Green consumption trends are attracting consumers' attention. Photo: Mai Trang

Many potentials

Vietnam's retail industry is witnessing remarkable growth, opening up many promising opportunities for businesses.

According to a report from Nielsen, Vietnam ranks 6th in the group of 30 countries with the highest potential and investment attractiveness in the global retail sector. In the next 5-10 years, Vietnam's economy in general and the retail market in particular will continue to be considered one of the leading bright spots in the region.

The retail market is benefiting from many factors, including stable economic growth, the rise of the middle class, and the rapid shift to modern shopping channels.

According to Mr. Pham Ngoc Linh, Vice President of the Vietnam Union of Science and Technology Associations, from now until 2030, Vietnam can become a new stronghold in the trend of restructuring the global supply chain, especially when multinational companies seek to reduce their dependence on the Chinese market.

Associate Professor, Dr. Nguyen Hong Quan, Director of the Institute for Circular Economic Development (ICED), Ho Chi Minh City National University, also said that this development not only promotes digital economic growth but also brings the Vietnamese retail industry deeper into the global value chain. The trend of sustainable development, green growth and circular economy is opening up huge opportunities for the retail industry, since the retail sector plays an important role in promoting the transition to a circular economy through the application of low-emission technology, clean technology and modernization of the supply chain.

E-commerce has emerged as an important driving force, boosting retail revenue and modernizing the consumer shopping journey. Mr. Vuong Quang Luong, Institute for Strategy and Policy Research on Industry and Trade (Ministry of Industry and Trade) emphasized that Vietnam has achieved high growth rates in the Asian region and is increasingly asserting its position on the global retail map. It is expected that by 2025, 10% of total retail revenue will come from e-commerce, creating a multi-channel shopping journey where the boundaries between online and in-store shopping are increasingly blurred.

Businesses need to prioritize digital transformation and green manufacturing

Consumers increasingly prioritize health care products that reduce emissions and are environmentally friendly. This requires businesses to innovate their business models. According to experts, the combination of digital transformation and green transformation - also known as "dual transformation" - not only helps businesses optimize costs but also meets the goal of long-term sustainable development.

Modern technologies such as artificial intelligence (AI), cognitive computing, and consumer behavior prediction applications are supporting businesses to improve products and enhance customer experience. According to Fortune Business Insights, the size of the AI ​​market in the global retail industry is expected to increase from $9.36 billion in 2024 to $85.07 billion in 2032, opening up great opportunities for businesses.

Ms. Nguyen Thi Thu Thuy, Permanent Vice President of the Vietnam Association for Consumer Goods Development (VACOD), emphasized that the retail industry needs to focus on social responsibility and product quality, especially in the context of fierce competition between domestic and FDI enterprises to ensure healthy competition among economic sectors, supporting the development of the domestic retail system. In addition, perfecting the legal framework and developing public services for e-commerce.

At the same time, businesses need to prioritize the development of environmentally friendly production technology; digital transformation supports information search activities with high-quality products, reputable businesses, fast and effective management, operation, production and service connection processes. Furthermore, businesses are committed to prioritizing the use of environmentally friendly materials; proactively establishing many alternative supply sources to ensure sustainability and reduce risks from the monopoly or scarcity of raw materials.

According to the circular economy development project in Vietnam, specific goals are set to raise awareness and investment of domestic and foreign enterprises and investors in the circular economy.

To achieve that, solutions include enhancing public-private dialogue on circular economy development based on promoting corporate social responsibility. At the same time, understanding the needs and problems of enterprises to have appropriate solutions and support, Associate Professor, Dr. Nguyen Hong Quan emphasized.

In addition, experts also noted that 2025 will mark a major turning point for the retail industry, when sustainable, green and digital trends will reshape the entire market. Enterprises need to focus on investing in research and development (R&D), improving logistics systems and building sustainable business strategies to make the most of the opportunities that the market brings.

The future of Vietnam's retail industry depends not only on growth but also on innovation and the ability to meet the demands of an increasingly green, sustainable and modern market.