DHL eCommerce has launched its nationwide domestic delivery operations in Vietnam offering a range of services tailored for the booming e-commerce sector including next-day delivery in Ho Chi Minh, Hanoi and other primary markets.
The service will help small, medium and large e-tailers and marketplaces increase their share amidst the rapidly growing Vietnam e-commerce segment, estimatated to be growing by 23 per cent between now and 2020.
“The Vietnamese e-commerce market represents a huge and relatively untapped potential for local retailers, e-tailers and marketplaces: in 2016, total e-commerce spending hit US$1 billion despite barely over 50 per cent of the population being online,” said Charles Brewer, CEO, DHL eCommerce. “With e-commerce spending expected to grow at around 23% per year between now and 2020, local e-tailers need scalable, high-quality logistics solutions with nationwide coverage more than ever before.”
DHL’s domestic delivery network is comprised of hubs and depots strategically located throughout the country and with DHL eCommerce’s fleet of vans and motorbikes, coupled with regular air and road connections between its hubs, will support next-day delivery in Ho Chi Minh, Hanoi and other primary markets.
“Our new domestic delivery service brings to Vietnam DHL’s extensive experience in designing comprehensive logistics networks, coupled with tailored e-commerce solutions to tackle some of the most pressing roadblocks to e-commerce growth,” added Brewer, “With e-commerce, consumers are increasingly expecting greater choice, convenience and control in their delivery experience and we aim to deliver a smile in the last mile by providing an amazing and customer-centric delivery solution.”
When using the network, local e-tailers can easily assign shipments requiring cash on delivery service through DHL eCommerce’s online portal, allowing for faster remittance and simpler management of shipment information. Consumers will also be able to open, check and return goods at the point of receipt thanks to DHL’s Open Box, better aligning the online shopping experience with their preferred purchasing habits.
“Only 15 per cent of Vietnam’s e-commerce shoppers paid online in 2016, making cash on delivery a must-have feature for e-commerce to succeed. That, combined with concerns about the hassle of returns and refunds, has made growth an uphill battle for many local e-tailers,” said Thomas Harris, managing director, DHL eCommerce Vietnam.
“We recognise that having a fast and reliable delivery service won’t solve these issues alone, which is why we’ve tailored our nationwide network to seamlessly handle cash payments with next day cash remittance and returns to take the burden off local e-tailers so they can fully focus on growth and customer experience.”
In line with the recent DPDHL Group announcement to reduce all logistics-related emissions to zero by 2050, DHL eCommerce has begun deploying the use of electric motorbikes in its domestic delivery operations in Vietnam. The current fleet of vehicles includes a range of electric motorbikes and the company will be exploring plans to roll out more as part of its GoGreen commitment.
“Practical innovation lies at the core of our domestic delivery networks all around Southeast Asia, and Vietnam is no exception with its fleet of environmentally friendly electric motorbikes already in action on the streets,” added Thomas Harris, managing director, DHL eCommerce Vietnam.
“Coupled with advances in technology, we are optimistic that environmentally-friendly delivery methods such as electric vehicles will be the future of domestic B2C delivery and we’re pleased to be able to introduce this into Vietnam.”
DHL has been active in Vietnam since 1988 with its other divisions DHL Express, DHL Global Forwarding and DHL Supply Chain. DHL eCommerce focuses on three main product pillars: First and last mile delivery or domestic delivery in selected markets; simple and affordable cross-border international shipping for e-commerce businesses; and fulfillment solutions through a global fulfillment network across US, Mexico, Hong Kong, India, Australia and Europe.