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BUSINESS REPORT

For instance, on December 12, figures
provided from Shopee show that it recorded
a 28-fold increase in product sales globally
through the Shopee Live livestream com-
pared to normal days. In Vietnam, the e-
commerce platform reached a milestone
of 26 million products sold during 1.4 mil-
lion hours of livestreams with the partici-
pation of celebrities, vendors, and brands
throughout its Birthday Sale event. “The
success of the Shopee Live Birthday Sale
on December 12 once again affirms the
effectiveness of Shopee’s increased invest-
ment in livestream and leveraging the KOL
Affiliate network, or Influencer Marketing,”
said Mr. Tran Tuan Anh, Managing Director
of Shopee Vietnam. “During the peak shop-
ping season at the end of the year, these
marketing trends not only accelerate the
growth of businesses on the platform and
help them achieve their revenue goals, but
PHOTO: VIET TUAN terms of promotions, entertainment, con-
also offer numerous benefits to users in
venience, and savings.”
In addition to offering enticing sale pro-
Addressing grams, e-commerce platforms also engage
in other activities to capture customer
attention. With the message “December 12
expectations - Sale up to 90%”, Lazada offered a year-
end surprise with “The Pinky Storm” cam-
paign in Ho Chi Minh City, aimed at engag-
ing customers and boosting sales during a
specific promotional period. The campaign
Vietnam’s e-commerce market is on the way up and is was designed to coincide with Lazada's
expected to grow even stronger into the future if further anniversary and major sales events like
improvements are embraced. Singles’ Day or Black Friday, which are sig-
nificant in driving e-commerce sales.
| By BAO TRAM “Understanding the shift in consumer psy-
chology and shopping behavior in the cur-
rent period, Lazada continues to invest
ddressing an e-commerce devel- The country’s e-commerce market is also aggressively to bring more value to con-
opment conference at the end of witnessing increased competition and the sumers choosing to shop on the platform,”
A 2023 in Hanoi, with the theme dominance of four major e-commerce said Ms. Pham Thi Quynh Trang, Chief
“Sustainable e-commerce development”, platforms: Shopee, Lazada, Tiki, and Sendo. Operating Officer (COO) of Lazada Vietnam.
a Deputy Minister of Industry and Trade Shopee and Lazada are considered the “Activities include actively cooperating with
said Vietnam’s e-commerce sector has two largest, while Tiktok Shop has become domestic and international sellers, deploying
been experiencing outstanding develop- the third-largest retail e-commerce plat- various promotional programs, enhancing
ment over the last decade. Growth has form in Vietnam despite only being in the use of AI and augmented reality (AR)
been in the order of 16-30 per cent each operation since mid-2022. technologies to elevate the user experience,
year, and the market size is anticipated According to Mordor Intelligence, Viet- and intensifying User Engagement activities.”
to have reached $20.5 billion in 2023. nam’s e-commerce market size is estimated A recent report from Google, Temasek,
The official emphasized that this proves to reach $14.7 billion in 2024 and $23.77 and Bain & Company released on Novem-
that e-commerce is increasingly becoming billion by 2029, posting a compound annual ber 23 highlights that Vietnam has had
a key component of Vietnam’s digital growth rate (CAGR) of 10.09 per cent the fastest-growing digital economy in
economy, and the e-commerce market during the 2024-2029 period. In particular, Southeast Asia for two consecutive years,
has formed secondary service supply sys- during year-end holidays in 2023 like in 2022 and 2023, and is forecasted to
tems, including technology platform serv- Christmas and also the upcoming Lunar maintain this position in 2024. Gross Mer-
ices supporting e-commerce transactions, New Year, or Tet, holiday in 2024, the e- chandise Value (GMV) in Vietnam is
marketing, online marketing communi- commerce market will become more vibrant expected to post a CAGR of 20 per cent,
cations, and delivery. than ever. E-commerce platforms in Viet- increasing from $30 billion in 2023 to
nam offer consumers a multitude of shop- nearly $45 billion in 2025. In particular,
VIBRANCY ON SHOW ping opportunities throughout the year, growth in GMV over the next two years in
According to the General Department with attractive discounts on special days Vietnam’s digital economy will be driven
of Taxation, Vietnam currently has 139 e- such as September 9, October 10, November by the e-commerce sector.
commerce trading floor owners, of which 11, and December 12, or on special anniver- Alongside the robust development of the
41 are sales floors and 98 are service floors. saries for each e-commerce platform. digital economy, consumers constantly have

34 | VIETNAM ECONOMIC TIMES | FEBRUARY 2024 en.vneconomy.vn