According to the Cambodian Women Entrepreneurs Association (CWEA), e-Commerce in the country is expected to expand quickly due to the ease of doing business in the Kingdom. According to business owners, the COVID-19 pandemic, the rapid advancement of technology, and the tremendous increase in Internet users have all contributed to the country’s booming e-commerce industry in recent years.
According to the Ministry of Commerce’s newly published iTrade Bulletin, the market value of e-commerce in Cambodia rose to $970 million last year, up 19 percent from $813 million in 2020.
The majority of e-commerce sales were in the fashion industry, which brought in $263.3 million. Electronics came in second with $254.4 million, followed by beauty, health, personal care, and household goods with $230.5 million, toys, passions, and do-it-yourself with $63 million, food and beverages with $101.5 million, furniture with $46.3 million, and media with $11 million.
According to Keo Mom, CEO of Lyly Food Industry and President of the Cambodian Women Entrepreneurs organization, conducting business online has numerous benefits, especially during the lockdown during the Covid-19 Crisis, which is an opportunity for businesses to sell online.
She said, “Due to the COVID-19 pandemic, we have seen a significant increase in online product purchases over the past three years. Renting a residence and a storefront is more expensive for an online business than online advertising.”
She continued, “There are some e-commerce businesses. The amount of trading is still quite low. Furthermore, we believe that e-commerce will keep growing in the future.”
The iTrade bulletin also stated that 55% of online purchase orders for e-commerce were made on desktop computers, with the remaining 47% being made on tablets or smartphones.
“E-commerce revenue in Cambodia is predicted to reach $1.78 billion by 2025,” the report stated.
Penn Sovicheat, undersecretary of state and spokesman for the Cambodian Ministry of Commerce, said: “During the pandemic, e-commerce had grown rapidly, and there’s no doubt that the growth will continue in coming years. E-commerce market is a potential sector to help boost our economic recovery in the post-pandemic era.”
Cambodia implemented the landmark E-commerce Law, the Consumer Protection Law, and the Law on Competition in 2019 and 2020, respectively, to encourage the sustainable growth of e-commerce. In addition, the country established an e-commerce strategy in 2020.
Source: Khmer Times