Which products and services are not eligible for Black Friday promotions in Vietnam? What types of promotions are there currently and on what occasions in Vietnam? Question from Mr. Tien (Hue)
Pursuant to Article 92 of the 2005 Commercial Law, it stipulates current forms of sales promotion, including:
1. Giving samples of goods or providing samples of services to customers for trial use free of charge.
2. Gifting goods as gifts or providing free-of-charge services to customers.
3. Selling goods or providing services at prices lower than goods sale prices or service provision charge rates previously applied during the period of sales promotion already registered or announced. In case of goods or services subject to the State management over their prices, the sales promotion in this form shall comply with regulations of the Government.
4. Selling goods or providing services together with coupons that allow customers to enjoy one or several benefits.
5. Selling goods or providing services together with prize-contest entrance tickets to customers, for purpose of selecting prize winners according to the rules and prizes already announced.
6. Selling goods or providing services together with opportunities for customers to participate in games of chance, the participation in which comes after the purchase of goods or services and the winning of prizes depends on the luck of participants according to the rules and prizes already announced.
7. Organizing programs for frequent customers whereby gifts are presented to customers on the basis of the quantities or values of goods purchased or services used by such customers and expressed in forms of customers’ cards, coupons acknowledging the purchase of goods or services, or other forms.
8. Organizing cultural, artistic or entertainment programs or other events for customers for the purpose of sales promotion.
9. Other forms of sales promotion if approved by the State management agency in charge of commerce.
Which products and services are not eligible for Black Friday promotions in Vietnam? (Image from the Internet)
Pursuant to Article 5 of Decree 81/2018/ND-CP regulating promoted product and promotional product:
Promoted product and promotional product
Promoted product or promotional product must comply with regulations of the Commercial Law and the following regulations:
1. Promoted products must not include wines, lottery, cigarettes, breast milk substitutes, medicines for human use including those permitted for circulation as regulated by the Ministry of Health (except for the case in which sales promotion is dedicated to traders involved in drug trading), examination and treatment service of public medical facilities, education service provided by public educational facilities or public vocational training facilities, goods and services that have been banned from circulation in Vietnam and other goods and services prohibited from sales promotion as required by laws.
2. Promotional products must not include wines, lottery, cigarettes, curative medicines for human use including those permitted for circulation as regulated by the Ministry of Health (except for the case in which sales promotion is dedicated to traders involved in drug trading), goods and services that have been banned from circulation in Vietnam and other goods and services prohibited from sales promotion as required by laws.
3. Money can also be used as promotional merchandise, except for sales promotion conducted in the forms prescribed in Article 8, 10 and 11 of this Decree.
According to the above regulations in Vietnam, goods and services cannot be used for promotions on Black Friday, including:
- Alcohol;
- Lottery;
- Cigarette;
- Human medicines, including medicines that have been permitted for circulation according to regulations of the Ministry of Health;
- Goods and services banned from circulation in Vietnam;
- Other goods and services are prohibited from promotion according to the provisions of law.
Pursuant to Clause 5, Article 6 of Decree 81/2018/ND-CP stipulating maximum value of promotional product:
Maximum value of promotional product
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5. Concentrated sales promotion programs prescribed in Clause 4 in this Article include:
a) time-limited sales promotion programs effective within certain frame of hours, days, weeks, months or seasons conducted by the central and provincial state agencies for the purpose of implementing economic development policies which covers national and local objectives. The State shall issue incentive policies for conducting concentrated sales promotion programs. All traders are entitled to participate in such programs;
b) Sales promotion programs on Tet holidays and other holidays as prescribed in the labor law include:
- sales promotion programs on Lunar New Year conducted 30 days ahead of the first day of lunar year;
- sales promotion programs conducted on other holidays. Sales promotion period of each promotion program conducted on Tet holidays or other holidays shall not exceed the time for such holidays in accordance to the labor law.
Thus, the focused promotion program is promoted on the following occasions:
- Lunar New Year: 30 days immediately before the first day of the lunar year;
- Other holidays and New Year holidays.
Note: Promotion period on holidays and New Year must not exceed the break time of the corresponding holidays and New Year according to regulations in Vietnam.
Best regards!