Don’t be afraid to shop for high value on the floor
According to Mr. Nguyen Phuong Lam, if in the early days of e-commerce, women were the dominant “force”, leading to the two main products of fashion and beauty, now, men are also showing their strength. your spending. Product groups that men buy a lot on e-commerce platforms include technology and electrical appliances, which grew more than 100% in the last 6 months of 2023 compared to the beginning of the year and are in the top 5 largest categories.
10 product groups with the strongest growth on Vietnamese e-commerce platforms in 2023. Source: YouNet ECI
It can be seen that gender and age of e-commerce shopping are shifting strongly. In addition, the group of essential goods – usually purchased through offline channels – is now also growing strongly on online channels. The diversity of habits, behaviors, and purchasing objects is a significant driving force for e-commerce development.
YouNet ECI representative pointed out that in the next 5 years, the growth momentum of e-commerce will continue to be maintained by two factors: Shopping for high-value items combined with shoppertainment (entertainment combined with shopping). Phones and vacuum cleaners are two clear examples of the first factor.
Specifically, in the fourth quarter of 2022, the average selling price of a phone on a genuine store on the e-commerce floor was 7.5 million VND but 12 months later it doubled to 15 million VND. In October 2023, when Apple opened selling iPhone 15 on the e-commerce platform, for 12 consecutive weeks, iPhone 15 Pro Max was the best-selling product. Meanwhile, vacuum cleaners or robot vacuum cleaners also have starting prices from 4 million VND to more than ten million VND.
It can be seen that e-commerce is not only for items priced at 1-2 million VND or less. The key to helping businesses solve the problem of convincing people to spend tens of millions of dong on e-commerce comes from the warranty and after-sales policy. Whether you buy online or offline, the services are of equal quality. If manufacturers place high-end products on e-commerce platforms, considering this as a strategic channel to reach buyers, the value of the products will not only be 2 million VND.
The remaining trend, shoppertainment, is also noteworthy. For example, in December 2023, an electric motorbike business teamed up with a KOL to sell on TikTok Shop and brought in much more revenue than other platforms. It shows that consumers are willing to embrace new product trends, not only watching livestreams to buy fashion items but also higher value items.