Nghe An small traders try to cope with sluggish business

Markets and shopping malls have been deserted and empty of customers since Tet. Photo: Thanh Phuc

Pork businessAt Hung Dung market (Hung Dung ward, Vinh city) for nearly 10 years, Ms. Nguyen Thi Ha has never seen a slump lasting as long as this year. “Even during the last Tet holiday, purchasing power also decreased sharply, only 60-70% compared to previous Tet holidays. After Tet until now, purchasing power has completely decreased. If before, each day sold 1.5-2 quintals of meat in the morning, now, at most, 50-70 kg and have to sit and sell all day. Particularly since the beginning of March until now, it has been even more sluggish when restaurants and pubs have also fallen into a slump, so many orders for pork have been cut,” Ms. Ha said.

Food stalls in traditional markets are also in an unprecedented state of sluggishness. Photo: Thanh Phuc

Also in the food business, Ms. Mai Thi Hoai, a chicken, duck, and goose supplier at Vinh wholesale market, said: "Previously, with 20 restaurant partners, dozens of retail market agents, and transient customers, I supplied the market with several hundred kilograms of poultry every day, but now it has decreased by about 60%, and the number of retail customers is also much less."

Anyway, those are theessential goods, serving daily meals to each family, so even though revenue has decreased, it is not as sluggish as kiosks selling clothes, shoes, and cosmetics.

“If we don’t open, we worry about the goods being left over and getting moldy. If we open, we won’t be able to sell them, and we’ll have to pay more for electricity and taxes. Now, it’s the season change, but we don’t dare to get a lot of new goods because there might not be any customers coming in all day to buy,” said Nguyen Thi Huong, who sells clothes and shoes at Sen market, Nam Dan.

Long rows of closed kiosks in traditional markets. Photo: Thanh Phuc

Business is sluggish, so it has been the end of the first quarter of 2023, but in many traditional markets, many traders have not reopened, some people have hung up signs to transfer their stalls. According to a survey, currently in some markets in Vinh City such as Ga Vinh market, Vinh market, Hung Dung market, Quan Lau market... the situation of traders closing stalls and temporarily suspending business accounts for 30-40%. Among them, there are many markets where traders hang up signs to transfer stalls and shops.

Not only traditional markets, but also convenience stores, mini supermarkets and large supermarkets such as Big C, MM Mega Market... the buying and selling situation is also very quiet.

Supermarkets are also less crowded than before, and sales in some product lines have decreased significantly. Photo: Thanh Phuc

“The economy is in trouble, consumer habits have changed, customers are buying in small quantities more and more than before. There has been a downward trend in direct sales channels. In some non-essential industries such as cosmetics, fashion, shoes... sales have clearly decreased,” said Mr. Tran An Khang, representative of Big C supermarket.

Faced with that sluggish situation, in traditional markets, many traders have begun to change their business methods, selling both directly and online.

Ms. Phan Thi Nga, a fashion retailer at Hung Dung market, said: “I rent booths here mainly to display goods and serve certain customers. For the rest, I focus heavily on the online channel. Up to now, the number of online orders accounts for 70% of the store's revenue.” At the same time, with the current sluggish situation, to limit the backlog of goods, Ms. Nga will post samples in advance, and when there are a basic number of customers "closing orders", she will import goods.

Many retailers diversify their sales methods: direct sales, online sales... with accompanying after-sales policies to attract customers. Photo: Thanh Phuc

In addition, food businesses in traditional markets have also calculated to cut costs to the maximum, not increase selling prices, accept pre-processed food for the convenience of buyers, and deliver to homes for free... to retain customers and escape the slump.

Mr. Tran An Khang, representative of Big C Vinh supermarket added: "Currently, we are implementing regular promotional programs; programs on fresh food with an additional 10% discount if customers go to the market before 10am every day, shocking discounts on more than 1,000 essential products to stimulate shopping."

“After Tet, the general rule of the market is that purchasing power decreases. However, in 2023, due to economic difficulties, consumers tighten spending, so the market is quiet and purchasing power decreases sharply. In this situation, besides waiting for the market to recover, many businesses, enterprises and supermarkets are looking for solutions to cope, implementing promotional programs, discounts, and promoting consumption, but the number of customers is still not as expected. It is forecasted that 2023 will be a difficult year for the retail industry.”

Ms. Tran My Ha, Head of Trade Management Department, Department of Industry and Trade