Unprecedented Growth
Vietnam’s e-commerce market has been experiencing explosive growth, with a forecasted market value of $60 billion by 20301. This places Vietnam second only to Indonesia in the region. The country’s e-commerce revenue has been growing year-on-year, and this trend is expected to continue1.
Government Initiatives
The Vietnamese government has been a catalyst for this growth, actively promoting a cashless society and approving a national e-commerce development master plan2. This plan aligns with the country’s Fourth Industrial Revolution strategies, aiming to establish a digital economy and foster national digital transformation2.
Digital Population and Internet Penetration
A significant factor in Vietnam’s e-commerce success is its digital population and rising internet penetration. The country boasts a young, tech-savvy population that is increasingly turning to online shopping as a primary means of purchasing goods and services3.
Infrastructure Development
Vietnam has been improving its transportation, distribution, and fulfillment services, which are essential for a thriving e-commerce ecosystem. The country’s logistics infrastructure has seen considerable investments, making it more conducive for e-commerce activities4.
Rise of Digital Payments
The growth of Vietnam’s digital payments sector is fueled by the expansion of e-commerce and a desire for contact-free transactions. This has been facilitated by improved acceptance of digital financial technology (fintech) and the impact of the COVID-19 pandemic2.
A Young and Dynamic Market
With a median age of around 32 years, Vietnam’s population is young and dynamic, which is ideal for the adoption of new shopping behaviors and technologies. The youth are not only consumers but also innovators, driving the e-commerce market forward3.
Looking Ahead
Vietnam’s e-commerce sector is not just growing; it’s thriving with innovation and opportunity. As the country continues to develop its digital infrastructure and the government supports the transition to a digital economy, Vietnam is well-positioned to become a leader in e-commerce in Southeast Asia.
