Vietnam’s retail market is considered attractive and boasts significant growth potential despite facing many challenges, Mr. Dao Quang Binh, General Director and General Managing Editor of VnEconomy / Vietnam Economic Times (VET) said while addressing the Cool Product Awards 2023 ceremony.

The ceremony was held by VnEconomy / VET on December 21 to honor the Top 50 cool products and services in 2023, as voted on by consumers.

The market’s current scale is estimated at $142 billion and is projected to increase to $350 billion in the years ahead, he told the gathering.

“With a population of 100 million, Vietnam ranks 15th globally in terms of population size, and over 60 per cent of its population falls within the working-age bracket,” Mr. Binh said.

“Rapid urbanization further contributes to the market’s appeal. All of these factors have driven various consumer segments forward in recent years. In the long term, the retail industry promises to expand even further.”

Amid economic difficulties, people tend to limit their spending, causing many retailers to suffer efficiency reductions. Many products fail to attract customers despite promotional programs. However, essential and practical products still account for a huge proportion of spending in each household, making them key pillars in the retail industry, Mr. Binh said.

“This change has prompted the optimization of production and services and encouraged technological, digital, and green initiatives, offering new experiences to consumers,” he added.