Vietnam's young population and high internet use augers well for the development of e-commerce into the future, forum hears.
Vietnam’s online retail market is expected to soar by 2020 as a result of the large number of young people and internet users accounting for 45 per cent of the population, the Vietnam E-Commerce and Information Technology Agency (VECITA) under the Ministry of Industry and Trade reported at the “Vietnam’s Retail Market: Opportunities and Challenges” forum held on May 18.
In 2015, on average, each person spent $160 on online purchases and Business-to-Consumer (B2C) revenue was estimated at $4.07 billion, nearly double the figure in 2013 and accounting for 2.8 per cent of total retail and consumer service revenue in the country.
Three main groups of goods and services purchased online were clothing, footwear, and cosmetics (64 per cent), technological gadgets and electronics (56 per cent), and household appliances and equipment (49 per cent).
Seventy-six per cent of online buyers did so via websites. Sales on social networks also developed, from 53 per cent in 2014 to 68 per cent in 2015.
“With more than 127 million mobile users, Vietnam is moving towards doing business on mobile devices,” the forum heard. “Up to 85 per cent of people access the internet via mobile devices and 74 per cent of mobile device users search for information prior to shopping. This trend is anticipated to remain strong in the immediate future.”
“Vietnam is integrating into the global economy, helping businesses, foreign investors and enterprises more easily access international customers,” said Ms. Nguyen Thu Ha, an expert from VECITA. “E-commerce has become a bridge for enterprises and will play an important role in boosting economic development in the years to come.”