Spar International is to open stores in Vietnam, taking its presence to 34 countries worldwide.
Spar has teamed up with the wholesale distribution business Phu Thai Group to open 26 large Spar supermarkets and hypermarkets over the next three years.
The first stores to open this year will be 1,000-3,000sq m supermarkets. Larger, 10,000sq m stores will open in 2011 and 2012.
Vietnam has recently been ranked as the world’s number one market for retail potential by global management consultants, AT Kearney, and has long been a key target market for Spar International.
Gordon Campbell, managing director, Spar International, said he was delighted to see Spar entering Vietnam for the first time and expanding its number of member countries.
“Vietnam is a country with enormous potential. It has a large population and a fast growing economy. The retail industry is largely traditional but formal retail sales are increasing rapidly,” said Campbell. “We are looking forward to building up the Spar brand in a country where modern trade is on the rise.
“The population in Vietnam is expected to grow from its present 83m to 90m by 2020, and its GDP is also on the up. This makes the country an ideal place to grow the SPAR International business,” he said.
Partner group Phu Thai is the largest wholesale distribution operation in Vietnam, servicing 200 supermarkets and 50,000 retailers from 21 distribution and logistics centres.
“Phu Thai is a good strategic partner for Spar International who will enable us to develop and grow further, within both company-owned stores and independent retailers,” said Campbell.
Spar is also expanding into more provinces in China with stores opening up in Beijing and Jiangxi following success in the country to date. Spar is now operating in nine provinces with seven partners.