Market size: Vietnamese grocery delivery apps reached an estimated $1.5 billion in 2022.
Growth rate: The market is predicted to grow at a steady 20% annually between 2023 and 2025.
The Vietnamese grocery delivery app market is blossoming, projected to reach $2.5 billion by 2025, a 20% increase from 2022, according to Google and Temasek. This impressive growth stems from several factors:
User base: Over 30 million users are expected to embrace grocery delivery apps in Vietnam by 2025.
"Google Temasek e-commerce Vietnam 2023”
(https://www.temasek.com.sg/content/dam/temasek-corporate/news-and-views/resources/reports/google-temasek-bain-e-conomy-sea-2023-report.pdf)
E-commerce Boom: E-commerce is flourishing, creating opportunities for grocery apps to reach wider audiences. According to the Vietnam E-commerce Association (VECOM), Vietnam's e-commerce market reached $11.8 billion in 2022, with food and beverage holding a 10% share. (https://moit.gov.vn/en/news/latest-news/vietnam-s-e-commerce-forecast-to-surpass-us-11.8-billion.html)
Advantages of Vietnamese Produce Market: Vietnam's climate is ideal for growing diverse, seasonal produce. The Ministry of Agriculture and Rural Development reports over 2 million hectares of land dedicated to vegetables, yielding around 17 million tons annually. Furthermore, Vietnam boasts over 200 commonly grown vegetable varieties, offering rich seasonal selection. (https://www.mard.gov.vn/Pages/bao-cao-thong-ke.aspx)
Driving Forces:
Changing Consumers Behavior: The COVID-19 pandemic has fueled a growing demand for home-delivered groceries, especially from a young and tech-savvy population.