The Lonely Traditional Hanoi Market

Sparse Customers, Lackluster Sales

This situation has been ongoing for the past few years, even in centuries-old markets like some in Hanoi, and notably in one of the largest markets in Northern Vietnam. Dong Xuan Market has long been a bustling hub for trade and wholesale business.

Dong Xuan Market’s bustling atmosphere

Thus, Dong Xuan Market became a must-visit destination for tourists as it offered a glimpse into the vibrant culture of Hanoi.

However, since the Covid-19 pandemic, business has taken a hit, and the market no longer buzzes with the same crowd of shoppers. As a result, many merchants have had to downsize their staff and limit bulk purchases. More worryingly, some have even been forced to shut down their stalls.

This scenario is playing out in many traditional markets across Hanoi. The once-lively market atmosphere has faded, with vendors no longer actively soliciting customers. Instead, they idly pass the time on their phones, chat with neighbors, or even nap at their stalls…

Piles of unsold goods

“Sales have been dismal since the Covid-19 pandemic, with an 80% drop. Before, I employed 3-4 people to help me, but now I can’t afford to pay anyone, so my family has to manage the stall ourselves,” shared Ms. Le Thi Thom, a veteran merchant.

“I’ve been trading here for over 20 years, and although I own this stall and don’t pay rent, I’m barely getting by. Newcomers who rent stalls can only last a few months before returning their keys because their sales don’t even cover the rent,” she added.

Vendors pass time chatting

“Most of the goods here are sold wholesale, but now we have no choice but to offer retail as well, just to get some money coming in,” Ms. Thom continued.

Meanwhile, Ms. Phan Hong, another vendor at Dong Xuan Market in Hoan Kiem District, Hanoi, has been closing her stall earlier and earlier, sometimes as early as 4:00 p.m.

“I’ve been closing up early because there are no customers. It’s challenging to sell in the market these days, and the lack of foot traffic has dampened the spirit of the vendors. Many stalls remain closed, and their owners don’t bother to open them,” Ms. Hong shared.

Why Are Traditional Markets Losing Customers?

This trend of dwindling customer numbers is also evident at Cho Mo (in Bach Mai Ward, Hai Ba Trung District, Hanoi).

“I’ve been renting a stall here for years, paying around VND 2.5 million per month, but business has been slow lately. I don’t know why the market is so quiet. Even during the recent Covid outbreak, things were a bit better,” shared Ms. Tran Thi Thanh Huong, a vendor at Cho Mo.

A noticeable decrease in customers at Cho Mo

“Lately, sales haven’t even been enough to cover taxes and land rent. Many stalls have closed down because the owners couldn’t afford to keep them open,” she added.

The decline in customers at traditional markets can be attributed to the post-pandemic economic downturn and a shift in consumer behavior. Nowadays, instead of visiting physical stores, many people prefer to shop online through e-commerce platforms like Shopee, Facebook, and TikTok.

The Covid-19 pandemic accelerated the growth of e-commerce, and even now, online shopping has become deeply ingrained in consumers’ habits.

Vendors have lost their enthusiasm

“Nowadays, customers can find almost anything they need online, even products from China, with affordable shipping fees. They can shop from the comfort of their homes and have their purchases delivered to their doorstep,” explained Ms. Huong.

“Sellers can also operate without the overhead of a physical store, taxes, or rent, yet they can still make a hundred sales in a day. It’s a more relaxed way of doing business,” she added.