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Home / Industry Overview / Consumer Goods


Hanoi Group's Assessment

A study by TNS states the extreme potential of consumer good industry in the coming 10 years, in particular after Vietnam’s admission to WTO. The current population is 82 million, ranking 13th in the world. Only 25% live in the urban areas. The population increase and trend of urbanization will help form Vietnam into a modern consumption society.

A small group of high-income individuals, now making 1% of the population, is expected to rise to 10% in 2016. The middle and high-income individuals will be the target for middle and high-end products, from cars, brand watches to accommodation. The trend can already be observed nowadays.

At present, 10 profiled retailers compete in the market. Within 5 years, the number is expected to double. The typical development of the retail network will take place like in Thailand in the past. It is forecasted that the frequency of shopping will steadily decline along with the increasing volume per purchase.It is expected that the common type of markets (street markets) will become the secondary source for daily consumption while fierce competition between international retailers will dominate the market.

Such as a fierce competition can aslo be seen for producers. Nevertheless The UK’s “Financial Director” magazine on August 29, ran an article calling that Viet Nam is the top manufacturing destination, citing a study by  world’s well-known accounting firm, PricewaterhouseCoopers (PwC), which ranked 20 key emerging markets and found that for manufacturing companies looking to invest overseas, Viet Nam was the most attractive destination.

Hanoi Group’s has its expertise proved in helping clients (i) Introduce new products; (ii) Develop a distribution network; (iii) Conduct market and marketing research; (iv) Design and run effective marketing plans; (v) building sustainable relationships with relevant local bodies. Our team has been trusted to serve clients such as Abbott Laboratories, Kimberly Clark, Samsung.

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