Home and kitchen among top-selling categories for Vietnamese merchants on Amazon
Home and kitchen among top-selling categories for Vietnamese merchants on Amazon
The home and kitchen segment has consistently ranked among the top-selling categories for Vietnamese selling partners on Amazon over the past three years, according to the e-commerce giant.
Many Vietnamese companies have thus tried their best to compete and thrive in e-commerce. |
The furniture and home decor category witnessed remarkable growth from 2020 to 2022, according to Amazon.
Within this category, a significant portion is represented by expansive wooden furniture items, including chairs, bed frames, shelves, indoor and outdoor wooden flooring, and various other products.
This sector is characterized by the prevalence of various major manufacturers.
Newly established Vietnamese brands, operating on a smaller scale with limited financial resources, encounter difficulties in competing not just with other domestic brands in the U.S., where the total e-commerce value for furniture and home decor reached US$145.56 billion in 2022, but also contend with foreign suppliers from nations like China and Mexico.
These global competitors often possess cost and transportation advantages, presenting additional challenges for the smaller Vietnamese brands.
Many Vietnamese companies have thus tried their best to compete and thrive on the e-commerce platform.
"Amidst a sea of opportunities, one can either be overwhelmed and submerged, or carve out a unique path," said Trung Bui, founder of TIDITA, a Vietnamese wooden kitchenware company in Binh Duong Province, just outside Ho Chi Minh City.
In 2017, during the initial stages of the business, Trung faced challenges due to a constrained budget and a mismatch between product offerings and market demand, resulting in losses and stagnation.
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| Trung Bui, founder of TIDITA, a Vietnamese wooden kitchenware company in Binh Duong Province, just outside Ho Chi Minh City, gestures while discussing business with his staff. |
Nevertheless, through the use of Amazon tools to gain a deeper understanding of the market and customer needs, Trung's business has gradually overcome these obstacles and achieved success, logging over threefold growth in sales during the past few years.
“By harnessing abundant local raw materials and a skilled workforce, we, along with other Vietnamese businesses, possess the capability to compete on par with major global suppliers through our reputable brands and high-quality products,” Trung said.
“In my observations, many Vietnamese entrepreneurs demonstrate a flexible mindset, understanding their capabilities and market appetite, allowing them to adeptly identify and address market gaps.”
Trung recognized the importance of identifying a smaller, underexplored product niche with growth potential, leveraging Vietnam's manufacturing capabilities.
Utilizing Amazon's Product Opportunity Explorer, he analyzed genuine customer demand and pinpointed the upward trend of vintage-style home decoration products in recent years.
In light of these findings, he opted to specialize in kitchen household items with 'home décor' applicability, making an international debut on Amazon.
His business has not only increased sales but also bolstered competitiveness with high-quality products meeting international preferences.
This solidifies the position of Vietnamese wooden products globally, enhancing the recognition of the Vietnamese brand.
The synergy of Vietnam's manufacturing prowess, global consumer needs, and the firm's brand building effort offers valuable insights for Vietnamese sellers in navigating cross-border e-commerce successfully.
