DHL eCommerce starts domestic delivery services in Vietnam

From left to right: Malcolm Monteiro, CEO, DHL eCommerce Asia Pacific; Thomas Harris -- Managing Director, DHL eCommerce Vietnam; Charles Brewer -- CEO, DHL eCommerce

DHL eCommerce has launched domestic delivery services in Vietnam to help small, medium and large e-tailers and marketplaces increase their market share in the country’s rapidly growing e-commerce segment.

The Deutsche Post DHL Group division offers domestic delivery across Vietnam, managed by hubs and depots strategically located throughout the country, and a fleet of vans and motorbikes, along with air and road connections between hubs will support next-day delivery in Ho Chi Minh City, Hanoi and other primary markets.

DHL eCommerce chief executive officer, Charles Brewer says the Vietnamese e-commerce represents a huge but untapped opportunity, with total spending hitting $1 billion despite barely 50 per cent of the population being online.

He says: “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.”

Local e-tailers can assign shipments requiring cash on delivery through DHL eCommerce’s online portal, allowing for faster remittance and simpler management of shipment information.

DHL eCommerce Vietnam managing director, Thomas Harris says only 15 per cent of Vietnamese e-commerce shoppers paid online in 2016, but this combined with concerns about the hassle of returns and refunds has made growth challenging for local e-tailers.

He says: “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.”

DHL has operated in Vietnam since 1988 with its other divisions, DHL Express, DHL Global Forwarding and DHL Supply Chain.