US retailer Boxed taps Vietnam market with Aeon partnership

U.S. e-commerce retailer and enabler Boxed has inked a deal with Aeon Vietnam to launch the former’s end-to-end software and services platform in the Vietnamese market by the end of 2022.

Announcing a memorandum of understanding to this effect Friday, Boxed said the deal would enable it and Japanese retail giant Aeon to expand their business partnership, launched in September for the Malaysian market, into Vietnam.

“Utilizing Boxed’s technology will be critical in supporting Aeon’s initiatives in developing its e-commerce and omnichannel capabilities throughout Vietnam,” it said.

“We are excited to build on the execution of our proprietary software and services platform by expanding our partnership with Aeon into Vietnam,” said Jared Yaman, co-founder and COO of Boxed. “This will be our first implementation not in English, further demonstrating our ability to execute in international markets.”

Boxed CEO Chieh Huang said: “Aeon has been a great partner for us in Malaysia, and we are beyond excited to replicate our e-commerce synergy in such a dynamic, growing economy as Vietnam, and potentially other strategic markets in the near future.”

The Aeon launched its first Vietnam mall, located in Ho Chi Minh City, in January 2014. It has gradually expanded in the Southeast Asian country, whose current population is approaching 100 million.

The Japanese giant in 2020 said it would invest $2 billion expanding its presence across Vietnam, eyeing a total 25 malls by 2025. Aeon Mall Vietnam CEO Nakagawa Tetsuyuki reconfirmed the target at a meeting with Hanoi Party chief Dinh Tien Dung in mid May this year. He said they would open an additional 16 shopping malls in the nation by 2025, including three or four in Hanoi.

Aeon has seven operational malls in Vietnam now: two in HCMC, three in Hanoi, and one each in Binh Duong and Hai Phong. Another two are in the pipeline in Hanoi.