“E-commerce platforms are no longer a playground for amateurs; it’s not a place where you can casually list products and expect to make sales. That was perhaps the case 6-7 years ago, but today, sellers need to be more professional,” shared Mr. Bui Manh Quan, Founder of the Vietnamese fashion brand The Bad God, in the Chapter 0 podcast series produced by Rising Vietnam.
The Bad God is a leading fashion brand that consistently ranks at the top of e-commerce platforms. They have served over half a million customers and sold more than 1.2 million products.
Mr. Quan believes that e-commerce will remain the main focus for The Bad God for at least the next seven years, as it is the easiest and fastest way to bring Vietnamese consumer goods to international friends in a B2C format.
Sales increased from 64 million VND to 7 billion VND just three months after joining Shopee
The Bad God is a successful case study in fashion e-commerce. They achieved a remarkable increase in sales, from 64 million VND to 7 billion VND, just three months after joining Shopee in 2021.
At that time, while other sellers were hesitant due to the pandemic, The Bad God identified a trend for varsity jackets. Mr. Quan designed over 10 styles of varsity jackets and launched an Influencer Marketing campaign on TikTok and Facebook.
“We had already promoted the product on social media and e-commerce platforms like Shopee and Lazada. When we started the Influencer Marketing campaign, people searched for it a lot. Even if they didn’t search for The Bad God specifically, they would still find our store as we were the only ones selling varsity jackets on the platform at the time,” Mr. Quan shared.
He continued, “In 2021, the average order value (AOV) in the fashion industry was very low, around 100,000-200,000 VND, while our varsity jackets were priced at 450,000 VND. Those who supported me on the platform said it wouldn’t sell, and customers would only buy clothes below 200,000 VND.”
“As a result, we had no competitors for that product. When people searched for ‘varsity,’ even if they didn’t search for The Bad God, they would still find our store,” he added.
The Bad God’s success, according to Mr. Quan, came from seizing the right opportunity, identifying a hot trend, and executing a low-cost but highly effective marketing campaign. He revealed that out of the 40 KOCs The Bad God collaborated with, the highest-paid one received only 2 million VND, while the rest averaged around 200,000-500,000 VND. In his opinion, hiring KOCs is still relatively inexpensive compared to the results they deliver.
Many TikTok users browse products but don’t buy directly from the platform; they go to Shopee instead
However, doing business on e-commerce platforms today is not all sunshine and rainbows. There are growing concerns that the platforms favor customers too much, creating numerous challenges and issues for sellers. Indeed, many sellers have left the platforms due to these reasons.
Commenting on this topic, Mr. Quan emphasized that e-commerce platforms are no longer for amateurs. He also pointed out that the strict regulations imposed by the platforms align with consumers’ desires.
“Of course, the platforms have very strict rules, but as a consumer, don’t you think they are reasonable? Defective items should be exchanged, right? Now, customers want faster shipping, so orders must be confirmed within 1-2 days, considering the 3-day delivery time,” Mr. Quan said.
He continued, “Before these regulations were implemented, there were significant inconveniences for customers. Now, the platforms are just trying to enhance the customer experience by introducing more rules.”
Mr. Quan also pointed out an interesting aspect of modern consumer behavior. While TikTok has its own e-commerce platform, many users browse products on the app but don’t make purchases directly from TikTok Shop or the brand’s website. Instead, they go to Shopee to buy the item.
“Shopee has done an excellent job of educating customers that they are the cheapest, most promotional, and most customer-assuring platform. They can guarantee the fastest delivery and will ‘hassle’ the seller if there are any issues with the order,” he said, highlighting Shopee’s strengths.
For the fashion industry, in particular, Mr. Quan noted that selling on e-commerce platforms has significantly improved the overall quality of Vietnamese-made products.
“For example, if my company didn’t sell on these platforms, we wouldn’t be as strict about quality as we are now. A single one-star review can be devastating,” he said.
“Of course, there will be more challenges, but I believe the overall quality, from products to services and especially the customer experience, will be much better. This is how we can develop Vietnam’s manufacturing industry,” he concluded.