Thailand’s Central Retail, a notable force in the retail industry, is gearing up to increase its investments in Vietnam. The company has announced its intentions to initiate the launch of over 30 new large-format stores in the country within the upcoming years.
In its expansion blueprint, Central Retail plans to introduce 10 to 12 Go! malls and hypermarkets as well as 23 to 25 mini Go! stores in Vietnam. This ambitious expansion project is set to span from 2026 to 2028. The move is indicative of Vietnam’s rapidly growing retail market, which has attracted several international and local retail entities. Companies like Japan’s Aeon, South Korea’s Lotte, and Vietnam’s own WinMart have been escalating their presence to leverage the increasing household expenditure.
Central Retail made its debut in the Vietnamese market in 2012, starting with a fashion retail business. Since then, the company has evolved into one of the most prominent foreign multi-format retailers in the country. As of now, Central Retail manages 43 Go! hypermarkets, 16 mini Go! malls, nine Tops Market supermarkets, and 23 LanChi Mart stores across Vietnam.
In addition to its physical expansion, Central Retail is also dedicated to bolstering its digital capabilities. However, the company has identified several challenges that could potentially hinder its growth. Complex land procedures and the intricate licensing requirements for foreign-invested shopping mall projects could potentially impact the development timelines.
Earlier this year, marking a shift in its business strategy, Central Retail divested its entire stake in Nguyen Kim Electronics. This move saw the company pull out of Vietnam’s consumer electronics segment after enduring years of financial losses.
– When did Central Retail first enter the Vietnamese market?
Central Retail made its foray into the Vietnamese market in 2012 with a fashion retail business.
– What is Central Retail’s current footprint in Vietnam?
Central Retail currently operates 43 Go! hypermarkets, 16 mini Go! malls, nine Tops Market supermarkets, and 23 LanChi Mart stores across Vietnam.
– What challenges does Central Retail foresee in its expansion in Vietnam?
According to Central Retail, complex land procedures and intricate licensing requirements for foreign-invested shopping mall projects could potentially impede its growth and affect its development timelines.
