According to a report by e-commerce data tracking firm Metric, sales revenue across Shopee, Lazada, Tiki, Sendo and Tiktok Shop totalled VND143.9 trillion, up 54.91 percent year-on-year.
Sales on TikTok Shop and Shopee increased by 150.5% and 65.9%, respectively. Other sites also saw double-digit growth.
“Amid economic uncertainty, most households are trying to save money, which is why consumers are prioritizing affordable products that fit their budget,” the report said.
TikTok Shop, which specializes in low-priced items and offers various discounts through livestreaming, has benefited from this trend, seeing a 240% increase in the number of items sold.
Beauty, women's fashion, home and lifestyle products were the top sellers.
Le Hoang Long of market research firm NielsenIQ Vietnam said the industry is changing as fast as it is growing, and merchants need to adapt quickly to new trends.
“Live streaming is [online sales] “This year and next year, the online environment will change dramatically in a short period of time,” he said at a recent event. “So, [for sellers] Always observe and keep up with upcoming changes.”
Despite the breakneck sales growth, the number of merchants on the top five e-commerce platforms fell 7.54% to 573,800, according to Metric data.
Merchants are facing increased competition as they have to offer discounts and lower prices during livestream sessions to attract customers.
With big brands and businesses expanding their online presence, the market is becoming more and more competitive.
In the past six months, market regulators have raided a number of online warehouses suspected of selling counterfeit goods and products of unverified origin.
In a document issued last month, the Ho Chi Minh City People's Committee said local market regulators were “particularly concerned” about violations by online businesses and livestreaming sellers.
