To prepare for a surge in consumer demand during the closing months of 2024, particularly during the New Year 2025, and into the Lunar New Year (Tet) celebrations in January, many major retailers in Vietnam have been aggressively stockpiling goods.

In Ho Chi Minh City alone, 69 businesses took part in a program that saw a 23-31 per cent increase in goods supplied compared to typical months and a 25-43 per cent increase for the Tet holiday.

Manufacturers and retailers predict that while domestic consumer spending typically rises towards year’s end, the looming Tet holiday will not see the high levels initially anticipated. This is attributed to ongoing economic headwinds, including the impact of Typhoon Yagi in early September.

Such events have made consumers more cautious with their spending and highly price-sensitive.

Consumer spending declined in northern and central Vietnam and even in Ho Chi Minh City following Typhoon Yagi in September, as many consumers opted to save money for emergencies and cut back on personal spending.

To maintain price stability on many goods, the Ho Chi Minh City Department of Industry and Trade has planned a year-end market stabilization program with a 4-6 per cent increase in stabilized goods compared to the end of the year in previous years.

To prepare inventory for both the New Year and Tet, businesses cooperated with suppliers well in advance.

To boost revenue, meanwhile, retailers are aggressively promoting sales and promotional campaigns, which began well in advance of the Tet holiday.