HCM CITY – Some 62 per cent of women led small and medium sized enterprises and micro businesses reported increased revenue after adopting digital payments, according to a recent study on small and medium sized businesses (SMEs) in Viet Nam released by Visa.
According to the study, the Asia Pacific economy including the Viet Nam market could gain an additional US$89 billion annually if women were able to maximise their economic potential.
SMEs are crucial for Viet Nam's economic growth, with SMEs accounting for 96 per cent of all businesses of Viet Nam and employing 47 per cent of the labour force.
The study found that, with the adoption of digital payments, managing businesses has become easier for 73 per cent of the surveyed SMBs in Viet Nam.
Almost three quarters of the respondents have adopted digital payments, while 42 per cent accept card payments. The primary factors influencing these decisions include ease of management, impact on sales, and the security afforded by bank transfers.
Furthermore, two thirds of the surveyed SMEs collaborate with more than one payment provider.
Among the businesses that have started accepting digital payments, those accepting cards witnessed the most significant turnover increases at 79 per cent, compared to those who did not accept cards, at about 46 per cent.
Digital payments enable fast transfers, and cashless everyday transactions for a better commerce experience, the study said.
Nguyen Minh Tram, CEO & founder, Sorella Beauty & Spa, said: “My business has grown since I introduced digital payment methods. I appreciate the convenience, speed, and the ability to easily track payment records. It provides my customers with a convenient cashless payment option too. I hope to expand my business beyond Viet Nam so enabling cross border payments will help me grow my customer base.”
In Viet Nam, Visa is committed to help SMEs owners and startups, having signed a three year MoU with the State Bank of Viet Nam.
The company launched its SME accelerator progamme in Viet Nam in 2023 to support SMBs and partners, including faster onboarding and comprehensive take to market support. The expanded SMB Accelerator initiatives will also focus on a wider set of partnerships with ecosystem participants to serve smaller sellers and fast track solutions deployment for SMBs.
"SMBs are the backbone of Viet Nam's thriving economy and Visa is proud to contribute to their growth by providing secure and convenient digital payment solutions,” said Dung Dang, Visa country manager for Viet Nam and Laos. “Visa is committed to continue introducing innovative financial and payment solutions, so they can build on this foundation to grow their business.”
The Visa Foundation has also pledged $100 million over five years to accelerate access for underrepresented and women led SMBs in APEC economies, including Viet Nam, Indonesia, the Philippines, Mexico, and Peru.
Source: https://vietnamnews.vn/economy/1652218/digital-payment-helps-female-businesses-boost-revenue.html