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plane tickets), Sales between private persons (e.g. 4. “The country’s e-commerce market is growing 35 per cent per year, 2.5 times faster than Japan,” Anh said. Among the biggest events were Alibaba’s US$1 billion investment in Lazada and JD.com’s US$44 million investment in … “E-commerce is expected to become an important infrastructure of Việt Nam’s trade sector,” she added. He suggested that the Government enhance its management role by tightening goods information provided by retailers. The customer later pays directly using their preferred method (e.g. E-invoice: the electronic invoice is issued at the checkout by the payment provider, who performs an instant credit check and carries the fraud risk. Reading Support Vietnam E-Commerce Market Future Growth is Expected to be Led by Online Retail market followed by Demand for Travel and Entertainment Services Online: Ken Research. The Vietnamese consumer-to-consumer ecommerce portal announced last October that it had secured an eight-digit investment. eMarketer also forecasts the growth rate to decelerate in Vietnam in the next few years to about 10% in 2023. Vietnam’s e-commerce market trends: Confident growth predicted for youthful nation . A definition and detailed explanation of the displayed markets can be found here. Despite the potential growth, the market is still at the undeveloped stage. Tiki's expansion has tracked explosive growth in Vietnam's e-commerce market, which was worth $6.2 billion in 2019. Vietnam’s e-commerce market is set to maintain its recent growth momentum this year with a 30 percent year-on-year rise to reach $15 billion. The “Penetration Rate” box shows the share of active paying customers (or accounts) from the total population of the selected market (market segment, region) for each year. Sofort for the German market). The Users by gender box shows the gender distribution of users of the selected market (market segment, region). There has been significant value growth, for example, in Thailand (104 per cent), Malaysia (88 per cent), and Viet Nam (69 per cent), where e-commerce is in uts early stages. The courier services industry is the catalyst for the growth in domestic and international trade. behaviours. Reading Support 2017 was a great year for the ecommerce industry in Vietnam. B2B eCommerce and the purchase or resale of goods (reCommerce and C2C) are not included either. in the eCommerce market ):0,95%) Facebook: number of monthly active users worldwide 2008-2020, Smartphone market share worldwide by vendor 2009-2020, Number of apps available in leading app stores 2020. The data source is specified individually for each data set. Vietnam Retail Sales Growth at 3-Month High Retail sales in Vietnam increased by 4.9 percent from a year earlier in September of 2020, after a 1.9 percent rise in the previous month. Quick Analysis with our professional Research Service: Content Marketing & Information Design for your projects: (Core country: data based on in-depth analysis), in the eCommerce market Sale of physical goods via a digital channel to a private end user (B2C), Purchases via desktop computer (including notebooks) and purchases via mobile devices (e.g. in the eCommerce market The average revenue per user (ARPU) in the eCommerce market is projected to amount to US$132.32 in 2020. | Source: Statista Consumer Market Outlook, The indicator shows the estimated average per capita sales of mobile phones in units. E-commerce is an important component of the digital economy with the growth rate of more than 25 per cent per year and will keep growing in the next five years," he added. In 2020, 32% of total eCommerce purchases will be paid by Cash on delivery. The “Revenue” box shows the forecasted revenue development of the selected market (market segment, region) for each year. Reading Support This payment type includes standard invoices and instant fund transfers from byer to merchant upon checkout (e.g. 6. E-commerce in Vietnam still has a huge potential to grow as its penetration is tiny (less than 2%) 5. What gives the leverage for Vietnam tourism to continuously win international awards? Reading Support | Source: Statista, based on IMF, UN, World Bank, Eurostat and national statistical offices, Consumer spending per capita for communication (according to the Classification of Individual Consumption Purposes, COICOP) in the selected region (in current prices, constant exchange rate) | Source: Statista, based on IMF, UN, World Bank, Eurostat and national statistical offices, Consumer spending per capita for recreation and culture (according to the Classification of Individual Consumption Purposes, COICOP) in the selected region (in current prices, constant exchange rate) | Source: Statista, based on IMF, UN, World Bank, Eurostat and national statistical offices, Consumer spending per capita for education (according to the Classification of Individual Consumption Purposes, COICOP) in the selected region (in current prices, constant exchange rate) | Source: Statista, based on IMF, UN, World Bank, Eurostat and national statistical offices, Consumer spending per capita for restaurants and hotels (according to the Classification of Individual Consumption Purposes, COICOP) in the selected region (in current prices, constant exchange rate) | Source: Statista, based on IMF, UN, World Bank, Eurostat and national statistical offices, Consumer spending per capita for miscellaneous goods and services (according to the Classification of Individual Consumption Purposes, COICOP) in the selected region (in current prices, constant exchange rate). Nga said the participation of SMEs in the global supply chain was limited as the added value was low despite high export turnover. Cash on delivery: the payment is accepted by a courier upon delivery or by the cashier at the pickup location. In 2017, e-commerce retail sales have expanded by 25 per cent and will become an important part of Việt Nam’s e-commerce sector. 1. These include personal care products and services, personal items like watches and jewellery as well as all other products and services not mentioned elsewhere. As a result, Vietnam is now emerging as an increasingly attractive destination for foreign businesses — especially e-commerce. eMarketer also forecasts the growth rate to decelerate in Vietnam in the next few years to about 10% in 2023. Share on Facebook Share on Twitter. in percent The eCommerce market encompasses the sale of physical goods via a digital channel to a private end user (B2C). Given the smaller size, Vietnam e-commerce growth rate is underwhelming in comparison to other countries. in million US$ in the eCommerce market | Source: Statista, based on IMF, UN, World Bank, Eurostat and national statistical offices, Consumer spending per capita for clothing and footwear (according to the Classification of Individual Consumption Purposes, COICOP) in the selected region (in current prices, constant exchange rate). Vietnam’s e-commerce market has taken off due to the fundamentals in place for an exponential growth of e-commerce, fuelled by massive investments from key retail players. Show all statistics (3) Consumer behavior Preferred device to shop online in Vietnam 2016-2019. Growth in sales was seen, however it wasn’t strong. E-commerce is subdivided into three categories: business to business (B2B), business to consumer (B2C) and consumer to consumer (C2C) also called electronic commerce. Business facilities as well as institutional housholds (like unversity dormitories or retire homes) are not counted as households. Vietnam's e-commerce is expected to see breakthrough development in the coming years with growth to double to 10 billion USD by 2020 from 5 billion USD in 2016. Why the world is waking up to Vietnamese coffee This list of companies and startups in Vietnam in the e-commerce space provides data on their funding history, investment activities, and acquisition trends. The speed of product delivery is increasingly important as is the quality for both customers and merchants. Anh told the Việt Nam Business Forum 2017, themed “E-commerce Solutions for the Success of Businesses,” held in Hà Nội this week that Việt Nam’s e-commerce retail sales growth in 2016-20 is estimated at 20 per cent per year and the country’s total retail e-commerce sales would reach US$10 billion by 2020. In 2018, the percentage of consumers who made at least one purchase online in the previous 12 months grew to 93% of internet users in the U.S., 97% in the UK, and 92% in China. 16 However, it is still dwarfed by bricks-and-mortar retail in Vietnam, with e-commerce accounting for just five percent of total retail. in percent. Social and M-Commerce contribute to B2C E-Commerce growth The smartphone's role in increased online retail sales in Vietnam is reflected in the numbers of … Reading Support yoy, E-commerce market volume SEA 2019-2025 by country, Online travel market scale APAC 2020 by country, Internet economy size SEA 2020 by country, Online media market value SEA 2020 by country, Most well-known mobile payment services in Vietnam 2020, by gender, Most well-known mobile payment services in Vietnam 2020, by city, Top motivations to use mobile payment in Vietnam 2020, Most preferred promotions in using mobile payment Vietnam 2020, eCommerce - Vietnam. Vietnam’s e-commerce market has taken off due to the fundamentals in place for an exponential growth of e-commerce, fuelled by massive investments from key retail players. One notable startup is Lozi. +36.3% E-commerce has managed to gain some attention in Vietnam only after 2011. The following categories are not included in the eCommerce market: digitally distributed services (see instead: eServices), digital media downloads or streaming services (see instead: Digital Media), online booking of plane and concert tickets, etc. | Source: Statista Consumer Market Outlook, The indicator shows the total number of private households in the selected region. Shopee is one the most renowned C2C e-commerce sites in Vietnam. The following are not included in the eCommerce market: digitally distributed services (see instead: eServices), digital media downloads or streams, digitally distributed goods in B2B markets nor digital purchase or resale of used, defective or repaired goods (reCommerce and C2C). This was the reason that banks needed to have special products and services in the long-term period to support SMEs. As a result, Vietnam is now emerging as an increasingly attractive destination for foreign businesses — especially e-commerce. Included are both consumption of goods as well as services (cleaning and cobblers). In the year 2020 a share of 34.3% of users is in the low income group. New, Figures and insights about the advertising and media world, Industry Outlook Other examples include Telio, a business-to-business platform whi… music downloads, eBooks), Digitally distributed services (e.g. Vietnam is poised for growth. Reading Support Directly accessible data for 170 industries from 50 countries Vietnamese businesses capable of taking advantage of the internet and technology grow 2.1 times faster than others. The country’s 2018 GDP is about US$250 billion and is predicted to reach a trillion USD E-commerce is an important component of the digital economy with the growth rate of more than 25 per cent per year and will keep growing in the next five years,” he added. Publication Permit: 381/GP-BTTTT. Services such as digital marketing optimisation and connecting online with offline sales need to be added. Marketplaces like Amazon and AliExpress are flourishing, while many stand-alone retailers struggle to find their USP as brand and store loyalty are decreasing and cart abandonment rate in the industry is at 75%. Increasing brand engagement can be achieved through community building (e.g., ASOS Marketplace), loyalty programs, and a seamless mobile and desktop user experience. We have curated the following list of the hottest 10 international growth trends to spark new ideas, overcome the hurdles, and get you ready to win and maintain a successful e-Commerce business for the years to come. This group inlcudes the purchase of vehicles, maintenenace of vehicles as well as transportation services. The director added that most people shopping online were young and with white-collar jobs. In the year 2020 a share of 31.5% of users is 25-34 years old. In contrast, the Food market in the Consumer Market Outlook covers only certain segments of processed food and excludes for example fresh food, oils and fats and some other items. Vietnam’s internet economy is enjoying strong growth, however, with overall market value increasing by more than 20 percent last year. In addition, unclear financial reports and unsuitable business plans also made connections between banks and SMEs become more difficult in developing e-commerce. 4. Payment method definitions: Bank transfer: direct payments from one bank account to another. Craigslist), All the important data on the eCommerce market, including market size, forecasts, and regional comparisons, Information about key players and insights about start-ups. Reading Support Nguyễn Quỳnh Nga, deputy director of the SME Department under Orient Commercial Joint Stock Bank (OCB), said one of the main barriers for SMEs was guaranteed assets. Small and medium enterprises (SMEs) that spend more than 30 per cent of their budget on technological innovation grow nine times faster than those spending less than 10 per cent. facts. | Source: Statista, based on IMF, UN, World Bank, Eurostat and national statistical offices, Consumer spending per capita for housing, water, electricity, gas and other fuels (according to the Classification of Individual Consumption Purposes, COICOP) in the selected region (in current prices, constant exchange rate) | Source: Statista, based on IMF, UN, World Bank, Eurostat and national statistical offices, Consumer spending per capita for furnishings, household equipment and routine maintenance of the house (according to the Classification of Individual Consumption Purposes, COICOP) in the selected region (in current prices, constant exchange rate) | Source: Statista, based on IMF, UN, World Bank, Eurostat and national statistical offices, Consumer spending per capita for health (according to the Classification of Individual Consumption Purposes, COICOP) in the selected region (in current prices, constant exchange rate) | Source: Statista, based on IMF, UN, World Bank, Eurostat and national statistical offices, Consumer spending per capita for transport (according to the Classification of Individual Consumption Purposes, COICOP) in the selected region (in current prices, constant exchange rate). The market for Alcoholic, Non-Alcoholic and Hot Drinks not only include sales for at-home consumption (off-trade) but also sales to the on-trade sector (restaurants, bars, cafés). In addition, most Vietnamese e-commerce websites provide only basic services, such as information about products and modes of payment. You can find further source information in the methodology section. Huyền said there was an opportunity for digital economic development, especially in the context of COVID-19. User penetration in the eCommerce market will be at 46.9% in 2020. ):0,95%) | Source: Statista, based on IMF, UN, World Bank, Eurostat and national statistical offices, The indicator shows the number of-fixed broadband subscriptions per 100 inhabitants in the selected region. in the eCommerce market in percent. E-commerce in Vietnam still has a huge potential to grow as its penetration is tiny (less than 2%) 5. | Source: Statista Consumer Market Outlook, The indicator shows the estimated average revenue of mobile phones per capita. Insights about top trending companies, startups, investments and M&A activities, notable investors of these companies, their management team, and recent news are also included. E-commerce growth in Vietnam surged 30 per cent in 2018 to reach a new high of about US$8 billion, a higher growth rate than that of Thailand and Malaysia. Revenue in the eCommerce market is projected to reach US$6,034m in 2020. Update, Insights into the world's most important technology markets, Advertising & Media Outlook Values shown are only based on survey respondents who answered the question regarding their income. Only after 2011 upon checkout ( e.g instant fund transfers from byer to merchant checkout... 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Of selling had advantages of reducing management and human resources costs, even information! Potential in e-commerce of information that led to a private end user ( B2C ) Mio... Now setting its sights on becoming a one-stop solution for Vietnamese consumers ’ when shopping online, especially the! They had a high income in percentage terms s startup ecosystem growth offline sales need to added. Bank account when shopping online, especially in the lower left corner it was hard to the. The gender distribution of users of the selected market ( market segment, region ) tertiles... Business services, zinc, steel, and fibers to vietnam e-commerce growth. s unexplored markets terms! The reason that banks needed to have special products and services in the context of COVID-19 monetary figures to. Of COVID-19 capable of taking advantage of the selected market ( market segment region! Music downloads, eBooks ), sales between private persons ( e.g people living and keeping together! Even as information on products was readily available to customers residential communties of people living and keeping together! Local card schemes shipping costs foreign businesses — especially e-commerce, `` eCommerce - Vietnam. Anh said %.: direct payments from one bank account 35 per cent per year, 2.5 times faster than,... Goods as well as institutional housholds ( like unversity dormitories or retire homes ) are not counted households... Covers all private household spendings meant for consumption at home forecasted revenue development of the focus regions USA China! Be 46.9 % in 2023 about products and services in the next few years to 10. Coicop definition varies from the market has witnessed the entrance of many players... 2020, most Vietnamese e-commerce websites shows the estimated average revenue per user ( B2C ) can! And companies serve as the added value was low despite high export turnover seen, however, it is dwarfed.

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