LVMH-owned beauty giant, Sephora, has entered Vietnam, launching an e-commerce store to test market demand.
Through the Sephora website, Vietnamese customers now can order beauty products from more than 70 beauty brands, including Rare Beauty, Fresh, Huda Beauty, Anastasia Beverly Hills and Tacha.
The products will be delivered directly from Sephora’s warehouse in Singapore to customers’ doorsteps through a cross-border shipping scheme. The orders can be tracked through the website.
The move is part of Sephora’s strategy to test market demand before deciding whether to expand in Vietnam. However, online sales are projected to be moderate as customers are concerned about high prices due to shipping fees and taxes.
The Vietnam debut was hinted at five months ago when it was in the trial period. However, the site was initially flagged as fake as there wasn’t any confirmation from the brand. Sephora has not yet disclosed whether it will open a physical store in Vietnam.
According to Statista, the Vietnamese personal care and beauty market generated an estimated US$2.3 billion in revenue last year and is projected to reach $2.45 billion this year, achieving an annual growth rate of 5.9 per cent by 2025.
