Vietnam E-commerce & Social Commerce Market
Description
Vietnam E-commerce & Social Commerce Market Overview
The Vietnam E-commerce & Social Commerce Market is valued at USD 25 billion, based on a five-year historical analysis. This growth is primarily driven by the rapid increase in internet penetration, smartphone usage, a growing middle class, and a shift in consumer behavior towards online shopping. The COVID-19 pandemic further accelerated this trend, as more consumers turned to digital platforms for their shopping needs. Social commerce and mobile payments are also key contributors to the market’s expansion .
Key cities dominating the market include Ho Chi Minh City and Hanoi, which are the economic and cultural hubs of Vietnam. These cities benefit from a high concentration of young, tech-savvy consumers and robust infrastructure that supports e-commerce activities. The presence of major logistics and payment service providers in these areas also enhances the overall market dynamics .
In 2023, the Vietnamese government implemented the "National Digital Transformation Program" under Decision No. 749/QD-TTg issued by the Prime Minister. This program aims to promote e-commerce and digital payment solutions, with a budget allocation of USD 1 billion to support small and medium-sized enterprises (SMEs) in adopting digital technologies. The initiative mandates digital transformation targets for businesses, including e-commerce adoption, digital payment integration, and compliance with national digital standards .
Vietnam E-commerce & Social Commerce Market Segmentation
By Type:
The market is segmented into B2C (Business to Consumer), C2C (Consumer to Consumer), B2B (Business to Business), Social Commerce, Mobile Commerce, Subscription Services, and Others. B2C dominates due to the popularity of online retail platforms, while C2C and Social Commerce are rapidly expanding through social media and peer-to-peer platforms. Mobile Commerce is gaining traction as mobile payment adoption rises and consumers increasingly shop via smartphones. Subscription Services and other emerging models are also contributing to market diversity .
By End-User:
The end-user segmentation includes Individual Consumers, Small Businesses, Large Enterprises, and Government Agencies. Individual consumers account for the majority share, reflecting the strong adoption of online shopping among the general population. Small businesses are increasingly leveraging e-commerce platforms for market access, while large enterprises and government agencies use digital channels for procurement and service delivery .
Vietnam E-commerce & Social Commerce Market Competitive Landscape
The Vietnam E-commerce & Social Commerce Market is characterized by a dynamic mix of regional and international players. Leading participants such as Tiki Corporation, Shopee Vietnam, Lazada Vietnam, Sendo (Sen Do Technology JSC), FPT Retail, Thegioididong.com (Mobile World Investment Corporation), Vingroup (VinShop, Adayroi - legacy), MoMo (M_Service JSC), ZaloPay (VNG Corporation), Grab Vietnam, Viettel Post (Viettel Post Joint Stock Corporation), TikTok Shop Vietnam, Nguyen Kim Trading Joint Stock Company, FPT Shop, Voso.vn (Viettel Post E-commerce Platform) contribute to innovation, geographic expansion, and service delivery in this space .
Tiki Corporation
2010
Ho Chi Minh City, Vietnam
Shopee Vietnam
2015
Ho Chi Minh City, Vietnam
Lazada Vietnam
2012
Ho Chi Minh City, Vietnam
Sen Do Technology JSC (Sendo)
2012
Ho Chi Minh City, Vietnam
FPT Retail
2007
Hanoi, Vietnam
Company
Establishment Year
Headquarters
Group Size (Large, Medium, or Small as per industry convention)
Gross Merchandise Value (GMV)
Revenue Growth Rate
Customer Acquisition Cost (CAC)
Average Order Value (AOV)
Customer Retention Rate
Vietnam E-commerce & Social Commerce Market Industry Analysis
Growth Drivers
Increasing Internet Penetration:
As of future, Vietnam's internet penetration rate is projected to reach
78%
, with approximately
78 million users
accessing online platforms. This growth is driven by the government's initiatives to enhance digital infrastructure, including investments of around
USD 1 billion
in broadband expansion. The increasing accessibility of the internet is fostering a robust online shopping culture, enabling consumers to engage with e-commerce platforms more frequently and conveniently.
Rising Smartphone Usage:
In future, Vietnam is expected to have over
67 million smartphone users
, representing a significant increase from previous years. The affordability of smartphones, with prices averaging around
USD 200
, has made them accessible to a broader demographic. This surge in smartphone adoption is facilitating mobile commerce, allowing consumers to shop online anytime and anywhere, thus driving e-commerce growth in the country.
Growth of Digital Payment Solutions:
The digital payment landscape in Vietnam is rapidly evolving, with over
50%
of online transactions in future expected to be conducted through digital wallets and mobile payment platforms. The government’s push for a cashless economy, supported by initiatives like the National Payment Strategy, is projected to increase the number of digital payment users to
about 30 million
. This shift enhances consumer confidence in online shopping, further propelling e-commerce growth.
Market Challenges
Logistics and Delivery Issues:
Vietnam's logistics sector faces significant challenges, with delivery times averaging
3-5 days
for e-commerce orders. The lack of efficient infrastructure, particularly in rural areas, hampers timely deliveries. In future, logistics costs are expected to account for
20%
of total e-commerce expenses, impacting profitability for online retailers. Addressing these logistical hurdles is crucial for enhancing customer satisfaction and retention in the e-commerce market.
Consumer Trust and Security Concerns:
Despite the growth of e-commerce, consumer trust remains a significant barrier, with
about 40%
of potential online shoppers citing security concerns as a primary reason for not purchasing online. In future, incidents of online fraud are projected to increase by
15%
, further exacerbating these fears. Building robust security measures and transparent policies is essential for fostering consumer confidence and encouraging online transactions.
Vietnam E-commerce & Social Commerce Market Future Outlook
The Vietnam e-commerce and social commerce market is poised for significant transformation, driven by technological advancements and changing consumer behaviors. The integration of AI and big data analytics is expected to enhance personalized shopping experiences, while the rise of influencer marketing will further engage consumers. Additionally, the shift towards sustainable practices will resonate with the growing environmentally conscious consumer base, creating a more responsible e-commerce landscape. These trends will shape the future of the market, fostering innovation and growth.
Market Opportunities
Expansion of Social Commerce Platforms:
The rise of social media usage, with over
70 million active users
in Vietnam, presents a significant opportunity for social commerce. Brands can leverage platforms like Facebook and Instagram to reach consumers directly, enhancing engagement and driving sales. This trend is expected to create a new revenue stream for businesses, capitalizing on the growing preference for shopping through social channels.
Growth in Cross-Border E-commerce:
Vietnam's cross-border e-commerce is projected to reach
USD 5 billion
in future, driven by increasing demand for international products. Consumers are increasingly seeking unique and high-quality goods from abroad, creating opportunities for local businesses to expand their offerings. This trend not only enhances market competitiveness but also fosters international partnerships, broadening the scope of e-commerce in Vietnam.
Please Note: It will take 5-7 business days to complete the report upon order confirmation.
The Vietnam E-commerce & Social Commerce Market is valued at USD 25 billion, based on a five-year historical analysis. This growth is primarily driven by the rapid increase in internet penetration, smartphone usage, a growing middle class, and a shift in consumer behavior towards online shopping. The COVID-19 pandemic further accelerated this trend, as more consumers turned to digital platforms for their shopping needs. Social commerce and mobile payments are also key contributors to the market’s expansion .
Key cities dominating the market include Ho Chi Minh City and Hanoi, which are the economic and cultural hubs of Vietnam. These cities benefit from a high concentration of young, tech-savvy consumers and robust infrastructure that supports e-commerce activities. The presence of major logistics and payment service providers in these areas also enhances the overall market dynamics .
In 2023, the Vietnamese government implemented the "National Digital Transformation Program" under Decision No. 749/QD-TTg issued by the Prime Minister. This program aims to promote e-commerce and digital payment solutions, with a budget allocation of USD 1 billion to support small and medium-sized enterprises (SMEs) in adopting digital technologies. The initiative mandates digital transformation targets for businesses, including e-commerce adoption, digital payment integration, and compliance with national digital standards .
Vietnam E-commerce & Social Commerce Market Segmentation
By Type:
The market is segmented into B2C (Business to Consumer), C2C (Consumer to Consumer), B2B (Business to Business), Social Commerce, Mobile Commerce, Subscription Services, and Others. B2C dominates due to the popularity of online retail platforms, while C2C and Social Commerce are rapidly expanding through social media and peer-to-peer platforms. Mobile Commerce is gaining traction as mobile payment adoption rises and consumers increasingly shop via smartphones. Subscription Services and other emerging models are also contributing to market diversity .
By End-User:
The end-user segmentation includes Individual Consumers, Small Businesses, Large Enterprises, and Government Agencies. Individual consumers account for the majority share, reflecting the strong adoption of online shopping among the general population. Small businesses are increasingly leveraging e-commerce platforms for market access, while large enterprises and government agencies use digital channels for procurement and service delivery .
Vietnam E-commerce & Social Commerce Market Competitive Landscape
The Vietnam E-commerce & Social Commerce Market is characterized by a dynamic mix of regional and international players. Leading participants such as Tiki Corporation, Shopee Vietnam, Lazada Vietnam, Sendo (Sen Do Technology JSC), FPT Retail, Thegioididong.com (Mobile World Investment Corporation), Vingroup (VinShop, Adayroi - legacy), MoMo (M_Service JSC), ZaloPay (VNG Corporation), Grab Vietnam, Viettel Post (Viettel Post Joint Stock Corporation), TikTok Shop Vietnam, Nguyen Kim Trading Joint Stock Company, FPT Shop, Voso.vn (Viettel Post E-commerce Platform) contribute to innovation, geographic expansion, and service delivery in this space .
Tiki Corporation
2010
Ho Chi Minh City, Vietnam
Shopee Vietnam
2015
Ho Chi Minh City, Vietnam
Lazada Vietnam
2012
Ho Chi Minh City, Vietnam
Sen Do Technology JSC (Sendo)
2012
Ho Chi Minh City, Vietnam
FPT Retail
2007
Hanoi, Vietnam
Company
Establishment Year
Headquarters
Group Size (Large, Medium, or Small as per industry convention)
Gross Merchandise Value (GMV)
Revenue Growth Rate
Customer Acquisition Cost (CAC)
Average Order Value (AOV)
Customer Retention Rate
Vietnam E-commerce & Social Commerce Market Industry Analysis
Growth Drivers
Increasing Internet Penetration:
As of future, Vietnam's internet penetration rate is projected to reach
78%
, with approximately
78 million users
accessing online platforms. This growth is driven by the government's initiatives to enhance digital infrastructure, including investments of around
USD 1 billion
in broadband expansion. The increasing accessibility of the internet is fostering a robust online shopping culture, enabling consumers to engage with e-commerce platforms more frequently and conveniently.
Rising Smartphone Usage:
In future, Vietnam is expected to have over
67 million smartphone users
, representing a significant increase from previous years. The affordability of smartphones, with prices averaging around
USD 200
, has made them accessible to a broader demographic. This surge in smartphone adoption is facilitating mobile commerce, allowing consumers to shop online anytime and anywhere, thus driving e-commerce growth in the country.
Growth of Digital Payment Solutions:
The digital payment landscape in Vietnam is rapidly evolving, with over
50%
of online transactions in future expected to be conducted through digital wallets and mobile payment platforms. The government’s push for a cashless economy, supported by initiatives like the National Payment Strategy, is projected to increase the number of digital payment users to
about 30 million
. This shift enhances consumer confidence in online shopping, further propelling e-commerce growth.
Market Challenges
Logistics and Delivery Issues:
Vietnam's logistics sector faces significant challenges, with delivery times averaging
3-5 days
for e-commerce orders. The lack of efficient infrastructure, particularly in rural areas, hampers timely deliveries. In future, logistics costs are expected to account for
20%
of total e-commerce expenses, impacting profitability for online retailers. Addressing these logistical hurdles is crucial for enhancing customer satisfaction and retention in the e-commerce market.
Consumer Trust and Security Concerns:
Despite the growth of e-commerce, consumer trust remains a significant barrier, with
about 40%
of potential online shoppers citing security concerns as a primary reason for not purchasing online. In future, incidents of online fraud are projected to increase by
15%
, further exacerbating these fears. Building robust security measures and transparent policies is essential for fostering consumer confidence and encouraging online transactions.
Vietnam E-commerce & Social Commerce Market Future Outlook
The Vietnam e-commerce and social commerce market is poised for significant transformation, driven by technological advancements and changing consumer behaviors. The integration of AI and big data analytics is expected to enhance personalized shopping experiences, while the rise of influencer marketing will further engage consumers. Additionally, the shift towards sustainable practices will resonate with the growing environmentally conscious consumer base, creating a more responsible e-commerce landscape. These trends will shape the future of the market, fostering innovation and growth.
Market Opportunities
Expansion of Social Commerce Platforms:
The rise of social media usage, with over
70 million active users
in Vietnam, presents a significant opportunity for social commerce. Brands can leverage platforms like Facebook and Instagram to reach consumers directly, enhancing engagement and driving sales. This trend is expected to create a new revenue stream for businesses, capitalizing on the growing preference for shopping through social channels.
Growth in Cross-Border E-commerce:
Vietnam's cross-border e-commerce is projected to reach
USD 5 billion
in future, driven by increasing demand for international products. Consumers are increasingly seeking unique and high-quality goods from abroad, creating opportunities for local businesses to expand their offerings. This trend not only enhances market competitiveness but also fosters international partnerships, broadening the scope of e-commerce in Vietnam.
Please Note: It will take 5-7 business days to complete the report upon order confirmation.
Table of Contents
88 Pages
- 1. Vietnam E-commerce & Social Commerce Market Overview
- 1.1. Definition and Scope
- 1.2. Market Taxonomy
- 1.3. Market Growth Rate
- 1.4. Market Segmentation Overview
- 2. Vietnam E-commerce & Social Commerce Market Size (in USD Bn), 2019–2024
- 2.1. Historical Market Size
- 2.2. Year-on-Year Growth Analysis
- 2.3. Key Market Developments and Milestones
- 3. Vietnam E-commerce & Social Commerce Market Analysis
- 3.1. Growth Drivers
- 3.1.1 Increasing Internet Penetration
- 3.1.2 Rising Smartphone Usage
- 3.1.3 Growth of Digital Payment Solutions
- 3.1.4 Expanding Middle-Class Population
- 3.2. Restraints
- 3.2.1 Logistics and Delivery Issues
- 3.2.2 Intense Competition
- 3.2.3 Regulatory Compliance
- 3.2.4 Consumer Trust and Security Concerns
- 3.3. Opportunities
- 3.3.1 Expansion of Social Commerce Platforms
- 3.3.2 Growth in Cross-Border E-commerce
- 3.3.3 Increasing Demand for Niche Products
- 3.3.4 Adoption of AI and Big Data Analytics
- 3.4. Trends
- 3.4.1 Rise of Influencer Marketing
- 3.4.2 Integration of Augmented Reality
- 3.4.3 Shift Towards Sustainable Practices
- 3.4.4 Personalization of Shopping Experiences
- 3.5. Government Regulation
- 3.5.1 E-commerce Law Implementation
- 3.5.2 Data Protection Regulations
- 3.5.3 Taxation Policies for E-commerce
- 3.5.4 Consumer Protection Laws
- 3.6. SWOT Analysis
- 3.7. Stakeholder Ecosystem
- 3.8. Competition Ecosystem
- 4. Vietnam E-commerce & Social Commerce Market Segmentation, 2024
- 4.1. By Type (in Value %)
- 4.1.1 B2C (Business to Consumer)
- 4.1.2 C2C (Consumer to Consumer)
- 4.1.3 B2B (Business to Business)
- 4.1.4 Social Commerce
- 4.1.5 Mobile Commerce
- 4.1.6 Subscription Services
- 4.1.7 Others
- 4.2. By End-User (in Value %)
- 4.2.1 Individual Consumers
- 4.2.2 Small Businesses
- 4.2.3 Large Enterprises
- 4.2.4 Government Agencies
- 4.3. By Sales Channel (in Value %)
- 4.3.1 Online Marketplaces
- 4.3.2 Brand Websites
- 4.3.3 Social Media Platforms
- 4.3.4 Mobile Apps
- 4.4. By Product Category (in Value %)
- 4.4.1 Fashion and Apparel
- 4.4.2 Electronics and Gadgets
- 4.4.3 Home and Living
- 4.4.4 Beauty and Personal Care
- 4.4.5 Food and Beverage
- 4.4.6 Health and Wellness
- 4.4.7 Household Consumables
- 4.5. By Payment Method (in Value %)
- 4.5.1 Credit/Debit Cards
- 4.5.2 E-wallets
- 4.5.3 Bank Transfers
- 4.5.4 Cash on Delivery
- 4.5.5 Buy Now, Pay Later (BNPL)
- 4.6. By Customer Demographics (in Value %)
- 4.6.1 Age Groups (Gen Z, Millennials, Gen X, Boomers)
- 4.6.2 Income Levels
- 4.6.3 Urban vs Rural
- 4.6.4 Shopping Frequency (Heavy, Moderate, Light Shoppers)
- 5. Vietnam E-commerce & Social Commerce Market Cross Comparison
- 5.1. Detailed Profiles of Major Companies
- 5.1.1 Tiki Corporation
- 5.1.2 Shopee Vietnam
- 5.1.3 Lazada Vietnam
- 5.1.4 Sendo (Sen Do Technology JSC)
- 5.1.5 FPT Retail
- 5.2. Cross Comparison Parameters
- 5.2.1 Gross Merchandise Value (GMV)
- 5.2.2 Revenue Growth Rate
- 5.2.3 Customer Acquisition Cost (CAC)
- 5.2.4 Average Order Value (AOV)
- 5.2.5 Active User Base (Monthly Active Users - MAU)
- 6. Vietnam E-commerce & Social Commerce Market Regulatory Framework
- 6.1. E-commerce Standards
- 6.2. Compliance Requirements and Audits
- 6.3. Certification Processes
- 7. Vietnam E-commerce & Social Commerce Market Future Size (in USD Bn), 2025–2030
- 7.1. Future Market Size Projections
- 7.2. Key Factors Driving Future Market Growth
- 8. Vietnam E-commerce & Social Commerce Market Future Segmentation, 2030
- 8.1. By Type (in Value %)
- 8.2. By End-User (in Value %)
- 8.3. By Sales Channel (in Value %)
- 8.4. By Product Category (in Value %)
- 8.5. By Payment Method (in Value %)
- 8.6. By Customer Demographics (in Value %)
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