The Struggle of Small Sellers in Vietnam's Booming E-commerce Market

In the bustling streets of HCMC, Tuan Anh, an office worker turned online T-shirt seller, represents a growing concern among small vendors in Vietnam. Despite the e-commerce market's rapid expansion, individuals like Tuan find it increasingly difficult to compete. "The only way to sell is by running ads, which is not possible for small vendors like me who lack funds," he shared with VnExpress.

A Market Dominated by Giants

The first half of the year saw an 80,000 drop in e-commerce vendors with at least one order, as per Metric. The competition is fierce, with large sellers and official brand stores capturing the lion's share of sales. Shop malls, though only 3.4% of shops, accounted for 28.7% of sales on platforms like Shopee and TikTok Shop.

The Challenges Ahead

Small sellers face numerous hurdles, from high marketing costs and rising platform fees to stricter regulations on product quality. Nguyen Phuong Lam from YouNet ECI notes, "With the pressure of rising platform fees, many small, unprofessional or under-invested sellers are forced to exit the market."

Looking Forward

Despite these challenges, the e-commerce market in Vietnam is expected to grow, with projections showing a 21.6% sales increase by the third quarter of 2025. However, success in this evolving market will require serious investment in branding, service quality, and adherence to new regulations aimed at ensuring product quality and transparency.