E-com rise in Vietnam fuels delivery service boom

28 Feb '22

2 min read

Pic: Shutterstock

Vietnam’s e-commerce sector has been growing at a robust pace in the wake of the COVID-19 pandemic, fuelling a boom in transport and express delivery services across the country. Four leading online marketplaces have reportedly expanded by between 8 per cent and 50 per cent last year, according to a report by the Vietnam E-commerce Association (VECOM).

The country’s digital economy is estimated to have been emerging at an average annual rate of 38 per cent since 2015, higher than the average of 33 per cent in Southeast Asia.

There was a significant surge in the number of orders on e-commerce sites from June to September last year, when social distancing rules were strictly in place to curb the spread of COVID-19, compared to the same period of 2020. The value of each order was 8-10 per cent higher than the projected figure at the beginning of the year, a news agency reported.

Various express delivery and transport services providers have been founded to meet the increasing demand. As of the end of September 2021, the number of postal service providers in Vietnam had reached 650, up 67 from the end of the previous year, data from the department of posts showed.

Competition has forced many firms to opt for the latest technologies and introduce innovative solutions to gain a bigger market share. For example, J&T Express has launched its international shipping services, called J&T International, to reach more customers at home and abroad.

Fibre2Fashion News Desk (DS)

More E-commerce News - Vietnam...