Digital transformation – the key to overcoming Covid-19 among retailers

Experts believe that the impact of Covid-19 will last at least 12-16 months more. Only 14 percent of companies, the most agile and flexible, can become the ‘winners’, according to Arnaud Ginolin, CEO of BCG.

Covid-19 has been called a ‘black swan’ as it has cast a dark shadow over the global economy. However, it has helped accelerate the development of infrastructure and technology, encouraged online working, and forced enterprises to go digital.

Digital transformation – the key to overcoming Covid-19 among retailers

Hoang Viet Anh, deputy CEO of FPT, the largest Vietnamese IT group, said at the ‘From Survival to Prosperity’ forum held several days ago that about enterprises usi g the power of digital technology have developed more strongly during the Covid-19 crisis.

Product-experience digital channels such as online seminars and livestreams of car drive testing by celebrities, for example, helped Tesla reach a sales record in Q1 in the Chinese market.

The shift from traditional to digital methods has also helped expand the market and find new customers. Viet Capital Bank saw a threefold increase in the number of registrations of new accounts by August 2020 compared with January thanks to electronic customer identification.

Nguyen Trung Vu, president of CEN Group, said Covid-19 has helped enterprises discover new shopping trends and find niche markets.

While the real estate market has been paralyzed, the CEN Group has maintained a workforce of 3,000 workers and made thousands of deals each month. And while other businesses are anticipating big losses this year, the CEN Group believes that its turnover may be far higher than last year's.

As for Kangaroo, the household-use appliance manufacturer, it has begun distributing electronic and electric products through drugstore chains, and has changed its pricing strategy to target low and mid-income consumers.

 

According to Kangaroo chair Nguyen Thanh Phuong, cutting expenditures and skipping intermediary steps allowed the company to reserve a bigger budget to boost sales. It has ‘found opportunities in danger’ to obtain a 210 percent growth rate this year compared with 2019.

A report about the digital economy in Southeast Asia by Google, Temasek and Bain & Company in 2019 described Vietnam’s digital economy as a ‘dragon being unleashed’.

Vietnam and Indonesia are leading the region in terms of the digital economy (38 percent) with expected scale of $43 billion by 2025.

Experts believe that in the post-Covid-19 period, digital transformation will help Vietnam’s enterprises, especially small and medium sized, find a more flexible business model which will reduce expenditures and optimize resources to overcome difficulties.

In such conditions, boosting sales is one of the top priorities for businesses to offset revenue, restore working capital, and capture growth momentum.

T. An

Digital signatures: first step for agencies, businesses in digital transformation process

Digital signatures: first step for agencies, businesses in digital transformation process

After analyzing the benefits of digital signatures, the NEAC (National Electronic Authentication Center) suggested that agencies, organizations and businesses take the first step in their digital transformation process by using digital signatures.

Human resources key to success in digital transformation: Deputy PM

Human resources key to success in digital transformation: Deputy PM

High-quality human resources will play a decisive factor in the success of the country’s digital transformation process, Deputy Prime Minister Pham Binh Minh said at a recent conference held in HCM City.

 
 

Other News

.
Ministries tighten land management to prevent 'land fever'
Ministries tighten land management to prevent 'land fever'
BUSINESSicon  04/04/2021 

The Ministry of Construction (MoC) and the Ministry of Natural Resources and Environment (MONRE) have requested provinces and cities review State management on land prices amid 'land fever' in some localities.

New trading system in place this year: HoSE
New trading system in place this year: HoSE
BUSINESSicon  04/04/2021 

The new information technology system for the entire stock market, known as KRX, is expected to be put into operation this year, according to the Ho Chi Minh Stock Exchange (HoSE).

Stock market size on HOSE reaches nearly 71 percent of GDP
Stock market size on HOSE reaches nearly 71 percent of GDP
BUSINESSicon  04/04/2021 

Vietnam’s stock market capitalisation on Ho Chi Minh Stock Exchange (HOSE) as of March 31 skyrocketed 93.56 percent year-on-year to more than 4.46 quadrillion VND (193.72 billion USD), HOSE said.

Retail industry strives to exploit US$200-billion market
Retail industry strives to exploit US$200-billion market
BUSINESSicon  03/04/2021 

The Vietnamese market had a spectacular leap in scale last year, becoming one of the 16 most successful emerging economies in the world. In which, the retail sector was extremely attractive and full of potentials, with lots of room for development.

Markets blacklisted for selling counterfeit goods
Markets blacklisted for selling counterfeit goods
BUSINESSicon  03/04/2021 

The US Trade Representative (USTR) office has blacklisted Vietnam's well-known markets in its 2020 review, for reasons of counterfeiting goods. Dong Xuan Market in Hanoi and Ben Thanh Market in HCMC have been named on the USTR blacklist. 

Steadying the economic ship
Steadying the economic ship
BUSINESSicon  04/04/2021 

Despite numerous challenges making dents in all trade and investment activities, Vietnam’s economic growth quality has seen significant improvements over the past five years in general,

Car dealers begin clearance sales, reduce prices by up to VND100 million
Car dealers begin clearance sales, reduce prices by up to VND100 million
BUSINESSicon  03/04/2021 

Car sale agents have launched promotion programs in an effort to clear stock, but the price reductions are lower than those in the same period last year.

Mekong Delta: spoiled pigs eating sweets, and other unusual phenomena
Mekong Delta: spoiled pigs eating sweets, and other unusual phenomena
BUSINESSicon  03/04/2021 

Nguyen Hong Trang’s family in Vinh My A commune in Bac Lieu province raises pigs. More than a year ago, her sow gave birth to 11 baby pigs, one of which weighed only two kilos. As it could not suckle much, it stayed small.

Bank shares in demand as banks report huge profits
Bank shares in demand as banks report huge profits
BUSINESSicon  03/04/2021 

The capitalization value of some banks has increased by one billion dollars within a short time.

Local authorities struggle to stop real estate bubble
Local authorities struggle to stop real estate bubble
FEATUREicon  03/04/2021 

The real estate market remains feverish not because of high demand and short supply, but because of speculation, experts have said.

Will Vietnam compete with Thailand, Indonesia to manufacture electric cars?
Will Vietnam compete with Thailand, Indonesia to manufacture electric cars?
FEATUREicon  04/04/2021 

In Southeast Asia, Thailand and Indonesia are running a race to become electric car manufacturing centers of the region and the world. Will Vietnam join the race?

Demand for industrial land rising: Savills Vietnam
Demand for industrial land rising: Savills Vietnam
BUSINESSicon  02/04/2021 

The sudden increase in demand for land, factories, and warehouses in Vietnam has pushed up rental costs at industrial parks (IPs) near major cities, according to Savills Vietnam.

Finance ministry studies legal framework for cryptocurrencies
Finance ministry studies legal framework for cryptocurrencies
BUSINESSicon  02/04/2021 

The Ministry of Finance is studying the legal framework for managing cryptocurrencies on stock exchanges which would pave the way for legal cryptocurrency transactions in Vietnam.

Vietnam’s airlines preparing to fly non-stop to US, resume international flights
Vietnam’s airlines preparing to fly non-stop to US, resume international flights
BUSINESSicon  02/04/2021 

Despite the Covid-19 crisis, Bamboo Airways and Vietnam Airlines have announced plans to fly non-stop to the US by the end of this year.

Plenty of room remains for growth of consumer credit market: Insiders
Plenty of room remains for growth of consumer credit market: Insiders
BUSINESSicon  01/04/2021 

Though Vietnam’s outstanding consumer credit almost tripled over the last decade, its share of total outstanding loans is yet to keep pace with that of its regional nations. 

Owner of US$7 billion system, billionaire Nguyen Dang Quang takes new step
Owner of US$7 billion system, billionaire Nguyen Dang Quang takes new step
BUSINESSicon  01/04/2021 

After Masan Group's acquisition of Vingroup’s retail chain, Masan’s Nguyen Dang Quang took great steps to master the $7 billion system and form an ecosystem for Vietnamese people.

Banks required to issue chip cards for security
Banks required to issue chip cards for security
BUSINESSicon  01/04/2021 

Vietnamese commercial banks are required to issue chip ATM cards to improve customers’ transaction security from March 31, according to the State Bank of Vietnam’s Circular No. 22/2020/TT-NHNN.

VIETNAM BUSINESS NEWS APRIL 3
VIETNAM BUSINESS NEWS APRIL 3
BUSINESSicon  03/04/2021 

Fitch Ratings upgrades Vietnam’s outlook to “positive”

Industries bet on vaccine visa measures
Industries bet on vaccine visa measures
BUSINESSicon  01/04/2021 

In line with the global vaccine visa drive, Vietnam’s latest move to complete technical infrastructure for the availability of such a travel document in April is expected to revive industries, heralding strong economic recovery ahead.

Big businesses pour billions of dong into land purchases in Da Nang
Big businesses pour billions of dong into land purchases in Da Nang
FEATUREicon  01/04/2021 

While other land markets are hot, Da Nang remains very quiet, prompting many investors from Hanoi and HCM City to collect land plots in advantageous positions in "bottom fishing" deals.

 
 
 
Leave your comment on an article

OR QUICK LOGIN