Worldly popular e-commerce platforms help bring not only foreign currency to the country but also revenue for manufacturers. According to the Ministry of Industry and Trade, Vietnamese e-commerce has continuously recorded outstanding growth and the market size is expected to exceed US$ 20 billion in 2023.
Currently, a number of Vietnamese brands are available on Amazon shelves such as Minh Long ceramics, Sunhouse-branded household appliances, Truong Tho sea grapes, Made in Vietnam 3D postcards and sedge weaving fine art. Businesses whose products are displayed on Amazon said that they have been receiving more orders and more customers know about their products. From September 1, 2022 to August 31, 2023, over 17 million products from Vietnamese businesses were sold to Amazon customers around the world.
However, it is really not easy to sell commodities for potential markets such as North America and Europe through the Amazon electronic commerce channel.
A leader of a business who is learning how to sell on Amazon said that the process of bringing goods to this channel is very strict, not as simple as just posting products for sale, giving attractive prices, and addresses to get customers’ orders.
According to him, if any businesses want their goods to be listed on e-commerce platforms in North America, mainly the US, they must have a warehouse in this country. Therefore, if that business has poor sales, packaging and changing goods for customers will be a burden on businesses.
In addition to the Amazon electronics trading platform, a number of domestic e-commerce platforms such as Tiki, and Shopee Vietnam are also chosen by many businesses and individuals to sell their commodities. Although these domestic e-commerce platforms have requirements, the requirements are not as strict as Amazon so the competition is also tougher, said the leader. Currently, many businesses have been selling goods and services through electronic commerce channels, making the competition fiercer. For instance, if any business wants their products to stand out from the other same kinds, that business must increase promotions, and cut profits to pay more for advertising costs, the leader revealed.
According to Business Director Nguyen Quach Nhi of Tiki platform, many businesses are successful in selling on the Tiki e-commerce platform, while many others are not as successful as expected due to a lack of knowledge and a lack of a team of professional staff understand how to sell goods on e-commerce.
In that context, Tiki has worked with departments, provinces, cities, schools, and supermarkets to support businesses by providing training and connecting businesses and improving products to promote consumption.
Mr. Gijae Seong, Managing Director of Amazon Global Selling Vietnam, also commented that e-commerce is one of the big trends that businesses must pay attention to if they want to develop globally. He affirmed to continue supporting Vietnamese businesses to improve products’ quality and packaging to meet customers’ demand as well as promote Vietnamese-branded products in the world market.
According to economic experts, e-commerce platforms are giant online marketplaces that can sell all products. But it will take a long time to make a business grow strong and gradually appear on the world e-commerce platforms’ counters and shelves.
Deputy Director of the Ho Chi Minh City Department of Industry and Trade Nguyen Nguyen Phuong said that the department plays the role of ‘matchmaker’ to connect e-commerce platforms with businesses. E-commerce platforms are intermediaries, with warehouses and transporters, and are the extended arms of businesses and consumers.
Above all, businesses should make efforts to improve product quality and design; only such, they can sell their products.
Many economic experts said that online business is developing very strongly, but competitiveness is extremely fierce. Economists also pointed out that many businesses investing large amounts of money in this platform had to quietly withdraw because they could not compete against others. Therefore, businesses need to prepare good internal resources including capital, quality and product design before participating in the global e-commerce platforms.
Deputy Director of Ho Chi Minh City Market Surveillance Department Nguyen Tien Dat said that the department has regularly carried out inspection and control of the origin and quality of goods on e-commerce platforms. In addition, the Department also focuses on building an e-commerce information portal and database system so that ministries, agencies and authorities can share information in the fight against counterfeit goods, and protect consumers who buy commodities on e-commerce platforms.
