Revenue from five largest e-commerce platforms reaches over $12 billion in 2024
Revenue from five largest e-commerce platforms reaches over $12 billion in 2024
Total sales on Shopee, Lazada, TikTok Shop, Tiki and Sendo last year were double that of 2023.
People in Việt Nam increasingly prefer to shop online rather than at traditional markets or supermarkets. — Photo vneconomy.vn |
A report by the e-commerce analytic platform Metric has shown that the total revenue of the five largest e-commerce platforms in Việt Nam reached VNĐ318.9 trillion (US$12.6 billion) in 2024, 37.4 per cent higher than 2023.
The 'Overview Report of the Online Retail Market in 2024 and Forecast for 2025' focuses on the five platforms: Shopee, Lazada, TikTok Shop, Tiki and Sendo.
Total sales were 3,421, up nearly 51 per cent from 2023.
Revenue was relatively low from April to June, but spiked in the last months of the year due to the Tết (Lunar New Year) holiday and other celebratory events. It nearly matched the forecast made by the Việt Nam E-commerce and Digital Economy Agency in 2023, which predicted that the total revenue of these five platforms would reach $12.4 billion in 2024.
However, despite the revenue growth, 165,000 shops left the platforms due to lacking new orders. In addition, about 31,500 foreign-owned shops were operating on the platforms, creating fierce competition with domestic companies.
Shopee’s Shop Mall and TikTok Shop were the most trusted platforms with nearly 70 and 181 per cent revenue growth last year, respectively, compared to 2023, according to Metric's report.
The Singapore-based platform Shopee imported more than 324 million products into Việt Nam last year, up 38 per cent compared to 2023, generating over VNĐ14.2 trillion (US$563 million) in revenue – up 43 per cent.
The surge in imported products was the result of the improved logistic systems between Việt Nam and other countries, which shortened delivery times and reduced the risk of goods being lost or delayed, the report suggested.
The platforms have also improved their return and exchange policies to protect customer’s rights, which reduced the risks when buying goods abroad.
Beauty, Home & Living and Women's Fashion were the top three categories which generated the highest sales for these platforms. However, Household Goods & Groceries had the most significant growth, at 76.3 per cent, the highest among all categories.
This trend highlights a clear shift in consumer shopping behaviour, as people increasingly prefer to shop online rather than at traditional markets or supermarkets due to convenience and fast delivery.
The rise of imported goods and changing consumer demands pose significant challenges for domestic businesses, according to the report. But it also opens new opportunities for goods quality improvement and fair competition.
Retailers need to be creative, flexible and ready to adapt to new trends in this dynamic e-commerce market, the report's authors insist.
