Want to be in the loop?
subscribe to
our notification
Business News
VIETNAM’S E-COMMERCE MARKET GENERATES $11.8 BILLION IN 2020
Vietnam’s e-commerce revenue reached $11.8 billion in 2020, up 18 per cent against last year and accounting for 5.5 per cent of total retail sales.
According to a report by the Ministry of Industry and Trade's Department of E-commerce and Digital Economy, 53 per cent of the population has joined the online retail market, boosting the growth of Vietnam’s e-commerce sector by 18 per cent to $11.8 billion, accounting for 5.5 per cent of the total retail sales.
Vietnam is the only country in Southeast Asia to achieve double-digit growth rate in e-commerce. COVID-19 pandemic is a major boost to e-commerce, prompting many companies to do businesses online, as well as attracting first-time online shoppers.
However, the purchasing power is still affected by the pandemic. The number of transactions has increased drastically compared to last year’s period. Nevertheless, revenue growth is on a down trend as consumers buy items with lower value. The pandemic also resulted in a massive drop in online flight and hotel bookings.
Online shopping traffic in Vietnam so far this year skyrocketed by 150 per cent against the year prior, with daily visits to e-commerce sites growing to 3.5 million, according to the Vietnam e-Commerce Association (VECOM).
The e-Conomy SEA 2020 report from Google, Temasek, and Bain & Company pointed out that e-commerce has driven significant growth in Vietnam at 46 per cent, alongside strong growth across most sectors except for travel. Looking at 2025, the overall e-Conomy will likely reach $52 billion in value, re-accelerating to around 29 per cent compound annual growth rate.
According to the Department of E-commerce and Digital Economy, the management unit is urgently completing policies and legal documents to create a healthy environment to support the development of e-commerce platforms.
Recently, the draft decree amending Decree No.52/2013/ND-CP on e-commerce, which is being consulted by the Ministry of Industry and Trade, is believed to have a number of amendments to suit the new market trends. However, the draft decree still receives mixed responses.
Source: VIR
Related News
![Card image cap](/uploads/Logo/Cathay%20%281%29.jpg)
ONE-TIME OFFER: COMPLEMENTARY CATHAY PACIFIC LOUNGE PASS
Begin your trip on the right note in Cathay Pacific’s first-ever ferry lounge, located at Shenzhen’s Shekou Cruise home port. Situated at the end of the pier, the ferry lounge offers a breathtaking 270-degree view of the sea. You can immerse yourself in sheer luxury and revel in the panoramic beauty. Catch a glimpse of Hong Kong in the distance.
![Card image cap](/uploads/news/Industrial%20Zone.jpg)
VIỆT NAM TARGETS FULL MOBILE BROADBAND COVERAGE ON HIGHWAYS, INDUSTRIAL ZONES BY 2025
By 2025, Việt Nam aims to achieve one hundred per cent mobile broadband coverage on all national highways, expressways and railways under a plan to enhance the quality of Việt Nam’s mobile telecommunications network by 2025, which has been approved by the Ministry of Information and Communications (MIC).
![Card image cap](/uploads/news/Investment6.jpg)
VIETNAM ONE OF FASTEST-GROWING E-COMMERCE MARKETS IN SOUTHEAST ASIA
The report released on July 16 highlighted that the total GMV of Southeast Asia’s eight leading e-commerce platforms rose to $114.6 billion in 2023, up 15 per cent from 2022. The key drivers for the region's e-commerce GMV expansion in 2023 are Vietnam and Thailand, growing 52.9 per cent and 34.1 per cent on-year, respectively.
![Card image cap](/uploads/news/Security.jpg)
2025 PIVOTAL FOR STOCK MARKET UPGRADE EFFORT
The Ministry of Finance (MoF) is expected to soon publish the entire content of the draft circular amending and supplementing four circulars on transactions, registration, depository, and clearing, as well as operations of securities companies and information disclosure. This move, along with feedback and explanations, aims to meet the criteria for upgrading Vietnam’s stock market.
![Card image cap](/uploads/news/bn-01.jpg)
VIETNAM INTENSIFIES E-COMMERCE TAX SCRUTINY
The department plans to offer guidance for and hold direct dialogues with e-commerce taxpayers to ensure compliance. Efforts will also include updating the e-commerce database, conducting risk analysis, and leveraging artificial intelligence (AI) to manage data and issue alerts.
![Card image cap](/uploads/news/eco2.jpg)
FOOTWEAR EXPORTS SEEN REACHING US$27 BILLION THIS YEAR
This optimistic forecast reflects the industry’s efforts to expand and diversify its markets. Lefaso indicated that Vietnam’s footwear sector will concentrate on traditional markets like the U.S. and the European Union, alongside markets with free trade agreements to maximize opportunities.