The Hanoitimes - For the next four years, Vietnam`s E-commerce market value is estimated to go up to US$10 billion, making the market an attractive destination in the region for global investors.
"After 6 years, Lazada Vietnam has been maintaining a double growth rate in compared with the previous year, while the website has attracted over 30 million visitors monthly," said Nguyen Thanh Thuy, Lazada's senior official said at the company's sixth anniversary in Vietnam.
"Over 2 million products from 16 categories are available through 120 brands and thousands of sellers, making it an unlimited shopping experience for customers."
Vietnam's E-commerce continues attracting investment.
In 2018, Lazada will invest in logistics for an undisclosed amount of investment capital. The move is aimed to meet customers demand for delivery in downtown at Ha Noi and Ho Chi Minh.
Singaporean online shopping platform Shopee has grown rapidly in the Vietnam's retail market after its launch nearly two years ago. As at present, Shopee app has over 40 million downloads at 7 markets, while its gross merchandise volume (GMV) stood at US$3 billion.
In Vietnam alone, Shopee is in the top 3 of e-commerce site with the highest orders, said Pine Kyaw, CEO of Shopee Vietnam.
E-commerce is considered one of the main factor attracting foreign investment. In 2017, a total of 21 investors have invested in e-commerce with total value of US$83 million.
China's second largest e-commerce firm JD.com in January has decided to invest in Tiki, a Vietnamese online retail service for a reported amount of VND1 trillion (US$44 million) to become its main shareholder alongside VNG Corp, a Vietnamese entertainment and social media firm, announced JD.com.
Tiki will cooperate with JD.com in broad range of services, including merchandising, cross-border trade, logistics and fulfilment as part of the agreement. The two companies plan to deliver a wider selection of global brands to consumer while helping Vietnamese local brands expand internationally via JD.com's global platform.
"JD and Tiki share the same business philosophy: to win market share by winning consumers' heart," said Tiki's founder and CEO Son Tran.
Reasons behind a strong investment wave in Vietnam, according to investors, are the high growth rate of Vietnam's e-commerce market at over 22% in 2017. The figure is forecasted to be maintained in period 2018 - 2020.
Notably, a number of fields has witnessed strong growth, such as online retail service, with the revenue growth rate in 2017 at 35%, while revenue of shipping companies has also grown in range of 62 - 200%.
In the coming time, online shopping is expected to be a growing trend, especially with young customers, said a survey conducted by Business Support Association (BSA). The introduction of a series of e-commerce website such as Lazada, Tiki, Shopee, Sendo, Adayroi in recent years have turned online shopping into a habit for Vietnamese customers, said BSA.
At present, Vietnam's retail market value stood at US$5 billion, for which the number is expected to increase to US$10 billion in the next 4 years.