what are major differences between magento 1 and magento 2
THE SIGNIFICANT DIFFERENCES BETWEEN MAGENTO 1 AND MAGENTO 2

Magento is a specialized open-source platform for creating the most popular eCommerce websites today.

Currently, it supports two versions: Magento 1 and Magento 2. Some websites use Magento 1 platform, such as CellphoneS, and Bach Long Mobile (Magento Open Source 1.9). Websites using Magento 2 such as Di Dong Viet, and Kidsplaza (Magento Open Source 2.3).

So what is the difference between the two versions, and why have businesses not upgraded their websites to Magento 2?

What is the difference between Magento 1 and Magento 2?

Technology infrastructure

Magento 2 uses newer technologies than Magento 1, resulting in more diverse performance, user experience, and functionality.

The significant differences between magento 1 and magento 2
Comparison table of technology infrastructure between Magento 1 and Magento 2

Extensions

Magento 1 and Magento 2 support a wide range of third-party extensions. However, many utilities on Magento 1 will frequently repeat a piece of code, causing conflicts for the website’s functional system, and requiring a significant amount of time to manually fix it. Meanwhile, Magento 2 has supported a plugin that allows code to overlap, assisting in the issue’s faster and more effective resolution.

The significant differences between magento 1 and magento 2
Magento 2 improves the error of repeating the code of Magento 1 when integrating many utilities.

At the same time, Magento 2 support utilities frequently use new technologies (HTML5, CSS3, Requirejs) at lower prices. Compared to Magento 1, this makes it easier for developers to customize, upgrade, and build new functionality for the website.

Dashboard 

Magento 1 is frequently criticized for having a messy admin interface that takes a long time to adapt. In contrast, Magento 2 is more user-friendly for admin accounts because:

  • The dashboard makes it easier to read revenue, profit, tax, and reports effectively
  • Allows quick information searches
  • Allows for easy product creation and management
  • Easy access to backend components
The significant differences between magento 1 and magento 2
Magento 2’s interface is more user-friendly and simple to use than Magento 1

SEO

Magento has long been known for its SEO capabilities, but developers can improve SEO even better with Magento 2:

  • Canonical tag support: Fix repetitive content to help increase the SEO content score for the website.
  • Enable Meta tags (Meta Title, Meta Description, and Meta Keywords) for individual pages, which will aid SEO for each detailed product page.
  • Magento 2’s new technologies are responsive and provide a better user experience across devices.
The significant differences between magento 1 and magento 2
The developer has updated the SEO function on Magento 2

High Security

Since June 2020, Magento has stopped updating and releasing security patches and fixes for Magento 1. Therefore, Magento 1 websites easily become a target for cyber attacks.

The significant differences between magento 1 and magento 2
Magento no longer updates or releases security patches for Magento 1

Meanwhile, the publisher continuously updates Magento 2 to increase the system’s security. For example

  • Improved password encryption (SHA-256) makes the system more difficult to compromise.
  • Argon2UD13 support through PHP sodium extension (version 1.0.13) helps protect the system’s database
  • 2-factor authentication for the administrator account to limit impersonation to steal website data.

Why do businesses hesitate to upgrade their website to Magento 2?

Magento 1 still meets current needs

Magento 1 continues to meet enterprise eCommerce systems’ interface, functional systems, and management system requirements. As a result, businesses continue to use Magento 1 rather than upgrading to Magento 2. At the same time, the Magento technical community continues to support the utilities for Magento 1 enthusiastically.

The significant differences between magento 1 and magento 2
Magento 1 still meets the current needs of businesses

Magento 2 appears to be quite new to businesses.

Although Magento 2 provides many improved utilities, its technologies are still relatively new for many companies, particularly those in countries that have lagged behind eCommerce market growth.

The significant differences between magento 1 and magento 2
Magento 2 includes numerous utilities that are still unfamiliar to many companies

 It takes time and money to upgrade.

Upgrading from Magento 1 to Magento 2 is difficult because the technology infrastructure is entirely different between the two versions. As a result, website developers will require a significant amount of time to migrate all functions and data from Magento 1 to 2, ranging from 1 to 3 months on average.

In addition, businesses require a technical team with expertise in new technologies to manage the system and efficiently upgrade the website. As a result, the upgrade costs more, ranging from $5,000 to $10,000 or more, depending on the system’s complexity.

The significant differences between magento 1 and magento 2
Upgrading Magento 2 will cost time and money

Although Magento 2 outperforms Magento 1 in every way, many businesses are hesitant to upgrade their websites to Magento 2 due to various issues. However, upgrading the website to Magento 2 is unavoidable in the long run due to the growing gap between the two versions.

Our company – SECOMM, has been partnering with many big enterprises such as An Nam Group (Vietnam), Jasnor (Australia), and Changi Airport Group (Singapore). As a result, we are aware of the challenges and worries firms face while developing an eCommerce website system as well as upgrading their websites from Magento 1 to Magento 2.

Get in touch with us now for FREE eCommerce development consultancy and solutions

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magento open source vs magento commerce comparison
MAGENTO OPEN SOURCE VS MAGENTO COMMERCE REAL COMPARISON

With over 200,000 websites worldwide, Magento is today’s most widely used eCommerce platform. Magento is always the best choice for businesses to use because of the benefits of open source code and specialized features for the eCommerce market.

Businesses must carefully study the strategy and consider the needs of the website system when deciding between Magento Open Source and Magento Commerce to implement eCommerce on the Magento platform.

Magento Open Source là gì?

Magento Open Source was initially known as Magento Community Edition (CE), a free version of the Magento open source platform. This version provides a flexible framework for building eCommerce websites, which is popular among many businesses.

.

magento open source vs magento commerce comparison
Some websites using Magento Open Source in Vietnam: Canifa, Kids Plaza, Bach Long Mobile

What is Magento Commerce?

Magento Commerce, formerly known as Magento Enterprise Edition (EE), is a website system used by large businesses with complex website system requirements. 

This instance provides an on-premises solution as well as a hosted solution as a service (Magento Commerce Cloud), which aids in website performance and user experience. As a result, the annual fee for using this version is $24.000.

magento open source vs magento commerce comparison
Websites using Magento Commerce in Vietnam: CGV, Bibo Mart, Rohto

Comparison between Magento Open Source and Magento Commerce

Hosting

The platform will charge an additional $2.000/year for the included hosting service when using Magento Commerce to ensure that the business’s website system is constantly updated and upgraded, allowing it to handle high traffic and bills of lading more quickly.

Meanwhile, Magento Open Source is free to select a hosting provider that meets the business’s requirements and budget.

magento open source vs magento commerce comparison
The hosting cost for the Magento Commerce platform is $2.000/yr

Feature

The following table compares the features that distinguish the two versions of Magento:

magento open source vs magento commerce comparison
Magento Open Source and Magento Commerce feature comparison table

Magento Open Source has fewer features than Magento Commerce because it is a free version. Businesses, on the other hand, businesses can build the necessary functions themselves using extensions from the Magento ecosystem, the community of extension developers, or the project developers with whom Magento collaborates.

Cost

Magento Open Source will require a lower investment than Magento Commerce, from hosting and domains to website development. Nevertheless, the technology infrastructure is the same, so the costs of interfaces and extensions are calculated similarly.

magento open source vs magento commerce comparison
The table compares the deployment costs of Magento Open Source and Magento Commerce.

Technical assistance

While Magento Commerce provides global technical support, including cloud service integration, Magento Open Source is not directly supported by the Magento technical team. However, the current Magento Open Source website developers continue to ensure expertise so that the business website is constantly updated and effectively operated.

Should businesses choose the Magento Open Source or Magento Commerce version?

Magento Open Source will be ideal for startups, SMEs (small and medium enterprises), businesses new to eCommerce, and even large corporations that do not yet require Magento Commerce’s advanced functionality system. Because using Magento Open Source is advantageous:

  • Spending less money: Eliminate license costs, opt for more affordable hosting, and avoid paying for unnecessary specialized functions.
  • Choosing to develop essential business features: Creating specialized functions to address industry and product-specific issues.
  • Appropriate for all stages of business growth: Businesses can create basic features and then gradually improve them.

Meanwhile, Magento Commerce will be appropriate for large businesses because:

  • Complex functional systems are available: such as Advanced Marketing, Bill of Lading, and Delivery Process Management, to meet global sales needs.
  • Dedicated Hosting Service for Websites: Using the same service from Magento developers will ensure that the website works more efficiently.
magento open source vs magento commerce comparison
Magento Open Source vs Magento Commerce comparison

Choosing the best Magento version will be determined by each company’s long-term eCommerce strategy. However, it is also critical to implement those versions. They must collaborate with professional Magento developers to consult on and implement the best eCommerce solution.

With in-depth experience and developing many complex eCommerce systems on Magento, SECOMM understands the obstacles in choosing a platform and implementing Ecommerce businesses face.

Get in touch with us now for FREE eCommerce development consultancy and solutions 

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should we create egrocery websites on the magento platform
SHOULD WE CREATE PRETTY EGROCERY WEBSITES ON THE MAGENTO?

The growth of the grocery eCommerce industry in the Vietnamese market in 2021 is undeniable. According to the Google report, online grocery-related searches will increase by 223% in 2021, 3.6 times in June, and 11 times in July during Vietnam’s lockdown due to Covid-19 in several provinces.

Recognizing the market’s enormous potential, the need for a professional eCommerce website for online grocery businesses has grown significantly to expand the business system, supporting digital transformation and long-term revenue growth. Some of Vietnam’s largest grocery businesses, including Annam Gourmet Market, Bach Hoa Xanh, Organica, Farmer’s Market, and WinMart, have led the way in developing an eCommerce website system and have seen great success.

Choosing the right platform to build an eCommerce website makes the above brands successful. Platforms play a significant role in developing and operating an effective online grocery website. Along with well-known names such as Shopify, BigCommerce, and WooCommerce, Magento is considered the best online grocery support platform.

The advantages of creating eGrocery websites on the Magento platform

Various approaches to designing a website interface

Businesses have many options when designing the eGrocery website interface on the Magento platform, including using available themes, customizing themes, and creating their own.

Businesses can find Magento-specific themes in the grocery field, developer community, or partner using available themes. It helps businesses reduce the cost of interface design, but it limits businesses’ brand positioning because the interface is easy to duplicate with other websites.

should we create egrocery websites on the magento platform
There are three ways to design an eGrocery website interface on the Magento platform.

Businesses can save money and add brand identity elements such as colors, fonts, layout, and so on by customizing their themes. However, businesses need a team with extensive Magento expertise and experience to set up and customize the interface efficiently.

Businesses will have a one-of-a-kind website for their brand if they design their interface. However, it will require an enormous investment in development costs and a professional team.

When choosing Magento to develop an eCommerce website, most grocery stores often customize or use their themes to support an in-depth eCommerce business.

Various eCommerce functional systems

The Magento platform provides a comprehensive set of features, ranging from basic to advanced, for the development of professional eCommerce websites. Additionally, Magento allows you to create custom functions to solve specialized grocery industry problems.

Basic functions to assist businesses in running an efficient and smooth website system, such as

  • Catalog Management: Manage all data, processes, categories, attributes, prices, inventory quantities, and images/videos to operate and optimize the efficiency of the online grocery store.
  • Store Management: Manage product inventory and each branch’s business activities and personnel.
  • Cart and Checkout: Manage the shopping cart and customers’ information when they check out.
  • Customer Management: Manage customer information to increase marketing efficiency, purchase experience, and customer satisfaction.
  • Marketing Management: Optimize SEO and implement marketing strategies with tools to increase business sales.
  • Sales Management: Create and manage sales, order, payment, and shipping processes.
  • Content Management: Create and optimize all content elements for CMS pages, image storage, customize themes, and design websites.
  • System Management: Delegate administrators to review the best methods for website security and maintenance
  • Analysis and Report: Support tracking and measuring eCommerce system performance and developing future strategies.
should we create egrocery websites on the magento platform
Magento’s functional system

Advanced functions that improve consumers’ online shopping experiences, such as advanced search (Elasticsearch, live-search), MSI (Multi-Source Inventory), abandoned cart, similar product recommendations, PWA (Progressive Web Apps), multi-layered product catalog, and so on.

In addition, industry-specific functions assist businesses in dealing with their problems and reducing mistakes in the online grocery industry, such as order tracking, fast delivery, delivery time and location options, etc.

The ability to expand the system in the future

The high flexibility of Magento open source is an outstanding advantage that helps the system not only operate effectively at present but also expand the system to accompany businesses in the future.

Grocery businesses can fully integrate 3rd party services with Magento, making eCommerce operations efficient and smooth: 

  • Payment: Integrating with card payments (ATM, VISA, Master Card); e-wallet (MOMO, Zalo Pay); payment gateways (OnePay, VNPay, Paypal), and COD that helps diversify the payment experience.
  • Delivery: Integrating with delivery companies like Giao Hang Nhanh, Giao Hang Tiet Kiem, Viettel Post, and order tracking applications aid in the processing and optimizing delivery processes.
  • Management software: Integrating with software like ERP, CRM, POS (SAP), Salesforce, and Oracle that help run all businesses’ resources.
  • Business analysis tool: Integrating with business analysis tools (Business Intelligence-BI) like Power BI, Tableau, and Looker assists in the improvement of the business strategy and growth plan

Marketing: Integrating with marketing software from Email Marketing (Mailchimp, Getresponse) to advertisement (Facebook, Google, Zalo, Tik Tok) to optimize eCommerce business

should we create egrocery websites on the magento platform
The ability to expand the system

Besides that, Magento also allows businesses to expand from one website, and one store to many websites, and stores, and convert multi-language, and multi-currency flexibly while still being able to manage all data at the same time.

As a result, Magento is a suitable platform for a wide range of business models, including B2C, B2B, B2B2C, and O2O, as well as a wide range of business sizes, including new businesses entering the eCommerce market, startups, SMEs (small and medium enterprises), and large corporations.

Outstanding security

In the path to building a website, security is another significant benefit that makes the Magento platform the preferred platform for online grocery stores.

should we create egrocery websites on the magento platform
Magento’s outstanding security

Magento includes a security scan tool that helps identify problems and propose security solutions to handle arising errors, effectively optimizing the security of grocery eCommerce websites. Moreover, to improve admin account security, Magento requires admins to use advanced passwords with at least 7 characters, including letters, numbers, and special symbols. Simultaneously, password complexity can be added to lowercase and uppercase passwords or re-login after a certain amount of login session time. Furthermore, Magento supports two-factor authentication, such as OTP or CAPTCHA code, to strengthen the security of the grocery eCommerce website system.

Diverse ecosystems

The Magento platform has a worldwide developer community that includes many experienced and professional Magento developers.

Magento is also part of the Adobe ecosystem, helping businesses easily access new technology trends and use Adobe’s available application store.

With such a strong development community, online grocery store businesses will receive the most assistance in resolving technical issues and consulting on building eCommerce solutions that are appropriate for their business model.

should we create egrocery websites on the magento platform
Magento’s ecosystem

Difficulties in creating an eGrocery website on the Magento platform

High development cost

Although Magento is highly appreciated for its features and performance, the cost issue is still a significant obstacle that makes many eGrocery businesses hesitate to choose Magento.

Implementing a complete eCommerce website system built on Magento costs between $10,000 and $250,000.

Cost Magento Open Source Magento Commerce Magento Commerce Cloud
User licenses Free $22.000 -$125.000/yr $40.000-$190.000/yr
Hosting $100-$500/yr $500-$6.500/yr Free
Domain $10-$400/yr $10-$400/yr $10-$400/yr
SSL Certificate  $50-$300/yr $50-$300/yr $50-$300/yr
Creating website $5.000+ $5.000+ $5.000+
Developing website $1.800-$10.000/yr $10.000+ $10.000+
Extensions $60-$600/ea 60-$600/ea 60-$600/ea
Total $10.000-$17.000 $33.000-$149.000 $50.000-$207.000

The table comparing Magento construction costs

Take time to implement

A complete Magento project typically requires 3 to 6 months, with some projects requiring up to a year. As a result, businesses frequently waste time because of the complex functional system and the scarcity of Magento experts.

Professional team required

Businesses require a professional team with a deep understanding of Magento as well as practical experience on highly complex systems to implement an effective eGrocery website using Magento.

Annam Gourmet’s case study

Although Annam Gourmet has previously owned a website, it is primarily used for brand development, and the effectiveness of eCommerce activities has not been prioritized. As a result, this website system is not comprehensive and is limited to crucial eCommerce functions. Furthermore, to transition into the “new normal”, Annam Gourmet must expand its online sales channel more intensively and effectively.

In order to meet the needs mentioned earlier, as well as to support the company’s long-term development goals in the Vietnamese market, Secomm and Synova successfully built a complete eCommerce website system on the Magento 2 platform.

should we create egrocery websites on the magento platform
Creating eGrocery website for Annam Gourmet

The Magento 2 website system is operationally stable and effective with other components in Annam Gourmet’s operating system. As a result, Annam Gourmet’s eCommerce website, with typical grocery industry elements, is capable of meeting all business needs, such as operating effectively in a highly complex system, quickly processing huge amounts of data about products, customers, and orders, and seamlessly syncing with ERP, CRM, POS, and so on.

In general, when building a grocery eCommerce website with Magento, businesses can master everything from interface design to feature system, leveraging a diverse ecosystem, a system capable of flexible customization, and superior security. On the other hand, businesses must prepare and invest in a budget, time, and team to successfully and effectively implement it.

Our company – SECOMM, has been partnering with many big enterprises such as An Nam Group (Vietnam), Jasnor (Australia), and Changi Airport Group (Singapore). As a result, we are aware of the challenges and worries firms face while developing an eCommerce website system.

Get in touch with us now for FREE eCommerce consultancy and solutions in eGrocery businesses.

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the superior pros and cons of magento
WHAT IS MAGENTO? THE SUPERIOR PROS AND CONS OF MAGENTO

Along with the eCommerce market growth comes an increase in business demand for a separate eCommerce website system to maximize online business.

The platform’s role in developing and operating an effective eCommerce website system is enormous because choosing the right platform will help businesses save time in building a team, saving system development costs, reaching potential customers, boosting sales, and seizing long-term sustainable development opportunities.

Among today’s popular platforms such as Shopify, BigCommerce, WooCommerce, and others, Magento is widely regarded as the best platform for developing eCommerce websites, with over 186,000 websites in use worldwide.

What is Magento?

Magento is an open-source platform designed specifically for the eCommerce industry. In addition, Magento is the most challenging source code platform in the PHP programming language. As a result, Magento can handle a company’s specialized needs in a constantly changing and evolving market like eCommerce.

Many major brands and corporations, including HP, Asus, Puma, and Walmart, have used Magento platforms. In addition, some famous brands in Vietnam use Magento websites, including CellphoneS, Vua Nem, Kids Plaza, Mobile Viet, and so on.

the superior pros and cons of magento
What is Magento? The superior pros and cons of Magento

Classification

Magento currently offers two versions: Magento Open Source and Magento Commerce.

Magento Open Source

Magento Open Source was initially called Magento Community Edition, a free version of Magento. This version provides a “framework” to build eCommerce websites flexibly, so it is very popular with many businesses.

Some websites use Magento Open Source in Vietnam, such as Canifa, Kids Plaza, Bach Long Mobile, etc.

the outstanding pros and cons of magento
Some websites using the Magento Open Source platform: Canifa; Kids Plaza; Bach Long Mobile

Magento Commerce

Magento Commerce was previously known as Magento Enterprise Edition. This version is appropriate for significant businesses that require a website system with complex functions.

In addition, this edition provides an on-premises or a hosted solution as a service (Magento Commerce Cloud), which aids in website performance. The minimum fee for using this version is $24,000 per year.

The brands using Magento Commerce in Vietnam are CGV, Bibo Mart, Rohto, etc.

the outstanding pros and cons of magento
CGV; BiBo Mart; Rohto are now using the Magento Commerce platform

The Pros

the outstanding pros and cons of magento
The pros of the Magento platform

Functional systems from basic to advanced

Magento includes all of the features required for a complete eCommerce website, including category management, content management, sales management, marketing management, and customer management, as well as analysis and reporting. 

In addition, Magento owns many extensions with advanced features such as Headless Commerce, PWA (Progressive Web Apps), MSI (Multi-Source Inventory), ElasticSearch, etc to meet all eCommerce needs for businesses.

Furthermore, Magento has a global technical support community comprised of many experienced experts and professional development units to assist with meeting all business requirements.

Flexible customization capabilities

Magento possesses all the advantages of an open-source platform with flexible customization capabilities. Owning and controlling the entire source code, in particular, allows businesses to customize parts of the code in the system, easily update, or even develop new functions based on each business specificity.

High scalability

In addition to customizing, Magento also has very useful website scalability. Magento allows businesses to scale from one website to many websites, one store to many stores, but the management is still on the same system. Besides, Magento supports multi-language and currency conversion, helping businesses expand globally.

Superior security capabilities

Magento’s high security is also an outstanding advantage, with the ability to control the system regularly, propose security solutions, improve security for administrators, and prevent bots or unauthorized malware, among other things. As a result, this platform assists businesses in reducing potential risks associated with the data and transaction processes.

The Cons

the outstanding pros and cons of magento
The cons of the Magento platform

High development cost

The cost of owning a Magento website is high due to its many outstanding benefits, such as the functional system, customizability, scalability, and good security. However, depending on the system’s complexity, a website built on the Magento platform costs between $10.000 and $100.000.

Take time to implement

A comprehensive Magento project requires implementation time ranging from 3 months to 1 year. A complete Magento project requires implementation time ranging from 3 months to 1 year. As a result, it slows down businesses’ digital transformation processes and makes it difficult for them to keep up with competitors’ development rates and market trends.

A team of qualified technicians is required

Businesses require a technical team with high expertise and experience with the Magento platform to build and operate an intensive eCommerce website system customized to the unique characteristics of each product and category.

As a whole, Magento is an eCommerce platform that is appropriate for all types of businesses, including startups, SMEs (small and medium enterprises), and large corporations. However, budget, time, and professional team issues have caused many SMEs businesses to be hesitant to use Magento to develop eCommerce websites. That is why Magento frequently be used in large corporations to build complex eCommerce systems.

Our company – SECOMM, has been partnering with many big enterprises such as An Nam Group (Vietnam), Jasnor (Australia), and Changi Airport Group (Singapore). As a result, we are aware of the challenges and worries firms face while developing an eCommerce website system. 

Contact SECOMM now for a free consultation on detailed eCommerce system development solutions!

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THE PATH TO CREATING COMPREHENSIVE EGROCERY WEBSITES

According to Statista, the size of the Vietnamese ecommerce market in 2021 was $13 billion and is expected to reach $39 billion in 2025, ranking second in Southeast Asia behind only Indonesia. The spectacular breakthrough of the grocery eCommerce industry has coincided with the explosion of the eCommerce market. As a result, online grocery shopping has become a part of 53 percent of consumers’ habits. 

Grocery companies should create their eCommerce website as soon as possible to jump into the bigger game and develop online grocery business activities to capitalize on the enormous potential of the eGrocery market and gradually transition to digital transformation.

SECOMM has outlined the journey to create a comprehensive eGrocery website for the Vietnamese market with over 7 years of experience in eCommerce.

The initial stage: Basic eGrocery website development 

the path to creating comprehensive egrocery websites
The basic process of developing the eGrocery websites

Setting goals for the development of the eGrocery website

The first step for grocery businesses is to set goals and prioritize those goals to plan the result of an appropriate eCommerce website for each stage.

Businesses can consider long-term goals such as brand positioning, exploitation of potential customers, and product online business capability.

Short-term goal activities such as revenue growth, customer monitoring and analysis, campaign effectiveness evaluation, and so on should prioritize by businesses. 

Furthermore, the user experience factor, which includes services such as payment, logistics, online customer care, and so on, is critical to increasing interaction, support, customer consultation, and problem resolution as quickly as possible.

In terms of duration, businesses can choose to deploy quickly to penetrate the eGrocery market or gradually adapt to the market at this stage. When deploying a grocery ecommerce website, the budget will be determined by each business’s strategy and financial potential.

Selecting a basic eGrocery website development platform

Two popular platforms assist businesses in developing eCommerce websites: SaaS (Software as a service) and Open Source. Here are some of the best Saas eCommerce platforms: Haravan, Shopify, and BigCommerce.

  • Pros: Rapidity, reasonable price, no IT experience requirement
  • Cons: Operating costs rise over time as a result of annual/monthly service license payments, platform developer reliance due to lack of ownership of source code and data, and limited functions such as the ability to integrate and expand the website system.
the path to creating comprehensive egrocery websites
Top 3 SaaS eCommerce Platforms: Haravan, Shopify, BigCommerce

Open Source eCommerce Platforms widely used in the Vietnamese market include WooCommerce, OpenCart, and Magento. 

  • Pros: The user owns the source code and data, has more interfaces and functions, and has better integration and extensibility than SaaS platforms.
  • Cons: It takes more time and cost to develop the website initially than SaaS platforms. Also, it requires an experienced IT team to handle its system.

Due to the significant differences between SaaS Platforms and Open Source Platforms, stage businesses prefer to use SaaS Platforms in the initial stages of basic eGrocery

Designing the interface of the eGrocery website

Businesses have to meet the following criteria when designing the website interface: UI/UX standardization, displaying the brand’s and the eGrocery industry’s characteristics, and product presentation synchronization to provide the best experience to customers.

There are three approaches to designing the interface: using available themes, customizing themes, or creating their own. Businesses frequently use the available themes in this stage to save the most money. Still, some companies with financial potential will choose the other two options for better branding.

the path to creating comprehensive egrocery websites
Bach Hoa Xanh’s website

Adding functions to the eGrocery website

When operating a grocery eCommerce system, businesses can prioritize the development of basic functions to meet the essential needs during this time.

Some basic functions required in eGrocery websites, such as:

  • Catalog Management: Manage all data, processes, categories, attributes, prices, inventory quantities, and images/videos to operate and optimize the efficiency of the online grocery store.
  • Store Management: Manage product inventory and each branch’s business activities and personnel.
  • Cart and Checkout: Manage the shopping cart and customers’ information when they check out.
  • Customer Management: Manage customer information to increase marketing efficiency, purchase experience, and customer satisfaction.
  • Marketing Management: Optimize SEO and implement marketing strategies with tools to increase business sales.
  • Sales Management: Create and manage sales, order, payment, and shipping processes.
  • Content Management: Create and optimize all content elements for CMS pages, image storage, customize themes, and design websites.
  • System Management: Delegate administrators to review the best methods for website security and maintenance
  • Analysis and Report: Help track and measure eCommerce system performance and develop future strategies.
the path to creating comprehensive egrocery websites
Quick purchase feature and wishlist on Organica’s website

Finalizing the legal procedures

According to Decree 52/2013/ND-CP of the Government, every individual or organization that owns a sales eCommerce website must notify or register with the Ministry of Industry and Trade on the eCommerce Operation Management Portal. 

Websites that exceed the time limit or fail to register/notify the competent management agency within the time frame specified will be administratively sanctioned by regulations.

The following stage: Advanced eGrocery website development

the path to creating comprehensive eGrocery websites
The advanced process of developing the eGrocery website

Re-targeting

As the company grows and the market changes, the goals must be adjusted accordingly. This is also the time for leaders to rethink the business strategy’s target and money to invest in the grocery eCommerce website system. During this time, businesses frequently focus on the short and long-term goals of expanding the online grocery store system.

Long-term business goals can include expanding market segments, developing loyalty programs, forming consumer online shopping habits, etc.

Short-term goals for businesses can include capturing more new potential customers, increasing revenue, and supporting Ecommerce Marketing strategy.

Selecting platforms for conversion

When SaaS platforms are no longer effective enough to help businesses expand their online grocery store website systems, they have to turn to Open Source platforms like Magento, WooCommerce, and OpenCart to build advanced eGrocery websites.

the path to creating comprehensive egrocery websites
Top 3 Open Source eCommerce platforms: Woocommerce, OpenCart, Magento

In this stage, platform selection criteria include:

  • Professional website interface, UX / UI standardization, displaying the brand’s and the eGrocery industry’s characteristics.
  • Comprehensive functional system from basic; advanced to industry-specific
  • Flexible customization and extensibility, allowing businesses to integrate with a wide range of third-party utilities and support multiple websites, multi-language, and multi-currency.
  • High security, assisting businesses in avoiding network attacks, and assisting with data backup when needed 

Absolutely, businesses will face more challenges when switching platforms from SaaS to Open Source, such as changing costs, time to train personnel on open platforms, and data loss or errors during the conversion.

Selecting the development resources (In-house team or Project developer)

Businesses must choose the right resources to develop their website to build eCommerce website on an open source platform.  Typically, companies can create an in-house team or find a project developer. Regardless of the resource, professional knowledge and practical experience about the chosen platform are required.

the path to creating comprehensive egrocery websites
Selecting the development resources for the eGrocery website

Businesses should recruit and train IT and eCommerce personnel with expertise and experience in the chosen platform. Building the right team will take a lot of time and money. Still, it will help businesses manage resources better and actively edit or develop the website system according to the requirements.

Businesses should look for project developers based on the following criteria to collaborate with them: 

  • Ecommerce experience (the number of years of experience, the quantity and the quality of projects they have done, and the complexity of projects).
  • The professional team (solution consultants, IT personnel, customer service).
  • Good process (analyzing, proposing solutions, developing, testing, and maintaining).
  • Fast processing and support capabilities.
  • Warranty and maintenance commitments. 

This will help businesses learn expertise, gain experience, and develop a website in all aspects of the eGrocery industry. Still, companies and their partners must collaborate effectively to achieve a better result.

Re-designing the interface of the eGrocery website

Businesses can keep things the same while switching platforms. There is no need to change the current website interface. Many companies, however, will rebuild the website interface to match the new strategy and platform.

Similar to the previous stage, businesses have several options when designing the interface of a grocery eCommerce website: using available themes, customizing the themes, or creating their own. At this stage, however, businesses frequently choose to customize or design their own theme to reflect the characteristics of the eGrocery brand and industry.

the path to creating comprehensive egrocery websites
OpenCart’s website interface store

Converting platform

After selecting the appropriate conversion platform, the conversion should be carried out carefully to limit the risk of data loss or enterprise error. To avoid errors, the conversion is usually done as automatically as possible.

The platform conversion process includes steps to extract data from the old system and record it into the new system. After converting the platform, businesses need to double-check to ensure that the converted data is fully and correctly according to the plan.

Upgrading functional system

In addition to the basic functions, businesses should focus on developing a more complex system of functions, including advanced and industry-specific functions for the eGrocery industry.

Advanced functions include order tracking, abandoned cart, similar product recommendations, advanced product search, multilayer product catalog, and others that improve the consumer experience and speed up the shopping process.

Industry-specific functions aid in thoroughly resolving the challenges of implementing intensive departmental eCommerce, meeting the needs of customer segments and businesses such as fast delivery, delivery time selection, and so on.

Furthermore, businesses must constantly update and develop user-friendly functions to stay competitive in the market.

In addition to the basic functions, businesses should focus on developing a more complex system of functions, including advanced and in-depth functions for the eGrocery industry. Advanced functions include order tracking, abandoned cart, similar product recommendations, advanced product search, multilayer product catalog, and others that improve the consumer experience and speed up the shopping process. In-depth functions aid in thoroughly resolving the challenges of implementing intensive departmental eCommerce, meeting the needs of customer segments and businesses such as fast delivery, delivery time selection, and so on. Furthermore, businesses must constantly update and develop user-friendly functions to stay competitive in the market.
Magento’s advanced functions

Operating and maintaining the eGrocery website system

When putting the grocery eCommerce website system through testing, businesses must review and test the entire website and functionality in a specific time frame to ensure order processing speed, website stability, and so on. In addition, businesses must immediately contact the in-house team or the developer if issues arise to adjust and improve the website before going live.

After the grocery eCommerce website system has stabilized, businesses should focus on Ecommerce Marketing strategies (SEO, SEM, Email Marketing, Content Marketing, Social Marketing, and so on) or implement Omni-channel to grow their online eGrocery business.

For long-term sales growth, businesses should maintain, update, and upgrade their website system regularly, quickly adapting to changes in the eCommerce market in general and the grocery market in particular.

the path to creating comprehensive egrocery websites
The final step in developing comprehensive eGrocery websites is to operate and maintain the system.

In general, developing comprehensive eGrocery websites for the Vietnamese market is complex. It requires businesses to invest significant time and money in researching the best eCommerce strategy for each stage of business development.

Our company – SECOMM, has been partnering with many big enterprises such as An Nam Group (Vietnam), Jasnor (Australia), and Changi Airport Group (Singapore). As a result, we are aware of the challenges and worries firms face while developing an eCommerce website system.

Get in touch with us now for FREE eCommerce consultancy and solutions in eGrocery businesses.

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TOP 05 GROCERY ECOMMERCE WEBSITES IN VIETNAM

Grocery eCommerce is a trend in eCommerce that allows customers to buy goods online. This is regarded as the leading industry in the eCommerce market, particularly in Vietnam. According to an iPrice report, when people began staying at home to avoid the Covid-19 epidemic, traffic to websites specializing in the grocery business increased 45% faster than before. This trend remained stable after the social distancing was reduced, increasing by 10% at the end of the year. Online grocery is the only category that has seen consistent growth throughout the pandemic, with search demand continuing to rise.

There are some popular grocery eCommerce websites in Vietnam can be mentioned as:

Bach Hoa Xanh 

top 5 grocery ecommerce website in vietnam
Bach Hoa Xanh’s Website

Bach Hoa Xanh is one of the most popular grocery store chain owned by Mobile World Joint Stock Company that specializes in selling fresh food and necessities. Bach Hoa Xanh currently operates nearly 2,000 stores in the South, East, and South Central provinces. This is the most visited website in the top five most visited websites in the Vietnam market, behind only the top four eCommerce platforms today, namely Shopee, Lazada, Tiki, and Sendo (According to iPrice).

– Website: https://www.bachhoaxanh.com/ 

– Traffic: 1.1M/month

WinMart

top 5 grocery ecommerce website in vietnam
WinMart’s website

WinMart is a supermarket system and grocery store chain purchased by Masan Group from Vingroup. This brand was more commonly known as Vinmart at that time.

– Website: https://winmart.vn/

-Traffic: 209.5K/month

Organica

top 5 grocery ecommerce website in vietnam
Organica’s website

Organica is a natural and non-GMO certified organic food development and distribution system.

– Website: https://www.organica.vn/ 

– Traffic: 27.2K/month

Farmer’s Market

top 5 grocery ecommerce website in vietnam
Farmer’s Market’s website

Farmer’s Market is a fresh food chain store brand managed by LARIA Trading Co., Ltd. To provide a seamless shopping experience O2O (online to offline), the company has built an omni-channel retail system  serving over 4,000 customers daily.

– Website: https://farmersmarket.vn/ 

– Traffic: 17.5K/month

Annam Gourmet

top 5 grocery ecommerce website in vietnam
Annam Gourmet’s website

Annam Gourmet arose from the two Annam Group founders’ deep love of European cuisine. Annam Gourmet chain stores have been successfully operating in the Vietnamese market for over 20 years, offering high-quality imported product lines such as high-end food, wine, beverages, and cosmetics.

– Website: https://shop.annam-gourmet.com/ 

-Traffic: 8.7K/month

Grocery eCommerce Solutions

With a 200% annual growth rate, the future potential of grocery eCommerce in the Vietnamese market is undeniable (according to Statista). There are numerous opportunities in the eGrocery industry. Recently, many challenges have arisen, necessitating careful consideration of tactics by business managers in order to take the most effective steps.

The eGrocery businesses have opportunities and challenges, requiring business managers to consider tactics to take the most effective steps. Finding a partner is tricky and building an in-house team is tough. Businesses must incur significant opportunity costs and time to reach the goal.

Our company – SECOMM has been partnering with many big enterprises such as An Nam Group (Vietnam), Jasnor (Australia), and Changi Airport Group (Singapore). We are aware of the challenges and worries faced by firms while developing an e-commerce website system.

Get in touch with us now for FREE eCommerce consultancy and solutions in eGrocery businesses.

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What is eGrocery? The potential of Vietnam's eGrocery market
WHAT IS EGROCERY? THE POTENTIAL OF VIETNAM’S EGROCERY MARKET

According to the VISA’s data in 2021 – the world’s leading electronic payment technology company, up to 87% of Vietnamese consumers surveyed are currently using home delivery services, of which 82% said that the first time they used this service was since the Covid-19 outbreak occurred.

That further confirms that social distancing and work-from-home models have led to significant consumer shopping behavior changes. In particular, the transition from the direct shopping experience to e-commerce has taken place rapidly in just a few months. One of the industries that have benefited the most from the boom in the e-commerce market is eGrocery.

 What is eGrocery? The potential of Vietnam's eGrocery market
What is eGrocery? The potential of Vietnam’s eGrocery market

So, what is eGrocery?

eGrocery (or Grocery Ecommerce) includes online business activities of grocery products such as food (both fresh and prepackaged), household products, healthcare, personal care, etc. Product display, ordering to pay, and shipping are all done on the website of eGrocery businesses.

Some successful eGrocery businesses in the Vietnamese market are Bach Hoa Xanh, An Nam Gourmet, Organica, Farmer’s Market, etc.

The potential of Vietnam’s eGrocery market

Covid-19 is a powerful catalyst, one of the impulses to boost the grocery industry’s demand for shopping for essential products. According to a report from iPrice, websites specializing in the grocery business grew by 45% in traffic when people started staying at home to prevent the epidemic. After the social distancing eases, this trend remains stable, increasing by 10% by the end of 2021. eGrocery is the only industry that has maintained solid growth throughout the pandemic since the beginning of the pandemic, with search demand still increasing steadily.

Additionally, with revenue coming from the U.S, the worldwide eGrocery market is also highly active. The grocery e-commerce business is anticipated to surpass $20 billion in 2021 and $24 billion in 2023 (Statista). According to Redseer’s report, India’s eGrocery market is estimated to reach $10.5 billion by 2023.

Seeing the vast potential that the eGrocery market may bring, now there are many “big guys” not from the traditional grocery industry who also jump in to fight for this lucrative “piece of cake” like Con Cung, Kids Plaza, etc.

Case Study

BigBasket – The giant in the eGrocery market in India

BigBasket was founded in 2011 by V.S. Sudhakar, Hari Menon, V.S. Ramesh, Vipul Parekh, and Abhinay Choudhari. In May 2021, Tata Group’s acquisition of 64% of BigBasket shares helped push BigBasket’s valuation to $1.85 billion.

 What is eGrocery? The potential of Vietnam's eGrocery market
BigBasket – The giant in the eGrocery market in India

By promoting the research and development of transportation services and expanding the logistics function system in the enterprise’s e-commerce website, in 2016, BigBasket made fast deliveries within 60 minutes. In the same year, BigBasket also built a B2B delivery service to serve the food needs of restaurants and customers in major Indian cities. This business strategy has been a solid stepping stone for the BigBasket brand in the Indian online department since 2017

Blinkit (Formerly Grofers) – Fastest Delivery Business in India

Grofers is India’s 3rd largest grocery e-commerce platform, with about 13% of the market share, behind only BigBasket (37%) and Amazon (15%). Founded in 2013 by two technology engineers, Albinder Dhindsa and Saurabh Kumar, after the two founders noticed a massive gap in the local logistics services.

What is eGrocery The potential of Vietnam's eGrocery market 2
Blinkit – Forerunner of Grofers: The fastest delivery business in India

Initially, Grofers only specialized in supplying grocery products such as packaged food, bakery products, mother and baby care, pets, etc., to local grocery stores, medical, restaurants, or supermarkets. But thanks to the advancements in technology successfully applied in the e-commerce strategy, Blinkit has rapidly expanded its business successfully in 28 Indian cities.

On December 13, 2021, Grofers officially changed its brand name to Blinkit to deliver within 10 minutes. Like BigBasket, Blinkit also focuses on developing its logistics system and expanding its network of partner brands on its e-commerce website. Blinkit has more than 60 partners in New Delhi, more than 30 partners in Gurgaon, and many in Mumbai, Kolkata, Bengaluru, etc.

Bach Hoa Xanh – MWG’s strategic card in the eGrocery market

Bach Hoa Xanh is a mini supermarket chain selling fresh food and necessities under the Mobile World Joint Stock Company (MWG). Bach Hoa Xanh has nearly 2,000 stores across the South, East, and South Central provinces. According to iPrice, this website is in the top 5 most visited e-commerce websites in Vietnam, just behind four e-commerce platforms (Shopee, Lazada, Tiki, and Sendo).\

Blinkit - Forerunner of Grofers: The fastest delivery business in India
Bach Hoa Xanh – MWG’s strategic card in the eGrocery market

Since its establishment in 2015, Bach Hoa Xanh has advocated two key campaigns, competing with traditional markets and developing e-commerce websites. At first, Bach Hoa Xanh set up branches at selling points near the market, but in suburban areas and provinces, the space rental cost is much more affordable than in the central area. At the same time, the company creates a website system to boost online sales channels and draw in customers who enjoy making purchases online, particularly young people.

These days, the company has officially entered the Vietnamese retail “triad association” with Saigon Coop and WinMart (formerly VinMart), achieving a record of 26,300 billion VND in revenue in 2021 – an increase of 38% compared to the first 11 months of 2020.

Besides Bach Hoa Xanh, some other successful businesses have been applying grocery e-commerce, such as An Nam Market (specializing in serving foreign customers or former international students in Vietnam); Organica (focusing on offering customers from around the world ecologically friendly items), etc.

eGrocery is still in development and has not yet formally taken off. Thus the market’s growth potential is still tremendous despite the existence of several major companies. To confidently enter this lucrative market, grocery stores in Vietnam can use the lessons learned from their forebears and select a platform to construct a website system that fits the e-commerce business model.

Our company – SECOMM has been partnering with many big enterprises such as An Nam Group (Vietnam), Jasnor (Australia), and Changi Airport Group (Singapore). We are aware of the challenges and worries faced by firms while developing an e-commerce website system.

Get in touch with us now for FREE ecommerce consultancy and solutions in eGrocery businesses.

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4 common mistakes while doing grocery e-commerce
4 COMMON MISTAKES WHILE DOING GROCERY E-COMMERCE

Grocery e-commerce is an inevitable business trend in the current Vietnamese e-commerce market. Some grocery stores have implemented e-commerce very early and have achieved great success, such as An Nam Gourmet, Bach Hoa Xanh, WinMart, and Co.op Online.

However, not all businesses are fortunate to deploy effective e-commerce because risks and wrong decisions when doing business can happen in any market, not only in the eGrocery market.

Some mistakes are fixable, but there are mistakes no matter how much budget and time it takes to make up. Here are some online grocery store mistakes that eGrocery business leaders need to know.

4 common mistakes while doing grocery e-commerce
4 common mistakes while doing grocery e-commerce

Building operating procedures for complex e-commerce systems

The grocery store business process in chain stores and e-commerce websites is entirely different. However, when implementing e-commerce, many businesses put the entire existing process on the website system without any customization or modification to conform to general operating procedures.

To shift business from offline to online, businesses must face difficulties such as synchronizing data from POS (Point of sale), e-commerce platforms, and e-commerce websites for other systems like CRM, ERP, BI, etc.

Grocery e-commerce is an extraordinary industry, with many complex features such as products with many units, selling methods, weight differences, constantly changing prices (day/week/month/year), expired products that need to be canceled, or imported new must have specific data, complicated payment processes, cumbersome warehousing operations, etc.

In particular, most products in the grocery store are fresh and fast food, so the damage rate is high, and the delivery time needs to be faster than in other fields. In addition, for these items, “housewives” also need to choose the correct delivery time.

4 common mistakes while doing grocery e-commerce
Building operating procedures for complex e-commerce systems

Because of the complexity of the operation process, the requirements for the e-commerce system are also more unique compared to other industries, making it difficult for managers to grasp the business situation and not be able to manage the number of products in stock in each branch.

Enterprises should build their in-house team or look for experienced grocery e-commerce developers to design the system operation process for specific industry and business problems that SaaS platforms cannot provide.

Wrong choice of an e-commerce platform for egrocery

An e-commerce platform is software that businesses use to build an e-commerce website. Choosing a platform is always the first step in the e-commerce business process, so choosing the wrong one will lead to the entire online grocery store strategy going down.

After a period of using the unsuitable platform, businesses are required to “change blood” with another platform. This mistake wastes time and budget to build an e-commerce website for businesses without bringing about the expected results. It takes time to recruit and train employees to get used to the new platform.

To avoid this unnecessary mistake, businesses need to clearly define short-term and long-term goals for the brand, thereby building the criteria for choosing the most suitable e-commerce platform. To do that, businesses can do their research or seek professional advice before making a final decision. Of course, this takes time, but it will save time in the long run for the business.

4 common mistakes while doing grocery e-commerce
Wrong choice of an e-commerce platform for egrocery

Currently, businesses that want to implement e-commerce step by step often choose Saas (Software as a service) platforms such as Shopify, BigCommerce, and Haravan in the early stages. This helps businesses save budget and time in the short term, market exploration, etc. Then, switch to open source platforms (Open Source) such as WooCommerce, OpenCart, and Magento to upgrade and expand the website system with convenient features for users and businesses.

Businesses with a long-term e-commerce business orientation often choose open source platforms right from the start to long-term companionship with businesses. Starting and developing continuously on an open source platform helps businesses save money and time to switch platforms, and own and fully control the system from source code to customer data, efficiently and proactively develop new features suitable for users and markets.

However, similar to building an operating process, choosing an e-commerce platform does not have a typical “recipe” for all businesses. Hence, each business needs to understand its business strategy, operating model carefully, and so on. in each stage of development.

Not investing in website interface design

The interface is essential in the grocery business, and it is necessary to meet UI (User Interface) and UX (User Experience – User Experience) standards. These are two crucial factors in any e-commerce website. However, many businesses forget these two factors when designing websites, leading to consequences such as an unattractive interface, not showing the characteristics of the business and the grocery, poor website performance, and page loading—slow, poor navigation, and few specialized functions for e-commerce, etc.

The UI / UX standard design has not been emphasized. However, the user experience on the enterprise’s website becomes worse, unable to retain users, affecting the revenue and brand positioning of the business.

So when choosing an e-commerce platform, businesses should also choose platforms that can help businesses customize the interface and functionality of the source code.

4 common mistakes while doing grocery e-commerce 4
Not investing in website interface design

Currently, there are 3 ways to design the interface for a website:

  • First, use existing themes (interfaces): Businesses can choose from themes available in the market, development community, or cooperation units. This will help businesses save costs, but brand awareness is low because it is easy to duplicate with other websites.
  • Customize the interface based on the existing theme: Similar to the above, businesses can customize their characteristics by affecting the code in the front end. From there, businesses both save costs and express their characteristics.
  • Design your interface: This is often more expensive than using a theme, but it meets the business’s most specific and specific needs.

Inappropriate feature build roadmap

At the right time, the functional system is not what “needs not to have” and “what has is not needed.” For example, in the early stages of entering the e-commerce market, businesses often do not have a certain number of users, so the functions of the Loyalty Program (loyalty program) are not necessary. Instead, businesses should focus on building functions that help exploit potential customers. Then, after having a stable number of users, businesses can gradually build more specialized functions, solving industry-specific problems.

Building a functional system that is not suitable for users’ needs at each time will waste time and cost to build a website without providing a satisfactory shopping experience, affecting revenue efficiency and can be left behind competitors in the industry.

4 common mistakes while doing grocery e-commerce
Inappropriate feature build roadmap

In general, egrocery is the “golden opportunity” for businesses to implement e-commerce. However, to capture opportunities and market share, businesses need to pay attention to many factors, especially the mistakes to avoid mentioned in this article.

With experience in successfully implementing complex grocery e-commerce systems like An Nam Gourmet, SECOMM understands grocery businesses’ obstacles. Contact SECOMM now for a free consultation on detailed e-commerce system development solutions!

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5 things to keep in mind for successful eGrocery business
5 THINGS TO KEEP IN MIND FOR SUCCESSFUL EGROCERY BUSINESS

When grocery business activities face many obstacles such as strict lockdown measures by Covid-19, shortage of necessities, and geographical distance, the demand for egrocery increases daily.

Ecommerce marketplaces such as Tiki (Tiki Ngon), Lazada (Lazada Supermarket), Shopee (Shopee Fresh), and super apps like Momo (Online shopping), Grab (Grab Mart), etc. all, in turn, deploy egrocery to respond to consumer needs promptly. In particular, grocery stores’ eCommerce websites such as Bach Hoa Xanh, WinMart, and Co.opmart quickly seized the opportunity and grew impressively!

The egrocery market continued to thrive after the lockdown period was removed, indicating the expanding potential of the grocery eCommerce business.

Not only was grocery eCommerce appearing in the Vietnamese market but also globalization. For example, in the United States market, egrocery has an annual growth rate of 200% (according to Statista).

Businesses must swiftly develop an eCommerce system fit for industry and customers to capture changes in the market. However, administrators must consider several concerns while implementing grocery eCommerce to efficiently engage in the market.

5 things to keep in mind for successful eGrocery business
5 things to keep in mind for a successful eGrocery business

Choose the right eCommerce platform

Choosing the right eCommerce platform is essential for any business, not just the grocery industry. An eCommerce platform compatible with business strategies will help companies save time, accelerate the digital transformation process, and save money on deploying eCommerce websites in both the short and long term. In addition, businesses do not need to switch platforms many times, saving time and budget for recruiting and training personnel to familiarize themselves with the system.

5 things to keep in mind for successful eGrocery business
Some eCommerce platforms support online grocery store business.

Some grocery business eCommerce platforms include Ziel Commerce, Haravan, Shopify, WooCommerce, and Magento. In particular, Ziel Commerce is a platform designed explicitly for eGrocery businesses.

SaaS platforms like Haravan and Shopify are suitable for SMEs (small and medium enterprises), startups, or new entrants to eCommerce. WooCommerce is ideal for businesses that need to own the source code and customize the website at an affordable cost. The Magento platform is suitable for many different business models (B2C, B2B, B2B2C, etc) and many different business sizes (SME, startup, large corporation, etc).

This platform meets the needs of building an industry-specific eCommerce website under its characteristics, with full ownership of the source code and the ability to customize the website. However, due to the prolonged deployment time and high prices, many businesses are hesitant to use Magento, while many enterprises trust it.

Building a system of industry-specific features

A big problem that egrocery businesses need to pay attention to is that the grocery industry has a relatively complicated operation.

5 things to keep in mind for successful eGrocery business
The characteristics of the grocery industry are relatively complicated.

Grocery products have many units of measure, weight differences, and different ways of selling; prices constantly fluctuate and update continuously by day/week/month/year.

The import and export of warehouses are complicated (general warehouse, store warehouse, warehouse for each area in the store), so when deploying an online grocery store, businesses need to synchronize the price and quantity of products so that when restocking, the data will not be lost. Weight and cost data on branches are changed under control, avoiding the lack of synchronization between frontend and backend, causing data processing to be interrupted.

At the same time, grocery products are mainly fresh foods such as meat, fish, eggs, milk, etc, so they need to be refrigerated, delivered quickly, or selected with the correct delivery time.

Handling all the problems in the complex operating process of the grocery industry requires a team of highly qualified IT and eCommerce personnel to design an eCommerce system that is suitable for the specific process and requirements of the business – something current SaaS platforms are not enough to meet.

Enhance customer experience

When running an online grocery store, the user experience requirements are very high; from navigating shopping behavior to the checkout process, order delivery needs to be optimized. Because user experience increases the likelihood of customers placing their first order, it also gives customers more reasons to buy again, contributing to a competitive advantage over competitors in the same industry.

There are many ways for businesses to enhance the user experience, such as layering product categories to navigate customers more intuitively and building specialized functions such as quick add products to cart, fast checkout, search enhancements, and product recommendations based on collected data, etc.

5 things to keep in mind for successful eGrocery business
User experience is a crucial factor in the egrocery market.

At the same time, personalizing the user experience is an essential factor in the customer’s shopping journey. Businesses exploit, analyze, and leverage data to build the right customer journey, match consumer behavior, and increase the user experience level of personalization.

Personalize from CMS content and display products to navigate the shopping journey for businesses to increase loyalty and customer lifetime value (CLV).

Implement attractive promotions

The secret of doing an online grocery business is building incentive programs suitable for customer segments.

5 things to keep in mind for successful eGrocery business
Some popular promotions

Some popular promotions that businesses can apply in the early stages include free shipping, buy one get one free, gifts/vouchers, or promotions with specific conditions (certain items reach a particular value).

After that, businesses can deploy loyalty programs such as accumulating points for purchases, VIP membership, converting reward points into discount codes, donating bonus points to charities associated with the brand, subscription plans, etc.

Applying omni-channel

Omni-channel is one of the inevitable eCommerce trends in 2022; the application of Omni-channel will help businesses do online grocery business more conveniently.

5 things to keep in mind for successful eGrocery business
Omni-channel is a crucial business strategy in the egrocery industry

Omni-channel will help customers’ shopping experience be seamless from the physical store to the website, helping businesses follow customers from eCommerce platforms, social networks, websites, etc.

In addition, by collecting and analyzing information from Omni-channel, businesses can efficiently study customer behavior, preferences, and psychology and know whether they are satisfied with the product, service quality, or not to take reasonable measures to change.

It can be said that the grocery eCommerce business has both opportunities and challenges, requiring business managers to think carefully about tactics to make the most effective steps. But, of course, that work is not easy, finding a companion is also tricky, building an in-house team is not easy, and businesses have to pay a lot of opportunity costs and time to reach the “finish line” themselves. 

With experience in successfully implementing complex grocery eCommerce systems like An Nam Gourmet, SECOMM understands grocery businesses’ obstacles. Contact SECOMM now for a free consultation on detailed eCommerce system development solutions!

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Top 5 ecommerce platforms for egrocery
TOP 5 ECOMMERCE PLATFORMS FOR EGROCERY

With the boom in recent years, ecommerce is a potential business form pursued by many businesses, especially egrocery stores. According to Statista, the grocery ecommerce market in the United States is likely to exceed $24 billion by 2023.

Realizing the potential of the egrocery market, several businesses have deployed grocery ecommerce websites early and experienced breakthrough growth, such as Grofers (Blinkit) and BigBasket in India, Bach Hoa Xanh, An Nam Gourmet, Farmer’s Market, WinMart, and Organica in Vietnam.

The common thing that makes the success of the above brands lies in the ecommerce platform. Therefore, to develop and operate an effective ecommerce website, the role of platforms is enormous.

So which ecommerce platforms are suitable for the grocery industry?

Platform selection criteria

User interface and administration interface

For the website interface, in addition to meeting basic needs such as UI/UX standards and showing the brand’s characteristics and the eGrocery industry, businesses also need to focus on the presented product images. Therefore, on the website, everything needs to be synchronized and precise.

The administrator interface (admin) must be easy to use, navigate, control, and manage all data in the system.

Functional system

With eGrocery, the system of ecommerce features needs to be diverse from basic to advanced, solving complex characteristics of the grocery industry such as products with multiple units, weight difference, and price volatility, export-import complex warehouse, and synchronized data throughout the system.

Some functions required in a grocery ecommerce website system such as:

  • Primary functions: Meet the most basic needs when operating an ecommerce system, such as order management, checkout, payment, shipping, etc
  • Advanced Functions: Functions that enhance the consumer experience and accelerate the shopping process such as order tracking, abandoned cart recovery, similar product recommendations, product search fast products, multi-layered product portfolio, etc
  • Specific functions: Functions that help to thoroughly solve the difficulties of implementing specialized grocery ecommerce, meeting the needs of customer segments and businesses such as fast delivery, choice of time delivery point, etc

Integration capabilities

To have a seamless online volatility store system with multiple sales channels, businesses must integrate their ecommerce website with other payment services, shipping services, management software, analysis, report, and distribution systems:

  • Payment: Integrate various payment methods from domestic cards to international cards, such as payment gateways (Paypal, Stripe, OnePay), e-wallets (Momo, ZaloPay), etc.
  •  Shipping: Integrate with international shipping providers like DHL Express, Fedex, Ups, USPS, and popular shipping providers in Vietnam like Fast Delivery, Economy Delivery, Ninja Van, etc. With order tracking applications to help process and operate the delivery processes
  • Management software: Easily integrate CRM, ERP, and POS software to get a seamless connection on all supply channels from offline to online
  • Analysis and reporting: Integrate analysis and reporting software such as Business Intelligent, Google Analytics, Facebook Pixel, etc.

This integration helps businesses overcome the limitations of the “rice-powered” process, increase the automation of the system, limit business mistakes, and ensure high accuracy and performance.

Ability to extension

To accompany businesses to develop over time, from startups, and SMEs (small and medium enterprises), to large corporations, from B2B, B2C, and D2C business models to B2B2C, commerce electronics platforms must be highly scalable. High scalability helps meet all future business growth needs, such as multi-site, multi-country, and multi-currency, all manageable on “one screen.” Not only that, but highly scalable platforms also support businesses to operate the system stably regardless of the traffic in promotion campaigns.

Evaluate 5 ecommerce platforms for egrocery business based on each criterion

Top 5 ecommerce platforms for egrocery
Some platforms that support egrocery business: Ziel Commerce, Shopify, Haravan, WooCommerce, Magento

Ziel Commerce

Ziel Commerce is a readymade grocery ecommerce platform with all the features designed to support an online grocery store business.

Top 5 ecommerce platforms for egrocery ZielCommerce
Ecommerce platform Ziel Commerce

Website interface

Ziel Commerce provides a repository of themes specifically for the grocery industry, allowing businesses to customize according to their needs, helping to both reflect the characteristics of the industry and position the brand image.

Remarkably, the interface for administrators is also invested by the founders to make it most accessible for businesses to use. But currently, Ziel Commerce is not popular in the Vietnamese market, so there is no Vietnamese version for businesses.

Functional system

As a platform designed specifically for the eGrocery industry, Ziel Commerce can meet all the most specialized needs of businesses, including fundamental to advanced functionality systems and existing industry-specific solutions.

Integration capabilities

Ziel Commerce has a significant drawback in integrating the website system. In addition, this platform only supports add-ons available in its ecosystem, so businesses will not be able to link with the ERP, POS, CRM, BI, etc., systems in use. Therefore, when using Ziel Commerce, companies need to transfer all existing data to the server of this platform.

Ability of extension

Although it does not own the source code, Ziel Commerce is still a highly appreciated platform for its scalability compared to SaaS platforms. Ziel Commerce supports businesses to expand their ecommerce website system from one to many stores/websites, multi-language, multi-currency without many obstacles. However, in the long run, Ziel Commerce cannot support businesses to expand or develop new functions because firms cannot affect the source code; if it affects it, it will cause instability for the commercial website system. 

→ Rating: 3/4

Ziel Commerce provides an almost comprehensive online grocery store website building solution for businesses, from website interface and functional system to scalability. However, the implementation cost is relatively high, about $50,000/project in 6 months. Therefore, Ziel Commerce is only popular with retail chains, has high functional demand, and operates mainly abroad. However, when using Ziel Commerce, businesses should consider adding the platform’s integration, limiting instability in the operation when 3rd party systems are not compatible with the platform.

Shopify

Shopify is a SaaS ecommerce platform favored by the international ecommerce business community because of its fast implementation time and reasonable starting cost.

Top 5 ecommerce platforms for egrocery Shopify
Ecommerce platform Shopify

Website interface

Shopify provides a variety of interfaces, including grocery industry and UI/UX standards, but cannot be edited according to the characteristics of the business.

Functional system

Shopify’s functional system is relatively complete, meeting the basic needs of businesses. But to use advanced functions, companies have to pay a certain amount of money every month, leading to an increased cost of using the functional system. In addition, even Shopify can barely provide eGrocery industry-specific resolution functions.

Integration capabilities

Because it is a SaaS platform, businesses cannot affect the source code, and it is not easy to integrate with many 3rd parties. Companies can only integrate utilities provided by Shopify or a platform partner.

Some utilities that companies can integrate with Shopify include:

  • Payment: Paypal, Stripe, SagePay, AliPay Global, etc
  • Shipping: DHL Express, USPS, UPS, etc
  • Administration: Microsoft Dynamic 365 (ERP), Oracle NetSuite (ERP), Acumatica (ERP), etc
  • Marketing: Google Tools, MailChimp, Facebook Pixel, etc

Ability of extension

Similar to the ability to integrate, the scalability on Shopify is not high because businesses cannot influence the source code to edit and upgrade the website. Therefore, online grocery businesses can only use Shopify for the first time.

→ Rating: 2/4

Shopify is only suitable for businesses new to the ecommerce market, startups, or SMEs (small and medium enterprises) because of the reasonable development cost and time to deploy an online grocery store business website.

Haravan

Founded in 2014, Haravan is an ecommerce platform based on Shopify. Currently, Haravan is a popular platform in the Vietnamese market with more than 50,000 business people and trusted brands.

Top 5 ecommerce platforms for egrocery Haravan
Ecommerce platform Haravan

Website interface

Haravan has many standard UI/UX interfaces suitable for the grocery industry, including free and paid. At the same time, the interface for administrators supports Vietnamese and is easy to use, so businesses do not face many difficulties when using it.

Functional system

Haravan provides many utilities – functions for online grocery stores in Vietnam.

In addition, similar to Shopify, to use more advanced functions, businesses have to pay a monthly application fee of about 100,000 VND/month/app.

However, businesses can’t find parts that deal with the grocery’s specifics in Haravan’s app store and can’t develop in terms of specific functions. Enterprises can only use the functions included in the package and app store.

Integration capabilities

For integration capabilities, Haravan can integrate with Haravan’s partners such as transportation (Economic Delivery, Fast Delivery, Ahamove, GrabExpress, etc.), payment (Ngan Luong, VNPAY, Napas, PayPal, etc.), etc.).

It is difficult for businesses to integrate for 3rd party utilities outside Haravan’s ecosystem on their ecommerce website.

Ability of extension

As for the extension of the ecommerce website system, Haravan can only support the multi-language – currency but cannot expand from one to many websites/stores. It is challenging to manage all the data on a foundation.

As the business gradually grows and expands, Haravan will no longer be functional enough to maintain an online grocery store business. As a result, companies are forced to switch to more specialized platforms such as Magento, WooCommerce, and OpenCart. But, of course, switching platforms will create many other problems such as costs, time, personnel, etc.

→ Rating: 2/4

Similar to Shopify, Haravan is only suitable for businesses new to the ecommerce market, startups, and SMEs. But Shopify can support online grocery business globally, and Haravan only stops at the Vietnamese market.

Woocommerce

WooCommerce is an open-source platform in the form of a WordPress plugin, allowing businesses to use it completely free.

Top 5 ecommerce platforms for egrocery WooCommerce
Ecommerce platform WooCommerce

Website interface

WooCommerce and the community provide businesses with various themes designed for the grocery industry. At the same time, this platform also allows influencing the source code to customize according to needs, helping businesses quickly convey brand messages and images.

Since WooCommerce is a WordPress plugin, the admin will continue to manage the website on the WordPress interface itself. This makes it easy for businesses using WordPress to adapt, use, and navigate on the WooCommerce dashboard.

Functional system

WooCommerce supports a variety of features, from basic to advanced. However, this platform has some limitations on features specific to the grocery industry because interfering with developing these functions will easily cause instability for the website system.

Integration capabilities

Thanks to the advantages of the open source platform, WooCommerce has flexible customization capabilities and supports integration with many 3rd party utilities.

In payment, businesses can use amount plugins such as Stripe, PayPal, Apple Pay, and Square to their ecommerce website system with high security and safety. In addition, companies can integrate with many shipping providers such as Fedex, Ups, USPS, and DHL Express. The WooCommerce platform also allows businesses to integrate with management software such as Odoo, Square POS, WP ERP, and Marketing software such as Google Listings, Google Ads, and Facebook Pixel to support businesses in effective business management. More fruitful.

Ability of extension

Contrary to the integration capabilities, the extensibility of WooCommerce is not appreciated. Because the system is easily overloaded with plugin themes, and the number of products does not exceed 2000 SKUs (Stock Keeping Unit). Therefore, businesses wishing to expand their website system need to consider when using this platform in the long run.

→ Rating: 3/4

WooCommerce is the right platform for grocery businesses that use WordPress and are looking to develop an ecommerce system. But when using WooCommerce, companies should consider the limitations of integration, extensibility, and customizability of specific features.

Magento

Magento is a popular open source commerce platform in ecommerce, with nearly 200,000 websites in use. Currently, Magento has 2 versions: Magento Open Source (free) and Magento Commerce (paid).

Top 5 ecommerce platforms for egrocery Magento
Ecommerce platform Magento

Website interface

Although Magento does not own a rich theme store like other ecommerce platforms, businesses can look to the developer community, market (Envato), or design their own. Having many options when designing the interface helps Magento websites to have their uniqueness, avoid overlapping the interface with many different websites and bring a higher shopping experience.

Previously, the admin interface on Magento 1 was often considered difficult to use and took a long time to adapt. As a result, Magento publishers developed Magento 2 with a more intuitive and easy-to-navigate dashboard to overcome this problem.

Functional system

The Magento platform has a highly diverse system of features from basic and advanced to industry-specific to help grocery businesses quickly build and develop a sustainable system.

A basic functional system, including catalog management, product management, customer management, report analysis, etc., helps meet the basic needs of a convenient online grocery store business.

In particular, Magento also has many advanced functions for ecommerce, such as multi-language support, multi-currency, multi-store, PWA, MSI, ElasticSearch, etc. Shopping happens faster.

Magento does not have built-in features only for the grocery industry regarding specific features. Still, businesses can quickly build a system of particular features such as category classification, quick search, and delivery time selection thanks to flexible customization on open source code.

Integration capabilities

Thanks to the advantages of the open source platform, the Magento website can be easily integrated with any 3rd party utilities, from payment, shipping, and business administration.

Regarding payment, Magento easily connects with today’s popular payment methods such as card payments (domestic cards, VISA, Mastercard), e-wallets (MOMO, Zalopay), and payment gateways (OnePay, VNPay, etc.) PayPal) or COD, which helps to diversify payment methods.

Magento can integrate with shipping providers such as Fast Delivery, Economy Delivery, Viettel Post, and order tracking applications.

Magento can be integrated into back-office management software (ERP, CRM, POS) such as SAP, Salesforce, and Oracle to help operate all resources and processes seamlessly in the enterprise.

In addition, Magento also supports integration with business analysis tools such as Power BI, Tableau, and Looker and analysis and reporting utilities such as Google Analytics, Google Tag Manager, and Facebook Pixels to exploit all data from the system. As a result, Magento plans to improve its business strategy.

Ability of extension

Magento allows businesses to expand from one website to many different websites on the same system to meet the needs of business development. In addition, with the available support for language and currency conversion from Magento, businesses can build a grocery ecommerce system with content suitable for a diverse audience of customers around the globe.

In addition, open source customization enables Magento developers to build functional solutions specific to the grocery industry. This advantage makes Magento expand the system of capabilities according to each business size, from small businesses to large-scale corporations.

→ Rating: 4/4

Because Magento possesses many outstanding advantages, from website interface and functional system to the ability to integrate and expand, Magento is suitable for a variety of grocery business models from B2B, B2C to B2B2C, a multiform of enterprise-scale such as startup, SME, enterprise (large corporation). However, the time to deploy ecommerce on Magento is usually long – from 6 months to 1 year, with high construction costs of about 50,000 – 100,000 USD/project. At the same time, businesses also need to have a professional team or cooperate with experienced units to develop an effective grocery ecommerce system. Therefore, Magento is popularly used in the community of large-scale businesses that need many functions to increase user experience.

Top 5 ecommerce platforms for egrocery
Top 5 ecommerce platforms for egrocery

Choosing the right platform is the first and most significant step when building a grocery ecommerce website. Selecting the right ecommerce platform will help businesses save budget and time in building a website while increasing competitive advantage and sustainable growth. On the contrary, choosing the wrong forum will cost businesses a lot of time and budget to deploy and switch platforms. Therefore, companies need to consider the goals and problems in the current model to choose the most suitable platform.

With experience in successfully implementing complex grocery ecommerce systems like An Nam Gourmet, SECOMM understands grocery businesses’ obstacles.

Contact SECOMM now for a free consultation on detailed ecommerce system development solutions!

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nền tảng thương mại điện tử SaaS - Top 3 SaaS eCommerce platforms: Haravan, Shopify and BigCommerce
TOP 3 SAAS ECOMMERCE PLATFORMS: HARAVAN, SHOPIFY, AND BIG COMMERCE
A SaaS (Software as a Service) eCommerce platform is a software-based delivery mechanism for e-commerce business purposes. In short, the supplier develops software to aid in developing an eCommerce system, and the firm must pay a fee to use this service.

Many firms have selected SaaS eCommerce platforms to create e-commerce enterprises for brands because of their essential qualities, which can rapidly install eCommerce at a low cost.

Haravan 

In Vietnam, Haravan is the most popular eCommerce platform that allows multi-channel sales. This platform was officially launched in 2014, aims to assist companies in developing professional e-commerce websites at an affordable cost.

Haravan - Top 3 SaaS eCommerce platforms: Haravan, Shopify and BigCommerce
Haravan is a popular multi-channel e-commerce platform in Vietnam

Themes

Haravan provides many UI/UX themes so that firms may select a design that suits the brand’s image. At the same time, many organizations regard the admin interface to be easy to use. However, companies must pay additional fees to raise the number of admin accounts.

Features 

Haravan has an extensive feature store that supports multi-channel sales for enterprises, including POS (Point of Sales), social commerce (Facebook, Instagram, TikTok, etc.), eCommerce marketplace (Tiki, Shopee, Lazada, Sendo), and company websites.
Furthermore, Haravan incorporates various utilities to enhance the user’s experience, such as cart management, payment services (Momo, Moca, VnPay, Visa, etc), and transportation (Giao Hang Nhanh, Giao Hang Tiet Kiem, Ninja Van, DHL, etc).

Haravan’s essential features, on the other hand, are just enough for businesses to run their web operations successfully but not ideal sufficient for long-term development. In addition, because Haravan is a SaaS platform, organizations find it difficult to customize or expand functionality outside of its ecosystem.

Deployment time

Haravan’s drag-and-drop manipulation allows companies to create an eCommerce website with all the critical functionality for business online in around 30 minutes.

Deployment costs

Businesses must pay a monthly charge ranging from 200,000 VND to 3,000,000 VND based on their demands:

  • Standard (200,000 VND/month): Appropriate for independent sellers
  • Pro (600,000 VND/month): For organizations who wish to implement Omnichannel
  • Grow (1,500,000 VND/month): For firms need automating processes to take care of and resell current customers
  • Scale (3,000,000 VND/month): Help establish loyal customers

Haravan is now gaining popularity in the Vietnamese eCommerce business, particularly in the B2C model or low-involvement product business, due to its ability to deploy with affordable charges swiftly. Vinamilk, Juno, and L’Oréal are some companies that use Haravan.

Shopify

Shopify is a software-as-a-service platform for online retailers and point-of-sale systems. Shopify is popular among the eCommerce community due to its simplicity, quick development timelines, and low setup expenses.

Shopify - Top 3 SaaS eCommerce platforms: Haravan, Shopify and BigCommerce
Shopify is a software-as-a-service platform for online retailers and point-of-sale systems.

Themes

Shopify provides many attractive themes that are device-agnostic and ideal for a broad array of industries. Shopify’s admin dashboard is simple to use, and it offers a Vietnamese version for Vietnamese firms. Like Haravan, firms must upgrade their service packs to expand the number of admin accounts.

Features 

Shopify provides more tools and add-ons than Haravan, ranging from order administration to product research and company planning and marketing for SMEs.
However, as Shopify cannot be modified or expandable like an open source eCommerce platform, businesses will have to pay extra fees for some particular functionalities.

Deployment time

Depending on the system’s complexity, each business will need some time to get used to Shopify. Still, in general, it will not take long for companies to establish a website, taking between 1 and 2 days on average.

Deployment costs

Shopify has created a variety of packs for companies to choose from:

  • Basic Shopify ($29/month): Suitable for new businesses with small sales.
  • Shopify ($79/month): Appropriate for growing online enterprises
  • Advanced Shopify ($299/month): Ideal for firms that need to expand and want advanced reporting capabilities.

Shopify also creates different service bundles to meet a range of organizations:

  • Shopify Lite ($9/month): Ideal for businesses to integrate sales buttons and payment services into an existing website or blog.
  • Shopify Plus ($2000/month): Offer a sophisticated eCommerce solution for large enterprises that need to process high-volume orders.

Shopify is constantly developing and enhancing its offerings to meet a wide range of customer requests rapidly and effectively, making it perfect for B2C enterprises. However, the monthly cost is a significant impediment because firms must pay significantly more to use extra functions. Sony Vietnam, Vsmart, and DHC Vietnam are some Vietnamese companies that use Shopify.

BigCommerce

BigCommerce is a SaaS platform that launched in 2009 and has made a significant impact on the eCommerce developer community. Despite being founded later than other platforms, BigCommerce does not fall behind in terms of a functional system, theme store, and so all.

BigCommerce - Top 3 SaaS eCommerce platforms: Haravan, Shopify and BigCommerce
BigCommerce is a well-known SaaS platform in the field of e-commerce web developers.

Themes

BigCommerce provides a wide range of visually appealing themes and adapts to customer behavior, including 12 free versions and over 160 professional ones.  BigCommerce’s admin dashboard is easy to use, and it supports businesses in rapidly setting up eCommerce websites. However, since BigCommerce does not offer a Vietnamese version, firms must hire and train English-qualified employees to manage the site.

Features 

BigCommerce’ packages are jam-packed with features and add-ons to help businesses achieve solid internet business. However, BigCommerce’s capacity to customize and expand functionalities remains limited, restricting firms from adapting to their needs to deal with industry-specific difficulties.

Deployment time

Thanks to its drag-and-drop page builder feature, the time it takes to establish a website on BigCommerce is shortish. BigCommerce construction process takes about 1-2 days on average.

Deployment costs

BigCommerce now supports three package options and one on-demand solution:

  • Standard: $29.95/month for businesses with more than $50,000 in revenue
  • Plus: $79.95/month for enterprises with more than $180,000 in revenue
  • Pro: $299.95/month for companies with more than $400.000 in revenue
  • Enterprise: For firms with high sales volumes, costs will be calculated depending on the brand’s online sales

Moreover, BigCommerce will charge you additional fees based on your online sales.

Overall, BigCommerce is not inferior to Haravan or Shopify in every way; nevertheless, the central issue right now is that this platform does not support Vietnamese enterprises.

Which SaaS eCommerce platform is best for your company?

Inheriting the advantages of a SaaS eCommerce platform, all three platforms are easy to use, with various themes and functions for quick construction at a reasonable cost.

nền tảng thương mại điện tử SaaS - Top 3 SaaS eCommerce platforms: Haravan, Shopify and BigCommerce
Haravan, Shopify, and BigCommerce all inherit the advantages of the SaaS eCommerce platform.

Businesses that solely conduct business in Vietnam may choose to use Haravan to take advantage of cost-competitive benefits and functionalities tailored to suit Vietnamese shopping habits. Shopify and BigCommerce are options to explore if you want to develop your business worldwide. Simultaneously, Shopify is ranked higher for providing great 24/7 live chat support, which will aid companies in addressing difficulties as quickly as possible. As a consequence, Shopify will be ideal for large-scale and high-volume enterprises. BigCommerce, on the other hand, compresses functionality into more affordable solutions and is not restricted to the number of administrators like Shopify, making it suitable for small or medium-sized businesses.

However, using SaaS eCommerce platforms like Haravan, Shopify, and BigCommerce in the long term would result in the following deficiencies:

  • Duplicate design ideas: Using the given interface will easily be similar to other websites, making it hard to show the brand’s distinctive qualities.
  • Difficult to customize functionality: Because these platforms are not as flexible as Open Source eCommerce platforms, firms may only select from existing options and customize to the extent permitted. In the future, it will be essential to change to build advanced and specialized functions based on the features of products and industries to meet the demands of customers and the expansion of companies through time. Switching to an Open Source eCommerce platform such as Magento, OpenCart, WooCommerce, etc will take a significant amount of time and money.
  • A lot of fees: Because of the monthly charge, the longer you use it, the more expensive it is to use the website. Furthermore, Shopify and BigCommerce impose extra fees based on online revenue.
  • Do not own the source code: If the contract with these platforms is canceled, the company will no longer utilize the source code of the website and will have to rebuild it from scratch on the new platform. Switching platforms is not only time-consuming and expensive, but it may also result in data loss or misalignment.

SECOMM has significant experience developing complicated eCommerce websites in different countries, and we know the challenges that businesses face when selecting and implementing an e-commerce platform.
Contact SECOMM for a free consultation on eCommerce website development!

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So sánh nền tảng thương mại điện tử SaaS và mã nguồn mở - SaaS eCommerce Platform vs. Open Source eCommerce Platform
SAAS ECOMMERCE PLATFORMS VS OPEN SOURCE ECOMMERCE PLATFORMS
The technological infrastructure is regarded as the core value for the whole eCommerce system, and selecting an appropriate platform will assist firms in growing sustainably and developing extensively in the market.
Businesses must first grasp the benefits and drawbacks of each type of platform before making a decision. Ecommerce platforms are classified into two groups based on their implementation characteristics: SaaS (Software as a Service) Platforms and Open Source Platforms.

SaaS eCommerce Platform

A SaaS eCommerce Platform is a service delivery paradigm for developing a software-based website system. Data is kept on the provider’s server system under this approach, and that platform is in charge of dealing with technical concerns for the business.

So sánh nền tảng thương mại điện tử SaaS và mã nguồn mở 1 - SaaS eCommerce Platform vs. Open Source eCommerce Platform
Many Vietnamese firms use SaaS platforms like Haravan, Shopify, and BigCommerce

Advantages of SaaS eCommerce Platform

Available eCommerce system

The provider pre-designs the SaaS platform for the full system, from hosting, interface, and features to technological infrastructure maintenance. As a result, organizations can quickly create and manage a website system without worrying about technological concerns.

Furthermore, the platform developer offers firms 24/7 assistance through live chat, desk help, or a hotline while the platform is in operation.

So sánh nền tảng thương mại điện tử SaaS và mã nguồn mở 4 - SaaS eCommerce Platform vs. Open Source eCommerce Platform
The Haravan platform’s website management interface
So sánh nền tảng thương mại điện tử SaaS và mã nguồn mở 5 - SaaS eCommerce Platform vs. Open Source eCommerce Platform
The Shopify platform’s website management interface
So sánh nền tảng thương mại điện tử SaaS và mã nguồn mở 6 - SaaS eCommerce Platform vs. Open Source eCommerce Platform
The BigCommerce platform’s website management interface

Various interfaces and functionalities

The SaaS eCommerce Platform includes a multitude of functionality and appealing UX/UI interfaces, making it suitable for a variety of businesses.

Furthermore, these platforms include wide range of essential eCommerce functions, including product administration, order management, customer management, marketingbusiness analysis, and reporting to let firms quickly develop an e-commerce website. Moreover, extensions such as Omni-channel, Affiliate Marketing, E-Payment, E-Logistic, and so on are constantly added to these platforms to strengthen the e-commerce system.

Quick implementation

The time it takes to establish a website on a SaaS eCommerce Platform is quite fast, ranging from 1 to 7 days on average, depending on the website’s setup.

Affordable investment budget

The initial building cost is pretty cheap because firms would pay monthly or yearly use fees (subscription-based) to establish a website using SaaS eCommerce Platforms, such as:

  • Haravan: 
    • Standard (200,000 VND/month): Appropriate for independent sellers
    • Pro (600,000 VND/month): For organizations who wish to implement Omnichannel
    • Grow (1,500,000 VND/month): For firms need automating processes to take care of and resell current customers
    • Scale (3,000,000 VND/month): Help establish loyal customers
  • Shopify:
    • Basic Shopify ($29/month): Suitable for new businesses with small sales.
    • Shopify ($79/month): Appropriate for growing online enterprises
    • Advanced Shopify ($299/month): Ideal for firms that need to expand and want advanced reporting capabilities.
  • BigCommerce:
    • Standard: $29.95/month for businesses with more than $50,000 in revenue
    • Plus: $79.95/month for enterprises with more than $180,000 in revenue
    • Pro: $299.95/month for companies with more than $400.000 in revenue
    • Enterprise: For firms with high sales volumes, costs will be calculated depending on the brand’s online sales

Aside from the monthly/yearly licensing charge, businesses must pay extra expenditures such as interface fees, new features, expanding the number of backend users, and POS (Point of Sale) to grow the eCommerce system.

Disadvantages of SaaS eCommerce Platform

Having no control over the source code and data

Because the enterprise’s whole website system is housed on the provider’s server, ownership and control of the website source code will belong to that platform, not the firm.  Businesses who transfer platforms can no longer utilize the previous site source code and must rebuild from scratch on the new platform. Moreover, data loss or misalignment is usually unavoidable.

The enterprise’s data, like the source code, is likewise kept on the provider’s server, thus ownership and control over the data remains constrained. There are many difficulties for not owning and controlling data, such as linking data between departments, customizing users, and so on.

Poor scalability and flexibility

Because the website system depends on the SaaS platform, customization and expansion are currently limited. When it comes to upgrading existing features, developing new functions for the company’s development, in line with the particular requirements of the product and industry, and optimizing the user experience, SaaS platforms are frequently unable to adapt. As a result, switching platforms after a period of usage is unavoidable, and of course, this change will take significant time and money for the company.

Usage costs increase over time

Because you must pay monthly or yearly license fees, the longer you use the higher the overall cost of use. Furthermore, the SaaS eCommerce Platform charges on the revenue online sales.

For example, various Shopify apps, such as DCart (Create Discount Codes on Cart), OctaneAI (Similar Product Suggestions), Ali Reviews (Product Reviews), and others, would charge a monthly fee, average $10 /month/features. The more applications that are installed, the more the monthly or yearly expenses will be.

So sánh nền tảng thương mại điện tử SaaS và mã nguồn mở 3 - SaaS eCommerce Platform vs. Open Source eCommerce Platform
Businesses need to pay about $10/month/additional functionality on Shopify

Businesses can use the SaaS platform if they wish to enter the e-commerce industry rapidly, have minimal need for customization, and do not need to enhance the system. As a result, SaaS systems are frequently selected by startups, SMEs (small and medium enterprises), and businesses just getting started in the e-commerce industry.

Open Source eCommerce Platform

Open Source is software whose source code is publicly available and freely used by anyone.

Because the data and source code will be housed on a separate server system, Open Source eCommerce Platforms have the opposite aspects of SaaS platforms. Businesses that use open source platforms must collaborate with professional website developers or build a highly specialized in-house team for the website system to achieve maximum efficiency.

So sánh nền tảng thương mại điện tử SaaS và mã nguồn mở 2 - SaaS eCommerce Platform vs. Open Source eCommerce Platform
The most popular Open Source E-Commerce Platforms are Magento, WooCommerce (WordPress plugin), OpenCart, and PrestaShop

Advantages of Open Source eCommerce Platform

Control the data and own the source code.

Businesses have complete ownership and control over the source code and data on the system due to the characteristic of being housed on a separate server system. As a consequence, while deploying an eCommerce website, companies only need to pay development expenses in order to utilize the source code, rather than monthly/yearly license fees just like SaaS platforms. At this point, you could reuse the previous source code if you change developers or platforms. Furthermore, security is improved, reducing hacker attacks, server failures, and technical faults from staff and consumers.

So sánh nền tảng thương mại điện tử SaaS và mã nguồn mở 7 - SaaS eCommerce Platform vs. Open Source eCommerce Platform
Owning the source code and controlling the data is the great advantage of open source eCommerce platforms

Customize the interface to meet your requirements.

Businesses have more choices in developing their website’s interface to boost brand image and maximize revenue since they use Open Source eCommerce Platforms.

Currently, there are three methods for designing interfaces:

  • Use pre-existing themes: Like SaaS platforms, organizations can select and use pre-existing themes from the market, development community, or cooperation unit. This method will help businesses save the most money since a standard UX/UI theme costs between $50 and $200 on average.
  • Customize the interface based on an existing theme: Similar to the preceding method, but instead of purchasing and using the same theme, firms may design their own traits by rewriting the website’s code at the front-end. Since then, organizations have cut expenses while also expressing their own distinct characteristics.
  • Create your own user interface: To effectively position the brand on the website, the interface should be created individually. This is typically more expensive than utilizing a theme, but it addresses the most particular and specific requirements of the company.

Full of features and add-ons

In terms of website system features, Open Source eCommerce Platforms are quite superior to SaaS platforms. Not only have basic functions, but Open Source eCommerce Platforms also have many advanced features such as quick search, similar product suggestions, abandoned cart notifications, real-time productsand so on.

In addition, the Open Source eCommerce Platforms also has many add-ons that are improved, provided, and shared by the developer community.

Great flexibility

Because organizations control their own source code, they can simply update the functional system, build new features, or expand the system to suit business demands and meet consumer needs. At the same time, the open-source code’s flexibility allows businesses to easily link with third-party utilities in order to run the system.

Disadvantages of Open Source eCommerce Platform

Require a professional team or experienced developer

It is hard to build “tailor-made” systems for each firm with a system of various e-commerce features ranging from basic to complex, therefore systems developed on open source e-commerce platforms frequently have high accuracy.  As a result, in order to build and function efficiently, a specialized team or development organization must have strong knowledge and several years of experience.

Prolonged setup time

Deployment times for open source e-commerce platforms are frequently lengthier than those for SaaS platforms. Depending on the complexity of the functional system, the average amount of time for the IT team to build a website varies from 3 months to 1 year.

Expensive development

Using an open-source platform is basically free, but having a full e-commerce system from website to mobile app needs a significant commitment of your own labor. The in-house IT team will design interfaces and functions. As a result, the initial cost of developing an e-commerce website using an open-source platform is pretty expensive, an average of $10,000 per project.

So sánh nền tảng thương mại điện tử SaaS và mã nguồn mở 8 - SaaS eCommerce Platform vs. Open Source eCommerce Platform
The initial cost of developing an e-commerce website using an open-source platform is around $10,000 per project

The Open Source eCommerce Platform is suited for all sorts of enterprises due to its numerous features. However, budget and implementation time restrictions have kept many small and medium-sized businesses from utilizing it. Large firms frequently engage in these platforms to construct specialized and specialized eCommerce systems.

In general, the decision of which eCommerce platform to select will be determined by each firm’s business plan, budget, and time of eCommerce development.

In the early stages, firms who are new to eCommerce or have a restricted budget would often use a SaaS platform to develop a simple eCommerce website. Following that, companies will switch to an Open Source eCommerce Platform to develop a comprehensive eCommerce website. However, due to budget constraints and the prolonged time required to move platforms, firms must exercise caution while selecting these platforms. Nowadays, some organizations have decided to begin an eCommerce business with an Open Source eCommerce Platform and then progressively enhance their websites over time in order to gain the lead in the market and avoid switching platforms.

SECOMM has spent over 7 years implementing complicated e-commerce systems in a variety of nations, we know the challenges that businesses face.

Contact SECOMM now for a free consultation on how to select a long-term eCommerce platform!

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markets and businesses
INTERACTIONS BETWEEN MARKET AND BUSINESS
The business is a very diminutive part of a market; on the contrary, the market is a vast forest, including all transactions and many customers, respectively. During the operation process, the good-supply by the seller, combined with the buyer’s good-consumption, will create the circulation of goods and the business’s development. However, interactions between market and business are the main driving force for all factors to develop in orbit and increasingly innovate according to the times’ improvement and transformation.

1. How does the market contribute to business growth?

The market is the foundation for creating a business’s original values, deciding essential requirements and conditions a business needs to achieve to enter the stage of market presence. From then, customers with specific demands will choose to buy the items they want. The ultimate goal of a market is to meet the needs of commodity exchanges precisely. This process continuously compels businesses to maintain and update their business operations, immediately adapting to customer requirements and not falling behind other competitors in the same market.

business growth
A market contributes to creating the environment of its businesses inside, which can be requirements and conditions for a company to approach the target customer with itself products or services

The market helps businesses approach customer behaviors more deeply, which is very important in resource management. That also presents in data sources such as the number of selling goods, rising goods consumption, or figures showing a sharp drop in merchandise sales due to the disease’s impact. These factors will contribute to the next analysis steps from collected data, approach the operation process more accurately, simultaneously regulate the level of goods production to meet just enough customer needs, avoid goods-excess or -shortage.

A market will reflect the competitiveness, scale, and position of all businesses within the market-share concept. Determining market share will point out precisely the revenue dimension compared to other competitors, also contribute to research and development activities, clearly identify competitors, customers, strengths, weaknesses, and at the same time, aim for following strategies to improve or increase sales.

2. What a business can do for its market?

Under the control and dominance of a market, businesses also contribute their values ​​to the general development custom, creating different development orientations and characteristics for each market type.

The competition among businesses promotes a much more vibrant market. It is also the driving force for enterprises to change and perfect day-to-day operating systems, update the trend not to fall behind other similar competitors, and finally optimize the customer experience.

vibrant market
Business is the driving force for the whole market to change and perfect itself every single day

Business growth expands the market dimension and stability. A speedily growing business will supply more substantial quantities of goods, focusing on research and improving goods quality. This approach will attract more potential customers; also new companies. The full penetration of market factors (sellers and buyers) concurrently affects the market size compared to a general economic picture.

3. Interactions between market and business in the digital transformation

Over 50% of companies are aware of the impact of the Industrial Revolution 4.0 and feel it is taking place day by day. However, more than 70% of businesses do not fully understand their technology systems’ status and have yet to ascertain where and when to start deploying digital transformation.

While many other companies have quickly grasped and implemented digital transformation strategies for a long time and achieved specific success in the market, most of the remaining companies struggled with financial and technological problems. That contrary also affects the market, makes it move slowly and miss technology updates. Therefore, to successfully digital-transform, the interactions between market and business should not be overlooked.

interactions between market and businesses
The digital era has had the opportunity to witness firmer and tighter interactions between markets and businesses

First, market and business must satisfy the fundamentals of digital transformation, including connectivity and a stable internet platform. Connectivity refers to connection size and speed. Connection needs will increase continuously in the future, allowing businesses and markets to ignore their customer networks’ connections.

Next, the connection speed needs to be improved to help data transmission and processing take place faster. Since ecommerce sites have become more and more popular, customers have more options when shopping, and there is no reason to waste time waiting for a too slow-speed website. That is why the Internet platform is a vital imperative requirement to promptly meet the needs of markets, businesses, and users in the digital age. The Internet has become an essential part of daily life and a cornerstone facilitating the digital transformation process, promoting innovation, creativity, and new technology applications to the existing civilization.

Besides, focusing attention on improving digital skills for human resources is also a way to tighten the interactions between market and business. Digital transformation tends to impact old business models to upgrade and improve them into leaner and much more modern models. That prediction significantly affects human resources when some jobs have been automated and operated by artificial intelligence without humans. However, these automation jobs can produce more brand-new alternative jobs, namely quality management, market research and development, and product development.

Nevertheless, at the same time, it also raises the requirement to improve the capacity and digital skills of all existing human resources. Information technology skills have gradually become an essential condition for each individual to fully meet the labour market’s basic needs, especially when ecommerce becomes a trend worldwide. However, the ecommerce market also needs to improve data security issues, logistics, and payment security to gain the highest trust from customers and further development in the future.

The interactions between market and business are often subject to significant impacts from common development tendencies, technological advancements, and other digital transformation issues that make sense to be continuously updated and changed procedures to suffice customer needs and experience. Within those interactions, businesses will perform digital transformation responsibilities from the market requirements and vice versa; the market is the environment showing the exact business outcomes. When having reached the capacity and position, businesses can create a different market themselves with a stable and sustainable customer source.

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data digitization process
THE THOROUGH PROCESS OF DATA DIGITALIZATION
In the context that the 4.0 era opens up an essential evolution for human society, data has become a priceless treasure of enterprises in researching objectives to implement business strategies comprehensively. It is also about time for businesses to admit a complete data digitization formula to optimize this process’s benefits. Therefore, digitizing data becomes a mandatory transformation requirement that companies need to complete to adhere to modern market trends and the inevitable development era. Data digitization will be the core foundation for more extensive digital transformation layers in a more prolonged vision.

1. Complete preparation for the data digitization process

Data digitization is a data-transforming process from traditional paperwork to digital format databases. After digitization comes to completion, the database will be stored and managed by software or technology platforms, enhancing this data system’s security and accessibility. This enhancement is an obligatory transformation requirement for traditional business models as most businesses face operational and management problems. At the same time, start-ups already can access new technologies and have a more modern changing mindset.

First things first, there are many difficulties in storing and preserving paper-printed documents. They are often bound to form in book-types with large sizes. Secondly, paperwork makes searching, synthesizing, and analyzing unnecessary time-consuming. Meanwhile, digital data sources can streamline the bulk of previous paperwork while still having enough digital space to store in the data systems. Those systems especially have many advantages about security and flexibility in supporting data analysis and research for business development strategies.

An essential data digitization process goes through 3 main stages: data classification, format conversion, storage, and management.

Data classification

To fully prepare for a digital data plan, businesses can start by sorting and sifting through document types according to digitalization objectives and strategies. Specifically, retailers can prioritize the data of products, inventory, customer information, or ordering reports. Besides, operating-oriented businesses may consider using internal data sources for in-house working and managing processes such as accounting data, factory data, operating records, and other related types.

data classification
Data classification helps to select and categorize the high-volume of information resource in a business

Format conversion for data digitization preparation

In the next conversion step, paper documents will be scanned and converted to image sources such as JPG, TIFF, GIF, PNG, RAW… With a much more improved budget, an organization can take advantage of more breakthrough technologies, namely AI, Machine Learning, Big Data… to digitize paper-printed data into editable formats. The data will then become streamlined and stored in data systems for the later exploiting and editing objectives.

Data storage and management

The benefits of digital data management systems are the minimization of storing space and cost, access time, operation, and management costs, simultaneously providing the optimization of security and data mining performance. These systems operate under two main requirements: the first is to store, the second is to support data access flexibly and quickly.

store and manage data
Almost digital data management systems allow users to store huge-range data and access them flexibly

One of the essential tasks is to use the right technology at a particular milestone to optimize the process’s quality and time. When matching both the above requirements, businesses no longer need to worry about the budget-exceeds anymore.

2. The role of digital data management systems

Solutions for data digitization processes will be much more comprehensive by using digital data management systems tailored to the data storage and access needs. Businesses also easily use data for business research and development objectives, improve products, service quality, or produce brand-new products and services to meet customer demands. Essentially, digital data management systems can:

  • Ensure data integrity. Digital data systems are a complete alternative to physical document storage spaces (paperwork, shelves, archives, etc.). This solution will reduce the previous cumbersome data-types while restricting the loss, fragmentation, or data damage.
  • Make information more proactive. Data migration to digital systems keeps it available for mining and fast retrieval of analytical, research, and statistical reports. Data will no longer be limited, but on the contrary, businesses can access it anytime, anywhere.
  • Minimize seeking-time. Modern and innovative management systems also allow multiple users to access information simultaneously, ensuring the smoothness and seamlessness of business processes.

One of the most popular digital data management platforms is ERP systems. ERP contributes to being an entire enterprise management system capable of using data as a business operation resource.

ERP system
ERP systems can be a seamless connection for all the business workload

In particular, ERP creates a high-logical storage arrangement for all business departments to develop the ability to seamlessly and quickly access, usage, and exploit information. However, ERP is a comprehensive transformation that requires businesses to accept innovation significantly and reform the traditional operating model.

3. Typical case studies of data digitization

Data digitization can also be effectively applied in national public services, forming e-government to transform the traditional administrative environment’s working process. E-government creation brings a massive advantage for both the government and the citizens when managerial procedures become faster and more flexible.

Also, information and data sources in the electronic management environment are more secure, safe, and transparent. A typical example of this strength is the blockchain application in managing the e-tax system of an enterprise. Blockchain possesses a significant advantage in data security, and value-added tax transactions are also real-time done quickly, minimizing fraud and tax evasion.

E-government
The e-governments now effectively apply data digitization to transform the traditional working process

Another data digitization case study is the accelerated development of retail technology applications by Saigon Co.op. With the most astounding purpose of optimizing the customer experience, this retailer aims to partner with leading technology businesses to create a digital shopping space.

As a result, the cooperation with Momo wallet has got implementation, and the brand has become the principal e-payment method in supermarkets. The combination with the Grab delivery system is also an essential breakthrough, promising GrabExpress freight forwarding services and food delivery GrabFood applied to the entire structure of Co.opmart, Co.opXtra in Ho Chi Minh City.

However, these successful case studies in typical pioneers’ digitization process do not mean that formula will bring absolute success for almost all businesses. Data digitization strategies mostly depend on external factors. They are even contingent on business demands. That is the reason why companies need to tailor standard processes and systems before conducting data digitization.

Digital transformation is an essential process of multiple scales, in which digitization is only a small layer. However, this layer is a critical core value of the whole digital transformation process.

Data digitization gives businesses many significant advantages to meet the digital transformation process’s basic requirements, converting the format of data platforms. Forms of storing and managing data are also quite diverse, and businesses can choose the right way to manage their digital data sources. However, technology is not the main factor for success, so is multiple platforms usage. Considering the correct strategies, data systems based on appropriate technology platforms will lead businesses closer to expected results.

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digital transformation layers
THE 3 DIGITAL TRANSFORMATION LAYERS
The Fourth Industrial Revolution has created constant changes in modern life, applying digital technology innovations’ core values. In particular, digital transformation (DT) has also gradually attracted more attention from businesses and individuals, although it has crept into the business operational processes since computers became popular in the 1990s. However, DT has marked a spectacular breakthrough when it matures a hot topic globally. This term shows itself a tremendous impact on the future of business. DT’s critical elements – data digitization, process, and model digitalization have fully demonstrated the improvement tasks for companies to overtake future opportunities. They are also essential pillars in multilayer DT systems, forming data, technology, and people’s seamlessness.

1. Terminology speaking of digital transformation and related perspectives

Digital transformation is a necessary process for traditional business models to keep pace with technologies and times. Implementing DT that is suitable for each of the businesses will increase its competitiveness in the market, thereby increasing revenue while optimizing the operation process, creating values for corporate culture and human resources. A complete DT model is a three-layered design: data, process, and business model.

The data layer is necessary to digitize data sources by using technologies for easy-management. A business will implement transformative strategies for operational processes based on transformed data in the process and model layer. Companies can change their models to suit the prolonged orientation and develop corporate culture more extensively. They can also conduct step-by-step or simultaneously implement all the layers if there is a suitable option with the business requirements and specific transformation strategies in both the short and long-term.

Data digitization

Data digitization is transforming from paper-works to digital formats and then storing the digital database in computerized data management systems. Those systems are made up of the technology-implementation to store data intelligently, making data retrieval more manageable and faster. Therefore, data becomes more proactive and brings substantial value-in-use to the business.

Data digitization will create a more seamless working process while ensuring strictly systematic and complete data sources, building a comprehensive digital infrastructure for businesses. It simultaneously is the digital transformation process’s kernel, forming the foundation for all the remaining layers. Up to now, data digitization is an optimal solution ensuring the integrity and security of data systems in the long run, which significantly reduces operating costs.

Additionally, database management systems are the most critical archives that can maximize data access and exploitation efficiency. MySQL is an excellent example among the most popular DMS today, owning multiple useful features based on open source code while ensuring data speed and safety, even large-capacity data systems in the ecommerce field. Accompanying other DMS such as SQL Server, Oracle, PostgreSQL, MySQL can meet most of the data-usage requirements of storage performance, security, and data-safety standards.

These outstanding advantages help MySQL get more appreciation from technological experts by implementing them in many highly-complex technology industries.

Process and business model digitalization (PMD)

Based on the digital data’s core, the process and business model digitalization form a more widespread layer covering the core inside. This classification is highly complex and embraces various forms depending on the operations’ ways and objectives. PMD refers to the transformation relying on technology infrastructures and digital data frameworks to form a digital platform.

To complete the digitalization is to analyze issues in operating processes and business models. From an in-depth analysis, they can provide the right direction and strategy for transformation decisions. This transformation layer has supported businesses to meet the DT requirements, which fully are:

  • Customer connection in the business process;
  • Maintenance, development of the appropriate technological initiatives;
  • And over-the-time human resources optimization.

At the same time, a business needs to combine digital solutions to create customer values and build operating models.

Currently, businesses have successfully applied CRM platforms or ERP systems to optimize operational processes in terms of time and resources. It is well-known management platforms such as Zoho CRM, Microsoft Dynamics CRM, or Salesforce CRM that almost all businesses implement for stable development. Those names are tremendous supporting tools to create the business departments’ continuity of processes and operational processes.

Both CRM or ERP systems effectively help businesses achieve targeted sales and effectively disentangle complex manual processes or issues related to data controllability and preservation.

3 layers of digital transformation
3 layers of digital transformation process

Digital transformation (DT) is the largest category, the complete model to bring businesses closer to the 4.0 digital economy. DT represents the whole process of digitizing data and digitalizing operating processes, business models. DT’s ultimate goal is people-orientation, and at the same time, combining the corporate culture with the customer-centric foundation. DT sets macro-objectives of people’s direction in building strategies, corporate culture, digital technologies, and adapting to these digital transformations.

Generally, most companies carrying out DT encounter significant barriers. They frequently ignore a complete data digitization plan while only focusing on refining more macro-plans in the process and model digitalization layer, which does not bring the high-volume transformation effect due to the initial preparing step not been done thoroughly.

Also, preliminary estimates of time and the limited budget will present a significant challenge for DT tasks in specific periods. Multiples of businesses are unable to catch the expected results. However, despite the existing challenges that they have confronted recently (the COVID-19 crisis), digital transformation will provide comprehensive support on data systems and digital platforms, exclude all social distances, and connect the world easily anytime.

2. The finishing-point of digital transformation – ecommerce?

The digital transformation process has made both efficiency and sales for numerous B2C and B2B businesses. In detail, ecommerce is the most typical manifestation, having recorded impressive growth since 2017. B2C companies have also strengthened the development of a more powerful ecommerce channel than ever.

Meanwhile, B2B models pay much more attention to transforming chains/systems/processes such as production or goods distribution processes by gradually turning into online methods to adapt to the flexibility and rapidity of the 4.0 supply chain.

ecommerce in digital transformation
The digital age witnesses traditional commerce becoming e-commerce with fully-transformation

Up to now, ecommerce can be considered as the complete performance of the digital transformation process. Ecommerce channels can update information quickly and continuously while also ensuring UI/UX optimization to provide perfect user experience, excellent customer experience, and as a result, increase sales. These are also the requirements to digitalize the markets and perfect the business’ operating system. Depending on the DT objectives, the company will stop at the stage that best suits its business model. Some of the businesses only need to digitize data for more effortless operation.

However, from a much more general perspective, almost all companies convert to an ecommerce system to control their business independently and connect directly with customers, partners and come closer to the DT outcomes. Those objectives are also the straightforward development orientation of most retailers today. They focus abundant resources on developing the ecommerce channel to expand the business scale.

For instance, The Coffee House is a case study of the F&B industry’s impressive DT outcomes in Vietnam. The brand has achieved their ordering application for more intensive data resource management and operation. This application was initially built on a requirement to increase the loyalty program’s ease and improve customer care service quality.

However, until now, this sales channel has grown more than that and has become a mainstream business channel that seamlessly integrates with the brand’s existing offline stores.

The story of The Coffee House brand
The Coffee House has implemented impressive digital transformation outcomes in Vietnam’s F&B industry

The TCH app aims to connect and interact directly with customers based on the D2C model, allowing app-users to create membership accounts to earn points and order quickly. These features allow brands to access customer data and shopping habits easily. In-depth data analysis will contribute to new product strategies or menu amendments to better suit the customer’s taste.

Digital transformation is a long-term journey that needs to be done with a detailed and complete strategy while meeting the time and budget, matching the current business’s capabilities. Digitization/digitalization layers also need to fully play their role in digital platforms, transforming entirely and efficiently. A complete ecommerce system considerations are also required for supply chains currently in the marketplace. Ecommerce will be the most agile driver of digital transformation; however, make sure that you can implement a strategy with the right priority in the current situation to give the best effect.

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