Foreign online retailers are pushing out local players in the Vietnamese ecommerce market.
According to research by the Vietnam Ecommerce Association, the most popular ecommerce sites in the country are Lazada, Sendo and Zalora, the former and latter of which are owned by the German company Rocket Internet.
Their dominance in the country is attributable to their slick marketing campaigns that have convinced consumers of their trustworthiness, a big factor with many Vietnamese internet users being reluctant to spend online because of security concerns.
Online shoppers in the country have significant anxieties about paying online, with the vast majority, 80%, choosing the cash-on-delivery payment option. Many shoppers also have concerns about the quality of products they buy online.
The report recommends that any online stores wanting to target the region should invest in marketing campaigns to convince online shoppers of the quality and security of their ecommerce platform, as well as investing in warehouse facilities.Â
