Witnessing the rapid development of Vietnam’s E-commerce sector, we should credit a large contribution to E-commerce platforms. Continuing to receive funding from international corporations, the aggressive advertising of E-commerce sites has helped make online shopping more familiar to Vietnamese consumers.
>>> Read more:The map of Vietnam Ecommerce (statistics from iPrice)
With around 20 e-commerce marketplaces across the market, the four most prominent Vietnam eCommerce platforms in recent times are Shopee, Lazada, Sendo and Tiki. In these four E-commerce floors, each floor has its own characteristics. Find out which floor is best for your business!
>>> Read more: After The Exit Of Adayroi And Lotte, Who Can Survive Vietnam’s E-Commerce War In 2020?
1. Shopee – The dominant eCommerce platform in Vietnam
Founded in 2015 by SEA Group and entered the Vietnamese market in mid-2016, but latecomer Shopee has completely taken the lead in the E-commerce race in Vietnam as well as the region. With more than 34 million website views in the third quarter of 2019, Shopee is also the Vietnam eCommerce platform with the most monthly app downloads and active users. The massive marketing and promotional campaigns proved effective in attracting both buyers and sellers to Shopee.
>>> Read more:Why is Shopee successful in the whole SEA region?
Advantages:
- Top E-commerce platform with a huge customer base.
- Young customers who are intro trendy and new items
- Free store registration
- Simple procedures in setting up a store (Email and phone number verification)
- Various promotional campaigns to attract buyers
- Shipping subsidize policies
- Prices are not controlled
- As a partner with many shipping couriers, Shopee can provide sellers with various shipping options in terms of pricing and time
- An easy-to-use interface that enhances customer interaction
- Easy to synchronize data and connect with other platforms
Disadvantages:
- Highly competitive due to too many sellers
- Shopee has not been able to control the issues of price dumping, counterfeit and low-quality products
- A strict, repetitive product-checking process with long waiting time
- Commission for each successful order (1-2% of the total value)
- The subsidy condition only applies to products valued above VND 200,000 (USD 8), which many shops selling low-value products find difficult to achieve.
- High shipping fee for express orders
>>>Read more:3 Key Factors That Contribute To Shopee’s Success
>>>Read more:Who is the leading eCommerce platform in Vietnam?
2. Lazada
As a Southeast Asia-focused E-commerce platform from Alibaba Group, Lazada goes hand in hand with Shopee as the two biggest Vietnam eCommerce platfrom. Lazada values customer experience with the aim of providing the most beneficial services and policies to their shoppers.
Advantages:
- Free store registration
- High commission for sellers: 5% for electronics, 10% for fashion products, 8% for others.
- Various promotional campaigns to attract buyers
- Trusted by customers because of the site’s customer protection policy and outstanding customer service
- Easy to synchronize data and connect with other platforms
Disadvantages:
- Logistics costs (pickup, shipping, etc.) are high
- No quality control over the products
- Complicated registration procedures as sellers have to complete Lazada’s online course, provide personal information and enterprise registration certificate
- Strict policies that focus on the interests of buyers, making it difficult for businesses to scale up. Therefore, Lazada is solely a sales channel for businesses.
3. Sendo
As a Vietnam eCommerce platform under FPT Corporation, Sendo is developing at an unbelievable speed through the strategy of allocating resources to small cities and rural areas – which are often overlooked by other players. other. Through two rounds of funding, Sendo has raised more than USD 110 million from investors around the world. Sendo currently doesn’t support cross-border shipping, thus your stock has to be in Vietnam.
Advantages:
- Free store registration
- High recognition and reputation thanks to FPT brand
- Specializes in non-tech goods
- Great customer data protection
- Easy and convenient return and exchange policy
- Great customer service
Disadvantages:
- Marketing packages are not proven effective
- No quality control over the products
- High refund rate (up to 20%)
- Many fake orders exist due to poor management mechanism
- Shipping time and price are not guaranteed
- Limited interaction with buyers
>>> Read more:Sendo Vietnam: E-Commerce Is Not All About Big Cities
4. Tiki
Starting as an online website for selling books and stationery, Tiki has now become one of the leading Vietnam eCommerce platfrom. With a meticulous product inspection process and a professional logistics system, Tiki has become Vietnamese consumers’ most reliable brand. Tiki’s two major investors are Vietnam’s VNG and China’s JD.com.
Advantages:
- Products are thoroughly verified for origin and quality
- Customers have high shopping confidence in Tiki
- Specialized the print and electronic products
- Low rate of order return (less than 1%)
- Great customer data protection
- Express shipping service with shipping subsidies
- Great customer service
Disadvantages:
- The strict registration process that requires sellers to provide personal information and enterprise registration certificate
- Limited products compared to other platforms
- Long delivery time with standard orders
- Several management fees such as payment fees, commission, pickup fees, etc.
–> Read more: Tiki And Sendo: Vietnam’s Two Biggest Local E-Commerce Platforms In Merger Talks
Each platform has its own pros & cons, we hope that with all the provided information, you will be able to find the most fitting Vietnam eCommerce platform for your business
5. More readings?
>>Read more:5 things about eCommerce Vietnam 2020 you may have missed
>>Read more:Vietnam Ecommerce platform: Who to choose?
>>Read more:Vietnam media landscape 2020 – 5 changes to notice
Boxme is the premier cross-border e-Commerce fulfillment network in Southeast Asia, enabling world-wide merchants to sell online into this region without needing to establish a local presence. We deliver our services by aggregating and operating a one-stop value chain of logistic professions including: International shipping, customs clearance, warehousing, connection to local marketplaces, pick and pack, last-mile delivery, local payment collection and oversea remittance.
