Vietnam Buy Now Pay Later Business and Investment Opportunities Databook - 75+ KPIs on BNPL Market Size, End-Use Sectors, Market Share, Product Analysis, Business Model, Demographics - Q1 2025 Update

Key Insights

Rapid Expansion of BNPL Services

• Vietnam’s BNPL market is expanding rapidly, with domestic and international players like Atome and Kredivo growing their operations. These companies are leveraging digital platforms to provide flexible payment solutions that cater to younger, tech-savvy consumers.
• E-commerce Boom: Platforms like TikTok Shop, Shopee, and Lazada are driving BNPL adoption by integrating deferred payment options into their checkout processes.
• Low Credit Access: Vietnam’s low credit card penetration among younger demographics creates a gap that BNPL services are filling effectively.
• Shift in Consumer Spending Habits: Consumers, especially millennials and Gen Z, are increasingly seeking payment flexibility to manage cash flow amidst rising living costs.
• This trend is expected to intensify as more players enter the market and existing ones expand their services. However, rapid growth could attract regulatory scrutiny, prompting providers to adapt to changing compliance requirements.

Strategic Partnerships Enhancing BNPL Reach

• BNPL providers are increasingly forming partnerships with major retailers to expand their reach. For instance, Fundiin has partnered with pharmacy chain Pharmacity, enabling consumers to use BNPL for everyday healthcare purchases.
• Retailer Integration: Retailers are adopting BNPL to attract more customers and drive higher conversions.
• Customer Engagement: Strategic partnerships allow BNPL providers to embed their services into consumers’ daily spending habits, increasing adoption rates.
• These partnerships are likely to expand beyond urban areas into smaller cities and rural regions, making BNPL a standard payment option. The approach could also enable providers to penetrate niche sectors like healthcare and education.

BNPL Integration with Super Apps

• Super apps like MoMo and ZaloPay are incorporating BNPL options into their ecosystems, offering users seamless payment flexibility alongside services such as e-wallets, utility bill payments, and peer-to-peer transfers.
• All-in-One Convenience: Consumers prefer platforms that consolidate multiple services, driving super apps to adopt BNPL as part of their offerings.
• Increased Smartphone Usage: High smartphone penetration among Vietnam’s population supports the adoption of BNPL through these apps.
• BNPL integration into super apps will enhance accessibility, driving adoption across diverse income groups. Competitive dynamics within these platforms could lead to innovative BNPL promotions that reshape consumer behavior.

Rising Use of BNPL in Offline Retail

• BNPL is expanding into offline retail sectors like electronics, fashion, and pharmacies. Providers like Fundiin are piloting in-store BNPL solutions, enabling consumers to enjoy flexible payments in physical stores.
• Omnichannel Shopping Experiences: Retailers aim to provide consistent payment options across both online and offline channels.
• Consumer Trust in Physical Stores: Many Vietnamese consumers prefer inspecting products in person before making significant purchases, making offline BNPL critical for big-ticket items.
• Offline BNPL adoption will continue to grow, with providers expanding to more retail categories. This will likely encourage higher consumer spending on big-ticket purchases, offering retailers a competitive advantage.

Increasing Focus on Consumer Protection and Regulation

• Vietnamese authorities are increasing scrutiny of BNPL providers, particularly foreign operators. For example, platforms like Temu and Shein have been required to register with the government to continue operations.
• Consumer Protection: Authorities are focused on ensuring fair lending practices and preventing predatory behavior by BNPL providers.
• Leveling the Playing Field: Regulations aim to protect local businesses while ensuring fair competition between domestic and foreign players.
• Regulatory oversight will prompt providers to adopt more transparent practices and align with local compliance requirements. While this may slow down the entry of new players, it will ultimately foster a more stable and trustworthy market environment.

Expansion into New Sectors

• BNPL services are diversifying into non-retail sectors such as education, healthcare, and travel. Providers like Fundiin have partnered with schools to offer installment-based tuition payments, while travel-focused BNPL solutions are gaining traction as the tourism industry recovers.
• Demand for Flexible Payments in Essential Services: Families seeking financial flexibility for education and healthcare are driving this diversification.
• Emerging Travel Opportunities: Travel agencies partnering with BNPL providers are catering to consumers looking for affordable ways to finance vacations.
• Non-retail BNPL adoption will grow steadily, with significant potential in education and travel. Providers focusing on sector-specific solutions will gain a competitive edge as these markets mature.

Competitive Landscape and Regulatory Developments in Vietnam's Buy Now, Pay Later (BNPL) Market

Current State of the BNPL Market

• Vietnam’s BNPL market consists of a mix of domestic providers like Fundiin and MoMo and international players such as Atome and Kredivo. These companies focus on tailoring BNPL solutions to underserved segments, tapping into both urban and semi-urban markets.
• BNPL services are becoming a mainstream payment option across retail categories, with increasing adoption by small and medium-sized enterprises (SMEs). This shift is driven by retailers seeking to enhance customer purchasing power and boost sales conversion rates.
• BNPL providers are targeting Vietnam’s underbanked population, many of whom lack access to traditional credit products. By offering no-interest or low-interest installment plans, BNPL is bridging the credit gap for first-time borrowers and informal sector workers.
• To address Vietnam’s unique market needs, BNPL providers are rolling out culturally relevant features, such as shorter repayment cycles and smaller loan amounts, appealing to consumers wary of debt accumulation. This localization enhances trust and adoption among diverse customer groups.

Key Players and New Entrants

• Fundiin: A prominent local BNPL provider, Fundiin has established partnerships across various sectors, including a notable collaboration with Pharmacity, one of Vietnam's leading pharmacy chains with approximately 1,000 stores nationwide. This partnership enables Fundiin to reach a broader customer base and diversify its service offerings.
• MoMo: As a leading digital wallet in Vietnam, MoMo has expanded into BNPL services. In November 2023, MoMo partnered with Grab, allowing users to utilize BNPL options for Grab's services, thereby enhancing its market presence and user engagement.
• Atome and Kredivo: These regional BNPL providers are actively scaling their operations in Vietnam, aiming to capitalize on the country's growing demand for flexible payment solutions. Their entry intensifies competition and offers consumers a wider array of BNPL options.

Anticipated Competitive Dynamics

The competitive landscape of Vietnam's BNPL market is expected to evolve with increased intensity:

• Both existing players and new entrants are likely to broaden their service portfolios and geographic coverage, targeting underserved regions and sectors.
• Firms may invest in advanced technologies, such as artificial intelligence and machine learning, to enhance credit assessment processes and personalize customer experiences.
• We anticipate a rise in partnerships between BNPL providers and various industry stakeholders, including retailers, e-commerce platforms, and financial institutions, to leverage synergies and expand market share.
• As the market matures, consolidation through mergers and acquisitions may occur, driven by the need to achieve economies of scale and strengthen competitive positioning.

Scope

Vietnam BNPL Market Size and Spending Pattern

• Gross Merchandise Value Trend Analysis
• Average Value Per Transaction Trend Analysis
• Transaction Volume Trend Analysis

Vietnam Buy Now Pay Later Revenue Analysis

• Buy Now Pay Later Revenues
• Buy Now Pay Later Share by Revenue Segments
• Buy Now Pay Later Revenue by Merchant Commission
• Buy Now Pay Later Revenue by Missed Payment Fee Revenue
• Buy Now Pay Later Revenue by Pay Now & Other Income

Vietnam Buy Now Pay Later Operational KPIs & Statistics

• Buy Now Pay Later Active Consumer Base
• Buy Now Pay Later Bad Debt

Vietnam BNPL by Purpose

• Convenience - Short Term Loans
• Credit - Long Term Loans

Vietnam BNPL by Business Model

• Two-Party (BNPL offered by retailers)
• Three-Party BNPL Offering

Vietnam BNPL by Merchant Ecosystem

• Open Loop System
• Closed Loop System

Vietnam BNPL by Distribution Model Analysis

• Standalone
• Banks & Payment Service Providers
• Marketplaces

Vietnam Buy Now Pay Later Market Share Analysis by Key Players

Vietnam BNPL Analysis by Channel

• Online Channel
• POS Channel

Vietnam Buy Now Pay Later in Retail Shopping: Market Size and Forecast

• Gross Merchandise Value Trend Analysis
• Average Value Per Transaction Trend Analysis
• Transaction Volume Trend Analysis

Vietnam Buy Now Pay Later in Home Improvement: Market Size and Forecast

• Gross Merchandise Value Trend Analysis
• Average Value Per Transaction Trend Analysis
• Transaction Volume Trend Analysis

Vietnam Buy Now Pay Later in Travel: Market Size and Forecast

• Gross Merchandise Value Trend Analysis
• Average Value per Transaction Trend Analysis
• Transaction Volume Trend Analysis

Vietnam Buy Now Pay Later in Media and Entertainment: Market Size and Forecast

• Gross Merchandise Value Trend Analysis
• Average Value per Transaction Trend Analysis
• Transaction Volume Trend Analysis

Vietnam Buy Now Pay Later in Services: Market Size and Forecast

• Gross Merchandise Value Trend Analysis
• Average Value Per Transaction Trend Analysis
• Transaction Volume Trend Analysis

Vietnam Buy Now Pay Later in Automotive: Market Size and Forecast

• Gross Merchandise Value Trend Analysis
• Average Value Per Transaction Trend Analysis
• Transaction Volume Trend Analysis

Vietnam Buy Now Pay Later in Healthcare and Wellness: Market Size and Forecast

• Gross Merchandise Value Trend Analysis
• Average Value Per Transaction Trend Analysis
• Transaction Volume Trend Analysis

Vietnam Buy Now Pay Later in Others: Market Size and Forecast

• Gross Merchandise Value Trend Analysis
• Average Value Per Transaction Trend Analysis
• Transaction Volume Trend Analysis

Vietnam Buy Now Pay Later Analysis by Consumer Attitude and Behaviour

• Sales Uplift by Product Category
• Share by Age Group
• Share by Income
• Share by Gender
• Adoption Rationale
• Monthly Expense Segments

Reasons to buy

• Insights on Strategy & Innovation: Navigate through future direction of the Buy Now Pay Later industry market by understanding strategic initiatives taken by key players to gain market share and innovation.
• In-depth Understanding of BNPL Market Dynamics in Vietnam: Understand emerging opportunities and future direction of the BNPL market, key drivers, and trends. Benefit from a detailed market segmentation with 75+ KPIs.
• Value and Volume KPIs for Accurate Understanding: Value and volume key performance indicators (KPIs) help in developing an accurate understanding of market dynamics.
• Competitive Landscape: Get a snapshot of competitive landscape in BNPL sector with key players and market share in Vietnam. Formulate your strategy by gaining insights into the current structure of the market.
• Develop Strategies to Gain Market Share: Create and fine tune your targeting strategy in the BNPL sector, identify growth categories and target specific segments across the value chain; evaluate important trends and risks unique to your market.
• Deeper Understanding of Consumer Behaviour: Increase ROI by understanding how consumer attitudes and behaviours are evolving. Get a detailed view on retail spending dynamics across consumer segments.