Retail giants to open hundreds of new supermarkets, convenience stores in Vietnam by year-end
Retail giants to open hundreds of new supermarkets, convenience stores in Vietnam by year-end
Retail groups in Vietnam are proceeding with plans to build hundreds of more outlets from now to the end of this year, as they are accelerating the expansion of their market shares in the country.
Nguyen Van Quy, deputy general director of Ho Chi Minh City-based WinCommerce, said on Monday last week that the firm would open more than 700 new WinMart+ stores and over 20 supermarkets and hypermarkets this year.
Currently, the process to enlarge market share is on the right track and WinCommerce will concentrate on developing mixed-use stores and franchise shops, Quy said.
He emphasized that multi-utility outlets are expected to help optimize time and convenience for customers in shopping, while the franchise model will be a way for the WinMart+ brand to be more present in the daily life of Vietnamese consumers.
“We think this is the time to accelerate the expansion of our business scale after completing the successful rebranding and restructuring," Quy said.
"More than 300 supermarkets and WinMart/WinMart+ stores have been opened nationwide since early this year.”
In addition to expanding its current sales network, this retail chain has also launched a new brand, Beng’s, which specializes in providing convenient, good-quality food at affordable prices.
Similarly, Saigon Co.op, also based in Ho Chi Minh City, which runs the Co.op Food, Co.opSmile, and Cheers chains, plan to open 80-100 new points of sale before the end of 2022, with focus put on Co.op Food outlets, which show excellence in business efficiency.
Another big retailer that has sped up network expansion is Japan’s AEON Vietnam, which concentrates on developing medium- and small-sized supermarkets bearing the brand name ‘AEON MaxValu.'
This retail model will be multiplied to reach 100 outlets by 2025, said AEON Vietnam, headquartered in Ho Chi Minh City.
Over the first half of this year, various retail groups have developed shops under the convenient supermarket model in inner-city residential areas across Vietnam, with sizes of 300-500 square meters per store.
Currently, modern retail systems in large cities account for 40-50 percent of the shopping demand, compared to 30 percent previously.
The omni-channel retail model is being deployed by many retailers on a large scale to increase their market coverage, according to a report by Vietnam Report JSC.
Many businesses are conceiving or have just launched other retail models, such as shop-in-shop and multi-brand stores.
At the same time, retail groups also aim to develop supermarkets into complexes that also provide financial services, including traditional banking services, digital payment gateways, and others.
All the said moves have helped the retail market in Vietnam become extremely active since the country re-opened its economy in the wake of the COVID-19 pandemic in October last year.
