Amazon Global Selling Vietnam has just released its 2023 Vietnam’s small and medium enterpirses (SMEs) Empowerment Report, detailing how the company’s investments, innovations and initiatives help SMEs across the country increase their product sales, build brands, and accelerate exports.
Vietnamese selling partners sold more products year-on-year in Amazon’s store and broadened their customer reach through increased export sales, according to the report.
This data signifies the powerful partnership between SMEs and Amazon, as well as the resiliency of entrepreneurs as they continue to successfully navigate and thrive in a challenging economic climate, said Amazon Global Selling Vietnam.
The report shows that, in 2023, Vietnamese selling partners sold more than 17 million products, an increase of 70% year-on-year. The most exported and sold categories from Vietnamese selling partners in Amazon’s store were home, kitchen, health and personal care, apparel and beauty.
According to Amazon, local companies are daring to branch out into niche products within their top-selling categories.
For example, Abera, a Vietnamese beauty brand, chose to specialize in niche market products. This start-up develops products using entirely new applications of natural ingredients focused on special treatment solutions. They always keep the customer at the forefront of product development and invested in brand cultivation early to gain customer recognition and loyalty.
Abera achieved over $1 million in revenue in less than a year on Amazon and increased its conversion rate by up to six times. This encourages local beauty brands to establish their own identities on the global stage and expand their product offerings to cater to global consumers.
50% export value growth
The report showed that thousands of Vietnamese businesses sold and exported their products through Amazon. In the 12 months, the number of Vietnamese selling partners selling on Amazon’s store increased by more than 40%.
These included established domestic retailers that have transformed to digital, like Lamer, which tailors their catalog to suit foreign tastes; traditional manufacturers that have differed their focus to B2C online exports, like Beefurni; and startups that have built their brands and launched on Amazon from the start, like Tidita and Abera.
These Vietnamese businesses not only prospered through e-commerce amidst challenges but also inspired locals to envision exporting their own brands and products directly to international consumers.
Selling in Amazon’s store has also enabled Vietnamese selling partners to revive local economic communities, create more jobs, and upgrade digital skills in the local workforce, which continues to fuel economic opportunities across the country. Overall, the export value of Vietnamese selling partners selling with Amazon increased by over 50% year-on-year. The number of Vietnamese selling partners surpassing $100,000 in sales on Amazon increased by 70%.
Gijae Seong, head of Amazon Global Selling Vietnam, said that small and medium businesses are the heart of our local communities and the backbone of the Vietnamese economy. During the last four years, Amazon Global Selling Vietnam has supported thousands of local enterprises to enhance the growth of businesses in Vietnam and equipped them to embrace changes and reach new heights in this new global environment during challenging times.