VietNamNet Bridge – The development of modern distribution channels in HCM City has slowed down in the economic downturn. However, the growth seems to be robust in new areas.

The opening of the two new shopping malls Pico Plaza and Pandora City in Tan Binh district has provided 120,000 square meters of retail floor area to the city. Both of them have reported the high occupancy rate of over 85 percent so far, just some days after the opening. Entertainment, fashion, food and children’s leisure center brands have been present here.

A new commercial hub has been taking shape in the west of the city, with an ideal population area, just seven kilometer from the Tan Son Nhat airport

Facing Pico is the 3-hectare Cong Hoa Garden complex with a lot of components to be put into operation from the next year. Next to it is TDB Parkson which covers an area of 50,000 square meters, a big one of the Parkson chain, is expected to be operational the next year.

Just several kilometers far from Pandora is Aeon Celadon Tan Phu shopping mall, 3.5 hectares, which would join the market from 2014. Besides, in the commercial hub, there are some centers located adjacent to the Tan Son Nhat airport, namely Sasco, CT Plaza, Saigon Airport Plaza and supermarkets like Maximark, Big C and Coop mart.

According to Kantar Worldpanel Vietnam, the modern commerce in the country has entered the speed-up period which comes next to the first 10-year development period.

It believes that more and more shopping malls and hypermarkets would appear in the suburbs of the city, becoming the secondary shopping centers that link the consumers in the suburbs.

The appearance of the new shopping malls in the suburbs would help ease the pressure on the golden land areas in the central area of the city. These would allow to approach the consumers in further areas and create stiffer competitiveness for the market.

Analyst shave commented that shopping centers have been set up in anticipation of the forming up of the population areas near Binh Duong, Dong Nai provinces, the Binh Loi – Tan Son Nhat belt area.

It is expected that 1.5 million square meters of retail premises would join the market in the next few years. At present, the supply sources in districts 1, 2 and 7 account for 60 percent of the market. However, the proportions would see some changes in the next 10 years because of the increasing supply in neighboring areas.

Vo Duy Truong, Director of Pico Saigon, has noted that shopping malls now tend to march towards to the suburbs. Tan Binh district, with its great potentials, is the area that many retailers are eyeing.

John Lam, Deputy General Director of Parkson Vietnam, said the enterprise would start the construction of another two centers in HCM City, confirming the tendency of moving towards the new areas.

Truong of Pico has also revealed that the distribution chain plans to open more retail points in some suburb districts of HCM City in the next five years.

“Once many shopping malls are set up which can provide everything consumers need, they would be able to attract people from suburb areas,” he said.

Aeon now moves ahead with its plan to develop 20 shopping malls in Vietnam by 2020. Aeon Vietnam’s General Director, Nishitohge Yasuo, said the distributor is ready to pour money into the projects to develop the distribution chain, because the consumption growth in Vietnam is very attractive.

SGTT