Building Confidence in Vietnam Brands

9:56:12 AM | 7/24/2014

By the middle of 2014, the “Buy Vietnamese” Campaign - a movement that encourages Vietnamese people to give priority to made-in-Vietnam products on their shopping list - has been in place for five years, with positive results. Consumers are increasing their appreciation for Vietnamese goods. According to surveys, 71 percent of consumers have confidence in high-quality Vietnamese goods. Domestic goods still account for a large share, some 80-90 percent, in supermarkets.
According to recent surveys by the Trade Unions of the Ministry of Industry and Trade, since the campaign was launched, the localisation rate of inputs, resources and equipment and machinery increased an average of 25 percent. In many localities, 80 percent of consumers favour domestic garments and footwear, while over 58 percent are keen on fruits and vegetables. In more than 9,000 price stabilisation points, nearly 90 percent of goods are domestically made.
Bringing Vietnamese goods to rural and remote areas is of concern of many localities. Price-stabilising sales attracted a lot of consumers to visit and to buy. At first, the consumer confidence in domestic products has been built up.
Since the campaign was launched, countryside vendors have increased in both number and size. This also shows the active participation of many companies like Saigon Coop Mart, Hanoi Trade Corporation (Hapro), Vietnam High-quality Goods Enterprises Association, and Vietnam National Textile and Garment Group (Vinatex).
In the past five years, the provincial/municipal departments of industry and trade have organised nearly 2,000 countryside sales programmes with over 53,000 participating companies and more than 48,000 booths, which attracted above 3 million people to visit and buy goods worth over VND34.47 trillion. Specially, in border provinces, countryside vendor programmes not only attract local people, but also consumers from neighbouring countries like Laos and Cambodia.
The departments have organised many fairs and exhibitions to introduce and deliver products to consumers effectively, thus helping change habits of consumers and perceptions of enterprises. According to statistics, since the campaign was initiated, the departments have organised 1,875 trade fairs and exhibitions for 85,650 businesses, which raked in approximately VND20.5 trillion from sales. In addition, the departments have coordinated in monitoring nearly 3,000 trade fairs with more than 990,000 participating businesses.
Market stabilisation programme has been deployed in most provinces and cities across the country in recent years. This model has helped develop distribution systems and help Vietnamese people access quality-guaranteed products at reasonable prices, especially for low-income people in rural areas and industrial zones. Market stabilisation programme is one of a series of works in response to the “Buy Vietnamese” Campaign because locally made goods are used by them through points of sales or mobile vendors to rural areas and industrial zones where low-income people are provided access to quality-guaranteed products at reasonable prices. This has helped promote production and business development, and orients and encourages Vietnamese consumer habits.
In 2013, as many as 42 out of 63 provinces and cities implemented the programme, responded by about 300 companies and over 10,400 points of sales. The support capital of the programme was estimated at VND2,373 billion, of which State-supported loan was more than VND1,150 billion. Nearly 90 percent of goods at points of sales are locally made. As of December 2013, Ho Chi Minh City and Hanoi had 7,579 and 2,114 points of sales, respectively.
Huong Giang