Which segments dominate Vietnam online marketing?
The online advertising market in Vietnam is currently in its growth stage thanks to the increased use of smart phones and higher internet penetration in the country of nearly 100 million people.
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Rising trend of using social media has resulted in mobile advertising that took a whole new meaning and changed the panorama of online advertising in Vietnam forever, according to market research and consulting company Ken Research.
Between 2013 and 2018, the online advertising market in Vietnam witnessed robust growth driven by innovative technologies to better understand the consumers’ needs.
Among five types of digital advertising namely banner, video, search, social media, and online classified and others, social media has the maximum market share due to the higher usage of social media for messaging, calls, online payments and many more activities.
Indeed, Facebook messenger and Zalo accounted for the maximum user penetration, followed by Instagram and Skype.
Video advertising ranks second in terms of market share in online advertising in Vietnam due to 99% video ad completion rate prevailing in the country.
Meanwhile, search advertising has seen a stable growth in the last five years whereas banner and online classified advertising have seen a slight decline in this period, reported Ken Research.
According to the Vietnam e-Business Index (EBI), social networks (47%) surpassed search engines (41%) to become the most-used online advertising tool by local businesses in 2016.
VnEconomy has reported that 54% of Vietnamese businesses spend part of their marketing expenses on activities on social media.
A report released in April 2018 by UK-based media company WeAreSocial showed that the Internet users in Vietnam hit 64 million while the country’s Facebook accounts reached 58 million, making it the world’s seventh largest Facebook community.
Facebook took the lead among popular social networks in Vietnam with 61%, followed by Youtube with 59%.
William Willems, regional vice president of Regus Southeast Asia, Australia, and New Zealand said social networks through their global survey have become one of major business tools.
Statistics by the Vietnamese Ministry of Information and Communications showed that roughly 360 domestic social networks have been licensed, according to VnExpress.
