Vietnam has seen rapid growth in e-commerce in recent years, and demand for logistics services is growing commensurately. (Photo courtesy of J&T Express)In its E-commerce White Book 2021, the Vietnam E-Commerce and Digital EconomyAgency said Vietnam has the highest number of people shopping on e-commerceplatforms in the Southeast Asia region at some 49.3 million.
In the last two years, the country has seen both consumers and firms movingonline, it said.
Nguyen Ngoc Dung, president of the Vietnam E-commerce Association, said therehas been a boom in e-commerce since the pandemic began.
More than 70% of the population have access to the internet and nearly 50% shoponline, he said.
The online shopping boom has offered opportunities as well as challenges to thelogistics industry, which has to meet the surging demand for order fulfilmentand last-mile delivery, he said.
Delivery speed is a major factor affecting customer satisfaction and retentionin the fiercely competitive online market, and so online shops that providequality products and fast delivery gain an advantage.
There is also increased demand for transportation of specific or importedgoods, especially cross-border express delivery, according to logistics firms.
New consumer trends and the e-commerce boom require express delivery, shippingand forwarding firms to make adjustments to their business models andstrategies, they said.
Many have launched specialised services to meet the demands of various groupsof customers and embraced digital transformation to improve service quality andincrease customer satisfaction.
Delivery companies said the traffic infrastructure does not guarantee thedesired traffic speed, with the frequent congestion in both cities and oninter-provincial roads making it difficult for them.
This has no immediate solution and so firms seek ways to optimise orderprocessing time, they said.
Most online sellers require a last-mile delivery solution, and this hasstimulated growth, especially for express delivery services, they said.
In the last few years, delivery firms have actively linked up with thirdparties to offer integrated service packages and solutions to optimise sellers’operations and better meet customers’ demand.
J&T Express has, for instance, signed agreements with Pancake, Upos,Haravan, and Kiot Viet to enable sellers to track the entire shipping processand goods quality in each stage, and control the flow of goods in and out ofthe warehouse.
Phan Binh, its brand director, said the competitive challenge in today'sconstantly changing market is both a source of pressure and a driving force forexpress delivery businesses to improve themselves.
His company has stepped up investment in transit centres and the use oftechnology solutions in its management and operations.
Owning a network of 36 modern transit centres helps his company ensure thecirculation and transport of goods to consumers quickly and accurately, hesaid.
It has the ‘Track and Trace’ technology system which allows customers to updatethe status of goods, their order information or contact the carrier directly,he said.
Mobile applications and websites also make the delivery of goods easier, fasterand more efficient, he added./.
VNA
