Thailand’s largest retail conglomerate, the Central Group has announced plans to invest as much as $500 million USD in order to expand its retail network in Vietnam over the next five years.
Philippe Broianigo, Chief Executive Officer of Central Group Vietnam and Big C Vietnam, said: “We have already invested $1.5 billion USD in Vietnam since 2012 and plan to invest another $500 million USD in the next five years, from 2018 to 2022. Store penetration year to date in total is 250 stores nationwide and we plan to reach 720 stores in the next five years, or by 2022.”
Central Group Vietnam (CGV) is the largest foreign retailer in Vietnam and established its Vietnam operations in 2011. The group has five core business units including the Big C Shopping Mall, Food Stores, Fashion Stores, Hardline Stores, and its online platforms. The group has 250 stores in Vietnam covering more than 700,000 square feet of retail space in 37 provinces and cities; 17,000 employees; and through its business units serves more than 175,000 customers per day.
According to CEO Broianigo, “The digital lifestyle has played a vital role in the rapid growth of the country’s developments in its economy, infrastructure, and education, and this has resulted in increased domestic household income. So the key challenge is the speed and the need to truly understand Vietnamese consumers’ behavior and culture. Central Group Vietnam is looking for only the best to serve Vietnam customers across all formats, both offline to online, to meet their needs.”
Broianigo also said that the company’s sales in Viet Nam grew by double digits in the first six months of 2018 compared with the same period in 2017. The firm expects to achieve an even greater performance in the second half of this year and expects to grow in coming years in line with its investment and expansion plans.