While major consumer finance firms in Vietnam have reported strong growth, Mcredit posted an unexpected 87 per cent drop in profit for the first half of 2024.
The reduction aims to boost consumer spending for three months.
The consumer goods group has successfully finalized the acquisition of a $250 million investment from Bain Capital, a prominent global private investment firm.
Leaders can keep in mind that consumer power can scale change, and it is need to make sustainable choices easier for consumers.
There are three sectors that VinaCapital expects to benefit from very strong outlook for Vietnam’s GDP growth, including banking that has a circa 30 per cent weighting in the VN-Index), property (23 per cent), and consumer discretionary stocks (3 per cent).
In per-labour-force terms, consumer debt even jumped from 41 per cent of income in 2013 to more than 100 per cent in 2020, according to HSBC.
Overcoming the first wave of Covid-19, in the second quarter of 2020, Vietnam became the second most optimistic country globally with Consumer Confidence Index of 117 points.
Launching a business accelerator programme at this point in time seems to be the right move for FE Credit as it seeks to reach deeper into remote and far away areas in Vietnam. How talented fintechs can help the consumer finance company elevate further is now explained by Basker Rangachari, Chief Marketing Officer of FE Credit.
The consortium led by the Singaporean sovereign wealth fund has collectively invested $500 million (VND11.6 trillion) for a minority stake in VCM Services and Trading Development JSC, a consumer retail arm of Vingroup.
Customers are generally satisfied with their consumer finance (CF) experience, with over 80 per cent of respondents would apply for CF products again and would recommend to friends and family, according to a survey by FinnGroup.
The stresses of modern life can often make us feel as though we do not have enough free time. So, it is no surprise that when it comes to leisure activities, consumers are becoming more demanding.
The country has beaten Indonesia to now rank 3rd in the world for having the most positive consumers in the first quarter of 2019.
The pace of Vietnam consumer finance growth has currently shown clear signs of slowing down.
Smart homes and smart townships are becoming the new norm of modern cities in Vietnam, with more and more property developers are promptly integrating high techs into their projects and products, to cater to the rising demand of the smart populations.
