Series of pressures on retailers in the 6.4 trillion VND market

(Dan Tri) - Vietnam has more than 5.2 million individual business households, estimated to contribute about 30% of GDP and create jobs for tens of millions of workers. However, this group is "easily left behind" in the retail industry.

With a golden population structure, accelerating urbanization, and a growing economy leading to increased per capita income, Vietnam's retail industry has been and is being promoted.

Retail sales accelerate, but sellers face a series of pressures

According to data from the General Statistics Office, in 2024, revenue from the retail industry - retail sales of goods and consumer services in Vietnam is estimated to reach nearly 6.4 million billion VND, an increase of about 9% over the previous year.

The latest report by Super Market Research states that in the next 10 years, the Vietnamese retail market is forecast to grow strongly with an average CAGR of 13.6% in the period 2025-2033.

“Market value may increase dramatically, but it also comes with fiercer competition, higher operating costs and stricter requirements for supply chain management efficiency. Although the growth potential is huge, there are still many challenges to maintaining real growth, especially for medium and large manufacturers,” said Ms. Dang Hong Thuy - Director of Commercial Development, One Mount Distribution - at a recent event.

From an insider’s perspective, Ms. Thuy pointed out a series of challenges for the retail industry. Firstly, many floating sources of goods do not guarantee the origin as well as the quality of the goods with full invoices and valid documents.

Second, market prices fluctuate, influenced by many intermediaries and sellers, causing imbalances between distribution channels. Low loyalty of points of sale, easily attracted by cheap goods, leading to loss of customers. High dependence on online sales team, potential risks when personnel change or take on multiple jobs at the same time.

In addition, the cost of developing new products is high, but the success rate of launching is low. The traditional distribution system has too many intermediary layers, increasing costs and making it difficult for manufacturers to control quality when it reaches the final point of sale….

She affirmed that comprehensive digitalization is a necessary solution for small businesses to catch up with digital transformation.

Leader of Ho Chi Minh City Department of Industry and Trade: Digital transformation is no longer an option

Deputy Director of the Department of Industry and Trade Le Huynh Minh Tu (Photo: DT).

In his role as an authority, Deputy Director of the Department of Industry and Trade Le Huynh Minh Tu stated at an event held this morning in Ho Chi Minh City that in the context of the world entering the digital economic era, digital transformation is no longer an option, but an inevitable requirement for sustainable development. Digital transformation has been, is and will be the key driving force to help businesses improve their competitiveness, optimize their supply chains and bring better experiences to consumers.

Following the direction of Resolution 57 and the National Digital Transformation Program, Ho Chi Minh City aims for the digital economy to account for 40% of GRDP by 2030, in which the trade and service sector, especially retail, plays a leading role.

To achieve this goal, the Department of Industry and Trade of Ho Chi Minh City has deployed many synchronous solutions to promote digital transformation in the field of industry and trade, specifically: Building a digital ecosystem for the trade - distribution sector, connecting businesses, suppliers, distributors, logistics and consumers on the same shared data platform....

At the same time, the leader emphasized the need to coordinate with technology and investment units; in which One Mount and its partners at today's event, according to Mr. Tu, are a typical example; all for the goal of jointly cultivating and building models of "smart retail", "digital supply chain" and "industry data connection".

Currently, Vietnam has more than 5.2 million individual business households, contributing an estimated 30% of GDP and creating jobs for tens of millions of workers. This force is considered the "blood vessels" of the national consumer economy, but is also facing many new challenges as digital transformation takes place extensively.

Regulations on implementing electronic invoices, transparency of goods sources, and abolishing lump-sum taxes from January 1, 2026 also pose problems of management and adaptation capacity - requiring businesses to transform to keep up with the times and develop sustainably.

Mr. Nguyen Duc Toan - Commercial Director of MM Mega Market - said that the retail industry today requires rapid digital transformation. Not only does it support sellers in saving costs, tracing the origin, managing inventory... according to Mr. Toan, today's consumers even require speed to be fast, immediate and personalized.

Accordingly, businesses affirm the need for digital transformation, while helping the retail industry in general and sellers in particular develop more sustainably in the future.

In the coming time, the Department of Industry and Trade of Ho Chi Minh City also affirmed that it will continue to accompany the business community, investors, and technology units to promote deeper digital transformation throughout the industry, towards a modern, connected, and green commercial ecosystem.

Source: https://dantri.com.vn/kinh-doanh/loat-ap-luc-voi-nha-ban-le-tren-thi-truong-64-trieu-ty-dong-20251027130530887.htm