VIETNAM

DIGITAL LANDSCAPE Q3/2015

BY MOORE CORPORATION
TABLE OF CONTENT

3 VIETNAM IN A GLOBAL CONTEXT

4 - 9 VIETNAM DIGITAL MARKET OVERVIEW

10 - 16 VIETNAM INTERNET USER BEHAVIOR

17 - 22 VIETNAM ONLINE VIDEO

23 - 31 VIETNAM MOBILE

32 - 36 VIETNAM SOCIAL NETWORK

37 - 44 VIETNAM E-COMMERCE
In the world: In Asia:
Population: 14th Internet Users: 7th
GDP Growth Rate: 2nd Digital Access Index: 0.31
Internet Penetration Rate: 48% Smartphone Users: 15th

01 VIETNAM IN GLOBAL CONTEXT

3
02 VIETNAM DIGITAL MARKET
OVERVIEW
4
 INTERNET USERS

PERCENTAGE OF INTERNET USER OVER POPULATION

60%
47.8%
50%

43.8%
39.3% 40.2%
40% 34.8%
30% 26.5%
30.8%
24.5%
21.0%
20% 17.6%
13.0%

10%
4.0%
0.3%
0%
2000 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015

With signicant growth over years, in 2015 Internet Users account for 48% Vietnam Total Population

Source: Accumulated by Moore, 2015 5

Base: Total Population
 CHANGES FROM 2005 TO 2015

VIETNAM CHANGES FROM 2005 TO 2015

100
92.0
90 82.4
80
70
60
Millions

50 43.9 2005
40 2015
29.3
30
20 12.9
10
0
0
POPULATION INTERNET USERS MOBILE 3G

Besides the sharp increasing of Internet User, Mobile 3G remarked with meaning
growth in 2015 compared with 2005. Mobile now has more power than ever.
6
Source: Accumulated by Moore, 2015
 DEVICE PEOPLE USE
DEVICE USED IN 2014 AND 2015
100% 93% 93%
90%
80%
52%
70%
60% 55%
50% 44% 46%
40% 36%
140%
30% 100%
20% 12%
8%
10% 4% 5%
0%
Internet TV Tablet Smartphone Computer Mobile Phone
2014 2015

Moving screen such as Smartphone and Tablet prove the highlight expansion from year to year,
in which remarkably change peoples behavior in Media consumption.
Source: Google, 2015 7
Base: Total Population
 TIME SPENDING ON INTERNET (TSOI)
7
6.3
6 5.5
5.1 5.2 5.2
5 4.7
4.1
3.9
4 3.7
3.3 3.2
3 2.7 2.6
2.3
2

0
Thailand Malaysia Philippines Indonesia Vietnam China Singapore
PC - TSOI Mobile - TSOI

At average, Vietnam Internet User spends about 5.2h on PC and 2.7h on Mobile
8
Source: GlobalWebIndex, Q4.2014
 ADVERTISING REVENUE

ESTIMATION VIETNAM ONLINE ADVERTISING REVENUES IN 2014

3% 4%
5%

Facebook
8%
Google
42% Admicro
11% FPT
24H
VNG
Other
27%

70% total online advertising revenue in Vietnam belongs to Google and Facebook
9
Source: Moore Estimation 2014
03 VIETNAM
INTERNET USERS BEHAVIOR

10
 ONLINE ACTIVITIES
ONLINE ACTIVITIES OF 18-24 YEAR OLD USERS

Purchase products 8%
3%
Look for product information 31%
16%
Check email 28%
25%
Online games 46%
27%
Listen to music 60%
41%
Search engines 69%
46%
Online videos 68%
48%
Social networks 76%
50%
0% 10% 20% 30% 40% 50% 60% 70% 80%
Smartphone Computer

Young People (18 24) spend most of time on connecting, entertaining or learning something new.
Moreover, they join in online activities mainly by their smartphone.

Source: Google, 2015 11

Base: Vietnam Internet User
 ONLINE ACTIVITIES
ONLINE ACTIVITIES OF 25-34 YEAR OLD USERS

Purchase products 7%
2%
Online games 31%
22%
Look for product informaNon 26%
23%
Check email 32%
30%
Listen to music 46%
36%
Online videos 63%
46%
Search engines 65%
47%
Social networks 72%
48%
0% 10% 20% 30% 40% 50% 60% 70% 80%
Smartphone Computer

Social Network still be the main platform Internet User jump in besides Search and Online Video.
Smartphone seems being their must have screen
Source: Google, 2015 12
Base: Vietnam Internet User
 ONLINE ACTIVITIES
ONLINE ACTIVITIES OF 35-44 YEAR OLD USERS

Purchase products 4%
3%
Online games 18%
16%
Look for product information 21%
18%
Check email 20%
24%
Listen to music 38%
35%
Online videos 54%
46%
Social networks 50%
50%
Search engines 59%
51%
0% 10% 20% 30% 40% 50% 60% 70%
Smartphone Computer

Internet User at 35-44 years old spend online time the most on Search Engines, besides Social
Network and Online Video, especially via their smartphone.
Source: Google, 2015 13
Base: Vietnam Internet User
 ONLINE ACTIVITIES
ONLINE ACTIVITIES OF 45-54 YEAR OLD USERS

Puchase products 4%
3%
Online games 12%
8%
Check email 7%
11%
Look for product informaNon 16%
12%
Listen to music 28%
19%
Social networks 37%
23%
Online videos 34%
33%
Search engines 29%
35%
0% 5% 10% 15% 20% 25% 30% 35% 40%
Smartphone Computer

Among digital late adopter generation (45 54), they use computer to access to the Internet
more often than smartphone. But smartphone still be the main device in some activities,
especially Visiting Social Network
Source: Google, 2015 14
Base: Vietnam Internet User
 MEDIA ACTIVITIES
DEVICE ACCESS BY TIME OF DAY
40%

35%

30%

25%

20%

15%

10%

5%

0%
Before 9am 9am - Before 12pm - Before 2pm - Before 4pm - Before 6pm - Before 8pm - Before 10pm Onwards
12pm 2pm 4pm 6pm 8pm 10pm

Desktop Laptop/Notebook Mobile Phone Tablet

Prime Time for advertising is 8PM-10PM - the peak time for using Laptop and Mobile Phone
15
Source: Nielsen, 2014
 MEDIA ACTIVITIES
ONLINE ACTIVITIES BY TIME OF DAY
45%

40%

35%

30%

25%

20%

15%

10%

5%

0%
Before 9am 9am - Before 12pm - Before 2pm - Before 4pm - Before 6pm - Before 8pm - Before 10pm Onwards
12pm 2pm 4pm 6pm 8pm 10pm

Social Media Online News Online Video (+ Internet TV) Online Shopping

Prime Time for advertising is 8PM-10PM - the peak time for jumping in Social Media, Online Video,
even Online Shopping
16
Source: Nielsen, 2014
03 VIETNAM ONLINE VIDEO
17
 ONLINE VIDEO ACTIVITIES
POPULAR SOURCE OF ONLINE VIDEO (IN PAST 12 MONTHS)
(Not include on Facebook)

YouTube 90%
24h.com.vn 60%
dantri.com.vn 40%
kenh14.vn 38%
clip.vn 37%
vietnamnet.vn 24%
soha.vn 18%
vnexpress.net 5%
nhaccuatui.com 4%

0% 20% 40% 60% 80% 100%

In 2015, dantri, kenh14 and clip.vn dominated as main platform besides Youtube
in which people consume Online Video
Source: Nielsen, 2014 18
Base: Vietnam Internet User who watched online video
 ONLINE VIDEO ACTIVITIES

FREQUENCY OF ONLINE VIDEO WATHCHED

Daily 42%

Weekly 36%

Monthly 10%

Never 8%

Less than once a month 3%

0% 5% 10% 15% 20% 25% 30% 35% 40% 45%

Internet User behavior is now changing sharply.

They usually watch online video instead of TV more than ever before
Source: Google, 2015. 19
Base: Vietnam Internet User who watched online video
 ONLINE VIDEO ACTIVITIES
FREQUENCY OF ONLINE VIDEO WATHCHED IN DETAIL

70
60
60

50

40 38

30 27 26

20 17
12
9
10 4 4
0 2 1
0
Daily Weekly Monthly In past 12 Not in past Never done
month 12 month
Downloading Video Streaming Video

Streaming Video tend to be dominated than Downloading Video

20
Source: Nielsen, 2014
 ONLINE VIDEO ACTIVITIES

ONLINE VIDEO WATCHEDS MOTIVATION

To relax/escape 67%

To be entertained/inspired 65%

To learn something new 46%

To stay up to date 26%

To feel connected with people 22%

To nd out something new 19%

0% 10% 20% 30% 40% 50% 60% 70% 80%

Source: Nielsen, 2014 21

Base: Vietnam Internet User who watched online video
 ONLINE VIDEO ACTIVITIES
ONLINE VIDEO WATCHED DURING DAYTIME

70%
62%
60%

50%
43%
40%

30%

20% 15% 14%

12% 11%
10% 8%
5%

0%
In the morning During lunchtime In the afternoon In the evening
Weekday Weekend

Almost Internet Users (62%) watch online video in the evening

Source: Nielsen, 2014 22
Base: Vietnam Internet User who watched online video
05 VIETNAM MOBILE

23
 3G SUBSCRIPTION

VIETNAM 3G SUBSCRIPTION
35.0 25.0%
21.4%
30.0 19.8%
20.0%
Millions

25.0 15.9%

15.0%
20.0
11.9%

15.0 29.3
27.5 10.0%

10.0 19.7
15.7
5.0%
5.0

- 0.0%
2012 2013 2014 2015

3G Subscriptions
S thu bao 3G % 3G Subscriptions over total subscriptions
3G trn tng thu bao di ng

24
Source: Accumulated by Moore, 2015
 VIETNAM SMARTPHONE MARKET

SMARTPHONE & FEATURE PHONE SMARTPHONE OPERATION SYSTEM

3% 2%
9%
Android
43% IOS
57% 19% Window 8
64% Window 7
Other

Smartphone Feature Phone

Within smartphone operation system, Android is surpassing. IOS takes in 2nd.

25
Source: Nielsen, 2014
 SMARTPHONE USER DEMOGRAPHIC

SMARTPHONE USERS BY GENDER SMARTPHONE USERS BY AGE

55 and over 19%

45 - 54 34%
48% MALE
35 - 44 57%
52% FEMALE
25 - 34 70%

Under 25 76%

0% 20% 40% 60% 80%

Vietnam Smartphone User is dominated by early digital adopter generation ( < 35 years old)

26
Source: Nielsen, 2014; VSERV, 2013
 SMARTPHONE USER ACTIVITIES

ONLINE ACTIVITIES WHICH PEOPLE DO ON THEIR SMARTPHONE

(at least weekly)

Visit Social Network 59%

Use Search Engine 56%

Watch Online Video 54%

Listen to Music 43%

Play Game 28%

Check Email 23%

Product Information Searching 23%

Maps and Directions 13%

Purchase Products/services 6%

0% 10% 20% 30% 40% 50% 60% 70%

Source: Google, 2015 27
Base: Internet User who have smartphone
 SMARTPHONE USER ACTIVITIES

44%
Of simultaneous use is looking at
RELATED content



56%
Of simultaneous use is looking at
UNREATED content

While watching TV, people still use their second screen to

browse for both related and unrelated content
28
Source: Millward Brown, 2014
 MOBILES SHARE OF WEB TRAFFIC

Mobile's share of website trac

60%
50%
50%

40% 36% 35% 34%

30%
21% 21% 20%
20%

10%

0%
Indonesia Thailand Malaysia Singapore Philippines China Vietnam

Source: GlobalWebIndex, 2014 29

 VIETNAM OTT OVERVIEW

Number of OTT users in Vietnam

35 32
30 29

25 23

20

15 12
10
4.5
5

0
Zalo FB Messenger Viber Line WhatApps

Zalo in Q3/2015 surpasses Facebook Messenger in number of User

30
Source: According to OTT Vendors, Moore Estimation, 2015
 VIETNAM TOP OTT PLATFORMS

Zalo by Age Line by Age

1%
8%

-18 17%
20% 16 - 22
18 - 34
50% 23 - 27
35 - 54 33%
71% Others
55+
31
Source: According to OTT Vendors, 2015
 Go Mobile
&
Always On

06 VIETNAM SOCIAL NETWORK

32
 FACEBOOK USERS

NUMBER OF FACEBOOK ACTIVE USERS NUMBER OF FACEBOOK ACTIVE USERS

ON MOBILE
40 40
32
29
30 30
23.16

Millions
Millions

18.85 19.7
20 20 14.7
+ 40%
10 10
+ 30%
0 0
2013 2014 2015 2013 2014 2015

From 2013 to 2015, number of Facebook Active User increased average 23%.
Especially, the number of User Active on Mobile growth signicantly as 36%.
Its time to go mobile.

Source: Facebook, 2015 33

 FACEBOOK USERS DEMOGRAPHIC

FACEBOOK USERS BY GENDER FACEBOOK USERS BY AGE

35 - 44 45 - 65
8% 4%
13 - 17
19%
Male
46%
Female 25 - 34
54% 30%
18 - 24
39%

Facebook User is dominated by Female and people who are 18 34 years olds

Source: Facebook, 2015 34

 FACEBOOK USERS ACTIVITIES

FACEBOOK AS A DISCOVERY TOOLS

First hear breaking news 58%

First hear about new game 56%

First hear about a new movie,

55%
album, book, festival or show

First hear about a new product,

52%
brand or service

Facebook is where people turn to learn new information

Source: Facebook, 2015 35
 FACEBOOK USERS ACTIVITIES

Facebook is used much more often than TV

Source: Facebook, 2015 36
 A LOOK AT INSTAGRAM

35-44 45-65
5% 3%

13-17
20%
25-34
Male 18%
35%
750,000
Users
Female
65%
18-24
54%

Instagram seems being a platform for Female and Internet User at 18-24 years old
37
Source: Facebook and Moore Estimation, 2015
 A LOOK AT INSTAGRAM

Image Ads Video Ads Carousel Ads

Source: Instagram, 2015 38

07 VIETNAM E-COMMERCE

39
 REVENUE

VIETNAM B2C E-COMMERCE REVENUE 2012 - 2014

3.5
2.97
3

2.5
2.2
Billions USD

1.5

1
0.7
0.5

0
2012 2013 2014

In 2014, revenue on each user is 145 USD/year and is expected increase in 2015
Source: Vecita, 2015 40
 ONLINE ITEMS PURCHASED

Past 3 months online Online items purchased

purchase (including CoD):
85% 27% 9% 9%

Clothing Fashion Home Personal

81 accessories appliances grooming/ cosmetics
products
19 6% 4% 2% 2%

Food / Voucher at Personal Others

No Yes online delivery restaurant / cafe devices

Clothing and Fashion Accessories is purchased online the most

Source: TNS, 2015 41
 ONLINE CUSTOMER BUYING PROCESS

Online 43%
Tivi 24%
HOW PEOPLE HEAR ABOUT THE
PRODUCT THAT THEY PURCHASED Instore ads 12%
Poster 6%
45% 40%
40% Magazine/ 6%
35%
30% 25% Others 5%
25% Email 2%
20% 13%
15% 12%
8%
10% HOW DID PEOPLE FIRST HEAR ABOUT THE
5% PRODUCT / OFFER FROM ADVERTISING?
0%

42
Source: Google, 2015. Base: Vietnam Internet User who purchased online
 PURCHASE ACTIVITIES
THE ONLINE SOURCES PEOPLE USE TO MAKE PURCHASING DECISIONS

Search Engines 71%

On brand website 36%
On retailer website 27%
Social networks 26%
Online videos sites 17%
Advice sites/ review sites/ forums/ blogs 12%
Online magazines/ news sites 11%
Price comparison website 11%
Brand pages on social networks site 9%
Email 6%

0% 10% 20% 30% 40% 50% 60% 70% 80%

People those days have more power and more information than ever.
They always proactive in nding product/service information before making decision 43
Source: Google, 2015. Base: Buyers who use Internet
 PRE-PURCHASE ACTIVITIES

INTERNET HELPS PEOPLE TO MAKE PURCHASING DECISIONS BY

Compared products/prives/ features online 61%

Looked for opinions/ reviews/ advice online 39%

Discovered relevant brands online 39%

Got store locations/ directions online 29%

Checked where to buy/ product availability 30%

Looked for /redeemed relevant otens/ 23%

Got ideas/ inspiration online 21%

Watched relevant videos online 19%

Made contact/ requested contact (with 15%

0% 10% 20% 30% 40% 50% 60% 70%

People those days have more power and more information than ever.
They always proactive in nding product/service information before making decision 44
Source: Google, 2015. Base: Buyers who use Internet
 PRE-PURCHASE ACTIVITIES

WHAT DID PEOPLE DO ONLINE AFTER COMPLETING THEIR PURCHASE?

30%

25%

20%

15%

10%

5%

0%
Shared purchase experience Posted reviews/ratings Looked for help on setup/
on social networks usage

Theyre also ready for sharing their experience on Social network

45
Source: Google, 2015. Base: Buyers who use Internet
 INTERNET ROLE
IN ONLINE CUSTOMER BUYING PROCESS
21% use the Internet to get 39% discovered relevant
ideas brands.

61% compared choice

online.
15% posted Consideration Evaluation
reviews/rating Trig
ger
39% sought advice online.

28% shared
experiences on
social network
Enjoy & 53% prepared for oine
Advocate Purchase
purchase.

18% looked for help on set-

up/usage online. 48% research hours before
purchase.
18% purchase online.

Never than before Internet prove its signicant role in customer buying journey

46
Source: Accumulated by Moore. 2015
 REFFERENCE SOURCES

Meet the new media consumer in Vietnam 2014, Nielsen Vietnam, 2014
Marketing in a multiscreen world Vietnam report, MillwardBrown, 2014
The mobile internet consumer Vietnam 2013, VSERV.mobi, 2013
Consumer Barometer, Google, 2015
Digital, Social & Mobile, WeAreSocial, 2013 - 2015
General Statistics Oce of Vietnam, 2011 - 2015
Internet World Stats, 2015
Emarketer, 2015
IDG, 2015
Global Web Index, 2015
Meet the new media customer, Nielsen 2014
Others

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 ABOUT MOORE CORPORATION

Moore Corporation a member of IREP (the largest SEM Agency in Japan), is a Digital Agency
focus on Performance Based Adverting in Vietnam

With knowledge and experience, Moore Corp consults and implements Digital marketing campaign
by using technology and industry knowledge to maximize the eectiveness of advertisement campaign
with the motto: "Strategic solution, Eective concentration

To follow Moore mission for enriching community's value, from 2014, Moore Corp is the sole Agency
process Series of Digital Activities Report and Vietnam Digital Landscape which is free published and
shared for Clients, Partner and Digital Community

Find more about us and our work at: www.moore.vn

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 CONTACT

NGUYEN XUAN DONG

Vice Managing Director
098 999 5145
dongnx@moore.vn

Moore Online Solution and Development Corporation

Head Office: 7th Floor, No.1 Hoang Dao Thuy St., Thanh Xuan Dist., Ha Noi
HCMC Branch: 6th Floor, No. 454 Nguyen Thi Minh Khai St., Ward 5, Dist. 3, Ho Chi Minh
Website: www.moore.vn | www.adbrand.net | www.adlite.net | www.doublelink.net |
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