On March 1st, the Ministry of Industry and Trade, in cooperation with e-commerce platform Alibaba.com, organized a conference “Strategic Direction of Business on Digital Platforms in VUCA Period (a “multipolar” world with 4 elements: volatility, uncertainty, uncertainty, complexity and ambiguity).

EXPORT PROSPECTS EVEN BETTER

At the conference, Dr. Nguyen Dinh Cung, former director of the Central Institute for Economic Management (CIEM), said Vietnam’s economy has seen a continuous decline in industrial output for many months, and the first two months of 2023 also fell sharply.

Exports were the main driver of growth, but for the first two months of the year they fell 10% and imports fell 16%. However, Vietnam’s exports are expected to grow by 6% in 2023 – opening up new business prospects for companies.

Mr. Roger Luo, director of Alibaba.com Asia Pacific, also assessed that Vietnam’s export prospects to major markets in 2023 are generally good despite many challenges.

Import and export data of Vietnam in recent years show remarkable growth. Typically, Vietnam’s import-export turnover will reach more than USD 700 billion in 2022, a quadrupling in the last 10 years. In the next 2 years (2023-2024) this number is expected to increase slightly.

The Alibaba representative said that Vietnamese goods are at the forefront of global purchasing demand, and more and more foreign purchasing partners are willing to consider Vietnam as the top choice for purchasing.

Products from small and medium-sized enterprises in Vietnam are always valued for the quality of the finished products, export capabilities, as well as customer care.

Also, according to current data from Alibaba, 50% of exporters from Vietnam are at KA level (high star exporters). This shows the trend towards ever deeper investments by Vietnamese exporters in e-commerce.

However, Mr. Nguyen Dinh Cung also pointed out that the Vietnamese economy is facing many difficult challenges, which require appropriate preparation steps by export companies.

These include new business models, especially e-commerce, which need to be used more. This is also an effective solution to reduce costs and overcome current difficulties.

Mr. Vu Ba Phu, director of the Department of Trade Promotion, said that 2023 is a crucial year for the successful implementation of the 2021-2025 economic development plan. The goal of digitization of advertising activities is to promote trade, promoting the application of information technology and digital transformation in the promotion work is an important content in the policy of building a digital government, digital economy and digital society.

In addition to the efforts of the authorities, companies must also proactively understand information, mechanisms and guidelines, market research and partner evaluation.

In addition, it is necessary to focus on improving and controlling product quality, competitiveness and compliance with import market regulations. Coordinate with trade facilitation organizations to develop plans and participate in the implementation of trade facilitation activities to seize opportunities in the market, especially in free trade agreement markets.

INCREASE INVESTMENT IN DIGITAL TECHNOLOGY APPLICATIONS

According to Alibaba.com’s “Digital B2B Prospects 2023” market report, more than 50% of companies choose to try their hand at e-commerce or digital and expand their sales channels to “survive” in the digital world.

Not without this trend, many Vietnamese companies have increased their investments in applying digital technologies, enhanced export capabilities, cross-border sales skills, product research and development, and brand building to help them achieve their goals.

Alibaba.com Vietnam Market Development Director Vu The Tung, representative of e-commerce platform Alibaba, added that 2023 is expected to be a challenging year for Vietnamese businesses.

Therefore, Alibaba.com focuses on improving service quality to connect exporters and importers and provide information about market tastes to increase efficiency when companies choose to do business through the Internet.

However, in order to successfully export via e-commerce, Mr. Tung recommended that companies engaging in e-commerce must clearly identify resources such as human and financial resources in order to make the right investments and win.

After participating in exporting via Alibaba, Mr. Duong Khanh Toan, International Business Development Manager, Me Trang Coffee admitted that e-commerce is the most economical business channel in the market today.

But to be successful, companies need to shift their mindset to exploit the Alibaba floor and build buyer confidence on the floor so buyers know they’re dealing with a competent seller. This requires investing, updating the software, the company’s account has been identified by a third party, the images and content provided on the account must be verified… “Like So buyers will believe,” Mr Toan shared.

Me Trang Coffee will upgrade the highest account in 2023, continue to maintain the sustainable foundation of the account, build an ecosystem for Alibaba.com, invest in Ads Keyword, sponsored keywords… expects Alibaba revenue to triple and export markets to be expanded to Europe and the Middle East, improving ROI.

In addition, Mr. Roger Lou emphasized that in order to be successful on the platform, sellers must have good negotiation skills and a clear national origin. Also, there is a need to invest in running the platform, improving the personalized experience and video marketing… helping sellers reach more customers and more orders.