A woman browses an e-commerce website on her phone (Photo: VNA)Hanoi (VNS/VNA) - Online shopping and electronic payments in Vietnamhave become more common in recent years as more of the country's populationgains access to the internet, and e-commerce in the 95 million-strong market isset to enter a rapid growth phase in the near future, according to industryexperts.
Dao Duong Thanh, development director at Moca, a popular mobile payment firm inVietnam and partner of ride-hailing firm Grab, said more than 61 million peoplein the country access the internet through the mobile devices and spend as muchas three 3 hours and 12 minutes online daily.
Thanh said since his firm's partnership with Grab in 2018, Moca has built acashless regime for Grab's ecosystem, which covers not just rides, food andpackage deliveries but also other services such as electronic payments forutility bills and mobile phone top-ups.
By mid-2020, 43 percent of all transactions on Grab were classless, claimed Thanhas his firm observed a steady growth of users, indicating a shift in consumers'habit in favour of online, cashless payments.
Hoang Quoc Quyen, a PR executive from Tiki, a major e-commerce platform in Vietnam,said the development of 4G infrastructure, fibre optic internet technology andmore than 100 million registered mobile phone subscriptions in the country havelaid the foundation for the rapid development of e-commerce and electronicpayment.
A relatively young population quick to adapt to and adopt new technologies,coupled with one of the fastest-growing economies in the world, made Vietnam afertile ground for the digital economy, including e-commerce. Online shoppingnot only offers a faster and more convenient shopping experience but alsoreduces risks on the buyers' side compared to traditional cash-basedtransactions.
Despite these numerous advantages, however, e-commerce firms, especiallydomestic players, have been unable to realise the full potential of the marketto achieve faster growth, said Quyen.
He said the major shortcomings of Vietnam's e-commerce included a lack of soundpolicies to support the development of e-commerce firms, a mismatch betweene-commerce platforms and electronic payment systems and inadequate trust on theconsumer's side.
Quyen said among 4.5-5 million orders handled by Tiki on a monthly basis,online payments account for just more than 40 percent with the rest stillemploy cash-based transactions. This was a significant gap compared to ASEANcountries such as Indonesia and Malaysia, which average 85 percent.
Cao Xuan Quang from the competition and consumer protection department underthe Ministry of Industry and Trade said there is an urgent need for strongerpolicies to protect consumers as well as e-commerce firms.
Quang said violations in e-commerce activities are often complex and typicalcomplaints included the sales of goods that did not match their onlinedescriptions and the illegal collection and handling of consumer personalinformation.
He urged government agencies to quickly review and amend the country's Law onConsumer Protection and to create a level playing field for e-commerce andmobile payment firms./.
Dao Duong Thanh, development director at Moca, a popular mobile payment firm inVietnam and partner of ride-hailing firm Grab, said more than 61 million peoplein the country access the internet through the mobile devices and spend as muchas three 3 hours and 12 minutes online daily.
Thanh said since his firm's partnership with Grab in 2018, Moca has built acashless regime for Grab's ecosystem, which covers not just rides, food andpackage deliveries but also other services such as electronic payments forutility bills and mobile phone top-ups.
By mid-2020, 43 percent of all transactions on Grab were classless, claimed Thanhas his firm observed a steady growth of users, indicating a shift in consumers'habit in favour of online, cashless payments.
Hoang Quoc Quyen, a PR executive from Tiki, a major e-commerce platform in Vietnam,said the development of 4G infrastructure, fibre optic internet technology andmore than 100 million registered mobile phone subscriptions in the country havelaid the foundation for the rapid development of e-commerce and electronicpayment.
A relatively young population quick to adapt to and adopt new technologies,coupled with one of the fastest-growing economies in the world, made Vietnam afertile ground for the digital economy, including e-commerce. Online shoppingnot only offers a faster and more convenient shopping experience but alsoreduces risks on the buyers' side compared to traditional cash-basedtransactions.
Despite these numerous advantages, however, e-commerce firms, especiallydomestic players, have been unable to realise the full potential of the marketto achieve faster growth, said Quyen.
He said the major shortcomings of Vietnam's e-commerce included a lack of soundpolicies to support the development of e-commerce firms, a mismatch betweene-commerce platforms and electronic payment systems and inadequate trust on theconsumer's side.
Quyen said among 4.5-5 million orders handled by Tiki on a monthly basis,online payments account for just more than 40 percent with the rest stillemploy cash-based transactions. This was a significant gap compared to ASEANcountries such as Indonesia and Malaysia, which average 85 percent.
Cao Xuan Quang from the competition and consumer protection department underthe Ministry of Industry and Trade said there is an urgent need for strongerpolicies to protect consumers as well as e-commerce firms.
Quang said violations in e-commerce activities are often complex and typicalcomplaints included the sales of goods that did not match their onlinedescriptions and the illegal collection and handling of consumer personalinformation.
He urged government agencies to quickly review and amend the country's Law onConsumer Protection and to create a level playing field for e-commerce andmobile payment firms./.
VNA
