Market Size of Vietnam E-commerce Industry
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 14.70 Billion |
| Market Size (2029) | USD 23.77 Billion |
| CAGR (2024 - 2029) | 10.09 % |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Vietnam Ecommerce Market Analysis
The Vietnam E-commerce Market size is estimated at USD 14.70 billion in 2024, and is expected to reach USD 23.77 billion by 2029, growing at a CAGR of 10.09% during the forecast period (2024-2029).
In Vietnam, E-Commerce revenue continues to surge with the formation of new markets and the opportunities for growth for established markets. With their growing middle classes and lagging offline shopping infrastructure, East and Southeast Asia are expected to drive this trend.
- The Vietnamese government actively promotes a cashless society to lower cash transactions to less than 10% of total payments and reach 70% of the banking population. Recently the Vietnamese government approved a national e-Commerce growth master plan. This master plan perfectly aligns with current Vietnamese Fourth Industrial Revolution strategies and policies, with the overarching goal of establishing a digital economy and fostering national digital transformation.
- Moreover, the plan intends to encourage enterprises and consumers to use e-commerce, close the gap between major cities and localities, create a sustainable virtual market, and increase cross-border online trading. The Vietnamese government, in particular, is actively promoting a cashless society, intending to reach a cashless payment rate of over 50% by 2025.
- Vietnam has one of the most favorable legal environments in the ASEAN region. Five of the six pieces of legislation intended to regulate e-commerce activity have been passed in the country. The e-commerce sector has dominated the recent development of the country's transportation, distribution, and fulfillment services ecosystem.
Vietnam Ecommerce Industry Segmentation
E-commerce involves establishing connections and selling products, services, and information using computer communication networks. E-commerce often refers to the online trade of goods and services, which denotes a larger scale of economic activity. Internal organizational transactions that enable B2B and B2C transactions are included in e-commerce.
The Vietnam E-commerce market is segmented by b2c e-commerce (beauty and personal care, consumer electronics, fashion and apparel, food and beverage, furniture and home, Others [Toys, DIY, Media, etc.]), B2B e-commerce. The market sizes and forecasts are provided in terms of value in (USD) for all the above segments.
| By B2C E-Commerce | ||||||||
| Market size (GMV) for the period of 2017-2027 | ||||||||
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| By B2B E-Commerce | |
| Market size for the period of 2017-2027 |
Vietnam E-commerce Market Size Summary
The e-commerce market in Vietnam is experiencing significant growth, driven by the country's expanding middle class and the shift towards digital transactions. The Vietnamese government's initiative to promote a cashless society and its national e-commerce growth master plan are pivotal in this transformation. These efforts align with the Fourth Industrial Revolution strategies, aiming to establish a digital economy and enhance national digital transformation. The plan encourages the use of e-commerce across various regions, aiming to bridge the gap between urban and rural areas, create a sustainable virtual market, and boost cross-border online trading. The legal environment in Vietnam is conducive to e-commerce growth, with several regulations in place to support the sector's expansion.
The rise of digital payments, particularly e-wallets, is closely linked to the growth of e-commerce as an alternative to traditional retail. The COVID-19 pandemic and the increased acceptance of fintech have accelerated the shift towards contact-free transactions. Vietnam's robust mobile infrastructure and affordable internet access have further facilitated the rapid adoption of e-commerce. Local platforms like Tiki, Sendo, and Thegioididong have gained significant traction, supported by foreign investments. However, foreign e-commerce platforms dominate the market, posing challenges to domestic players. The preference for mobile commerce is evident, with a majority of online transactions occurring through apps rather than browsers. As Vietnam continues to lead in e-commerce growth in Southeast Asia, its major platforms are expected to maintain strong performance, contributing significantly to the country's retail e-commerce market.
Vietnam E-commerce Market Size - Table of Contents
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1. MARKET INSIGHTS
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1.1 Market Overview
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1.2 Industry Attractiveness-Porter's Five Forces Analysis
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1.2.1 Bargaining Power of Suppliers
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1.2.2 Bargaining Power of Buyers/Consumers
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1.2.3 Threat of New Entrants
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1.2.4 Threat of Substitute Products
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1.2.5 Intensity of Competitive Rivalry
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1.3 Key market trends and share of E-Commerce of Total Retail sector
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1.4 Impact of COVID-19 on the E-Commerce sales
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2. MARKET SEGMENTATION
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2.1 By B2C E-Commerce
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2.1.1 Market size (GMV) for the period of 2017-2027
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2.1.2 Market Segmentation - By Application
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2.1.2.1 Beauty & Personal Care
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2.1.2.2 Consumer Electronics
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2.1.2.3 Fashion & Apparel
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2.1.2.4 Food & Beverage
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2.1.2.5 Furniture & Home
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2.1.2.6 Others (Toys, DIY, Media, etc.)
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2.2 By B2B E-Commerce
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2.2.1 Market size for the period of 2017-2027
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Vietnam E-commerce Market Size FAQs
How big is the Vietnam E-commerce Market?
The Vietnam E-commerce Market size is expected to reach USD 14.70 billion in 2024 and grow at a CAGR of 10.09% to reach USD 23.77 billion by 2029.
What is the current Vietnam E-commerce Market size?
In 2024, the Vietnam E-commerce Market size is expected to reach USD 14.70 billion.
