Page 15 - Layout 1

Congratulations on Sweden National Day
COVER STORY

side of major cities, while users outside of and it is capable of shipping more than 80
major cities grew 40 per cent. On Consumer per cent of Lazada’s orders. The platform We also focused
Day on March 15, 33 million engagements will actively invest and introduce initiatives on strengthening
were recorded on Shopee’s social channels. to win over more and more users. our logistics system and
Last year, when Covid-19 appeared in many In the context of Covid-19 and under
cities and provinces around the country, it the impact of Industry 4.0, the development delivery services to support
saw a substantial increase in both traffic and of e-commerce has shortened the distance the rapidly-increasing
transactions. At the same time, it also noted between customers and businesses through scale and frequency of
rising demand for shopping and stocking a tap or a click of a mouse. Retaining
food, necessities, groceries, health-related customers and adding value to the expe- online shopping.”
items, personal hygiene products, and house- rience have become priorities for many
hold essentials. “We therefore worked closely players and Lazada is no exception. The Mr. Tran Tuan Anh,
with vendors, especially those involved in platform pioneered the implementation Executive Director of Shopee Vietnam
agricultural products, food, necessities, and of the “shoppertainment” model - shop-
healthcare, to ensure that we were able to ping combined with entertainment to ucts, selling over 500 tons of the latter last
meet the needs of our shoppers and increase satisfy and enhance the user experience. year. A representative told VET that customers
the variety of goods we offered,” Mr. Tran Mr. James Dong, General Director of have begun to use e-commerce for more
Tuan Anh, Executive Director of Shopee Lazada Vietnam and Thailand, said its essential needs, which also means their require-
Vietnam, told VET. “We also focused on ecosystem provides solutions to meet all ments regarding quality services are becoming
strengthening our logistics system and delivery the needs of brands, vendors, and con- more stringent. “In shopping for daily needs
services to support the rapidly-increasing sumers and is built on two key factors: online, customers want to receive their goods
scale and frequency of online shopping and advanced technological innovation and quickly and at low shipping cost, and expect
to meet the rising demand of consumers a modern and solid logistics system. high-quality, safe products with clear origin,”
during that period.” Tiki also witnessed outstanding devel- the representative added. “These are challenges
As online shopping becomes more com- opment in 2021. Last July - the peak of the that Sendo is constantly working on to satisfy
mon, businesses and consumers are relying Covid pandemic in Vietnam - its order customers.” Its strategy for the “new normal”
more heavily on e-commerce platforms numbers rose four or five-fold, and despite is to continually improve to meet the daily
for their needs. Shopee has continued to market constraints and obstacles it posted needs of customers while satisfying increasing
enhance the platform to make buying and double-digit growth. Covid-19 has had a requirements in service quality.
selling online more seamless, and to help major impact on shopping trends among
more users and businesses access the ben- Vietnamese consumers, according to a Tiki ISSUES TO ADDRESS
efits of e-commerce. representative. “Consumers have tended When it comes to challenges, logistics
Lazada Vietnam, meanwhile, recorded to shift their normal consumption habits is one of the greatest barriers facing Viet-
breakthroughs in scale in 2021 and invested to essential products and cut spending on nam’s e-commerce industry, according to
strongly in transport infrastructure and luxury items,” the representative said. “More- Tiki. “Logistics is the ‘backbone’ of the e-
technology. It has made sizeable invest- over, people bought more equipment to commerce industry,” its representative said.
ments in building a sustainable e-commerce work from home. This explains the high “If a country’s infrastructure is underde-
ecosystem through technology and logistics, growth in electronics such as laptops and veloped, it is challenging for e-commerce
the latter of which has been impressive. It webcams during the lockdown period.” businesses to provide customers with the
is also one of the priorities in its develop- Sendo, meanwhile, posted impressive best shopping experience.”
ment strategy, to ensure customers have growth in essentials such as fresh goods, The Sendo representative agreed that
the most optimal shopping experience, canned foods, and specialty agricultural prod- logistics and transportation exhibit many
weaknesses and are far from optimal, espe-
cially for essentials.
GMV IN SOUTHEAST ASIA’S INTERNET ECONOMY ($ BILLION) Also problematic is customers’ exploding
expectations. Most e-commerce platforms
Online media Online Travel Transport & Food
have recognized this challenge. The Tiki
E-commerce CAGR 20% representative pointed out that customer
expectations evolve every single day, and
retailers all over the world are continually
336 trying to build their reputation. In an era
where the experience matters, it is difficult
49% to meet customer expectations and gain
their loyalty since they are always seeking
the best services and the best products.
Similarly, Mr. Tuan Anh said consumer
needs are growing faster and becoming
174
more diverse, and they are now offered
more choices. “This has required that e-
117
99 commerce platforms ensure product diver-
sity to best meet user needs,” he added.
The Sendo representative also affirmed
the diversifying needs of Vietnamese peo-
ple in regard to the shopping experience,
2019 2020 2021 2025 which requires innovative and optimized
Source: Google, Temasek and Bain & Company e-commerce models.

www.en.vneconomy.vn JUNE 2022 | VIETNAM ECONOMIC TIMES | 13

2