1. Let's take a closer look. E-commerce in Vietnam still has a huge potential to grow as its penetration is tiny (less than 2%) 5. In addition, unclear financial reports and unsuitable business plans also made connections between banks and SMEs become more difficult in developing e-commerce. 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). 16 However, it is still dwarfed by bricks-and-mortar retail in Vietnam, with e-commerce accounting for just five percent of total retail. 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. in the eCommerce market User penetration in the eCommerce market will be at 46.9% in 2020. Vietnam is one of the Asia’s unexplored markets in terms of the compelling potential in E-Commerce. behaviours. Huyền said there was an opportunity for digital economic development, especially in the context of COVID-19. Revenue in the eCommerce market is projected to reach US$6,034m in 2020. Huyền said there was an opportunity for digital economic development, especially in the context of COVID-19. Looking ahead. 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%. The average revenue per user (ARPU) is expected to amount to US$132.32. He added there was a lack of accurate information when shopping online, especially on Facebook. in percent 6. Vietnam is poised for growth. In a blue-sky scenario, we estimate Vietnam's ecommerce sector to achieve 10x growth to reach US$50bn GMV during 2019-26. 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 … 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. The market of developed countries is in its maturity phase, and the competition among eCommerce players is extremely high and cost-intensive. The speed of product delivery is increasingly important as is the quality for both customers and merchants. The director added that most people shopping online were young and with white-collar jobs. The “User” box shows the number of active paying customers (or accounts) of the selected market (market segment, region) in millions for each year. Yet, e-commerce extends beyond sales and slick web design. The courier services industry is the catalyst for the growth in domestic and international trade. 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. In 2020, 32% of total eCommerce purchases will be paid by Cash on delivery. 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). Cards: credit, debit and prepaid cards from global providers such as Visa or Mastercard and established local card schemes. In 2018, Amazon entered the Vietnam market to help Vietnamese small and medium enterprises(SMEs) export their goods. The country has deftly handled the COVID-19 crisis and mitigated potential risks to its economy. In addition, most Vietnamese e-commerce websites provide only basic services, such as information about products and modes of payment. | 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). He said e-commerce had brought a new selling channel for businesses, parallel with the traditional ways and removed intermediaries. Vietnam’s business to consumer e-commerce market is worth $6.2 billion, 15 and it has been expanding rapidly, growing by 36.6 percent in 2017 alone. It was this chaotic dissemination of information that led to a lack of trust among consumers’ when shopping online, preventing e-commerce development. Among the biggest events were Alibaba’s US$1 billion investment in Lazada and JD.com’s US$44 million investment in … 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. Accessed: December 08, 2020. https://www.statista.com/outlook/243/127/ecommerce/vietnam, eCommerce - Vietnam Statista, https://www.statista.com/outlook/243/127/ecommerce/vietnam (last visited December 08, 2020), A definition and detailed explanation of the displayed markets can be found, Number of individuals (all ages) living in the selected region, the data is based on the United Nations' medium variant of World Population Prospects as well as similar projections by national statistical offices | Source: Statista, based on UN DESA and national statistical offices, Number of individuals (age 0-14) living in the selected region, the data is based on the United Nations' medium variant of World Population Prospects as well as similar projections by national statistical offices | Source: Statista, based on UN DESA and national statistical offices, Number of individuals (age 15-24) living in the selected region, the data is based on the United Nations' medium variant of World Population Prospects as well as similar projections by national statistical offices | Source: Statista, based on UN DESA and national statistical offices, Number of individuals (age 25-34) living in the selected region, the data is based on the United Nations' medium variant of World Population Prospects as well as similar projections by national statistical offices | Source: Statista, based on UN DESA and national statistical offices, Number of individuals (age 35-44) living in the selected region, the data is based on the United Nations' medium variant of World Population Prospects as well as similar projections by national statistical offices | Source: Statista, based on UN DESA and national statistical offices, Number of individuals (age 45-54) living in the selected region, the data is based on the United Nations' medium variant of World Population Prospects as well as similar projections by national statistical offices | Source: Statista, based on UN DESA and national statistical offices, Number of individuals (age 55 and older) living in the selected region, the data is based on the United Nations' medium variant of World Population Prospects as well as similar projections by national statistical offices | Source: Statista, based on UN DESA and national statistical offices, Consumer spending, per capita (current prices), Average consumer spending per capita of private households 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 food and non-alcoholic beverages (according to the Classification of Individual Consumption Purposes, COICOP) in the selected region (in current prices, constant exchange rate). These indicators, together with data from statistical offices, trade associations and companies serve as the foundation for the Statista market models. “Not just a change to the logo But also a logo of the changes”, High-end offices for lease flourish against market backdrop, Debunking China's baseless and illogical 'Four Shas' claim, Việt Nam rejects China’s statement on sovereignty over Trường Sa islands, Korean scholar says states should not resort to force, A person hunts for sales online during Black Friday. Incorporated in this definition are purchases via desktop computer (including notebooks and laptops) as well as purchases via mobile devices such as smartphones and tablets. Publication Permit: 381/GP-BTTTT. 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. in millions Reading Support Update, Insights into the world's most important technology markets, Advertising & Media Outlook You can find further source information in the methodology section. Sofort for the German market). | Source: Statista Consumer Market Outlook, The indicator shows the estimated average revenue of Desktop-PCs per capita. Other examples include Telio, a business-to-business platform whi… 16.2 % in 2023 is underwhelming in comparison to other countries services such as information on products was readily to. S bank account for youthful nation and online payment platforms that enable online money transfers, as. This group inlcudes the purchase of vehicles, maintenenace of vehicles as well services! Potential to grow as its penetration is tiny ( less than 2 % ) 2017 was a of... 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