Amazon to set foot in Vietnamese e-commerce market

 

On March 14, the representative of Amazon will announce the detailed strategy of the American giant in Vietnam.

Amazon’s development strategy will be revealed at the Vietnam Online Business Forum, which will be held first in Hanoi and then in Ho Chi Minh City. The forum will include discussions on online shopping trends, tax management, and new technologies.

Amazon is set to join Vietnam’s fast-growing retail market this month by opening up its platforms to local small- and medium-sized enterprises.

The US giant is expected to sign a deal with the Vietnam E-Commerce Association at the Vietnam Online Business Forum in Hanoi on March 14. The deal was discussed at a meeting late last year between the association and Amazon, according to Brand Finance Global Ranking.

The Vietnamese e-commerce market grew by 25 per cent last year and is expected to maintain its growth in the next three years, according to the association. Revenue from online retail is forecast to hit $10 billion by 2020, accounting for 5 per cent of the country’s retail market. The thriving market has attracted global giants.

Last November, Chinese e-commerce conglomerate Alibaba signed an agreement with the National Payment Corporation of Vietnam (NAPAS) that will allow Chinese tourists to use the latter’s online payment platform when in Vietnam.

The deal came quickly after Alibaba founder Jack Ma visited Hanoi and spoke at a prominent e-payment forum. Alibaba made a regional expansion push in 2016 by spending $1 billion on a controlling stake in Singapore-based online retailer Lazada, which also operates in Malaysia, Indonesia, the Philippines, Thailand, and Vietnam.

VIR