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This is a phenomenon no one has imagined for a while, however, for B2C borderless sales (business to customers in English or from business to customer in French), B2B (Action to Action or from company to company), it has been a long time since it was necessary to have physical stores abroad. An international online selling site is enough to establish itself in foreign markets and serve customers there at lightning speed.
Customers tend to buy more and more products from abroad
the borders of their country. Photo: VNA / CVN
You can reach people who are just a click away from your products, and indeed the opportunities for growth in cross-border e-commerce are enormous. Traders offering specialized products are known to bet on cross-border e-commerce. In the domestic market, the potential is exhausted faster and new markets have to be conquered. It often happens that the product is more successful abroad than in the domestic market. With the Internet, distance is no longer a constraint. Today, a very small company can compete with a large company.
The competition is now global. Conquering new customers around the world becomes easier. With just one click, consumers can place an order directly with the product. However, for the development of cross-border online commerce, it is not enough to dematerialize administrative procedures and digital transformation of companies.
Exports rise through Amazon and Alibaba
In accordance with the E-Commerce Development Plan 2021-2025 and the National Program for Digital Transformation by 2025, the ECVN platform has been established by the Ministry of Industry and Trade. Its goal is to promote cross-border e-commerce by connecting Vietnamese exporters and foreign importers. These devices were approved in May 2021 by Prime Minister Pham Minh Chinh with the aim of making e-commerce a leading sector of the national economy. All that glitters is not gold in cross-border e-commerce. The orgasm may be at its peak, but this type of business is complex and often underestimated. Because, unlike domestic e-commerce, it faces very real limits and, therefore, import provisions, laws, and risks that vary according to the country of destination.
Recently, the Ministry of Industry and Trade launched several measures to boost exports through e-commerce. With Amazon (USA) e-commerce platform, Vietnamese companies can reach customers in large and demanding markets, such as North America, Japan or the European Union… Companies that want to increase their sales on Amazon should understand this. This is an urgent requirement.
After more than a year of presence on Amazon, the sales volume of Vietnamese companies has reached only one million dollars, which is a relatively modest number, especially in the context where Vietnam has a wide range of agricultural, food and furniture products … according to GijaeSeong, Amazon country manager Global Selling in Vietnam, there are more and more products Made in Vietnam on amazon such as home appliances, fashion accessories, kitchen gadgets, home accessories… which are highly praised by customers, thanks to their high quality and competitive prices. In addition, medical masks, gloves, and protective clothing are also three important product groups that Amazon works with manufacturers.
Ample opportunities and possibilities
Amazon sellers in Vietnam have over 100,000 members. This platform assessed that Vietnamese sellers were very successful and constantly increased sales of items such as women’s and children’s clothing, home and office decoration products, wooden handbags, 3D cards, and paperboard. “Vietnam is a country with huge opportunities and potential. That is why Amazon has invested heavily in it and has grown steadily in recent years. This country has strengths in manufacturing industries and a large number of suppliers with professional business plans.”Eric Broussard, Amazon Global Sales Director commented.
|Cross-border e-commerce encourages the expansion of export markets for Vietnamese companies. Photo: VNA / CVN|
There are more and more Vietnamese companies securing new export orders with the support of Amazon and Alibaba (China). To effectively operate the online export channel, since 2019, the Ministry of Industry and Trade has been cooperating with major e-commerce groups. So far, more than 1,000 companies have been registered for training, and more than 300 companies have been involved in export consulting activities and improving e-commerce capabilities.
Director generalalibaba.comZhang Kuo hopes that by cooperating with partners in Vietnam and around the world, by 2024, Alibaba can reach a total transaction value of more than 100 billion US dollars, supporting more than 10 million small and medium-sized enterprises from all over the world and more than 10,000 A supplier from Vietnam is operating commercially on its platform.
global market trends
alibaba.com Comments on global market trends and forecast potential export products for Vietnamese SMEs in the report “Overview of B2B Digital Transformation in Vietnam in 2022“. The report identifies regions that experienced strong growth during and after the COVID-19 pandemic. These are the energy, metals, mining, office equipment and pharmaceutical sectors. Through the survey, this platform has highlighted two potential sectors where Vietnamese SMEs should seize opportunities. The first is cultivation with three groups of products: cooking oil, nuts, seeds, seeds and tubers. The second is beauty and personal care.
alibaba.com It also lists the three best-selling product groups: hair extensions, wigs, and makeup and skin care products and tools. Third place went to Home and Garden.
According to this platform, the best-selling products in this category are food and kitchen ware, pet products, and garden tools.