According to the new “Winning Omnichannel – How to Grow in Today’s Retail Environment” report from Kantar Worldpanel, Vietnamese are rapidly adopting e-commerce channels. According to the report, the continued growth of e-commerce will be driven by the growing connectivity of consumers and retailers through smart phones.
Several Key Findings
• 95 per cent of urban households own at least one smartphone
• 60% of urban households are expected to buy fast moving consumer goods (FMCG) online by 2025 and will replace retail shopping time with recreational time
• 25% of consumers in the country’s four big cities shopped for FMCG items online during the past twelve months
Kantar Also Notes:
• Online will not completely replace physical stores during the next five or 10 years
• Consumers do not just move from channel to channel for FMCG shopping, but also have a growing tendency to shop a wider variety of channel
• Almost 50% of urban households use seven or more different shopping channels during a year.
• Retailers are establishing a variety of retail formats to meet shoppers wherever they are
• Digital technologies have speeded up the evolution of the retail industry and changed buying habits.
• In today’s chaotic world, consumers say they are looking for convenience in their daily lives
• Retailers - whether e-commerce or physical based need to provide differentiation from their competitors and can do so by specializing in certain products and / or by providing customization, personalization and meaningfulness.
Kantar also notes that new retail channels that are expected to be new channels for shoppers in Vietnam include cashierless / unmanned stores, click and collect with pick-up points, e-commerce designed solely for mobile formats and voice assistants.