Dynamic retail market in Binh Duong

Update: 23-11-2018 | 11:31:19

Retail market in Binh Duong is very potential. Binh Duong has a population of about 2 million people, most of them are in working ages and have big shopping needs.

Retail stores flourish

Vinmart (a retail brand of Vingroup) has recently opened its retail store at Dat Thanh intersection, Thuan An town. Vingroup aims to develop 200 Vinmart supermarkets and 4,000 Vinmart + shops by 2020. In Binh Duong, Vinmart stores are present in Di An town, Thuan An town, TDM City...

It can be seen, the appearance of Vinmart store chain has made the retail market in Binh Duong to be more dynamic. Previously, in Binh Duong, Coopmart, Lotte Mart, Aeon, Big C supermarkets, Family mart retail chains... appeared and gave more shopping choices to people in the province. A representative of Bach Hoa Xanh store chain said, the competition in the retail market in the coming time would be fierce, from supermarkets, conventional markets, convenience stores to grocery stores. This competition is very beneficial to consumers, because in order to have customers, businesses have to improve the quality of goods and customer service, offer competitive prices.

The competition in the retail market in Binh Duong is now fierce. In photo: Customers go shopping at Binh Duong Coopmart supermarket.

According to a report of Provincial People's Committee, total retail sale of goods and services in the first 10 months of 2018 reached VND157,072 billion, up 17.6% over the same period. With great potential of services, Binh Duong has attracted many corporations, national and foreign big retailers to invest in long-term businesses in the province.

A fierce competition

A recent study by Nielsen Corporation, a global market research firm based in New York, showed that in Vietnam, conventional trade channels in urban areas contributed about 83% to total revenue. This figure implied the important role of trade channels in a competitive market like Vietnam. However, according to this corporation’s survey, the confidence of conventional grocery stores in retail market and their business status across Vietnam is at its lowest in the last two years, particularly in urban areas.

Nguyen Thai Thuy, a grocery distributor to household businesses in Thuan An Town, worried that more and more retail stores had emerged in her area. Ms. Thuy said that the sources of goods are diverse, the price does not differ much from conventional grocery stores. However, behind these retail chains are "giants" in retail industry with strong capital resources, good marketing, so these stores are easy to reach consumers. Therefore, in the future, market share of conventional grocery stores will shrink significantly.

Director of a supermarket in Binh Duong said that investing in a retail store had many advantages compared to a supermarket, because a large-scale supermarket requires a large area, many employees, customer service, while the investment in a store chain is much lower. It is worth mentioning, the fact that convenience store chain located throughout residential areas makes the number of customers to supermarkets decrease significantly.

According to Department of Industry and Trade, at present Binh Duong has dozens of retail brands of large corporations with hundreds of retail stores located throughout the province. Besides, the province has thousands of grocery businesses and websites of online shopping... All make retail market in the province very dynamic and competitive. The attraction of a dynamic market as Binh Duong is the destination of businesses around the world.

As can be seen, the competition in provincial retail market very fierce, but will have a good impact on the production and circulation of goods in Binh Duong. In this competition, consumers will benefit, as a business wants to conquer the market, they have to serve well customers.

Reported by Xuan Vi – Translated by Ngoc Huynh

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Dynamic retail market in Binh Duong

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