FPT Retail enters Vietnam's vaccine sector

On October 10, FPT Retail made its debut into Vietnam's immunisation market with the opening of five new vaccination centres in Hanoi and Ho Chi Minh City. This comes after the firm's recent successful venture into the pharmaceutical retail space.

A report from BIDV Securities Company (BSC) highlighted the considerable demand for vaccinations, remarking that vaccination centres present a potential niche market in Vietnam's healthcare sector.

"It is an eminently practical business avenue," the report noted.

Discussing the decision to penetrate this market, a representative from FPT Retail revealed that the current vaccination coverage in Vietnam stands at a mere 4 per cent of the population. In contrast, many other countries report coverage of 15 to 30 per cent, underscoring the untapped potential in Vietnam.

"Our venture into the vaccination sector with FPT Long Chau is a harmonious blend of preventive and curative healthcare. While the FPT Long Chau vaccination centres cater to disease prevention, our pharmacies focus on treatments. Both are aligned with the objective of enhancing public health," FPT Retail's spokesperson shared.

Setting the bar high, the company's mission is not just to grab a piece of the current 4 per cent pie, but to ambitiously drive the vaccination coverage in Vietnam and bring it on par with neighbouring countries.

"Our intention isn't merely to challenge the existing suppliers for their share, but to collaboratively increase the populace's awareness and the overall vaccination rate," stated the representative.

FPT Long Chau leverages existing partnerships in the pharmaceutical segment, collaborating directly with vaccine suppliers, both domestically and internationally.

However, the company's vision is not limited to vaccination centres, FPT Retail is also promoting injectable drugs across its pharmacy chain. A recent collaboration with Merck Healthcare Vietnam has been forged to supply growth hormone injection devices, pre-programmed by Long Chau pharmacists for ease of use at home.

According to BSC, Vietnam currently hosts two major chains of vaccination centres, VNVC and 315 Children's Clinic.

VNVC, established in June 2017, boasts over 100 vaccination centres nationwide for children and adults. Its competitive edge lies in its strategic partnerships with leading vaccine manufacturers like Glaxosmithkline (Belgium), Sanofi Pasteur (France), Pfizer, Merck Sharp, and Dohme (the United States), and more. The enterprise manages four centralised cold storage facilities and 100 cold stores that meet good storage practice standards.

In addition, 315 Children, founded in mid-2019, operates over 50 centres that are mainly concentrated in Ho Chi Minh City and the surrounding regions. Earlier this year, it attracted a significant investment of roughly $30 million from the Singapore government's investment fund, GIC, during its Series B funding round.

In its earlier fundraising rounds, 315 Children secured capital from an array of investors including BDA Capital Partners, TVS, Nisaetus, Samsara Holdings, Tremont Capital Ventures International, an unnamed Japanese healthcare conglomerate, and various individuals.

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