Gathered to Pioneer the Southeast Asian Market... Vietnam Companion Festival Opens

On the 29th, the 'Donghaeng Festival' Opens Overseas for the First Time
SMEs and Small Business Owners Seek Overseas Markets Through Export Consultation
Pop-up Store Bustling with Local Citizens Looking for Korean Products

"A great opportunity has been provided, so we must deliver results."

On the 29th, the expressions of small and medium-sized business owners gathered at the export consultation meeting of the 'September Donghaeng Festival' held at the L7 Hotel in Hanoi, Vietnam, showed earnestness. They were actively making efforts to promote the excellence of their products while meeting buyers from distribution companies across Southeast Asia, including Vietnam, Thailand, and Malaysia.

The Donghaeng Festival is the largest domestic promotion event for small and medium-sized enterprises (SMEs) and small business owners, hosted by the Ministry of SMEs and Startups. This year, to pioneer overseas markets, the opening ceremony was held for the first time in cooperation with Lotte in Hanoi, Vietnam. The event is being held simultaneously in Korea and Vietnam from the 28th of last month until the 28th of next month. As the Donghaeng Festival provided a foothold for entering overseas markets, many companies participated. The open recruitment competition rate was 4.4 to 1, a 10% increase compared to last year's Donghaeng Festival competition rate. The event involved 40 companies participating in the Donghaeng Festival and 40 companies from Lotte's tenant companies, respectively.

On the 29th, participating companies and local buyers are conducting consultations at the 'September Donghaeng Festival' export consultation meeting held at L7 Hotel in Hanoi, Vietnam. (Photo by Lee Seungjin)

Kim Geunha, CEO of Rock, who visited the site with gluten-free products that do not contain flour, said, "Meeting buyers independently overseas requires considerable costs, but the Donghaeng Festival supported this, reducing our burden." He added, "We reviewed the buyer list prepared by the Ministry of SMEs and Startups and plan to have meetings with companies that might be interested in our products."

Kim Seongwan, CEO of Factory With Us, a baby cosmetics company, said, "The Southeast Asian market sees a lot of sales offline as well. To supply products to offline distributors, meeting local buyers is essential, and the Donghaeng Festival was a great opportunity."

CEO Kim Seongwan explained, "Vietnam is a red ocean where many Korean cosmetics companies have entered, and 80% of local buyers just probe without much interest." He continued, "However, we see opportunities for baby skin brands. Today, meetings with buyers from Thailand and India are also scheduled," explaining the difficulties of entering the local market.

There were also voices expressing regrets about the Donghaeng Festival. The CEO of cosmetics company A said, "While we appreciate the arrangement of meetings with overseas buyers, the lack of information about the buyers made it difficult to appeal our products according to their preferences." He added, "I requested an interpreter but was refused, so I had to hire an interpreter in Ho Chi Minh City, Vietnam, and conduct meetings via video calls."

Meanwhile, the Donghaeng Festival pop-up store set up at Lotte Mall West Lake in Hanoi was crowded with local citizens. The pop-up store featured 40 small business owners, including 26 in beauty, 8 in lifestyle, and 6 in food.

Nguyen Thi Thuong, who visited the pop-up store, said, "I heard through Facebook that new Korean products that I had not encountered in Vietnam before would be displayed, so I came." She added, "I trust Korean cosmetics and use many baby products, and I plan to try various products at the pop-up store."

At the pop-up store, a domestic makeup artist was dispatched to hold a 'K-Beauty Makeup Show.' Artist Jang Beomjun demonstrated Korean-style makeup to citizens on-site. Citizens interested in Korean cosmetics stopped by and showed interest by filming videos.

At the opening ceremony of the 'September Donghaeng Festival' held at the L7 Hotel in Hanoi, Vietnam, on the morning of the day, Oh Youngjoo, Minister of SMEs and Startups, said, "It is very meaningful to announce the opening of the Donghaeng Festival in Vietnam, an important economic cooperation partner of the Republic of Korea." He added, "The role of SMEs and small business owners is very important for Korea's exports. We will work harder to ensure that our excellent products are exported more."

View of the Small Business Popup Store at the Donghaeng Festival held at Lotte Mall in Hanoi, Vietnam. (Photo by Ministry of SMEs and Startups)