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In 2024, Feedforce Vietnam established itself as a forward-thinking advertising agency, supporting international businesses across diverse industries such as cosmetics, supplements, food and beverages, health products, character goods, real estate, and B2B SaaS.
Drawing from this extensive experience in the Vietnamese market, this article explores key trends that shaped the year, including video commerce, ad fraud, and generative AI. It also provides a forward-looking perspective on what lies ahead for 2025.
For the past decade, Facebook and Google have been the dominant platforms in Vietnam's digital advertising space. However, video and live commerce have become indispensable for businesses in 2024.
In 2022, video commerce in Southeast Asia accounted for less than 5% of GMV, but it surged to 20% in 2024, driven primarily by TikTok Shop (Source: e-Conomy SEA 2024). This rapid change exemplifies Vietnam's dynamic digital market.
This evolution has sparked the growth of businesses leveraging influencers (KOLs and KOCs) and live streaming for marketing. The expanding "shoppertainment" ecosystem, combining shopping and entertainment, has added complexity for businesses.
Vietnamese consumers frequently compare products, prioritizing functionality and price over brand loyalty. In this environment, brand awareness becomes critical, and video is an effective medium for capturing attention. Moreover, advertising costs in Vietnam are significantly lower than in developed markets, offering a higher ROI for awareness campaigns.
The year also marked the diversification of video consumption. While TikTok remains a favorite among Gen Z (18-27 years old), platforms like Instagram Reels and Zalo Video saw significant growth. The launch of YouTube Shopping Affiliates in late 2024 further facilitated video commerce, bridging the gap to older demographics.
Ad fraud was another pressing issue in 2024. For example, on Google Ads, some website operators artificially inflated clicks to earn a share of ad revenue. Vietnam has seen a higher prevalence of such fraudulent activities, posing challenges for advertisers.
Additionally, "Buff" (black-hat tactics) is rampant in Vietnam's e-commerce sector. On platforms like Shopee, vendors often pay for fake sales and reviews to boost credibility. Services offerings such as 150 five-star reviews and 250 sales for 1,500,000 VND are common. This tactic is predominantly used by local brands, counterfeit products, and parallel imports, creating significant hurdles for international brands competing on both price and authenticity.
Generative AI, including ChatGPT, can be seen as fully established in the field, becoming a staple in creative production, particularly for text, image, and video ad content. Furthermore, generative AI is now naturally integrated into existing creative production tools such as Canva.
In 2025, beyond SaaS, several vertical AI agents specialized for digital marketing workflows will be launched, which will undoubtedly have a significant impact on workflow and productivity in the field of ad management. While this has streamlined creative workflows, it has also shifted the focus toward higher-level strategic planning.
Feedforce Vietnam observed strong growth in e-commerce sectors like cosmetics and fashion. However, industries such as recruitment faced budget cuts due to economic challenges. In response, Feedforce Vietnam prioritized market research and strategic planning, assisting clients in reallocating resources towards organic efforts like social media management and SEO.
Vietnam still lags in SEO adoption, presenting an opportunity for businesses to secure long-term customer acquisition. As consumer skepticism towards AI-generated and fraudulent content grows, trusted and well-curated content is increasingly valuable.
Vietnam’s unique market characteristics demand tailored strategies:
With more diverse platforms, tools, and strategies emerging, 2025 will present both opportunities and challenges. Businesses must adapt quickly or risk falling behind. Key developments to watch include:
Companies are expected to shift towards in-house marketing models, leveraging AI for campaign optimization. However, skilled marketing managers capable of directing influencers and creative agencies while staying updated on trends will be in high demand.
For foreign brands entering Vietnam, understanding the nuances of this market is crucial. Feedforce Vietnam recommends:
Feedforce Vietnam plans to focus on helping businesses optimize their strategies, from platform selection to KPI setting, ensuring their success in the increasingly complex digital ecosystem.
Vietnam's dynamic market is poised for further evolution in 2025. Businesses that embrace data-driven decision-making, invest in authentic content, and leverage innovative tools will thrive amidst the challenges and opportunities ahead.
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