1:45:32 PM | 2/2/2024
Amazon Global Selling Vietnam today released its 2023 Vietnam’s SMEs Empowerment Report, detailing how the company’s investments, innovations, and initiatives help small and medium-sized businesses across the country increase their product sales, build brands, and accelerate exports.
According to the report, Vietnamese selling partners sold more products year-on-year in Amazon’s store and broadened their customer reach through increased international export sales. This data signifies the powerful partnership between small and medium-sized businesses and Amazon, as well as the resiliency of entrepreneurs as they continue to successfully navigate and thrive in a challenging economic climate.
Amazon’s Vietnam’s SMEs Empowerment Report shows that during the 12 months ending on August 31, 2023, Vietnamese selling partners sold more than 17 million products in Amazon’s store. They collectively achieved more than 50% year-on-year export value growth through selling on Amazon, demonstrating the opportunity Amazon unlocks for small businesses across the country.
Below are 3 key takeaways from Amazon’s 2023 Vietnam’s SMEs Empowerment Report:
Vietnamese selling partners offered more products and increased the number of items sold on Amazon by 70%
Amazon’s Vietnamese SME Empowerment Report shows that, in 2023, Vietnamese selling partners sold more than 17 million products, an increase of 70% year-on-year. The most exported and sold categories from Vietnamese selling partners in Amazon’s store were: Home, Kitchen, Health & Personal Care, Apparel, Beauty.
This list reconfirms Vietnam’s long experience in producing and exporting key goods including furniture, handcrafted home decor, and garments. This year, the ongoing emergence of Health & Personal Care and Beauty, which have been rapidly growing in recent years, broadened the picture of flourishing online exports.
Local companies are daring to branch out into niche products within their top-selling categories. For example Abera, a Vietnamese beauty brand, chose to specialize in niche market products. This start-up develops products using entirely new applications of natural ingredients focused on special treatment solutions. They always keep the customer at the forefront of product development and invested in brand cultivation early to gain customer recognition and loyalty. Abera achieved over US$1 million in revenue in less than a year on Amazon and increased its conversion rate by up to six times. This encourages local beauty brands to establish their own identities on the global stage and expand their product offerings to cater to global consumers.
50% export value growth: Cross-border e-commerce paves the export way for Vietnamese businesses of all sizes and types
Thousands of Vietnamese businesses sell and export their products through Amazon. In the 12 months discussed above, the number of Vietnamese selling partners selling on Amazon’s store increased by more than 40%. These include established domestic retailers that have transformed to digital, like Lamer, which tailors their catalog to suit foreign tastes; traditional manufacturers that have differed their focus to B2C online exports, like Beefurni; and startups that have built their brands and launched on Amazon from the start, like Tidita and Abera. These Vietnamese businesses not only prosper through e-commerce amidst challenges but also inspire locals to envision exporting their own brands and products directly to international consumers.
Selling in Amazon’s store has also enabled Vietnamese selling partners to revive local economic communities, create more jobs, and upgrade digital skills in the local workforce, which continues to fuel economic opportunities across the country. Overall, the export value of Vietnamese selling partners selling with Amazon increased by over 50% year-on-year. The number of Vietnamese selling partners surpassing US$100,000 in sales on Amazon increased by 70%.
Vietnamese selling partners leveraged the power of Amazon’s new and improved tools, programs, and services to reach the next level of growth
Mr. Trung Bui, founder of TIDITA, the wooden kitchenware and home decor brand based in Binh Duong Province, said: “TIDITA's success formula can be summarized in three key elements: robust investment in R&D by utilizing Amazon's research tools such as Product Opportunity Explorer, long-term business thinking through early brand building on Amazon, and leveraging Amazon's available tools to enhance brand value. Amazon has really leveled the playing field and made success possible for anyone willing to put in the effort to learn and bring their product to market.”
LAMER, a fashion producer in Nam Dinh, has streamlined operations and saved costs while reaching out to customers worldwide through global selling on Amazon by adopting Fulfillment by Amazon (FBA). FBA allows selling partners to have Amazon provide the storage, picking, packing, fulfillment, and customer service for their orders. Thousands of Vietnamese selling partners took advantage of FBA. The number of Vietnamese selling partners that took avantage of FBA increased by over 70%, and their sales increased by over 80%.
Additionally, Amazon Seller University offers educational resource to help sellers learn how to succeed in Amazon’s store throughout their entire selling experience. Vietnamese businesses leveraged this educational offering to learn about global selling on Amazon and grow their businesses and brands internationally.
Mr. Gijae Seong, Head of Amazon Global Selling Vietnam, said: “Small and medium businesses are the heart of our local communities and the backbone of the Vietnamese economy. During the last four years, Amazon Global Selling Vietnam has supported thousands of local enterprises to enhance the growth of businesses in Vietnam and equipped them to embrace changes and reach new heights in this new global environment during challenging times. The 2023 Vietnam’s SMEs Empowerment Report depicts and celebrates the sustainable growth of Vietnamese entrepreneurs and manufacturers with cross-border e-commerce, and Amazon is excited to continue innovating and helping them grow into thriving success stories.”
To view the full 2023 Vietnam’s SMEs Empowerment Report, visit LINK.
T.H (Vietnam Business Forum)
Vietnamese
