Xin Ou
Research expert covering Greater China
E-commerce in Vietnam - statistics & facts
Vietnam is not merely keeping pace with the digital transformation; it is emerging as a leader in Southeast Asia’s internet economy, with its e-commerce market projected to reach 60 billion U.S. dollars by 2030. With a tech-savvy population and rapidly growing internet usage, Vietnam is a fertile ground for e-commerce businesses to thrive. As a result, the country’s online shopping market is booming, with e-commerce sales outpacing even some of the most modern retail stores.
However, online shopping in Vietnam extends beyond just major e-commerce platforms. For specific product categories, many consumers continue to rely on established stores that have adapted to the digital age by setting up e-shops. A prime example is The Gioi Di Dong, a veteran retailer specializing in electronics, which remains a popular choice for consumers seeking convenience around the clock. Additionally, social commerce in Vietnam has seen rapid growth, driven by the widespread use of social media networks such as Facebook, Zalo, and Instagram. These platforms have become integral to the shopping experience, allowing users to discover and purchase products through posts, ads, and live streams.
As competition within Vietnam's e-commerce sector intensifies, the ecosystem continues to evolve in response to the shifting demands of increasingly savvy consumers. The adoption of new technologies and innovative business models will ensure that Vietnam's e-commerce market retains its significance as a key player in the Southeast Asian region, driving growth and setting new standards in the digital economy.
E-commerce growth and the role of e-commerce platforms in Vietnam
Vietnam, Southeast Asia’s fastest-growing e-commerce economy, has seen a sharp increase in the number of consumers turning to online websites and apps for their shopping needs in recent years. This surge in demand has led many businesses to establish an online presence, either by launching their own e-shops or by selling products on popular marketplaces and platforms. The unmatched convenience, competitive pricing driven by economies of scale, and broader audience reach offered by e-commerce platforms have made them the go-to destination for Vietnamese consumers and a strategic marketing channel for businesses. In 2023, the leading e-commerce platforms accounted for nearly half of the country's total e-commerce revenue, solidifying their role as drivers behind Vietnam’s exponential e-commerce growth.Vietnamese consumers’ go-to online shopping destinations
Shopee, a Singapore-based multinational marketplace, has consistently dominated the Vietnamese e-commerce market. Having invested heavily in this market, Shopee has been responsible for between 60 to 70 percent of the gross merchandise value across all major platforms in Vietnam in recent years. Meanwhile, TikTok Shop, an in-app shopping solution integrated into the popular social network TikTok, has made notable strides. By the first half of 2023, TikTok Shop had overtaken Lazada—another Singaporean marketplace that had long held the second-highest position behind Shopee—in revenue, thanks to its innovative ‘shoppertainment’ model that seamlessly blends shopping with engaging, personalized content.However, online shopping in Vietnam extends beyond just major e-commerce platforms. For specific product categories, many consumers continue to rely on established stores that have adapted to the digital age by setting up e-shops. A prime example is The Gioi Di Dong, a veteran retailer specializing in electronics, which remains a popular choice for consumers seeking convenience around the clock. Additionally, social commerce in Vietnam has seen rapid growth, driven by the widespread use of social media networks such as Facebook, Zalo, and Instagram. These platforms have become integral to the shopping experience, allowing users to discover and purchase products through posts, ads, and live streams.
As competition within Vietnam's e-commerce sector intensifies, the ecosystem continues to evolve in response to the shifting demands of increasingly savvy consumers. The adoption of new technologies and innovative business models will ensure that Vietnam's e-commerce market retains its significance as a key player in the Southeast Asian region, driving growth and setting new standards in the digital economy.
