023 and is expected to continue expanding significantly.<\/p>\n \u201cThat is a substantial opportunity and we\u2019re at the top end of the market and believe there\u2019s a growing willingness in Vietnam for consumers to pay for premium skincare products.\u201d<\/p>\n \u200b<\/p>\n Australia and Vietnam enjoy a robust trade relationship that has been growing steadily, supported by frameworks such as the ASEAN-Australia-New Zealand Free Trade Agreement (AANZFTA).<\/p>\n In recent years, this partnership has seen significant mutual benefits, with trade encompassing a diverse range of products including raw materials, agricultural goods, and manufactured products.<\/p>\n According to Australian government figures Australia\u2019s total two-way trade with Vietnam increased 75% from $14.7bn in 2020 to $25.7bn in FY22\/23.<\/p>\n The Government says strong Vietnam\u2019s economic growth, a shift towards a more market-based economy, and expanding middle-class have increased demand for imported goods.<\/p>\n \u00a0<\/p>\n It has been a good year for EZZ, which announced in June it achieved a key milestone with the US Food and Drug Administration approving nine of its products<\/a> in the food category.<\/p>\n \u201cWe\u2019ve been looking at the US market for a couple of years and earlier this year set up a wholly-owned US subsidiary, EZZ Life Science Holdings (USA) Inc, which will be used as the trading entity,\u201d Cross says.<\/p>\n The company also has a strong presence in China and recently inked a five-year deal<\/a> with Hong Kong-based Pinehills for the supply of EZZ-branded products, with total value of at least $15 million in the first 12-months.<\/p>\n \u201cNot only are Pinehills very active in Vietnam, China and Southeast Asia but they are also very active in northern Asia so that will be an opportunity for us to go into markets like Korea and Japan,\u201d Cross says.<\/p>\n \u201cWe\u2019ve also gone into Kuwait and are very cautious with our expansion and look at these markets for a while before we make a move.\u201d<\/p>\n Cross says all EZZ products are manufactured in Australia under good manufacturing practice (GMP) and where appropriate registered with the Therapeutics Goods Administration in Australia.<\/p>\n \u201cCombined with FDA approval it just means consumers can be comfortable with the efficacy and safety of our products,\u201d he says.<\/p>\n EZZ is also well capitalised for growth and recorded a strong Q3 FY24<\/a>. The company\u00a0 recorded a 15% increase in cash balance over the previous quarter to $14.5m at March 31 2024, with no debt.<\/p>\n \u00a0<\/p>\n This article was developed in collaboration with EZZ Life Science, a Stockhead advertiser at the time of publishing. <\/em>\u00a0<\/em><\/p>\n This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.<\/em><\/p>\n The post EZZ launches EAORON products in Vietnam<\/a> appeared first on Stockhead<\/a>.<\/p>","protected":false},"excerpt":{"rendered":"Capitalising on growing middle class<\/strong><\/h2>\n
B<\/strong>ilateral ties between Australia and Vietnam<\/strong><\/h2>\n
US FDA approval for EZZ products<\/strong><\/h2>\n