Sticking to the domestic market is a solution to not only help businesses stand firm in the difficult situation due to the Covid-19, but also help improve the value of products, gain a competitive advantage over imported goods.
Supermarkets implement demand stimulus programs for domestic consumption to help Vietnamese goods dominate the market. In photo: Industry and Trade officials survey goods during the epidemic period.
To improve quality of Vietnamese goods
The amount of Vietnamese goods in domestically invested supermarkets always reaches 90% or more. At supermarkets invested by foreign capital, Vietnamese goods are also dominating. Namely, Lotte (82% by sales and 84% by number of items), Big C (96% by sales), Aeon (80% by product code), Mega Market (95% by product code) ... To traditional retail channels, the proportion of Vietnamese goods in markets and convenience stores is accounting for at least 60% - 70%.
Nguyen Quang Vu, Director of Nam Binh Company, Chairman of Binh Duong Leather and Footwear Association, owner of Prowin sports shoes' brand, said his determination was to produce shoes associated with a private brand, while domestic brand names of sports shoes is gradually being eliminated. While most businesses mainly produce shoes to fill outsourcing orders from foreign partners, Mr. Vu wants to develop his brand right in the domestic market.
According to Mr. Vu, Vietnamese footwear competes fiercely with foreign ones, even big names struggle to sustain and develop their market. Therefore, while expanding their domestic market share, Mr. Vu's company still receives outsourcing orders from abroad, both to increase sales and to provide opportunities for learning and updating new technologies and new production methods from big brands. Currently, their output reaches more than 500,000 shoe pairs / year, their products have quickly covered many provinces and cities across the country, because of its variety of types and designs from medium to high-end segment. The company has focused on the standardization of product quality through the proactive investment in production lines and modern equipment according to European and American standards to generate high-quality products with eye-catching appearances, competitive prices. Besides, the company also targets a "green production", since this is the growing trend among consumers, contributing to enhancing the value of goods...
Ly Ngoc Bach, Director of Cuong Phat Company, said his company placed emphasis on domestic sales channels and improving the quality of products. Productivity, quality, production process of each stage are better controlled; the company proactively, accurately, timely, lowered their product price and improved the quality to meet the increasing requirements of consumers.
Tran Thanh Co, Director of Nhan Duc Cooperative (North Tan Uyen District) said, to sustain their domestic market, members of the cooperative adhered to strict criteria of organic engineering. Manufacturing process also complies with criteria from seed selection, irrigation water source, soil management, fertilizer, pest prevention measures to harvest, preliminary processing, product preservation. When consumers seek the assurance of product quality, a familiar brand, which has a clear origin and prestige, is the fastest way to meet this demand.
To expand sales channels
Currently, domestic demand stimulus programs have created momentum for enterprises to expand their sales channels and direct connections between producers with consumers. With that goal, Binh Duong Industrial Promotion and Development Center hosted fairs to bring Vietnamese goods to remote areas and industrial clusters. Leaders of the center expected that this program could help domestic enterprises, small business establishments find good opportunities in business activities, especially while many enterprises are encountering difficulties and have ineffective sales plan after the epidemic. Therefore, the fairs are valuable opportunities for enterprises to introduce their products to customers. Consumers also find high-quality Vietnamese products at preferred prices.
Phan Thi Khanh Duyen, deputy director of Binh Duong Industrial Development and Promotion Center, said that until the end of 2020, the center would continue to cooperate with local authority and agencies to enhance the organization of trade promotion programs supporting enterprises, cooperatives in product promotion, introduction, seeking business and investment opportunities, improvement of production and the value of local products. In addition, the industry and trade branch is collaborating with local industries to enhance programs and conferences connecting trades between cooperatives, organizations, enterprises and wholesale markets, supermarket system in the province and other provinces across the country etc. to develop distribution channels of goods, especially local agricultural products.
Reported by Tieu My - Translated by Ngoc Huynh
