Ho Chi Minh City and Hanoi’s startup industries are booming at the moment and show no signs of slowing. This is especially true for tech startups; with its affordability and thriving startup communities, Vietnam provides the perfect environment for entrepreneurs and the country has gained increasing foreign interest.
So what parts of the tech industry have been successful lately?
E-Commerce: Rural areas have improved in their internet access, allowing a large number of consumers to shift their shopping to the digital sphere. This has created high demand for the e-commerce industry, particularly in the travel sector, which was worth US$3.5 billion in 2019. As for consumer goods, the electronic and fashion industries had the most success. However, while these industries have experienced success due to their exclusive nature, more niche markets, precisely because of their specific target markets, have also prospered. E-commerce has rapidly become a need for any industry, making it a prosperous start-up area.
SaaS: Known as Software as a Service, SaaS has received huge attention in recent years, with investors funding US$1.3 million for the Vietnamese platform Base in 2018. SaaS is a cost-effective solution for SME businesses that cannot invest in installing and maintaining software, but is also popular with larger organisations. The increasing demand has resulted in an estimate of the Vietnamese cloud service market’s growth from US$165 million in 2019 to US$291 million by 2024. If you have a unique SaaS design to offer, now is the time to go to Vietnam!
AI: While AI is not currently as successful as the above two aspect of the tech industry, it holds huge potential. The country has produced some of the world’s most qualified computer scientists, and their computer science students are some of the world’s best and brightest. The only things holding it back appear to be a lack of resources, but this can be easily managed through our International Trading Consultancy Plan.
Whether you are a burgeoning startup or an established business that wants to take advantage of the growing tech industry, our on-site staff can help you set up and navigate the Vietnamese business world. Contact us here for more details.