On the heels of announcing our partnership with Teezily to provide local bank transfers in Vietnam, we’re dedicating our latest country spotlight to its recent prominence in both the gig economy and e-commerce markets.
Entrepreneurship & the Gig Economy
According to Approved Index, a UK based business group which has created an index of the rate of entrepreneurships, Vietnam ranks 5th globally, with 13.3% of the population being self-employed – Historically that number would have been generated from the street stalls that Vietnam is known for, but that trend is changing due to the gig economy.
Manpower Group, a talent solutions group based in Minnesota, notes that in 2017, 43% of Vietnam’s workforce can now be considered informal, and associates much of this to the gig economy and Vietnam’s growing reputation as an emerging market for skilled gig workers. Further growth is expected, making Vietnam a likely candidate to be the first APAC market to cross the 50% threshold.
E-commerce on the rise
According to Export.gov, a collaboration between the US Department of Commerce’s International Trade Administration and 19 government agencies to support US businesses, the e-commerce market in Vietnam has made great progress in recent years. Export.gov’s Vietnam country profile highlights an effort by businesses to reduce transaction risks and expand into larger markets and an increased number of internet users, almost 54 million in 2016, as some of the key factors for this growth.
Referencing a 2016 survey by Vietnam E-Commerce and Information Technology Agency (VECITA), Export.gov offers a few highlights:
- 32% of businesses in Vietnam have established their business relationship with foreign partners through online channels
- 11% have joined an e-commerce /platform
- 49% own a website
The profile notes that while face-to-face negotiations are preferred, online is acceptable and that e-commerce platforms such as Alibaba and Amazon are becoming more popular as a supplier source.
The Transpay Edge
Our local bank transfer network is the result of 30 years of relationship building on our part. We offer same-to-next day transfer of payment, in US Dollars or Vietnamese Dong, directly to local bank accounts. Transpay can help you reach this important and emerging market quickly and cost effectively, ensuring your payees get paid right to their bank accounts!