According to National Financial Supervision Committee (NFSC) as cited in Vietnam News, gross domestic product (GDP) growth rate in Vietnam is likely to reach a decade high in 2018 and maintain its pace in the following years. The growth rate is higher than set target of 6,7. Trương Văn Phước, NFSC’s acting chairman of the Committee, commented that there are international factors supporting the domestic economy including free trade agreements, online marketing presence, and trend of manufacturing shift.
Likewise, Google’s prediction mentioned that 43 percent of its growth will last till 2025 or more years. It is mentioned that “powered by the most engaged mobile internet users, industries like e-commerce, online media, online travel, and ride hailing grew at an unprecedented rate.” Consequently, this continuous positive growth will drive Vietnam, especially its e-commerce market to reach more success. iPrice experts also commented that e-commerce sectors in Vietnam will reach its most success in 2019. According to iPrice data, there are three trends that will successfully drive e-commerce sectors, including:
Rising of single-market merchants,
According iPrice data, Tiki is the most impressive single-market merchants that can significantly improve and attract user traffic and investment in 2018. Tiki market’s traffic did increase up to 80 percent within six months which took them from the fourth position to second by December 2018. Not only Tiki, two other e-commerce websites, Sendo.vn and Thegioididong, are also showing off their performance. Sendo.vn grew 55 percent monthly within a period six months and maintained a healthy fifth place in Vietnam, one rank behind Thegioididong. Additionally, these three top e-commerce in Vietnam are amongst the highest monthly web traffic in Southeast Asia.
While Tiki and Sendo.vn announced their success, they also have certain advantage over multinational competitors including Lazada and Shopee. And now – Tiki and Sendo.vn are starting to gain success to better funding. Thus, Vietnam’s single-market merchants might win big in 2019 that probably could put Lazada and Shopee to lower their position in top 10 merchants in Southeast Asia.
Digital payment gaining popularity,
In 2018, Moca, a local digital wallet in Vietnam, has expanded their digital payment service and started a partnership with GrabPay. In 2019, MoMo, one of the most popular digital wallets in Vietnam, successfully closed their series C funding round in this first month – January. Importantly, all these movements made by digital wallets might significantly improve in future. As a result, digital payment will be more popular amongst Vietnamese online shoppers. Also, the increase in popularity of digital payment in Vietnam will bring victory and benefits to whole e-commerce sector sooner or later by 2019.
Entertainment and engagement while shopping.
After improvement in payment and single-market merchant, online shopping websites begin to provide its customers with more entertainment values. For example, Shopee has begun to introduce several interactive games for their app users. Live TV show featuring some of biggest Vietnamese pop stars has also become one of biggest Shopee movements to interact with its consumers. Following that, Lazada and Tiki also started their own interactive games on their apps and websites.
With all those movements, e-commerce merchants in Vietnam will reach its winning peak as they have realized that most effective way to acquire users is by engaging with them and making them feel more involved. And so – “this trend will certainly become even more notable in the upcoming year.”
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