Vietnam's rural population exceeds 63%, and online shopping demand is strong

Today, e-commerce is no longer an exclusive benefit for urban residents. With the penetration of the Internet and the popularization of smart phones, more and more residents in rural areas are enjoying the convenience brought by e-commerce.

Facebook and GroupM Vietnam conducted an annual consumer behavior survey , which showed that 46% of Internet users in Vietnam have joined online shopping, with an increasing number of rural consumers shopping online .    

It is reported that the population in rural areas currently accounts for 63% of Vietnam's total population and 60% of the country's gross domestic product (GDP). With a large number of people, purchasing power naturally increases , and rural online shoppers naturally become the target of many companies . From 2020 to 2025, it is expected that the average annual growth rate of commodity consumption will reach 7%, which is higher than the approximately 4% in urban areas .

The report shows that people living in rural areas are equally savvy in using technology products and digital services, with 92% of rural people using smartphones today, up from 84 % two years ago.

In addition, residents in rural areas spend an average of 149 minutes on the Internet every day , almost twice the time they spend watching TV ( 87 minutes) . Even in front of the TV, as many as 47% of consumers use their mobile phones to chat or surf the Internet.

We can see, therefore, that with the gradual spread of digitalization , consumer habits and behaviors have also changed.

On this issue , Google also released a report last year , highlighting the rise of rural digital consumers. Google said that although more and more urban residents are starting to shop online, e-commerce is also booming in rural areas . Vietnam's Internet penetration rate has increased a lot, through which we can see that more companies are targeting the huge potential of rural areas, and the future development will be very rapid.

Khôi Lê , head of Facebook's Vietnam market business unit , said : " There may be some problems in attracting more and more new consumers to the urban market due to the increasing competition among brands , but with the development of rural e-commerce, there are now more opportunities. "

Vietnam

E-commerce