Traditional retail fighting to keep up with e-commerce boomThursday, May 17,2018
AsemconnectVietnam - The emergence of e-commerce websites such as Lazada, Tiki, Shopee, Sendo, and Adayroi has led to online shopping becoming popular among Vietnamese customers over recent years, in particular young customers who prefer buying and selling products on social networks like Facebook and Zalo.
President of the High Quality Vietnamese Product Business Association Vu Kim Hanh says according to the association’s survey in 2017, the percentage of the population who regularly shop online has tripled from 0.9% last year to 2.7% this year.
The survey in 2018 shows that 23% of customers used online channels as their references before buying products, up 5% over a year earlier at 18%. Also, many businesses consider online shopping as a channel to access information about market demands, she notes.
The boom in online shopping reduces the purchasing power of modern distribution channels, convenience stores, and traditional markets.
For instance, powerful businesses in the retail sector such as Mega Market, Big C, Aeon Mall, Family Mart, 7-Eleven, Lotte Mart, Emart, SG25, Satrra, and Saigon Co.op have intensified huge investment in developing their online retail presence.
'Revenue is currently not a major target of retailers when developing e-commerce, but it is a necessary preparation for the next 5-10 years, and we are deliberating stronger investments in developing this form in the future,' says Mr Tinh.
Doan Diep Binh, head of Lotte Mart media section, says the online shopping application “Speed Lotte” launched in November 2017 has made it easier for customers to shop for food, lunch boxes, and domestic appliances using their mobile devices. Lotte Mart plans to pour around VND1 trillion into the model to boost revenue growth in the future. Saigon Co.op have worked out plans to develop a similar model.
Seafood exports to China surge
Thailand, China – two largest suppliers of fruit, veg to Vietnam
Vietnam dong, gold and interbank rates - June 15
Exports of electric wires and cables to Britain increased
US$ 1.4 billion worth of goods exported to France in 5 months
Sales of domestically-assembled cars overwhelm imported vehicles
Dragon fruits dominate Vietnam’s fruit exports
Garment & textile sector, magnet for foreign investors
HCM City works to boost retail market
Vietnam, UK vow efforts to foster bilateral trade
Vietnam likely to achieve 10 percent export growth this year
Vietnam dong, gold and interbank rates - June 14
Vietnam exported nearly US$ 5.75 billion worth of goods to Japan
Vietnam targets US$200 bn garment, textile exports by 2035