Enterprises conquer domestic consumers
Ms. Doan Thi Bich Ngoc - CEO of Canifa Fashion Company said that after nearly 10 years of focusing on exports, the company has realized that the domestic market is a new important and sustainable destination. In particular, after the COVID-19 pandemic and many global fluctuations, Vietnamese goods are receiving unprecedented attention from the Government, ministries and consumers.
Similarly, Bitis also chose the domestic market as the focus for long-term development. Mr. Lam Chan Quoc - representative of this enterprise, said that from 2010 to now, Biti's has built more than 200 self-operated stores, of which domestic revenue accounts for more than 70%. We do not have fixed policies but are always flexible, from brand recognition to the supply chain, to best serve Vietnamese consumers, Mr. Quoc emphasized.
According to Ms. Nguyen Thi Tuyet Mai - Deputy General Secretary of the Vietnam Textile and Apparel Association, the largest consumer demand is in the general and mid-range segments, while the high-end segment is also growing. Consumers are increasingly interested in quality, product origin and sustainability factors.
Some domestic brands such as Viet Tien, Nha Be, An Phuoc, Canifa... have built a foothold, but Vietnamese goods only account for about 50-55% of the market share, the rest belongs mainly to cheap imported goods from China and Thailand.
Big opportunities but big challenges
In that context, the opportunity for Vietnamese enterprises is huge. The market is large in scale, purchasing power is increasing along with the development of the middle class. Vietnamese enterprises understand the habits, culture and appearance of domestic consumers, making it easier to design products that are more suitable for international brands.
In addition, the movement "Vietnamese people prioritize using Vietnamese goods", the spirit of national pride and the trend of green - safe consumption are increasingly clear. The boom in e-commerce also opens up opportunities for businesses to reach customers directly, reducing dependence on traditional retail channels that are expensive.
However, the industry also faces many challenges, fiercely competing with international brands in terms of price and quality. Lack of long-term brand strategy when most businesses are still processing. Limited in the distribution system, high site costs, and dependence on imported raw materials. Especially the situation of counterfeit and counterfeit goods has reduced the reputation of Vietnamese goods.
With a scale of about 5 billion USD, a growth rate of 8-10%/year and purchasing power of 100 million people, the domestic market is considered a "golden land" that the Vietnamese textile and garment industry cannot ignore.
Mr. Phan Van Chinh - Deputy Director of the Domestic Market Management and Development Department (Ministry of Industry and Trade) said that the scale of Vietnam's textile and footwear industry is about 6-6.5 billion USD/year, with a localization rate of about 50%, this is a very potential figure.
Currently, the Ministry of Industry and Trade has implemented many policies to encourage the development of domestic supporting industries, not only creating potential for products but also promoting the localization of raw materials. In the coming time, the Ministry will continue to research and propose additional policies to support businesses, especially in the distribution stage - which is an important link.
For online sales channels, the Ministry of Industry and Trade will work directly with e-commerce platforms to support small and medium-sized enterprises to put goods on the platform. This not only expands the consumption channel but also contributes to managing and preventing counterfeit goods more effectively.
