Wed, 09 Jul 2014. Last updated Fri, 08 May 2015 08:53
By 2014, Ho Chi Minh City market welcomes a large number of leading brands in retail sector to enter Ho Chi Minh City’s market. In early July, Mapletree Group of Singapore has declared its partnership in as a prelude to its penetration into foreign markets in 2015. Mepletree Group in collaboration with Saigon Cooperation develops a commercial center named SC VivoCity. Besides Mapletree, large retail companies such as Starbucks, MOF, BreadTalk, ThaiExpress, Pepper Lunch and Shabu Ya have also committed to enter this commercial center.
Following Mapletree, Robins Department Store, a member of Central Retail Corporation from Thailand has recently announced its plan to penetrate into Southern market of Vietnam in November. After opening the first department store in Hanoi, Robins Department Store has immediately hired 4 floors in an area of over 10 thousand square meters at Crescent Mall in Phu My Hung urban area to prepare for the campaign.
A large Japanese retail giant, AEON Mall has officially made its appearance in Vietnam this year. The group inaugurated its commercial center on January 1st 2014 in Tan Phu District, Ho Chi Minh City and is continuing to expand its market share. It is expected that in the last quarter of 2014, this retail group will expand its market share to Binh Duong Province.
McDonald’s, a giant in the field of fast food, launched its first restaurant in Ho Chi Minh City in early this year. Thanks to the growth of Ho Chi Minh City economy, the chain of McDonalds Ho Chi Minh City restaurants have risen quite fast. Expectedly, the company will open its 8th restaurant in late 2014. Another retail brand from the U.S.A, Baskin Robbin, is in possession of 20 restaurants in Saigon. Dairy Queen ice cream company of the billionaire Warren Buffett coming to Vietnam in January 2014 with its first store in District 1 and opens the second one just a few months later. Under its plan, in the next 5 years, Dairy Queen will open a chain of 60 restaurants, mainly in Saigon.
Global Director of Leasing Services and Retail Consultant Cushman and Wakefield, Mr. Mark Burlton has analyzed that global economic crisis has created volatility on retail market in the past 5 years. Retail companies no longer need to maintain a large number of stories like before in their country. Instead, they seek for opportunities to open new stores in international markets, especially in Asia. Currently, many international brands are approaching Asian market including Vietnam market. According to Mark, although several international brands have penetrated into Vietnam, their appearance in Hanoi and Ho Chi Minh City are not significant. The number of brands in Vietnam is not rich. In 2015, that Vietnam fully open retail market under the commitment of WTO will influence positively on the number of foreign retailers entering the market.