Saigon Retail Sales, Service Revenue Surges by 11.2% in January Thanks to Tet

What did you spend money on in January?

Total revenue from retail sales and services in Saigon last month was estimated at VND112.77 trillion (US$4.8 billion), an increase of 11.2% compared to the same period last year, Vietnamplus reports.

Retail sales of goods (VND76.24 trillion) accounted for 67.61% of this figure thanks to a significant increase in consumption demand ahead of the Tet holiday season. The total represented a 13.2% increase compared to last year. Categories including food and foodstuffs, garments, and household appliances all saw an increase in numbers compared to the previous month and the past year.

Amid the surge in purchasing power ahead of Tet, targeted products and home interior decor products showed increased popularity, while large distributors channels such as Saigon Co.op, Satra, Aeon-Citimart and Big C ran massive promotional campaigns. Shopping centers, supermarkets, traditional markets and stores also increased the supply of goods to meet pre-holiday demand.

On the other hand, revenue from services like accommodation and catering services saw a decrease of 2.6% from the previous month, but saw a 6.8% increase compared to January last year, according to Vietnam News.

Specifically, with Vietnam witnessing unprecedented growth in international visitors, welcoming almost two million foreign tourists in January, Tet attractions in Saigon such as the Book Street Festival also witnessed dramatic growth, with total revenue reaching VND3.6 billion, a 28.5% increase compared to last year.

Revenue from travel services saw a year-over-year increase in all major cities, including Da Nang, Can Tho, Hai Phong and Hanoi, as well as Saigon, though these figures were lower than those from December 2019. The future of this remarkable growth is uncertain amid the novel coronavirus outbreak, as Asian countries account for a majority of international visitors.

The total export turnover of Saigon-based enterprises was estimated to be more than US$3.93 billion in January, a 10.2% year-on-year increase. Products like rice, vegetables and fruits, computers, electronic products, and electronic components had higher export turnover, with rice exports surging 12% in volume and 39% in value month-on-month, according to the General Department of Customs.