The Gioi Di Dong’s (Mobile World) report on business results in the first 11 months of 2022 showed that difficult economic conditions have caused purchasing power to decrease.

The accumulated revenue of The Gioi Di Dong and Dien May Xanh (Green Home Appliance) chains (both belong to The Gioi Di Dong) in the first 11 months of 2022 increased by 15 percent YoY. However, the revenue in November dropped sharply by 22 percent compared with the same period the year before.

“Most products are witnessing weak demand even in the year-end sale season, except TVs, which still sold well thanks to the World Cup,” a representative of The Gioi Di Dong told VietNamNet.

After the first nine months of positive growth, the sales of major products saw two-digit decreases. October 2021 was the month with record revenue of the retail industry as demand surged after the pandemic. So, it is understandable the Q4 revenue growth rate fell compared with Q4 2021 which reached a peak.

Laptop sales, after a long period of selling well, have shown signs of slowdown.

CellphoneS reported that the laptop market in December declined by 30-40 percent compared with November, while November saw a similar decrease compared with the month before.

“It is estimated that the total laptop market will decrease by 25-30 percent,” said a senior officer of the retail chain which has more than 100 stores nationwide.

To stimulate demand, retailers have had to lower selling prices and offer attractive discount rates.

The Gioi Di Dong confirmed that it has been running promotion programs, slashing prices of many products.

Dinh Hien, CEO of Surface City, said that the chain has lowered the prices of most products by 20 percent compared to December. 

Though laptop sales declined compared with Q4/2021, the laptop market is still uptrend. “The market still gained 45-50 percent compared with 2020, a very good growth rate after many years of gradual decreases,” a representative of CellphoneS said.

Dinh Hien believed that computer sales would increase thanks to promotion solutions.

According to The Gioi Di Dong, economic uncertainties, geopolitical conflicts and energy shortage in the world will affect inflation, interest rate, export and employment. Therefore, consumers seem to cut down spending in H1/2023, but the purchasing power would improve in H2 when the macroeconomic conditions get better.

Trong Dat