Vietnamese retailers are increasingly turning to e-commerce

About 34 percent of companies in Vietnam are selling their products on social networks as more and more retailers are cooperating with big e-commerce firms to widen their businesses while ensuring cost savings, Viet Nam News Online reported on Wednesday.

Experts said that this is an unavoidable trend as e-commerce is strongly developing in Vietnam with many websites, mobile applications and social networks currently set up.

Many traders and shop-owners have also developed phone applications, according to a report of the E-commerce and Information Technology Department.

In 2014, the number of websites having phone applications was 15 percent and 21 percent a year afterward.

However, many small retailers cannot afford the investment in this new trend. So instead of pouring money into developing websites or mobile applications, the small traders choose to cooperate with big e-commerce companies as the latter will help them to manage and sell products on their platforms and marketplaces.

Currently, the biggest online-shopping company, Lazada has signed contracts with 40 retailers to distribute their products on their website.

Alexander Dardy, CEO of Lazada Vietnam, said the cooperation would help retailers to widen their distribution through the entire country, thanks to strong network.